Burke & Herbert Financial Services Corp. reported FY 2025 net income applicable to common shares of USD 116.4 million (up 232.3%), with basic EPS of USD 7.76 and diluted EPS of USD 7.72. Income before income taxes was USD 144.9 million and income tax expense was USD 27.6 million (effective tax rate 19.1%). Net interest income was USD 295.9 million (up 30.5%), driven by higher rates, and taxable-equivalent net interest margin was 4.14% versus 3.10% in FY 2024. Total non-interest income was USD 46.1 million (up 30.8%), while total non-interest expense was USD 195.6 million (down 1.1%); the efficiency ratio improved to 57.18% from 75.52%. Provision for credit losses was USD 1.5 million versus USD 24.2 million, with FY 2024 impacted by a one-time CECL Day 2 provision tied to the Summit merger. At December 31, 2025, Burke & Herbert had total assets of USD 7.9 billion, gross loans of USD 5.4 billion, total deposits of USD 6.4 billion, and total shareholders’ equity of USD 854.6 million (book value per common share USD 56.18). Non-performing assets totaled USD 76.9 million, including non-accrual loans of USD 70.6 million; non-performing loans were 1.38% of total loans and the allowance coverage ratio was 1.26%. The company noted it continued exiting non-core loans, and reported available unused borrowing capacity of USD 4.6 billion. Deposit mix shifted as brokered deposits declined to USD 64.4 million from USD 244.8 million, while core deposits increased; uninsured deposits were USD 2.1 billion. Corporate updates included the completed merger with Summit Financial Group, Inc. on May 3, 2024, and a pending merger agreement signed December 18, 2025 with LINKBANCORP, Inc., under which each LNKB share would convert into 0.1350 shares of Burke & Herbert common stock (cash in lieu of fractional shares), subject to shareholder and regulatory approvals. The bank also became a member of the Federal Reserve System on December 31, 2024, and management highlighted ongoing monitoring of its commercial real estate exposure, which totaled USD 2.8 billion (51.4% of gross loans) excluding owner-occupied CRE and acquisition, construction & development, or USD 3.7 billion (69.6% of gross loans) including those categories.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Burke & Herbert Financial Services Corp. published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0001964333-26-000016), on February 27, 2026, and is solely responsible for the information contained therein.