Texas regional bank Southside Bancshares’ second-quarter net profit increased 23% year-on-year
Texas Regional Bank Southside Bancshares, Inc. Announced financial results for the second quarter ended June 30, 2026. Both net profit and earnings per share for the quarter achieved double-digit year-on-year growth, exceeding Wall Street expectations, but revenue fell short of market estimates. The financial report showed that the company's second-quarter net profit was US$26.8 million, or diluted earnings per share of US$0.90, an increase of 23.0% from US$21.8 million in the same period last year, exceeding analysts' expectations of US$0.86 per share. Revenue for the quarter was US$71.33 million, lower than market expectations of US$74.7 million, but an increase from US$68.84 million in the same period last year. The performance growth was mainly due to the increase in net interest income and effective cost control. Net interest income in the quarter was US$57.3 million, a year-on-year increase of 5.7%; non-interest income increased to US$14 million, a year-on-year increase of 15.3%. At the same time, non-interest expenses fell to US$38.7 million, a year-on-year decrease of 1.5%. Keith Donahoe, the company's president and CEO, said that an increase in non-interest income and a decrease in non-interest expenses drove net profit to increase by 15.4% sequentially. Asset quality remains stable, with non-performing assets accounting for only 0.11% of total assets. The annualized return on average assets for the quarter was 1.23%, and the return on average tangible common equity was 16.09%. As of the end of the quarter, the company's total assets were US$8.76 billion and total loans were US$4.95 billion, an increase of 7.6% from the same period last year. Loans increased $3.4 million sequentially in the quarter, and management said loan production was strong and expected mid-single-digit growth for the full year. The company previously declared a quarterly cash dividend of $0.36 per share.