SHORE BANCSHARES INC

For the period ended Mar 31, 2026. Filed May 4, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2026 · Filed May 4, 2026

SHBI$22.85-0.2%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

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Contents

Consolidated Balance Sheets at (unaudited) and

CONSOLIDATED BALANCE SHEETS

($ in thousands, except per share data)	March 31, 2026	December 31, 2025
ASSETS · (Unaudited)
Cash and due from banks	$44,054	$50,164
Interest-bearing deposits with other banks	296,768	305,402
Cash and cash equivalents	340,822	355,566
Investment securities:
Available for sale, at fair value (amortized cost of $271,276 and $226,677 at March 31, 2026 and December 31, 2025, respectively)	264,026	220,358
Held to maturity, net of allowance for credit losses of $81 and $99 (fair value of $356,390 and $378,116 at March 31, 2026 and December 31, 2025, respectively)	393,615	414,827
Equity securities, at fair value	6,195	6,186
Restricted securities, at cost	18,003	17,989
Loans held for sale, at fair value	24,034	32,540
Loans held for investment	4,848,030	4,900,302
Less: allowance for credit losses	(58,481)	(58,836)
Loans, net	4,789,549	4,841,466
Premises and equipment, net	80,137	80,168
Goodwill	63,266	63,266
Other intangible assets, net	27,742	29,722
Right-of-use assets	10,102	10,523
Cash surrender value on life insurance	106,684	105,839
Accrued interest receivable	20,676	18,551
Deferred income taxes	29,752	29,825
Other assets	31,460	31,992
TOTAL ASSETS	$6,206,063	$6,258,818
LIABILITIES
Deposits:
Noninterest-bearing	$1,567,425	$1,587,953
Interest-bearing checking	812,847	852,585
Money market and savings	1,795,619	1,814,928
Time deposits	1,274,766	1,267,487
Brokered deposits	10,963	10,911
Total deposits	5,461,620	5,533,864
Guaranteed preferred beneficial interest in junior subordinated debentures (“TRUPS”), net	30,247	30,168
Subordinated debt, net	58,782	58,893
Total borrowings	89,029	89,061
Lease liabilities	10,608	11,027
Other liabilities	42,092	34,993
TOTAL LIABILITIES	5,603,349	5,668,945
COMMITMENTS AND CONTINGENCIES (Note 13)
STOCKHOLDERS’ EQUITY
Common stock, $0.01 par value per share; shares authorized 50,000,000; shares issued and outstanding 33,451,063 and 33,413,503 at March 31, 2026 and December 31, 2025, respectively	335	334
Additional paid-in capital	361,013	360,554
Retained earnings	246,636	233,578
Accumulated other comprehensive loss	(5,270)	(4,593)
TOTAL STOCKHOLDERS’ EQUITY	602,714	589,873
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$6,206,063	$6,258,818

CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

	Three Months Ended March 31,
($ in thousands, except per share data)	2026	2025
INTEREST INCOME
Interest on loans	$70,814	$67,516
Interest and dividends on taxable investment securities	5,114	5,001
Interest and dividends on tax-exempt investment securities	6	6
Interest on deposits with other banks	2,458	3,409
Total interest income	78,392	75,932
INTEREST EXPENSE
Interest on deposits	24,264	28,070
Interest on short-term borrowings	—	598
Interest on long-term borrowings	1,573	1,366
Total interest expense	25,837	30,034
NET INTEREST INCOME	52,555	45,898
Provision for credit losses	85	1,028
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	52,470	44,870
NONINTEREST INCOME
Service charges on deposit accounts	1,596	1,514
Trust and investment fee income	1,137	823
Mortgage banking revenue	1,450	1,240
Interchange credits	1,698	1,577
Other noninterest income	1,363	1,980
Total noninterest income	7,244	7,134
NONINTEREST EXPENSE
Salaries and employee benefits	19,639	16,440
Occupancy expense	2,567	2,538
Furniture and equipment expense	855	853
Software and data processing	5,140	4,691
Amortization of other intangible assets	1,980	2,278
Legal and professional fees	1,605	1,613
FDIC insurance premium expense	995	1,091
Marketing and advertising	311	254
Fraud losses	111	105
Other noninterest expense	3,853	3,884
Total noninterest expense	37,056	33,747
Income before income taxes	22,658	18,257
Income tax expense	5,570	4,493
NET INCOME	$17,088	$13,764
Basic net income per common share	$0.51	$0.41
Diluted net income per common share	$0.51	$0.41
Dividends paid per common share	$0.12	$0.12

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)

	Three Months Ended March 31,
($ in thousands)	2026	2025
Net income	$17,088	$13,764
Other comprehensive income (loss):
Investment securities:
Unrealized holding (losses) gains on available for sale securities	(931)	1,667
Tax effect	254	(455)
Total other comprehensive (loss) income	(677)	1,212
Comprehensive income	$16,411	$14,976

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Unaudited)

($ in thousands)	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Total Stockholders’ Equity
Balances, December 31, 2025	$334	$360,554	$233,578	$(4,593)	$589,873
Net income	—	—	17,088	—	17,088
Other comprehensive loss	—	—	—	(677)	(677)
Common shares issued for employee stock purchase plan	—	90	—	—	90
Stock-based compensation	1	369	—	—	370
Cash dividends at $0.12 per common share	—	—	(4,030)	—	(4,030)
Balances, March 31, 2026	$335	$361,013	$246,636	$(5,270)	$602,714

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Unaudited)– Continued

($ in thousands)	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Total Stockholders’ Equity
Balances, December 31, 2024	$333	$358,112	$190,166	$(7,545)	$541,066
Net income	—	—	13,764	—	13,764
Other comprehensive income	—	—	—	1,212	1,212
Stock-based compensation	—	460	—	—	460
Cash dividends at $0.12 per common share	—	—	(4,032)	—	(4,032)
Balances, March 31, 2025	$333	$358,572	$199,898	$(6,333)	$552,470

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

	Three Months Ended March 31,
($ in thousands)	2026	2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$17,088	$13,764
Adjustments to reconcile net income to net cash provided by operating activities:
Net accretion of acquisition accounting estimates	(4,263)	(3,153)
Provision for credit losses	85	1,028
Depreciation and amortization	3,578	4,077
Net amortization of securities	(69)	36
Amortization of debt issuance costs	72	30
Gain on mortgage loans held for sale	(1,549)	(966)
Loss (gain) on other mortgage loan activity	238	(284)
Proceeds from sale of mortgage loans held for sale	50,845	33,739
Originations of loans held for sale	(41,379)	(29,362)
Stock-based compensation expense	913	511
Deferred income tax expense (benefit)	327	(26)
Loss (gain) on sales and valuation adjustments of repossessed assets	127	94
Loss on valuation adjustments on mortgage servicing rights	159	330
Loss on disposal of fixed assets	—	27
Loss (gain) on disposal of premises held for sale	—	61
Loss (gain) on sales and valuation adjustments on other real estate owned	44	—
Fair value adjustment on equity securities	39	(87)
Bank-owned life insurance income	(33)	(529)
Net changes in:
Accrued interest receivable	(2,125)	(985)
Other assets	587	740
Accrued interest payable	932	(39)
Other liabilities	5,957	777
Net cash provided by operating activities	31,573	19,783
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from maturities and principal payments of available for sale securities	5,518	3,701
Proceeds from maturities and principal payments of held to maturity securities	21,108	11,388
Purchases of available for sale securities	(49,926)	(31,865)
Purchases of equity securities	(48)	(44)
Purchase of restricted securities	(14)	(158)
Net change in loans	55,093	(2,256)
Purchases of premises and equipment	(1,087)	(1,024)
Proceeds from sales of repossessed assets	82	1,234
Purchases of bank owned life insurance	(316)	(90)
Proceeds from disposal of premises held for sale	—	843
Net cash provided (used in) by investing activities	$30,410	$(18,271)

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)– Continued

	Three Months Ended March 31,
($ in thousands)	2026	2025
CASH FLOWS FROM FINANCING ACTIVITIES:
Net changes in:
Noninterest-bearing deposits	$(20,528)	$2,202
Interest-bearing deposits	(51,716)	(70,527)
Shares withheld as tax payments associated with settlement of restricted stock units	(543)	—
Common stock dividends paid	(4,030)	(4,032)
Issuance of common stock	90	—
Net cash used in financing activities	(76,727)	(72,357)
Net decrease in cash and cash equivalents	(14,744)	(70,845)
Cash and cash equivalents at beginning of period	355,566	459,851
Cash and cash equivalents at end of period	$340,822	$389,006
Supplemental cash flow information:
Interest paid	$24,754	$29,477
Recognition of lease liabilities arising from right-of-use assets	—	915
Transfers from loans to repossessed assets	674	569
Unrealized (losses) gains on available for sale securities	(931)	1,667

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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.