Southern Missouri Bancorp delivered a solid QQ2 2025 quarter characterized by meaningful net interest income growth, stable net interest margin, and strong deposit inflows that supported liquidity and balance-sheet expansion. Net income rose to $14.65 million with basic earnings per share of $1.30, aided by a larger earning asset base and lower provisions for credit losses. The company benefited from a favorable funding environment in the quarter, including a 4 basis point expansion in net interest spread as funding costs declined, even as seasonal deposits temporarily compressed margins. Deposits rose roughly $170 million QoQ and $225 million YoY, while gross loans grew about $60 million in the quarter (6.1% annualized), underpinned by construction, C&I, 1–4 family real estate, and multifamily segments. The quarter also featured a strong trajectory in capital and liquidity, with tangible book value per share up 12% YoY to $38.91 and available-for-sale securities increasing by roughly $48 million. Asset quality remained solid, with adversely classified loans at $20.0 million (98 bps of total loans) and nonperforming loans at $8.0 million (21 bps of total loans), though management cautioned about potential modest uplifts in problem loans and charge-offs during normalization after elevated rates. Management outlined a constructive but disciplined outlook for FY2025, including mid-single-digit loan growth, a modest NII margin trajectory as loan pricing reprices and seasonal deposits normalize, and ongoing efficiency initiatives. The bank also signaled strategic expansion into Kansas City and St. Louis markets, a robust loan pipeline (~$173 million) for the next 90 days, and ongoing discussions around M&A activity as bank valuations improve. Investors should monitor (i) deposit dynamics and liquidity positioning, (ii) CRE concentration and loan portfolio quality, (iii) seasonal margin pressure in March and beyond, and (iv) the realization of efficiency gains from the performance-improvement initiative.