Great Southern Bancorp Starts 2026 Strong, Maintains Focus on Relationship-Based Banking
The first quarter of 2026 marked a solid start for Great Southern Bancorp, with the company reporting net income of $17.5 million, or $1.58 per diluted common share. This represents a slight increase from the year-ago quarter and demonstrates the bank's continued progress in its pursuit of meaningful per-share tangible book value growth.
According to Joe Turner, President and CEO of Great Southern Bancorp, the company's results reflect a resilient net interest margin, prudent asset-liability management, thoughtful capital allocation, and stable loan balances. Net interest income totaled $48.3 million for the quarter, down about $1 million from the first quarter of 2025 due to the absence of income from terminated interest rate swaps.
However, the bank was able to strategically manage funding costs while maintaining attractive asset yields, allowing for strong net interest income despite this lost income. The company also benefited from the collection of $483,000 in unbooked interest this quarter, further supporting its net interest income. Annualized margin was 3.71% compared to 3.57% in 2025's first quarter and 3.70% in the fourth quarter of 2025.
Great Southern Bancorp's loan portfolio increased by almost $100 million during the quarter, with growth primarily in construction and commercial real estate lending. While this balance sheet growth supported earnings in the quarter, period-to-period loan trends are influenced significantly by loan repayments from borrowers. In the first quarter of 2026, loan repayments were less than the quarterly average in 2025.
The company remains committed to measured loan origination and disciplined underwriting, mindful of volatility and macroeconomic challenges affecting borrowers. Asset quality metrics remain strong for Great Southern Bancorp, with non-performing assets to total assets of 0.18% and virtually no charge-offs. The bank did not record a provision for credit losses on outstanding loans in the first quarter of 2026.
On the funding side, total deposits remained generally stable throughout the first quarter of 2026. Non-brokered deposits were down just $26 million from the start of the quarter, and brokered deposits were down about $11 million as the bank used FHLB borrowings to replace certain maturing balances.
Deposit markets remain competitive across both core and broker channels, and Great Southern Bancorp continues to manage its funding mix with a focus on cost, duration, and flexibility. Overall, the company's strong first-quarter results demonstrate its commitment to relationship-based banking and its ability to navigate a continuing competitive operating environment."
