SFST · Southern First Bancshares, Inc.

Southern First Bancshares delivered robust Q1 2026 results with net income of $9.9 million, an 88% increase from Q1 2025, propelled by 29% year-over-year growth in net interest income to $30.3 million. This was fueled by strong loan growth of $97 million linked-quarter (10% annualized) to $3.9 billion and exceptional retail deposit expansion of nearly $210 million (27% annualized) to $3.4 billion, reflecting momentum in client relationships as noted by CEO Art Seaver. Net interest margin expanded 16 basis points quarter-over-quarter to 2.88%, aided by a $543 thousand interest repayment on a large nonaccrual loan and higher yields on new loans at 6.49%. Noninterest income rose 14% year-over-year to $3.5 million, supported by deposit service fees and mortgage banking, while noninterest expense increased 6% to $20.0 million, maintaining efficiency with a 59% ratio. Asset quality strengthened with nonperforming assets at 0.26% of total assets (down from 0.32%) due to the nonaccrual repayment, and net charge-offs remained low at 0.01%. Provision rose to $1.3 million on loan growth, keeping allowance steady at 1.10%. Complementing operations, the company closed a public offering of 1,207,500 common shares at $54.00, raising $65.2 million gross for growth initiatives and capital support to Southern First Bank. Return on average assets improved to 0.91% and ROE to 10.67%, with book value per share at $46.00, signaling sustained profitability and balance sheet strength.