First Merchants Corporation is the financial holding company for First Merchants Bank, providing commercial and consumer banking services. Its offerings include checking, savings, and deposit products; debit and credit cards; mortgages, refinancing, and construction or renovation loans for residential properties; agricultural lending; treasury management; and depository products. It also provides personal and commercial wealth management, brokerage, investment management, private banking, fiduciary estate, and financial planning services. The company operates banking locations in Indiana, Ohio, and Michigan counties and delivers services through electronic and mobile channels. First Merchants Corporation was founded in 1893 and is headquartered in Muncie, Indiana.
First Merchants CEO Mark Hardwick to Retire at End of 2026
First Merchants announced Thursday that CEO Mark Hardwick will retire at the end of 2026. Mike Stewart, currently the bank's president and a more than 18-year veteran of the company, is set to become president and CEO at the start of 2027. Hardwick said it had been his great pleasure to serve as CEO of the 133-year-old financial institution, which has nearly 300,000 clients, 126 locations in 3 states, and 2,200 employees, and that he wants to dedicate more time to consultative, faith-based leadership. Shares were 0.10% lower at $39.74 during pre-market trading.
FRME · · Neutral CEO Mark Hardwick to retire end-2026 with Mike Stewart named successor; a planned leadership transition with no stated financial driver.
First Merchants prices $100M subordinated notes at 6.750%
First Merchants Corporation priced a $100M offering of 6.750% fixed-to-floating rate subordinated notes due 2036. The notes will carry a 6.750% fixed interest rate through September 2031, then reset quarterly to an expected Three-Month Term SOFR plus 202 basis points. The company expects the offering to close around September 25, 2026. Proceeds will be used for general corporate purposes, including potential repurchases of common shares. The notes are intended to qualify as Tier 2 regulatory capital and may be redeemed at par beginning October 1, 2031.
FRME · Capital · Neutral First Merchants priced $100M of 6.750% subordinated notes due 2036, with proceeds for general corporate purposes including potential share repurchases.
First Merchants Corporation Declares $0.37 Quarterly Cash Dividend
First Merchants Corporation declared a cash dividend of $0.37 per common share on August 14, 2026. The dividend is payable on September 18, 2026 to common shareholders of record as of September 4, 2026. First Merchants Corporation is a financial holding company headquartered in Muncie, Indiana, with one full-service bank charter, First Merchants Bank. Its common stock trades on the NASDAQ Global Select Market System under the symbol FRME.
First Merchants guides full-year 2026 net charge-offs at 40 to 45 basis points
First Merchants Corporation guided that full-year 2026 net charge-offs will trend into the 40 to 45 basis point range, largely driven by the resolution of two known credits. During the second-quarter earnings call, Chief Credit Officer John Martin detailed a $28.1 million participation in a syndicated credit to an authorized wireless retailer and a $13.7 million loan to a commercial and residential roofing contractor that moved to nonaccrual status, prompting $29.7 million in specific reserves and a $33 million total provision. CEO Mark Hardwick said the bank remains confident in its expected mid-single-digit loan growth through the end of 2026, while CFO Michele Kawiecki reiterated a quarterly expense run rate of $111 million to $114 million and projected noninterest income up 10% for the full year. The bank reported second-quarter net income of $43.5 million, or $0.70 per diluted share, with adjusted pretax pre-provision earnings of $84.6 million and a net interest margin of 3.38%.
First Merchants Corporation 7.50% Preferred Series A declares $0.4688 quarterly dividend
First Merchants Corporation announced a quarterly cash dividend of $0.4688 per share on its 7.50% Preferred Series A stock, in line with the previous payout. The dividend is payable on August 14 to shareholders of record as of July 30, with the ex-dividend date also set for July 30. Based on the current price, the forward yield is 7.27%.
First Merchants Q1 revenue rises 16.1% to $193.3 million, beating estimates
First Merchants reported first-quarter revenues of $193.3 million, a 16.1% increase from a year earlier and 2.5% above analyst expectations. The regional bank also beat earnings-per-share estimates, though net interest income was in line with forecasts. Among the 91 regional banks tracked, UMB Financial posted the strongest quarter with revenues of $744.8 million, up 29.3% and exceeding estimates by 5.4%, while BankUnited was the weakest, with revenues of $273.8 million missing estimates by 5.1%. Stellar Bancorp and Seacoast Banking also reported results, with Stellar beating on revenue, net interest income, and EPS, and Seacoast meeting revenue expectations but missing on tangible book value per share. Overall, the group's revenues were in line with consensus, and share prices have risen an average of 7.8% since the latest earnings.
First Merchants Bank and NCRC Announce $2.02 Billion Community Benefits Agreement
First Merchants Bank and the National Community Reinvestment Coalition announced a new five-year, $2.02 billion Community Benefits Agreement. The plan, running from January 1, 2026 through December 31, 2030, includes $650 million in mortgage lending for low- to moderate-income borrowers and communities, $464 million in small business lending in LMI and rural communities, $700 million in community development lending, $200 million in community development investments, and $6 million in philanthropy. The agreement builds on a prior Community Benefits Agreement established in 2020 and expanded in 2022, and was developed through collaboration with NCRC and community-based organizations across First Merchants' markets in Indiana, Michigan, and Ohio. First Merchants CEO Mark Hardwick said the agreement reflects the bank's commitment to expanding access to financial prosperity, while NCRC President and CEO Jesse Van Tol praised First Merchants as a standard-setter for community-centered banking.
StockStory flags Hillman, First Merchants, and Darling Ingredients as value traps
StockStory identified three value stocks it views with skepticism, warning that their cheap valuations may reflect underlying business weaknesses. Hillman Solutions trades at 13 times forward earnings but has posted only 2% annual revenue growth over five years and a weak free cash flow margin of 2.9%. First Merchants, priced at 0.9 times forward book value, saw earnings per share grow just 4% annually over the past two years and net interest income rise 7.5% annually over five years, both below sector norms. Darling Ingredients, at 11 times forward earnings, has suffered 3.2% annual revenue declines over three years and falling earnings per share, with a gross margin of 23.8% reflecting commoditized products.
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