Wilson Bank Holding Company Reports 18.5% Increase in Net Earnings for Q2 2025

Wilson Bank Holding Company reported a significant increase in financial performance for the second quarter of 2025, with net earnings reaching $19.1 million, an 18.5% rise from $16.1 million in the same period last year. For the first half of 2025, net earnings totaled $35.5 million, up 22.8% from $28.9 million in the first half of 2024. This growth was primarily driven by an increase in net interest income, which rose to $48.9 million for the quarter, compared to $38.5 million in the prior year, reflecting a higher volume of interest-earning assets and improved yields.

The company's total assets increased by 5.1% to $5.6 billion as of June 30, 2025, compared to $5.4 billion at the end of 2024. Loans, net of allowance for credit losses, also saw a 4.7% increase, totaling $4.2 billion. The growth in loans was attributed to a focus on residential and commercial real estate lending, as well as consumer lending, supported by strategic marketing efforts and population growth in the bank's primary market areas. The allowance for credit losses increased to $53.9 million, reflecting a deteriorating economic outlook and loan growth.

In terms of operational developments, Wilson Bank completed the acquisition of a branch office in Cookeville, Tennessee, on April 25, 2025, acquiring approximately $14.1 million in loans and assuming $25.3 million in deposits. The company also opened a new loan production office in Nolensville, Tennessee, in July 2025, further expanding its geographic footprint. The total number of employees increased to support these expansions, contributing to a rise in salaries and employee benefits, which were up 9.5% for the quarter.

The bank's non-interest income for the second quarter of 2025 was $8.9 million, a 3.3% increase from $8.7 million in the previous year, driven by higher service charges on deposit accounts and brokerage income. However, there were declines in gains from loan sales and debit and credit card interchange income. Non-interest expenses rose to $30.3 million, a 14.7% increase, primarily due to higher salaries, data processing costs, and legal and consulting expenses.

Looking ahead, Wilson Bank Holding Company anticipates continued growth in its loan portfolio and overall financial performance, although it remains cautious about potential economic challenges that could impact credit quality. The bank's management is focused on maintaining a strong capital position, with total shareholders' equity increasing to $531 million, or 9.4% of total assets, as of June 30, 2025. The company is committed to managing its interest rate risk and liquidity effectively to navigate the evolving economic landscape.