Stonegate Updates Coverage on Third Coast Bancshares, Inc. (TCBX) Q3 2025

Rhea-AI Summary

Third Coast Bancshares (NYSE: TCBX) reported 3Q25 results and a material acquisition update. Net income was $18.1M versus $16.7M in 3Q24. Basic EPS was $1.22 and diluted EPS was $1.03. Management cited stronger net interest income and higher non-margin loan fees, partly offset by a higher provision for credit losses.

Key corporate action: announced a definitive agreement to acquire Keystone Bancshares for approximately $123 million, creating pro forma assets of >$6 billion with closing targeted for 1Q26. Other metrics: ROAA improved to 1.41% from 1.38% sequentially; net interest margin was 4.10% in 3Q25 versus 4.22% in 2Q25 and 3.73% year-over-year. The firm plans to sustain a 1% operational efficiency improvement and expects stable non-interest expenses.

Positive

• Definitive agreement to acquire Keystone Bancshares for ~$123 million
• Pro forma assets expected to exceed $6 billion on close (targeted 1Q26)

Negative

• Net interest margin declined to 4.10% in 3Q25 from 4.22% in 2Q25
• Higher provision for credit losses partially offset earnings

Dallas, Texas--(Newsfile Corp. - October 24, 2025) - Third Coast Bancshares, Inc. (NYSE: TCBX): Stonegate Capital Partners updates their coverage on Third Coast Bancshares, Inc. For 3Q25, Third Coast reported net income of $18.1M, which is up from $16.7M in 3Q24. This was equal to a basic and diluted EPS of $1.22 and $1.03, respectively. The Q/Q increase was primarily attributed to stronger net interest income and higher non-margin loan fees. However, this increase was partially offset by a higher provision for credit losses. We anticipate that the Company will continue prioritizing operational efficiency by sustaining its 1% improvement initiative with our forecast that non-interest expenses will remain stable. This strategy is expected to support Third Coast in the current macroeconomic landscape.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Announced definitive agreement to acquire Keystone Bancshares for ~$123 million; pro forma assets >$6 billion with closing targeted for 1Q26.
• Net income rose to $18.1M in 3Q25, with ROAA improving to 1.41% from 1.38% sequentially.
• Net interest margin was 4.10% in 3Q25, versus 4.22% in 2Q25 and 3.73% y/y.

Click image above to view full announcement.

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About Stonegate

Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking, equity research and capital raising for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/271791

FAQ

What did Third Coast Bancshares report for net income in 3Q25 (TCBX)?

Third Coast reported $18.1M net income in 3Q25, up from $16.7M in 3Q24.

What are Third Coast Bancshares' 3Q25 EPS figures (TCBX)?

3Q25 basic EPS was $1.22 and diluted EPS was $1.03.

What acquisition did Third Coast announce and when is it expected to close (TCBX)?

Third Coast announced a definitive agreement to acquire Keystone Bancshares for ~$123 million, with closing targeted for 1Q26.

How will the Keystone acquisition affect Third Coast's balance sheet (TCBX)?

The transaction is expected to produce pro forma assets of >$6 billion upon closing.

What was Third Coast's net interest margin in 3Q25 and how did it change (TCBX)?

Net interest margin was 4.10% in 3Q25, down from 4.22% in 2Q25 and up from 3.73% year-over-year.

What operational actions is Third Coast taking to manage expenses (TCBX)?

The company plans to sustain a 1% operational efficiency improvement initiative and expects non-interest expenses to remain stable.