Southern First Bancshares Q2 revenue beats expectations

Overview

• Southern First Bancshares Q2 revenue up 24% yr/yr, beating analyst expectations, per LSEG data

• Diluted EPS rises 119% to $0.81

• Net interest margin improves to 2.50% from 2.41% in Q1 2025 and 1.98% for Q2 2024

Outlook

• Southern First expects healthy growth supported by a solid balance sheet

• Company sees strong business pipelines driving future growth

• Southern First confident in delivering improved financial performance

Result Drivers

• REVENUE GROWTH - Total revenue grew 24% yr/yr, driven by increased interest income on loans and decreased interest expenses on deposits

• MARGIN EXPANSION - Net interest margin improved to 2.50% from 2.41% in Q1 2025, attributed to higher loan yields and lower deposit costs

• STRONG PIPELINE - Co cites strong business pipelines and solid balance sheet as drivers for continued growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for Southern First Bancshares Inc is $40.00, about 0.2% below its July 21 closing price of $40.09

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: ID:nPn5KJy1ya