10-Q · May 5, 2026
Stock Yards Bancorp reported strong Q1 2026 results, with revenues of $103 million, slightly above estimates, and an EPS of $1.24, surpassing analyst expectations. The bank also experienced growth in loans and deposits,…
Earnings analysis · 10-Q
SYBT earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Stock Yards delivered record Q2 net income of $40.057 million and diluted EPS of $1.31, supported by a 20% increase in net interest income and a 31-bp year-over-year NIM expansion to 3.84%. Field & Main materially…
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Stock Yards delivered record Q2 net income of $40.057 million and diluted EPS of $1.31, supported by a 20% increase in net interest income and a 31-bp year-over-year NIM expansion to 3.84%. Field & Main materially increased loans, deposits, AUM and capital, though it also drove merger costs and contributed to higher problem-loan balances. The filing does not separately disclose operating margin, gross margin, free cash flow, capex, or cash-flow-statement amounts; no formal numeric earnings guidance was issued.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
Reported figures
- Earnings per share
- $1.31
What stood out
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Record earnings and 14% EPS growth
Q2 net income reached a record $40.057 million, up $6.033 million from $34.024 million a year earlier. Diluted EPS increased $0.16 to $1.31 from $1.15.
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Revenue and NIM expanded sharply
GAAP revenue was $114.575 million, comprising $87.828 million of net interest income and $26.747 million of non-interest income, versus $97.821 million in the prior-year quarter. Net interest income increased $14.355 million (20%) as FTE NIM expanded 31 bps to 3.84%.
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WM&T fees and AUM accelerated
WM&T revenue grew $2.080 million, or 20%, to $12.563 million. Total AUM increased to $8.844 billion from $7.635 billion at December 31, 2025, including $890 million attributed to Field & Main.
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Acquisition and organic lending lifted scale
The May 1 Field & Main acquisition added $839 million of assets, $626 million of net loans and $765 million of deposits. Total loans rose $842 million (12%) from year-end, including $209 million of organic growth, led by CRE and C&I.
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Capital ratios improved
Capital strengthened despite the acquisition: stockholders' equity increased $170.7 million (16%) to $1.246 billion, and tangible common equity/tangible assets improved to 9.66% from 9.32% at December 31, 2025.
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Quarterly provisioning remained minimal
Credit-loss expense was favorable in the quarter: no loan-loss provision was recorded and net recoveries were $29,000, while the ACL ended at $109.094 million, or 1.38% of loans.
What to watch
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Nonperforming and delinquent loans increased
Asset quality weakened during the first half: non-performing loans increased to $24.441 million, or 0.31% of loans, from $13.034 million, or 0.19%, at December 31, 2025. Delinquent loans increased to $47 million from $26 million, with acquired Field & Main loans accounting for $8 million of delinquencies.
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Costs and merger charges pressure efficiency
The reported efficiency ratio rose to 55.64% from 53.83% year over year as non-interest expense increased $11.106 million (21%) to $63.806 million. The quarter included $2.283 million of merger expense, and management expects additional merger expenses through Q3 and Q4 2026.
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Falling rates would pressure NII
Management's rate simulation shows a 200-bp immediate rate decline would reduce one-year net interest income by 5.61%, versus a 5.43% increase in a 200-bp rise. It characterizes the balance sheet as asset-sensitive and cautions that competitive loan and deposit pricing could intensify.
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Approaching $10B threshold creates fee risk
The company ended Q2 above the regulatory threshold at $10.369 billion of assets and plans balance-sheet actions to remain below $10 billion at December 31, 2026. It expects to cross the threshold for regulatory purposes on December 31, 2027, after which debit interchange-fee limitations would apply beginning July 1 of the following year.
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No standalone risk-factor amendments
No separate Item 1A risk-factor update was included in this 10-Q; the filing refers investors to the 2025 Form 10-K. The most specific newly quantified operating exposure disclosed is $812 million of public-fund deposits at June 30, 2026, alongside $1.49 billion of available FHLB credit.
Management's outlook
No formal EPS or revenue guidance was provided in the 10-Q. Management said projections indicate the FRB will likely hold rates steady in the second half of 2026, but noted projections remain volatile; it also anticipates higher funding costs from pricing competition and deposit-mix changes. Management expects to cross the $10 billion regulatory asset threshold on December 31, 2027, while intending to manage below that threshold at December 31, 2026.
Earlier filings 1
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.