ServisFirst Bancshares (SFBS) investor relations material

Executive summary

• Net income for Q1 2026 was $83 million, up 31% year-over-year, with EPS rising to $1.52 ($1.54 normalized), and book value per share increasing 14.5% to $34.99.

• Loans grew by $249 million (1.8%) quarter-over-quarter and 8.2% year-over-year to $13.95 billion; deposits increased by $267 million (1.9%) quarter-over-quarter and 0.4% year-over-year to $14.49 billion.

• Net interest margin expanded to 3.53%, up 61 basis points year-over-year, and efficiency ratio improved to 29.8%, remaining below 30% for the second consecutive quarter.

• Texas market expansion is progressing well, with a robust pipeline and first loan closed; team expected to drive significant growth over the next 3-4 years.

• Continued focus on disciplined expense control, relationship deepening, and operational scalability.

Financial highlights

• Net interest income rose to $148.2 million, up from $123.6 million a year ago, a 19.9% increase.

• Noninterest income increased 31% year-over-year to $10.8 million, driven by higher service charges and mortgage banking revenue.

• Noninterest expense was $47.4 million, up 2.8% year-over-year, mainly due to higher salaries and benefits.

• Return on average assets was 1.89%, and return on average common equity was 17.91%, both up year-over-year.

• Efficiency ratio improved to 29.80% from 34.97% a year ago.

Outlook and guidance

• Management expects continued margin expansion of 7-9 basis points in a flat rate environment and positive loan and deposit growth for the remainder of the year.

• Loan growth anticipated to remain solid, with Texas team contributing more as the year progresses.

• Expense growth projected in the mid to high single digits for the year.

• Margin expansion to be driven mainly by asset repricing rather than deposit cost reductions.

• Strong liquidity maintained with $1.84 billion in cash and equivalents.