Seacoast (SBCF) Q4 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 21, 2026 astatine 11:37 AM CDT 39 min read

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Jan. 30, 2026, 10 a.m. ET

• Chief Executive Officer — Charles Shaffer

• Chief Financial Officer — Tracey Dexter

• Chief Strategy Officer — Michael Young

• Chief Credit Officer — James Stallings

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Charles Shaffer: All right. Thank you, Mark, and bully morning, everyone. As we determination done today's presentation, we'll notation the 4th fourth and afloat twelvemonth net descent platform disposable astatine seacoastbanking.com. Joining maine contiguous are Tracey Dexter, our Chief Financial Officer; Michael Young, our Chief Strategy Officer; and James Stallings, our Chief Credit Officer. The Seacoast squad delivered different exceptional quarter, highlighted by the closing of the Villages acquisition and beardown maturation successful loans. Loan outstandings grew astatine an annualized complaint of 15% driven by the continued occurrence of our commercialized banking squad and the further owe measurement contributed by the Villages acquisition. The summation of the Villages owe squad expands our optionality for aboriginal portfolio decisions.

The residential loans we added this 4th were precise high-quality credits with precocious FICOs, beardown yields and mostly shorter expected lives than accepted owe products, fixed the unsocial characteristics of this borrower base. We besides proceed to spot meaningful improvements successful noninterest income with stronger show crossed astir each large category. Wealth Management had an fantabulous year, adding $550 cardinal successful caller AUM and treasury managed interest -- treasury absorption fees and different work charges besides proceed to turn arsenic caller clients were onboarded. On the disbursal side, overhead was good managed, and our disbursal ratio improved from the anterior 4th and the ratio of adjusted noninterest disbursal to tangible assets declined to adjacent 2%.

Our program to thrust improved shareholder returns remains firmly connected track. Excluding the time 1 proviso and merger-related expenses associated with the Villages acquisition, our ROA for the 4th fourth was 1.22% and the instrumentality connected tangible equity was 15.72%. These results show the beardown instrumentality illustration of the combined instauration which volition beryllium afloat realized pursuing the Villages exertion conversion successful July 2026. The Villages acquisition besides closed with materially higher tangible equity than initially projected, shortening the earn-back period. We are deploying a information of this excess superior into the securities portfolio reposition that was executed this week and Michael volition locomotion done these details present shortly.