MainStreet Bancshares(US:MNSB)2026-01-26 13:00Financial Performance - MainStreet Bancshares reported a net income of $15.6 million for the year ended December 31, 2025, resulting in earnings per common share of $1.76[1] - Net income available to common shareholders was $13.457 million, a turnaround from a loss of $12.136 million in the previous year[10] - Earnings per common share increased to $1.76, compared to a loss of $1.60 per share in the same quarter last year[10] - For the year ended December 31, 2025, net interest income increased to $69,831,000 from $62,865,000 in 2024, reflecting a growth of 11.5%[18] - The return on average assets (annualized) improved to 0.75% in 2025 from a loss of (2.80)% in 2024[20] - Earnings per common share (basic and diluted) rose to $1.76 in 2025, compared to a loss of $(1.60) in 2024, marking a significant turnaround[20] Interest Income and Margin - The net interest margin expanded to 3.46% for 2025, a 33-basis point increase from the previous year[2] - Net interest income after provision for credit losses was $69.615 million, compared to $55.811 million in the same period last year, reflecting a significant increase of 24.7%[10] - Total interest income for the year-to-date reached $131.588 million, a slight decrease from $134.615 million in the previous year[10] - Net interest income (GAAP) for Q4 2025 was $17,142 million, up from $16,041 million in Q4 2024, representing a year-over-year increase of 6.9%[23] - Net interest margin (GAAP) improved to 3.34% in Q4 2025 from 2.94% in Q4 2024, indicating a significant enhancement in profitability[23] - Yield on earning assets (GAAP) decreased to 6.51% for the year 2025 from 6.70% in 2024, showing a decline in asset yield[23] Loan and Deposit Growth - Gross loans increased by $54 million in the fourth quarter, indicating positive momentum in the loan portfolio[2] - Total gross loans increased by 3.0% to $1,865,315, compared to $1,811,422 in the previous quarter[12] - Commercial real estate loans grew by 3.4% to $1,014,933, representing 54.4% of total loans[12] - Total deposits increased to $1,899.2 million as of December 31, 2025, up from $1,810.8 million in the previous quarter[8] - Non-interest bearing deposits increased to $378.7 million as of December 31, 2025, compared to $324.7 million in the previous quarter[8] - Non-interest bearing deposits rose by 16.6% to $378,694, accounting for 20.0% of total deposits[12] Expense Management - The company remains focused on controlling expenses to enhance future performance and profitability[2] - Total non-interest expenses decreased to $54.551 million from $72.967 million, showing a reduction of 25.2%[10] - The efficiency ratio improved to 71.08% in Q4 2025 from 204.36% in Q4 2024, indicating enhanced operational efficiency[20] Capital and Asset Position - Total assets reached $2,212.7 million as of December 31, 2025, compared to $2,124.8 million at the end of the previous quarter[8] - The total risk-based capital ratio was 16.08% as of December 31, 2025, compared to 15.69% in 2024, indicating a stronger capital position[20] - The allowance for credit losses on loans to total gross loans was 1.04% as of December 31, 2025, consistent with 1.06% in 2024[20] Shareholder Actions - The company executed a buyback of 209,000 shares during the fourth quarter as part of its share buyback plan[1] - The common shares closing stock price increased to $20.36 as of December 31, 2025, up from $18.10 in 2024, reflecting a growth of 12.5%[20] Non-Performing Loans - Non-performing loans increased to $31,482,000 in 2025 from $21,650,000 in 2024, representing a rise of 45.4%[20]