Oakworth Capital Inc. Reports 14% Growth in Net Income

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BIRMINGHAM, Ala., July 16, 2026 /PRNewswire/ -- Oakworth Capital Inc. (OTCQX: OAKC) reported 14% net income growth and 10% diluted EPS growth in the year-to-date period ended June 30, 2026 compared to the same period in 2025. Growth in profitability is attributable to top line revenue growth in the banking and wealth management space paired with expense control. Year-over-year loan growth of 15%, deposit growth of 12% and wealth asset growth of 22% demonstrated strength in the core business. Oakworth's Chairman and CEO Scott Reed stated, "We are focused on profitable execution across all four of our markets. Second quarter performance indicates our team's ability to deliver results. I look forward to continuing to improve upon our goals of balanced growth and improving profitability."

As of and year-to-date June 30, 2026 highlights include:

Income/Profitability:

Net income of $10.7 million compared to $9.4 million in first half 2025
Diluted earnings per share of $2.07 compared to $1.89 in first half 2025
Pre-tax pre-provision income of $17.5 million compared to $14.5 million in first half 2025 (+21%)
Revenue of $45.7 million: 15% higher than $39.8 million in first half 2025
- 14% year-over-year growth in net interest income
- 22% year-over-year growth in trust and wealth fees
Non-interest expenses of $28.2 million compared to $25.3 million in first half 2025
- 12% higher year-over-year
- Includes $872 thousand ($660 thousand, net of tax) strategic write-down of other real estate in 1Q26
ROAE of 14.0%
ROAA of 1.1%

Wealth Assets/Balance Sheet:

Wealth assets of $2.96 billion, 22% higher than $2.42 billion one year prior
Year-over-year loan growth of 12% on average basis and 15% on period end basis to $1.7 billion
Year-over-year deposit growth of 11% on average basis and 12% on period end basis to $1.8 billion
Tangible book value per share: $32.35

Safety and Soundness:

Credit quality metrics:
- $11.6 million non-performing loans
  - Includes C&I credit moved to non-accrual in 1Q26
  - $1.25 million impairment recognized in second quarter
  - $829 thousand past due +90 loans
- $2.5 million ORE
- 1.2% allowance for credit losses as percentage of loans, net
Capital ratios
- Total risk-based capital: 11.9%
- CET1: 10.7%
- Tier 1 leverage: 9.6%

About Oakworth Capital Inc. and Oakworth Capital Bank
Oakworth Capital, Inc. operates as the bank holding company for Oakworth Capital Bank (OTCQX: OAKC). Oakworth was founded in 2008 and operates four offices in the Southeast, including its headquarters in Birmingham, Alabama. Oakworth provides commercial and private banking, wealth management, and advisory services to clients across the United States.

Oakworth has been ranked among American Banker's "Best Banks to Work For in the U.S." for the past nine years, holding the top spot for six of those years and ranking No. 2 most recently. Additionally, Oakworth's 2025 average Net Promoter Score (NPS) was 95 with a commensurate client retention rate of 95%. As of June 30, 2026, Oakworth had $2.1 billion in total assets, $1.7 billion in gross loans, $1.8 billion in deposits and $3.0 billion in wealth and trust assets under management. For more information, visit www.oakworth.com.

Advisory services, including investment management and financial planning, are offered through Oakworth Asset Management LLC, a registered investment advisor that is owned by Oakworth Capital Bank, Member FDIC, Equal Housing Lender. Investment products and services offered via Oakworth Asset Management LLC are independent of the products and services offered by Oakworth Capital Bank, and are not FDIC insured, may lose value, have no bank guarantee, and are not insured by any federal or state government agency. Because Oakworth Asset Management LLC is owned by Oakworth Capital Bank and because associates of either entity may provide financial advice to our clients, there exists a conflict of interest to the extent that either party recommends the services of the other. Oakworth Asset Management LLC does not provide tax or legal advice. You should consult your tax advisor, accountant, and/or attorney before making any decisions with tax or legal implications. Additional information about Oakworth Asset Management LLC, including its services and fees, may be obtained from adviserinfo.sec.gov or by contacting Oakworth Asset Management directly.

OAKWORTH CAPITAL INC.

WEALTH AND TRUST *(Unaudited)*
(In millions)	As of					Change		Change
	6/30/2026	3/31/2026	12/31/2025	9/30/2025	6/30/2025	6/30/2026 vs. 3/31/2026		6/30/2026 vs. 6/30/2025

Wealth assets (non-balance sheet)	$ 2,957	$ 2,705	$ 2,685	$ 2,566	$ 2,415	$ 252	9 %	$ 542	22 %

CONSOLIDATED CONDENSED STATEMENTS OF CONDITION *(Unaudited)*
(in thousands)	As of					Change		Change
	6/30/2026	3/31/2026	12/31/2025	9/30/2025	6/30/2025	6/30/2026 vs. 3/31/2026		6/30/2026 vs. 6/30/2025
Assets
Cash and due from banks	$ 128,029	$ 113,891	$ 194,946	$ 153,084	$ 124,351	$ 14,138	12 %	$ 3,678	3 %
Federal funds sold	1,050	1,951	1,325	950	1,900	(901)	-46 %	(850)	-45 %
Securities available for sale	226,098	213,286	201,684	189,673	175,535	12,812	6 %	50,563	29 %
Loans, net of unearned income	1,725,998	1,665,422	1,604,023	1,533,734	1,496,222	60,576	4 %	229,776	15 %
Allowance for credit losses	(20,754)	(19,871)	(19,348)	(18,734)	(17,944)	(883)	4 %	(2,810)	16 %
Loans, net	1,705,244	1,645,551	1,584,675	1,515,000	1,478,278	59,693	4 %	226,966	15 %
Fixed assets	3,326	3,447	3,625	3,821	3,980	(121)	-4 %	(654)	-16 %
Interest receivable	7,516	7,560	7,246	6,845	6,611	(44)	-1 %	905	14 %
Other assets	59,859	54,169	52,723	52,825	58,967	5,690	11 %	892	2 %
Total assets	$ 2,131,122	$ 2,039,855	$ 2,046,224	$ 1,922,198	$ 1,849,622	$ 91,267	4 %	$ 281,500	15 %

Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Non-interest bearing deposits	$ 319,544	$ 320,493	$ 304,683	$ 300,340	$ 273,119	$ (949)	0 %	$ 46,425	17 %
Interest-bearing deposits	1,438,204	1,467,134	1,526,302	1,397,942	1,299,175	(28,930)	-2 %	139,029	11 %
Total deposits	1,757,748	1,787,627	1,830,985	1,698,282	1,572,294	(29,879)	-2 %	185,454	12 %
Total Borrowings	188,322	78,299	38,831	58,809	118,786	110,023	141 %	69,536	59 %
Accrued interest payable	1,299	598	1,223	710	1,452	701	117 %	(153)	-11 %
Other liabilities	20,464	20,950	26,521	20,657	21,333	(486)	-2 %	(869)	-4 %
Total liabilities	1,967,833	1,887,474	1,897,560	1,778,458	1,713,865	80,359	4 %	253,968	15 %
Total stockholders' equity	163,289	152,381	148,664	143,740	135,757	10,908	7 %	27,532	20 %
Total liabilities and stockholders' equity	$ 2,131,122	$ 2,039,855	$ 2,046,224	$ 1,922,198	$ 1,849,622	$ 91,267	4 %	$ 281,500	15 %

OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME *(Unaudited)*
(in thousands)	Quarter Ended					Change		Change
	6/30/2026	3/31/2026	12/31/2025	9/30/2025	6/30/2025	2Q26 vs. 1Q26		2Q26 vs. 2Q25

Interest income:
Loans, including fees	$ 26,711	$ 25,373	$ 25,817	$ 26,194	$ 25,306	$ 1,338	5 %	$ 1,405	6 %
Securities available for sale	2,219	2,015	1,814	1,667	1,605	204	10 %	614	38 %
Short term investments	1,049	1,201	1,772	1,058	1,043	(152)	-13 %	6	1 %
Total interest income	29,979	28,589	29,403	28,919	27,954	1,390	5 %	2,025	7 %
Interest expense:
Deposits	9,931	10,375	11,289	11,357	11,049	(444)	-4 %	(1,118)	-10 %
Borrowings	1,605	763	678	1,114	1,022	842	110 %	583	57 %
Total interest expense	11,536	11,138	11,967	12,471	12,071	398	4 %	(535)	-4 %
Net interest income	18,443	17,451	17,436	16,448	15,883	992	6 %	2,560	16 %
Provision for credit losses	2,007	1,315	1,010	905	1,236	692	53 %	771	62 %
Net interest income after provision	16,436	16,136	16,426	15,543	14,647	300	2 %	1,789	12 %
for loan losses
Non-interest income	4,994	4,837	4,647	4,392	4,131	157	3 %	863	21 %
Non-interest expense	13,664	14,538	14,634	13,223	12,964	(874)	-6 %	700	5 %
Income before income taxes	7,766	6,435	6,439	6,712	5,814	1,331	21 %	1,952	34 %
Provision for income taxes	1,901	1,565	1,145	1,653	1,434	336	21 %	467	33 %
Net Income	5,865	4,870	5,294	5,059	4,380	995	20 %	1,485	34 %
Earnings per share - basic	$ 1.15	$ 0.96	$ 1.05	$ 1.01	$ 0.88	$ 0.19	20 %	$ 0.27	31 %
Earnings per share - diluted	$ 1.13	$ 0.94	$ 1.04	$ 1.01	$ 0.88	$ 0.19	20 %	$ 0.25	28 %

OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME *(Unaudited)*
(in thousands)	YTD Period Ended
	6/30/2026	6/30/2025	Change

Interest income:
Loans, including fees	$ 52,083	$ 50,108	$ 1,975	4 %
Securities available for sale	4,234	3,080	1,154	37 %
Short term investments	2,251	2,212	39	2 %
Total interest income	58,568	55,400	3,168	6 %
Interest expense:
Deposits	20,306	22,317	(2,011)	-9 %
Borrowings	2,369	1,659	710	43 %
Total interest expense	22,675	23,976	(1,301)	-5 %
Net interest income	35,893	31,424	4,469	14 %
Provision for credit losses	3,321	2,011	1,310	65 %
Net interest income after provision	32,572	29,413	3,159	11 %
for loan losses
Non-interest income	9,831	8,376	1,455	17 %
Non-interest expense	28,202	25,289	2,913	12 %
Income before income taxes	14,201	12,500	1,701	14 %
Provision for income taxes	3,466	3,089	377	12 %
Net Income	10,735	9,411	1,324	14 %
Earnings per share - basic	$ 2.11	$ 1.89	$ 0.22	12 %
Earnings per share - diluted	$ 2.07	$ 1.89	$ 0.18	10 %