FDBC earnings analysis
What we found in FDBC's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Fidelity D&D reported Q2 diluted EPS of $1.33, up from $1.20 a year earlier, while reported revenue was $26.24 million versus $35 million in the supplied prior-year history. The balance sheet had $2.971 billion of assets and $2.068 billion of loans, with a modestly asset-sensitive one-year cumulative gap of $44.5 million, or 1.5% of assets. Rate simulations remained within policy limits, but a 200-basis-point decline would reduce modeled net interest income by 3.2% and economic value of equity by 8.1%; no quantitative operating guidance was provided.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- EPS increased year over year
- Reported diluted EPS was $1.33 in Q2 2026, up from $1.20 in Q2 2025, an increase of $0.13 or approximately 10.8% year over year. Reported revenue was $26.24 million versus $35 million in the supplied prior-year quarterly history.
- Loan assets remain the core balance-sheet asset
- At June 30, 2026, total assets were $2.971 billion, including $207.660 million of cash and cash equivalents, $518.496 million of investment securities, and $2.068 billion of loans and leases.
- Balance sheet is modestly asset sensitive
- The company maintained a one-year cumulative positive interest-rate gap of $44.5 million, equal to 1.5% of total assets, indicating that more assets than liabilities reprice within one year.
- Rate-risk simulations remain within policy limits
- Management's +200-basis-point simulation projected a 2.9% increase in net interest income and a 6.1% increase in net income. The company's policy limits are materially wider, at plus or minus 10% for net interest income and plus or minus 25% for net income.
- Capital remains above stated threshold
- The risk-based capital ratio was 14.29% at June 30, 2026, above management's stated 10% threshold used when evaluating economic-value-at-risk outcomes.
- Management is assessing interest-rate hedges
- Management stated it is evaluating balance-sheet hedging opportunities with an independent third-party vendor with derivative expertise; any hedge would require Board pre-approval and quarterly ALCO monitoring.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Falling rates could pressure earnings
- The positive one-year cumulative gap of $44.5 million, or 1.5% of total assets, exposes net interest income to falling rates. The simulation estimated that a 200-basis-point decline would reduce net interest income by 3.2% and economic value of equity by 8.1%.
- Deposit behavior may differ from models
- The filing notes that deposit repricing, runoff, prepayments and early withdrawals may differ from model assumptions. Interest-bearing transaction deposits totaled $1.644 billion and certificates of deposit totaled $332.099 million at June 30, 2026, creating meaningful funding sensitivity if more expensive alternatives are required.
- No material risk-factor updates
- Management stated that there were no material changes to the risk factors disclosed in the 2025 Form 10-K filed March 13, 2026. Accordingly, the filing does not identify a new risk-factor development relative to the prior annual report.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.33
What they said about what is next.
The filing provides no explicit quantitative revenue or EPS guidance. Interest-rate simulation outcomes are risk scenarios, not operating guidance.
The filing reads about the same as the one before it.
What came before.
- 10-Q · May 8, 2026
- Fidelity D & D Bancorp reported a strong first quarter in 2026, with net income of $7.5 million and diluted EPS of $1.28, marking a 25% increase compared to Q1 2025. The company experienced robust revenue growth…
- 10-K · March 13, 2026
- Fidelity D & D Bancorp’s 2025 results show multi-quarter revenue and margin expansion concentrated in its Pennsylvania regional markets. Total revenue for 2025 was approximately $140.0M (quarters: $33M, $35M, $36M,…
- 10-Q · November 7, 2025
- Fidelity D & D Bancorp reported a stronger quarter: total revenue of $23,534,000 and diluted EPS of $1.27 for Q3 2025, driven by higher interest income and lower provisions. Balance sheet growth was funded primarily by…
- 10-Q · August 8, 2025
- Fidelity D & D Bancorp reported Q2 2025 core revenue (net interest income before provision + noninterest income) of $23,288,000, up 18.0% from $19,732,000 in Q2 2024. Net income rose to $6,921,000 (diluted EPS $1.20)…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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