Southeastern Banking Corporation Reports Fourth Quarter and Full Year 2025 Results
Declares Quarterly Cash Dividend of $0.23 Per Share
Darien, GA — February 19, 2026 – Southeastern Banking Corporation (OTCID:SEBC), the “Company”, the parent of Southeastern Bank, the “Bank”, today reported financial results for the fourth quarter and full year of 2025. Financial highlights are shown below.
Additionally, the Board of Directors declared a quarterly dividend of $0.23 per share, to be paid March 12, 2026, to shareholders of record on March 5, 2026. This reflects an increase of one penny per share compared to the most recent quarterly dividend.
Commenting on the Company’s results, Donald “Jay” Torbert, Jr., President and Chief Executive Officer, said, “We closed 2025 with another solid quarter of core operating earnings and low asset quality concerns. We have been fortunate to maintain our margins and believe we are well positioned to sustain these results heading into 2026.”
Earnings
- Net income was $2.31 million (or $0.73 per share) for the fourth quarter of 2025, compared to $2.61 million (or $0.82 per share) for the third quarter of 2025 and $2.59 million (or $0.81 per share) for the fourth quarter of 2024.
- We liquidated a portion of our bond portfolio during the fourth quarter. A loss of $288 thousand was realized on sales of investment securities with a total book value of $9.9 million and book yield of 3.12%, with funding alternatives providing for an estimated earn-back period of slightly over one year.
- Net interest income increased $24 thousand (or 0.3%) from the previous quarter and $315 thousand (or 4.7%) from the fourth quarter of 2024 due to continued loan growth and stable funding costs.
- Provision for credit losses in the fourth quarter of 2025 increased in response to changing economic conditions and overall loan growth to $486 thousand from $220 thousand in the third quarter and no provision for the fourth quarter of 2024.
- For the year ended December 31, 2025, we posted net income of $9.9 million, a decline of $758 thousand, or 7.1%, compared to 2024.
- Core operating earnings for the fourth quarter totaled $3.65 million compared to $3.63 million for the third quarter of 2025 and $3.54 million for the fourth quarter of 2024. Core operating earnings for the year totaled $14.0 million, down slightly from the 2024 level of $14.2 million.
- Our net interest margin was 4.79% in the fourth quarter, compared to 4.84% for the third quarter of 2025 and 4.70% for the fourth quarter of 2024. Net interest margin for the year was 4.74%, an increase of 4bps from 2024.
- The return on average assets for the fourth quarter of 2025 was 1.50%, compared to 1.73% for the third quarter of 2025 and 1.74% for the fourth quarter of 2024. The return on average assets for the year was 1.64% compared to 1.80% for 2024.
- The return on average equity was 10.78% versus 12.64% for the third quarter of 2025 and 13.25% for the fourth quarter of 2024. For the year, return on average equity was 12.24% compared to 14.45% for 2024. Capital levels continue to rise while earnings slightly declined.
Balance Sheet
- Total assets increased $22.9 million (or 3.8%) year-over-year to end at $624.9 million.
- Deposits grew $13.0 million (or 2.5%) year-over-year to end at $535.7 million. Growing core deposits and overall banking relationships continue to be a key focus for us.
- Loans increased $29.3 million (or 7.6%) year-over-year to end at $415.4 million.
- Total loan production through commercial and retail lending activities was $35.1 million during the fourth quarter, an increase from $30.0 million in the fourth quarter of 2024. Total 2025 production of $149.3 million was 4.5% below 2024 annual production, but in line with average annual production over the last three years.
Capital
- Capital continues to exceed regulatory thresholds required for the Bank to be considered “well-capitalized.”
- The Bank’s leverage capital ratio was 13.10% at December 31, 2025, up 45 basis points over the last twelve months.
- Consolidated Tier 1 leverage capital ratio was 15.09% at December 31, 2025, up 109 basis points over the last twelve months.
- Book value per share was $26.97 as of December 31, 2025, a $3.52 increase over the past year.
Asset Quality
- Asset quality metrics remain low and stable, with minimal change over the last year.
- Nonperforming assets were $1.33 million (or 0.21% of total assets) at December 31, 2025, compared to $1.21 million (or 0.20%) twelve months prior.
- The allowance for credit losses related to loans aggregated $8.91 million (or 2.14% of total loans), at December 31, 2025, compared to $8.17 million (or 2.11% of total loans) at December 31, 2024.
Other
- During 2025, the Southeastern Bank Community Foundation awarded grants totaling $75,000 in support of 28 local nonprofit organizations.
- Through third party partnerships, we assisted qualified homebuyers with obtaining $111,000 in grant funds to help them make homeownership a reality.
About Southeastern Banking Corporation
Southeastern Banking Corporation is the bank holding company for Southeastern Bank. Established in 1888, Southeastern Bank has a long history of serving its customers and communities through its 10 branch locations in coastal Georgia and northeast Florida, including Brunswick, Callahan (FL), Darien, Eulonia, Folkston, Hilliard (FL), Kingsland, Nahunta, Richmond Hill and St. Simons Island. In addition to these full service branches, the Bank has a loan production office in Hinesville, Georgia. The Bank is headquartered in Darien, Georgia.
Southeastern Banking Corporation’s common stock is traded on the OTCID Market under the symbol “SEBC.”
For more information, please visit www.southeasternbank.com.
Forward-Looking Statements
Certain statements contained in this release may not be based on historical facts and are forward-looking statements. These forward-looking statements may be identified by their reference to a future period or periods or by the use of forward-looking terminology such as “anticipate,” “believe,” “estimate,” “expect,” “outlook,” “may,” “might,” “will,” “would,” “could,” “should,” “potential” or “intend.” We caution you not to place undue reliance on the forward-looking statements contained in this news release, as actual results could differ materially from those indicated in such forward-looking statements. We undertake no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date of this news release.
Explanation of Certain Unaudited Non-GAAP Financial Measures
The measure entitled core operating earnings is not a measure recognized under U.S. generally accepted accounting principles (GAAP) and therefore is considered to be a non-GAAP financial measure. The most comparable GAAP measure is net income before taxes. Core operating earnings exclude select revenues and expenditures not considered core to the Company’s daily operations.
Management uses this non-GAAP financial measure in its analysis of the Company's performance and believes these presentations provide useful supplemental information and a clearer understanding of the Company's operating performance. These disclosures should not be considered an alternative to GAAP. The computations of core operating earnings are set forth in the Quarterly Financial Highlights table.
CONTACT:
Robert M. Eidson, Jr.
Treasurer
912-437-4141