Merchants Bank: how it compares with its peers
Against 18 ND banks with half to twice its assets, Merchants Bank's strongest measure in Q2 2026 is net interest margin (4.12% vs. a 3.83% peer median). Its weakest relative measure is return on assets (1.50% vs. 1.56%).
| Measure | Merchants Bank | Peer median | Rank |
|---|---|---|---|
| Return on assets Annualized net income over average assets. | 1.50% | 1.56% | Middle third Ahead of 44% of peers |
| Net interest margin Annualized net interest income over earning assets. | 4.12% | 3.83% | Top third Ahead of 78% of peers |
| Efficiency ratio Noninterest expense per dollar of revenue. Lower is better. | 47.10% | 54.72% | Top third Ahead of 67% of peers |
| Assets per employee Total assets over full-time-equivalent staff. | $7.9M | $8.8M | Middle third Ahead of 44% of peers |
| Loans to deposits Net loans and leases over total deposits. | 84.32% | 76.68% | Context |
What it means for lending operations
Its efficiency ratio of 47.10% is better than the 54.72% peer median. Banks that already run lean usually find their next gains in loan growth: faster digital applications and fewer borrowers abandoning a slow document chase.
Banks closest in size
- Union State Bank of Hazen Hazen, ND · $257M
- Security First Bank of North Dakota New Salem, ND · $293M
- Peoples State Bank of Velva Velva, ND · $210M
- State Bank & Trust of Kenmare Kenmare, ND · $201M
- Horizon Financial Bank Munich, ND · $201M
- The Union Bank Beulah, ND · $312M
Questions about Merchants Bank
How big is Merchants Bank?
Merchants Bank, established in 1897, is headquartered in Rugby, ND. It reported $254M in total assets in its Q2 2026 FDIC call report and operates 6 offices.
What is Merchants Bank's return on assets?
1.50% annualized in Q2 2026, against a 1.56% median for 18 ND banks with half to twice its assets, ahead of 44% of them.
What is Merchants Bank's efficiency ratio?
47.10% in Q2 2026: it spent about 47 cents in noninterest expense for each dollar of revenue. The peer median is 54.72%, and lower is better.
Is Merchants Bank growing its loans?
Net loans shrank 0.6% over the year to Q2 2026, while deposits grew 2.7%.
Sources and method
Figures are from the FDIC’s public call report data for the quarter ending 06/30/2026, via FDIC BankFind. Return on assets and net interest margin are annualized year to date. Peers are ND banks with half to twice its assets in the same quarter, excluding this bank. The page refreshes daily, so new quarters appear as banks file. Compare another bank or see every North Dakota bank ranked.