Press Release: TOUCHMARK BANCSHARES, INC. REPORTS FOURTH QUARTER RESULTS

Dow Jones
Feb 11

Strengthens Leadership Team and Maintains Annual Dividend

ALPHARETTA, Ga., Feb. 11, 2026 /PRNewswire/ -- Touchmark Bancshares, Inc. (OTCID: TMAK), the holding company for Touchmark National Bank, today reported financial results for the fourth quarter and year ended December 31, 2025.

Key highlights of Touchmark Bancshares' results for the quarter ending December 31, 2025 include:

   -- Net income decreased 28% to $439,000, driven by the acceleration of 
      unamortized premiums; 
 
   -- Deposits, excluding brokered, increased by $2.6 million along with a 
      reduction in deposit expense; 
 
   -- Added a Chief Lending Officer and new loan production topped $6 million; 
      and 
 
   -- Declared $0.65 per share annual dividend. 

"During the fourth quarter, net loan growth did not turn positive as expected because of unexpected loan payoffs totaling $4.5 million even though new loan production for the quarter topped $6 million, the highest quarterly growth rate in over two years," said Bobby Krimmel, President and CEO of Touchmark National Bank. "Deposit growth, excluding brokered deposits, turned positive for the quarter with new customer growth in core non-interest checking and money market accounts on top of a reduction in deposit expense of 23 basis points. Net income fell below our expectations for the quarter because loan purchase premium amortization expense accelerated by $310,000."

Krimmel continued, "We added Addam Taussig as our Executive Vice President and Chief Lending Officer during the quarter, and he quickly delivered the highest quarter of loan production for the year and built a pipeline of opportunities for Touchmark that top $40 million. We continue to reshape the balance sheet with organic loan growth, new deposit relationships and a reduction in non-core funding dependence with our growth strategy focused on full relationship banking for entrepreneurs, small and medium sized businesses with revenue up to $50 million."

Fourth Quarter 2025 Results of Operations

   -- Net income increased to $439,000 for the fourth quarter of 2025 compared 
      to a net loss of $308,000 for the same period for 2024 but decreased 28% 
      from the sequential quarter, driven by lower net interest income of 
      $311,000; 
 
   -- Net interest income decreased 21% to $2.4 million for the fourth quarter 
      of 2025 compared to the same period for 2024 and declined by $311,000, or 
      12%, from the sequential quarter driven by higher loan purchase premium 
      amortization expense of $310,000 driven by the unexpected payoff of 
      purchased loans; 
 
   -- Non-interest income decreased 16% to $152,000 for the fourth quarter of 
      2025 compared to the same period for 2024 but increased by $42,000, or 
      38%, from the sequential quarter driven by an increase in early loan 
      prepayment revenue of $40,000; and 
 
   -- Non-interest expense increased 34% to $1.9 million compared to the same 
      period for 2024 and increased by $102,000 from the sequential quarter 
      driven by higher salaries and employee benefits expense of $71,000. 

Balance Sheet and Capital

   -- Total loans declined by $55 million, or 14%, to $325 million during the 
      fourth quarter of 2025 compared to the same period in 2024 and decreased 
      by $4.7 million, or 1%, from the sequential quarter driven by normal 
      amortization of the loan portfolio of $6.2 million and unexpected loan 
      payoffs from the purchased loan portfolio of $4.5 million partially 
      offset by new loan growth of $6.1 million; 
 
   -- Total deposits decreased by $31 million, or 8%, to $339 million during 
      the fourth quarter of 2025 compared to the same period in 2024 driven by 
      a reduction in time deposits of $34.2 million, brokered deposits of $31.6 
      million, and internet time deposits of $7.9 million offset in part by 
      growth in money market deposits of $42.6 million. Total deposits declined 
      by $338,000 from the sequential quarter, driven by a reduction in time 
      deposits of $16.5 million, brokered deposits of $2.9 million, internet 
      time deposits of $2.7 million, offset in part by growth in money market 
      deposits of $17.1 million and non-interest bearing demand deposits of 
      $4.7 million; 
 
   -- As of December 31, 2025, book value per share decreased 1% to $15.84 
      compared to the same period in 2024 and decreased by $0.55 compared to 
      the sequential quarter; and 
 
   -- The Company declared its annual dividend for 2025 at $0.65 per share. 

Asset Quality

   -- Nonperforming assets, net of government guarantees, for the fourth 
      quarter of 2025 decreased to $6.5 million, or 1.56% of total assets, 
      compared to $7.6 million, or 1.68% of total assets, for the same period 
      in 2024 but increased by $43,000 compared to the sequential quarter 
      driven by a small problem loan that is in resolution; 
 
   -- Net charge-offs to average loans increased to 0.01% for the fourth 
      quarter of 2025 compared to net charge-offs of 4.74% for the same period 
      in 2024 and net recoveries of 0.00% for the sequential quarter; and 
 
   -- Allowance for credit losses represented 0.78% of total loans outstanding 
      as of the fourth quarter of 2025, up from 0.62% for the same period in 
      2024 and from 0.73% for the sequential quarter. 

About Touchmark Bancshares, Inc. and Touchmark National Bank

Touchmark Bancshares, Inc. is the holding company for Touchmark National Bank, a community bank founded in 2008 and headquartered in Alpharetta, Georgia, serving Cherokee, Cobb, Dekalb, Forsyth, Gwinnett, and North Fulton counties. As of December 31, 2025, Touchmark reported total assets of $418 million and total shareholders' equity of $71 million. For more information about Touchmark, visit us at www.touchmarknb.com under Investor Relations.

Cautionary Note Regarding Forward Looking Statements

This news release may contain certain "forward-looking statements" that represent Touchmark's expectations or beliefs concerning future events and often use words or phrases such as "opportunities," "prospects," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," "intends" or similar expressions. Such forward-looking statements contained herein represent the current expectations, plans or forecast of Touchmark and are about matters that are inherently subject to risks and uncertainties. These statements are not guarantees of future results or performance and readers are cautioned not to place undue reliance on them, whether included in this news release or made elsewhere from time to time by Touchmark or on its behalf. Touchmark disclaims any obligation to update such forward-looking statements.

 
TOUCHMARK BANCSHARES, INC. AND SUBSIDIARY 
 CONSOLIDATED BALANCE SHEETS 
                                             (unaudited) 
                                              December     December 
                                                 31,          31, 
                 (dollars in thousands, 
                 except per share data)         2025        2024(1) 
                                             -----------  ----------- 
ASSETS           Cash and due from banks     $       546  $     1,184 
                 Interest-bearing deposits        65,102       41,408 
                 Federal funds sold                5,175        5,175 
                                             -----------  ----------- 
                              Total cash 
                               and cash 
                               equivalents        70,823       47,767 
                                             -----------  ----------- 
                 Securities: 
                 Available-for-sale               10,806       10,019 
                 Equity securities                 1,598        1,654 
                 Loans, net of deferred 
                  fees                           324,725      379,419 
                 Allowance for credit 
                  losses                         (2,543)      (2,358) 
                                             -----------  ----------- 
                          Net loans              322,182      377,061 
                 Bank premises and 
                  equipment, net                   1,490        1,217 
                 Other Real Estate                 5,826        6,888 
                 Deferred tax asset                1,351        1,112 
                 Other assets                      3,561        4,573 
                                             -----------  ----------- 
                               TOTAL ASSETS  $   417,637  $   450,291 
                                              ==========   ========== 
 
LIABILITIES      Deposits: 
                 Noninterest-bearing         $    17,722  $    16,957 
                 Interest-bearing                320,972      352,590 
                                             -----------  ----------- 
                          Total deposits         338,694      369,547 
                 Accounts payable and 
                  accrued liabilities              8,027        9,331 
                          TOTAL LIABILITIES      346,721      378,878 
                                             -----------  ----------- 
 
                 Common stock - $0.01 par 
                 value per share, 
SHAREHOLDERS'    50,000,000 shares 
                    authorized; 4,476,891 
                    shares issued and 
EQUITY              outstanding as of 
                    the periods presented             45           45 
                 Additional paid-in capital       46,895       46,881 
                 Retained earnings                24,523       25,266 
                 Accumulated other 
                  comprehensive loss               (547)        (779) 
                                             -----------  ----------- 

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February 11, 2026 08:00 ET (13:00 GMT)

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