ServisFirst Bancshares projects quarterly net interest margin expansion will slow to a range of 4 to 6 basis points toward the end of the year, down from the 7 to 9 basis point range seen recently, as the gap between new loan yields and the total portfolio narrows. CFO David Sparacio said the company still has over $2 billion in repricing opportunities from scheduled maturities, cash flows, covenant violations, and loan modifications. In the second quarter of 2026, net interest margin expanded to 3.63%, up 10 basis points from the prior quarter and 53 basis points year-over-year, though 5 basis points of that improvement came from a one-time $1.9 million interest recovery. CEO Thomas Broughton noted annualized loan growth exceeded 15%, driven by granular demand across Florida, Tennessee, and Texas, while the loan pipeline reached a record level. The company reported net income of $85.8 million, or $1.57 per diluted share, and an efficiency ratio of 29.65%, its third consecutive quarter below 30%.
ServisFirst Bancshares IncProjects net interest margin expansion and reports strong loan growth, net income, and efficiency ratio.