South Plains Financial ( (SPFI) ) has released its Q2 earnings. Here is a breakdown of the information South Plains Financial presented to its investors.
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South Plains Financial, Inc., headquartered in Lubbock, Texas, operates as the parent company of City Bank, providing a range of commercial and consumer financial services across various markets in Texas and New Mexico.
In its second quarter of 2025 financial results, South Plains Financial reported a robust performance with net income reaching $14.6 million, marking an increase from previous quarters and the same period last year.
Key financial metrics highlighted in the report include a net interest margin of 4.07%, a return on average assets of 1.34%, and a tangible book value per share of $26.70. The company also noted a decrease in the average cost of deposits and a strategic focus on expanding its lending capabilities, particularly in the Dallas market.
The company maintained strong capital ratios, with a total risk-based capital ratio of 18.17% and a common equity tier 1 risk-based capital ratio of 13.86%. Despite a slight decrease in total deposits from the previous quarter, there was a year-over-year increase driven by organic growth in retail and commercial deposits.
Looking ahead, South Plains Financial’s management remains optimistic about leveraging its stable deposit base and expanding its lending platform to capitalize on market opportunities, aiming to enhance its asset base and market share.