10-Q · May 8, 2026
CoastalSouth Bancshares, Inc. reported Q1 2026 results showing a decline in EPS to $0.51, down from $0.54 in Q3 2025, missing consensus estimates of $0.55. Revenue decreased to $21.7 million from $35 million YoY,…
Earnings analysis · 10-Q
COSO earnings analysis
Filed August 7, 2026 · Our reading of the company's report
The latest report
Q2 EPS of $0.59 improved from $0.51 in Q1 2026 and matched consensus, but revenue of $22.867 million declined from the supplied prior-quarter figure of $35 million and missed consensus by 1.29%. The filing provides no…
Read full summary
Q2 EPS of $0.59 improved from $0.51 in Q1 2026 and matched consensus, but revenue of $22.867 million declined from the supplied prior-quarter figure of $35 million and missed consensus by 1.29%. The filing provides no quantitative financial guidance, while management highlights material sensitivity to interest rates, a flat yield curve, and uncertainty around the 2026 rate path. Controls were effective and the company repurchased 48,491 shares during the quarter.
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
- $0.59
What stood out
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EPS improved and matched consensus
Q2 diluted EPS was $0.59, up from $0.51 in Q1 2026, an increase of approximately 15.7%. EPS matched the supplied consensus estimate of $0.59.
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Revenue declined and missed estimate
Q2 revenue was $22.867 million versus $35 million in Q1 2026, a decline of approximately 34.7%. Revenue was also $0.2982 million below the $23.1652 million consensus estimate, or 1.29%.
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Controls remained effective
Management reported that disclosure controls and procedures were effective as of June 30, 2026, and that there was no change in internal control over financial reporting that materially affected, or was reasonably likely to materially affect, controls.
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Share repurchases resumed
The company repurchased 48,491 shares during Q2 at an average price of $25.48 per share. The remaining authorization under the 2026 repurchase plan was $13.765 million at June 30, 2026.
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Asset-sensitive balance sheet
The company remains asset sensitive to interest rates. Its modeled 12-month net interest income impact was positive 6.94% under a +200-basis-point shock and negative 3.35% under a -200-basis-point shock at June 30, 2026.
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Rate sensitivity is a key earnings driver
Management expects net interest income to decline somewhat in a decreasing-rate environment and increase in an increasing-rate environment, reflecting faster repricing of earning assets than interest-bearing deposits.
What to watch
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Interest-rate and NIM exposure
The filing identifies interest-rate risk as the company's most significant market risk. Under the June 30, 2026 model, a -200-basis-point shock reduced projected 12-month net interest income by 3.35%, while a +200-basis-point shock increased it by 6.94%.
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Higher EVE sensitivity to rising rates
The estimated economic value of equity declined 1.37% under a +200-basis-point shock at June 30, 2026, compared with a 0.47% decline at December 31, 2025, indicating greater modeled capital-value sensitivity to rising rates.
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Flat yield curve and forecast uncertainty
A flat Treasury yield curve can pressure net interest margin because short-term rates affect deposit pricing and floating-rate asset yields while longer-term rates influence fixed-rate loans and securities. Management reported that the yield curve remained relatively flat across certain maturities and that the 2026 rate path was less certain.
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No formal risk-factor changes
The company disclosed that there were no material changes during the period to the risk factors in its 2025 Form 10-K. Existing risks therefore remain applicable, including the possibility that actual results differ materially from historical results or forward-looking statements.
Management's outlook
No quantitative revenue or EPS guidance was provided in the 10-Q. The filing states that the interest-rate path for 2026 is less certain and that further rate changes depend on Federal Reserve assessments of economic data.
Earlier filings 3
10-K · March 12, 2026
CoastalSouth (COSO) presents a community-focused commercial bank strategy emphasizing relationship banking, disciplined de novo branch expansion and four specialty lending lines. The company finished 2025 with $2.31…
10-Q · August 11, 2025
CoastalSouth reported quarterly revenue of $19,873,000 and diluted EPS of $0.57 for the three months ended June 30, 2025. Revenue and net interest income rose versus the year-ago quarter while income before taxes…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.