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PROSPERITY BANCSHARES INC

CIK:0001068851|SEC Filings

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
INTEREST INCOME:
Loans, including fees	$ 369,574	$ 325,490	$ 731,330	$ 644,513
Securities	81,200	57,836	151,731	115,722
Federal funds sold and other earning assets	8,719	9,438	18,207	25,334
Total interest income	459,493	392,764	901,268	785,569
INTEREST EXPENSE:
Deposits	107,084	93,790	211,321	189,387
Other borrowings	20,094	30,101	34,877	60,593
Securities sold under repurchase agreements	1,019	1,151	1,921	2,485
Subordinated notes and junior subordinated debentures	746		1,449
Total interest expense	128,943	125,042	249,568	252,465
NET INTEREST INCOME	330,550	267,722	651,700	533,104
PROVISION FOR CREDIT LOSSES	0	0	0	0
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	330,550	267,722	651,700	533,104
NONINTEREST INCOME:
Nonsufficient funds (NSF) fees	11,349	8,885	22,216	18,032
Credit card, debit card and ATM card income	10,303	9,761	19,786	18,500
Service charges on deposit accounts	9,235	7,645	17,915	15,053
Trust income	4,943	3,859	9,865	7,460
Mortgage income	1,363	965	2,643	1,974
Brokerage income	1,478	1,225	3,046	2,487
Net (loss) gain on sale or write-down of assets	(42)	1,414	276	1,179
Net gain on sale or write-up of securities	8,235		8,235
Other	13,841	9,228	23,197	19,598
Total noninterest income	60,705	42,982	107,179	84,283
NONINTEREST EXPENSE:
Salaries and employee benefits	110,965	87,296	220,176	176,772
Net occupancy and equipment	10,685	9,168	21,339	18,314
Credit and debit card, data processing and software amortization	16,121	12,056	34,235	23,478
Regulatory assessments and FDIC insurance	5,287	5,508	11,328	11,297
Core deposit intangibles amortization	5,661	3,610	10,920	7,251
Depreciation	5,795	4,779	11,343	9,553
Communications	4,271	3,507	8,105	6,980
Net other real estate expense	309	(18)	609	92
Merger related expenses	755		43,271
Other	16,327	12,659	32,137	25,129
Total noninterest expense	176,176	138,565	393,463	278,866
INCOME BEFORE INCOME TAXES	215,079	172,139	365,416	338,521
PROVISION FOR INCOME TAXES	46,496	36,984	80,566	73,141
NET INCOME	$ 168,583	$ 135,155	$ 284,850	$ 265,380
EARNINGS PER SHARE:
Per Share Amount, Basic	$ 1.67	$ 1.42	$ 2.84	$ 2.79
Per Share Amount, Diluted	$ 1.67	$ 1.42	$ 2.84	$ 2.79

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 284,850	$ 265,380
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and core deposit intangibles amortization	22,263	16,804
Provision for credit losses	0	0
Net amortization of premium on investments	7,619	9,953
Net gain on sale or write-up of securities	(8,235)
Net gain on sale of other real estate and repossessed assets	(82)	(252)
Net gain on sale or write down of premises and equipment	(276)	(1,179)
Net accretion of discount on loans	(8,841)	(6,416)
Net amortization of premium on deposits	(1,056)	(11)
Net gain on sale of loans	(2,643)	(1,976)
Proceeds from sale of loans held for sale	118,152	79,067
Originations of loans held for sale	(120,010)	(72,929)
Stock based compensation expense	6,555	6,059
(Increase) decrease in accrued interest receivable and other assets	(14,446)	50,011
Increase (decrease) in accrued interest payable and other liabilities	63,695	(68,162)
Net cash provided by operating activities	347,545	276,349
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from maturities, sales and principal paydowns of held to maturity securities	1,001,612	754,742
Purchase of held to maturity securities	(2,481,932)	(274,634)
Proceeds from maturities, sales and principal paydowns of available for sale securities	12,065,606	10,005,257
Purchase of available for sale securities	(11,998,826)	(10,008,602)
Originations of Warehouse Purchase Program loans	(8,105,349)	(7,611,180)
Proceeds from pay-offs of Warehouse Purchase Program loans	8,119,991	7,404,643
Net decrease in loans held for investment	510,979	147,813
Purchase of bank premises and equipment	(11,581)	(13,490)
Proceeds from sale of bank premises, equipment and other real estate	10,551	6,801
Proceeds from insurance claims	3,556	1,794
Net cash (used in) provided by investing activities	(407,305)	413,144
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase (decrease) in noninterest-bearing deposits	420,736	(371,781)
Net decrease in interest-bearing deposits	(675,853)	(536,135)
Net proceeds (repayments) from other short-term borrowings	450,000	(300,000)
Net decrease in securities sold under repurchase agreements	(1,640)	(38,341)
Redemption of junior subordinated debentures	(6,186)
Repurchase of common stock	(70,758)
Payments of cash dividends	(121,011)	(110,513)
Net cash used in financing activities	(4,712)	(1,356,770)
NET DECREASE IN CASH AND CASH EQUIVALENTS	(64,472)	(667,277)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	1,747,728	1,972,467
CASH AND CASH EQUIVALENTS, END OF PERIOD	1,683,256	1,305,190
NONCASH ACTIVITIES:
Acquisition of real estate through foreclosure of collateral	5,291	6,853
SUPPLEMENTAL INFORMATION:
U.S. federal income taxes, net of refunds received	61,000	158,000
State income taxes, net of refunds received	1,585	2,444
Interest paid	256,565	$ 261,538
American Bank Holding Corporation [Member]
CASH FLOWS FROM INVESTING ACTIVITIES:
Net cash provided by the acquisition	233,906
Southwest Bancshares, Inc [Member]
CASH FLOWS FROM INVESTING ACTIVITIES:
Net cash provided by the acquisition	$ 244,182

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
ASSETS
Cash and due from banks	$ 1,683,062	$ 1,747,511
Federal funds sold	194	217
Total cash and cash equivalents	1,683,256	1,747,728
Available for sale securities, at fair value	346,023	338,197
Held to maturity securities, at cost (fair value of $11,101,302 and $9,433,365, respectively)	11,993,057	10,275,228
Total securities	12,339,080	10,613,425
Loans held for sale	18,656	14,155
Loans held for investment	23,719,186	20,486,415
Loans held for investment - Warehouse Purchase Program	1,290,156	1,304,798
Total loans	25,027,998	21,805,368
Less: allowance for credit losses on loans	(382,841)	(333,742)
Loans, net	24,645,157	21,471,626
Accrued interest receivable	119,753	99,297
Goodwill	3,823,920	3,503,127
Core deposit intangibles, net	105,582	51,605
Bank premises and equipment, net	428,478	383,449
Other real estate owned	11,296	13,296
Bank owned life insurance (BOLI)	448,853	392,756
Federal Home Loan Bank of Dallas stock	111,430	86,950
Other assets	155,706	100,166
TOTAL ASSETS	43,872,511	38,463,425
Deposits:
Noninterest-bearing	10,739,937	9,467,911
Interest-bearing	21,859,750	19,014,573
Total deposits	32,599,687	28,482,484
Other borrowings	2,400,000	1,950,000
Securities sold under repurchase agreements	199,576	201,216
Subordinated notes	70,000
Accrued interest payable	27,365	30,913
Allowance for credit losses on off-balance sheet credit exposures	37,646	37,646
Other liabilities	232,978	145,026
Total liabilities	35,567,252	30,847,285
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS’ EQUITY:
Preferred stock, $1 par value; 20,000,000 shares authorized; none issued or outstanding
Common stock, $1 par value; 200,000,000 shares authorized; 100,645,772 issued and outstanding at June 30, 2026; 93,058,171 shares issued and outstanding at December 31, 2025	100,646	93,058
Capital surplus	4,171,398	3,653,751
Retained earnings	4,033,466	3,869,627
Accumulated other comprehensive loss - net unrealized loss on available for sale securities, net of tax expense of $(69) and $(79), respectively	(251)	(296)
Total shareholders’ equity	8,305,259	7,616,140
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 43,872,511	$ 38,463,425