Seacoast Banking Corp. of Florida: Q2 FY2026 earnings call

What management said about Q2 FY2026, from the documents filed with the SEC on 28 July 2026: press release. The quarter’s numbers.

Key takeaways

Net income surged 87% from prior quarter: Net income totaled $59.5 million or $0.55 per diluted share, up from $31.9 million or $0.29 in Q1. Adjusted net income was $65.8 million or $0.61 per share. Source
Citizens First conversion completed successfully in July: Customer conversion from Citizens First Bank to Seacoast platforms completed in early July after months of preparation and complex technical work. Source
Organic loan growth accelerated to 16% annualized: Loan balances increased $504.0 million or 16% annualized during Q2, driven by strong origination volume and lower payoffs compared to Q1. Source
Efficiency ratio improved to 58.52%: Efficiency ratio improved from 59.47% in Q1 to 58.52% in Q2. Adjusted efficiency ratio improved to 54.54% from 55.31%. Source
Assets under management grew 45% year-over-year: Wealth management AUM reached $3.2 billion at June 30, 2026, up 45% from approximately $2.2 billion a year prior. Source

“Seacoast delivered another quarter of strong financial performance, reflecting the strength of our franchise, the resilience of our markets, and the disciplined execution of our associates across the organization.”
Charles M. Shaffer, Seacoast's Chairman and CEO

What changed from last quarter

New: Citizens First Bank customer conversion to Seacoast platforms completed in early July, finalizing one of company's most complex integrations. Source

Quarterly Financial Results

Net income surged 87% from prior quarter: Net income totaled $59.5 million or $0.55 per diluted share, up from $31.9 million or $0.29 in Q1. Adjusted net income was $65.8 million or $0.61 per share. Source
Net revenues increased 27% from first quarter: Net revenues were $208.2 million including reversal of Q1's $39.5 million securities loss that did not recur. Adjusted net revenues rose 2% to $210.0 million. Source

Citizens First Integration Achievement

Citizens First conversion completed successfully in July: Customer conversion from Citizens First Bank to Seacoast platforms completed in early July after months of preparation and complex technical work. Source
Integration enhanced earnings profile and franchise: Citizens First acquisition strengthened market position in The Villages, expanded franchise, enhanced earnings profile, and improved ability to generate sustainable long-term growth. Source

“I could not be more proud of our team for delivering an exceptionally smooth client experience while executing a highly complex technical conversion.”
Charles M. Shaffer, Seacoast's Chairman and CEO

Loan Growth and Market Opportunities

Organic loan growth accelerated to 16% annualized: Loan balances increased $504.0 million or 16% annualized during Q2, driven by strong origination volume and lower payoffs compared to Q1. Source
Commercial pipeline expanded 50% year-over-year: Commercial pipelines totaled $1.3 billion at quarter-end, up $430.0 million or 50% from prior year quarter. Source

Net Interest Income and Margin Performance

Net interest income grew 2% sequentially to $180.4 million: Net interest income totaled $180.4 million, up $3.9 million or 2% from Q1, and up $53.5 million or 42% from prior year. Source
Net interest margin remained stable at 3.83%: NIM was stable sequentially at 3.83% but up 25 basis points from prior year, reflecting higher securities and loan yields plus lower funding costs. Source
Securities yields improved 60 basis points year-over-year: Securities yields increased to 4.47%, up 10 basis points sequentially and 60 basis points from prior year, benefiting from higher-yielding reinvestments. Source

“With the successful integration of our recent acquisitions now complete, an outstanding team in place, and a strong balance sheet supporting future growth, we enter the second half of 2026 with considerable momentum and confidence in our ability to create sustained value for our shareholders, customers, associates, and communities.”
Charles M. Shaffer, Seacoast's Chairman and CEO

Deposit Growth and Funding Dynamics

Deposits grew 3.7% annualized to $16.8 billion: Total deposits increased $154.3 million or 3.7% annualized in Q2. Noninterest-bearing demand deposits grew 4% annualized to $4.2 billion. Source
Cost of deposits declined 27 basis points year-over-year: Deposit costs fell to 1.53% from 1.54% in Q1 and 1.80% in prior year quarter, reflecting improved funding cost dynamics. Source
Customer funding shows strong granular base: Customer transaction accounts represented 48% of total deposits. Top ten depositors represented only 2% of customer deposits, showing highly diversified franchise. Source

Asset Quality and Credit Performance

Nonperforming loans declined 9% from prior quarter: Nonperforming loans decreased to $86.5 million or 0.66% of total loans from $95.0 million or 0.75% in Q1. Source
Net charge-offs remained very low at 0.10% annualized: Net charge-offs totaled $3.2 million in Q2 versus $3.3 million in Q1. Four-quarter average of 0.09% reflects disciplined underwriting and strong borrowers. Source
Allowance for credit losses at 1.38% of loans: ACL coverage remained stable at 1.38%, down one basis point from Q1, reflecting record loan growth and low charge-offs. Source

Operating Efficiency and Expense Control

Efficiency ratio improved to 58.52%: Efficiency ratio improved from 59.47% in Q1 to 58.52% in Q2. Adjusted efficiency ratio improved to 54.54% from 55.31%. Source
Noninterest expense grew only 1% sequentially: Noninterest expense was $123.1 million, up just $0.9 million or 1% from Q1, demonstrating disciplined expense management despite revenue growth. Source
Merger and integration costs remain manageable: Merger and integration costs totaled $8.4 million in Q2 versus $8.5 million in Q1, related to Citizens First platform conversion completed in July. Source

Capital Strength and Shareholder Returns

Share repurchases totaled over 1 million year-to-date: Company repurchased 751,680 shares in Q2 and 1,072,443 shares year-to-date, leveraging strong capital position. Source
Book value per share increased to $28.20: Book value per share rose to $28.20 from $27.83 in Q1. Tangible book value per share treating preferred as common was $17.25. Source
Liquidity sources represent 181% of uninsured deposits: Company had $9.2 billion in available borrowing capacity plus $429.9 million in cash, well above requirements. Source

Wealth Management Business Growth

Assets under management grew 45% year-over-year: Wealth management AUM reached $3.2 billion at June 30, 2026, up 45% from approximately $2.2 billion a year prior. Source
Organic asset inflows of $388 million in first half: Wealth management division added $388 million in new organic assets in H1 2026 through robust business development and strong client retention. Source
Wealth management income up 42% year-over-year: Wealth management income totaled $6.0 million in Q2, up $1.8 million or 42% from prior year quarter. Source

Coming up, as management said on 28 July 2026

Full realization of Citizens First integration benefits: With platform conversion completed in early July, company expects to realize operational and earnings synergies throughout remainder of 2026. Source
Additional margin expansion from higher-yielding securities: Securities repositioning in Q1 with reinvestment in higher-yielding positions positions portfolio for continued margin improvement. Source

Risks management discussed

External: Natural disasters including hurricanes in Florida footprint could disrupt operations and increase costs for company and customers. Source
Operational: Integration execution risks remain as company realizes full earnings synergies from recent acquisitions including Citizens First. Source

Earlier plans management reported on

Met: Conversion completed in early July 2026 as previously guided in Q1 earnings release Source
On track: CEO stated in Q1 that strategy to improve shareholder returns and deliver on 2026 guidance remains on track

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

SEACOAST REPORTS SECOND QUARTER 2026 RESULTS

Strong Organic Loan Growth with Expanding Pipeline

Well-Positioned Balance Sheet with Robust Capital and Liquidity

STUART, Fla., July 28, 2026 /BUSINESS WIRE/ -- Seacoast Banking Corporation of Florida ("Seacoast" or the "Company") (NASDAQ: SBCF) today reported unaudited results of operations and other financial information for the second quarter of 2026.

Second Quarter 2026 Highlights

Net income of $59.5 million, or $0.55 per share, increased 87% from the prior quarter and 39% from the prior year quarter. Adjusted net income was $65.8 million, or $0.61 per share.
Adjusted pre-tax pre-provision earningsincreased 4% from the prior quarter and 52% from the prior year quarter.
16% annualized organic loan growth.
Total deposits increased 4% on an annualized basis, including a 4% annualized increase in noninterest-bearing deposits.
Cost of deposits declined to 1.53%.
Net interest income grew 2% from the prior quarter and 42% from the prior year quarter.
Net interest margin was stable at 3.83% and, excluding accretion on acquired loans, expanded eight basis points from the prior quarter to 3.65%.
Revenue growth continued to outpace expense, resulting in improved operating leverage and an improved efficiency ratio.
Repurchased 751,680 shares of common stock during the quarter, and 1,072,443 shares of common stock year to date.

Charles M. Shaffer, Seacoast's Chairman and CEO, said, "Seacoast delivered another quarter of strong financial performance, reflecting the strength of our franchise, the resilience of our markets, and the disciplined execution of our associates across the organization. In early July, we successfully completed the conversion of customers from Citizens First Bank to Seacoast's platforms, marking the culmination of one of the most significant and complex integrations in our company's history. I could not be more proud of our team for delivering an exceptionally smooth client experience while executing a highly complex technical conversion. Their preparation, commitment, and relentless focus on excellence ensured a seamless transition for customers and demonstrated the extraordinary talent and capabilities that exist throughout Seacoast.

Shaffer continued, “The Villages® remains one of the most attractive growth markets in Florida, supported by exceptional demographics, continued economic expansion, and significant opportunities to deepen customer relationships. This acquisition has strengthened our position in this premier market, expanded our franchise, enhanced our earnings profile, and improved our ability to generate sustainable long-term growth. Just as importantly, we have welcomed team members and customers that share our commitment to community banking, exceptional service, and local decision-making.

“Beyond the successful completion of the conversion, we delivered another strong quarter, supported by healthy loan and demand deposit growth, diversified revenue streams, and disciplined execution across the organization. Our balance sheet remains exceptionally strong, underpinned by industry-leading capital levels, substantial liquidity, and excellent asset quality. These strengths provide the flexibility to continue to invest in our franchise, support our clients, and capitalize on opportunities across our footprint while maintaining a prudent risk posture.

Shaffer concluded, “As Seacoast celebrates its 100 year, we remain optimistic about the future. The markets we serve continue to benefit from favorable population growth, strong economic fundamentals, and attractive long-term growth trends. With the successful integration of our recent acquisitions now complete, an outstanding team in place, and a strong balance sheet supporting future growth, we enter the second half of 2026 with considerable momentum and confidence in our ability to create sustained value for our shareholders, customers, associates, and communities.”