Southside Bancshares Raises Quarterly Dividend 2.78%

Southside Bancshares, Inc. (NYSE: SBSI) increased its quarterly dividend to $0.37 per share from $0.36, a 2.78% rise. The shares trade ex-dividend on Aug. 20, 2026.

The new rate equates to an annualized dividend of $1.48 per share, assuming four equal quarterly payments. Based on the stated share price of $31.45, that represents a forward annual yield of 4.71%.

Earnings and capital provide the backdrop

Southside’s board attributed the increase to the bank holding company’s capital position and core earnings. Chief Executive Keith Donahoe said the decision also reflected management’s confidence in Southside’s continued financial strength, according to the company’s dividend announcement.

The increase followed a stronger second quarter. Southside reported net income of $26.8 million and diluted earnings of $0.90 per share for the quarter ended June 30, while nonperforming assets represented 0.11% of total assets. Net income rose from the year-earlier period as higher net interest and noninterest income combined with lower noninterest expense and credit-loss provisions, the company said in its second-quarter earnings release.

Southside is the parent of Southside Bank, a community-focused Texas institution serving consumer and business customers. At the end of the second quarter, the company reported approximately $8.76 billion in assets and operated 55 branches across several Texas markets, according to the same earnings release.

The supplied dividend record shows zero consecutive years of dividend growth. Accordingly, this increase is best viewed as a discrete quarterly-rate change rather than the extension of a recorded annual growth streak.

What it means for income investors

The higher rate adds $0.01 per share to each quarterly distribution and lifts the annualized dividend to $1.48. Investors buying on or after the ex-dividend date ordinarily are not entitled to the associated payment.

Southside carries a SmarterDividends safety score of 92 out of 100, corresponding to an A grade. That measure indicates a comparatively strong dividend-safety assessment, but it does not guarantee that the payout will be maintained or increased in the future.