Southside Bancshares, Inc. (SBSI) Earnings
Southside Bancshares, Inc. is expected to report next earnings on July 24, 2026 (in NaN days), with a consensus EPS estimate of $0.88. SBSI has beaten EPS estimates in 8 of its last 12 reported quarters (average surprise +1.4% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 30, 2026 | $0.76 | $0.78 | +2.6% | $72M | +1.7% |
| Jan 29, 2026 | $0.80 | $0.70 | -12.5% | $63M | -11.1% |
| Oct 24, 2025 | $0.72 | $0.80 | +11.1% | $72M | +0.9% |
| Jul 25, 2025 | $0.69 | $0.72 | +4.3% | $66M | -5.0% |
| Apr 29, 2025 | $0.67 | $0.71 | +6.0% | $64M | -6.8% |
| Jan 29, 2025 | $0.71 | $0.72 | +1.4% | $67M | -0.2% |
| Oct 24, 2024 | $0.73 | $0.68 | -6.8% | $63M | -7.6% |
| Jul 25, 2024 | $0.64 | $0.81 | +26.6% | $65M | -0.1% |
| Apr 25, 2024 | $0.68 | $0.71 | +4.4% | $63M | -7.3% |
| Jan 26, 2024 | $0.67 | $0.57 | -14.9% | $58M | -10.5% |
| Oct 26, 2023 | $0.73 | $0.60 | -17.8% | $64M | -6.5% |
| Jul 25, 2023 | $0.69 | $0.81 | +17.4% | $64M | -2.2% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · April 30, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
• Keith mentioned solid financial results for Q1 2026 including strong loan growth, increased earnings per share, improved return on assets and equity. Lower funding costs led to increased net interest income. First quarter loan growth was driven by new loan production and lower payoffs. Target mid single digits for 2026 loan growth due to expected elevated payoffs. Loan pipeline totals ~1.3 billion with certain composition. Migrated some multifamily and office loans to substandard but expects successful resolutions. Replaced a loan production office with a full-service branch and opened a new branch in Tyler. Hired a wealth management veteran. • Julie reported net income of $23.3 million, increase of $2.3 million or 10.8%. Earnings per share $0.78, increase of $0.08 per share linked quarter. Allowance for credit losses increased. Securities portfolio details. Deposits and funding costs details. Tax equivalent net interest margin and spread increased. Non-interest income and expense details. Effective tax rate and estimates. • Sonny talked about MBS purchases, principal cash flows, expectations for prepays, CD rates and repricing, public funds seasonality, deposit account rates, reciprocal deposits, wholesale funding, cash flow swaps, and interest rate risk position.
Guidance
• Target mid single digits for 2026 loan growth due to expected return to elevated payoffs for remainder of the year. • Anticipate non-interest expense of approximately 40.5 million for the remaining quarters of 2026. • Expect to reinvest future cash flows from the securities portfolio into AFS MBS and maintain the balance of securities at approximately 2.7 to 2.8 billion. • Budget included two short-term rate cuts of 25 basis points, one in June and another in September, and expect positive impact on NIM versus budget as asset sensitive if rates remain at quarter end levels through year end.
Segment performance
For loans: As of March 31st, loans were $4.95 billion, a linked quarter increase of $128.2 million, or 2.7%. The linked quarter increase was driven by increases in construction loans, commercial real estate loans, and commercial portfolio loans, partially offset by decreases in municipal loans and one-to-four family residential loans. The average rate of loans funded during the first quarter was approximately 6.3%. Loans with oil and gas industries rose over $72.1 million, or 1.5% of total loans. Non-performing assets decreased to 0.11% of total assets at quarter end. The allowance for credit losses increased to $49.6 million for the linked quarter from $48.3 million on December 31st. For securities: The securities portfolio increased $164.3 million, or 6.1%, to $2.87 billion on March 31st. It was driven by purchases of $313.5 million in mortgage-backed securities during the first quarter. There was a net unrealized loss in the AFS securities portfolio of $16.3 million. The duration of the total securities portfolio was 7.4 years. At quarter end, the mix of loans and securities was 63% and 37% respectively. For deposits: Deposits increased slightly by 9.3 million or 0.1% on a linked quarter basis. Broker deposits increased $110.7 million, however, partially offset by a decrease of $82 million in retail deposits and $19.4 million in public fund deposits.
Risks & headwinds
• Factors that could materially change forward-looking assumptions are described in earnings release and Form 10-K. • Concerns about multifamily market oversupply and its impact on certain loans. • Seasonality in public fund deposits and potential fluctuations in deposit rates and availability. • Interest rate risk related to cash flow swaps and potential changes in market rates affecting funding costs and NIM.
Analyst Q&A
Q: Brett Rabaton from StoneX Group asked about loan growth outlook, payoffs in 2Q or 3Q, and production pace.
A: Keith said they expect to continue producing new loans at similar rate, pipeline down but loan officers will rebuild, and they know there are large real estate assets going through normal cycle with payoffs expected. Sunny said new deposit accounts had average rate of 2.37% versus existing accounts averaging 1.58% but rate on new accounts in March showed downward trend.
Q: Steven Scouten with Piper Sandler asked about NIM benefit from sub-debt in 2Q, asset repricing, CD benefits, and expense impact on operating leverage.
A: Sunny said sub-debt balance will be smaller in 2Q with average balance of ~$147 million and rate coming down to low sevens roughly. Julie said expense of 40.5 million per quarter is expected on average and she expects 7% annually expense growth with improvement in efficiency ratio in 2Q.
Q: Michael Rose with Raymond James asked about capital standpoint, stock repurchases outlook, and fees.
A: Keith said they'll continue to be opportunistic in stock repurchases, M&A is part of strategy. On fees, he said they picked up a wealth management veteran in Fort Worth market with potential growth, trustees and brokerage services up year-over-year, and swap fee income up due to intentional approach.
Q: Woody Lay with KBW asked about credit, local multifamily market performance, impact on loan pipeline.
A: Keith said the four downgraded multifamily projects are in Houston, Dallas-Fort Worth, Austin markets, it's a supply issue with demand still there, concessions in place but occupancy/vacancy peaking, one expected to be refinanced by debt fund by end of 2Q, another in sale process. He also said they haven't modified underwriting standards but new multifamily projects are harder to originate with more opportunities in retail and industrial warehouse.
Q: Matt Olney with Stevens asked about deposit growth remainder of the year and loan yield.
A: Keith said he expects a little bit of deposit growth, will fund at least half of loan growth with wholesale, and loan yields were strong due to competition on quality real estate assets, including home building and lot development with sub-market specificity.
Q: Brett Rabaton with Stone X Group asked about Texas markets disruption, M&A appetite.
A: Keith said there's disruption in market from customer and employee standpoint, they're opportunistic with employment and customer opportunities, and they're open to acquisitions with higher probability of something occurring due to market dynamics.