# Merchants Bancorp (MBIN)

Informational only - not investment advice.

CIK: 0001629019
SIC: 6022 State Commercial Banks
SIC breadcrumb: [Finance, Insurance, And Real Estate](/division/H/) > [Depository Institutions](/major-group/60/) > [SIC 6022 State Commercial Banks](/industry/6022/)
Latest 10-K filed: 2026-02-27
SEC page: https://www.sec.gov/edgar/browse/?CIK=1629019
Filing source: https://www.sec.gov/Archives/edgar/data/1629019/000110465926021549/mbin-20251231x10k.htm

## At a glance

FY2025 · period end 2025-12-31 · filed 2026-02-27 · accession 0001104659-26-021549 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001629019.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 1,200,851,000 USD | 2025 | verified |
| Net income | 218,770,000 USD | 2025 | verified |
| Assets | 19,448,943,000 USD | 2025 | verified |
| Free cash flow | -362,189,000 USD | 2025 | computed |
| Net margin | 18.22% | 2025 | computed |
| Revenue YoY | -7.82% | 2025 | computed |
| ROE | 9.59% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.

### Peer percentile fingerprint

| Ratio | MBIN | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | 18.2% | 21.9% | 32 | 149 |
| Revenue growth | -7.8% | 6.0% | 2 | 148 |
| FCF margin | -30.2% | 23.8% | 1 | 133 |
| ROE | 9.6% | 9.6% | 48 | 149 |
| ROA | 1.1% | 1.1% | 54 | 149 |
| Liabilities / equity | 7.53 | 8.04 | 37 | 149 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 6022 State Commercial Banks, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 1200851000 | USD | 2025 | 2026-02-27 |
| Net income | 218770000 | USD | 2025 | 2026-02-27 |
| Assets | 19448943000 | USD | 2025 | 2026-02-27 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-27. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001629019.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue | 72,939,000 | 94,387,000 | 140,563,000 | 211,995,000 | 282,790,000 | 311,886,000 | 480,833,000 | 1,077,798,000 | 1,302,720,000 | 1,200,851,000 |
| Net income | 33,127,000 | 54,684,000 | 62,874,000 | 77,329,000 | 180,533,000 | 227,104,000 | 219,721,000 | 279,234,000 | 320,386,000 | 218,770,000 |
| Diluted EPS | 1.47 | 2.28 | 2.07 | 1.58 | 3.85 | 4.76 | 4.47 | 5.64 | 6.30 | 3.78 |
| Operating cash flow | -149,771,000 | -175,886,000 | 204,335,000 | -1,257,003,000 | -874,888,000 | -49,216,000 | 975,774,000 | -356,402,000 | -835,278,000 | -341,248,000 |
| Capital expenditures | 1,204,000 | 788,000 | 9,195,000 | 13,983,000 | 3,623,000 | 3,645,000 | 6,761,000 | 7,528,000 | 18,391,000 | 20,941,000 |
| Dividends paid | 6,224,000 | 7,950,000 | 10,216,000 | 17,254,000 | 23,671,000 | 31,235,000 | 38,067,000 | 48,506,000 | 51,167,000 | 59,418,000 |
| Assets | 2,718,512,000 | 3,393,133,000 | 3,884,163,000 | 6,371,928,000 | 9,645,375,000 | 11,278,638,000 | 12,615,227,000 | 16,952,516,000 | 18,805,732,000 | 19,448,943,000 |
| Liabilities | 2,512,224,000 | 3,025,659,000 | 3,462,926,000 | 5,718,200,000 | 8,834,754,000 | 10,123,229,000 | 11,155,488,000 | 15,251,432,000 | 16,562,422,000 | 17,168,184,000 |
| Stockholders' equity | 206,288,000 | 367,474,000 | 421,237,000 | 653,728,000 | 810,621,000 | 1,155,409,000 | 1,459,739,000 | 1,701,084,000 | 2,243,310,000 | 2,280,759,000 |
| Free cash flow | -150,975,000 | -176,674,000 | 195,140,000 | -1,270,986,000 | -878,511,000 | -52,861,000 | 969,013,000 | -363,930,000 | -853,669,000 | -362,189,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin | 45.42% | 57.94% | 44.73% | 36.48% | 63.84% | 72.82% | 45.70% | 25.91% | 24.59% | 18.22% |
| Return on equity | 16.06% | 14.88% | 14.93% | 11.83% | 22.27% | 19.66% | 15.05% | 16.42% | 14.28% | 9.59% |
| Return on assets | 1.22% | 1.61% | 1.62% | 1.21% | 1.87% | 2.01% | 1.74% | 1.65% | 1.70% | 1.12% |
| Liabilities / equity | 12.18 | 8.23 | 8.22 | 8.75 | 10.90 | 8.76 | 7.64 | 8.97 | 7.38 | 7.53 |

## As-reported value updates

No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks.


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-07. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001629019.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-09-30 |  |  | 1.22 | reported discrete quarter |
| 2023-Q1 | 2023-03-31 |  |  | 1.07 | reported discrete quarter |
| 2023-Q2 | 2023-06-30 |  |  | 1.31 | reported discrete quarter |
| 2023-Q3 | 2023-09-30 | 296,676,000 | 81,504,000 | 1.68 | reported discrete quarter |
| 2023-Q4 | 2023-12-31 | 311,759,000 | 77,473,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2024-03-31 | 314,173,000 | 87,054,000 | 1.80 | reported discrete quarter |
| 2024-Q2 | 2024-06-30 | 328,273,000 | 76,393,000 | 1.49 | reported discrete quarter |
| 2024-Q3 | 2024-09-30 | 338,928,000 | 61,273,000 | 1.17 | reported discrete quarter |
| 2024-Q4 | 2024-12-31 | 321,346,000 | 95,666,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2025-03-31 | 287,204,000 | 58,239,000 | 0.93 | reported discrete quarter |
| 2025-Q2 | 2025-06-30 | 304,399,000 | 37,981,000 | 0.60 | reported discrete quarter |
| 2025-Q3 | 2025-09-30 | 301,779,000 | 54,701,000 | 0.97 | reported discrete quarter |
| 2025-Q4 | 2025-12-31 | 307,469,000 | 67,849,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2026-03-31 | 270,511,000 | 67,732,000 | 1.25 | reported discrete quarter |
| 2026-Q2 | 2026-06-30 | 294,072,000 | 78,303,000 | 1.48 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from MBIN's latest 10-K: [/company/MBIN/business/](/company/MBIN/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from MBIN's latest 10-K: [/company/MBIN/risk-factors/](/company/MBIN/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/1629019/000110465926092702/mbin-20260630x10q.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary.
Confidence: high
Filing date: 2026-08-07
Report date: 2026-06-30

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Management’s discussion and analysis of the financial condition at June 30, 2026 and results of operations for the three and six months ended June 30, 2026 and 2025, is intended to assist in understanding the financial condition and results of operations of the Company. The information contained in this section should be read in conjunction with the unaudited condensed consolidated financial statements and the notes thereto, appearing in Part I, Item 1 of this Form 10-Q.

The words “the Company,” “we,” “our” and “us” refer to Merchants Bancorp and its consolidated subsidiaries, unless we indicate otherwise.

​

Financial Highlights for the Three Months Ended June 30, 2026

​

[[GREPCENT_TABLE]]
[["","\u25cf","Net income of $78.3 million increased $40.3 million, or 106%, compared to the three months ended June 30, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Diluted earnings per share of $1.48 increased 147% compared to the three months ended June 30, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Total assets of $21.2 billion increased 4% compared to March 31, 2026 and $1.8 billion, or 9%, from December 31, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Tangible book value per common share of $39.93 increased 13% compared to $35.42 for the three months ended June 30, 2025. See Non-GAAP Financial Measures section at the end of Item 2."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Asset quality improved meaningfully, as criticized loans receivable of $444.7 million decreased $63.5 million, or 12%, from December 31, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The provision for credit losses of $9.2 million decreased 83% compared to the three months ended June 30, 2025 and decreased 40% compared to the three months ended March 31, 2026."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Capital ratios remained strong, with a total capital ratio of 12.5%, reflecting the Company\u2019s continued emphasis on financial strength and balance sheet resilience."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Liquidity remained strong at $13.0 billion, or 61% of total assets, supported by $5.5 billion of unused borrowing capacity with the Federal Home Loan Bank and Federal Reserve Discount Window and a diversified mix of highly liquid assets, including cash and cash equivalents, short-term investments, mortgage loans in process of securitization, loans held for sale, and warehouse lines of credit."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Loans receivable, net of allowance for credit losses, totaled $12.3 billion, increasing $862.9 million, or 8%, from March 31, 2026, and increased $1.3 billion, or 12%, from December 31, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Core deposits of $13.0 billion increased $891.3 million, or 7%, from March 31, 2026, and $1.7 billion, or 15%, from December 31, 2025. Core deposits now represent 91% of total deposits."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Brokered deposits of $1.3 billion increased $411.3 million, or 46%, compared to March 31, 2026, and decreased $459.5 million, or 26%, compared to December 31, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","As of June 30, 2026, approximately 97% of loans reprice within three months, which reduces the risk of market rate increases."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Net interest margin was 2.81% compared to 2.83% for the three months ended June 30, 2025."]]
[[/GREPCENT_TABLE]]

58

Table of Contents

Merchants Bancorp

[[GREPCENT_TABLE]]
[["","\u25cf","Efficiency ratio was 40.20% compared to 43.16% for the three months ended June 30, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The Company executed a credit default swap on a $169.9 million pool of multi-family mortgage loans in June 2026, providing credit protection for the loan pool and reducing risk-based capital requirements."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The volume of warehouse loans funded during the three months ended June 30, 2026 amounted to $22.9 billion, an increase of $6.6 billion, or 41%, compared to the three months ended June 30, 2025. This compared to the 10% industry increase in single-family residential loan volumes for the three months ended June 30, 2026 compared to the same period in 2025, according to an estimate of industry volume by the Mortgage Bankers Association."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The total volume of loans originated and acquired through our Multi-family business was $1.5 billion, an increase of $99.8 million, or 7%, compared to $1.4 billion for the three months ended June 30, 2025. It included construction loans coupled with agreements for future permanent loan refinancing, as well as bridge loans housed in our Banking segment, while borrowers awaited conversion to permanent financing. It also included loans originated and acquired for sale in the secondary market."]]
[[/GREPCENT_TABLE]]

Business Overview

​

We are a diversified bank holding company headquartered in Carmel, Indiana and registered under the Bank Holding Company Act of 1956, as amended. We currently operate in multiple business segments, including Multi-family Mortgage Banking that offers multi-family housing and healthcare facility financing and servicing, as well as syndicated low-income housing tax credit and debt funds; Mortgage Warehousing that offers mortgage warehouse financing, commercial loans, and deposit services; and Banking that offers portfolio lending for multi-family and healthcare facility loans, retail and correspondent residential mortgage banking, jumbo lending, agricultural lending, SBA lending, and traditional community banking.

​

Our business consists of funding multi-family, residential, and SBA loans meeting underwriting standards of government programs under an originate to sell model, and retaining adjustable-rate loans as held for investment to reduce interest rate risk. The gain on sale of these loans and servicing fees contribute to noninterest income. The funding source is primarily from mortgage custodial, retail, commercial, brokered deposits and short-term borrowings. We believe that the combination of net interest income and noninterest income from the sale of low risk profile assets has traditionally resulted in lower than industry charge-offs and a lower expense base, which serves to maximize net income and higher than industry shareholder return.

​

Critical Accounting Policies and Estimates

The preparation of our unaudited condensed consolidated financial statements requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, and expenses. These estimates are based upon historical experience and on various other assumptions that management believes are reasonable under the current circumstances. These estimates and assumptions form the basis for making judgments about the carrying value of certain assets and liabilities that are not readily available from other sources. Actual results may differ from these estimates under different assumptions or conditions.

The estimates and judgments that management believes have the most effect on its reported financial position and results of operations are set forth within “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025. There have been no significant changes in critical accounting policies or the assumptions and judgments utilized in applying these policies since those reported for the year ended December 31, 2025.

59

Table of Contents

Merchants Bancorp

Financial Condition

As of June 30, 2026, we had approximately $21.2 billion in total assets, $14.3 billion in deposits, and $2.4 billion in total shareholders’ equity. Total assets as of June 30, 2026 included $12.3 billion of loans receivable, net of ACL-Loans, and $4.6 billion of loans held for sale. Assets also included $1.4 billion in securities held to maturity and $820.1 million in securities available for sale, the majority of which were acquired from a warehouse customer. Additionally, we had $407.4 million of mortgage loans in process of securitization that represent pre-sold multi-family rental real estate loan originations in primarily Ginnie Mae, Fannie Mae, and Freddie Mac mortgage-backed securities pending settlements that typically occur within 30 days, as well as other assets of $751.0 million, which primarily related to low-income housing tax credits, and $314.7 million of cash and cash equivalents. Servicing rights at June 30, 2026 were $236.9 million based on the fair value of the loan servicing, which primarily includes Ginnie Mae multi-family servicing rights with 10-year call protection at origination.

Comparison of Financial Condition at June 30, 2026 and December 31, 2025

Total Assets. Total assets of $21.2 billion at June 30, 2026 increased $1.8 billion, or 9%, compared to $19.4 billion at December 31, 2025. The increase was due primarily to growth in loans and loans held for sale, specifically in the multi-family and warehouse portfolios, as well as revolving lines of credit collateralized by mortgage servicing rights that are included in the commercial and commercial real estate portfolio. Warehouse loans, including loans held for sale and loans receivable, are exclusively made up of loans to residential and multi-family mortgage bankers that are funding agency-eligible mortgages and commercial loans, which represent all of the Company’s loans to non-depository institutions.

Cash and Cash Equivalents. Cash and cash equivalents of $314.7 million at June 30, 2026 increased $102.5 million, or 48%, compared to $212.2 million at December 31, 2025. The increase was primarily to satisfy anticipated loan funding commitments.

Mortgage Loans in Process of Securitization. Mortgage loans in process of securitization of $407.4 million at June 30, 2026 decreased $212.7 million, or 34%, compared to $620.1 million at December 31, 2025. These represent loans that our banking subsidiary, Merchants Bank, has funded and are held in the loan portfolio pending settlement, as primarily Ginnie Mae, Fannie Mae, and Freddie Mac mortgage-backed securities with a firm investor commitment to purchase the securities.

Securities Available for Sale. Securities available for sale of $820.1 million at June 30, 2026 decreased $45.0 million, or 5%, compared to $865.1 million at December 31, 2025. The decrease in securities available for sale was primarily due to $305.3 million in calls, maturities, repayments, and other adjustments, partially offset by purchases of $260.4 million during the period.

Included in securities available for sale were $527.7 million and $571.3 million of investments for which a fair value option was elected at June 30, 2026 and December 31, 2025, respectively. Fair value option securities represent securities which the Company has elected to carry at fair value and are separately identified on the unaudited condensed consolidated balance sheets with changes in the fair value recognized in earnings as they occur. 

As of June 30, 2026, AOCL of $1.2 million, related to securities available for sale increased $1.2 million from December 31, 2025. The $1.2 million of AOCL as of June 30, 2026 represented less than 0.15% of total equity and total securities available for sale, reflecting our interest rate risk policy of maintaining short duration on assets and liabilities.

Securities Held to Maturity. Securities held to maturity of $1.4 billion at June 30, 2026 decreased $188.8 million compared to $1.5 billion at December 31, 2025. The decrease was due to repayme

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/1629019/000110465926021549/mbin-20251231x10k.htm
Complete FY 2025 MD&A: /company/MBIN/mda/fy2025/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-02-27
Report date: 2025-12-31

Item 7. Management’s Discussion and Analysis of Financial Condition and the Results of Operations.

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with “Selected Consolidated Financial Data” and our audited consolidated financial statements and the accompanying notes included elsewhere in this report.

Discussion and Analysis of the Company’s financial condition and the results of operations for the year ended December 31, 2024 compared to the year ended December 31, 2023 is contained in Item 7 of Form 10-K for the year ended December 31, 2024 filed with the SEC on February 28, 2025.

This discussion and analysis contains forward-looking statements that are subject to known and unknown risks and uncertainties that could cause our results to differ materially from our expectations. Actual results and the timing of events may differ significantly from those expressed or implied by such forward-looking statements due to a number of factors, including those set forth under Item 1 - “ Special Note Regarding Forward Looking Statements,” Item 1A - “Risk Factors,” and elsewhere in this report. We assume no obligation to update any of these forward-looking statements.

Financial Highlights for the Year Ended December 31, 2025

​

[[GREPCENT_TABLE]]
[["","\u25cf","Total assets of $19.4 billion increased $643.2 million, or 3%, compared to December 31, 2024, setting a new Company milestone."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Tangible book value per common share of $37.51 increased 10% compared to $34.15 at December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Asset quality improved meaningfully, as criticized loans receivable of $508.2 million decreased by 27% compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","As of December 31, 2025, the Company had $5.3 billion in unused borrowing capacity with the Federal Home Loan Bank and Federal Reserve Discount Window, based on available collateral, an increase of 23%, compared to $4.3 billion at December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Loans receivable of $11.0 billion, net of allowance for credit losses on loans, increased $597.4 million, or 6%, compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","As of December 31, 2025, approximately 96% of loans reprice within three months, which reduces the risk of market rate increases."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Core deposits of $11.3 billion increased $1.9 billion, or 20%, compared to December 31, 2024, and now represent 87% of total deposits."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Brokered deposits of $1.8 billion decreased $776.8 million, or 31%, compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Net income of $218.8 million decreased $101.6 million, or 32%, compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Diluted earnings per share of $3.78 decreased 40% compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The $101.6 million, or 32% decrease in net income compared to the year ended December 31, 2024 was primarily driven by a $93.5 million, or 385%, increase in provision for credit losses, a $76.1 million, or 34%, increase in noninterest expense, and a $5.6 million, or 1%, decrease in net interest income, partially offset by a $57.2 million decrease in provision for income taxes and a $16.3 million, or 11% increase in noninterest income."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Gain on sale of $85.4 million increased $23.1 million, or 37%, compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Net interest margin was 2.86% compared to 3.03% at December 31, 2024. Factors impacting net interest margin were the decline in interest rate spread, along with shifts in balance sheet mix."]]
[[/GREPCENT_TABLE]]

39

Table of Contents

[[GREPCENT_TABLE]]
[["","\u25cf","Efficiency ratio of 44.01% increased compared to 33.37% at December 31, 2024. Expenses associated with credit default swap premiums, the collateral preservation of nonperforming loans, and the addition of production staff had a 680 basis point negative impact on the efficiency ratio for the year ended December 31, 2025."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","Our LIHTC syndications business raised $700.7 million in equity, closing six new multi-investor and proprietary funds during 2025. A total of $2.8 billion in equity has been raised since its inception in 2020."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","We redeemed all outstanding shares of the Series B Preferred Stock for approximately $125.0 million on January 2, 2025, at the liquidation preference of $1,000 per share (equivalent to $25 per depositary share)."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","In June 2025, the Company completed a $373.3 million securitization of 18 multi-family mortgage loans through a Freddie Mac-sponsored Q-Series transaction."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","In July 2025, the Company completed a $237.0 million securitization of one multi-family mortgage loan through a Freddie Mac-sponsored Q-Series transaction."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","In September 2025, the Company executed a credit default swap on a $557.1 million pool of healthcare mortgage loans, to provide credit protection for the loan pool and reduce risk-based capital requirements."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","In December 2025, the Company fully repaid its credit-linked notes issued in March 2023, resulting in a release of $33.5 million of restricted cash collateral and reducing borrowing balances of $87.6 million compared to December 31, 2024."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","In December 2025, the Company completed a $172.8 million securitization of five multi-family mortgage loans through a Freddie Mac-sponsored Q-Series transaction."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The volume of warehouse loans funded during the year ended December 31, 2025, amounted to $66.3 billion, an increase of $20.7 billion, or 46%, compared to the same period in 2024. This compared to the 22% industry increase in single-family residential loan volumes from the year ended December 31, 2025 compared to the same period in 2024, according to an estimate of industry volume by the Mortgage Bankers Association."]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","\u25cf","The total volume of loans originated and acquired through our multi-family business was $6.5 billion, an increase of $272.9 million, or 4%, compared to the year ended December 31, 2024. It included construction loans coupled with agreements for future permanent loan refinancing, as well as bridge loans housed in our Banking segment, while borrowers awaited conversion to permanent financing. It also included loans originated and acquired for sale in the secondary market."]]
[[/GREPCENT_TABLE]]

Company and Business Segment Overview

We are a diversified bank holding company headquartered in Carmel, Indiana and registered under the Bank Holding Company Act of 1956, as amended. We currently operate in multiple business segments, including Multi-family Mortgage Banking that offers multi-family housing and healthcare facility financing and servicing, as well as syndicated low-income housing tax credit and debt funds; Mortgage Warehousing that offers mortgage warehouse financing, commercial loans, and deposit services; and Banking that offers portfolio lending for multi-family and healthcare facility loans, retail and correspondent residential mortgage banking, jumbo lending, agricultural lending, SBA lending, and traditional community banking.

​

Our business consists of funding low risk, multi-family, residential, and SBA loans meeting underwriting standards of government programs under an originate-to-sell model, and retaining adjustable-rate loans as held for investment to reduce interest rate risk. The gain on sale of these loans and servicing fees contribute to noninterest income. The funding source is primarily from mortgage custodial, retail, commercial and brokered deposits, as well as short-term borrowing. We believe that the combination of net interest income and noninterest income from the sale of low risk profile assets has traditionally resulted in lower than industry charge-offs and a lower expense base, which serves to maximize net income and higher than industry shareholder return.

​

40

Table of Contents

See “Company Overview and Our Business Segments,” in Item 1 “Business”, “Operating Segment Analysis for the Years Ended December 31, 2025 and 2024” in Item 7 “Management’s Discussion and Analysis of Financial Condition and the Results of Operations”, and “Segment Information,” in Note 23: Segment Information for further information about our segments.

Primary Factors We Use to Evaluate Our Business

As a financial institution, we manage and evaluate various aspects of both our results of operations and our financial condition. We evaluate the comparative levels and trends of the line items on our consolidated balance sheets and statements of income, as well as various financial ratios that are commonly used in our industry. We analyze these ratios and financial trends against our own historical performance, our budgeted performance, and the financial condition and performance of comparable financial institutions in our region.

Results of operations

In addition to net income, the primary factors we use to evaluate and manage our results of operations include net interest income, noninterest income, noninterest expense, and return on average equity.

Net interest income. Net interest income represents interest income less interest expense. We generate interest income from interest (net of deferred origination fees received and costs paid, which are amortized over the expected life of the loans) and fees received on interest-earning assets, including loans, investment securities, cash, and dividends on FHLB stock and other equity securities we own. We incur interest expense from interest paid on interest-bearing liabilities, including interest-bearing deposits and borrowings. Net interest income is the most significant contributor to our revenues and net income. To evaluate net interest income, we measure and monitor: (a) yields on our loans and other interest-earning assets; (b) duration on our loans, deposits, and borrowings; (c) the costs of our deposits and other funding sources; (d) our net interest margin; and (e) the regulatory risk weighting associated with the assets. Net interest margin is calculated as the annualized net interest income divided by average interest-earning assets. Because noninterest-bearing sources of funds, such as noninterest-bearing deposits and shareholders’ equity, also fund interest-earning assets, net interest margin includes the benefit of these noninterest-bearing sources.

Changes in market interest rates, the slope of the yield curve, and interest we earn on interest-earning assets or pay on interest-bearing liabilities, as well as the volume and types of interest-earning assets, interest-bearing and noninterest-bearing liabilities and shareholders’ equity, usually have the largest impact on changes in our net interest spread, net interest margin, and net interest income during a reporting period.

Noninterest Income. Noninterest income consists of, among other things: (a) gain on sale of loans; (b) loan servicing fees; (c) fair value adjustments to the value of servicing rights, derivatives, and certain loans; (d) mortgage warehouse fees; and (e) syndication and asset management fees; and (f) o

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/MBIN/mda/fy2025/
All MD&A years: /company/MBIN/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/MBIN/mda/fy2024/): filed 2025-02-28; accession 0001558370-25-001941 (https://www.sec.gov/Archives/edgar/data/1629019/000155837025001941/mbin-20241231x10k.htm)
- [FY 2023 MD&A](/company/MBIN/mda/fy2023/): filed 2024-03-12; accession 0001558370-24-003005 (https://www.sec.gov/Archives/edgar/data/1629019/000155837024003005/mbin-20231231x10k.htm)
- [FY 2022 MD&A](/company/MBIN/mda/fy2022/): filed 2023-03-16; accession 0001558370-23-004012 (https://www.sec.gov/Archives/edgar/data/1629019/000155837023004012/mbin-20221231x10k.htm)
- [FY 2021 MD&A](/company/MBIN/mda/fy2021/): filed 2022-03-04; accession 0001558370-22-002893 (https://www.sec.gov/Archives/edgar/data/1629019/000155837022002893/mbin-20211231x10k.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 6022 State Commercial Banks) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate
- [DFEDTARU](/indicator/DFEDTARU/): Federal Funds Target Range - Upper Limit
- [DGS2](/indicator/DGS2/): Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity
- [T10Y2Y](/indicator/T10Y2Y/): 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity

Macro-to-micro threads including this sector: [Interest rates & the Fed](/thread/interest-rates-fed/), [Money & trade](/thread/money-trade/), [Consumer & credit](/thread/consumer-credit/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/MBIN.md · JSON record: /company/MBIN.json · verified financials: /company/MBIN/financials.json / /company/MBIN/financials.csv · machine TOC for the whole site: /llms.txt