SouthState Bank Corporation Reports Fourth Quarter 2025 Results, Declares Quarterly Cash Dividend and Authorizes New Stock Repurchase Plan

WINTER HAVEN, Fla., Jan. 22, 2026 /PRNewswire/ -- SouthState Bank Corporation ("SouthState" or the "Company") (NYSE: SSB) today released its unaudited results of operations and other financial information for the three-month and twelve-month periods ended December 31, 2025.

"The SouthState team finished the year with good momentum," said John C. Corbett, SouthState's Chief Executive Officer. "During the fourth quarter of 2025, loan and deposit growth accelerated to 8% annualized and earnings per share increased over 30% from the prior year. With peer-leading returns, we elected to repurchase 2 million shares of SouthState stock during the quarter and the board authorized a new share repurchase plan of 5.56 million shares. Headed into 2026, our pipelines are full and SouthState is poised to continue on our growth trajectory."

Highlights of the fourth quarter of 2025 include:

Returns

Performance

Balance Sheet

Subsequent Events

∗ Annualized percentages

† Excluding acquisition date charge-offs during the quarters ended March 31, 2025 and June 30, 2025

ǂ Preliminary

Financial Performance

Three Months Ended

Twelve Months Ended

(Dollars in thousands, except per share data)

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

INCOME STATEMENT

2025

2024

2025

2024

Interest Income

Loans, including fees (1)

748,106

782,382

746,448

724,640

489,709

3,001,576

1,925,838

Investment securities, trading securities, federal funds sold and securities

purchased under agreements to resell

100,640

99,300

94,056

83,926

59,096

377,922

215,524

Total interest income

848,746

881,682

840,504

808,566

548,805

3,379,498

2,141,362

Interest Expense

Deposits

250,189

257,271

241,593

245,957

168,263

995,009

671,825

Federal funds purchased, securities sold under agreements

to repurchase, and other borrowings

17,442

24,714

20,963

18,062

10,763

81,182

54,083

Total interest expense

267,631

281,985

262,556

264,019

179,026

1,076,191

725,908

Net Interest Income

581,115

599,697

577,948

544,547

369,779

2,303,307

1,415,454

Provision for credit losses

6,605

5,085

7,505

100,562

6,371

119,757

15,975

Net Interest Income after Provision for Credit Losses

574,510

594,612

570,443

443,985

363,408

2,183,550

1,399,479

Noninterest Income

Operating income

105,753

99,086

86,817

85,620

80,595

377,276

302,312

Securities losses, net

—

(228,811)

(50)

(228,811)

(50)

Gain on sale leaseback, net of transaction costs

—

229,279

—

229,279

—

Total noninterest income

105,753

99,086

86,817

86,088

80,545

377,744

302,262

Noninterest Expense

Operating expense

364,196

351,453

350,682

340,820

250,699

1,407,151

977,508

Merger, branch consolidation, severance related, and other expense (8)

4,494

20,889

24,379

68,006

6,531

117,768

20,133

FDIC special assessment

(3,835)

—

(621)

(3,835)

3,852

Total noninterest expense

364,855

372,342

375,061

408,826

256,609

1,521,084

1,001,493

Income before Income Tax Provision

315,408

321,356

282,199

121,247

187,344

1,040,210

700,248

Income tax provision

67,686

74,715

66,975

32,167

43,166

241,543

165,465

Net Income

247,722

246,641

215,224

89,080

144,178

798,667

534,783

Adjusted Net Income (non-GAAP) (2)

Net Income (GAAP)

247,722

246,641

215,224

89,080

144,178

798,667

534,783

Securities losses, net of tax

—

178,639

Gain on sale leaseback, net of transaction costs and tax

—

(179,004)

—

(179,004)

—

Initial provision for credit losses - Non-PCD loans and UFC from Independent, net of tax

—

71,892

—

71,892

—

Merger, branch consolidation, severance related, and other expense, net of tax (8)

3,529

16,032

18,593

53,094

5,026

91,248

15,374

Deferred tax asset remeasurement

—

5,581

—

5,581

—

FDIC special assessment, net of tax

(3,012)

—

(478)

(3,012)

2,884

Adjusted Net Income (non-GAAP)

248,239

262,673

233,817

219,282

148,764

964,011

553,079

Basic earnings per common share

2.48

2.44

2.12

0.88

1.89

7.90

7.01

Diluted earnings per common share

2.46

2.42

2.11

0.87

1.87

7.87

6.97

Adjusted net income per common share - Basic (non-GAAP) (2)

2.48

2.60

2.30

2.16

1.95

9.54

7.25

Adjusted net income per common share - Diluted (non-GAAP) (2)

2.47

2.58

2.30

2.15

1.93

9.50

7.21

Dividends per common share

0.60

0.54

2.28

2.12

Basic weighted-average common shares outstanding

100,063,315

101,218,431

101,495,456

101,409,624

76,360,935

101,043,488

76,303,351

Diluted weighted-average common shares outstanding

100,618,796

101,735,095

101,845,360

101,828,600

76,957,882

101,499,247

76,762,354

Effective tax rate

21.46 %

23.25 %

23.73 %

26.53 %

23.04 %

23.22 %

23.63 %

Adjusted effective tax rate

21.46 %

23.25 %

23.73 %

21.93 %

23.04 %

22.68 %

23.63 %

Performance and Capital Ratios

Three Months Ended

Twelve Months Ended

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

2025

2024

2025

2024

PERFORMANCE RATIOS

Return on average assets (annualized)

1.47

1.49

1.34

0.56

1.23

1.22

1.17

Adjusted return on average assets (annualized) (non-GAAP) (2)

1.48

1.59

1.45

1.38

1.27

1.48

1.21

Return on average common equity (annualized)

10.90

11.04

9.93

4.29

9.72

9.13

9.41

Adjusted return on average common equity (annualized) (non-GAAP) (2)

10.92

11.75

10.79

10.56

10.03

11.02

9.73

Return on average tangible common equity (annualized) (non-GAAP) (3)

19.10

19.62

18.17

8.99

15.09

16.68

14.98

Adjusted return on average tangible common equity (annualized) (non-GAAP) (2) (3)

19.14

20.81

19.61

19.85

15.56

19.85

15.47

Efficiency ratio (tax equivalent)

49.65

49.88

52.75

60.97

55.73

53.14

56.93

Adjusted efficiency ratio (non-GAAP) (4)

49.56

46.89

49.09

50.24

54.42

48.91

55.53

Dividend payout ratio (5)

24.23

24.59

25.47

61.45

28.58

28.82

30.22

Book value per common share

91.38

89.14

86.71

84.99

77.18

Tangible book value per common share (non-GAAP) (3)

56.27

54.48

51.96

50.07

51.11

CAPITAL RATIOS

Equity-to-assets

13.5

13.6

13.4

13.2

12.7

Tangible equity-to-tangible assets (non-GAAP) (3)

8.8

8.5

8.2

8.8

Tier 1 leverage (6)

9.3

9.4

9.2

8.9

10.0

Tier 1 common equity (6)

11.4

11.5

11.2

11.0

12.6

Tier 1 risk-based capital (6)

11.4

11.5

11.2

11.0

12.6

Total risk-based capital (6)

13.8

14.0

14.5

13.7

15.0

Balance Sheet

Ending Balance

(Dollars in thousands, except per share and share data)

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

BALANCE SHEET

2025

2024

Assets

Cash and due from banks

583,375

582,792

755,798

688,153

525,506

Federal funds sold and interest-earning deposits with banks

2,589,108

2,561,663

2,708,308

2,611,537

866,561

Cash and cash equivalents

3,172,483

3,144,455

3,464,106

3,299,690

1,392,067

Trading securities, at fair value

110,183

107,519

95,306

107,401

102,932

Investment securities:

Securities held to maturity

2,048,030

2,096,727

2,145,991

2,195,980

2,254,670

Securities available for sale, at fair value

6,313,756

6,042,800

5,927,867

5,853,369

4,320,593

Other investments

353,428

366,218

357,487

345,695

223,613

Total investment securities

8,715,214

8,505,745

8,431,345

8,395,044

6,798,876

Loans held for sale

345,343

346,673

318,985

357,918

279,426

Loans:

Purchased credit deteriorated

2,977,499

3,160,359

3,409,186

3,634,490

862,155

Purchased non-credit deteriorated

11,232,414

11,877,828

12,492,553

13,084,853

3,635,782

Non-acquired

34,388,614

32,629,724

31,365,508

30,047,389

29,404,990

Less allowance for credit losses

(585,197)

(590,133)

(621,046)

(623,690)

(465,280)

Loans, net

48,013,330

47,077,778

46,646,201

46,143,042

33,437,647

Premises and equipment, net

994,176

961,510

964,878

946,334

502,559

Bank owned life insurance

1,293,574

1,285,532

1,280,632

1,273,472

1,013,209

Mortgage servicing rights

84,032

84,491

85,836

87,742

89,795

Core deposit and other intangibles

386,326

409,890

433,458

455,443

66,458

Goodwill

3,094,059

3,088,059

1,923,106

Other assets

988,692

1,030,558

1,078,516

981,309

775,129

Total assets

67,197,412

66,048,210

65,893,322

65,135,454

46,381,204

Liabilities and Shareholders' Equity

Deposits:

Noninterest-bearing

13,375,697

13,430,459

13,719,030

13,757,255

10,192,117

Interest-bearing

41,770,100

40,642,810

39,977,931

39,580,360

27,868,749

Total deposits

55,145,797

54,073,269

53,696,961

53,337,615

38,060,866

Federal funds purchased and securities

sold under agreements to repurchase

618,215

594,092

630,558

679,337

514,912

Other borrowings

696,536

696,429

1,099,705

752,798

391,534

Reserve for unfunded commitments

69,619

68,538

64,693

62,253

45,327

Other liabilities

1,608,137

1,604,756

1,600,271

1,679,090

1,478,150

Total liabilities

58,138,304

57,037,084

57,092,188

56,511,093

40,490,789

Shareholders' equity:

Common stock - $2.50 par value; authorized 160,000,000 shares

247,845

252,723

253,745

253,698

190,805

Surplus

6,480,471

6,647,952

6,679,028

6,667,277

4,259,722

Retained earnings

2,614,173

2,426,463

2,240,470

2,080,053

2,046,809

Accumulated other comprehensive loss

(283,381)

(316,012)

(372,109)

(376,667)

(606,921)

Total shareholders' equity

9,059,108

9,011,126

8,801,134

8,624,361

5,890,415

Total liabilities and shareholders' equity

67,197,412

66,048,210

65,893,322

65,135,454

46,381,204

Common shares issued and outstanding

99,138,204

101,089,231

101,498,000

101,479,065

76,322,206

Net Interest Income and Margin

Three Months Ended

Dec. 31, 2025

Sep. 30, 2025

Dec. 31, 2024

(Dollars in thousands)

Average

Income/

Yield/

Average

Income/

Yield/

Average

Income/

Yield/

YIELD ANALYSIS

Balance

Expense

Rate

Balance

Expense

Rate

Balance

Expense

Rate

Interest-Earning Assets:

Federal funds sold and interest-earning deposits with banks

2,703,627

25,580

3.75 %

2,212,239

23,271

4.17 %

1,308,313

14,162

4.31 %

Investment securities

8,760,360

75,060

3.40 %

8,624,670

76,029

3.50 %

7,144,438

44,934

2.50 %

Loans held for sale

298,600

5,201

6.91 %

289,884

5,067

6.93 %

179,803

2,304

5.10 %

Total loans held for investment

48,109,526

742,905

6.13 %

47,600,317

777,315

6.48 %

33,662,822

487,405

5.76 %

Total interest-earning assets

59,872,113

848,746

5.62 %

58,727,110

881,682

5.96 %

42,295,376

548,805

5.16 %

Noninterest-earning assets

6,767,257

6,762,434

4,214,390

Total Assets

66,639,370

65,489,544

46,509,766

Interest-Bearing Liabilities ("IBL"):

Transaction and money market accounts

30,598,366

178,129

2.31 %

29,623,457

187,627

2.51 %

20,823,079

121,239

2.32 %

Savings deposits

2,834,358

1,827

0.26 %

2,879,488

1,940

0.27 %

2,427,760

1,741

0.29 %

Certificates and other time deposits

7,560,350

70,233

3.69 %

7,310,133

67,704

3.67 %

4,517,047

45,283

3.99 %

Federal funds purchased

334,401

3,297

3.91 %

331,707

3,640

4.35 %

292,626

3,479

4.73 %

Repurchase agreements

294,259

1,462

1.97 %

281,395

1,527

2.15 %

261,373

1,382

2.10 %

Other borrowings

696,485

12,683

7.22 %

974,992

19,547

7.95 %

394,853

5,902

5.95 %

Total interest-bearing liabilities

42,318,219

267,631

2.51 %

41,401,172

281,985

2.70 %

28,716,738

179,026

2.48 %

Noninterest-bearing deposits

13,644,784

13,541,840

10,561,382

Other noninterest-bearing liabilities

1,656,851

1,679,124

1,330,020

Shareholders' equity

9,019,516

8,867,408

5,901,626

Total Non-IBL and shareholders' equity

24,321,151

24,088,372

17,793,028

Total Liabilities and Shareholders' Equity

66,639,370

65,489,544

46,509,766

Net Interest Income and Margin (Non-Tax Equivalent)

581,115

3.85 %

599,697

4.05 %

369,779

3.48 %

Net Interest Margin (Tax Equivalent) (non-GAAP)

3.86 %

4.06 %

3.48 %

Total Deposit Cost (without Debt and Other Borrowings)

1.82 %

1.91 %

1.75 %

Overall Cost of Funds (including Demand Deposits)

1.90 %

2.04 %

1.81 %

Total Accretion on Acquired Loans (1)

50,327

82,976

2,887

Tax Equivalent ("TE") Adjustment

800

718

547

• The remaining loan discount on acquired loans to be accreted into loan interest income totals $259.5 million as of December 31, 2025.

Noninterest Income and Expense

Three Months Ended

Twelve Months Ended

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

(Dollars in thousands)

2025

2024

2025

2024

Noninterest Income:

Fees on deposit accounts

41,950

42,572

37,869

35,933

35,121

158,324

136,094

Mortgage banking income

5,158

5,462

5,936

7,737

4,777

24,293

20,047

Trust and investment services income

14,684

14,157

14,419

14,932

12,414

58,192

45,474

Correspondent banking and capital markets income

30,638

25,522

19,161

16,715

20,905

92,036

69,144

Expense on centrally-cleared variation margin

(3,167)

(4,318)

(5,394)

(7,170)

(7,350)

(20,049)

(36,525)

Total correspondent banking and capital markets income

27,471

21,204

13,767

9,545

13,555

71,987

32,619

Bank owned life insurance income

9,633

10,597

9,153

10,199

7,944

39,582

30,484

Other

6,857

5,094

5,673

7,275

6,784

24,898

37,594

Securities losses, net

—

(228,811)

(50)

(228,811)

(50)

Gain on sale leaseback, net of transaction costs

—

229,279

—

229,279

—

Total Noninterest Income

105,753

99,086

86,817

86,088

80,545

377,744

302,262

Noninterest Expense:

Salaries and employee benefits

202,714

199,148

200,162

195,811

154,116

797,835

606,869

Occupancy expense

42,567

40,874

41,507

35,493

22,831

160,441

90,103

Information services expense

30,443

28,988

30,155

31,362

23,416

120,948

92,193

OREO and loan related expense

867

5,427

2,295

1,784

1,416

10,373

4,687

Business development and staff related

13,485

8,907

7,182

6,510

6,777

36,085

23,783

Amortization of intangibles

23,417

23,426

24,048

23,831

5,326

94,722

22,395

Professional fees

7,410

4,994

4,658

4,709

5,366

21,771

16,404

Supplies and printing expense

3,594

3,278

3,970

3,128

2,729

13,969

10,558

FDIC assessment and other regulatory charges

9,884

8,374

11,469

11,258

7,365

40,985

31,152

Advertising and marketing

4,710

2,980

3,010

2,290

2,269

12,990

9,143

Other operating expenses

25,105

25,057

22,226

24,644

19,088

97,032

70,221

Merger, branch consolidation, severance related and other expense (8)

4,494

20,889

24,379

68,006

6,531

117,768

20,133

FDIC special assessment

(3,835)

—

(621)

(3,835)

3,852

Total Noninterest Expense

364,855

372,342

375,061

408,826

256,609

1,521,084

1,001,493

Loans and Deposits

The following table presents a summary of the loan portfolio by type:

Ending Balance

(Dollars in thousands)

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

LOAN PORTFOLIO (7)

2025

2024

Construction and land development * †

2,548,360

2,678,971

3,323,923

3,497,909

2,184,327

Investor commercial real estate*

17,883,913

17,603,205

16,953,410

16,822,119

9,991,482

Commercial owner occupied real estate

7,576,991

7,529,075

7,497,906

7,417,116

5,716,376

Commercial and industrial

9,181,408

8,644,636

8,445,878

8,106,484

6,222,876

Consumer real estate *

10,450,223

10,202,026

10,038,369

9,838,952

8,714,969

Consumer/other

957,632

1,009,998

1,007,761

1,084,152

1,072,897

Total Loans

48,598,527

47,667,911

47,267,247

46,766,732

33,902,927

Single family home construction-to-permanent loans originated by the Company's mortgage banking division are included in construction and land development category until completion. Investor commercial real estate loans include commercial non-owner occupied real estate and other income producing property. Consumer real estate includes consumer owner occupied real estate and home equity loans.

†

Includes single family home construction-to-permanent loans of $342.8 million, $350.2 million, $371.1 million, $343.5 million, and $386.2 million for the quarters ended December 31, 2025, September 30, 2025, June 30, 2025, March 31, 2025, and December 31, 2024, respectively.

Ending Balance

(Dollars in thousands)

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

DEPOSITS

2025

2024

Noninterest-bearing checking

13,375,697

13,430,459

13,719,030

13,757,255

10,192,116

Interest-bearing checking

13,838,558

12,906,408

12,607,205

12,034,973

8,232,322

Savings

2,820,621

2,853,410

2,889,670

2,939,407

2,414,172

Money market

17,751,688

17,251,469

16,772,597

17,447,738

13,056,534

Time deposits

7,359,233

7,631,523

7,708,459

7,158,242

4,165,722

Total Deposits

55,145,797

54,073,269

53,696,961

53,337,615

38,060,866

Core Deposits (excludes Time Deposits)

47,786,564

46,441,746

45,988,502

46,179,373

33,895,144

Asset Quality

Ending Balance

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

(Dollars in thousands)

2025

2024

NONPERFORMING ASSETS:

Non-acquired

Non-acquired nonaccrual loans and restructured loans on nonaccrual

161,975

146,751

141,910

151,673

141,982

Accruing loans past due 90 days or more

2,997

4,352

3,687

3,273

3,293

Non-acquired OREO and other nonperforming assets

5,273

11,969

17,288

2,290

1,182

Total non-acquired nonperforming assets

170,245

163,072

162,885

157,236

146,457

Acquired

Acquired nonaccrual loans and restructured loans on nonaccrual

135,179

149,695

151,466

116,691

65,314

Accruing loans past due 90 days or more

1,944

891

707

537

—

Acquired OREO and other nonperforming assets

3,901

7,147

8,783

5,976

1,583

Total acquired nonperforming assets

141,024

157,733

160,956

123,204

66,897

Total nonperforming assets

311,269

320,805

323,841

280,440

213,354

Three Months Ended

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

2025

2024

ASSET QUALITY RATIOS (7):

Allowance for credit losses as a percentage of loans

1.20 %

1.24 %

1.31 %

1.33 %

1.37 %

Allowance for credit losses, including reserve for unfunded commitments,

as a percentage of loans

1.35 %

1.38 %

1.45 %

1.47 %

1.51 %

Allowance for credit losses as a percentage of nonperforming loans

193.71 %

195.61 %

208.57 %

229.15 %

220.94 %

Net charge-offs as a percentage of average loans (annualized)

0.09 %

0.27 %

0.21 %

0.38 %

0.06 %

Net charge-offs, excluding acquisition date charge-offs, as a percentage

of average loans (annualized) *

0.09 %

0.27 %

0.06 %

0.04 %

0.06 %

Total nonperforming assets as a percentage of total assets

0.46 %

0.49 %

0.43 %

0.46 %

Nonperforming loans as a percentage of period end loans

0.62 %

0.63 %

0.58 %

0.62 %

* Excluding acquisition date charge-offs recorded in connection with the Independent merger.

Current Expected Credit Losses ("CECL")

Below is a table showing the roll forward of the ACL and UFC for the fourth quarter of 2025:

Allowance for Credit Losses ("ACL") and Unfunded Commitments ("UFC")

(Dollars in thousands)

Non-PCD ACL

PCD ACL

Total ACL

UFC

Ending balance 9/30/2025

511,578

78,555

590,133

68,538

Charge offs

(9,329)

—

(9,329)

—

Acquired charge offs

(1,506)

(3,515)

(5,021)

—

Recoveries

2,289

—

2,289

—

Acquired recoveries

212

1,389

1,601

—

Provision for credit losses

12,797

(7,273)

5,524

1,081

Ending balance 12/31/2025

516,041

69,156

585,197

69,619

Period end loans

45,621,028

2,977,499

48,598,527

N/A

Allowance for Credit Losses to Loans

1.13 %

2.32 %

1.20 %

N/A

Unfunded commitments (off balance sheet) †

11,486,892

Reserve to unfunded commitments (off balance sheet)

0.61 %

† Unfunded commitments exclude unconditionally cancelable commitments and letters of credit.

Conference Call

The Company will host a conference call to discuss its fourth quarter results at 9:00 a.m. Eastern Time on January 23, 2026. Callers wishing to participate may call toll-free by dialing (888) 350-3899 within the US and (646) 960-0343 for all other locations. The numbers for international participants are listed at https://events.q4irportal.com/custom/access/2324/. The conference ID number is 4200408. Alternatively, individuals may listen to the live webcast of the presentation by visiting SouthStateBank.com. An audio replay of the live webcast is expected to be available by the evening of January 23, 2026 on the Investor Relations section of SouthStateBank.com.

SouthState is a financial services company headquartered in Winter Haven, Florida. SouthState Bank, N.A., the company's nationally chartered bank subsidiary, provides consumer, commercial, mortgage and wealth management solutions to more than 1.5 million customers throughout Florida, Texas, the Carolinas, Georgia, Colorado, Alabama, Virginia and Tennessee. The bank also serves clients nationwide through its correspondent banking division. Additional information is available at SouthStateBank.com.

Non-GAAP Measures

Statements included in this press release include non-GAAP measures and should be read along with the accompanying tables that provide a reconciliation of non-GAAP measures to GAAP measures. Although other companies may use calculation methods that differ from those used by SouthState for non-GAAP measures, management believes that these non-GAAP measures provide additional useful information, which allows readers to evaluate the ongoing performance of the Company. Non-GAAP measures should not be considered as an alternative to any measure of performance or financial condition as promulgated under GAAP, and investors should consider the Company's performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company's results or financial condition as reported under GAAP.

(Dollars in thousands)

Three Months Ended

PRE-PROVISION NET REVENUE ("PPNR") (NON-GAAP)

Dec. 31, 2025

Sep. 30, 2025

Jun. 30, 2025

Mar. 31, 2025

Dec. 31, 2024

Net income (GAAP)

247,722

246,641

215,224

89,080

144,178

Provision (recovery) for credit losses

6,605

5,085

7,505

100,562

6,371

Income tax provision

67,686

74,715

66,975

26,586

43,166

Income tax provision - deferred tax asset remeasurement

—

5,581

—

Securities losses, net

—

228,811

Gain on sale leaseback, net of transaction costs

—

(229,279)

—

Merger, branch consolidation, severance related and other expense (8)

4,494

20,889

24,379

68,006

6,531

FDIC special assessment

(3,835)

—

(621)

Pre-provision net revenue (PPNR) (Non-GAAP)

322,672

347,330

314,083

289,347

199,675

(Dollars in thousands)

Three Months Ended

NET INTEREST MARGIN ("NIM"), TE (NON-GAAP)

Dec. 31, 2025

Sep. 30, 2025

Jun. 30, 2025

Mar. 31, 2025

Dec. 31, 2024

Net interest income (GAAP)

581,115

599,697

577,948

544,547

369,779

Total average interest-earning assets

59,872,113

58,727,110

57,710,001

57,497,453

42,295,376

NIM, non-tax equivalent

3.85

4.05

4.02

3.84

3.48

Tax equivalent adjustment (included in NIM, TE)

800

718

672

784

547

Net interest income, tax equivalent (Non-GAAP)

581,915

600,415

578,620

545,331

370,326

NIM, TE (Non-GAAP)

3.86

4.06

4.02

3.85

3.48

Three Months Ended

Twelve Months Ended

(Dollars in thousands, except per share data)

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

RECONCILIATION OF GAAP TO NON-GAAP

2025

2024

2025

2024

Adjusted Net Income (non-GAAP) (2)

Net income (GAAP)

247,722

246,641

215,224

89,080

144,178

798,667

534,783

Securities losses, net of tax

—

178,639

Gain on sale leaseback, net of transaction costs and tax

—

(179,004)

—

(179,004)

—

PCL - Non-PCD loans and UFC, net of tax

—

71,892

—

71,892

—

Merger, branch consolidation, severance related and other expense, net of tax (8)

3,529

16,032

18,593

53,094

5,026

91,248

15,374

Deferred tax asset remeasurement

—

5,581

—

5,581

—

FDIC special assessment, net of tax

(3,012)

—

(478)

(3,012)

2,884

Adjusted net income (non-GAAP)

248,239

262,673

233,817

219,282

148,764

964,011

553,079

Adjusted Net Income per Common Share - Basic (non-GAAP) (2)

Earnings per common share - Basic (GAAP)

2.48

2.44

2.12

0.88

1.89

7.90

7.01

Effect to adjust for securities losses, net of tax

—

1.76

0.00

1.77

0.00

Effect to adjust for gain on sale leaseback, net of transaction costs and tax

—

(1.77)

—

(1.77)

—

Effect to adjust for PCL - Non-PCD loans and UFC, net of tax

—

0.71

—

0.71

—

Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8)

0.03

0.16

0.18

0.52

0.07

0.90

0.20

Effect to adjust for deferred tax asset remeasurement

—

0.06

—

0.06

—

Effect to adjust for FDIC special assessment, net of tax

(0.03)

—

(0.01)

(0.03)

0.04

Adjusted net income per common share - Basic (non-GAAP)

2.48

2.60

2.30

2.16

1.95

9.54

7.25

Adjusted Net Income per Common Share - Diluted (non-GAAP) (2)

Earnings per common share - Diluted (GAAP)

2.46

2.42

2.11

0.87

1.87

7.87

6.97

Effect to adjust for securities losses, net of tax

—

1.76

0.00

1.76

0.00

Effect to adjust for gain on sale leaseback, net of transaction costs and tax

—

(1.76)

—

(1.78)

—

Effect to adjust for PCL - Non-PCD loans and UFC, net of tax

—

0.71

—

0.71

—

Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8)

0.04

0.16

0.19

0.52

0.07

0.91

0.21

Effect to adjust for deferred tax remeasurement

—

0.05

—

0.06

—

Effect to adjust for FDIC special assessment, net of tax

(0.03)

—

(0.01)

(0.03)

0.04

Adjusted net income per common share - Diluted (non-GAAP)

2.47

2.58

2.30

2.15

1.93

9.50

7.21

Adjusted Return on Average Assets (non-GAAP) (2)

Return on average assets (GAAP)

1.47

1.49

1.34

0.56

1.23

1.22

1.17

Effect to adjust for securities losses, net of tax

—

1.13

0.00

0.27

0.00

Effect to adjust for gain on sale leaseback, net of transaction costs and tax

—

(1.13)

—

(0.27)

—

Effect to adjust for PCL - Non-PCD loans and UFC, net of tax

—

0.45

—

0.11

—

Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8)

0.03

0.10

0.11

0.33

0.04

0.14

0.03

Effect to adjust for deferred tax remeasurement

—

0.04

—

0.01

—

Effect to adjust for FDIC special assessment, net of tax

(0.02)

—

(0.00)

0.00

0.01

Adjusted return on average assets (non-GAAP)

1.48

1.59

1.45

1.38

1.27

1.48

1.21

Adjusted Return on Average Common Equity (non-GAAP) (2)

Return on average common equity (GAAP)

10.90

11.04

9.93

4.29

9.72

9.13

9.41

Effect to adjust for securities losses, net of tax

—

8.61

0.00

2.04

0.00

Effect to adjust for gain on sale leaseback, net of transaction costs and tax

—

(8.63)

—

(2.05)

—

Effect to adjust for PCL - Non-PCD loans and UFC, net of tax

—

3.46

—

0.82

—

Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8)

0.15

0.71

0.86

2.56

0.34

1.05

0.27

Effect to adjust for deferred tax remeasurement

—

0.27

—

0.06

—

Effect to adjust for FDIC special assessment, net of tax

(0.13)

—

(0.03)

0.05

Adjusted return on average common equity (non-GAAP)

10.92

11.75

10.79

10.56

10.03

11.02

9.73

Return on Average Common Tangible Equity (non-GAAP) (3)

Return on average common equity (GAAP)

10.90

11.04

9.93

4.29

9.72

9.13

9.41

Effect to adjust for intangible assets

8.20

8.58

8.24

4.70

5.37

7.55

5.57

Return on average tangible equity (non-GAAP)

19.10

19.62

18.17

8.99

15.09

16.68

14.98

Adjusted Return on Average Common Tangible Equity (non-GAAP) (2) (3)

Return on average common equity (GAAP)

10.90

11.04

9.93

4.29

9.72

9.13

9.41

Effect to adjust for securities losses, net of tax

—

8.61

0.00

2.04

0.00

Effect to adjust for gain on sale leaseback, net of transaction costs and tax

—

(8.63)

—

(2.05)

—

Effect to adjust for PCL - Non-PCD loans and UFC, net of tax

—

3.46

—

0.82

—

Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8)

0.15

0.71

0.86

2.56

0.34

1.05

0.27

Effect to adjust for deferred tax remeasurement

—

0.27

—

0.06

—

Effect to adjust for FDIC special assessment, net of tax

(0.13)

—

(0.03)

0.05

Effect to adjust for intangible assets, net of tax

8.22

9.06

8.82

9.29

5.53

8.83

5.74

Adjusted return on average common tangible equity (non-GAAP)

19.14

20.81

19.61

19.85

15.56

19.85

15.47

Three Months Ended

Twelve Months Ended

Dec. 31,

Sep. 30,

Jun. 30,

Mar. 31,

Dec. 31,

RECONCILIATION OF GAAP TO NON-GAAP

2025

2024

2025

2024

Adjusted Efficiency Ratio (non-GAAP) (4)

Efficiency ratio

49.65

49.88

52.75

60.97

55.73

53.14

56.93

Effect to adjust for securities losses

—

(13.35)

0.00

(3.84)

(0.00)

Effect to adjust for gain on sale leaseback, net of transaction costs

—

13.39

—

3.85

—

Effect to adjust for merger, branch consolidation, severance related and other expense (8)

(0.65)

(2.99)

(3.66)

(10.77)

(1.45)

(4.39)

(1.14)

Effect to adjust for FDIC special assessment

0.56

—

0.14

0.15

(0.26)

Adjusted efficiency ratio

49.56

46.89

49.09

50.24

54.42

48.91

55.53

Tangible Book Value Per Common Share (non-GAAP) (3)

Book value per common share (GAAP)

91.38

89.14

86.71

84.99

77.18

Effect to adjust for intangible assets

(35.11)

(34.66)

(34.75)

(34.92)

(26.07)

Tangible book value per common share (non-GAAP)

56.27

54.48

51.96

50.07

51.11

Tangible Equity-to-Tangible Assets (non-GAAP) (3)

Equity-to-assets (GAAP)

13.48

13.64

13.36

13.24

12.70

Effect to adjust for intangible assets

(4.72)

(4.83)

(4.90)

(4.99)

(3.91)

Tangible equity-to-tangible assets (non-GAAP)

8.76

8.81

8.46

8.25

8.79

Certain prior period information has been reclassified to conform to the current period presentation, and these reclassifications have no impact on net income or equity as previously reported.

Footnotes to tables:

(1)

Includes loan accretion (interest) income related to the discount on acquired loans of $50.3 million, $83.0 million, $63.5 million, $61.8 million, and $2.9 million, during the quarters ended December 31, 2025, September 30, 2025, June 30, 2025, March 31, 2025, and December 31, 2024, respectively, and $258.6 million and $14.4 million during the twelve months ended December 31, 2025 and 2024, respectively.

(2)

Adjusted earnings, adjusted return on average assets, adjusted EPS, and adjusted return on average equity are non-GAAP measures and exclude the gains or losses on sales of securities, gain on sale leaseback, net of transaction costs, PCL on non-PCD loans and unfunded commitments, deferred tax asset remeasurement, merger, branch consolidation, severance related and other expense, and FDIC special assessments. Management believes that non-GAAP adjusted measures provide additional useful information that allows readers to evaluate the ongoing performance of the Company. Non-GAAP measures should not be considered as an alternative to any measure of performance or financial condition as promulgated under GAAP, and investors should consider the Company's performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company's results or financial condition as reported under GAAP. Adjusted earnings and the related adjusted return measures (non-GAAP) exclude the following from net income (GAAP) on an after-tax basis: (a) pre-tax merger, branch consolidation, severance related and other expense of $4.5 million, $20.9 million, $24.4 million, $68.0 million, and $6.5 million for the quarters ended December 31, 2025, September 30, 2025, June 30, 2025, March 31, 2025, and December 31, 2024, respectively, and $117.8 million and $20.1 million for the twelve months ended December 31, 2025 and 2024, respectively; (b) pre-tax net securities losses of $(228,811) and $(50,000) for the quarters ended March 31, 2025 and December 31, 2024, respectively, and for the twelve months ended December 31, 2025 and 2024, respectively; (c) pre-tax gain on sale leaseback, net of transaction costs of $229,279 for the quarter ended March 31, 2025 and for the twelve months ended December 31, 2025; (d) pre-tax FDIC special assessment of $(3.8) million and $(621,000) for the quarters ended December 31, 2025 and December 31, 2024, respectively, and $(3.8) million and $3.9 million for the twelve months ended December 31, 2025 and 2024, respectively; and (e) deferred tax asset remeasurement of $5.6 million for the quarter ended March 31, 2025 and for the twelve months ended December 31, 2025.

(3)

The tangible measures are non-GAAP measures and exclude the effect of period end or average balance of intangible assets. The tangible returns on equity and common equity measures also add back the after-tax amortization of intangibles to GAAP basis net income. Management believes that these non-GAAP tangible measures provide additional useful information, particularly since these measures are widely used by industry analysts for companies with prior merger and acquisition activities. Non-GAAP measures should not be considered as an alternative to any measure of performance or financial condition as promulgated under GAAP, and investors should consider the Company's performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company's results or financial condition as reported under GAAP. The sections titled "Reconciliation of GAAP to Non-GAAP" provide tables that reconcile GAAP measures to non-GAAP.

(4)

Adjusted efficiency ratio is calculated by taking the noninterest expense excluding transaction costs on sale leaseback, merger, branch consolidation, severance related and other expenses, FDIC special assessment, and amortization of intangible assets, divided by net interest income and noninterest income excluding gains (losses) on sales of securities, net and gain on sale leaseback, net of transaction costs. The pre-tax amortization expenses of intangible assets were $23.4 million, $23.4 million, $24.0 million, $23.8 million, and $5.3 million for the quarters ended December 31, 2025, September 30, 2025, June 30, 2025, March 31, 2025, and December 31, 2024, respectively and $94.7 million and $22.4 million for the twelve months ended December 31, 2025 and 2024, respectively.

(5)

The dividend payout ratio is calculated by dividing total dividends paid during the period by the total net income for the same period.

(6)

December 31, 2025 ratios are estimated and may be subject to change pending the final filing of the FR Y-9C; all other periods are presented as filed.

(7)

Loan data excludes loans held for sale.

(8)

Includes pre-tax cyber incident (net reimbursement)/costs of $3,000, $(3.6) million, $111,000, and $329,000 for the quarters ended September 30, 2025, June 30, 2025, March 31, 2025, and December 31, 2024, respectively, and $(3.5) million, and $8.3 million for the twelve months ended December 31, 2025 and 2024, respectively.

Cautionary Statement Regarding Forward Looking Statements

Statements included in this communication, which are not historical in nature are intended to be, and are hereby identified as, forward-looking statements for purposes of the safe harbor provided by Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on, among other things, management's beliefs, assumptions, current expectations, estimates and projections about the financial services industry, the economy and SouthState. Words and phrases such as "may," "approximately," "continue," "should," "expects," "projects," "anticipates," "is likely," "look ahead," "look forward," "believes," "will," "intends," "estimates," "strategy," "plan," "could," "potential," "possible" and variations of such words and similar expressions are intended to identify such forward-looking statements.

SouthState cautions readers that forward looking statements are subject to certain risks, uncertainties and assumptions that are difficult to predict with regard to, among other things, timing, extent, likelihood and degree of occurrence, which could cause actual results to differ materially from anticipated results. Such risks, uncertainties and assumptions, include, among others, the following: (1) economic volatility risk, including as a result of monetary, fiscal, and trade law policies, such as tariffs, and inflation, potentially resulting in higher rates, deterioration in the credit markets, greater than expected noninterest expenses, excessive loan losses, or on the other hand lower rates, which also may have other negative consequences, which risks could be exacerbated by potential negative economic developments resulting from federal spending cuts and/or one or more federal budget-related impasses or actions; (2) risks related to the ability of the Company to pursue its strategic plans which depend upon certain growth goals in our lines of business; (3) risks related to the merger and integration of SouthState and Independent including, among others, (i) the risk that the cost savings and any revenue synergies from the merger may not be fully realized or may take longer than anticipated to be realized, (ii) the risk that the integration of Independent's operations into SouthState's operations will be materially delayed or will be more costly or difficult than expected or that the parties are otherwise unable to successfully integrate Independent's businesses into SouthState's businesses, (iii) the amount of the costs, fees, expenses and charges related to the merger, and (iv) reputational risk and the reaction of each company's customers, suppliers, employees or other business partners to the merger; (4) risks relating to the ability to retain our culture and attract and retain qualified people as we grow and are located in new markets, and being able to offer competitive salaries and benefits, including flexibility of working remotely or in the office; (5) deposit attrition, client loss or revenue loss following completed mergers or acquisitions that may be greater than anticipated; (6) credit risks associated with an obligor's failure to meet the terms of any contract with the Bank or otherwise fail to perform as agreed under the terms of any loan-related document; (7) interest rate risk primarily resulting from our inability to effectively manage the risk, and their impact on the Bank's earnings, including from the correspondent and mortgage divisions, housing demand, the market value of the Bank's loan and securities portfolios, and the market value of SouthState's equity; (8) inflationary risks negatively impacting our business and profitability, earnings and budgetary projections, or demand for our products and services; (9) a decrease in our net interest income due to the interest rate environment; (10) liquidity risk affecting the Bank's ability to meet its obligations when they come due; (11) unexpected outflows of uninsured deposits may require us to sell investment securities at a loss; (12) potential deterioration in real estate values; (13) the loss of value of our investment portfolio could negatively impact market perceptions of us and could lead to deposit withdrawals; (14) price risk focusing on changes in market factors that may affect the value of traded instruments in "mark-to-market" portfolios; (15) transaction risk arising from problems with service or product delivery; (16) the impact of increasing digitization of the banking industry and movement of customers to on-line platforms, and the possible impact on the Bank's results of operations, customer base, expenses, suppliers and operations; (17) controls and procedures risk, including the potential failure or circumvention of our controls and procedures or failure to comply with regulations related to controls and procedures; (18) volatility in the financial services industry (including failures or rumors of failures of other depository institutions), along with actions taken by governmental agencies to address such turmoil, could affect the ability of depository institutions, including us, to attract and retain depositors and to borrow or raise capital; (19) the impact of competition with other financial institutions, including deposit and loan pricing pressures and the resulting impact, including as a result of compression to net interest margin; (20) compliance risk involving risk to earnings or capital resulting from violations of or nonconformance with laws, rules, regulations, prescribed practices, or ethical standards, and contractual obligations regarding data privacy and cybersecurity; (21) regulatory change risk resulting from new laws, rules, regulations, accounting principles, proscribed practices or ethical standards, including, without limitation, the possibility that regulatory agencies may require higher levels of capital above the current regulatory-mandated minimums and including the impact of special FDIC assessments, the Consumer Financial Protection Bureau regulations or other guidance, and the possibility of changes in accounting standards, policies, principles and practices; (22) risks related to the legal, regulatory, and supervisory environment, including changes in financial services legislation, regulation, policies, or government officials or other personnel; (23) strategic risk resulting from adverse business decisions or improper implementation of business decisions; (24) reputation risk that adversely affects earnings or capital arising from negative public opinion including the effects of social media on market perceptions of us and banks generally; (25) cybersecurity risk related to the dependence of SouthState on internal computer systems and the technology of outside service providers, as well as the potential impacts of internal or external security breaches, which may subject the Company to potential business disruptions or financial losses resulting from deliberate attacks or unintentional events; (26) reputational and operational risks associated with environment, social and governance (ESG) matters, including the impact of changes in federal and state laws, regulations and guidance relating to climate change; (27) excessive loan losses; (28) reputational risk and possible higher than estimated reduced revenue from previously announced or proposed regulatory changes in the Bank's consumer programs and products; (29) operational, technological, cultural, regulatory, legal, credit and other risks associated with the exploration, consummation and integration of potential future acquisitions, whether involving stock or cash consideration; (30) catastrophic events such as hurricanes, tornados, earthquakes, floods or other natural or human disasters, including public health crises and infectious disease outbreaks, as well as any government actions in response to such events, and the related disruption to local, regional and global economic activity and financial markets, and the impact that any of the foregoing may have on SouthState and its customers and other constituencies; (31) geopolitical risk from terrorist activities and armed conflicts that may result in economic and supply disruptions, and loss of market and consumer confidence; (32) the risks of fluctuations in market prices for SouthState common stock that may or may not reflect economic condition or performance of SouthState; (33) the payment of dividends on SouthState common stock, which is subject to legal and regulatory limitations as well as the discretion of the board of directors of SouthState, SouthState's performance and other factors; (34) ownership dilution risk associated with potential acquisitions in which SouthState's stock may be issued as consideration for an acquired company; and (35) other factors that may affect future results of SouthState, as disclosed in SouthState's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, filed by SouthState with the U.S. Securities and Exchange Commission ("SEC") and available on the SEC's website at http://www.sec.gov, any of which could cause actual results to differ materially from future results expressed, implied or otherwise anticipated by such forward-looking statements.

All forward-looking statements speak only as of the date they are made and are based on information available at that time. SouthState does not undertake any obligation to update or otherwise revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by federal securities laws. As forward-looking statements involve significant risks and uncertainties, caution should be exercised against placing undue reliance on such statements.

SOURCE SouthState Bank Corporation