Seacoast Banking Corp. of Florida (SBCF) risk factors, FY2025 10-K

Seacoast Banking Corp. of Florida's FY2025 10-K, filed Feb 27, 2026, lists 38 risk factors in 3 groups. Against the prior year's 39: 2 new, 3 dropped, 17 substantially reworded.

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Risk factors listed
383 groups
New this year
2vs 39 last year
Dropped
3since the prior 10-K
Substantially reworded
17of those kept
Section length
12k wordsItem 1A

What the changes say

  • The bank highlights new risks around AI deployment and increased tax scrutiny.
  • Regulatory compliance and cybersecurity exposures remain central.

What changed since the prior 10-K

New

  • NewOperational Risk

    cover all related financial losses and damages should we experience any one or more of our or a third party’s systems failing or failing to prevent, being compromised, or experiencing a cyber-attack

    Cyber attacks and third-party cloud outages could cause extended system downtime, data loss, and severe remediation costs.

  • NewRegulatory and Litigation Risk

    assessments for FDIC deposit insurance are calculated, and providing the authority to the CFPB to supervise and examine such banks

    Dodd-Frank Act compliance and CFPB supervision may require hiring extra personnel and implementing costly internal controls.

Dropped

  • Dropped

    laws or regulations or other events could cause a significant impact on the ability of borrowers to repay and may have a material adverse effect on our business, financial condition and results of operations

  • DroppedBusiness and Strategic Risks

    in response to pressures to deliver products and services at lower prices or sufficiently developing and maintaining loyal customers

  • DroppedRegulatory and Litigation Risk

    risks related to those new market areas. We may not be able to expand our market presence in our existing market areas or successfully enter new markets

Reworded

  • 99% rewrittenRegulatory and Litigation Risk

    Tax law changes and interpretations may have a negative impact on our earnings

    Added the 2025 One Big Beautiful Bill Act and noted tax authorities are more aggressive in challenging financial institutions.

  • 95% rewrittenOperational Risk

    The development and use of AI presents risks and challenges that may adversely impact our business

    Expanded to warn that AI models may produce incorrect outputs, data biases, or infringe on intellectual property rights.

    Was: The development and use of artificial intelligence (“AI”) presents risks and challenges that may adversely impact our business

  • 91% rewritten

    We are subject to lending concentration risk

    Moved and integrated real estate concentration loan risks previously found in dropped risk 3.

  • 84% rewrittenOperational Risk

    Disruptions to our information systems or security incidents could adversely affect our business and reputation

    Added mention of third-party service providers and existing insurance policy coverage limits for system disruptions.

    Was: Disruptions to our information systems or security breaches could adversely affect our business and reputation

  • 46% rewrittenRegulatory and Litigation Risk

    We must attract and retain skilled personnel

    Added a warning regarding U.S. banking regulators issuing and revising policies on incentive compensation practices.

  • 40% rewrittenBusiness and Strategic Risks

    Hurricanes or other adverse weather events, as well as climate change, could negatively affect our local economies or disrupt our operations, which would have an adverse effect on our business and results of operations

    Retained hurricane and climate change risk warnings for Florida market areas without material wording changes.

  • 40% rewrittenRegulatory and Litigation Risk

    We operate in a heavily regulated environment. Regulatory compliance burdens and associated costs can affect our business, including our reputation, the value of our securities, and the results of our operations

    Retained heavy regulatory environment and compliance burden disclosures without material wording changes.

  • 39% rewrittenBusiness and Strategic Risks

    Our future success is dependent on our ability to compete effectively in highly competitive markets

    Retained competition disclosures regarding Florida commercial banks and financial institutions without material wording changes.

  • 37% rewrittenRegulatory and Litigation Risk

    Our business strategy includes significant growth plans, and our financial condition and results of operations could be negatively affected if we fail to grow or fail to manage our growth effectively, or if we fail to successfully integrate our acquisitions or to realize the anticipated benefits of them

  • 36% rewrittenRegulatory and Litigation Risk

    Any future economic downturn could have a material adverse effect on our capital, financial condition, results of operations, and future growth

  • 34% rewritten

    We must effectively manage our interest rate risk. The impact of changing interest rates on our results is difficult to predict and changes in interest rates may impact our performance in ways we cannot predict

  • 30% rewrittenOperational Risk

    We must effectively manage our information systems risk

  • 27% rewritten

    Our real estate portfolios are exposed if weakness in the Florida housing market or general economy arises

  • 23% rewrittenBusiness and Strategic Risks

    Our business strategy includes continued growth, and our financial condition and results of operations could be negatively affected if we fail to grow or fail to manage our growth effectively

  • 22% rewrittenOperational Risk

    Our operations rely on external vendors

  • 20% rewrittenRegulatory and Litigation Risk

    Shares of our common stock are not insured deposits and may lose value

  • 20% rewrittenBusiness and Strategic Risks

    Consumers may decide not to use banks to complete their financial transactions, which could adversely affect our net income

All 38 risk factors

Headings as the filing states them, in filing order.

Other

  1. 01Deterioration in the real estate markets, including the secondary market for residential mortgage loans, can adversely affect us
  2. 02Our real estate portfolios are exposed if weakness in the Florida housing market or general economy arises27% rewritten
  3. 03We are subject to lending concentration risk91% rewritten
  4. 04NPAs could result in an increase in our provision for credit losses on loans, which could adversely affect our results of operations and financial condition
  5. 05Our ACL on loans may prove inadequate or we may be adversely affected by credit risk exposures
  6. 06We must effectively manage our interest rate risk. The impact of changing interest rates on our results is difficult to predict and changes in interest rates may impact our performance in ways we cannot predict34% rewritten
  7. 07The FRB has implemented significant economic strategies that have impacted interest rates, inflation, asset values, and the shape of the yield curve, over which the Company has no control and which the Company may not be able to adequately anticipate
  8. 08Our cost of funds may increase as a result of general economic conditions, FDIC insurance assessments, interest rates and competitive pressures
  9. 09Liquidity risks could affect operations and jeopardize our financial condition
  10. 10Our ability to borrow could also be impaired by factors that are not specific to us, such as disruptions in the financial markets or negative views and expectations about the prospects for the financial services industry
  11. 11Our ability to receive dividends from our subsidiaries could affect our liquidity and ability to pay interest on our trust preferred securities or reinstate dividends

Business and Strategic Risks

  1. 12Our business strategy includes continued growth, and our financial condition and results of operations could be negatively affected if we fail to grow or fail to manage our growth effectively23% rewritten
  2. 13Our future success is dependent on our ability to compete effectively in highly competitive markets39% rewritten
  3. 14Consumers may decide not to use banks to complete their financial transactions, which could adversely affect our net income20% rewritten
  4. 15Hurricanes or other adverse weather events, as well as climate change, could negatively affect our local economies or disrupt our operations, which would have an adverse effect on our business and results of operations40% rewritten
  5. 16Changes in accounting rules applicable to banks could adversely affect our financial condition and results of operations
  6. 17The anti-takeover provisions in our Articles of Incorporation and under Florida law may make it more difficult for takeover attempts that have not been approved by our Board of Directors

Operational Risk

  1. 18The implementation of new lines of business or new products and services may subject us to additional risk
  2. 19Employee misconduct could expose us to significant legal liability and reputational harm
  3. 20We are subject to losses due to fraudulent and negligent acts
  4. 21Our operations rely on external vendors22% rewritten
  5. 22We must effectively manage our information systems risk30% rewritten
  6. 23Disruptions to our information systems or security incidents could adversely affect our business and reputation84% rewritten
  7. 24cover all related financial losses and damages should we experience any one or more of our or a third party’s systems failing or failing to prevent, being compromised, or experiencing a cyber-attackNew
  8. 25The development and use of AI presents risks and challenges that may adversely impact our business95% rewritten

Regulatory and Litigation Risk

  1. 26We operate in a heavily regulated environment. Regulatory compliance burdens and associated costs can affect our business, including our reputation, the value of our securities, and the results of our operations40% rewritten
  2. 27assessments for FDIC deposit insurance are calculated, and providing the authority to the CFPB to supervise and examine such banksNew
  3. 28See the discussion above at "Supervision and Regulation" for an additional discussion of the extensive regulation and supervision the Company and the Bank are subject to
  4. 29Federal banking agencies periodically conduct examinations of our business, including for compliance with laws and regulations, and our failure to comply with any supervisory actions to which we are or become subject as a result of such examinations may adversely affect us
  5. 30Higher FDIC deposit insurance premiums and assessments could adversely affect our financial condition
  6. 31Tax law changes and interpretations may have a negative impact on our earnings99% rewritten
  7. 32If we fail to successfully integrate our acquisitions or to realize the anticipated benefits of them, our financial condition and results of operations could be negatively affected
  8. 33Attractive acquisition opportunities may not be available to us in the future
  9. 34Our business strategy includes significant growth plans, and our financial condition and results of operations could be negatively affected if we fail to grow or fail to manage our growth effectively, or if we fail to successfully integrate our acquisitions or to realize the anticipated benefits of them37% rewritten
  10. 35Shares of our common stock are not insured deposits and may lose value20% rewritten
  11. 36Any future economic downturn could have a material adverse effect on our capital, financial condition, results of operations, and future growth36% rewritten
  12. 37A reduction in consumer confidence could negatively impact our results of operations and financial condition
  13. 38We must attract and retain skilled personnel46% rewritten

Other Seacoast Banking Corp. of Florida 10-Ks

  • FY2024 10-K risk factors
    39 risks

    Florida regional banking risks are dominated by commercial and residential real estate exposure, interest rate volatility, and regulatory compliance burdens.

    Filed Feb 25, 2025

About this page

The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.