Stock Track | South Plains Financial (SPFI) Soars 5.21% Following Strong Q2 2025 Earnings and Growth Strategy

Stock Track
Jul 17, 2025

Shares of South Plains Financial Inc. (SPFI) surged 5.21% in Thursday's trading session, following the company's release of its second quarter 2025 earnings report. The regional bank, which serves Texas markets, delivered improved financial results and outlined a strategic growth plan that resonated with investors.

South Plains reported diluted earnings per share of $0.86 for Q2 2025, up from $0.72 in the previous quarter. This impressive 19% increase was partly driven by a one-time benefit of $0.09 per share from a recovered non-accrual loan. The bank's net interest margin expanded significantly to 4.07% from 3.81% quarter-over-quarter, reflecting improved profitability in its core lending operations.

Despite facing headwinds from loan payoffs, South Plains achieved modest loan growth, with loans held for investment increasing by $23.1 million to $3.1 billion. The company also saw a notable rise in non-interest income, which grew to $12.2 million from $10.6 million in the linked quarter. Management emphasized its focus on strategic hiring, particularly in the Dallas market, to drive future loan and deposit growth. This proactive approach to expanding the bank's lending capabilities and market share appears to have bolstered investor confidence in South Plains' growth prospects.

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