Southern Missouri Bancorp Reports $33.8 Million Net Income, 24.7% Increase Year-Over-Year

Southern Missouri Bancorp, Inc. reported a net income of $33.8 million for the six-month period ending December 31, 2025, reflecting a 24.7% increase compared to the same period in the previous year. This growth was primarily driven by a $10.5 million increase in net interest income, which rose to $85.3 million, alongside a decrease in noninterest expenses. The company's diluted earnings per share rose to $3.00, up from $2.40 in the prior year. The annualized return on average assets improved to 1.33%, while the return on average common stockholders’ equity increased to 12.0%.

In terms of financial position, total assets increased by $74.8 million to $5.1 billion, primarily due to a $123.1 million rise in net loans receivable, which reached $4.2 billion. This growth was somewhat offset by a decrease in cash and cash equivalents, which fell by $58.8 million, and a $15.9 million decline in available-for-sale (AFS) securities. Deposits also saw a modest increase of $27 million, totaling $4.3 billion, driven by growth in nonmaturity deposit accounts, although there was a notable decrease in certificates of deposit.

The company’s provision for credit losses (PCL) increased to $6.2 million, up from $3.1 million in the previous year, reflecting management's assessment of reserve adequacy amid evolving economic conditions. The allowance for credit losses stood at $54.5 million, representing 1.29% of gross loans. Nonperforming assets rose to $31.2 million, up from $23.7 million, primarily due to an increase in nonperforming loans, which totaled $29.7 million.

Operationally, Southern Missouri Bancorp continues to focus on growth through loan origination and strategic expansion. The company has maintained a strong capital position, with stockholders' equity increasing to $567.4 million, a 4.2% rise from the previous period. The company’s capital ratios remain well above regulatory requirements, with a total capital ratio of 13.91% as of December 31, 2025. Looking ahead, the company anticipates continued growth in assets and deposits, supported by its strategic initiatives and favorable market conditions.