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Adjusted ROA: 153%

Adjusted PPNR ROA: 224%

Adjusted Return on TCE: Over 14%

Average Earning Assets Growth: 8.5% annualized

Loan Growth: Over 6% annualized

Adjusted Efficiency Ratio: 50%

Loan Production: $2.4 billion, 24% increase year-over-year

Average Deposits Growth: 4.4% annualized

Net Income: $51.4 million or $0.77 per diluted share

Adjusted Net Income: $107.3 million or $1.60 per diluted share

Net Interest Margin: Stable at 3.88%

Adjusted Non-Interest Income Decrease: $4.6 million

Adjusted Non-Interest Expense Increase: $3.1 million

Provision Expense: $17.3 million

Annualized Net Charge-Offs: 20 basis points

Total Assets: $28.5 billion

Loan Growth: $349.9 million or 6% annualized

Non-Interest-Bearing Deposits Growth: $33.9 million

Tangible Common Equity (TCE): 11%

CET1 Ratio: 12.8%

Share Buybacks: $19 million in the quarter, $93.8 million year-to-date

Release Date: July 24, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

Ameris Bancorp (NYSE:ABCB) achieved core profitability levels well ahead of the industry, with an adjusted ROA of 153% and an adjusted return on TCE of over 14%.

The company experienced profitable growth, with average earning assets increasing 8.5% annualized and loans over 6% annualized.

Ameris Bancorp (NYSE:ABCB) maintained a strong balance sheet, funded with almost 50% checking accounts and over 11% tangible common equity.

The company reported a robust loan production of $2.4 billion in the second quarter, a 24% increase over the previous year.

Capital levels remain strong, with CET1 at almost 13% and TCE ratio above 11%, positioning the company well for future growth.

Negative Points

Ameris Bancorp (NYSE:ABCB) reported an $82.5 billion litigation accrual related to a jury verdict in an employment case in California, impacting reported expenses.

Adjusted non-interest income decreased by $4.6 million, primarily due to a decline in mortgage-related revenue.

The company anticipates slight margin compression over the next few quarters due to higher deposit costs.

Brokered deposits increased by $174 million, raising concerns about reliance on non-core funding sources.

There is a potential for a few basis points of margin compression in the coming quarters if one-time benefits do not recur.

Q & A Highlights

Q: Can you explain the recent increase in bond yields and whether this is sustainable? A: Nicole Stokes, CFO, explained that the increase in bond yields was due to inflation bonds and some bond swaps, contributing about 3 basis points to the margin. However, these yields are expected to decrease slightly in the coming quarters.

Story Continues

Q: What is the outlook for loan yields in the second half of the year? A: Nicole Stokes noted that while loan yields have been stable, there is upward momentum due to higher rates on new loans compared to payoffs. This trend is expected to continue, supporting loan yield stability or slight increases.

Q: How does Ameris Bancorp view its reserve levels and potential changes in the future? A: Doug Strange, Chief Credit Officer, stated that the reserve is model-driven and remains strong at a 162 ratio. The company anticipates maintaining low charge-off rates, with guidance for 20 to 25 basis points for the year.

Q: What is the strategy regarding share buybacks given current stock prices? A: Nicole Stokes mentioned that while buybacks remain an option, they may not be as aggressive as earlier in the year due to higher stock prices. The company will remain opportunistic with buybacks.

Q: How does Ameris Bancorp plan to approach growth in the Nashville market? A: CEO Palmer Proctor emphasized that the move into Nashville is driven by the acquisition of a strong local team. The company is optimistic about growth in this market, leveraging the team’s expertise and the region’s potential.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.