Abilene, Texas, October 15, 2026 / PRNewswire / -- First Financial Bankshares, Inc. (hereinafter referred to as the "Company") (Nasdaq ticker: FFIN) announced today that it achieved a net profit of $74.31 million in the third quarter of 2026, an increase from $52.27 million in the same period last year, and also higher than the $71.89 million reported for the quarter ending June 30, 2026. The diluted earnings per share for the third quarter of 2026 were $0.52, compared to $0.36 in the same period last year and $0.50 in the previous quarter.

The company's President and CEO, David Bailey, stated: "We are delighted to report another record quarter of net profit, which is mainly due to the continued expansion of our net interest margin. As we enter the last quarter of the year, we will continue to focus on prudent balance sheet growth and robust risk management. We are also pleased to announce that we will be opening a new branch in Bee Cave later this month, which will be our first full-service branch in the Austin market and an important step in our ongoing expansion in Texas. We thank the dedicated efforts of the First Financial banking team; their commitment to customers and shareholders drives our success every day."

In the third quarter of 2026, net interest income amounted to $138.51 million, an increase from $127.00 million in the third quarter of 2025 and also higher than $136.91 million in the previous quarter. Calculated on a tax-equivalent basis, the net interest margin was 3.91%, which is higher than 3.80% in the third quarter of 2025 and roughly the same as 3.90% in the previous quarter. The average interest-bearing assets were $14.43 billion, an increase from $13.60 billion in the same period last year and slightly lower than $14.46 billion in the previous quarter.

In the third quarter of 2026, the company provided for credit losses of $2.03 million, which is lower than the $24.44 million in the third quarter of 2025 and also lower than the $4.18 million in the previous quarter. The company stated that the provision made in the third quarter of 2025 was affected by a large loan that was written off due to borrower fraud. As of September 30, 2026, the total amount of credit loss provisions amounted to $113.89 million, accounting for 1.33% of the loans held for investment; in the same period last year, it was $105.96 million, accounting for 1.29% of the loans; and as of June 30, 2026, it was $112.43 million, accounting for 1.35% of the loans. In addition, as of September 30, 2026, there was an unutilized committed provision of $5.85 million, compared to $8.84 million in the same period last year and $6.21 million as of June 30, 2026.

In the third quarter of 2026, the company recorded a net write-off of $935,000; in the third quarter of 2025, the net write-off was $22.34 million; while in the previous quarter, there was a net recovery of $600,000. As of September 30, 2026, the proportion of non-performing assets to loans and foreclosure assets was 0.71%, which was consistent with the same period last year and lower than 0.80% as of June 30, 2026. Classified loans amounted to $294.49 million as of September 30, 2026, which is higher than $252.96 million as of September 30, 2025, and also higher than $283.10 million as of June 30, 2026.

In the third quarter of 2026, non-interest income amounted to $35.64 million, which is an increase from $34.26 million in the third quarter of 2025, but it was slightly lower than the $35.84 million of the previous quarter.

• Wealth management fee income increased to $14.49 million in the third quarter of 2026, up from $12.95 million in the third quarter of 2025 and $13.96 million in the previous quarter. The company stated that the growth was related to an increase in new accounts as well as an increase in mineral fees due to rising oil and gas prices. As of September 30, 2026, the market value of managed assets was $12.35 billion, compared to $12.05 billion in the same period last year and $12.23 billion on June 30, 2026.
• Deposits service fee income increased to $6.69 million in the third quarter of 2026, higher than $6.45 million in the third quarter of 2025 and $6.26 million in the previous quarter. The company stated that the change was mainly due to an increase in net new accounts.
• Mortgage loan income dropped to $4.18 million in the third quarter of 2026, lower than $4.38 million in the third quarter of 2025 and $4.68 million in the previous quarter. The company stated that the surge in long-term interest rates in the third quarter of 2026 affected the volume and profit margin of its mortgage loan business.

In the third quarter of 2026, non-interest expenses totaled 81.05 million US dollars, an increase from 73.67 million US dollars in the third quarter of 2025, and were basically on par with 81.11 million US dollars in the previous quarter.

• Salaries, commissions, and employee benefits costs (excluding the market value adjustment for the supplementary executive retirement plan “SERP”) amounted to $47.79 million, which is higher than $42.32 million in the third quarter of 2025 and slightly lower than $48.26 million in the previous quarter. The company stated that the increase compared to the same period in 2025 was mainly due to the annual performance-based and market-driven salary increases that took effect on March 1 this year.
• Non-interest expenses, excluding all compensation-related costs, increased by $2.18 million compared to the same period in 2025 and by $1.8 million compared to the previous quarter. The increase compared to the same period last year was mainly due to higher legal and professional fees, software amortization and expenses, as well as increased advertising and public relations costs, but this was offset in part by decreases in operating and other losses and debit card fees. The increase compared to the previous quarter was mainly due to higher operating and other losses and legal and professional fees.

The company's efficiency ratio in the third quarter of 2026 was 45.59%, which is higher than 44.74% in the third quarter of 2025 and lower than 45.94% in the previous quarter.

As of September 30, 2026, the total consolidated assets amounted to $15.16 billion, an increase from $14.84 billion as of September 30, 2025, but lower than $15.31 billion on June 30, 2026. The total loans were $8.54 billion, higher than $8.24 billion at September 30, 2025, and also higher than $8.35 billion on June 30, 2026. In the third quarter of 2026, loans increased by $191.86 million compared to June 30, 2026, representing an annualized growth rate of 9.12%. From the beginning of the year to date, loans have grown by $380.51 million, with an annualized growth rate of 6.24%. Deposits and repurchase agreements totaled $13.19 billion, which is higher than $12.90 billion at September 30, 2025, and also slightly higher than $13.17 billion on June 30, 2026. In the third quarter of 2026, interest-free deposits increased by $67.07 million compared to June 30, 2026, with an annualized growth rate of 7.65%. From the beginning of the year to date, interest-free deposits have increased by $144.77 million, with an annualized growth rate of 5.69%.

As of September 30, 2026, shareholders' equity amounted to $1.83 billion, which is essentially the same as $1.83 billion as of September 30, 2025, but lower than $2.00 billion as of June 30, 2026. Compared to the previous quarter, the decrease in shareholders' equity was mainly due to an increase in unrealized losses on the securities investment portfolio of $209.89 million (after taxes). As of September 30, 2026, the unrealized losses on the securities investment portfolio (after applicable taxes) were $489.55 million, which is higher than $308.58 million as of September 30, 2025, and $279.67 million as of June 30, 2026, due to changes in long-term market interest rates during those periods.

Regarding First Financial Bankshares, Inc.

First Financial Bankshares, Inc. Headquartered in Abilene, Texas, it is a financial holding company.Through its subsidiary First Financial Bank, the company operates multiple banking regions in Dezhou, with a total of 81 branches covering Abilene, Acton, Albany, Aledo, Alvarado, Austin / Bee Cave, Beaumont, Boyd, Bridgeport, Brock, Bryan, Burleson, College Station, Cisco, Cleburne, Clyde, Conroe, Cut, and, Shoot, Decatur, Eastland, El Campo, Fort Worth, Franklin, Fulshear, Glen Rose, Granbury, Grapevine, Hereford, Huntsville, Keller, Kingwood, Lumberton, Magnolia, Mauriceville, Merkel, Midlothian, Mineral Wells, Montgomery, Moran, New Waverly, Newton, Odessa, Orange, Palacios, Port Arthur, Ranger, Rising Star, Roby, San Angelo, Southlake, Spring, Stephenville, Sweetwater, Tomball, Trent, Trophy Club, Vidor, Waxahachie, Weatherford, Willis, and Willow Park.The company also operates First Financial Wealth Management, with 9 branches, as well as the technical operation companies First Technology Services and Inc.

The company is listed on the NASDAQ Global Select Market, with the trading code FFIN. For more information, please visit the company's website: https :// www.ffin.com.

Certain statements contained in this document may be considered “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on the judgment of the company’s management and assumptions that go beyond the information currently available to them, and may be identified by words such as “expected,” “planned,” “anticipated,” “targeted,” “predicted,” “projected,” and “goal.” Due to the risks and uncertainties associated with such forward-looking statements, actual results may differ significantly from those expressed or implied in these statements. Factors that could lead to significant differences between actual results and company expectations include: competition from other financial institutions and financial holding companies; the impact and changes in trade, monetary, and fiscal policies and laws, including the Federal Reserve’s interest rate policy; the economic impact of oil and gas prices and changes in loan demand; fluctuations in the value of collateral and loan reserves; inflation, interest rates, market, and currency fluctuations; changes in consumer spending, borrowing, and saving habits; as well as mergers and acquisitions and their integration, among other similar variables. Other significant risks are disclosed in the reports submitted by the company to the U.S. Securities and Exchange Commission and can be found under the sections “Investor Relations - Documents and Filings” on the company’s website, or by contacting the company at 325.627.7155. Unless otherwise stated in this press release, the company does not undertake any obligation to publicly update or revise any forward-looking statements due to new information, future events, or other reasons.