Bank OZK posts quarterly declines in net income, revenue
Little Rock-based Bank OZK on Tuesday (July 21) reported a decline in second quarter net income and a slight gain in quarterly revenue. Per share earnings of $1.49 was below the $1.59 in the same quarter of 2025, but beat the consensus estimate of $1.48.
Net income in the quarter was $163.325 million, down 8.7% compared with $178.931 million in the same quarter of 2026. Revenue in the quarter was $430.02 million, up 0.5% compared with the same quarter in 2025, but below the consensus estimate of $436.15 million.
“We are pleased to report our solid financial results for the quarter including EPS of $1.49, a 1.60% return on assets, a 4.24% net interest margin, a 39.2% efficiency ratio, strong increases in our book value and tangible book value per common share, and meaningful increases in our capital ratios,” George Gleason, chairman and CEO, noted in the report posted after the markets closed. “We continued to make significant progress with the strategic diversification of our loan portfolio. Our solid financial performance and steady progress on numerous strategic initiatives have us well-positioned for the future.”
Net income in the first half of the year for the regional bank was $322.643 million, down 7% compared with $346.843 million in the same period of 2025. Revenue in the first half was $848.119 million, better than the $837.271 million in the same period of 2025.
Partially driving the quarterly net income decline was a reduction in loan income. Interest income from loans was down $32.339 million, or 5.2%, in the second quarter compared with the same quarter in 2025. The company’s guidance indicates modest net interest income growth in the back half of 2026.
“We expect net interest income in the second half of 2026 to increase only modestly compared to the first half,” the company noted. “Improving on 2025’s record net interest income of $1.59 billion is now considered a stretch goal that will require meaningful growth in average earning assets in the second half of the year.”
Following are other financial items from the quarterly report.
• Total assets as of June 30 reached $41.703 billion, up from $41.454 billion at the same period in 2025.
• Total loans as of June 30 were $32.561 billion, down from $33.005 billion at the same period in 2025.
• Total deposits as of June 30 were $33.996 billion, down from $35.522 billion at the same period in 2025.
• The return on assets (ROA) as of June 30 was 1.59%, down from 1.79% at the same period in 2025.
The bank reported full-year 2025 net income of $699.293 million, just below the $700.269 million in 2024. Revenue for the year was $1.727 billion, better than the $1.658 billion in 2024.
Established in 1903 with a charter based in Jasper, Ark., Bank OZK has operations and 267 offices in Arkansas, California, Florida, Georgia, Mississippi, New York, North Carolina, Tennessee, and Texas.
Bank OZK shares (NASDAQ: OZK) closed Tuesday at $50.78, down 65 cents. The share price has in the past 52 weeks ranged between $53.66 and $42.37.