#United States #earnings report #Myrtle Beach #South Atlantic Bank #SABK

South Atlantic Bancshares, Inc. Reports Earnings for Q3 2025

On October 23, 2025, South Atlantic Bancshares, Inc. (OTCQX: SABK), the parent company of South Atlantic Bank, announced its consolidated net income for the third quarter of 2025, amounting to $4.4 million or $0.57 per diluted common share. This figure represents a notable increase from the previous quarter's income of $3.7 million, or $0.48 per share. Furthermore, compared to the same quarter of the previous year, this result marks an impressive 68.3% increase over the $2.6 million earned in Q3 2024.

The financial highlights for the third quarter are notable:

• - Net income rose by $697,000, or 18.9%, in comparison to Q2 2025.
• - Year-to-date, net income has reached $11.4 million for the nine months ending September 30, 2025, reflecting a strong 65.6% increase compared to $6.9 million for the same period last year.

Growth in Assets and Loans

The total assets of South Atlantic Bancshares increased by $104.2 million during the nine months ended September 30, 2025, reaching $1.9 billion, which is an annualized growth of 7.8% from December 31, 2024. Total loans also showed a significant increase, growing by $87.6 million, or an annualized increase of 8.7%. Additionally, total deposits grew by $128 million during the same period, representing an annualized increase of 11.7%. This robust growth in assets, loans, and deposits showcases the company's effective management and strategic initiatives.

Financial Management and Governance

K. Wayne Wicker, Chairman and CEO of South Atlantic Bancshares, attributed the strong results to the continued strength and momentum of their core banking franchise, coupled with disciplined execution across their markets. He noted that certain locations maintained the top deposit market share, affirming the bank's competitive position in the market. Despite a slight quarterly decline in deposit balances attributed to typical seasonal trends, the overall pipeline for both deposits and loans appears strong entering the final quarter of 2025.

Credit Quality and Interest Rates

The company continues to maintain excellent credit quality, with zero loans classified as non-accrual. The provision for credit losses recorded was $450,000 for Q3, a decrease compared to the previous quarters, demonstrating the company’s strong risk management protocols. With the current economic conditions, the management is vigilant in monitoring credit quality, following recent interest rate changes by the Federal Reserve.

Noninterest Income and Expenses

Noninterest income for the third quarter also increased by $212,000, reflecting growth in secondary mortgage income and service charges. However, noninterest expenses saw a rise of $1.4 million, primarily due to increased salaries and employee benefits, and increased other operating expenses.

Conclusion

The financial performance of South Atlantic Bancshares for Q3 2025 illustrates a robust growth trajectory and reflects the bank’s strong operational and strategic measures. The ongoing focus on customer service, risk management, and community banking positions the company well for continued stability and growth in a competitive landscape. As South Atlantic Bancshares heads towards the end of 2025, its outlook remains optimistic, buoyed by solid financial results and a commitment to excellence in banking services.

Company management encourages investors to monitor their website for updates and additional financial disclosures as they continue to execute their strategies to enhance value for shareholders.