Southern First Bancshares Q3 revenue rises 21% on loan growth

By Reuters News


Overview

  • U.S. regional bank's Q3 revenue rose 21% yr/yr, driven by loan growth and margin expansion

  • Diluted EPS for Q3 rose 21% yr/yr to $1.28

  • Net income increased 41% yr/yr


Outlook

  • Company did not provide specific financial guidance for future quarters or the full year in the press release


Result Drivers

  • LOAN GROWTH - Co said strong loan growth drove net interest income up 26% yr/yr

  • MARGIN EXPANSION - Net interest margin rose to 3.02%, up 40 basis points from 3Q25, helping boost profitability

  • RETAIL DEPOSIT GROWTH - Retail client deposits increased by $163 mln, up 18% annualized, supporting loan growth


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

$37.53 mln

$34.10 mln (1 Analyst)

Q3 EPS

$1.28

Q3 Net Income

$12.23 mln

Q3 CET1 Capital Ratio

12.74%


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the banks peer group is "buy"

  • Wall Street's median 12-month price target for Southern First Bancshares Inc is $68.50, about 15.8% above its October 19 closing price of $59.13

  • The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago


Reuters Recommended Reads

  • Oct 19 - ServisFirst Bancshares Q3 profit jumps on loan growth, wider interest margin

  • Oct 19 - Western Alliance Bancorp Q3 revenue slightly beats estimates, profit rises on wider interest margin

  • Oct 19 - SmartFinancial Q3 net income rises, driven by organic loan growth


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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