Simmons Bank's profits fall 30% in second quarter

Pine Bluff, Arkansas-based Simmons First National Corp. (Nasdaq: SFNC) reported a roughly 30% drop in second-quarter profits amid higher expenses.

The operator of four Simmons Bank branches in Springfield posted net income of $40.8 million, down from $58.3 million in second-quarter 2023, according to a news release. Diluted share earnings decreased to 32 cents from 46 cents per share year over year.

Total interest expenses during the quarter were $175.2 million, up from $134 million a year earlier.

"While we continue to operate against a backdrop of uncertainty concerning slower economic growth and the timing of lower interest rates, we are comforted by our strong capital and liquidity positions," Simmons Bank CEO Bob Fehlman said in the release. "And given the liability sensitivity of our balance sheet, we believe we are well-positioned for profitable growth in a lower interest rate environment."

As of June 30, Simmons Bank's assets were $27.4 billion and deposits were $21.8 billion. The company has 234 branches in Arkansas, Kansas, Missouri, Oklahoma, Tennessee and Texas.

SFNC shares were trading at $21.53 as of 10:42 a.m., compared with a 52-week range of $13.36 to $22.29 per share.