Record Quarterly Net Income
EUGENE, Ore., April 29, 2026--(BUSINESS WIRE)--Summit Bank Group (OTCID: SBKO)
Q1 2026 Net Income - $4.56 million or $0.58 per fully diluted share, an increase of 54.0 percent over Q1 2025.
Q1 2026 earnings per fully diluted share increased 8.4 percent over the previous quarter.
Cash and Securities total $204.3 million – 15.1 percent of assets, increased from 14.8 percent as of Q1 2025.
Year over year Net Loan Growth - $53.0 million or 5.0 percent.
Year over year Deposit Growth - $49.1 million or 4.3 percent.
Q1 2026 Net Interest Income increased $1.1 million or 8.1 percent over Q1 2025.
Summit Bank Group reported net income for the first quarter of $4.56 million or 58 cents per fully diluted share. Comparable earnings for first quarter of 2025 were $2.93 million or 37 cents per fully diluted share, representing an increase of 54.0 percent or 21 cents to earnings and earnings per fully diluted share respectively. The first quarter earnings growth compared to the first quarter of 2025 was the result of net interest income increasing by $1.1 million, provision for loan losses also improving by $1.1 million, non-interest income improving by $0.6 million, combined with modest growth-related increases to noninterest expense (higher by $525 thousand).
"We are pleased to report our 3rd consecutive quarter with record EPS; 50, 53, and now 58 cents," said Craig Wanichek, president and CEO. "The Bank’s trailing 4 quarter EPS is $2.04 and is 15% higher than the previous best ever. The first quarter results reflect the strength of our team, the loyalty of our clients and the momentum we are building across the Company in all of our markets. The strength of our relationships combined with the commitment of our team makes us well-positioned for the opportunities ahead."
The Bank continues to achieve balanced growth in its loan and deposit portfolio, with total net loans increasing by $53.0 million or 5.0 percent and total deposits increasing by $49.1 million or 4.3 percent over the most recent four quarters. Deposit mix has been significantly improved over the same period with time deposits decreasing by $95.2 million or 85.2 percent and demand and money market account balances increasing by $144 million or 14.0 percent.
The Bank’s balance sheet remains highly liquid with cash and Available for Sale (AFS) short-term securities totaling $204.4 million, which represents 15.1 percent of total assets as of March 31, 2026, increased from $189.5 million or 14.8 percent of assets as of March 31, 2025. Additionally, the Bank maintains secured borrowing commitments from the Federal Home Loan Bank and the Federal Reserve Bank with total available borrowing capacity as of March 31, 2026, of $323 million. The Bank’s cash and available secured borrowing as of March 31, 2026, total $500 million. This total is 37.0 percent of total assets and 127 percent of total estimated uninsured deposits as of March 31, 2026.
Return on average equity for the first quarter and the trailing four quarters was 14.3 percent and 13.3 percent respectively. Total shareholders’ equity ended the first quarter at $129.4 million, an increase of $17.2 million or 15.3 percent since March 31, 2025. As the Company begins its 23rd year of operations, capital levels remain very strong, supporting its consistent asset growth with similarly strong retained earnings which have totaled $61.2 million over the last five years.
Total non-performing assets as of March 31, 2026, total 0.54 percent of total assets. This total increased during the first quarter from 0.10 percent of total assets as of December 31, 2025. All of the non-performing assets added during the first quarter carry US Small Business Administration guarantees which reduce the Bank’s exposure to losses on the assets. The total exposure to the Bank after such federal guarantees are applied is reduced to 0.15 percent of total assets.
Summit Bank Group Inc., through its wholly owned subsidiary Summit Bank, maintains offices in Eugene, Central Oregon, and Portland, specializing in providing high-level service to professionals and medium-sized businesses and their owners. The Bank was voted for the fifth year in a row as one of Oregon’s "Top 100 Companies to Work For," according to Oregon Business Magazine. Summit Bank was recently awarded the "Top 100 Green Companies to Work For" designation for the eighth year. In 2023, 2025 and 2026, Summit Bank was honored as "Favorite Bank" in the Eugene Register-Guard’s annual Reader’s Choice Awards and "Best Bank" by Central Oregon’s Bend Bulletin. Summit Bank Group Inc. is quoted on the OTCID under the symbol SBKO. It was named in January as a Top 10 Place to Work for Working Parents, according to the Eugene Area Chamber of Commerce, in 2025 and again in 2026
QUARTERLY FINANCIAL REPORT – March 31 2026 | ||||||||||||
(in thousands except per share data) | Unaudited | Unaudited | Unaudited | |||||||||
As of | As of | As of | ||||||||||
Summary Statements of Condition | Mar. 31, 2026 | Dec. 31, 2025 | Mar. 31, 2025 | |||||||||
Cash and short term investments | $ | 177,682 | $ | 119,699 | $ | 147,684 | ||||||
Securities | 26,671 | 27,314 | 41,777 | |||||||||
Loans: | ||||||||||||
Commercial | 335,212 | 337,963 | 324,864 | |||||||||
Commercial real estate | 733,554 | 700,339 | 650,392 | |||||||||
Other | 61,001 | 76,081 | 99,921 | |||||||||
Loan loss reserve and unearned income | (12,802 | ) | (12,803 | ) | (11,228 | ) | ||||||
Total net loans | 1,116,966 | 1,101,580 | 1,063,950 | |||||||||
Property and other assets | 30,132 | 30,317 | 30,521 | |||||||||
Repossessed property | 84 | 115 | 538 | |||||||||
Total assets | $ | 1,351,534 | $ | 1,279,026 | $ | 1,284,470 | ||||||
Deposits: | ||||||||||||
Noninterest-bearing demand | $ | 192,283 | $ | 184,733 | $ | 166,494 | ||||||
Interest-bearing demand | 980,948 | 916,878 | 862,451 | |||||||||
Certificates of deposit | 16,522 | 20,231 | 111,732 | |||||||||
Total deposits | 1,189,754 | 1,121,841 | 1,140,676 | |||||||||
Subordinated debt | 18,532 | 18,522 | 18,493 | |||||||||
Other liabilities | 13,871 | 14,054 | 13,124 | |||||||||
Shareholders' equity | 129,377 | 124,608 | 112,177 | |||||||||
Total liabilities and shareholders' equity | $ | 1,351,534 | $ | 1,279,026 | $ | 1,284,470 | ||||||
Book value per share | $ | 16.43 | $ | 15.97 | $ | 14.48 | ||||||
Unaudited | Unaudited | Unaudited | ||||||||||
For the three | For the three | For the three | ||||||||||
Summary Statements of Income | Mar. 31, 2026 | Dec. 31, 2025 | Mar. 31, 2025 | |||||||||
Interest income | $ | 19,874 | $ | 19,865 | $ | 19,883 | ||||||
Interest expense | (5,302 | ) | (5,755 | ) | (6,401 | ) | ||||||
Net interest income | 14,572 | 14,110 | 13,482 | |||||||||
Provision for loan losses | (866 | ) | (451 | ) | (1,953 | ) | ||||||
Noninterest income | 779 | 633 | 182 | |||||||||
Noninterest expense | (8,253 | ) | (8,745 | ) | (7,728 | ) | ||||||
Net income before income taxes | 6,232 | 5,546 | 3,983 | |||||||||
Provision for income taxes | (1,673 | ) | (1,370 | ) | (1,059 | ) | ||||||
Net income | $ | 4,559 | $ | 4,177 | $ | 2,925 | ||||||
Net income per share, basic | $ | 0.58 | $ | 0.54 | $ | 0.38 | ||||||
Net income per share, fully diluted | $ | 0.58 | $ | 0.53 | $ | 0.37 | ||||||
Unaudited | Unaudited | Unaudited | ||||||||||
For the three | For the three | For the three | ||||||||||
Performance Ratios | Mar. 31, 2026 | Dec. 31, 2025 | Mar. 31, 2025 | |||||||||
Return on Average Assets | 1.39 | % | 1.30 | % | 0.92 | % | ||||||
Return on Average Tangible Common Equity | 14.36 | % | 13.66 | % | 10.59 | % | ||||||
Net Interest Margin | 4.54 | % | 4.46 | % | 4.33 | % | ||||||
Yield on Earning Assets | 6.19 | % | 6.33 | % | 6.42 | % | ||||||
Cost of Deposits | 1.78 | % | 1.98 | % | 2.21 | % | ||||||
Efficiency Ratio | 53.8 | % | 59.3 | % | 56.6 | % | ||||||
EPS Growth (YoY) | 54.0 | % | 35.9 | % | 19.4 | % | ||||||
Asset Quality | ||||||||||||
Non-performing assets | 0.54 | % | 0.10 | % | 0.10 | % | ||||||
Net Charge Offs to Average Loans | 0.39 | % | 0.60 | % | 0.72 | % | ||||||
Reserve to Total Loans | 1.12 | % | 1.17 | % | 1.17 | % | ||||||
Provision Expense to Total Loans | 0.08 | % | 0.04 | % | 0.18 | % | ||||||
Capital | ||||||||||||
Tier 1 Capital to Risk Weighted Assets | 12.51 | % | 12.32 | % | 11.66 | % | ||||||
Community Bank Leverage Ratio (CBLR) | 11.38 | % | 10.92 | % | 10.42 | % | ||||||
Average Balances | ||||||||||||
Loans | $ | 1,109,273 | $ | 1,109,044 | $ | 1,062,254 | ||||||
Assets | $ | 1,315,280 | $ | 1,285,269 | $ | 1,269,661 | ||||||
Deposits | $ | 1,155,798 | $ | 1,131,354 | $ | 1,127,280 | ||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20260429068814/en/
Contacts
Craig Wanichek, President & Chief Executive Officer 541-684-7500