Red River Bancshares (RRBI) Q4 2025 earnings summary

Executive summary

• Achieved record-high net income of $11.4 million for Q4 2025, up 5.7% sequentially, and $42.8 million for the full year, a 24.9% increase year-over-year.

• EPS was $1.73 for Q4 and $6.38 for the year, with annual return on assets at 1.33% and return on equity at 12.58%.

• Strong loan and deposit growth, improved net interest margin, and increased capital return to shareholders through dividends and stock repurchases.

Financial highlights

• Net interest income for Q4 was $28.2 million, up $1.4 million (5.0%) from Q3; net interest margin FTE rose to 3.51%.

• Noninterest income for Q4 was $4.9 million, down 1.5% sequentially, with $127,000 in nonrecurring partnership income and $89,000 in nonrecurring loan fees.

• Operating expenses increased 2.0% sequentially to $18.3 million, mainly due to higher personnel and technology costs.

• Loans HFI grew 3.5% sequentially to $2.25 billion; deposits rose 4.4% to $2.96 billion.

• Asset quality remained strong with NPAs at 0.11% of assets and net charge-offs at 0.01% of average loans.

Outlook and guidance

• Expectation for slight increases in net interest income and margin in Q1 2026, with opportunities to reprice maturing loans and deposits at favorable rates.

• Anticipate continued organic expansion, including new facilities in Shreveport and Acadiana markets.

• Projected FOMC rate cuts in 2026 may lower deposit costs and impact short-term asset yields.