Red River Bancshares' Q3 profit rises, expects interest margin to shrink in Q4

Red River Bancshares

30/10/2025 12:38

Overview

Red River Bancshares Q3 net income grows 5.9% from previous quarter

Company reports record-high net income driven by improved net interest margin

Company completes significant private stock repurchase, increases dividend by 25%

Outlook

Company expects net interest income and margin to decrease slightly in Q4 2025

Red River Bancshares plans to redeploy $33.4 mln in securities cash flows at higher yields

Company anticipates total loan yield to be slightly lower in Q4 2025

Result Drivers

NET INTEREST INCOME - Increased by $1.1 mln due to higher loan yields and balances, contributing to record-high net income

NONRECURRING INCOME - $253,000 from JAM FINTOP partnership sale boosted other income

LOAN AND DEPOSIT GROWTH - Slight increases in loans and deposits, driven by new loan activity and higher deposit balances

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 EPS
$1.63
Q3 Net Income
$10.80 mln
Q3 Net Interest Income
$26.90 mln
Q3 ROE
12.62%


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "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 Red River Bancshares Inc is $69.25, about 4.1% above its October 29 closing price of $66.40

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

Press Release: ID:nGNX4kkQxy

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(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.)