Highlights

  • Origin Bancorp reported higher quarterly net income driven by lower interest expense and margin expansion.
  • Full-year diluted EPS declined slightly despite a notable increase in pre-tax, pre-provision earnings.
  • Loan balances increased sequentially while deposit levels remained stable after quarter-end adjustments.

Origin Bancorp, Inc. (NYSE:OBK) reported net income of USD 29.5 million for the fourth quarter ended December 31, 2025, translating to diluted earnings per share of USD 0.95. This compares with net income of USD 8.6 million, or USD 0.27 per diluted share, in the preceding quarter. Pre-tax, pre-provision (PTPP) earnings totaled USD 40.6 million for the quarter, down from USD 47.8 million in the linked quarter.

Annualized return on average assets (ROAA) for the quarter was reported at 1.19%, reflecting an increase from the prior quarter. PTPP ROAA for the quarter stood at 1.64%, lower on a sequential basis.

Full-Year 2025 Performance
For the year ended December 31, 2025, Origin Bancorp recorded net income of USD 75.2 million, or diluted EPS of USD 2.40. This represented a decrease of 2.0% from diluted EPS of USD 2.45 reported for full-year 2024. PTPP earnings for the year increased to USD 141.9 million, compared to USD 104.7 million in the prior year.

Book value per common share rose to USD 40.28 at year-end, up 9.7% year-over-year. Tangible book value per common share increased to USD 35.04, reflecting an 11.7% increase from December 31, 2024.

Net Interest Income and Margin Trends
Net interest income for the fourth quarter reached USD 86.7 million, marking a sequential increase of 3.6%. The increase was primarily attributed to a reduction in interest expense, partially offset by lower interest income. The fully tax-equivalent net interest margin expanded to 3.73%, the highest level reported since the fourth quarter of 2022.

The yield on interest-earning assets declined to 5.76%, while the average rate paid on interest-bearing liabilities decreased to 2.96% during the quarter.

Credit Quality and Provisioning
Provision for credit losses totaled USD 3.2 million for the quarter, significantly lower than the prior quarter, which included elevated provisioning related to previously disclosed borrower fraud. Nonperforming loans declined to USD 81.2 million at quarter-end, while net charge-offs decreased to an annualized rate of 0.17% of average loans.Allowance for loan credit losses stood at 1.26% of total loans held for investment.

Balance Sheet Developments
Total loans held for investment increased to USD 7.67 billion at December 31, 2025, reflecting a 1.8% sequential increase. Total deposits were reported at USD 8.31 billion, with adjusted balances showing a sequential increase when excluding temporary deposit transactions executed at quarter-end.

Share Performance
OBK shares closed at USD 40.73 on January 28, 2026, Down 0.66% during the session.