Business First Bancshares Reports $82.5 Million Net Income for 2025

Business First Bancshares, Inc., headquartered in Baton Rouge, Louisiana, reported total assets of $8.2 billion, total loans of $6.2 billion, and total deposits of $6.7 billion as of December 31, 2025. The company's financial performance for the year included net income available to common shareholders of $82.5 million, or $2.81 per basic common share and $2.79 per diluted common share. This represents an increase of $22.8 million, or 38.1%, compared to the $59.7 million reported for the year ended December 31, 2024. The company's common stock is listed on the Nasdaq Global Select Market under the symbol "BFST."

The company's net interest income for the year ended December 31, 2025, was $273.2 million, an increase of $45.8 million, or 20.1%, from the $227.4 million reported for the previous year. The net interest margin was 3.69% and the net interest spread was 2.89%. The company's return on average assets was 1.05% and return on average common equity was 10.59% for the year ended December 31, 2025, compared to 0.86% and 9.54%, respectively, for the year ended December 31, 2024. The company's allowance for credit losses was 0.94% of total loans held for investment, compared to 0.98% as of December 31, 2024.

Strategic developments for Business First in 2025 included the sale of the Kaplan banking center, which resulted in a gain of $3.4 million, and the extinguishment of $7.0 million in subordinated debt, resulting in a gain of $630,000. The company also completed the acquisition of Waterstone LSP, LLC on January 31, 2024, and Oakwood Bancshares, Inc. on October 1, 2024, which contributed to the company's growth in assets, loans, and deposits. As of December 31, 2025, the company's Tier 1 Leverage, Common Equity Tier 1, Tier 1 Risk-based, and Total Risk-based Capital ratios were 10.08%, 9.94%, 11.00%, and 12.93%, respectively.

Key operational developments included an increase in nonperforming loans to total loans held for investment to 1.24%, compared to 0.42% as of December 31, 2024. The company's book value per common share increased by 13.5% to $27.95. The company's employee headcount was 842 as of December 31, 2025, with 821 full-time and 21 part-time employees. The company's board of directors approved a stock repurchase program authorizing the repurchase of shares with an aggregate purchase price of up to $30 million, with $3.7 million repurchased between October 28, 2025, and December 31, 2025.

Looking ahead, Business First Bancshares consummated the merger with Progressive Bancorp, Inc. on January 1, 2026, issuing 3,192,367 shares of its common stock. The company's strategy includes expanding its presence in existing markets, opportunistic market expansion along the I-10/12 and I-20 corridors, and a disciplined acquisition strategy. The company's future performance is subject to various risks, including economic conditions, competition, interest rate fluctuations, and regulatory changes, as detailed in the company's risk factors.