TowneBank Q1 revenue, profit miss estimates

TowneBank

22/04/2026 21:40

Overview

U.S. regional bank's Q1 revenue rose 35% yr/yr but missed analyst expectations

Adjusted EPS for Q1 missed analyst expectations

Company completed Dogwood State Bank acquisition, boosting loans and deposits

Company completed sale of Resort Property Management segment in April, expects significant gain

Outlook

TowneBank expects net interest income to be impacted by purchase accounting accretion income of $8.34 mln in 2026 and $9.12 mln in 2027

Company plans to grow and strengthen its fee-based financial services platform after divesting Resort Property Management

Result Drivers

DOGWOOD ACQUISITION - The acquisition of Dogwood State Bank added $1.95 bln in loans and $1.93 bln in deposits, and contributed to increases in revenue, noninterest income, and expenses in Q1

HIGHER NONINTEREST EXPENSE - Noninterest expense rose 50% yr/yr, mainly due to acquisition-related costs and increased salaries and benefits from recent bank acquisitions

Company press release: ID:nGNX3QvTfD

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$246.45 mln
$256.42 mln (4 Analysts)
Q1 Adjusted EPS
Miss
$0.74
$0.76 (4 Analysts)
Q1 EPS
$0.45
Q1 Net Income
$41.10 mln
Q1 Credit Loss Allowance
$199.27 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "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 TowneBank is $41.00, about 15% above its April 21 closing price of $35.65

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 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.)