South Atlantic Bancshares, Inc. Reports Earnings of $2.10 per Diluted Common Share for the Year Ended December 31, 2025
MYRTLE BEACH, S.C., Jan. 22, 2026 /PRNewswire/ -- South Atlantic Bancshares, Inc. ("South Atlantic" or the "Company") (OTCQX:SABK), parent of South Atlantic Bank (the "Bank"), reported consolidated net income of $4.8 million, or $0.62 per diluted common share, for the fourth quarter of 2025, compared to $4.4 million, or $0.57 per diluted common share, for the third quarter of 2025. The Company reported $16.2 million, or $2.10 per diluted common share, for the year ended December 31, 2025, compared to $10.1 million, or $1.31 per diluted common share, for the year ended December 31, 2024.
Fourth Quarter and Year Ended December 31, 2025 Financial Highlights:
Net income totaled $16.2 million for the twelve months ended December 31, 2025, a year-over-year increase of $6.1 million, or 60.8 percent, when compared to net income of $10.1 million for the twelve months ended December 31, 2024
Net income totaled $4.8 million for the fourth quarter of 2025, a quarter-over-quarter increase of $380.0 thousand, or 8.7 percent, and an increase of $1.6 million, or 50.3 percent, over the fourth quarter of 2024
Return on average assets and return on average equity for the three months ended December 31, 2025 were 1.02 percent and 14.25 percent, respectively
Total assets increased $130.0 million to $1.9 billion during the year ended December 31, 2025, an increase of 7.3 percent, from December 31, 2024
Total loans grew $127.5 million in the twelve months ended December 31, 2025, an increase of 9.5 percent over December 31, 2024
Total deposits grew $93.7 million in the twelve months ended December 31, 2025, an increase of 6.4 percent over December 31, 2024
Tangible book value per share (non-GAAP) increased $2.58, or 18.0 percent, during 2025 to $16.88 as of December 31, 2025
"Our fourth quarter and full year 2025 results underscore the strength of our franchise and our team's disciplined focus on sustainable, profitable growth," said K. Wayne Wicker, the Company's Chairman and CEO. "We delivered record annual net income of $16.2 million in 2025, an increase of over 60 percent from 2024. We continue to see linked quarter earnings expansion, as return on average assets for the fourth quarter of 2025 moved above 1.0 percent. Our performance in 2025 highlights the momentum of our core banking strategy and our commitment to balance sheet management as tangible book value per share increased 18.0 percent during the year" Wicker continued. "As we look ahead, we are encouraged by our positive trajectory, supported by robust credit quality, healthy pipelines, a resilient economy and the continued dedication of our associates across the markets we serve."
Selected Financial Highlights
For the Periods / Three Months Ended
December 31,
September 30,
Balance Sheet (000's)
2025
2025
Change ($)
Change (%)1
Total Assets
$ 1,916,827
$ 1,891,373
$ 25,454
5.4 %
Total Loans, Net of Unearned Income
1,466,440
1,426,537
39,903
11.2 %
Total Deposits
1,554,325
1,588,682
(34,357)
-8.7 %
Borrowings (Excluding Subordinated debt)
180,000
120,000
60,000
200.0 %
Total Equity
131,758
128,597
3,161
9.8 %
December 31,
September 30,
Income Statement and Per Share Data
2025
2025
Change ($)
Change (%)
Net Income (000's)
$ 4,763
$ 4,383
$ 380
8.7 %
Diluted Earnings Per Share
0.62
0.57
0.05
8.8 %
Tangible Book Value Per Share
16.88
16.49
0.39
2.4 %
December 31,
September 30,
Selected Financial Ratios
2025
2025
Return on Average Assets
1.02 %
0.93 %
NPAs to Average Assets
0.00 %
0.00 %
Efficiency Ratio
60.02 %
63.57 %
Net Interest Margin
3.35 %
3.28 %
For the Periods / Twelve Months Ended
December 31,
December 31,
Balance Sheet (000's)
2025
2024
Change ($)
Change (%)
Total Assets
$ 1,916,827
$ 1,787,150
$ 129,677
7.3 %
Total Loans, Net of Unearned Income
1,466,440
1,338,904
127,536
9.5 %
Total Deposits
1,554,325
1,460,653
93,672
6.4 %
Borrowings (Excluding Subordinated Debt)
180,000
160,000
20,000
12.5 %
Total Equity
131,758
113,769
17,989
15.8 %
December 31,
December 31,
Income Statement and Per Share Data
2025
2024
Change ($)
Change (%)
Net Income (000's)
$ 16,167
$ 10,055
$ 6,112
60.8 %
Diluted Earnings Per Share
2.10
1.31
0.79
60.3 %
1 Results annualized.
Earnings Summary
Net interest income increased $2.7 million, or 22.5 percent, to $14.8 million for the three months ended December 31, 2025 when compared to $12.1 million for the three months ended December 31, 2024. The increase in interest income during the three months ended December 31, 2025 compared to the prior year period was primarily driven by a $2.8 million increase in interest income on the Company's loan portfolio due to increased yields and organic loan growth, partially offset by a reduction in interest income of $1.2 million, or 35.5 percent, on the Company's investment portfolio and cash and cash equivalents held with the Federal Reserve Bank of Richmond (the "FRB") and correspondent banks, which was primarily due to a targeted and strategic sale of investment securities in the second quarter of 2025. The Company recognized a decrease in interest expense of $1.1 million, or 10.6 percent, for the three months ended December 31, 2025 compared to the same period in 2024. The reduction in interest expense during the period was primarily driven by decreases in interest rates on interest bearing deposits, despite deposit growth in interest bearing deposit balances. Also contributing to the decrease in overall interest expense during the fourth quarter of 2025 were decreases in interest rates on short-term borrowings.
For the year ended December 31, 2025, net interest income increased $11.4 million, or 25.9 percent, to $55.5 million when compared to $44.1 million for the year ended December 31, 2024. This increase was driven primarily by an increase in interest income of $8.4 million, or 9.6 percent, from $87.2 million for the twelve months ended December 31, 2024 to $95.6 million for the twelve months ended December 31, 2025, coupled with a decrease in interest expense on deposits and borrowings of $3.0 million, or 7.0 percent, for the twelve months ended December 31, 2025 when compared to the same twelve-month period in 2024.
Noninterest income decreased $217.0 thousand, or 11.5 percent, for the three months ended December 31, 2025 compared to the same three-month period in 2024, primarily driven by a decrease in other income of $393.0 thousand, or 48.6 percent, related to a recognizable capital gain on a bank held investment in the fourth quarter of 2024, partially offset by an increase in secondary mortgage income of $112.0 thousand, or 29.2 percent, as well as an increase in service charges and fees of $30.0 thousand, or 30.3 percent, and an increase in merchant and interchange income of $34.0 thousand, or 5.7 percent, when compared to the same three-month period in 2024. The Company recognized an increase in noninterest expense of $494.0 thousand, or 5.3 percent, for the three months ended December 31, 2025 when compared to the same three-month period in 2024, primarily driven by an increase in salaries and employee benefits of $285.0 thousand, or 5.2 percent, an increase in data processing and software expense of $96.0 thousand, or 12.2 percent, and an increase of $255.0 thousand, or 13.0 percent, in other noninterest expense, partially offset by a decrease in occupancy expense of $142.0 thousand, or 12.5 percent.
For the twelve months ended December 31, 2025, noninterest income increased $590.0 thousand, or 9.7 percent, when compared to the twelve months ended December 31, 2024, primarily from the benefit of increased secondary mortgage income of $582.0 thousand, or 43.2 percent, as well as an increase of $159.0 thousand, or 6.6 percent, in merchant and interchange income, as well as an increase of $104.0 thousand, or 28.3 percent, in service charge and fee income. For the twelve months ended December 31, 2025, noninterest expense increased $4.0 million, or 11.3 percent, when compared to the twelve months ended December 31, 2024, primarily resulting from increases of $1.8 million, or 24.2 percent, in other noninterest expense, including the realization of a $322.4 thousand loss upon the targeted sale of investment securities as part of a strategic portfolio restructuring the proceeds of which were reinvested into higher yielding loans, an increase in audit, compliance, and regulatory assessments, as well as increases of $1.6 million, or 7.4 percent, in salaries and employee benefits, an increase of $556.0 thousand, or 17.8 percent, in data processing and software, and $119.0 thousand, or 2.8 percent, in occupancy expense and insurance.
Financial Performance Dollars in Thousands Except Per Share Data
Three Months Ended
December 31,
September 30,
June 30,
March 31,
December 31,
2025
2025
2025
2025
2024
Interest Income
Loans
$ 22,152
$ 22,263
$ 21,090
$ 20,097
$ 19,349
Investments
2,231
2,506
2,422
2,815
3,457
Total Interest Income
$ 24,383
$ 24,769
$ 23,512
$ 22,912
$ 22,806
Interest Expense
9,597
10,202
10,139
10,088
10,732
Net Interest Income
$ 14,786
$ 14,567
$ 13,373
$ 12,824
$ 12,074
Provision for Loan Losses
600
450
625
397
532
Noninterest Income
1,673
1,795
1,756
1,452
1,890
Noninterest Expense
9,879
10,401
9,906
9,655
9,385
Income Before Taxes
$ 5,980
$ 5,511
$ 4,598
$ 4,224
$ 4,047
Provision for Income Taxes
1,217
1,128
912
887
879
Net Income
$ 4,763
$ 4,383
$ 3,686
$ 3,337
$ 3,168
Basic Earnings Per Share
$ 0.64
$ 0.59
$ 0.49
$ 0.44
$ 0.42
Diluted Earnings Per Share
$ 0.62
$ 0.57
$ 0.48
$ 0.43
$ 0.41
Weighed Average Shares Outstanding
Basic
7,478,283
7,469,487
7,566,808
7,572,042
7,571,823
Diluted
7,680,368
7,646,539
7,723,349
7,692,154
7,669,723
Total Shares Outstanding
7,483,873
7,469,563
7,469,063
7,572,253
7,571,823
Twelve Months Ended
December 31,
December 31,
2025
2024
Interest Income
Loans
$ 85,602
$ 72,690
Investments
9,974
14,502
Total Interest Income
$ 95,576
$ 87,192
Interest Expense
40,027
43,060
Net Interest Income
$ 55,549
$ 44,132
Provision for Loan Losses
2,072
1,432
Noninterest Income
6,677
