Shares of ServisFirst Bancshares Inc.
SFBS,
a bank with offices in the southern U.S., fell 7.5% after hours on Monday after the company reported third-quarter net interest income that came in below Wall Street’s expectations. The bank reported net interest income of $99.7 million, below FactSet estimates for $102.5 million. “Net interest income was negatively impacted by the continued narrowing in net interest spread due to Federal Reserve increases in interest rates over the last year,” the company said. The bank earned 98 cents a share during the period, compared with FactSet forecasts for 96 cents. Loans grew 3%, while total deposits came in at $13.1 billion, compared with around $11 billion in the same quarter last year. Chief Financial Officer Bud Foshee said in a statement that “loan pipelines and activity are beginning to rebuild, which should improve profitability in coming quarters.”
