Earnings release
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Exhibit 99.1 Live Oak Bancshares, Inc. Reports Second Quarter 2025 Results WILMINGTON, NC, July 23, 2025 - Live Oak Bancshares, Inc. (NYSE: LOB) (“Live Oak” or “the Company”) today reported second quarter of 2025 net income attributable to the Company of $23.4 million, or $0.51 per diluted share. Live Oak’s performance in the quarter, compared to the first quarter of 2025, includes these notable items: • Record second quarter production of $1.53 billion accompanied by strong deposit growth of $198.8 million, with total assets growing by 1.7% to $13.83 billion • Net interest income increased 8.6% and net interest margin increased eight basis points from 3.20% to 3.28% • 14.0% increase in revenue and 6.3% increase in noninterest expenses generated 29.4% increase in pre-provision net revenue • Provision expense for credit losses of $23.3 million, a decrease of $5.7 million, driven by moderating credit trends, loan growth, and the current macroeconomic environment “Live Oak Bank delivered an outstanding quarter in Q2, driven by excellent growth, healthy revenue, and lower provision expense,” said Live Oak Chairman and CEO James S. (Chip) Mahan III. “We remain focused on supporting our nation’s entrepreneurs as they continue to navigate a backdrop of uncertainty while also providing the service, technology and financial guidance they need to succeed.” Conference Call Live Oak will host a conference call to discuss the Company's financial results and business outlook tomorrow, July 24, 2025, at 9:00 a.m. ET. The call will be accessible by telephone and webcast using Conference ID: 25229. A supplementary slide presentation will be posted to the website prior to the event, and a replay will be available for 12 months following the event. The conference call details are as follows: Live Telephone Dial-In U.S.: 800.549.8228 International: +1 646.564.2877 Pass Code: None Required Live Webcast Log-In Webcast Link: investor.liveoakbank.com Registration: Name and Email Required Multi-Factor Code: Provided After Registration (1) See accompanying GAAP to Non-GAAP Reconciliation. 1 1
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Second Quarter 2025 Key Measures (Dollars in thousands, except per share data) Increase (Decrease) 2Q 2025 1Q 2025 Dollars Percent 2Q 2024 Total revenue $ 143,747 $ 126,113 $ 17,634 14.0 % $ 125,479 Total noninterest expense 89,293 84,017 5,276 6.3 77,656 Income before taxes 31,202 13,132 18,070 137.6 36,058 Effective tax rate 25.0 % 26.4 % n/a n/a 25.2 % Net income attributable to LiveOak Bancshares, Inc. $ 23,428 $ 9,717 $ 13,711 141.1 % $ 26,963 Diluted earnings per share 0.51 0.21 0.30 142.9 0.59 Loan and lease production: Loans and leases originated $ 1,526,592 $ 1,396,223 $ 130,369 9.3 % $ 1,171,141 % Fully funded 39.7 % 46.0 % n/a n/a 38.2 % Total loans and leases: $ 11,364,846 $ 11,061,866 $ 302,980 2.7 % $ 9,535,766 Total assets: 13,831,208 13,595,704 235,504 1.7 11,868,570 Total deposits: 12,594,790 12,395,945 198,845 1.6 10,707,031 (1) Total revenue consists of net interest income and total noninterest income. (1) 2
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Important Note Regarding Forward-Looking Statements Statements in this press release that are based on other than historical data or that express the Company’s plans or expectations regarding future events or determinations are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Statements based on historical data are not intended and should not be understood to indicate the Company’s expectations regarding future events. Forward-looking statements provide current expectations or forecasts of future events or determinations. These forward-looking statements are not guarantees of future performance or determinations, nor should they be relied upon as representing management’s views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties, and actual results may differ materially from those presented, either expressed or implied, in this press release. Factors that could cause actual results to differ materially from those expressed in the forward-looking statements include changes in Small Business Administration (“SBA”) rules, regulations or loan products, including the Section 7(a) program, changes in SBA standard operating procedures or changes in Live Oak Banking Company's status as an SBA Preferred Lender; changes in rules, regulations or procedures for other government loan programs, including those of the United States Department of Agriculture; the impacts of any pandemic or public health situation on trade (including supply chains and export levels), travel, employee productivity and other economic activities that may have a destabilizing and negative effect on financial markets, economic activity and customer behavior; adverse developments in the banking industry highlighted by high-profile bank failures and the potential impact of such developments on customer confidence, liquidity, and regulatory responses to these developments; a reduction in or the termination of the Company's ability to use the technology-based platform that is critical to the success of its business model, including a failure in or a breach of operational or security systems or those of its third-party service providers; risks relating to the material weakness we identified in our internal control over financial reporting; technological risks and developments, including cyber threats, attacks, or events; competition from other lenders; the Company's ability to attract and retain key personnel; market and economic conditions and the associated impact on the Company; operational, liquidity and credit risks associated with the Company's business; changes in political and economic conditions, including any prolonged U.S. government shutdown; the impact of heightened regulatory scrutiny of financial products and services and the Company's ability to comply with regulatory requirements and expectations; changes in tariffs and trade barriers, including potential changes in U.S. and international trade policies and the resulting impact on the Company and its customers; a deterioration of the credit rating for U.S. long-term sovereign debt, actions that the U.S. government may take to avoid exceeding the debt ceiling, and uncertainties surrounding the debt ceiling and the federal budget; adverse results, including related fees and expenses, from pending or future lawsuits, government investigations or private actions; and the other factors discussed in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) and available at the SEC’s Internet site (http://www.sec.gov). Except as required by law, the Company specifically disclaims any obligation to update any factors or to publicly announce the result of revisions to any of the forward-looking statements included herein to reflect future events or developments. About Live Oak Bancshares, Inc. Live Oak Bancshares, Inc. (NYSE: LOB) is a financial holding company and the parent company of Live Oak Bank. Live Oak Bancshares and its subsidiaries partner with businesses that share a groundbreaking focus on service and technology to redefine banking. To learn more, visit www.liveoak.bank. Contacts: Walter J. Phifer | CFO | Investor Relations | 910.202.6926 Claire Parker | Corporate Communications | Media Relations | 910.597.1592 3
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Live Oak Bancshares, Inc. Quarterly Statements of Income (unaudited) (Dollars in thousands, except per share data) Three Months Ended 2Q 2025 Change vs. 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 1Q 2025 2Q 2024 Interest income % % Loans and fees on loans $ 204,513 $ 195,616 $ 194,821 $ 192,170 $ 181,840 4.5 12.5 Investment securities, taxable 11,648 11,089 10,490 9,750 9,219 5.0 26.3 Other interest earning assets 8,123 6,400 7,257 7,016 7,389 26.9 9.9 Total interest income 224,284 213,105 212,568 208,936 198,448 5.2 13.0 Interest expense Deposits 113,380 110,888 113,357 110,174 105,358 2.2 7.6 Borrowings 1,683 1,685 1,737 1,762 1,770 (0.1) (4.9) Total interest expense 115,063 112,573 115,094 111,936 107,128 2.2 7.4 Net interest income 109,221 100,532 97,474 97,000 91,320 8.6 19.6 Provision for credit losses 23,252 28,964 33,581 34,502 11,765 (19.7) 97.6 Net interest income after provision for credit losses 85,969 71,568 63,893 62,498 79,555 20.1 8.1 Noninterest income Loan servicing revenue 8,565 8,298 8,524 8,040 7,347 3.2 16.6 Loan servicing asset revaluation (3,057) (4,728) (2,326) (4,207) (2,878) 35.3 (6.2) Net gains on sales of loans 21,641 18,648 18,356 16,646 14,395 16.0 50.3 Net gain (loss) on loans accounted for under the fairvalue option 1,082 (1,034) 195 2,255 172 204.6 529.1 Equity method investments (loss) income (2,716) (2,239) (2,739) (1,393) (1,767) (21.3) (53.7) Equity security investments gains, net 1,004 20 12 909 161 4,920.0 523.6 Lease income 3,103 2,573 2,456 2,424 2,423 20.6 28.1 Management fee income — — — 1,116 3,271 — (100.0) Other noninterest income 4,904 4,043 6,115 7,142 11,035 21.3 (55.6) Total noninterest income 34,526 25,581 30,593 32,932 34,159 35.0 1.1 Noninterest expense Salaries and employee benefits 49,137 48,008 45,214 44,524 46,255 2.4 6.2 Travel expense 2,576 2,795 2,628 2,344 2,328 (7.8) 10.7 Professional services expense 2,874 3,024 2,797 3,287 3,061 (5.0) (6.1) Advertising and marketing expense 4,420 3,665 1,979 2,473 3,004 20.6 47.1 Occupancy expense 2,369 2,737 2,558 2,807 2,388 (13.4) (0.8) Technology expense 10,066 9,251 9,406 9,081 7,996 8.8 25.9 Equipment expense 3,685 3,745 3,769 3,472 3,511 (1.6) 5.0 Other loan origination and maintenance expense 4,190 4,585 4,812 4,872 3,659 (8.6) 14.5 Renewable energy tax credit investment impairment 270 — 1,172 115 170 100.0 58.8 FDIC insurance 3,545 3,551 3,053 1,933 2,649 (0.2) 33.8 Other expense 6,161 2,656 3,869 2,681 2,635 132.0 133.8 Total noninterest expense 89,293 84,017 81,257 77,589 77,656 6.3 15.0 Income before taxes 31,202 13,132 13,229 17,841 36,058 137.6 (13.5) Income tax expense 7,815 3,464 3,386 4,816 9,095 125.6 (14.1) Net income 23,387 9,668 9,843 13,025 26,963 141.9 (13.3) Net loss attributable to non-controlling interest 41 49 57 — — (16.3) 100.0 Net income attributable to Live Oak Bancshares, Inc. $ 23,428 $ 9,717 $ 9,900 $ 13,025 $ 26,963 141.1 (13.1) Earnings per share Basic $ 0.51 $ 0.21 $ 0.22 $ 0.28 $ 0.60 142.9 (15.0) Diluted $ 0.51 $ 0.21 $ 0.22 $ 0.28 $ 0.59 142.9 (13.6) Weighted average shares outstanding Basic 45,634,741 45,377,965 45,224,470 45,073,482 44,974,942 Diluted 45,795,608 45,754,499 46,157,979 45,953,947 45,525,082 4
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Live Oak Bancshares, Inc. Quarterly Balance Sheets (unaudited) (Dollars in thousands) As of the quarter ended 2Q 2025 Change vs. 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 1Q 2025 2Q 2024 Assets % % Cash and due from banks $ 662,755 $ 744,263 $ 608,800 $ 666,585 $ 615,449 (11.0) 7.7 Certificates of deposit with other banks250 250 250 250 250 — — Investment securities available-for-sale 1,325,206 1,312,680 1,248,203 1,233,466 1,151,195 1.0 15.1 Loans held for sale 350,791 367,955 346,002 359,977 363,632 (4.7) (3.5) Loans and leases held for investment 11,014,055 10,693,911 10,233,374 9,831,891 9,172,134 3.0 20.1 Allowance for credit losses on loansand leases (182,231) (190,184) (167,516) (168,737) (137,867) 4.2 (32.2) Net loans and leases 10,831,824 10,503,727 10,065,858 9,663,154 9,034,267 3.1 19.9 Premises and equipment, net 246,493 259,113 264,059 267,032 267,864 (4.9) (8.0) Foreclosed assets 6,318 2,108 1,944 8,015 8,015 199.7 (21.2) Servicing assets 60,359 56,911 56,144 52,553 51,528 6.1 17.1 Other assets 347,212 348,697 352,120 356,314 376,370 (0.4) (7.7) Total assets $ 13,831,208 $ 13,595,704 $ 12,943,380 $ 12,607,346 $ 11,868,570 1.7 16.5 Liabilities and shareholders’ equity Liabilities Deposits: Noninterest-bearing $ 393,393 $ 386,108 $ 318,890 $ 258,844 $ 264,013 1.9 49.0 Interest-bearing 12,201,397 12,009,837 11,441,604 11,141,703 10,443,018 1.6 16.8 Total deposits 12,594,790 12,395,945 11,760,494 11,400,547 10,707,031 1.6 17.6 Borrowings 107,659 110,247 112,820 115,371 117,745 (2.3) (8.6) Other liabilities 61,494 58,065 66,570 83,672 82,745 5.9 (25.7) Total liabilities 12,763,943 12,564,257 11,939,884 11,599,590 10,907,521 1.6 17.0 Shareholders’ equity Preferred stock, no par value, 1,000,000shares authorized, none issued oroutstanding — — — — — — — Class A common stock (voting) 377,953 370,513 365,607 361,925 356,381 2.0 6.1 Class B common stock (non-voting) — — — — — — — Retained earnings 746,450 724,215 715,767 707,026 695,172 3.1 7.4 Accumulated other comprehensive loss(61,514) (67,698) (82,344) (61,195) (90,504) 9.1 32.0 Total shareholders' equity attributed toLive Oak Bancshares, Inc. 1,062,889 1,027,030 999,030 1,007,756 961,049 3.5 10.6 Non-controlling interest 4,376 4,417 4,466 — — (0.9) 100.0 Total shareholders' equity 1,067,265 1,031,447 1,003,496 1,007,756 961,049 3.5 11.1 Total liabilities and shareholders’equity $ 13,831,208 $ 13,595,704 $ 12,943,380 $ 12,607,346 $ 11,868,570 1.7 16.5 (1) Includes $303.8 million, $316.8 million, $328.7 million, $343.4 million and $363.0 million loans measured at fair value for the quarters ended June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively. (1) 5
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Live Oak Bancshares, Inc. Statements of Income (unaudited) (Dollars in thousands, except per share data) Six Months Ended June 30, 2025 June 30, 2024 Interest income Loans and fees on loans $ 400,129 $ 357,850 Investment securities, taxable 22,737 18,173 Other interest earning assets 14,523 14,845 Total interest income 437,389 390,868 Interest expense Deposits 224,268 207,356 Borrowings 3,368 2,081 Total interest expense 227,636 209,437 Net interest income 209,753 181,431 Provision for credit losses 52,216 28,129 Net interest income after provision for credit losses 157,537 153,302 Noninterest income Loan servicing revenue 16,863 14,971 Loan servicing asset revaluation (7,785) (5,622) Net gains on sales of loans 40,289 25,897 Net gain (loss) on loans accounted for under the fair value option 48 (47) Equity method investments (loss) income (4,955) (6,789) Equity security investments gain (losses), net 1,024 (368) Lease income 5,676 4,876 Management fee income — 6,542 Other noninterest income 8,947 20,796 Total noninterest income 60,107 60,256 Noninterest expense Salaries and employee benefits 97,145 93,530 Travel expense 5,371 4,766 Professional services expense 5,898 4,939 Advertising and marketing expense 8,085 6,696 Occupancy expense 5,106 4,635 Technology expense 19,317 15,719 Equipment expense 7,430 6,585 Other loan origination and maintenance expense 8,775 7,570 Renewable energy tax credit investment impairment (recovery) 270 (757) FDIC insurance 7,096 5,849 Other expense 8,817 5,861 Total noninterest expense 173,310 155,393 Income before taxes 44,334 58,165 Income tax expense 11,279 3,616 Net income 33,055 54,549 Net loss attributable to non-controlling interest 90 — Net income attributable to Live Oak Bancshares, Inc. $ 33,145 $ 54,549 Earnings per share Basic $ 0.72 $ 1.22 Diluted $ 0.72 $ 1.20 Weighted average shares outstanding Basic 45,556,842 44,868,625 Diluted 45,825,543 45,583,146 6
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Live Oak Bancshares, Inc. Quarterly Selected Financial Data (Dollars in thousands, except per share data) As of and for the three months ended 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 Income Statement Data Net income attributable to Live Oak Bancshares,Inc. $ 23,428 $ 9,717 $ 9,900 $ 13,025 $ 26,963 Per Common Share Net income, diluted $ 0.51 $ 0.21 $ 0.22 $ 0.28 $ 0.59 Dividends declared 0.03 0.03 0.03 0.03 0.03 Book value 23.36 22.62 22.12 22.32 21.35 Tangible book value 23.29 22.55 22.05 22.24 21.28 Performance Ratios Return on average assets (annualized) 0.68 % 0.30 % 0.31 % 0.43 % 0.93 % Return on average equity (annualized) 8.85 3.78 3.85 5.21 11.39 Net interest margin 3.28 3.20 3.15 3.33 3.28 Efficiency ratio 62.12 66.62 63.45 59.72 61.89 Noninterest income to total revenue 24.02 20.28 23.89 25.35 27.22 Selected Loan Metrics Loans and leases originated $ 1,526,592 $ 1,396,223 $ 1,421,118 $ 1,757,856 $ 1,171,141 Outstanding balance of sold loans serviced 5,321,284 4,949,962 4,715,895 4,452,750 4,292,857 Asset Quality Ratios Allowance for credit losses to loans and leases heldfor investment 1.70 % 1.83 % 1.69 % 1.78 % 1.57 % Net charge-offs $ 31,445 $ 6,774 $ 33,566 $ 1,710 $ 8,253 Net charge-offs to average loans and leases held forinvestment 1.19 % 0.27 % 1.39 % 0.08 % 0.38 % Nonperforming loans and leases at historical cost Unguaranteed $ 59,555 $ 99,907 $ 81,412 $ 49,398 $ 37,340 Guaranteed 336,777 322,993 222,885 166,177 122,752 Total 396,332 422,900 304,297 215,575 160,092 Unguaranteed nonperforming historical cost loansand leases, to loans and leases held forinvestment 0.56 % 0.96 % 0.82 % 0.52 % 0.42 % Nonperforming loans at fair value Unguaranteed $ 8,873 $ 9,938 $ 9,115 $ 8,672 $ 9,590 Guaranteed 60,453 58,100 54,873 49,822 51,570 Total 69,326 68,038 63,988 58,494 61,160 Unguaranteed nonperforming fair value loans to fairvalue loans held for investment 2.92 % 3.14 % 2.77 % 2.53 % 2.64 % Capital Ratios Common equity tier 1 capital (to risk-weightedassets) 10.67 % 10.67 % 11.04 % 11.19 % 11.85 % Tier 1 leverage capital (to average assets) 7.90 8.03 8.21 8.60 8.71 Notes to Quarterly Selected Financial Data (1) See accompanying GAAP to Non-GAAP Reconciliation. (2) Quarterly net charge-offs as a percentage of quarterly average loans and leases held for investment, annualized. (3) Loans and leases at historical cost only (excludes loans measured at fair value). (4) Loans accounted for under the fair value option only (excludes loans and leases carried at historical cost). (1) (1) (3) (3) (2) (3) (3) (3) (4) (4) 7
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Live Oak Bancshares, Inc. Quarterly Average Balances and Net Interest Margin (Dollars in thousands) Three Months EndedJune 30, 2025 Three Months EndedMarch 31, 2025 Average Balance Interest Average Yield/Rate Average Balance Interest Average Yield/Rate Interest-earning assets: Interest-earning balances inother banks $ 727,715 $ 8,123 4.48 % $ 581,267 $ 6,400 4.47 % Investment securities 1,408,942 11,648 3.32 1,379,797 11,089 3.26 Loans held for sale 381,531 8,008 8.42 407,953 8,612 8.56 Loans and leases held for investment 10,843,303 196,505 7.27 10,388,872 187,004 7.30 Total interest-earning assets 13,361,491 224,284 6.73 12,757,889 213,105 6.77 Less: Allowance for creditlosses on loans and leases (186,022) (165,320) Noninterest-earning assets 539,485 534,133 Total assets $ 13,714,954 $ 13,126,702 Interest-bearing liabilities: Interest-bearing checking $ 350,978 $ 3,969 4.54 % $ 350,491 $ 3,929 4.55 % Savings 6,241,053 56,529 3.63 5,540,147 51,604 3.78 Money market accounts 128,757 93 0.29 127,908 120 0.38 Certificates of deposit 5,392,494 52,789 3.93 5,563,004 55,235 4.03 Total deposits 12,113,282 113,380 3.75 11,581,550 110,888 3.88 Borrowings 109,463 1,683 6.17 111,919 1,685 6.11 Total interest-bearing liabilities 12,222,745 115,063 3.78 11,693,469 112,573 3.90 Noninterest-bearing deposits 375,503 342,482 Noninterest-bearing liabilities 53,717 58,739 Shareholders' equity 1,058,572 1,027,547 Non-controlling interest 4,417 4,465 Total liabilities andshareholders' equity $ 13,714,954 $ 13,126,702 Net interest income andinterest rate spread $ 109,221 2.95 % $ 100,532 2.87 % Net interest margin 3.28 3.20 Ratio of average interest-earning assets to averageinterest-bearing liabilities 109.32 % 109.10 % (1) Average loan and lease balances include non-accruing loans and leases. (1) 8
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Live Oak Bancshares, Inc. GAAP to Non-GAAP Reconciliation (Dollars in thousands) As of and for the three months ended 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 Total shareholders’ equity $ 1,067,265 $ 1,031,447 $ 1,003,496 $ 1,007,756 $ 961,049 Less: Goodwill 1,797 1,797 1,797 1,797 1,797 Other intangible assets 1,491 1,529 1,568 1,606 1,644 Tangible shareholders’ equity (a) $ 1,063,977 $ 1,028,121 $ 1,000,131 $ 1,004,353 $ 957,608 Shares outstanding (c) 45,686,081 45,589,633 45,359,425 45,151,691 45,003,856 Total assets $ 13,831,208 $ 13,595,704 $ 12,943,380 $ 12,607,346 $ 11,868,570 Less: Goodwill 1,797 1,797 1,797 1,797 1,797 Other intangible assets 1,491 1,529 1,568 1,606 1,644 Tangible assets (b) $ 13,827,920 $ 13,592,378 $ 12,940,015 $ 12,603,943 $ 11,865,129 Tangible shareholders’ equity totangible assets (a/b) 7.69 % 7.56 % 7.73 % 7.97 % 8.07 % Tangible book value per share (a/c) $ 23.29 $ 22.55 $ 22.05 $ 22.24 $ 21.28 Efficiency ratio: Noninterest expense (d) $ 89,293 $ 84,017 $ 81,257 $ 77,589 $ 77,656 Net interest income 109,221 100,532 97,474 97,000 91,320 Noninterest income 34,526 25,581 30,593 32,932 34,159 Total revenue (e) $ 143,747 $ 126,113 $ 128,067 $ 129,932 $ 125,479 Efficiency ratio (d/e) 62.12 % 66.62 % 63.45 % 59.72 % 61.89 % Pre-provision net revenue (e-d) $ 54,454 $ 42,096 $ 46,810 $ 52,343 $ 47,823 This press release presents non-GAAP financial measures. The adjustments to reconcile from the non-GAAP financial measures to the applicable GAAP financial measure are included where applicable in financial results presented in accordance with GAAP. The Company considers these adjustments to be relevant to ongoing operating results. The Company believes that excluding the amounts associated with these adjustments to present the non-GAAP financial measures provides a meaningful base for period-to-period comparisons, which will assist regulators, investors, and analysts in analyzing the operating results or financial position of the Company. The non-GAAP financial measures are used by management to assess the performance of the Company’s business for presentations of Company performance to investors, and for other reasons as may be requested by investors and analysts. The Company further believes that presenting the non- GAAP financial measures will permit investors and analysts to assess the performance of the Company on the same basis as that applied by management. Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although non-GAAP financial measures are frequently used by shareholders to evaluate a company, they have limitations as an analytical tool and should not be considered in isolation or as a substitute for analysis of results reported under GAAP. 9