Coastal Carolina Bancshares, Inc. Reports Fourth Quarter and Annual Results

Rhea-AI Summary

Coastal Carolina Bancshares (OTCQX:CCNB) reported unaudited results for the quarter and year ended December 31, 2025. 2025 net income was $10.94 million ($1.71 diluted EPS), up 29% year-over-year; Q4 net income was $3.08 million, up 16% year-over-year. Book value rose to $13.73 per share.

Balance sheet growth included $107M loans (13% YoY), $158M deposits (16% YoY), total assets of $1.279B, and strong credit metrics (non-performing assets 0.00%). Capital actions: $12M subordinated debt and $15M common equity issued in 2025.

Positive

• Net income +29% YoY to $10.94M for 2025
• Deposit growth of $158M (16% YoY) to $1.147B
• Loan growth of $107M (13% YoY) to $945M
• Book value per share increased to $13.73 at Dec 31, 2025
• Asset quality metrics: non-performing assets 0.00% and past due 0.04%

Negative

• Noninterest expense rose to $25.3M for 2025 (from $22.4M in 2024)
• Issued $15M common equity at $12.50 per share, increasing shares outstanding to 7.503M
• Issued $12M subordinated debt carrying 7.625% fixed interest for five years

News Market Reaction

+2.21%

1 alert

+2.21% News Effect

On the day this news was published, CCNB gained 2.21%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

MYRTLE BEACH, SC / ACCESS Newswire / January 28, 2026 / Coastal Carolina Bancshares, Inc. (the "Company") (OTCQX:CCNB), parent of Coastal Carolina National Bank (the "Bank"), reported unaudited financial results for the fourth quarter and year ended December 31, 2025. The Company reported net income of $10,935,414 or $1.71 per share for the year ended December 31, 2025, compared to $8,506,711 or $1.36 per share for the same period ended December 31, 2024, representing a 29% increase. Net income for the three months ended December 31, 2025 was $3,083,360 which represents a 4% increase when compared to prior quarter income of $2,959,053 and a 16% increase compared to quarterly net income of $2,663,997 during the fourth quarter of 2024.

2025 Fourth Quarter and Annual Financial Highlights

• Quarterly net income of $3.1 million, an increase of 4% over the most recent linked quarter and 16% over the fourth quarter of 2024

• Net income for the year ended December 31, 2025 of $10.9 million, an increase of 29% over the same period in 2024

• Diluted EPS of $0.47 for the quarter and $1.71 for the year

• Increased book value per share and tangible book value per share to $13.73 and $13.32 at December 31, 2025 from $12.07 and $11.56 at December 31, 2024

• Quarterly deposit growth of $51 million or 5% from $1,096 million at September 30, 2025 to $1,147 million at December 31, 2025

• Annual deposit growth of $158 million or 16%

• Quarterly loan growth of $34 million or 4% from $911 million at September 30, 2025 to $945 million at December 31, 2025

• Annual loan growth of $107 million or 13%

• Strong credit quality metrics with a non-performing assets ratio of 0.00%, a past due ratio of 0.04% and no OREO

Coastal Carolina Bancshares, Inc.
Selected Financial Highlights
(unaudited)

		Dec 31, 2025				Sept 30, 2025				June 30, 2025				Mar 31, 2025				Dec 31, 2024
Balance Sheet (In Thousands)
Total Assets		$	1,279,007			$	1,209,800			$	1,187,475			$	1,107,714			$	1,090,310
Investment Securities			85,921				88,226				84,969				89,543				95,786
Loans, excluding loans HFS			944,842				911,160				879,627				862,605				837,638
Deposits			1,147,072				1,096,364				1,079,874				1,002,265				988,838
Shareholders' Equity			103,032				85,191				80,705				78,700				75,309
Total Shares Outstanding (1)			7,503,722				6,303,722				6,302,722				6,262,886				6,241,589
Book Value per Share		$	13.73			$	13.51			$	12.80			$	12.57			$	12.07
Tangible Book Value Per Share		$	13.32			$	13.02			$	12.31			$	12.07			$	11.56

Selected % Increases		4th Qtr 2025				3rd Qtr 2025				2nd Qtr 2025				1st Qtr 2025				4th Qtr 2024
Total Assets			6	%			2	%			7	%			2	%			-1	%
Total Loans			4	%			4	%			2	%			3	%			3	%
Total Deposits			5	%			2	%			8	%			1	%			-1	%
Selected Ratios
Loan Loss Reserve to Total Loans			1.08	%			1.07	%			1.06	%			1.03	%			1.02	%
Non-Performing Assets (excl TDRs) to Total Assets			0.00	%			0.00	%			0.00	%			0.00	%			0.00	%
Net Charge-Offs to Avg Total Loans (annualized)			0.00	%			0.00	%			0.00	%			0.00	%			0.00	%

		For the				For the				For the				For the				For the
		Three Months Ended				Three Months Ended				Three Months Ended				Twelve Months Ended				Twelve Months Ended
		December 31, 2025				September 30, 2025				December 31, 2024				December 31, 2025				December 31, 2024
Earnings Breakdown (In Thousands)
Total Interest Income		$	16,570			$	16,468			$	14,493			$	62,514			$	54,181
Total Interest Expense			6,305				6,620				5,898				24,108				22,981
Net Interest Income			10,265				9,848				8,595				38,406				31,200
Total Noninterest Income			645				657				868				2,515				2,588
Total Noninterest Expense			6,462				6,345				5,919				25,312				22,420
Provision for Loan Losses			485				430				205				1,730				700
Income Before Taxes			3,963				3,730				3,339				13,879				10,668
Taxes			880				771				675				2,944				2,161
Net Income		$	3,083			$	2,959			$	2,664			$	10,935			$	8,507
Basic Earnings Per Share		$	0.48			$	0.47			$	0.43			$	1.73			$	1.37
Diluted Earnings Per Share		$	0.47			$	0.47			$	0.42			$	1.71			$	1.36
Weighted Average Shares Outstanding - Basic			6,460,244				6,302,787				6,241,589				6,325,040				6,223,548
Weighted Average Shares Outstanding - Diluted			6,538,705				6,362,799				6,306,162				6,388,691				6,270,505
Selected Ratios
Return On Average Assets			0.99	%			0.99	%			0.97	%			0.93	%			0.82	%
Return On Average Equity			13.10	%			14.27	%			14.26	%			13.10	%			12.05	%
Efficiency Ratio			59.17	%			60.32	%			62.46	%			61.78	%			66.24	%
Net Interest Margin *Bank Level*			3.55	%			3.46	%			3.35	%			3.54	%			3.22	%

(1) - Total shares outstanding excludes unvested restricted stock awards

Capital

At December 31, 2025, the Bank's regulatory capital ratios (Leverage, Tier 1, and Total Risk-Based) were 9.50%, 12.77%, and 13.92%, respectively. Each of these ratios exceed the regulatory minimums to be considered well capitalized.

The Company reported book value per share and tangible book value per share at December 31, 2025 of $13.73 and $13.32, respectively, compared to $13.51 and $13.02 at September 30, 2025 and $12.07 and $11.56 at December 31, 2024.

On October 27, 2025 the Company issued $12 million of subordinated debt securities with a 10 year maturity. The debt securities bear interest at a fixed rate of 7.625% for five years from the date of issuance, after which they will bear interest at a floating rate and are redeemable at the option of the Company, subject to applicable regulatory requirements. The proceeds were used, in part, to redeem an existing subordinated debt issuance in the amount of $10 million that originated in April 2020.

On December 19, 2025, the Company issued $15 million in common equity at a price of $12.50 per share to institutional and certain accredited investors. The Company intends to use the proceeds from the common equity issuance for general corporate purposes, including strengthening regulatory capital and supporting ongoing strategic growth initiatives. $8 million was contributed to the Bank during the fourth quarter of 2025.

Balance Sheet and Credit Quality

Net loans increased $34 million or 4% during the fourth quarter, and $107 million or 13% year-to-date to $945 million at December 31, 2025. The Bank experienced net loan growth in all loan categories during the year with the highest level of growth concentrated in non-owner occupied CRE, and 1-4 family residential lending, which accounted for $38 million and $29 million in net growth, respectively.

The Company achieved $158 million or 16% deposit growth during the year, reporting $1,147 million in total deposits on December 31, 2025, compared to $989 million on December 31, 2024. Deposits increased 5% or $51 million during the fourth quarter; however, fourth quarter deposit growth was bolstered by several large temporary deposits that will most likely decline in the first quarter of 2026.

Total assets increased by 6% during the quarter and 17% during the year to $1,279 million at December 31, 2025. Asset growth was supported by deposit growth during the quarter and allocated primarily towards increased loan and cash balances.

The Company continues to report strong asset quality metrics with no loans classified as non-accrual, a non-performing asset ratio of 0.00%, and a past due ratio of 0.04%. There were no charge-offs during the quarter, and no outstanding OREO property at December 31, 2025.

President and CEO of the Company and Bank, Laurence S. Bolchoz, Jr. commented, "We are extremely proud of the Bank's continued growth this year. Loan and deposit growth of 13% and 16% respectively, are a direct result of our team's execution and unwavering commitment to serve and support our local communities."

Income Statement

Net Interest Income

Net interest income increased $0.4 million or 4% to $10.3 million for the quarter ended December 31, 2025, compared to $9.9 million during the most recent linked quarter, and increased 19% when compared to prior year's fourth quarter net interest income of $8.6 million. Bank level net interest margin was 3.55% for the quarter ended December 31, 2025, compared to 3.46% for the prior quarter ended September 30, 2025 and 3.35% during the fourth quarter of 2024. The Company's consolidated net interest margin was 3.44% for the quarter ended December 31, 2025, compared to 3.35% for the prior quarter ended September 30, 2025 and 3.24% during the fourth quarter of 2024.

Fourth quarter margin improvement was driven primarily by loan growth coupled with a reduction in the Company's funding costs as the recent Federal Reserve rate cuts began to take effect. The Federal Reserve lowered the fed funds rate by 0.25% in September, October, and December of 2025. The Company's cost of deposits was 2.14% for the fourth quarter ended December 31, 2025, compared to 2.28% for most recent linked quarter, and 2.28% for the fourth quarter of 2024.

Quarter over quarter funding cost improvement was partially offset by a moderate decline in the Company's earning asset yields, which decreased to 5.54% from 5.59% reported in the prior quarter. Earning asset yields were impacted by cash and other variable rate assets responding to the recent Fed rate cuts.

Mr. Bolchoz said, "We are very pleased with the Company's earnings performance achieving new records in both annual and quarterly net income. The Company's net income increased 29% year over year. These results were achieved in large part due to the Bank's significant loan growth and the improvement in interest margin throughout the year."

Noninterest Income

Noninterest income was relatively flat quarter over quarter and year over year and consisted primarily of service charges and fees on deposit accounts, interchange and merchant fee income, mortgage sales income, and earnings from bank owned life insurance. Noninterest income totaled $645 thousand for the quarter ended December 31, 2025, compared to $657 thousand earned during the most recent quarter. Noninterest income totaled $2.5 million for the year ended December 31, 2025 compared to $2.6 million for the year ended December 31, 2024.

Noninterest Expense

Noninterest expense totaled $6.5 million for the quarter ended December 31, 2025, compared to $6.3 million for the prior quarter ended September 30, 2025, and $5.9 million for the comparative quarter ended December 31, 2024. Noninterest expense increased year over year from $22.4 million for the year ended December 31, 2024 to $25.3 million for the year ended December 31, 2025. Noninterest expense was relatively flat quarter over quarter, while year over year increases resulted primarily from higher compensation and benefits expense, increased data processing and business development costs, and higher regulatory assessments/insurance supporting the Company's continued growth and expansion into new markets.

Provision for Loan Losses

During the quarter, the Bank recorded a provision of $485 thousand for changes in CECL allowance for credit losses. During 2025 the Bank provisioned $1.7 million. At year end, the Bank's allowance for credit losses on loans increased to $10.2 million or 1.08% of loans outstanding. In addition, the Bank's reserve on unfunded commitments was $437 thousand for a total CECL reserve of $10.7 million.

Balance Sheet Data - Unaudited
(Dollars in thousands)

		Dec 31, 2025				Sep 30, 2025				Jun 30, 2025				Mar 31, 2025				Dec 31, 2024
Cash and Equivalents		$	216,063			$	177,859			$	190,049			$	124,210			$	126,557
Securities			85,921				88,226				84,969				89,543				95,786
Loans
Loans Held for Sale			381				966				1,698				1,599				502
Loans Held for Investment			944,842				911,160				879,627				862,605				837,138
Allowance for Credit Losses - Loans			(10,238	)			(9,727	)			(9,292	)			(8,850	)			(8,561	)
Net Loans		$	934,986			$	902,399			$	872,034			$	855,354			$	829,080
Premises & Equipment			14,763				14,522				13,649				11,835				11,934
OREO			-				-				-				-				-
Goodwill			2,992				2,992				2,992				2,992				2,992
Core Deposit Intangible			112				119				127				135				143
Bank Owned Life Insurance			11,972				11,872				11,773				11,675				11,577
Other Assets			12,199				11,811				11,884				11,971				12,243
Total Assets		$	1,279,007			$	1,209,800			$	1,187,475			$	1,107,714			$	1,090,310
Deposits
Noninterest Bearing Deposits		$	204,083			$	165,538			$	171,242			$	168,160			$	163,288
Interest Checking			187,892				184,463				191,145				195,702				256,676
Savings			17,285				17,999				17,491				17,885				18,345
Money Markets			543,678				539,993				515,903				446,647				390,695
Certificates of Deposit			194,134				188,371				184,092				173,870				159,833
Total Deposits		$	1,147,072			$	1,096,364			$	1,079,873			$	1,002,265			$	988,838
Subordinated Debentures			22,000				20,000				20,000				20,000				20,000
Borrowings			-				-				-				-				-
Accrued Expense & Other Liabilities			6,902				8,244				6,897				6,749				6,164
Total Liabilities		$	1,175,974			$	1,124,609			$	1,106,770			$	1,029,014			$	1,015,001
Common Stock and Surplus		$	62,224			$	48,090			$	48,009			$	47,893			$	47,707
Retained Earnings			44,959				41,876				38,917				36,401				34,024
AOCI			(4,150	)			(4,774	)			(6,221	)			(5,594	)			(6,422	)
Total Shareholders' Equity		$	103,032			$	85,191			$	80,705			$	78,700			$	75,309
Total Liabilities & Shareholders' Equity		$	1,279,007			$	1,209,800			$	1,187,475			$	1,107,714			$	1,090,310

Income Statement Data - Unaudited
(Dollars in thousands)

		Three Months Ended																				Year Ended
		Dec 31, 2025				Sep 30, 2025				Jun 30, 2025				Mar 31, 2025				Dec 31, 2024				Dec 31, 2025				Dec 31, 2024
Interest Income
Loans		$	14,194			$	13,803			$	13,241			$	12,548			$	12,307			$	53,786			$	46,289
Securities			2,377				2,665				1,869				1,818				2,187				8,728				7,893
Total Interest Income		$	16,571			$	16,468			$	15,110			$	14,366			$	14,494			$	62,514			$	54,181
Interest Expense
Deposits		$	5,960			$	6,269			$	5,460			$	5,161			$	5,652			$	22,850			$	21,878
Borrowings			346				350				316				247				247				1,259				1,103
Total Interest Expense		$	6,305			$	6,620			$	5,775			$	5,408			$	5,898			$	24,108			$	22,981
Net Interest Income		$	10,265			$	9,848			$	9,334			$	8,958			$	8,595			$	38,406			$	31,200
Provision for Credit Losses		$	485			$	430			$	480			$	335			$	205			$	1,730			$	700
Noninterest Income
Bank Owned Life Insurance		$	100			$	99			$	97			$	99			$	99			$	395			$	378
ATM, Debit, and Merchant fees			234				240				230				201				201				906				815
Service Charge Revenue			158				166				167				174				177				665				612
Gain on Sale of Loans			101				100				90				48				113				340				376
Other			51				51				18				88				278				209				408
Total Noninterest Income		$	645			$	657			$	602			$	610			$	868			$	2,515			$	2,588
Noninterest Expense
Salaries and Employee Benefits		$	4,128			$	4,082			$	4,004			$	3,940			$	3,697			$	16,154			$	14,056
Occupancy & Equipment			610				574				591				594				593				2,369				2,210
Data Processing			724				687				665				730				698				2,806				2,665
Other			1,000				1,002				996				985				931				3,983				3,489
Total Noninterest Expense		$	6,462			$	6,345			$	6,256			$	6,249			$	5,919			$	25,312			$	22,421
Income Before Taxes		$	3,964			$	3,730			$	3,200			$	2,984			$	3,339			$	13,879			$	10,668
Income Tax Expense		$	880			$	771			$	685			$	607			$	675			$	2,943			$	2,161
Net Income		$	3,083			$	2,959			$	2,516			$	2,377			$	2,664			$	10,935			$	8,507

Yield Data - Unaudited
(Dollars in thousands)

		Three Months Ended December 31, 2025												Three Months Ended September 30, 2025												Three Months Ended December 31, 2024
		Average Balance				Interest Earned/Paid				Yield/ Rate				Average Balance				Interest Earned/Paid				Yield/ Rate				Average Balance				Interest Earned/Paid				Yield/ Rate
Assets
Earning Assets
Interest Bearing Deposits		$	168,678			$	1,670				3.93	%		$	178,039			$	1,965				4.38	%		$	123,763			$	1,468				4.71	%
Securities			92,888				706				3.04	%			93,438				700				3.00	%			104,068				719				2.76	%
Loans, incl. fees			924,591				14,194				6.09	%			896,842				13,803				6.11	%			826,225				12,307				5.91	%
Total Earning Assets		$	1,186,157			$	16,571				5.54	%		$	1,168,319			$	16,468				5.59	%		$	1,054,057			$	14,494				5.46	%
Cash and Due From Banks			9,477												9,038												8,641
Other Assets			25,435												22,874												21,623
Total assets		$	1,221,069											$	1,200,231											$	1,084,320
Liabilities
Interest-Bearing Liabilities
Deposits		$	928,244				5,960				2.55	%		$	921,923				6,269				2.70	%		$	816,631				5,652				2.75	%
Borrowings			-				-				-				-				-				-				-				-				-
Subordinated Debentures			21,761				345				6.30	%			20,000				350				6.95	%			20,000				247				4.90	%
Total Interest -Bearing Liabilities		$	950,005			$	6,305				2.63	%		$	941,923			$	6,620				2.79	%		$	836,631			$	5,898				2.80	%
Noninterest Bearing Deposits			174,396												167,234												165,032
Other Liabilities			8,324												7,910												7,485
Shareholders' Equity			88,345												83,164												75,172
Total Liabilities & Shareholders' Equity		$	1,221,069											$	1,200,231											$	1,084,320

About Coastal Carolina Bancshares, Inc. Coastal Carolina Bancshares, Inc. is the Bank holding Company of Coastal Carolina National Bank, a Myrtle Beach-based community bank serving Horry, Georgetown, Aiken, Orangeburg, Richland, Greenville, Spartanburg, and Brunswick (NC) counties. Coastal Carolina National Bank is a locally operated financial institution focused on providing personalized service. It offers a full range of banking services designed to meet the specific needs of individuals and small and medium-sized businesses. Headquartered in Myrtle Beach, SC, the Bank also has branches in Garden City, North Myrtle Beach, Conway, Aiken, Orangeburg, Columbia, Greenville, and Spartanburg, South Carolina, and Ocean Isle Beach, North Carolina. Through the substantial experience of our local management and Board of Directors, Coastal Carolina Bancshares, Inc. seeks to enhance value for our shareholders, build lasting customer relationships, benefit our communities and give our employees a meaningful career opportunity. To learn more about the Company and its subsidiary bank, please visit our website at www.myccnb.com.

Forward-Looking Statements Except for historical information, all of the statements, expectations, and assumptions contained in this press release are forward-looking statements. Actual results might differ materially from those explicit or implicit in the forward-looking statements. Important factors that could cause actual results to differ materially include, without limitation: the effects of future economic conditions; governmental fiscal and monetary policies; legislative and regulatory changes; the risks of changes in interest rates; successful merger integration; management of growth; fluctuations in our financial results; reliance on key personnel; our ability to compete effectively; privacy, security and other risks associated with our business. Coastal Carolina Bancshares, Inc. assumes no obligation and does not intend to update these forward-looking statements, except as required by law.

Contact:

Russell Vedder
Title: EVP/CFO
Phone: (843) 839-5662
Fax: (843) 839-5699

www.myccnb.com

SOURCE: Coastal Carolina Bancshares, Inc.

View the original press release on ACCESS Newswire

FAQ

What were Coastal Carolina Bancshares (CCNB) net income and EPS for 2025?

Net income for 2025 was $10.94 million and diluted EPS was $1.71. According to the company, quarterly net income was $3.08 million in Q4, representing a 29% increase year-over-year driven by loan growth and margin improvement.

How much did CCNB deposits and loans grow in 2025 and what are the year-end balances?

Deposits grew $158 million (16% YoY) to $1.147 billion; loans grew $107 million (13% YoY) to $945 million. According to the company, deposit growth funded loan origination and increased cash balances during the year.

Did Coastal Carolina Bancshares report any credit quality issues in Q4 2025?

No material credit issues were reported; non-performing assets were 0.00% and past due loans were 0.04%. According to the company, there were no non-accrual loans, no charge-offs, and no OREO at December 31, 2025.

What capital actions did CCNB take in 2025 and how did they affect capital?

The company issued $12 million subordinated debt and $15 million common equity in 2025. According to the company, proceeds strengthened regulatory capital and supported strategic growth, with $8 million contributed to the bank in Q4.

How did net interest margin and funding costs change for CCNB in Q4 2025?

Bank-level net interest margin was 3.55% in Q4 2025, improving from 3.46% in Q3. According to the company, margin improvement was driven by loan growth and lower funding costs as Federal Reserve rate cuts reduced deposit costs.