Eleventh District Banking Trends

This report tracks the financial performance of Eleventh District banks in comparison with national averages, looking at profitability, loans, deposits and other key metrics. It is updated quarterly.

Select a metric to go directly to the related chart below.

View chart topics… Return on average assets (ROAA) Net income breakdown Net interest margins (NIM) Provision expense Net loan losses Net charge-offs by loan type Noncurrent loans Noncurrent loans by type Loan growth Loan growth by type Funding mix Deposit mix Equity capital ratios

• Eleventh District banks earned a return on average assets (ROAA) of 1.39 percent in third quarter 2025, 4 basis points (bps) higher than the previous quarter and 30 bps higher than third quarter 2024.
• The ROAA for U.S. banks was 1.21 percent in third quarter 2025, up 3 bps from second quarter 2025 and 18 bps from a year ago.

• Higher revenue offset increased expenses and securities losses and led to improved profitability in third quarter 2025.
• Much of the higher profitability for Eleventh District banks relative to U.S. peers can be attributed to lower provision expense

• Net interest margins (NIMs) increased in third quarter 2025 as higher interest income offset flat interest expense.
• Eleventh District banks’ NIM was 3.67 percent in third quarter 2025, up 9 bps quarter-over-quarter and 35 bps year-over year.
• U.S. banks’ NIM was 3.71 percent in third quarter 2025, 9 bps higher than the previous quarter and 28 bps higher than a year ago.

• Since late 2021, provision expense for Eleventh District banks has trended below that of their U.S. peers.
• For third quarter 2025, Eleventh District banks’ provision expense relative to average assets was 0.15 percent, 12 bps lower than the national value.

• The net charge-off rate for Eleventh District banks has trended below that of U.S. peers since 2020.
• Eleventh District banks’ net charge-off rate increased 5 bps in third quarter 2025 to 0.22 percent, while U.S. banks’ net charge-off rate was unchanged at 0.31 percent.

• Eleventh District banks’ noncurrent loan rate has consistently trended below U.S. peers.
• In third quarter 2025, Eleventh District banks’ noncurrent loan rate was 0.75 percent, down 2 bps from the previous quarter but up 1 bps from a year ago.
• The rate for U.S. banks was 0.94 percent, up 1 bps from second quarter 2025 and 14 bps from a year ago.

• Loan growth picked up slightly in third quarter 2025 for both Eleventh District and U.S. banks.
• For Eleventh District banks, year-over-year loan growth accelerated for all major loan categories except consumer loans, which continued to decline.

• Equity capital ratios have been trending up since mid-2022 as retained earnings increased and unrealized losses on available-for-sale securities abated.
• Eleventh District banks’ equity capital ratio increased 31 bps in third quarter 2025 to 11.1 percent, and U.S. banks’ equity capital ratio increased 22 bps to 11.3 percent.