---
schema_version: "secwatch.filing_event.v1"
accession: "0001829576-23-000051"
form_type: "8-K"
ticker: "CARE"
cik: "0001829576"
company_name: "Carter Bankshares, Inc."
filed_at: "2023-10-26T23:59:59+00:00"
generated_at: "2026-06-09T08:47:35.436351+00:00"
event_type: "earnings"
sentiment: "negative"
materiality_score: 0.85
calibrated_materiality_score: 0.85
confidence: "high"
source: SEC EDGAR
---

# Carter Bankshares Q3 net income drops 75% YoY to $3.6M; NPL ratio hits 9.04% on $302M nonaccrual

## Summary
- Diluted EPS $0.16 vs $0.59 in Q3 2022; pre-tax pre-provision income falls to $5.4M from $19.5M.
- Large lending relationship ($301.9M) remains on nonaccrual; represents 97.9% of total NPLs and 8.9% of loans.
- Net interest margin narrows to 2.52% (-120 bps YoY) due to 194 bps rise in funding costs.
- Total deposits decline $169.7M (-4.6%) YoY; CDs now 42.5% of deposits, up from 33.5%.
- Loan growth of 9.6% annualized QoQ, but efficiency ratio worsens to 83.5% from 54.6% a year ago.

## SEC filing metadata
- accession: 0001829576-23-000051
- form_type: 8-K
- ticker: CARE
- cik: 0001829576
- company_name: Carter Bankshares, Inc.
- filed_at: 2023-10-26T23:59:59+00:00
- event_type: earnings
- sentiment: negative
- materiality_score: 0.85
- calibrated_materiality_score: 0.85
- confidence: high
- sec_items: 2.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1829576/000182957623000051/0001829576-23-000051-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1829576/000182957623000051/care-20231026.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001829576-23-000051
- JSON: https://secwatch.observer/filing/0001829576-23-000051.json
- Plain text: https://secwatch.observer/filing/0001829576-23-000051.txt

## Key facts
- Earnings Releases
  Carter Bankshares, Inc. reported nine months ended September 30, 2023 results: net income $25.3 million, EPS $1.07 diluted EPS.
  - Period: nine months ended September 30, 2023
  - Net income: $25.3 million
  - EPS: $1.07 diluted EPS
  - Result: reported results
  source text: For the nine months ended September 30, 2023, net income was $25.3 million, or $1.07 diluted EPS, compared to net income of $34.5 million, or $1.38 diluted EPS for the same period in 2022.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1829576/000182957623000051/0001829576-23-000051-index.htm
- Earnings Releases
  Carter Bankshares, Inc. reported third quarter of 2023 results: revenue $27.4 million, net income $3.6 million, EPS $0.16 diluted earnings per share.
  - Period: third quarter of 2023
  - Revenue: $27.4 million
  - Net income: $3.6 million
  - EPS: $0.16 diluted earnings per share
  - Result: reported results
  source text: return on average equity (“ROE”) of 4.19% and annualized year-to-date ROA and ROE of 0.78% and 9.71%, respectively; • Net interest income, increased $0.7 million, or 2.6%, to $27.4 million compared to the second quarter of 2023 primarily due to a 38 basis point increase in the yield on earning assets, offset by a 46 basis point increase in funding costs and
  evidence_url: https://www.sec.gov/Archives/edgar/data/1829576/000182957623000051/0001829576-23-000051-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.