Five Star reported net income of $19.4 million for the three months ended June 30, 2026, compared to $18.6 million for the three months ended March 31, 2026, and $14.5 million for the three months ended June 30, 2025. Earnings per share increased to $0.91, beating the analyst consensus estimate of $0.86 by 5.81%. This represents a 33.82% increase over earnings of $0.68 per share from the same period last year. The company reported quarterly sales of $47.955 million, beating the analyst consensus estimate of $47.300 million by 1.39%, a 25.13% increase over sales of $38.325 million in the same period last year.

James E. Beckwith, President and Chief Executive Officer, attributed the performance to demand for the company's services, noting that total loans held for investment increased by $306.3 million, or 7%, and total deposits increased by $330.0 million, or 7%. The company's Board of Directors declared a cash dividend of $0.25 per share during the quarter.

Financial Performance

Net interest income increased by $2.6 million during the three months ended June 30, 2026, compared to the prior quarter, primarily due to an increase in interest income driven by loan growth. The provision for credit losses decreased by $0.4 million, reflecting lower loss estimates driven by strong loan growth concentrated in pools with relatively lower loss rates.

Non-interest income increased by $0.2 million, primarily due to an overall improvement in earnings related to investments in venture-backed funds. Non-interest expense increased by $2.2 million, driven by higher advertising, promotional, data processing, and software expenses tied to continued organizational growth.

Balance Sheet Highlights

Total assets were $5.38 billion as of June 30, 2026, compared to $5.03 billion at March 31, 2026. Total deposits were $4.80 billion, an increase of $330.0 million, or 7.38%, from the prior quarter. The ratio of nonperforming loans to loans held for investment increased to 0.30% at June 30, 2026, from 0.07% at March 31, 2026, due to one Community Reinvestment Act loan placed on non-accrual status.

The company's common equity Tier 1 capital ratio was 9.98% as of June 30, 2026, and it continues to meet all requirements to be considered "well-capitalized" under applicable regulatory guidelines.

Five Star Bancorp has declared a cash dividend of $0.25 per share on its voting common stock. The dividend is scheduled to be paid on August 10, 2026, to shareholders of record as of August 3, 2026. The announcement was made by the bank holding company, which operates through its wholly owned subsidiary, Five Star Bank.

Key Dividend Details

The declaration marks the second quarter cash dividend for the company. The payment will be made to shareholders who hold the stock on the record date. The following table outlines the critical dates and amounts associated with the dividend distribution.

Company Overview

Five Star Bancorp is headquartered in Rancho Cordova, California. The company conducts its operations through Five Star Bank, which currently maintains ten branches in California. This network expanded recently with the opening of a branch in Lodi in July 2026.