Medallion Financial Reports Strong Q3 Growth Amid Rising Loans And Earnings

Medallion Financial reported strong Q3 2025 results, with net income rising to $7.8 million or $11.3 million excluding a non-recurring $3.5 million charge, supported by a 6% increase in net interest income to $55.7 million and a loan portfolio growth to $2.559 billion. Loan originations surged to $427.4 million, driven significantly by strategic partnership loans which soared to $208.4 million from $39.9 million the previous year, reflecting the company’s effective use of digital lending tools and fintech partnerships. The net interest margin improved slightly to 8.21%, and consumer lending interest income increased by 5%, highlighting Medallion’s diversified lending strategy across recreation, home improvement, and commercial sectors. The company declared a quarterly cash dividend of $0.12 per share and reported earnings per share of $0.32, beating analyst expectations and resulting in a positive market outlook with a median 12-month price target of $12.00. Despite some challenges like stagnant recreation loan originations and rising delinquencies, analysts maintain a bullish view, noting the company's momentum and innovation in credit assessment and partnership growth. Overall, Medallion Financial's Q3 performance demonstrates resilience and growth potential in an evolving lending landscape.