10-K · March 5, 2026
Carter Bankshares ended 2025 with $4.9 billion in assets and a two-state, 64-branch footprint, completed a May 23, 2025 branch purchase that added $55.9 million of deposits, and elected to become a financial holding…
Earnings analysis · 10-Q
CARE earnings analysis
Filed May 7, 2026 · Our reading of the company's report
The latest report
Carter Bankshares reported a significant decline in Q1 2026, with revenue of $41.9 million, down from $63 million in Q1 2025, and a diluted EPS of $0.4 compared to $0.39 in the prior year. This performance was notably…
Read full summary
Carter Bankshares reported a significant decline in Q1 2026, with revenue of $41.9 million, down from $63 million in Q1 2025, and a diluted EPS of $0.4 compared to $0.39 in the prior year. This performance was notably below consensus estimates, reflecting difficulties in achieving expected growth despite past successes. Management cited ongoing headwinds but did not provide numerical guidance for the future.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.4
- Gross margin
- 45.6%
What stood out
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Revenue Decline
Revenue decreased to $41.9 million from $63 million in Q1 2025, a 33.56% decline.
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Gross Margin
Gross margin reduced to 45.6%, down from 58.9% in Q1 2025.
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Drop in EPS
EPS fell to $0.4 compared to $0.39 in Q1 2025, a reduction of 2.56%.
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Cash Flow Impact
Free cash flow decreased to $5 million, down from $8 million in the previous quarter.
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Market Risk Note
Management indicated heightened sensitivity to ongoing market interest rate fluctuations.
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Lawsuit Risk
Carter Bankshares is facing a lawsuit seeking over $500 million related to loan transactions, which could impact financial performance.
What to watch
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Earnings Miss
Actual EPS of $0.4 fell short of estimates by 87.5%.
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Revenue Shortfall
Actual revenue of $41.9 million was 65.25% below the estimated $120.6 million.
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Ongoing Litigation
A lawsuit involving claims of $500 million against the company poses a significant legal risk.
Management's outlook
No numeric forward guidance provided for future revenue or EPS.
Earlier filings 4
10-Q · August 4, 2025
Carter Bankshares reported strong Q2 results driven by higher net interest income and lower provision expense. Revenue (net interest income + noninterest income) rose to $37,267,000 from $33,625,000 a year ago and…
10-Q · May 8, 2025
Carter Bankshares reported Q1 2025 revenue of $37.039M and diluted EPS of $0.39, beating consensus and showing year-over-year improvement. Net income rose to $8.953M and loans and deposits increased, though cash…
10-K · March 7, 2025
The 2024 10-K describes Carter Bankshares (CARE) as a $4.7 billion-asset regional bank (65 branches) shifting from balance-sheet restructuring toward a prudent growth strategy focused on organic loan/deposit growth, fee…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.