Avidbank Reports $37.7M Q3 Loss Amid $62.4M Securities Write-Down, Completes $61M IPO

Avidbank Holdings Inc. reported a net loss of $37.7 million for the third quarter of 2025, largely due to a $62.4 million loss on the sale of available-for-sale securities, despite adjusted net income of $6.7 million or $0.72 per adjusted diluted share. The company completed a successful IPO in August 2025, raising $61.3 million, which was used to pay off short-term borrowings and reposition its securities portfolio, contributing to improved net interest margin expansion to 3.90%. Loans and deposits grew, reflecting strong client trust and sustainable growth focus, while the return on average assets was negative at (6.35%) but improved to 1.13% when excluding the securities loss. Total assets stood at $2.36 billion as of September 30, 2025, with cash and equivalents increasing to $177.3 million. Despite missing earnings per share estimates, Avidbank Holdings has seen its shares appreciate about 18.1% year-to-date, surpassing the S&P 500's gain. Analyst sentiment on the stock is mixed, with a recent Buy rating and a Neutral AI Analyst score, emphasizing caution due to negative revenue growth and technical indicators.