Third Coast Bancshares, Inc. (TCBX) SEC Filings & Earnings Calls

Net interest margin compression due to rising deposit costs and lower loan yields

“NIM 3.70% vs 3.83% QoQ and 4.10% YoY; cost of interest-bearing deposits 3.49% vs 3.41% QoQ”

Efficiency ratio deteriorated to 63.10% from 56.51% QoQ and 53.03% YoY

“Efficiency ratio of 63.10% for the third quarter of 2026 compared to 56.51% for the second quarter of 2026 and 53.03% for the third quarter of 2025” · word for word

Merger integration risk with Great Plains acquisition

“announced a definitive merger agreement to acquire Great Plains Bancshares, Inc. in an all-stock transaction valued at approximately $239.6 million”

Merger subject to regulatory approvals and shareholder votes; integration risk

“Conditions include regulatory consents, shareholder approvals, and effectiveness of Form S-4”

Integration risk and potential regulatory hurdles may delay or prevent closing.

“Risk factors: required regulatory, shareholder or other approvals; integration may be more costly or difficult.”

Dilution from issuance of shares in connection with the transaction.

“Risk factor: dilution caused by Third Coast’s issuance of additional shares of its common stock.”

Board member departure may signal governance transition, but no disagreement or operational impact noted.

“Resignation effective September 17, 2026; no disagreement disclosed.”

Acquisition integration risk

“The Company incurred expenses of approximately $ 4.1 million related to the acquisition.” · word for word

NIM compression vs prior year; loan yield declined 89bp YoY.

“NIM 3.83% vs 4.22% YoY; loan yield 7.06% vs 7.95% YoY.”

Noninterest expense flat QoQ but up 33% YoY; efficiency ratio still above 55%.

“Noninterest expense $38.4M vs $28.8M YoY.”

Loss of revenue stream from TCCC; mitigated by revenue sharing.

“Sale of TCCC assets; ongoing revenue sharing arrangement.”

Acquisition integration risk

“The Company incurred expenses of approximately $3.3 million related to the acquisition.”

Net interest margin compression of 43 bps linked quarter due to lower loan yields and higher deposit costs.

“Net interest margin of 3.67% for the first quarter of 2026 compared to 4.10% for the fourth quarter of 2025” · word for word

Merger-related expenses of $3.3M pre-tax negatively impacted net income.

“The first quarter of 2026 included non-recurring adjustments related to the merger with Keystone that negatively impacted net income by approximately $3.3 million pre-tax.” · word for word

Efficiency ratio increased to 66.06% from 57.90% linked quarter, indicating cost pressures from merger.

“Efficiency ratio of 66.06% for the first quarter of 2026 compared to 57.90% for the fourth quarter of 2025” · word for word

Regulatory capital risk from incentive plan

“Notwithstanding any provision of this Plan or any agreement to the contrary, Awards granted under the Plan will expire or be forfeited, to the extent not exercised or settled, within forty-five (45) days following the receipt of notice from the Company's and/or the Bank's primary federal or state regulator that (i) the Company and/or the Bank has not maintai” · word for word

Integration risk; customer conversion planned for summer 2026.

“Customer conversion anticipated to take place this summer.” · word for word

Merger-related expenses may pressure near-term earnings.

“Merger-related expenses mentioned in prior earnings release.”

Merger-related expenses impacted Q4 earnings; efficiency ratio increased QoQ.

“Efficiency ratio 57.90% vs 53.03% prior quarter; merger-related expenses noted.”

Loan yield declined 27bp QoQ; NIM stable but loan yield pressure.

“Loan yield 7.52% vs 7.79% prior quarter.”

Shareholder litigation risk from demand letters alleging inadequate proxy disclosures; could delay or increase cost of merger if not resolved.

“Four demand letters received from December 4, 2025 to January 16, 2026 alleging omissions in joint proxy statement/prospectus.”

Loss of key risk and operations officer; temporary allocation of duties may create operational gaps until successors are hired.

“Duties of Chief Operations Officer and Chief Risk Officer will be allocated among management team until successors employed.”

Merger completion risk

“Completion of the Merger is subject to regulatory approval. The Company may not receive the required regulatory approvals.” · word for word

Integration risk

“Combining the two companies, including the retention of key employees, may be more difficult, costly or time consuming than expected and the anticipated benefits and cost savings of the Merger may not be realized.” · word for word

Integration risk from acquiring Keystone; potential dilution from stock consideration; regulatory approval required.

“Transaction subject to regulatory approvals, shareholder approvals, and customary closing conditions; exchange ratio subject to adjustment based on Keystone's equity.”