TLDR BOH stock slips 0.29% to $70.39 despite stronger third-quarter bank profits. Bank of Hawaii net income climbs 20.5% year over year to $64.3 million in Q3. Quarterly EPS of $1.49 misses the $1.51 forecast despite solid revenue gains. Bank of Hawaii adds $200M to its buyback plan, raising capacity to $268.7M. Net interest margin rises to 2.82%, while total deposits decline 3.3% this year.Bank of Hawaii Corporation (BOH) stock fell 0.29% to $70.39 despite stronger third-quarter earnings and expanded share repurchase plans. The bank reported $64.3 million in quarterly net income, representing 20.5% annual growth. However, earnings per share of $1.49 missed analysts’ $1.51 estimate, while shares dropped 7.51% in premarket trading.Bank of Hawaii Corporation, BOHThe earnings report showed higher revenue, stronger lending income, and continued improvement in interest margins. Meanwhile, the board approved another $200 million for share repurchases, increasing its remaining authorization to $268.7 million. The announcement followed a quarter of stronger profitability and changes in the bank’s loan and deposit balances.Bank of Hawaii Earnings Rise as Interest Margin ExpandsBank of Hawaii generated $198.8 million in third-quarter revenue, compared with $182.6 million a year earlier. Revenue also increased from $196.9 million in the previous quarter, reflecting continued growth in core banking operations. Furthermore, diluted earnings per share improved from $1.47 in the second quarter to $1.49.Net interest income reached $156.1 million, marking a 1.6% quarterly increase. The bank’s net interest margin climbed four basis points to 2.82%, extending its improvement streak to ten consecutive quarters. Higher returns on earning assets supported this expansion, while changes in deposit costs influenced funding expenses.The average yield on earning assets increased five basis points to 4.13%. Meanwhile, the average loan yield reached 4.82%, supported by asset repricing and new lending activity. However, noninterest expenses increased 1.0% to $112.3 million, partly reflecting higher equipment and occupancy costs.Bank of Hawaii Loan Growth Faces Deposit and Credit ChangesBank of Hawaii reported $14.4 billion in total loans and leases at September’s end. The balance represented 2.1% growth from December 2025, supported by commercial mortgage and business lending. Commercial loans increased 3.8% to $6.3 billion, while consumer loans reached $8.1 billion.However, total deposits declined 3.3% to $20.5 billion during the first nine months. The bank linked the reduction to planned public fund withdrawals and lower commercial deposit balances. Meanwhile, noninterest-bearing deposits represented 26.5% of total deposits, compared with 27.2% at the previous year-end.Nonperforming assets increased to $43.4 million from $11.5 million in June. A single commercial mortgage entering nonaccrual status accounted for most of the increase. Nevertheless, the bank reduced its quarterly credit loss provision to $2.8 million, while net loan charge-offs reached $3.3 million.Bank of Hawaii Expands Buyback Authorization by $200 MillionBank of Hawaii repurchased approximately 256,000 common shares for $20.2 million during the third quarter. Following the quarter, its board approved an additional $200 million in repurchase authority. Consequently, the bank’s remaining share buyback authorization increased to $268.7 million.The board also declared a quarterly cash dividend of $0.70 per common share. Shareholders of record on November 30 will receive the payment on December 14, 2026. Meanwhile, the bank maintained capital levels above regulatory minimums, with its Tier 1 capital ratio reaching 14.41%.Despite stronger profits and additional buyback capacity, BOH shares remained under pressure following the earnings announcement. The earnings miss coincided with higher nonperforming assets and declining deposit balances. Future performance will depend on lending growth, funding costs, credit quality, and continued improvements in net interest income. The post Bank of Hawaii (BOH) Stock: Dips Despite Profit Growth and $200M Buyback Boost appeared first on Blockonomi.