Q1 2026 Old Second Bancorp Inc Earnings Call Transcript
Key Points
- Old Second Bancorp Inc (OSBC) reported a net income of $25.6 million, or $0.48 per diluted share, with a return on assets of 1.51% for the first quarter of 2026.
- The company's return on average tangible common equity was 14.2%, indicating strong profitability.
- The tangible book value per share increased to $14.35 as of March 31, 2026, reflecting growth in shareholder value.
- Net interest margin remained strong at 5.14%, a 5 basis point improvement from the previous quarter.
- The company successfully reduced non-interest expenses by $2.7 million from the prior quarter, demonstrating effective cost management.
- The first quarter saw $9.8 million in net loan charge-offs, primarily due to issues in the commercial real estate and Powersport sectors.
- Non-performing loans increased by $22.7 million, indicating a deterioration in asset quality.
- Total loans decreased by $66.9 million from the previous quarter, reflecting a decline in lending activity.
- The allowance for credit losses on loans remained relatively flat, suggesting ongoing credit risk concerns.
- The company faced challenges in the commercial real estate market, with valuations and rents declining broadly.
Good morning, everyone, and thank you for joining us today for Old Second Bancorp, Inc.'s first-quarter 2026 earnings call.
On the call today are Jim Ecker, the company's Chairman, President, and CEO Brad Adams, the company's COO and CFO Darren Campbell, the company's Head of National Specialty Lending and Gary Collins, the Vice Chairman of our Board.
I will start with a reminder that Old Second's comments today will contain forward-looking statements about the company's business, strategies, and prospects, which are based on management's existing expectations in the current economic environment.
These statements are not a guarantee of future performance, and results may differ materially from those projected. Management would ask you to refer to the company's SEC filings for a full discussion of the company's risk factors. The company does not undertake any duty to update such forward-looking statements. On today's call, we will also be discussing certain non-GAAP financial measures. These non-GAAP measures are described and reconciled to their GAAP counterparts in our
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
