Smartfinancial, Inc. has reported its financial results for the third quarter of 2025, showing significant improvements across various key metrics compared to the same period last year and the previous quarter.
Net income for the third quarter of 2025 was $13.7 million, or $0.81 per diluted common share, compared to $9.1 million, or $0.54 per diluted common share, for the third quarter of 2024. This represents an increase of approximately 50% in net income and earnings per share from the same period last year.
Operating earnings, which excludes non-recurring income and expenses, net of tax adjustments, were $14.5 million, or $0.86 per diluted common share, in the third quarter of 2025, compared to $9.1 million, or $0.54 per diluted common share, in the third quarter of 2024. This demonstrates a significant improvement in operating earnings compared to the previous year.
The company achieved over $50 million in quarterly operating revenue, reflecting strong revenue generation during the third quarter of 2025.
Smartfinancial also reported net organic loan and lease growth of $98 million with a 10% annualized quarter-over-quarter increase, indicating a healthy expansion of its loan portfolio.
Deposit growth was another positive highlight, with an increase of $179 million or 15% annualized quarter-over-quarter, demonstrating strong growth in deposit balances.
The tangible book value per common share1 grew by 26% quarter over quarter, showcasing a significant increase in shareholder value during the third quarter of 2025.
Smartfinancial's strategic actions with SBKI resulted in a $4.0 million pre-tax gain associated with the sale of SBK Insurance, demonstrating the company's ability to unlock capital while maintaining strategic partnerships.
The company also repositioned $85 million of available-for-sale securities, resulting in a pre-tax loss of $3.9 million, a strategic move aimed at optimizing its investment portfolio.
Furthermore, Smartfinancial issued $100 million in subordinated debt to retire existing $40 million subordinated debt and fund additional growth, strengthening its capital structure for future opportunities.
In terms of net interest income and net interest margin, Smartfinancial reported net interest income of $42.4 million for the third quarter of 2025, compared to $40.3 million for the previous quarter. Average earning assets totaled $5.23 billion, representing an increase of $271.4 million from the prior quarter.
Following these announcements, the company's shares moved 0.28%, and are now trading at a price of $35.21. Check out the company's full 8-K submission here.
