SBSI earnings analysis
What we found in SBSI's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Southside reported Q2 2026 diluted EPS of $0.90, up from $0.78 in Q1 2026 and $0.72 in Q2 2025, but reported revenue of $72.752 million was below the $115 million and $111 million supplied comparison-period figures. Gross and operating margins are not meaningful/disclosed as such in the provided bank-filing extract, and the extract does not provide sufficient quantified balance-sheet, operating-cash-flow, capex, or segment-revenue data to assess those trends. The outlook is tempered by materially greater modeled downside to falling rates: a 200-basis-point decline is projected to reduce next-12-month net interest income by 6.11%.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- EPS increased sequentially and year over year
- Diluted EPS was $0.90, up $0.12 from $0.78 in 2026Q1 and up $0.18 from $0.72 in 2025Q2. The reported $0.90 also exceeded the $0.86 consensus estimate by $0.04.
- Substantial buyback authorization remains
- The company retained authorization to repurchase 762,135 common shares at June 30, 2026. No shares were repurchased during April, May, or June 2026.
- Model remains asset-sensitive in rate increases
- Under its June 30, 2026 interest-rate model, a 100-basis-point increase in rates would raise next-12-month net interest income by 2.22%, while a 200-basis-point increase would raise it by 4.52%.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Revenue declined sharply versus comparison periods
- Reported revenue was $72.752 million, versus $115 million in 2026Q1 and $111 million in 2025Q2, a decline of approximately $42.248 million sequentially and $38.248 million year over year. This contrasts with EPS growth and was below the $75.01952 million consensus estimate.
- Rate-cut sensitivity has materially worsened
- Down-rate exposure increased materially: the modeled impact on next-12-month net interest income from a 200-basis-point rate decrease was negative 6.11% at June 30, 2026, versus negative 1.51% at June 30, 2025.
- Macro uncertainty could pressure borrowers and NII
- Management cites tariff negotiations and Middle East conflict as sources of uncertainty for inflation, energy and gas prices, interest rates, and Texas borrowers. Its model shows a 100-basis-point rate decline would reduce next-12-month net interest income by 2.79%.
- No material risk-factor updates disclosed
- The company reported no material changes to risk factors previously disclosed in its 2025 Form 10-K. Accordingly, the filing does not identify a newly added or revised company-specific risk factor.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.9
What they said about what is next.
The 10-Q provides no quantitative revenue or EPS outlook. Management states that it anticipates rate changes during the remainder of 2026, but does not quantify a business or earnings outlook.
The filing reads about the same as the one before it.
What came before.
- 10-Q · April 30, 2026
- Southside Bancshares, Inc. reported Q1 2026 earnings with revenue of $58.7 million, below expectations of $70.93 million, and EPS of $0.78, surpassing the estimated $0.76. The company noted improvements in loan growth…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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