Simmons Tops Wall Street Forecasts With 62% Jump in Q4 Profit
Q4 2025 Earnings Highlights
Net profit: $78.1 million in Q4 2025, up sharply from the prior year, a 62% increase compared with the prior comparable quarter, driven by higher net interest income and improved margins.
Diluted earnings per share (EPS): $0.54, beating the average analyst estimate of $0.49.
Revenue (net of interest expense): $249 million, exceeding forecasts (about $238.8 million expected).
Net interest margin expanded to 3.81%, up about 31 basis points from the prior quarter.
Balance Sheet Trends
Loans: Increased ~7% on an annualized basis.
Deposits: Increased ~8% on an annualized basis.
Performance Metrics
Return on average assets (ROAA): 1.28% (adjusted).
Return on average equity (ROAE): 9.08%.
What Drove the Strong Results
Net interest margin expansion: Grew to 3.81%, reflecting effective balance sheet repositioning and disciplined expense control.
Loan and deposit growth: Both loans and customer deposits increased on an annualized basis, supporting stronger core earnings.
Credit quality improvement: Nonperforming loans declined, and credit reserves remained healthy.
Analyst/Wall Street Reaction
The results beat consensus earnings estimates and reflected stronger profitability than many analysts expected, with the profit jump around 62 highlighted in recent business reporting.
Conclusion
This strong quarterly performance followed a challenging third quarter in 2025, in which the company reported a significant net loss due to large repositioning transactions on the balance sheet. The Q4 results reflect improved credit quality, tighter expense discipline, and benefits from prior balance sheet adjustments.
Simmons First delivered a solid fourth-quarter performance with profit of $78.1 million, significantly above Wall Street forecasts, driven by margin expansion, revenue growth, and strong execution on strategic initiatives.
