Sierra Bancorp Reports Improved Financial Results for Second Quarter and First Six Months of 2025
July 28, 2025
PORTERVILLE, CALIF. – (BUSINESS WIRE) – Sierra Bancorp (Nasdaq: BSRR), parent of Bank of the Sierra, today announced its unaudited financial results for the three- and six-month periods ended June 30, 2025. Sierra Bancorp reported consolidated net income of $10.6 million, or $0.78 per diluted share, for the second quarter of 2025, compared to $10.3 million, or $0.71 per diluted share, in the second quarter of 2024. On a linked quarter (three months ended March 31, 2025) basis, the Company reported an increase of $1.5 million, or 17%, in net income.
Highlights for the second quarter of 2025 (unless otherwise stated):
- Improved Earnings and Key Ratios
- Increased Diluted Earnings per Share by $0.13, or 19%, from the prior linked quarter.
- Higher Return on Average Assets of 1.16%, as compared to 1.02% in the prior linked quarter.
- Improved Return on Average Equity to 12.08%, as compared to 10.44% in the prior linked quarter.
- Favorable change of Efficiency Ratio(1) to 59.43%, as compared to 60.62% to the prior linked quarter.
- Strong Balance Sheet Growth
- Overall loan growth of $127.9 million, or 22% annualized, to $2.43 billion during the quarter.
- Mortgage warehouse utilization increased $118.7 million during the quarter.
- Non-brokered deposits increased by $24.6 million, or 4% annualized, during the quarter.
- Noninterest-bearing deposits of $1.1 billion at June 30, 2025, represent 36% of total deposits.
- Uninsured deposits, exclusive of public funds, are approximately 26% of total deposit balances.
- Solid Capital and Liquidity
- Increased Tangible Book Value(1) per share by 2%, to $23.98 per share during the quarter.
- Repurchased 135,641 shares of stock during the quarter.
- Declared dividend of $0.25 per share, payable on August 14, 2025.
- Strong regulatory Community Bank Leverage Ratio of 11.75%, at June 30, 2025, for our subsidiary Bank.
- Tangible Common Equity Ratio(1) of 8.77%, at June 30, 2025, on a consolidated basis.
- Overall primary and secondary liquidity sources of $2.3 billion at June 30, 2025.
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(1)See reconciliation of non-GAAP financial measures to the corresponding GAAP measurement in “Non-GAAP Financial Measures.”
“If you want to go fast, go alone. If you want to go far, go together.” – African proverb
“Our team continues to provide the best banking service to our customers and communities, even as we face uncertainty and potential economic challenges,” stated Kevin McPhaill, CEO and President. “The Bank’s second quarter results reflect our team’s efforts with strong loan and deposit growth. We are proud of our bankers, and we will remain diligent, committed, and conscientious as we work to make each of our communities stronger.” concluded Mr. McPhaill.
