Esquire Financial Holdings, Inc. filed an earnings announcement on October 27, 2026, reporting third-quarter and year-to-date 2026 operating results following the August 1, 2026 completion of its acquisition of Signature Bancorporation, Inc.

Key Highlights

  • Acquisition closed August 1, 2026: Esquire completed the acquisition of Signature Bancorporation, Inc. at a purchase price of $466.1 million, with the transaction approximately 10% accretive to tangible book value.
  • Net income of $17.5 million: Third-quarter 2026 net income rose $4.5 million, or 34.7%, from the prior linked quarter; diluted earnings per share were $1.57.
  • Adjusted figures exclude merger costs: Adjusted net income and diluted EPS for Q3 2026 were $23.6 million and $2.12, respectively, excluding $8.9 million of pretax merger expenses and $938 thousand of discrete tax benefits.
  • Combined assets reached approximately $4.75 billion: Combined loans and deposits on the acquisition closing date were approximately $3.31 billion and $3.92 billion, respectively.
  • Net interest margin of 5.74%: Down 30 basis points from the prior linked quarter of 5.96%, with the current quarter positively impacted by approximately 6 basis points from Signature acquired assets at fair value.
  • Credit quality remained solid: Nonperforming loans totaled $8.6 million, or 0.25% of total loans; the allowance for credit losses was $44.7 million, or 1.30% of loans.
  • CET1 ratio of 12.95%: The Bank's common equity tier 1 ratio and tangible common equity to tangible assets ratio were 12.95% and 10.91%, respectively.

Esquire Financial Q3 2026: Merger Integration and Combined Performance

According to the filing, Esquire Financial Holdings, Inc. (NASDAQ:ESQ) completed its acquisition of Signature Bancorporation, Inc., parent of Signature Bank of Chicago, effective August 1, 2026. The fair values of Signature's acquired assets, loans, and deposits were $1.90 billion, $1.36 billion, and $1.65 billion, respectively, giving rise to $246.9 million in goodwill and a $49.3 million core deposit intangible, the company disclosed. Core systems conversions are in progress and targeted for April 2027, and the filing stated there has been "no material client attrition to date."

The combined third-quarter 2026 results include two months of Signature's activity. The filing reported that total loans increased $1.52 billion, or 80.1%, to $3.43 billion from June 30, 2026, with $1.38 billion attributable to the Signature merger. Litigation-related loans grew organically by $159.6 million, or 48.9% annualized, to $1.46 billion and represented 42.5% of total loans. Total deposits rose $1.80 billion, or 82.5%, to $3.98 billion, with $1.65 billion from Signature. Noninterest bearing demand deposits totaled $1.11 billion, or 27.9% of total deposits, and the cost of funds for the quarter ended September 30, 2026 was 1.13%, according to the filing.

The filing reported noninterest income of $7.9 million for Q3 2026, up $1.5 million, or 23.5%, led by a payments platform serving 94,000 small business clients nationally that processed $10.5 billion in credit and debit card payment volume across 152.2 million transactions in all 50 states. The efficiency ratio was 58.6% for the current quarter, including $8.9 million of merger expenses and $1.8 million of core deposit intangible amortization, compared to an adjusted efficiency ratio of 41.1% excluding those items, the company disclosed. Adjusted returns on average assets and tangible equity were 2.34% and 23.10%, respectively, for Q3 2026, as compared to 2.25% and 18.33% for the linked quarter.

What Was Disclosed

Esquire Financial Holdings disclosed Q3 and year-to-date 2026 operating results alongside details of the August 1, 2026 closing of its acquisition of Signature Bancorporation, Inc., including combined balance sheet figures, merger-related costs, integration status, and adjusted non-GAAP performance metrics.