Third Coast Bancshares Q1 Assets Up 23.2%; EPS $1.02 Ex-Merger Expenses
Third Coast Bancshares' Q1 2026 assets rose 23.2% year-end driven by a 19.5% loan increase and 23.5% deposit surge following the Keystone Bancshares acquisition. Merger-related nonrecurring expenses of $3.3M weighed EPS to $0.88 ($1.02 ex merger), while net interest income grew 2.7% sequentially to $53.6M and NIM is guided near 3.75%.
1. Significant Balance Sheet Expansion
Following the Keystone Bancshares acquisition, assets rose 23.2% since year-end driven by a 19.5% increase in loans and a 23.5% surge in deposits, boosting the bank’s balance sheet scale.
2. Earnings and Expense Impact
Merger-related nonrecurring expenses of $3.3 million reduced diluted EPS to $0.88, or $1.02 excluding these costs, while net interest income climbed 2.7% sequentially to $53.6 million and net interest margin is projected near 3.75%.
3. Asset Quality and Future Outlook
Nonperforming assets rose 11 basis points from the prior quarter and the allowance for credit losses stood at $51.5 million, or 0.98% of gross loans; full cost savings from Keystone integration are expected by year-end.