Red River Bancshares Q4 net income rises 5.7% sequentially

Overview

• Louisiana bank's Q4 net income rose 5.7% from Q3, reaching record-high levels

• Net interest income for Q4 increased by $1.4 mln, driven by higher loan balances

• Company renewed and increased stock repurchase program for 2026 to $10 mln

Outlook

• Red River Bancshares expects net interest income to increase slightly in Q1 2026

• Company plans to redeploy maturing loans into higher-rate assets in 2026

• Red River Bancshares is expanding with new banking centers in Louisiana

Result Drivers

• NET INTEREST INCOME - Co reported a $1.4 mln increase in net interest income due to higher loan balances and improved margins

• LOAN GROWTH - Loans HFI increased by 3.5% in Q4 2025, driven by robust new loan and commitment activity

• DEPOSIT INCREASE - Deposits rose by 4.4% in Q4 2025 due to seasonal inflows from public entity customers and higher balances

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "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 Red River Bancshares Inc is $83.00, about 6% above its January 29 closing price of $78.31

• The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nGNX4YJ0bG

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