South Plains Financial, Inc. (NASDAQ:SPFI) reported second-quarter results on Friday that came in ahead of Wall Street expectations, supported by stronger revenue growth and contributions from its recent acquisition.
The company’s shares were unchanged in after-hours trading following the earnings release.
Adjusted earnings were $0.96 per share, slightly above the analyst consensus estimate of $0.95.
Revenue increased to $64.49 million, exceeding forecasts of $64.12 million and rising 18% from $42.5 million in the second quarter of 2025.
Profit rises following Bank of Houston acquisition
Quarterly net income climbed to $19.0 million, up 30% from $14.6 million in the same period a year earlier.
On April 1, 2026, South Plains Financial completed its acquisition of BOH Holdings, Inc., adding approximately $685.0 million in total assets, $631.9 million in loans and $595.6 million in deposits.
Net interest income increased to $50.3 million from $42.5 million a year earlier, although the net interest margin edged lower to 4.00% from 4.07%.
“We delivered a strong second quarter highlighted by solid profitability, stable credit quality and the successful integration of Bank of Houston, which has strengthened our position in Houston, one of Texas’ most attractive banking markets,” said Curtis Griffith, Chairman and Chief Executive Officer.
Expenses increase as integration continues
Noninterest expense rose to $39.9 million from $33.5 million in the prior-year quarter.
The increase was mainly driven by $2.7 million in core operating costs associated with the acquisition, together with $1.1 million in acquisition-related expenses.
Meanwhile, the provision for credit losses declined sharply to $350,000 from $2.5 million in the same quarter last year.
Loans and deposits continue to expand
Loans held for investment totaled $3.77 billion as of June 30, 2026, compared with $3.10 billion a year earlier.
Customer deposits also increased significantly, reaching $4.64 billion versus $3.74 billion at the end of the second quarter of 2025.