Tri-County Q3 Net Income Falls 9.7% as Mortgage Unit Winds Down

Tri-County Financial Group’s third-quarter net income fell 9.7% year over year as costs to wind down its mortgage subsidiary affected results, while its CEO also cited merger expenses.

Net income was $3.353 million for the quarter ended Sept. 30, compared with $3.712 million in the same quarter of 2025. Basic net income per share was $1.39, down from $1.56.

Net interest income increased to $14.517 million from $12.969 million. Noninterest income declined to $3.471 million from $4.448 million.

Tri-County terminated its mortgage company, First State Mortgage, during the quarter and incurred costs as it continued to wind down the business. First State Mortgage recorded a $1.7 million year-to-date net loss through Sept. 30, 2026, compared with $0.7 million in the same period of 2025.

Tri-County President and CEO Kirk Ross cited additional costs tied to the HBT Financial merger agreement and the mortgage subsidiary’s closure. “We have had additional merger costs related to such a transaction as well as additional costs as we continue to close our mortgage subsidiary,” Ross said.

Tri-County is the parent company of First State Bank, and its shares trade on OTCQX under the ticker TYFG. Under an Aug. 10 merger agreement, Tri-County would become an HBT subsidiary before merging into HBT. HBT Financial also posted third-quarter results.