The bank forecasts net interest margin expansion in 2H 2026 driven by government deposit relocation and strong core revenue growth.
OFG Bancorp expects its net interest margin (NIM) to range between 5.25% and 5.35% in the second half of 2026. The projection follows a 21% year-over-year increase in earnings per share for Q2 2026, supported by 4% growth in total core revenues.
Management attributed the results to consistent loan performance and momentum across business segments. The bank’s NIM outlook reflects anticipated benefits from the relocation of government deposits, which may bolster liquidity and funding costs.
Shares of OFG showed limited immediate reaction to the guidance, as investors await further details on deposit trends and loan growth sustainability.