Press release
Shore Bancshares, Inc. Reports 2025 Fourth Quarter and Annual Results
EASTON, Md., Jan. 28, 2026 /PRNewswire/ -- Shore Bancshares, Inc. (NASDAQ – SHBI) (the "Company" or "Shore Bancshares"), the holding company for Shore United
About this update from Shore Bancshares, Inc.
[{"type":"text","content":"EASTON, Md., Jan. 28, 2026 /PRNewswire/ -- Shore Bancshares, Inc. (NASDAQ – SHBI) (the \"Company\" or \"Shore Bancshares\"), the holding company for Shore United Bank, N.A. (the \"Bank\") reported net income for the fourth quarter of 2025 of $15.9 million, or $0.48 per diluted common share, compared to net income of $14.3 million, or $0.43 per diluted common share, for the third quarter of 2025, and net income of $13.3 million, or $0.40 per diluted common share, for the fourth quarter of 2024.\n \n \n \n \n \n \n \nFourth Quarter and Full-Year 2025 HighlightsNet Income – Net income for the fourth quarter of 2025 increased $1.5 million to $15.9 million from $14.3 million in the third quarter of 2025. Net income increased primarily due to higher net interest income of $1.8 million and higher noninterest income of $966 thousand driven by one-time insurance proceeds, partially offset by higher noninterest expense of $1.1 million. Net income for the year ended December 31, 2025 was $59.5 million, compared to $43.9 million for the year ended December 31, 2024. The annual increase was primarily driven by an increase in net interest income due to loans repricing favorably, coupled with lower cost of deposits during the period. The favorable changes were offset by a higher provision for loan losses, driven by increased charge-offs in 2025.Return on Average Assets (\"ROAA\") – The Company reported ROAA of 1.02% for the fourth quarter of 2025, compared to 0.95% for the third quarter of 2025 and 0.86% for the fourth quarter of 2024. Non-U.S. generally accepted accounting principles (\"GAAP\") adjusted ROAA([1]) was 1.11% for the fourth quarter of 2025, compared to 1.05% for the third quarter of 2025 and 0.94% for the fourth quarter of 2024.Net Interest Margin (\"NIM\") – Net interest income for the fourth quarter of 2025 increased $1.8 million to $50.4 million compared to the third quarter of 2025. NIM increased 1 basis point (\"bps\") to 3.43% during the fourth quarter of 2025 compared to the third quarter of 2025. NIM excluding accretion(1) increased for the comparable periods from 3.22% to 3.24%. Excluding accretion interest, loan yields increased 2 bps and funding costs decreased 4 bps for the comparable periods. Net interest income increased due to modest loan growth and higher yields on investments, coupled with a lower cost of deposi...