# SOUTHERN FIRST BANCSHARES INC (SFST) Informational only - not investment advice. CIK: 0001090009 SIC: 6021 National Commercial Banks SIC breadcrumb: [Finance, Insurance, And Real Estate](/division/H/) > [Depository Institutions](/major-group/60/) > [SIC 6021 National Commercial Banks](/industry/6021/) Latest 10-K filed: 2026-02-24 SEC page: https://www.sec.gov/edgar/browse/?CIK=1090009 Filing source: https://www.sec.gov/Archives/edgar/data/1090009/000120677426000084/sfst4554191-10k.htm ## At a glance FY2025 · period end 2025-12-31 · filed 2026-02-24 · accession 0001206774-26-000084 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001090009.json | Metric | Value | FY | Provenance | | --- | ---: | ---: | --- | | Revenue | 211,481,000 USD | 2025 | verified | | Net income | 30,366,000 USD | 2025 | verified | | Assets | 4,403,494,000 USD | 2025 | verified | | Free cash flow | 29,876,000 USD | 2025 | computed | | Net margin | 14.36% | 2025 | computed | | Revenue YoY | +5.10% | 2025 | computed | | ROE | 8.24% | 2025 | computed | Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity. No market price, no rating, no forecast on this site. Not investment advice. ### Peer percentile fingerprint | Ratio | SFST | Peer median | Percentile | N | | --- | ---: | ---: | ---: | ---: | | Net margin | 14.4% | 22.9% | 13 | 76 | | Revenue growth | 5.1% | 5.2% | 49 | 76 | | FCF margin | 14.1% | 22.0% | 16 | 65 | | ROE | 8.2% | 9.9% | 25 | 76 | | ROA | 0.7% | 1.1% | 13 | 76 | | Liabilities / equity | 10.94 | 8.12 | 93 | 76 | Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 6021 National Commercial Banks, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking. ## Selected Fundamentals | Metric | Value | Unit | FY | Filed | | --- | ---: | --- | ---: | --- | | Revenue | 211481000 | USD | 2025 | 2026-02-24 | | Net income | 30366000 | USD | 2025 | 2026-02-24 | | Assets | 4403494000 | USD | 2025 | 2026-02-24 | ## Financials Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-24. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001090009.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts. | Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Revenue | 51,191,000 | 61,209,000 | 76,657,000 | 92,652,000 | 94,818,000 | 93,167,000 | 117,662,000 | 177,598,000 | 201,212,000 | 211,481,000 | | Net income | 13,036,000 | 13,045,000 | 22,289,000 | 27,858,000 | 18,328,000 | 46,711,000 | 29,115,000 | 13,426,000 | 15,530,000 | 30,366,000 | | Diluted EPS | 1.94 | 1.76 | 2.88 | 3.58 | 2.34 | 5.85 | 3.61 | 1.66 | 1.91 | 3.72 | | Operating cash flow | 17,089,000 | 17,193,000 | 31,703,000 | 18,309,000 | 20,619,000 | 78,069,000 | 50,305,000 | 17,653,000 | 25,558,000 | 30,457,000 | | Capital expenditures | 5,428,000 | 5,381,000 | 1,943,000 | 8,431,000 | 7,276,000 | 26,509,000 | 13,950,000 | 1,242,000 | 785,000 | 581,000 | | Assets | 1,340,908,000 | 1,624,625,000 | 1,900,614,000 | 2,267,195,000 | 2,482,587,000 | 2,925,548,000 | 3,691,981,000 | 4,055,789,000 | 4,087,593,000 | 4,403,494,000 | | Liabilities | 1,231,036,000 | 1,474,939,000 | 1,726,698,000 | 2,061,335,000 | 2,254,293,000 | 2,647,647,000 | 3,397,469,000 | 3,743,322,000 | 3,757,149,000 | 4,034,837,000 | | Stockholders' equity | 109,872,000 | 149,686,000 | 173,916,000 | 205,860,000 | 228,294,000 | 277,901,000 | 294,512,000 | 312,467,000 | 330,444,000 | 368,657,000 | | Free cash flow | 11,661,000 | 11,812,000 | 29,760,000 | 9,878,000 | 13,343,000 | 51,560,000 | 36,355,000 | 16,411,000 | 24,773,000 | 29,876,000 | ### Ratios ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported. | Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Net margin | 25.47% | 21.31% | 29.08% | 30.07% | 19.33% | 50.14% | 24.74% | 7.56% | 7.72% | 14.36% | | Return on equity | 11.86% | 8.71% | 12.82% | 13.53% | 8.03% | 16.81% | 9.89% | 4.30% | 4.70% | 8.24% | | Return on assets | 0.97% | 0.80% | 1.17% | 1.23% | 0.74% | 1.60% | 0.79% | 0.33% | 0.38% | 0.69% | | Liabilities / equity | 11.20 | 9.85 | 9.93 | 10.01 | 9.87 | 9.53 | 11.54 | 11.98 | 11.37 | 10.94 | ## As-reported value updates No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks. ## Quarterly Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-03. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001090009.json. Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived. | Quarter | End date | Revenue | Net income | Diluted EPS | Method | | --- | --- | ---: | ---: | ---: | --- | | 2022-Q3 | 2022-09-30 | | | 1.04 | reported discrete quarter | | 2023-Q1 | 2023-03-31 | | | 0.33 | reported discrete quarter | | 2023-Q2 | 2023-06-30 | | | 0.31 | reported discrete quarter | | 2023-Q3 | 2023-09-30 | 47,447,000 | 4,098,000 | 0.51 | reported discrete quarter | | 2023-Q4 | 2023-12-31 | 49,135,000 | 4,167,000 | | derived Q4 = FY annual - nine-month YTD | | 2024-Q1 | 2024-03-31 | 48,363,000 | 2,522,000 | 0.31 | reported discrete quarter | | 2024-Q2 | 2024-06-30 | 50,546,000 | 2,999,000 | 0.37 | reported discrete quarter | | 2024-Q3 | 2024-09-30 | 51,171,000 | 4,382,000 | 0.54 | reported discrete quarter | | 2024-Q4 | 2024-12-31 | 51,132,000 | 5,627,000 | | derived Q4 = FY annual - nine-month YTD | | 2025-Q1 | 2025-03-31 | 49,647,000 | 5,266,000 | 0.65 | reported discrete quarter | | 2025-Q2 | 2025-06-30 | 52,318,000 | 6,581,000 | 0.81 | reported discrete quarter | | 2025-Q3 | 2025-09-30 | 54,986,000 | 8,662,000 | 1.07 | reported discrete quarter | | 2025-Q4 | 2025-12-31 | 54,529,000 | 9,857,000 | | derived Q4 = FY annual - nine-month YTD | | 2026-Q1 | 2026-03-31 | 54,611,000 | 9,887,000 | 1.19 | reported discrete quarter | | 2026-Q2 | 2026-06-30 | 58,131,000 | 11,195,000 | 1.20 | reported discrete quarter | ## Filed narrative (10-K & 10-Q) ## Business Verbatim Item 1 Business section from SFST's latest 10-K: [/company/SFST/business/](/company/SFST/business/). ## Risk Factors Verbatim Item 1A Risk Factors from SFST's latest 10-K: [/company/SFST/risk-factors/](/company/SFST/risk-factors/). ## Latest quarter (10-Q) Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/1090009/000120677426000404/sfst4669241-10q.htm Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Confidence: high Filing date: 2026-08-03 Report date: 2026-06-30 Item 2. MANAGEMENT’S DISCUSSION AND Analysis of Financial Condition and Results of Operations. The following discussion reviews our results of operations for the three and six month periods ended June 30, 2026 as compared to the three and six month periods ended June 30, 2025 and assesses our financial condition as of June 30, 2026 as compared to December 31, 2025. You should read the following discussion and analysis in conjunction with the accompanying consolidated financial statements and the related notes and the consolidated financial statements and the related notes for the year ended December 31, 2025 included in our Annual Report on 27 Table of Contents Form 10-K for that period. Results for the three and six month periods ended June 30, 2026 are not necessarily indicative of the results for the year ending December 31, 2026 or any future period. Unless the context requires otherwise, references to the “Company,” “we,” “us,” “our,” or similar references mean Southern First Bancshares, Inc. and its consolidated subsidiary. References to the “Bank” refer to Southern First Bank. Cautionary Warning Regarding forward-looking statements This report contains statements which constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 (the “Exchange Act”). Forward-looking statements may relate to our financial condition, results of operations, plans, objectives, or future performance. These statements are based on many assumptions and estimates and are not guarantees of future performance. Our actual results may differ materially from those anticipated in any forward-looking statements, as they will depend on many factors about which we are unsure, including many factors which are beyond our control. The words “may,” “would,” “could,” “should,” “will,” “seek to,” “strive,” “focus,” “expect,” “anticipate,” “predict,” “project,” “potential,” “believe,” “continue,” “assume,” “intend,” “plan,” and “estimate,” as well as similar expressions, are meant to identify such forward-looking statements. Potential risks and uncertainties that could cause our actual results to differ from those anticipated in any forward-looking statements include, but are not limited to: [[GREPCENT_TABLE]] [["","\u00b7","Restrictions or conditions imposed by our regulators on our operations;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Increases in competitive pressure in the banking and financial services industries;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in access to funding or increased regulatory requirements with regard to funding, which could impair our liquidity;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in deposit flows, which may be negatively affected by a number of factors, including rates paid by competitors, general interest rate levels, regulatory capital requirements, returns available to clients on alternative investments and general economic or industry conditions;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Credit losses as a result of declining real estate values, increasing interest rates, increasing unemployment, changes in payment behavior or other factors;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Credit losses due to loan concentration;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in the amount of our loan portfolio collateralized by real estate and weaknesses in the real estate market;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Our ability to successfully execute our business strategy;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Our ability to attract and retain key personnel;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","The success and costs of our expansion into potential new markets;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Risks with respect to future mergers or acquisitions, including our ability to successfully expand and integrate the businesses and operations that we acquire and realize the anticipated benefits of the mergers or acquisitions;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in the interest rate environment which could reduce anticipated or actual margins;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in political, economic, legislative, or regulatory conditions, including new governmental initiatives affecting the financial services industry and potential disruptions resulting from U.S. federal government funding lapses, shutdowns, or related fiscal policy uncertainty;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in economic conditions resulting in, among other things, a deterioration in credit quality;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes occurring in business conditions and inflation;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Increased cybersecurity risk, including potential business disruptions or financial losses;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in technology;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","The adequacy of the level of our allowance for credit losses and the amount of loan loss provisions required in future periods;"]] [[/GREPCENT_TABLE]] 28 Table of Contents [[GREPCENT_TABLE]] [["","\u00b7","Examinations by our regulatory authorities, including the possibility that the regulatory authorities may, among other things, require us to increase our allowance for credit losses or write-down assets;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in U.S. monetary policy, the level and volatility of interest rates, the capital markets and other market conditions that may affect, among other things, our liquidity and the value of our assets and liabilities;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Any increase in FDIC assessments which will increase our cost of doing business;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Risks associated with complex and changing regulatory environments, including, among others, with respect to data privacy, artificial intelligence (\u201cAI\u201d), information security, climate change or other environmental, social and governance matters, and labor matters, relating to our operations;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","The rate of delinquencies and amounts of loans charged-off;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","The rate of loan growth in recent years and the lack of seasoning of a portion of our loan portfolio;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Our ability to maintain appropriate levels of capital and to comply with our capital ratio requirements;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Adverse changes in asset quality and resulting credit risk-related losses and expenses;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Changes in accounting standards, rules and interpretations and the related impact on our financial statements;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Risks associated with actual or potential litigation or investigations by customers, regulatory agencies or others;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Adverse effects of failures by our vendors to provide agreed upon services in the manner and at the cost agreed;"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","The potential effects of events beyond our control that may have a destabilizing effect on financial markets and the economy, such as epidemics and pandemics; war, terrorism, or other geopolitical conflicts or instability, including the war in Ukraine, the ongoing conflict involving the United States, Israel and Iran and other conflicts in the Middle East, political and economic instability and military and diplomatic developments involving Venezuela, and tensions between China and Taiwan; disruptions in our customers\u2019 supply chains or transportation networks; disruptions to global energy markets or critical shipping routes; essential utility outages; trade disputes and related tariffs; and disruptions caused by widespread cybersecurity incidents; and"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","\u00b7","Other risks and uncertainties detailed in Part I, Item 1A, \u201cRisk Factors\u201d of our Annual Report on Form 10-K for the year ended December 31, 2025, in Part II, Item 1A, \u201cRisk Factors\u201d of our Quarterly Reports on Form 10-Q, and in our other filings with the SEC."]] [[/GREPCENT_TABLE]] If any of these risks or uncertainties materialize, or if any of the assumptions underlying such forward-looking statements proves to be incorrect, our results could differ materially from those expressed in, implied or projected by, such forward-looking statements. We urge investors to consider all of these factors carefully in evaluating the forward-looking statements contained in this Quarterly Report on Form 10-Q. We make these forward-looking statements as of the date of this document and we do not intend, and assume no obligation, to update the forward-looking statements or to update the reasons why actual results could differ from those expressed in, or implied or projected by, the forward-looking statements, except as required by law. OVERVIEW Our business model continues to be client-focused, utilizing relationship teams to provide our clients with a specific banker contact and support team responsible for all of their banking needs. The purpose of this structure is to provide a consistent and superior level of professional service, and we believe it provides us with a distinct competitive advantage. We consider exceptional client service to be a critical part of our culture, which we refer to as “ClientFIRST.” At June 30, 2026, we had total assets of $4.70 billion, a 6.7% increase from total assets of $4.40 billion at December 31, 2025. The largest component of our total assets is loans which were $4.03 billion and $3.85 billion at June 30, 2026, and December 31, 2025, respectively. Our liabilities and shareholders’ equity at June 30, 2026 totaled $4.2 billion and $452.3 million, respectively, compared to liabilities of $4.03 billion and shareholders’ equity of $368.7 million at December 31, 2025. The principal component of our liabilities is deposits which were $3.94 billion and $3.72 billion at June 30, 2026 and December 31, 2025, respectively. 29 Table of Contents Like most community banks, we derive the majority of our income from interest received on our loans and investments. Our primary source of funds for making these loans and investments is our deposits, on which we pay interest. Consequently, one of the key measures of our success is our amount of net interest income, or the difference between the income on our interest-earning assets, such as loans and investments, and the expense on our interest-bearing liabilities, such as deposits and borrowings. Another key measure is the spread between the yield we earn on these interest-earning assets and the rate we pay on our interest-bearing liabilities, which is called our net interest spread. In addition to earning interest on our loans and investments, we earn income through fees and other charges to our clients. Our net income to common shareholders was $11.2 million and $6.6 million for the three months ended June 30, 2026, and 2025, respectively. Diluted earnings per share (“EPS”) was $1.20 for the second quarter of 2026 as compared to $0.81 for the same period in 2025. Our net income to common shareholders was $21.1 million and $11.8 million for the six months ended June 30, 2026 and 2025, respectively. Diluted EPS was $2.39 for the six months ended June 30, 2026 as compared to $1.46 for the same period of 2025. The increase in net inco [Excerpt truncated for page length; source filing is linked above.] ## Latest 10-K MD&A (excerpt) Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/1090009/000120677426000084/sfst4554191-10k.htm Complete FY 2025 MD&A: /company/SFST/mda/fy2025/ Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Confidence: high Filing date: 2026-02-24 Report date: 2025-12-31 Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations The following discussion and analysis identifies significant factors that have affected our financial position and operating results during the periods included in the accompanying financial statements. We encourage you to read this discussion and analysis in conjunction with the financial statements and the related notes and the other statistical information also included in this Annual Report on Form 10-K. OVERVIEW Our business model continues to be client-focused, utilizing relationship teams to provide our clients with a specific banker contact and support team responsible for all of their banking needs. The purpose of this structure is to provide a consistent and superior level of professional service, and we believe it provides us with a distinct competitive advantage. We consider exceptional client service to be a critical part of our culture, which we refer to as “ClientFIRST.” At December 31, 2025, we had total assets of $4.40 billion, an increase from total assets of $4.09 billion at December 31, 2024. The largest components of our total assets are loans, which were $3.85 billion and $3.63 billion at December 31, 2025 and 2024, respectively. Our liabilities and shareholders’ equity at December 31, 2025 totaled $4.03 billion and $368.7 million, respectively, compared to liabilities of $3.76 billion and shareholders’ equity of $330.4 million at December 31, 2024. The principal component of our liabilities is deposits which were $3.72 billion and $3.44 billion at December 31, 2025 and 2024, respectively. Like most community banks, we derive the majority of our income from interest received on our loans and investments. Our primary source of funds for making these loans and investments is our deposits, on which we pay interest. Consequently, one of the key measures of our success is our amount of net interest income, or the difference between the income on our interest-earning assets, such as loans and investments, and the expense on our interest-bearing liabilities, such as deposits and borrowings. Another key measure is the difference between the yield we earn on these interest-earning assets and the rate we pay on our interest-bearing liabilities, which is called our net interest spread. In addition to earning interest on our loans and investments, we earn income through fees and other charges to our clients. Our net income available to common shareholders for the years ended December 31, 2025 and 2024 was $30.4 million and $15.5 million, or diluted earnings per share (“EPS”) of $3.72 and $1.91 for the years ended December 31, 2025 and 2024, respectively. The increase in net income resulted primarily from an increase in net interest income. In addition, our net income available to common shareholders was $13.4 million, or EPS of $1.66 for the year ended December 31, 2023. 49  Table of Contents  SELECTED FINANCIAL DATA The following table sets forth our selected historical consolidated financial information for the periods and as of the dates indicated. We derived our balance sheet and income statement data for the years ended December 31, 2025, 2024, and 2023 from our audited consolidated financial statements. You should read this information together with “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and our audited consolidated financial statements and the related notes thereto, which are included elsewhere in this Annual Report on Form 10-K. [[GREPCENT_TABLE]] [["","","Years Ended December 31,"],["(dollars in thousands, except per share data)","","2025","","","2024","","","2023"],["BALANCE SHEET DATA"],["Total assets","","$","4,403,494","","","","4,087,593","","","","4,055,789"],["Investment securities","","","147,793","","","","151,617","","","","154,641"],["Loans (1)","","","3,845,124","","","","3,631,767","","","","3,602,627"],["Allowance for credit losses","","","42,280","","","","39,914","","","","40,682"],["Deposits","","","3,716,803","","","","3,435,765","","","","3,379,564"],["FHLB advances and other borrowings","","","240,000","","","","240,000","","","","275,000"],["Subordinated debentures","","","24,903","","","","24,903","","","","36,322"],["Common equity","","","368,657","","","","330,444","","","","312,467"],["Preferred stock","","","-","","","","-","","","","-"],["Shareholders\u2019 equity","","","368,657","","","","330,444","","","","312,467"],["SELECTED RESULTS OF OPERATIONS DATA"],["Interest income","","$","211,481","","","","201,212","","","","177,598"],["Interest expense","","","106,530","","","","119,990","","","","99,944"],["Net interest income","","","104,951","","","","81,222","","","","77,654"],["Provision for credit losses","","","2,950","","","","125","","","","1,260"],["Net interest income after provision for credit losses","","","102,001","","","","81,097","","","","76,394"],["Noninterest income","","","13,138","","","","12,141","","","","9,860"],["Noninterest expenses","","","75,534","","","","73,326","","","","68,827"],["Income before income tax expense","","","39,605","","","","19,912","","","","17,427"],["Income tax expense","","","9,239","","","","4,382","","","","4,001"],["Net income available to common shareholders","","$","30,366","","","","15,530","","","","13,426"],["PER COMMON SHARE DATA"],["Basic","","$","3.75","","","","1.92","","","","1.67"],["Diluted","","","3.72","","","","1.91","","","","1.66"],["Book value","","","44.89","","","","40.47","","","","38.63"],["Weighted average number of common shares outstanding:"],["Basic, in thousands","","","8,091","","","","8,081","","","","8,047"],["Diluted, in thousands","","","8,160","","","","8,117","","","","8,078"],["SELECTED FINANCIAL RATIOS"],["Performance Ratios:"],["Return on average assets","","","0.72","%","","","0.38","%","","","0.34","%"],["Return on average equity","","","8.73","%","","","4.84","%","","","4.44","%"],["Return on average common equity","","","8.73","%","","","4.84","%","","","4.44","%"],["Net interest margin, tax equivalent(2)","","","2.57","%","","","2.06","%","","","2.07","%"],["Efficiency ratio (3)","","","63.96","%","","","78.54","%","","","78.65","%"],["Asset Quality Ratios:"],["Nonperforming assets to total loans (1)","","","0.37","%","","","0.30","%","","","0.11","%"],["Nonperforming assets to total assets","","","0.32","%","","","0.27","%","","","0.10","%"],["Net charge-offs to average total loans","","","0.00","%","","","0.04","%","","","0.00","%"],["Allowance for credit losses to nonperforming loans","","","305.65","%","","","366.94","%","","","1,026.58","%"],["Allowance for credit losses to total loans","","","1.10","%","","","1.10","%","","","1.13","%"],["Holding Company Capital Ratios:"],["Total risk-based capital ratio","","","12.89","%","","","12.70","%","","","12.57","%"],["Tier 1 risk-based capital ratio","","","11.44","%","","","11.16","%","","","10.60","%"],["Leverage ratio","","","8.93","%","","","8.55","%","","","8.14","%"],["Common equity tier 1 ratio(4)","","","11.06","%","","","10.75","%","","","10.19","%"],["Tangible common equity(5)","","","8.37","%","","","8.08","%","","","7.70","%"],["Growth Ratios(6):"],["Change in assets","","","7.73","%","","","0.78","%","","","9.85","%"],["Change in loans","","","5.87","%","","","0.81","%","","","10.06","%"],["Change in deposits","","","8.18","%","","","1.66","%","","","7.84","%"],["Change in net income to common shareholders","","","95.53","%","","","15.67","%","","","-53.89","%"],["Change in earnings per common share - diluted","","","94.76","%","","","15.06","%","","","-54.02","%"]] [[/GREPCENT_TABLE]] 50  Table of Contents  [[GREPCENT_TABLE]] [["Footnotes to table:"],["(1)","Excludes loans held for sale."],["(2)","The tax-equivalent adjustment to net interest income adjusts the yield for assets earning tax-exempt income to a comparable yield on a taxable basis."],["(3)","Noninterest expense divided by the sum of net interest income and noninterest income."],["(4)","The common equity tier 1 ratio is calculated as the sum of common equity divided by risk-weighted assets."],["(5)","The common equity ratio is calculated as total equity less preferred stock divided by total assets."],["(6)","The percentage change for 2023 reflects the change compared to 2022, which is not presented in the table above. See the Company\u2019s Annual Report on Form 10-K for the year ended December 31, 2022 for the finanical information for that year."]] [[/GREPCENT_TABLE]] CRITICAL ACCOUNTING ESTIMATES We have adopted various accounting policies that govern the application of accounting principles generally accepted in the U.S. and with general practices within the banking industry in the preparation of our financial statements. Our significant accounting policies are described in Note 1 to our Consolidated Financial Statements as of December 31, 2025. Certain accounting policies inherently involve a greater reliance on the use of estimates, assumptions and judgments and, as such, have a greater possibility of producing results that could be materially different than originally reported, which could have a material impact on the carrying values of our assets and liabilities and our results of operations. We consider these accounting policies and estimates to be critical. We have identified the determination of the allowance for credit losses, the fair valuation of financial instruments and income taxes to be the accounting areas that require the most subjective or complex judgments and, as such, could be most subject to revision as new or additional information becomes available or circumstances change, including overall changes in the economic climate and/or market interest rates. Therefore, management has reviewed and approved these critical accounting policies and estimates and has discussed these policies with the Company’s Audit Committee. Allowance for Credit Losses The allowance for credit losses (“ACL”) is management’s current estimate of expected credit losses that will result from the inability of our borrowers to make required loan payments, with particular applicability on our balance sheet to loans and unfunded loan commitments. Estimating the amount of the ACL requires significant judgment and the use of estimates related to historical experience, current conditions, reasonable and supportable forecasts, and the value of collateral on collateral-dependent loans. Credit losses are charged against the allowance, while recoveries of amounts previously charged off are credited to the allowance. A provision for credit losses is charged to operations based on management’s periodic evaluation of the factors previously mentioned, as well as other pertinent factors. There are many factors affecting the ACL; some are quantitative while others require qualitative judgment. Although management believes its process for determining the allowance adequately considers all the potential factors that could result in credit losses, the process includes subjective elements and is susceptible to significant change. Changes in economic conditions, portfolio composition, collateral values, and forecast assumptions could materially affect the ACL. To the extent actual outcomes are worse than management estimates, additional provision for credit losses could be required that could adversely affect our earnings or financial position in future periods. During 2025, we transitioned to the discounted cash flow “DCF” methodology for calculating the ACL, and management analyzed the risk level associated with factors such as changes in lending policies; international, national, regional, and local conditions; volume and terms of loans; experience and depth of management; volume and severity of past due loans; concentrations of credit; and loan review results in the consideration of the qualitative portion of the ACL. See Note 1 – Summary of Significant Accounting Poli [Excerpt truncated for page length; the complete text is on the linked full-MD&A page.] Read the full FY 2025 MD&A: /company/SFST/mda/fy2025/ All MD&A years: /company/SFST/mda/ ## MD&A history Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page. - [FY 2024 MD&A](/company/SFST/mda/fy2024/): filed 2025-03-03; accession 0001206774-25-000099 (https://www.sec.gov/Archives/edgar/data/1090009/000120677425000099/sfst4401651-10k.htm) - [FY 2023 MD&A](/company/SFST/mda/fy2023/): filed 2024-03-05; accession 0001206774-24-000233 (https://www.sec.gov/Archives/edgar/data/1090009/000120677424000233/sfst4260121-10k.htm) - [FY 2022 MD&A](/company/SFST/mda/fy2022/): filed 2023-02-13; accession 0001206774-23-000172 (https://www.sec.gov/Archives/edgar/data/1090009/000120677423000172/sfst4117611-10k.htm) - [FY 2021 MD&A](/company/SFST/mda/fy2021/): filed 2022-03-04; accession 0001206774-22-000604 (https://www.sec.gov/Archives/edgar/data/1090009/000120677422000604/sfs4023341-10k.htm) ## Macro cross-references Indicators mapped to this company's SIC classification (industry 6021 National Commercial Banks) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim. - [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate - [DFEDTARU](/indicator/DFEDTARU/): Federal Funds Target Range - Upper Limit - [DGS2](/indicator/DGS2/): Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity - [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity - [T10Y2Y](/indicator/T10Y2Y/): 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity Macro-to-micro threads including this sector: [Interest rates & the Fed](/thread/interest-rates-fed/), [Money & trade](/thread/money-trade/), [Consumer & credit](/thread/consumer-credit/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/). All macro indicators: /indicators/ ## For LLMs & downloads Markdown twin: /company/SFST.md · JSON record: /company/SFST.json · verified financials: /company/SFST/financials.json / /company/SFST/financials.csv · machine TOC for the whole site: /llms.txt