South Plains Financial Q1 profit rises, warns of near-term economic uncertainty

SOUTH PLAINS FINANCIAL

28/04/2026 21:31

Overview

US regional bank's Q1 net income and EPS rose yr/yr, but declined from prior qtr

Q1 net interest margin improved to 4.04% from 3.81% a year earlier

Company completed previously announced BOH Holdings acquisition after quarter-end

Outlook

Company says near-term economic uncertainty is a headwind to loan growth

South Plains sees opportunities to attract customers and bankers amid Texas banking consolidation

Result Drivers

MORTGAGE BANKING REVENUE - Increase in noninterest income was driven by higher mortgage banking revenues, mainly from a positive fair value adjustment of mortgage servicing rights due to interest rate changes

LOWER DEPOSIT COSTS - Net interest income benefited from a decrease in the average cost of deposits, which fell 4 basis points from the prior quarter and 22 basis points from a year earlier

HIGHER NONINTEREST EXPENSE - Noninterest expense rose due to increased personnel costs, incentive-based compensation, and acquisition-related professional services

Company press release: ID:nGNX8z6Tlr

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
$0.85
Q1 Net Income
$14.50 mln
Q1 Net Interest Income
$42.90 mln
Q1 Credit Loss Provision
$260,000
Q1 Net Interest Margin
4.04%


Analyst Coverage

The current average analyst rating on the shares is "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 South Plains Financial Inc is $48.00, about 11% above its April 27 closing price of $43.24

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

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.)