Live Oak Bancshares (LOB) Reports Q4 Earnings: What Key Metrics Have to Say

Core Insights - Live Oak Bancshares (LOB) reported a revenue of $172.91 million for the quarter ended December 2025, marking a 35% increase year-over-year and exceeding the Zacks Consensus Estimate by 16.32% [1] - The company's earnings per share (EPS) reached $0.95, significantly up from $0.22 in the same quarter last year, resulting in an EPS surprise of 69.64% over the consensus estimate of $0.56 [1] Financial Performance Metrics - Net charge-offs to average loans and leases held for investment were reported at 0.5%, slightly above the average estimate of 0.4% [4] - The net interest margin was 3.4%, surpassing the estimated 3.3% [4] - The average balance of total interest-earning assets was $14.47 billion, exceeding the average estimate of $14.03 billion [4] - The efficiency ratio stood at 51.6%, significantly better than the estimated 66.6% [4] - Total noninterest income was reported at $49.79 million, well above the estimated $30.69 million [4] - Net interest income reached $123.12 million, compared to the average estimate of $116.39 million [4] Stock Performance - Over the past month, shares of Live Oak Bancshares have returned +2%, while the Zacks S&P 500 composite experienced a -0.4% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]