Business Overview
Financial Performance
Net interest income for Q4 2025 was $70.9 million, compared with $69.3 million in the linked quarter and $65.7 million in Q4 2024. Net interest margin was 3.71% for the quarter, compared with 3.68% in the linked quarter and 3.61% a year earlier.
Provision for credit losses was $3.1 million, compared with $3.2 million in the linked quarter. Total other income was $12.2 million, while total other expenses were $52.4 million.
For fiscal 2025, net income was $87.9 million, and net interest income totaled $273.2 million. Diluted earnings per share were $2.79 for the year, compared with $2.26 in fiscal 2024.
As of Dec. 31, 2025, total assets were $8.21 billion, deposits were $6.70 billion, and shareholders’ equity was $896.9 million.
Operating Metrics
Loans held for investment increased to $6.19 billion at Dec 31, 2025, from $6.02 billion in the linked quarter. Deposits increased by $191.7 million, or 2.95%, during the quarter.
The ratio of nonperforming loans to total loans rose to 1.24%, compared with 0.82% in the linked quarter, while nonperforming assets to total assets increased to 1.09%.
Book value per common share was $27.95 at Dec 31, 2025, compared with $27.23 at Sep 30, 2025.
Key Developments
During the quarter, the company repurchased 150,504 shares under its stock repurchase program at an average price of $24.79 per share. The board declared a quarterly common dividend of $0.15 per share and a preferred dividend of $18.75 per share.
Risks and Constraints
The company reported an increase in nonperforming loan ratios, largely attributable to deterioration in a single commercial real estate relationship.
Outlook / Guidance
The company stated that its results reflect ongoing operational performance and investment outcomes but did not provide quantified financial guidance.