Old Second Bancorp Inc. Reports Fourth‑Quarter 2025 Net Income of $28.8 Million
Old Second Bancorp, Inc. (NASDAQ: OSBC), the parent company of Old Second National Bank, released its financial results for the fourth quarter ended December 31, 2025, on January 21, 2026.
Earnings Highlights
- Net income: $28.8 million, or $0.54 per diluted share.
- Adjusted net income (non‑GAAP): $30.8 million, or $0.58 per diluted share.
The quarter’s earnings exceeded those of the third quarter by $18.9 million and surpassed the fourth‑quarter result of 2024 by $9.7 million.
Adjusting Items
The adjusted figures exclude several non‑recurring items:
| Item | Amount | Explanation |
|---|---|---|
| Mortgage servicing rights (MSR) mark‑to‑market loss | $428,000 | Exclusion for Q4 2025 |
| Transaction‑related expenses, net of gains on branch sales | $2.3 million | Primarily from the acquisition of Bancorp Financial, Inc. |
| Day‑two provision for credit losses (Q3 2025) | $13.2 million | Related to Bancorp Financial acquisition |
| MSR mark‑to‑market loss (Q3 2025) | $389,000 | |
| Death benefits realized on BOLI (Q3 2025) | $430,000 | |
| Transaction‑related expenses (Q3 2025) | $11.5 million | Net of gains from Bancorp Financial branch sales |
| MSR mark‑to‑market gain (Q4 2024) | $385,000 | |
| Transaction‑related expenses (Q4 2024) | $1.5 million | Net of losses from First Merchants Bank branch purchase |
Dividend Announcement
On January 20, 2026, Old Second Bancorp declared a dividend of $0.07 per share, to be paid in the usual manner for Nasdaq‑listed companies.
Market Context
The company’s share price closed at $20.37 on January 19, 2026, within a 52‑week range of $21.10 to $14.14. With a market capitalization of $1.09 billion and a price‑earnings ratio of 14.02, the results are in line with expectations for a multi‑bank holding company operating in northeastern Illinois.
The information above is based solely on the provided financial news and fundamental data.
