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Great Southern Q1 2025 Earnings Report
Great Southern Bancorp, Inc. reported preliminary first quarter earnings for 2025, with diluted earnings per common share of $1.47 and net income of $17.2 million, driven by increased net interest income and improved asset quality.
Key Takeaways
Great Southern Bancorp, Inc. announced strong preliminary first quarter 2025 results, with diluted earnings per common share of $1.47, up from $1.13 in the prior year. Net income increased to $17.2 million, primarily due to a 10.1% rise in net interest income to $49.3 million, supported by higher loan interest income and lower interest expense on deposit accounts. The company also maintained strong capital and liquidity positions.
Net interest income increased by $4.5 million (10.1%) to $49.3 million, driven by higher interest income on loans and lower interest expense on deposit accounts.
Diluted earnings per common share rose to $1.47 from $1.13 in the prior year, with net income reaching $17.2 million.
Annualized return on average common equity was 11.30%, and annualized return on average assets was 1.15%, both showing improvement from the prior year.
Non-performing assets decreased slightly to $9.5 million (0.16% of total assets), indicating stable asset quality.
Great Southern
Great Southern
Great Southern Revenue by Segment
Revenue by Segment
One- to Four-Family Residential Revenue
CapyFin.comOther Residential Revenue
CapyFin.comCommercial Real Estate Revenue
CapyFin.comConstruction Revenue
CapyFin.comCommercial Business Revenue
CapyFin.comOther Loans Revenue
CapyFin.com Forward Guidance
Great Southern Bancorp, Inc. anticipates continued focus on cost management, safeguarding credit quality, and optimizing funding mix for long-term financial stability. The company expects its effective tax rate to be between 18.0% and 20.0% in future periods and plans to continue returning value to shareholders through dividends and share repurchases.
Positive Outlook
- Continued tight cost management to maintain operating discipline.
- Commitment to safeguarding credit quality through prudent lending practices.
- Strategic optimization of funding mix to ensure long-term financial stability.
- Anticipated effective tax rate (combined federal and state) of approximately 18.0% to 20.0% in future periods.
- Continued return of value to shareholders through dividends and share repurchases.
Challenges Ahead
- Potential for fluctuations in effective tax rate due to changes in tax credit utilization, tax-exempt investments, and taxable income.
- No assurance on the timing or execution of final agreements for the previously proposed new core banking platform.
- Uncertainty regarding the realization of further interest income from the terminated swap after the first three quarters of 2025.
- Potential for additional provisions for credit losses if challenging economic conditions persist or management's assessment of the loan portfolio changes.
- Market rates for time deposits, while recently declining, could still impact funding costs if they rise again.