Oakworth Capital Inc. Reports 14% Growth in Net Income
Rhea-AI Summary
Oakworth Capital (OTCQX: OAKC) reported year-to-date net income of $10.7 million for the period ended June 30, 2026, up 14% from $9.4 million in 2025, with diluted EPS rising 10% to $2.07 from $1.89. Revenue reached $45.7 million, a 15% increase, and pre-tax pre-provision income grew 21% to $17.5 million, supported by 14% growth in net interest income and 22% growth in trust and wealth fees.
Non-interest expenses rose 12% year-over-year to $28.2 million, including an $872 thousand strategic write-down of other real estate. Wealth assets climbed 22% to $2.96 billion, loans grew to $1.7 billion (12% average, 15% period-end), and deposits to $1.8 billion (11% average, 12% period-end). Tangible book value per share was $32.35, ROAE 14.0%, and ROAA 1.1%. Credit metrics included $11.6 million in non-performing loans (with a C&I credit moved to non-accrual), a $1.25 million impairment, $829 thousand loans past due 90+ days, $2.5 million ORE, and an allowance for credit losses of 1.2% of loans. Total risk-based capital was 11.9%, CET1 10.7%, and Tier 1 leverage 9.6%.
Positive
- Net income up 14% to $10.7 million year-to-date 2026
- Diluted EPS up 10% to $2.07 year-to-date 2026
- Revenue up 15% to $45.7 million in first half 2026
- Pre-tax pre-provision income up 21% to $17.5 million
- Wealth assets up 22% to $2.96 billion year-over-year
- Loans $1.7 billion and deposits $1.8 billion with double-digit growth
Negative
- Non-interest expenses up 12% to $28.2 million year-to-date 2026
- $872 thousand ORE write-down ($660 thousand net of tax) in 1Q26
- Non-performing loans $11.6 million including moved C&I credit
- $1.25 million impairment recognized in second quarter 2026
- $829 thousand loans past due 90+ days and $2.5 million ORE
AI-generated analysis. How Rhea-AI works. Not financial advice.
As of and year-to-date June 30, 2026 highlights include:
Income/Profitability:
- Net income of
$10.7 million $9.4 million - Diluted earnings per share of
$2.07 $1.89 - Pre-tax pre-provision income of
$17.5 million $14.5 million 21% ) - Revenue of
$45.7 15% higher than$39.8 million 14% year-over-year growth in net interest income22% year-over-year growth in trust and wealth fees
- Non-interest expenses of
$28.2 million $25.3 million 12% higher year-over-year- Includes
$872 thousand $660 thousand
- ROAE of
14.0% - ROAA of
1.1%
Wealth Assets/Balance Sheet:
- Wealth assets of
$2.96 billion 22% higher than$2.42 billion - Year-over-year loan growth of
12% on average basis and15% on period end basis to$1.7 billion - Year-over-year deposit growth of
11% on average basis and12% on period end basis to$1.8 billion - Tangible book value per share:
$32.35
Safety and Soundness:
- Credit quality metrics:
$11.6 million - Includes C&I credit moved to non-accrual in 1Q26
$1.25 million $829 thousand
$2.5 million 1.2% allowance for credit losses as percentage of loans, net
- Capital ratios
- Total risk-based capital:
11.9% - CET1:
10.7% - Tier 1 leverage:
9.6%
- Total risk-based capital:
About Oakworth Capital Inc. and Oakworth Capital Bank
Oakworth Capital, Inc. operates as the bank holding company for Oakworth Capital Bank (OTCQX: OAKC). Oakworth was founded in 2008 and operates four offices in the Southeast, including its headquarters in
Oakworth has been ranked among American Banker's "Best Banks to Work For in the
Advisory services, including investment management and financial planning, are offered through Oakworth Asset Management LLC, a registered investment advisor that is owned by Oakworth Capital Bank, Member FDIC, Equal Housing Lender. Investment products and services offered via Oakworth Asset Management LLC are independent of the products and services offered by Oakworth Capital Bank, and are not FDIC insured, may lose value, have no bank guarantee, and are not insured by any federal or state government agency. Because Oakworth Asset Management LLC is owned by Oakworth Capital Bank and because associates of either entity may provide financial advice to our clients, there exists a conflict of interest to the extent that either party recommends the services of the other. Oakworth Asset Management LLC does not provide tax or legal advice. You should consult your tax advisor, accountant, and/or attorney before making any decisions with tax or legal implications. Additional information about Oakworth Asset Management LLC, including its services and fees, may be obtained from adviserinfo.sec.gov or by contacting Oakworth Asset Management directly.
OAKWORTH CAPITAL INC. | ||||||||||||||||||
WEALTH AND TRUST (Unaudited) | ||||||||||||||||||
(In millions) | As of | Change | Change | |||||||||||||||
6/30/2026 | 3/31/2026 | 12/31/2025 | 9/30/2025 | 6/30/2025 | 6/30/2026 vs. 3/31/2026 | 6/30/2026 vs. 6/30/2025 | ||||||||||||
Wealth assets (non-balance sheet) | $ 2,957 | $ 2,705 | $ 2,685 | $ 2,566 | $ 2,415 | $ 252 | 9 % | $ 542 | 22 % | |||||||||
CONSOLIDATED CONDENSED STATEMENTS OF CONDITION (Unaudited) | ||||||||||||||||||
(in thousands) | As of | Change | Change | |||||||||||||||
6/30/2026 | 3/31/2026 | 12/31/2025 | 9/30/2025 | 6/30/2025 | 6/30/2026 vs. 3/31/2026 | 6/30/2026 vs. 6/30/2025 | ||||||||||||
Assets | ||||||||||||||||||
Cash and due from banks | $ 128,029 | $ 113,891 | $ 194,946 | $ 153,084 | $ 124,351 | $ 14,138 | 12 % | $ 3,678 | 3 % | |||||||||
Federal funds sold | 1,050 | 1,951 | 1,325 | 950 | 1,900 | (901) | -46 % | (850) | -45 % | |||||||||
Securities available for sale | 226,098 | 213,286 | 201,684 | 189,673 | 175,535 | 12,812 | 6 % | 50,563 | 29 % | |||||||||
Loans, net of unearned income | 1,725,998 | 1,665,422 | 1,604,023 | 1,533,734 | 1,496,222 | 60,576 | 4 % | 229,776 | 15 % | |||||||||
Allowance for credit losses | (20,754) | (19,871) | (19,348) | (18,734) | (17,944) | (883) | 4 % | (2,810) | 16 % | |||||||||
Loans, net | 1,705,244 | 1,645,551 | 1,584,675 | 1,515,000 | 1,478,278 | 59,693 | 4 % | 226,966 | 15 % | |||||||||
Fixed assets | 3,326 | 3,447 | 3,625 | 3,821 | 3,980 | (121) | -4 % | (654) | -16 % | |||||||||
Interest receivable | 7,516 | 7,560 | 7,246 | 6,845 | 6,611 | (44) | -1 % | 905 | 14 % | |||||||||
Other assets | 59,859 | 54,169 | 52,723 | 52,825 | 58,967 | 5,690 | 11 % | 892 | 2 % | |||||||||
Total assets | $ 2,131,122 | $ 2,039,855 | $ 2,046,224 | $ 1,922,198 | $ 1,849,622 | $ 91,267 | 4 % | $ 281,500 | 15 % | |||||||||
Liabilities and Stockholders' Equity | ||||||||||||||||||
Liabilities: | ||||||||||||||||||
Deposits: | ||||||||||||||||||
Non-interest bearing deposits | $ 319,544 | $ 320,493 | $ 304,683 | $ 300,340 | $ 273,119 | $ (949) | 0 % | $ 46,425 | 17 % | |||||||||
Interest-bearing deposits | 1,438,204 | 1,467,134 | 1,526,302 | 1,397,942 | 1,299,175 | (28,930) | -2 % | 139,029 | 11 % | |||||||||
Total deposits | 1,757,748 | 1,787,627 | 1,830,985 | 1,698,282 | 1,572,294 | (29,879) | -2 % | 185,454 | 12 % | |||||||||
Total Borrowings | 188,322 | 78,299 | 38,831 | 58,809 | 118,786 | 110,023 | 141 % | 69,536 | 59 % | |||||||||
Accrued interest payable | 1,299 | 598 | 1,223 | 710 | 1,452 | 701 | 117 % | (153) | -11 % | |||||||||
Other liabilities | 20,464 | 20,950 | 26,521 | 20,657 | 21,333 | (486) | -2 % | (869) | -4 % | |||||||||
Total liabilities | 1,967,833 | 1,887,474 | 1,897,560 | 1,778,458 | 1,713,865 | 80,359 | 4 % | 253,968 | 15 % | |||||||||
Total stockholders' equity | 163,289 | 152,381 | 148,664 | 143,740 | 135,757 | 10,908 | 7 % | 27,532 | 20 % | |||||||||
Total liabilities and stockholders' equity | $ 2,131,122 | $ 2,039,855 | $ 2,046,224 | $ 1,922,198 | $ 1,849,622 | $ 91,267 | 4 % | $ 281,500 | 15 % | |||||||||
OAKWORTH CAPITAL INC. | ||||||||||||||||||
CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited) | ||||||||||||||||||
(in thousands) | Quarter Ended | Change | Change | |||||||||||||||
6/30/2026 | 3/31/2026 | 12/31/2025 | 9/30/2025 | 6/30/2025 | 2Q26 vs. 1Q26 | 2Q26 vs. 2Q25 | ||||||||||||
Interest income: | ||||||||||||||||||
Loans, including fees | $ 26,711 | $ 25,373 | $ 25,817 | $ 26,194 | $ 25,306 | $ 1,338 | 5 % | $ 1,405 | 6 % | |||||||||
Securities available for sale | 2,219 | 2,015 | 1,814 | 1,667 | 1,605 | 204 | 10 % | 614 | 38 % | |||||||||
Short term investments | 1,049 | 1,201 | 1,772 | 1,058 | 1,043 | (152) | -13 % | 6 | 1 % | |||||||||
Total interest income | 29,979 | 28,589 | 29,403 | 28,919 | 27,954 | 1,390 | 5 % | 2,025 | 7 % | |||||||||
Interest expense: | ||||||||||||||||||
Deposits | 9,931 | 10,375 | 11,289 | 11,357 | 11,049 | (444) | -4 % | (1,118) | -10 % | |||||||||
Borrowings | 1,605 | 763 | 678 | 1,114 | 1,022 | 842 | 110 % | 583 | 57 % | |||||||||
Total interest expense | 11,536 | 11,138 | 11,967 | 12,471 | 12,071 | 398 | 4 % | (535) | -4 % | |||||||||
Net interest income | 18,443 | 17,451 | 17,436 | 16,448 | 15,883 | 992 | 6 % | 2,560 | 16 % | |||||||||
Provision for credit losses | 2,007 | 1,315 | 1,010 | 905 | 1,236 | 692 | 53 % | 771 | 62 % | |||||||||
Net interest income after provision | 16,436 | 16,136 | 16,426 | 15,543 | 14,647 | 300 | 2 % | 1,789 | 12 % | |||||||||
for loan losses | ||||||||||||||||||
Non-interest income | 4,994 | 4,837 | 4,647 | 4,392 | 4,131 | 157 | 3 % | 863 | 21 % | |||||||||
Non-interest expense | 13,664 | 14,538 | 14,634 | 13,223 | 12,964 | (874) | -6 % | 700 | 5 % | |||||||||
Income before income taxes | 7,766 | 6,435 | 6,439 | 6,712 | 5,814 | 1,331 | 21 % | 1,952 | 34 % | |||||||||
Provision for income taxes | 1,901 | 1,565 | 1,145 | 1,653 | 1,434 | 336 | 21 % | 467 | 33 % | |||||||||
Net Income | 5,865 | 4,870 | 5,294 | 5,059 | 4,380 | 995 | 20 % | 1,485 | 34 % | |||||||||
Earnings per share - basic | $ 1.15 | $ 0.96 | $ 1.05 | $ 1.01 | $ 0.88 | $ 0.19 | 20 % | $ 0.27 | 31 % | |||||||||
Earnings per share - diluted | $ 1.13 | $ 0.94 | $ 1.04 | $ 1.01 | $ 0.88 | $ 0.19 | 20 % | $ 0.25 | 28 % | |||||||||
OAKWORTH CAPITAL INC. | |||||||||
CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited) | |||||||||
(in thousands) | YTD Period Ended | ||||||||
6/30/2026 | 6/30/2025 | Change | |||||||
Interest income: | |||||||||
Loans, including fees | $ 52,083 | $ 50,108 | $ 1,975 | 4 % | |||||
Securities available for sale | 4,234 | 3,080 | 1,154 | 37 % | |||||
Short term investments | 2,251 | 2,212 | 39 | 2 % | |||||
Total interest income | 58,568 | 55,400 | 3,168 | 6 % | |||||
Interest expense: | |||||||||
Deposits | 20,306 | 22,317 | (2,011) | -9 % | |||||
Borrowings | 2,369 | 1,659 | 710 | 43 % | |||||
Total interest expense | 22,675 | 23,976 | (1,301) | -5 % | |||||
Net interest income | 35,893 | 31,424 | 4,469 | 14 % | |||||
Provision for credit losses | 3,321 | 2,011 | 1,310 | 65 % | |||||
Net interest income after provision | 32,572 | 29,413 | 3,159 | 11 % | |||||
for loan losses | |||||||||
Non-interest income | 9,831 | 8,376 | 1,455 | 17 % | |||||
Non-interest expense | 28,202 | 25,289 | 2,913 | 12 % | |||||
Income before income taxes | 14,201 | 12,500 | 1,701 | 14 % | |||||
Provision for income taxes | 3,466 | 3,089 | 377 | 12 % | |||||
Net Income | 10,735 | 9,411 | 1,324 | 14 % | |||||
Earnings per share - basic | $ 2.11 | $ 1.89 | $ 0.22 | 12 % | |||||
Earnings per share - diluted | $ 2.07 | $ 1.89 | $ 0.18 | 10 % | |||||
For more information contact:
Jenifer Kimbrough
Phone: 205-263-4704
Email: jenifer.kimbrough@oakworth.com
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SOURCE Oakworth Capital Inc.