ServisFirst added $24.4 million to three-month profit, nearly three times the $8.6 million securities loss that weighed on the comparable period. Net income reached $85.8 million from $61.4 million, and diluted EPS rose 40.2% to $1.57.
That is a substantial increase, but the comparison has two layers. ServisFirst earned more from both interest and noninterest activities, while the prior-year period carried a securities loss tied to a portfolio restructuring. The headline is clean; the base is not.
The bank put the explanation plainly:
"The increase in net income for both the three and six months ended June 30, 2026 compared to 2025 was driven by growth in both net interest income and noninterest income, adjusted for $8.6 million of securities losses in the second quarter of 2025."
ServisFirst 10-Q, Aug. 7, 2026
In ordinary English, the latest three months benefited from operating growth and an easier comparison. The filing does not split the $24.4 million increase between those two effects, so the exact contribution from the prior-year loss is not disclosed.
One piece of the noninterest-income story was mortgage activity. ServisFirst said the year-over-year increase was primarily tied to loans sold into the secondary market:
"The increase on a year-over-year basis was primarily due to an increase in loans sold into the secondary market."
ServisFirst 10-Q, Aug. 7, 2026
That gives the profit increase a more specific operating receipt than a bare margin story. Mortgage sales helped the latest period, but the disclosure does not say how much of the income increase they represented or whether the same contribution recurs.
The balance sheet moved in the same general direction as earnings. Stockholders’ equity as a share of total assets rose to 10.78% at June 30 from 10.44% at Dec. 31, 2025. Diluted shares were essentially flat, so the per-share increase was not the result of a shrinking share count.
There is also a cost-of-funds wrinkle. ServisFirst says it expects a higher average cost for local deposits than competitor banks because it lacks an extensive branch network. That is a durable operating condition, not a new explanation for this period’s profit increase, but it frames what the bank has to manage as net interest income grows.
The broader regional-bank group was active on Aug. 7, with 19 of 23 members crossing the activity threshold and SFBS among the most active names. That is a description of trading behavior, not an explanation for the bank’s results.
The next three-month comparison will put the latest operating mix against the current $85.8 million result, with the $8.6 million prior-year securities loss no longer sitting in this particular comparison base.
ServisFirst’s Aug. 7 10-Q reported three-month net income of $85.8 million.