SVB&T Corporation reports record second-quarter, first-half earnings

Jasper–SVB&T Corporation, the Jasper-based parent company of Springs Valley Bank & Trust Company, reported unaudited second-quarter earnings of $3.04 million, or $2.75 per basic share, the company announced Thursday. That’s a 41.75% increase in per-share earnings over the same period last year.

The bank’s return on average assets was 1.84% for the quarter, up from 1.34% a year earlier.

Net interest income before provision expense rose to $5.87 million for the quarter, from $5.12 million in the second quarter of 2025. The company attributed the increase to higher loan balances and loans repricing at higher rates, partly offset by lower deposit costs following the Federal Reserve’s rate cuts in late 2025.

Noninterest income grew by about $763,000 to $3.13 million, driven largely by the bank’s Financial Advisory Group, sold mortgages and loan servicing fees. Noninterest expense increased $424,000 to $5.29 million, reflecting higher salaries, health insurance costs and core processing expenses.

For the six months ended June 30, SVB&T reported earnings of $6.03 million, or $5.47 per share — a 42.08% increase in per-share earnings over the same period in 2025. Year-to-date ROAA was 1.85%, compared with 1.33% a year earlier.

Total assets grew $30.31 million in the first half of 2026 to $673.79 million. Total loans increased $22.22 million to $516.31 million, with growth concentrated in commercial real estate and commercial lines of credit as the bank deployed cash reserves built up in 2025. Total deposits rose $25.79 million to $588.24 million, driven by growth in interest-bearing accounts.

Book value per share rose to $72.34 as of June 30, up 18.55% from $61.02 a year earlier. Shares closed at $66.72 on the OTCQX exchange on June 30, up from $43.00 a year prior.

The company’s board reauthorized a share repurchase program in May 2025, running through June 2027, authorizing up to $1 million in stock buybacks. As of the end of the second quarter, 2,100 shares had been repurchased under the plan at an average price of $47.03.

President and CEO J. Craig Buse called 2026 “one of the best years in terms of earnings and profitability in the history of SVB&T Corporation,” pointing to continued margin expansion along with contributions from the Financial Advisory Group and sold mortgage income.

“We are beginning to see net interest margin plateau in the second quarter of 2026 as expected future rate increases are affecting the short end of the curve and deposit pricing, and the asset repricing cycle from 2020 and 2021 interest rate lows is ending,” he said. “Overall, the bank continues to focus on quality in the credit portfolio and low cost core deposit growth, which we believe are all fundamental drivers of the long-term profitability of SVB&T.”