Ameris Earns $116.1 Million As Litigation Charge Fades, Adds $200 Million Buyback Room
The Atlanta bank's third-quarter profit rose from a year earlier, and its board authorized repurchases of up to $200.0 million.
Ameris Bancorp, the Atlanta bank holding company behind Ameris Bank, earned $116.1 million in the third quarter, or $1.73 per diluted share, up from $106.0 million, or $1.54, a year earlier. The company reported the results Thursday and said its board authorized a new buyback of up to $200.0 million.
A second quarter that reset
The comparison with the prior quarter is stark. Second-quarter net income was $51.4 million, weighed down by an $82.5 million litigation accrual. Adjusted net income, which strips out that item and others, was $115.99 million this quarter against $107.3 million in the second quarter.
Noninterest expense fell to $158.7 million from $242.7 million, with the company citing an $80.8 million decline in the litigation accrual. The efficiency ratio, which measures costs against revenue, improved to 49.32% from 74.45%.
For the first nine months, net income was $278.0 million, or $4.13 per diluted share, against $303.8 million, or $4.41, a year earlier. CEO Palmer Proctor called it "another strong quarter" and pointed to a net interest margin of 3.87%.
What Ameris does and how it grew
Ameris does its banking through Ameris Bank, which lends to retail and commercial customers in Georgia, Alabama, Florida, North Carolina and South Carolina. It had 163 branches at September 30, and total assets were $28.55 billion.
Loans grew $173.1 million, or 3.1% annualized, and deposits rose $319.4 million, or 5.6% annualized. Noninterest-bearing deposits were 29.2% of the total. Commercial real estate loan payoffs hit a record $531.8 million, according to the investor presentation.
Credit costs eased slightly: the provision for credit losses was $12.6 million, against $17.3 million in the second quarter. Nonperforming assets rose to 0.54% of total assets, up seven basis points, or 0.07 percentage points.
The $200 million repurchase authorization
The board authorized the buyback on October 16, and it runs through October 31, 2027. The company calls it a continuation and replenishment of the prior program, under which it repurchased $134.6 million of stock in the past 12 months. Repurchases are discretionary and the program sets no required share count.
The presentation shows no repurchases in the third quarter, and $93.8 million of shares bought so far in 2026.
Ameris shares closed at $82.37 on Thursday, up 2.17%, before the results were filed at 4:15 p.m. ET.
Management hosts a call at 9:00 a.m. Eastern on Friday, October 23, to discuss the results.
