SMARTFINANCIAL INC. has recently released its 10-Q report, providing insights into its financial performance and operations. SmartFinancial, Inc. operates as the bank holding company for SmartBank, offering various financial services to individuals and corporate customers in Tennessee, Alabama, and Florida. The company's primary activities include accepting various deposits, providing commercial and residential real estate loans, consumer loans, and offering wealth management, insurance, mortgage origination, and internet and mobile banking services.
In ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS, the report highlights the company's focus on making loans secured primarily by commercial real estate and other types of secured and unsecured commercial loans to small and medium-sized businesses in various industries. The company's principal sources of funds for loans and investing in securities are deposits and, to a lesser extent, borrowings. It actively pursues business relationships by utilizing the business contacts of its senior management, other bank officers, and directors, capitalizing on its knowledge of local market areas.
The report also contains a "Forward-Looking Statement" cautioning investors about potential risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. The company outlines various factors such as economic and market conditions, changes in interest rates, competition, regulatory changes, and geopolitical events that could impact its future performance.
The "Executive Summary" section provides a snapshot of the company's financial highlights and significant events during the second quarter and first six months of 2025. Notable figures include net income totaling $11.7 million for the second quarter of 2025, compared to $8.0 million for the same period in 2024, and net income totaling $23.0 million for the first six months of 2025, compared to $17.4 million for the same period in 2024. The annualized return on average assets for the three months and six months ended June 30, 2025, also improved compared to the same periods in 2024.
Moreover, the report presents selected financial information for the three and six month periods ended June 30, 2025, and 2024, showcasing key figures such as interest income, net interest income, provision for credit losses, noninterest income, noninterest expense, income before income taxes, and net income.
The "Balance Sheet" section reveals an increase in net loans and leases and deposit growth from December 31, 2024.
In the "Analysis of Results of Operations" section, the report compares the company's net income, net interest income, noninterest income, noninterest expense, and tax equivalent net interest margin for the second quarter of 2025 with the same period in 2024, providing a detailed breakdown of the factors contributing to the changes in financial performance.
As a result of these announcements, the company's shares have moved -0.18% on the market, and are now trading at a price of $33.17. For more information, read the company's full 10-Q submission here.
