TCBX · Third Coast Bancshares, Inc.

Summary

Third Coast Bancshares reported solid earnings growth in Q1 FY2026, with net income and diluted EPS rising 20.5% and 12.8% year-over-year, respectively; however, net cash used in operating activities shifted to ($38.7M) from $10.5M provided a year earlier, reflecting timing-related working capital adjustments.

Key takeaways

• Net income was $16.4M, up 20.5% from $13.6M in Q1 FY2025, reflecting continued execution against core banking drivers.
• Diluted EPS was $0.88, up 12.8% from $0.78 in Q1 FY2025, consistent with the growth in net income and share count dynamics.
• Net cash used in operating activities was ($38.7M), compared to $10.5M provided in Q1 FY2025, a change driven by working capital timing rather than operational deterioration.
• The increase in the allowance for credit losses for loans was primarily due to the Merger, as confirmed in management’s commentary.
• As of March 31, 2026, no shares were repurchased under the Repurchase Program, per disclosed operational signals.
• Management believes the Company and Bank meet all capital adequacy requirements to which they are subject, as affirmed for both March 31, 2026 and December 31, 2025.