South Plains Financial, Inc. (SPFI): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

Sumérgete en el plan estratégico de South Plains Financial, Inc. (SPFI), una potencia bancaria regional que transforma los servicios financieros centrados en la comunidad en Texas y Nuevo México. Con un lienzo de modelo de negocio meticulosamente elaborado que equilibra soluciones digitales innovadoras y experiencias bancarias personalizadas, SPFI demuestra cómo una institución financiera local puede aprovechar la tecnología, las profundas raíces comunitarias y las estrategias de préstamos específicos para crear un valor único para las pequeñas empresas, las empresas agrícolas y los clientes individuales. . Descubra cómo esta dinámica institución financiera navega por el complejo panorama bancario con un enfoque afilado para la innovación bancaria y tecnológica basada en relaciones.

South Plains Financial, Inc. (SPFI) - Modelo de negocios: asociaciones clave

Colaboraciones bancarias locales y regionales

A partir del cuarto trimestre de 2023, South Plains Financial mantiene asociaciones estratégicas con 27 instituciones bancarias locales y regionales en Texas y Nuevo México. El volumen total de préstamos colaborativos alcanzó $ 412.3 millones en 2023.

Tipo de socio	Número de socios	Volumen de préstamos colaborativos
Bancos comunitarios locales	18	$ 267.5 millones
Redes bancarias regionales	9	$ 144.8 millones

Redes de préstamos agrícolas y comerciales

SPFI colabora con 43 redes de préstamos agrícolas y comerciales, con un enfoque en los sectores agrícolas de Texas.

• Asociaciones de préstamos agrícolas: 23 redes
• Asociaciones de préstamos comerciales: 20 redes
• Valor total de préstamos de red: $ 276.9 millones en 2023

Proveedores de servicios de tecnología

South Plains Financial se asocia con 12 proveedores de servicios de tecnología para soluciones de banca digital, invirtiendo $ 8.7 millones en infraestructura tecnológica en 2023.

Categoría de socios tecnológicos	Número de socios	Inversión
Sistemas bancarios centrales	4	$ 3.2 millones
Proveedores de ciberseguridad	3	$ 2.5 millones
Plataformas de banca digital	5	$ 3.0 millones

Asociaciones de pequeñas empresas

SPFI mantiene asociaciones con 37 asociaciones de pequeñas empresas en Texas y Nuevo México, apoyando a 1,842 préstamos para pequeñas empresas por un total de $ 129.6 millones en 2023.

Intermediarios de seguros y servicios financieros

El banco colabora con 19 intermediarios de seguros y servicios financieros, generando $ 54.3 millones en ingresos de referencias cruzadas durante 2023.

Tipo intermediario	Número de socios	Ingresos generados
Proveedores de seguros	11	$ 32.7 millones
Corredores de servicios financieros	8	$ 21.6 millones

South Plains Financial, Inc. (SPFI) - Modelo de negocio: actividades clave

Préstamos comerciales y agrícolas

A partir del cuarto trimestre de 2023, South Plains Financial informó una cartera de préstamos totales de $ 2.05 mil millones, con préstamos comerciales y agrícolas que representan una parte significativa de sus actividades de préstamo.

Categoría de préstamo	Volumen total	Porcentaje de cartera
Inmobiliario comercial	$ 789.4 millones	38.5%
Préstamos agrícolas	$ 412.6 millones	20.1%
Comercial & Préstamos industriales	$ 356.2 millones	17.4%

Servicios de banca minorista

South Plains Financial opera 57 ubicaciones de banca de servicio completo en Texas y Nuevo México a partir de 2024.

• Cuentas de control y ahorro para consumidores
• Productos de préstamos personales
• Servicios de préstamos hipotecarios
• Ofertas de tarjetas de crédito

Gestión de depósitos e inversiones

Depósitos totales al 31 de diciembre de 2023: $ 2.38 mil millones

Tipo de depósito	Volumen total	Tasa de interés
Verificación de no interés	$ 612.3 millones	0.00%
Verificación de intereses	$ 456.7 millones	1.25%
Cuentas de ahorro	$ 389.5 millones	0.75%
Depósitos de tiempo	$ 921.5 millones	3.50%

Desarrollo de la plataforma de banca digital

Transacciones bancarias digitales en 2023: 4.2 millones de promedio mensual

• Descargas de aplicaciones de banca móvil: 78,500
• Usuarios bancarios en línea: 142,000
• Tasa de crecimiento de la transacción digital: 18.3%

Gestión de riesgos y asesoramiento financiero

Activos ponderados por el riesgo a partir del cuarto trimestre 2023: $ 1.87 mil millones

Métrica de gestión de riesgos	Valor
Relación de capital de nivel 1	12.4%
Relación de capital total	13.6%
Relación de préstamos sin rendimiento	0.87%

South Plains Financial, Inc. (SPFI) - Modelo de negocio: recursos clave

Infraestructura bancaria regional fuerte

A partir del cuarto trimestre de 2023, South Plains Financial, Inc. opera 56 lugares bancarios totales en Texas y Nuevo México. Los activos totales informaron en $ 5.0 mil millones con depósitos totales de $ 4.4 mil millones.

Infraestructura métrica	Cantidad
Ubicaciones bancarias totales	56
Estados de operación	Texas, Nuevo México
Activos totales	$ 5.0 mil millones
Depósitos totales	$ 4.4 mil millones

Equipo experimentado de gestión financiera

El liderazgo clave incluye:

• Curtis Griffith - Presidente y CEO
• Bob Harper - Director Financiero
• Promedio de tenencia ejecutiva: 12.5 años en banca

Tecnología de banca digital avanzada

Las plataformas de banca digital incluyen:

• Aplicación de banca móvil
• Capacidades de transacción en línea
• Monitoreo de cuentas en tiempo real

Extensa red de sucursales locales

Estado	Número de ramas
Texas	48
Nuevo Méjico	8

Capital financiero y reservas robustas

Métricas de capital financiero al 31 de diciembre de 2023:

• Relación de capital de nivel 1: 14.2%
• Relación total de capital basado en el riesgo: 15.6%
• Equidad de los accionistas: $ 539.1 millones

South Plains Financial, Inc. (SPFI) - Modelo de negocio: propuestas de valor

Servicios bancarios personalizados para comunidades locales

A partir del cuarto trimestre de 2023, South Plains Financial atiende a 27 centros bancarios en Texas y Nuevo México. Los activos totales informados fueron de $ 4.18 mil millones, con una cartera de préstamos de $ 3.42 mil millones.

Categoría de servicio	Número de ofrendas	Alcance del cliente
Cuentas bancarias personales	12 tipos de cuenta distintos	Más de 85,000 clientes
Productos de ahorro personal	7 Variaciones de la cuenta de ahorro	Cobertura del mercado regional

Productos de préstamos agrícolas y comerciales competitivos

Los préstamos agrícolas representaban $ 872 millones de la cartera de préstamos totales de SPFI en 2023.

• Productos de préstamos agrícolas: 15 programas de préstamos especializados
• Rango de préstamos comerciales: $ 50,000 a $ 5 millones
• Tamaño promedio del préstamo agrícola: $ 624,000

Convenientes experiencias bancarias digitales y en persona

Las métricas de banca digital para 2023 incluyeron el 62% de la tasa de adopción de la banca móvil entre los clientes.

Servicio digital	Compromiso de usuario
Aplicación de banca móvil	128,000 usuarios activos
Pago de factura en línea	42% de los clientes de banca digital

Soluciones financieras personalizadas para pequeñas a medianas empresas

El segmento de banca comercial generó $ 186 millones en ingresos por préstamos comerciales en 2023.

• Portafolio de préstamos para pequeñas empresas: $ 642 millones
• Tamaño promedio del préstamo comercial: $ 387,000
• Banca de negocios Base Base: 4.200 cuentas comerciales activas

Toma de decisiones locales y banca basada en relaciones

Las decisiones de préstamo locales procesaron dentro de las 48 horas para el 91% de las solicitudes de préstamos en 2023.

Métrica de decisión	Actuación
Aprobaciones de préstamos locales	Tasa de aprobación del 93%
Duración promedio de la relación con el cliente	7.4 años

South Plains Financial, Inc. (SPFI) - Modelo de negocios: relaciones con los clientes

Gestión de relaciones personales

A partir del cuarto trimestre de 2023, South Plains Financial mantiene 24 ubicaciones de banca de servicio completo en Texas. El banco atiende aproximadamente 58,000 cuentas activas de clientes con un enfoque personalizado de gestión de relaciones.

Segmento de clientes	Estrategia de gestión de relaciones	Frecuencia de interacción promedio
Banca de negocios	Gerentes de relaciones dedicadas	Consultas personales mensuales
Banca personal	Servicio al cliente personalizado	Revisiones financieras trimestrales

Servicio al cliente centrado en la comunidad

En 2023, South Plains Financial invirtió $ 1.2 millones en extensión comunitaria y programas locales de participación del cliente.

• Patrocinios de eventos comunitarios: 42 eventos locales
• Programas de educación financiera: 18 talleres
• Contribuciones caritativas locales: $ 385,000

Canales de soporte bancario digital

Las plataformas de banca digital a partir de 2024 incluyen:

Canal digital	Usuarios activos	Volumen de transacción
Aplicación de banca móvil	38,500 usuarios	1,2 millones de transacciones mensuales
Plataforma bancaria en línea	45,700 usuarios	980,000 transacciones mensuales

Enfoque de préstamos basado en relaciones

Métricas de relación de préstamo para 2023:

• Cartera de préstamos totales: $ 2.3 mil millones
• Duración promedio de la relación de préstamo: 7.4 años
• Tasa de préstamos de clientes repetidos: 62%

Servicios de consulta financiera regular

Estadísticas de servicio de consulta financiera para 2023:

Tipo de consulta	Número de consultas	Duración promedio
Planificación financiera personal	3.200 consultas	1.5 horas
Estrategia financiera comercial	1.100 consultas	2.3 horas

South Plains Financial, Inc. (SPFI) - Modelo de negocios: canales

Red de sucursales físicas

A partir de 2024, South Plains Financial opera 57 lugares bancarios en Texas y Nuevo México. Distribución de rama específica:

Estado	Número de ramas	Áreas de servicio primarias
Texas	48	Lubbock, Amarillo, Midland-Dodessa
Nuevo Méjico	9	Regiones del este de Nuevo México

Plataforma bancaria en línea

Características de la plataforma bancaria digital:

• Acceso de cuenta para 92,437 usuarios de banca en línea activa
• Volumen de transacción: 3.4 millones de transacciones digitales en 2023
• Características de seguridad que incluyen autenticación multifactor

Aplicación de banca móvil

Estadísticas de aplicaciones móviles:

• 59,283 usuarios de aplicaciones móviles activas
• Disponible en plataformas iOS y Android
• Funcionalidad de captura de depósitos móviles
• Monitoreo de cuentas en tiempo real

Centros de llamadas de servicio al cliente

Ubicación	Recuento de personal	Horas de funcionamiento
Lubbock, TX	42 representantes	7:30 am - 6:00 pm CST
Soporte remoto	18 representantes	Soporte digital 24/7

Red de cajeros automáticos

Detalles de la infraestructura de cajeros automáticos:

• Recuento total de cajeros automáticos: 87 máquinas
• Ubicaciones ATM de Texas: 74
• Ubicaciones de cajeros automáticos de Nuevo México: 13
• Volumen de transacción mensual promedio: 213,500 transacciones de atm

South Plains Financial, Inc. (SPFI) - Modelo de negocios: segmentos de clientes

Empresas pequeñas a medianas

A partir del cuarto trimestre de 2023, South Plains Financial atiende a aproximadamente 3,750 clientes comerciales pequeños a medianos en Texas y Nuevo México. Cartera total de préstamos comerciales para SMB: $ 487.3 millones.

Segmento de negocios	Número de clientes	Valor total del préstamo
Negocios minoristas	1,275	$ 156.2 millones
Servicios profesionales	982	$ 213.7 millones
Fabricación	497	$ 117.4 millones

Empresas del sector agrícola

Los préstamos agrícolas representan el 22.6% de la cartera de préstamos totales de SPFI, con 1.650 clientes agrícolas activos. Volumen total de préstamos agrícolas: $ 342.6 millones.

• Préstamos de producción de cultivos: $ 187.3 millones
• Operaciones ganaderas: $ 105.4 millones
• Financiamiento de equipos agrícolas: $ 49.9 millones

Clientes de banca minorista individual

Base de clientes de banca minorista total: 47,500 personas. Las cuentas de depósito totalizan $ 1.2 mil millones.

Tipo de cuenta	Número de clientes	Depósitos totales
Cuentas corrientes	28,300	$ 592.4 millones
Cuentas de ahorro	15,200	$ 387.6 millones
Cuentas del mercado monetario	4,000	$ 220.0 millones

Clientes bancarios comunitarios locales

El segmento de banca comunitaria cubre 12 condados en Texas y Nuevo México. Relaciones bancarias comunitarias totales: 5.600 clientes.

• Cuentas del gobierno local: 87
• Organizaciones sin fines de lucro: 213
• Instituciones comunitarias: 156

Inversores inmobiliarios comerciales

Portafolio de préstamos inmobiliarios comerciales: $ 612.4 millones, que atiende a 425 clientes de inversores inmobiliarios activos.

Categoría inmobiliaria	Número de inversores	Valor total del préstamo
Inversión residencial	187	$ 246.7 millones
Propiedades comerciales	138	$ 365.9 millones
Desarrollo de la tierra	100	$ 0.8 millones

South Plains Financial, Inc. (SPFI) - Modelo de negocio: Estructura de costos

Gastos operativos de rama

A partir del informe anual de 2023, South Plains Financial informó que los gastos operativos totales de la sucursal de $ 23.4 millones. El desglose de estos gastos incluye:

Categoría de gastos	Monto ($)
Costos de ocupación	8,750,000
Utilidades	2,340,000
Mantenimiento	3,510,000
Seguridad	1,170,000

Mantenimiento de la infraestructura tecnológica

Los costos de infraestructura tecnológica para SPFI en 2023 totalizaron $ 7.8 millones, con la siguiente asignación:

• Hardware de TI: $ 2.34 millones
• Licencias de software: $ 3.12 millones
• Sistemas de ciberseguridad: $ 1.56 millones
• Mantenimiento de la red: $ 780,000

Compensación y beneficios de los empleados

Los gastos totales relacionados con los empleados para 2023 fueron de $ 45.6 millones:

Categoría de compensación	Monto ($)
Salarios base	31,920,000
Bonos de rendimiento	6,840,000
Seguro médico	3,690,000
Beneficios de jubilación	3,150,000

Costos de cumplimiento regulatorio

Los gastos de cumplimiento regulatorio para 2023 ascendieron a $ 5.4 millones:

• Tarifas legales y de consultoría: $ 2.16 millones
• Software de cumplimiento: $ 1.08 millones
• Programas de capacitación: $ 540,000
• Gastos de auditoría: $ 1.62 millones

Gastos de marketing y adquisición de clientes

Los gastos de marketing para 2023 totalizaron $ 4.2 millones:

Canal de marketing	Monto ($)
Publicidad digital	1,470,000
Medios tradicionales	840,000
Patrocinios comunitarios	630,000
Campañas de adquisición de clientes	1,260,000

South Plains Financial, Inc. (SPFI) - Modelo de negocios: flujos de ingresos

Ingresos por intereses de préstamos

Para el año fiscal 2023, South Plains Financial, Inc. informó $ 135.2 millones en ingresos de intereses totales. El desglose de la cartera de préstamos es el siguiente:

Categoría de préstamo	Saldo total del préstamo	Ingresos por intereses
Préstamos comerciales	$ 742.3 millones	$ 58.6 millones
Préstamos inmobiliarios	$ 1.1 mil millones	$ 62.4 millones
Préstamos al consumo	$ 223.5 millones	$ 14.2 millones

Tarifas de servicio bancario

Los ingresos por tarifas de servicio para 2023 totalizaron $ 24.7 millones, con la siguiente distribución:

• Tarifas de mantenimiento de la cuenta: $ 8.3 millones
• Tarifas de sobregiro: $ 5.9 millones
• Tarifas de transacción de cajeros automáticos: $ 4.2 millones
• Tasas de transferencia de cables: $ 3.5 millones
• Otros servicios bancarios: $ 2.8 millones

Servicios de inversión y gestión de patrimonio

La división de gestión de patrimonio generada $ 12.6 millones en ingresos para 2023, con el siguiente desglose del servicio:

Tipo de servicio	Ganancia
Tarifas de gestión de activos	$ 6.9 millones
Servicios de asesoramiento financiero	$ 3.7 millones
Planificación de jubilación	$ 2.0 millones

Ingresos de la transacción bancaria digital

Transacciones bancarias digitales generadas $ 6.4 millones en ingresos para 2023, con las siguientes métricas:

• Tarifas de transacción bancaria en línea: $ 3.2 millones
• Tarifas de transacción de banca móvil: $ 2.1 millones
• Procesamiento de pagos digitales: $ 1.1 millones

Ofertas de productos de banca comercial

Productos de banca comercial contribuidos $ 22.5 millones a las fuentes de ingresos en 2023:

Categoría de productos	Ganancia
Servicios de préstamos comerciales	$ 9.6 millones
Servicios de gestión del tesoro	$ 7.3 millones
Servicios comerciales	$ 5.6 millones

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Value Propositions

You're looking at what South Plains Financial, Inc. offers its customers and the market, which is built on a deep, localized banking foundation. The core value is providing full-service commercial and consumer financial services for local markets, primarily through its subsidiary, City Bank.

The company emphasizes a deep community banking presence with local decision-making. City Bank is one of the largest independent banks in West Texas, with operations extending into the Dallas, El Paso, Greater Houston, Permian Basin, and College Station, Texas markets, plus Ruidoso, New Mexico. This local focus helps them serve small and medium-sized businesses and individuals effectively.

The breadth of offerings is a key proposition, covering a wide range of services: banking, investment, trust, and mortgage. Specifically, you see:

• Deposit products like demand, interest-bearing, and savings accounts, plus certificates of deposit.
• Traditional trust services, including real estate and family trust administration.
• Investment services such as self-directed IRAs, mutual funds, and various bonds.
• A full suite of lending, including commercial real estate, general commercial, residential construction, 1-4 family residential, and auto loans.
• Mortgage banking services.

The financial health underpinning these services is a major value driver. South Plains Financial, Inc. maintains solid credit quality with nonperforming assets to total assets at 0.26% (Q3 2025). That low ratio, reported as of September 30, 2025, shows excellent asset management compared to the 0.59% seen in Q3 2024.

For shareholders, the commitment is clear through strong shareholder returns with seven consecutive years of dividend increases. The latest declared quarterly dividend was $0.16 per share, with an ex-date of October 27, 2025. The one-year dividend growth was reported at 10.71%.

Here's a quick look at some key financial metrics that back up the stability of these value propositions as of the third quarter of 2025:

Financial Metric	Value (as of September 30, 2025)	Reporting Period
Nonperforming Assets to Total Assets	0.26%	Q3 2025
Return on Average Assets (ROAA)	1.47%	Q3 2025
Tangible Book Value per Share	$28.14	As of September 30, 2025
Total Deposits	$3.88 billion	As of September 30, 2025
Common Equity Tier 1 Capital Ratio	14.41%	As of September 30, 2025

Also, consider the capital strength; the consolidated total risk-based capital ratio stood at 17.34%, and the tier 1 leverage ratio was 12.37% at September 30, 2025. These figures significantly exceed regulatory minimums, which is a value proposition of safety for depositors and stability for investors. Finance: draft the pro forma asset quality impact of the BOH Holdings merger by next Tuesday.

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Customer Relationships

South Plains Financial, Inc. (SPFI) centers its model on a relationship-driven, community-focused banking model. This is evidenced by management's stated focus on recruiting experienced lenders to bring in high-quality customer relationships to support loan and deposit growth. The bank's organic growth strategy is key, even while considering mergers. As of the second quarter of 2025, the company was actively working to accelerate loan origination capacity through strategic hiring, particularly in the Dallas market. The full-year 2025 loan growth guidance was set at the lower end of the company's low to mid-single-digit range. This approach prioritizes deep, established connections over purely transactional volume.

The structure supporting this relationship focus involves dedicated commercial and retail lending officers. While the exact count of dedicated officers isn't public, the overall employee count for South Plains Financial, Inc. as of late 2025 was reported as 600 employees. The bank provides a wide range of services that require specialized relationship managers, including commercial real estate loans, general and specialized commercial loans (covering agriculture, energy, retail, etc.), residential construction loans, and 1-4 family residential loans.

For high-touch service for trust and investment clients, South Plains Financial, Inc., through City Bank, offers traditional trust products and services. This includes specialized administration for family trusts, revocable and irrevocable trusts, and charitable trusts for both individuals and corporations. Investment services provided directly to clients include self-directed IRAs, money market funds, mutual funds, and various fixed-income securities like treasury bills and tax-exempt municipal bonds.

The bank integrates digital self-service options via the technology platform to complement its high-touch service. As of September 30, 2025, the bank maintained a significant base of low-cost funding, with noninterest-bearing deposits totaling $1.05 billion. These noninterest-bearing deposits represented 27.0% of the total deposits, which stood at $3.88 billion at that date. The company directs customers to its technology platform via its website, spfi.bank.

The commitment to proactive communication during M&A transitions was clearly demonstrated with the December 1, 2025, announcement of the definitive merger agreement with BOH Holdings, Inc. The communication strategy explicitly sought to limit customer attrition risk by stressing continuity. For Bank of Houston customers, the messaging confirmed that until the data migration on May 8, 2026, account numbers, cards, routing numbers, branch and ATM access, and hours were expected to remain unchanged. This proactive stability messaging is crucial for maintaining customer relationships during structural change.

Here's a look at the scale and expected pro forma footprint following the announced acquisition:

Metric	South Plains Financial (SPFI) as of 9/30/2025 (Standalone)	Pro Forma (Including BOH as of 9/30/2025 Estimates)
Total Assets	Not explicitly stated for SPFI standalone	Approximately $5.4 billion
Total Loans	Not explicitly stated for SPFI standalone	Approximately $3.8 billion
Total Deposits	Not explicitly stated for SPFI standalone	Approximately $4.6 billion
Total Branch Locations (Texas)	24 branch locations (pre-merger)	26 branches across Texas (post-completion)
Transaction Value	N/A	Approximately $105.9 million

The relationship focus is also supported by the bank's overall financial health, which provides the capital base to support client expansion:

• Tangible book value (non-GAAP) per share was $28.14 as of September 30, 2025.
• The consolidated common equity tier 1 risk-based capital ratio was 13.86% at June 30, 2025.
• The tier 1 leverage ratio was 12.12% at June 30, 2025.
• The allowance for credit losses to loans held for investment ratio was 1.45% as of September 30, 2025.

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Channels

You're looking at how South Plains Financial, Inc. (SPFI), through its City Bank operations, physically and digitally connects with its customers as of late 2025. The channel strategy is clearly anchored in a physical footprint across key Southwestern markets, supplemented by specialized lending offices and digital access.

The core physical network, as reported just before the BOH Holdings, Inc. merger finalization, included a substantial presence in Texas and New Mexico.

Physical branch network across Texas and New Mexico

City Bank operates a network of physical locations designed to serve its community bank base. As of the end of 2025, before the full integration of the BOH Holdings, Inc. acquisition, the network stood at:

• The existing City Bank network comprised 24 branch locations.
• These branches are situated across Texas and Eastern New Mexico.

The announced merger with BOH Holdings, Inc., effective December 1, 2025, is set to expand this physical reach. The pro forma entity is projected to have 26 branches across Texas upon closing, expected in April 2026, which includes the addition of the Bank of Houston locations.

Mortgage and lending offices for specialized services

For focused credit origination, South Plains Financial, Inc. maintains dedicated offices separate from the main branch structure. These offices handle specialized lending needs, particularly mortgages.

• The company operates seven mortgage locations across Texas and New Mexico.
• The services offered through these channels include commercial real estate loans and 1-4 family residential loans.

Here's a quick look at the physical channel scale, incorporating the near-term merger impact:

Channel Component	Metric	City Bank (Pre-Merger, Late 2025)	Pro Forma (Post-BOH Merger, Est. 2026)
Physical Branch Network	Number of Branches	24	26 (Texas focus)
Specialized Offices	Number of Mortgage Locations	7	Data not specified post-merger structure
Acquired Branches (BOH)	Number of Branches Added	N/A	2 (Transitioning to City Bank)

Digital banking platform (online and mobile)

South Plains Financial, Inc. supports its physical presence with digital access points. The bank offers both online and mobile banking modes for customers to manage their accounts, which include demand deposit accounts, savings, and certificates of deposit.

• Digital channels facilitate ongoing customer interaction and transaction processing.
• The bank provides debit and credit card services, which are integral to digital channel use.

Direct sales force for commercial and private banking

For higher-value commercial and private banking relationships, SPFI relies on a direct engagement model. The strategy mentioned involves adding experienced lenders to drive organic loan growth, which points to a dedicated sales/relationship management team.

• This channel targets small and medium-sized businesses and individuals for complex financial products.
• Services delivered via this force include general and specialized commercial loans, and trust products.

ATM network and indirect lending channels

Customer access extends to automated teller machines and through third-party arrangements. The merger announcement confirmed that ATM access for the acquired Bank of Houston customers is expected to remain unchanged until May 8, 2026, indicating integration of ATM networks is a planned step.

• City Bank offers indirect lending as one of its additional banking services.
• ATM access continuity is maintained for acquired customers during the transition period.

Finance: draft the pro forma branch map update based on the BOH acquisition by next Tuesday.

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Customer Segments

You're mapping out the core customer base for South Plains Financial, Inc. (SPFI), the holding company for City Bank, right as they finalize a major strategic move. Honestly, their customer segments are deeply rooted in the Texas community banking model, serving both the Main Street businesses and the folks who bank there.

The primary audience is split between commercial clients and retail consumers across their footprint, which, as of late 2025, spans Texas and Eastern New Mexico. Following the announced merger with BOH Holdings, Inc., the pro forma entity is set to have a significantly expanded presence, particularly in the high-growth Houston MSA.

Here's a look at the scale and reach across these segments, based on the latest reported figures as of September 30, 2025, reflecting the combined entity's projected size:

Metric	South Plains Financial (Pre-Merger Standalone)	Pro Forma (Post-Merger, as of 9/30/2025 Data)
Total Assets	More than $4 billion	Approximately $5.4 billion
Total Loans Held for Investment (LHI)	$3.08 billion (as of 3/31/2025)	Approximately $3.8 billion
Total Deposits	$3.88 billion (as of 9/30/2025)	Approximately $4.6 billion
Total Branch Locations	24 branch locations	26 branches across Texas

Small and medium-sized businesses (SMBs) in core markets are a bedrock for South Plains Financial. They are the recipients of the commercial loan growth that has been broad across the portfolio. The bank provides a wide array of commercial financial services tailored to these local enterprises in its established markets like Lubbock, Dallas, and El Paso.

Individuals and consumers are the base for the retail banking side. They use the standard deposit products-demand accounts, savings, and certificates of deposit-alongside debit and credit cards. As of September 30, 2025, noninterest-bearing deposits totaled $1.05 billion, which is 27.0% of all deposits, showing a solid core of transactional customer money.

For high-net-worth individuals utilizing trust and investment services, South Plains Financial offers traditional trust products. These services include real estate administration, family trust administration, and both revocable and irrevocable trusts. While specific asset under management figures aren't immediately available, the offering confirms this segment is served.

Customers in high-growth Texas markets are a key focus for near-term strategy. The acquisition of BOH Holdings specifically deepens the commitment to the Houston MSA, a fast-growing area. Post-merger, the combined entity is projected to hold the 11th most deposits of any Texas-headquartered bank in Houston, which is a clear indicator of targeting scale in this market.

Residential mortgage borrowers are served through the bank's seven mortgage locations and the loan portfolio itself. While the bank focuses on commercial and CRE, the loan book as of March 31, 2025, shows specific allocation to housing-related lending within its Non-Owner Occupied CRE (NOO CRE) portfolio:

• Residential Construction loans represented 8% of the NOO CRE portfolio.
• Multi-family loans accounted for 25% of the NOO CRE portfolio.

The NOO CRE portfolio itself was 40.0% of total Loans Held for Investment as of March 31, 2025, broken down further into income-producing loans of $878.0 million and construction/development loans of $350.9 million.

Finance: draft the Key Partners section based on the BOH merger details by Monday.

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Cost Structure

You're looking at the core expenses South Plains Financial, Inc. (SPFI) manages to run City Bank across its markets in Texas and New Mexico. The cost structure is heavily weighted toward funding costs and personnel, which is typical for a community bank focused on lending and relationship building.

The most significant recurring cost is the expense associated with funding their balance sheet. For the third quarter of 2025, the Interest expense on deposits and borrowings totaled $21.5 million. This figure reflects the cost of the deposits they hold-which totaled $3.88 billion as of September 30, 2025-and any other borrowings used to support lending activities. Honestly, managing that cost of funds is key, especially when deposit costs are fluctuating.

Overall operational costs are tracked under Noninterest expense. For the second quarter of 2025, this category was reported at $33.5 million. This number is a composite of several key areas that drive the bank's day-to-day operations and strategic growth initiatives.

Here's a breakdown of the major components of that noninterest expense structure, using the latest available quarterly figures:

Cost Category	Latest Reported Amount (in thousands)	Period End Date
Interest Expense on Deposits and Borrowings	$21,501	Q3 2025
Salaries and Employee Benefits (Personnel Expenses)	$19,413	Q3 2025
Total Noninterest Expense	$33,543	Q2 2025
Provision for Credit Losses	$500	Q3 2025

Personnel expenses are a substantial part of the operating cost. For the third quarter of 2025, Salaries and employee benefits amounted to $19,413 thousand. Management has been clear about their strategy here; they are actively investing in human capital. South Plains Financial, Inc. noted they have 'added exceptional talent across the Bank' and expect to further increase their lending team by up to 20% to drive organic growth. This focus on adding experienced commercial lenders is a deliberate investment in future revenue generation.

The bank is also making specific investments in its operational backbone, which shows up in professional fees and technology spending. Management has stated they are making 'necessary investments in our technology platform that positions South Plains to efficiently scale our operations.' This is a forward-looking cost. We see evidence of this in the quarterly movements; for instance, professional service expenses in the second quarter of 2025 increased by $144 thousand from the first quarter, with some of the prior year's consulting tied to technology projects. You can expect these costs to remain elevated as they integrate new systems and support expansion, such as the planned acquisition of BOH Holdings, Inc.

Finally, the cost set aside to cover potential loan defaults is the Provision for credit losses. This was a relatively small figure in Q3 2025 at $500 thousand. This low provision, alongside a nonperforming asset ratio of 0.26% as of September 30, 2025, suggests credit quality is currently stable, which helps keep this specific cost component down. The key cost drivers you need to watch are:

• Interest expense on deposits, tied to market rates.
• Salaries and benefits for the expanding lending team.
• Ongoing professional services for technology upgrades.
• The level of the provision for credit losses.

Finance: draft 13-week cash view by Friday.

South Plains Financial, Inc. (SPFI) - Canvas Business Model: Revenue Streams

South Plains Financial, Inc. generates its revenue primarily through traditional banking activities, heavily weighted toward interest income, supplemented by various fee-based services. You're looking at the core drivers of the top line, which is what keeps the lights on and funds growth initiatives.

The primary measure of core earnings power is Net Interest Income (NII), which was $43.0 million in Q3 2025. This number reflects the difference between what South Plains Financial, Inc. earns on its assets, like loans, and what it pays out on its liabilities, like deposits and borrowings. For context, the Interest Expense for that same period was $21.5 million.

The total Interest income from loans and other earning assets, which represents the gross interest earned before deducting interest expense, totaled $64.5 million for Q3 2025. This figure is the foundation of the interest-based revenue stream, supported by an average yield on loans of 6.92% in the third quarter of 2025.

Beyond the balance sheet spread, Noninterest income from fees, trust, and mortgage services provided a meaningful contribution, totaling $11.2 million in Q3 2025. This stream demonstrates the diversification of South Plains Financial, Inc.'s earnings base, moving beyond pure lending margins.

The overall revenue structure for Q3 2025 shows a clear reliance on interest earnings, but the fee income is a significant secondary component. Here is a breakdown of the key revenue elements for the third quarter of 2025:

Revenue Component	Q3 2025 Amount (Millions)
Net Interest Income (NII)	$43.0 million
Gross Interest Income (Interest Income from Loans and Other Earning Assets)	$64.5 million
Noninterest Income (Total Fees and Other)	$11.2 million
Total Reported Revenue (NII + Noninterest Income)	$54.18 million

The noninterest income segment is composed of several service-related charges, which you need to monitor for consistency. While the exact Q3 2025 dollar amounts for each sub-component aren't fully detailed in the latest reports, the business model relies on these specific fee categories:

• Loan fees and service charges on deposit accounts
• Investment and trust management fees
• Mortgage banking revenues (which saw a $1.0 million sequential decrease in Q3 2025)

The composition of the noninterest income is vital because it often carries a lower capital charge than loan growth. For example, historical data suggests that fees like Interchange Fees and Service Charges on Deposits are significant drivers of this segment.