First Horizon (FHN) Q2 2026 Earnings Call Transcript
First Horizon (FHN) Q2 2026 earnings call reported adjusted EPS of $0.54, up $0.01 QoQ, and adjusted PPNR of $364 million, up 1%. Average loan balances rose $1.5B. NIM compressed 3 bps to the high 340s. Period-end deposits increased $1.6B, and buybacks totaled 4M shares for $100M. CET1 was 10.5%.
How this was made
The 30-second read
Why it matters
Traders can update models for regional bank fundamentals using the quarter’s specific metrics: adjusted EPS and PPNR, NIM compression to the high-340s, deposit beta at 66%, net charge-offs and provision, CET1 at 10.5%, and the buyback pace. The call also flags an expected Basel III standardized RWA reduction of about 10%.
Market read
Fresh quarter metrics and capital actions can shift near-term sentiment and positioning for FHN and regional bank peers with similar deposit and credit profiles.
What to watch
Basel III standardized approach implies about a 10% RWA reduction, but the timing and implementation details are not specified; investors may discount the benefit until clarity arrives.
Background
The article is a transcript of First Horizon’s Q2 2026 earnings call, covering earnings momentum, NIM/NII, deposits, loan growth, fee income, credit, and capital deployment.
Ticker impact
First Horizon reported Q2 2026 results and capital actions, including adjusted EPS of $0.54, buybacks of 4 million shares for $100 million, and CET1 at 10.5%.
Moderately positive bias if investors view NIM stabilization, stable credit, and buyback pace as supportive; downside risk if deposit beta or fixed-income revenue softness is seen as persistent.
The text includes multiple concrete quarter metrics (EPS, PPNR, NIM, NII, net charge-offs, CET1) plus an explicit buyback and Basel III RWA expectation, all of which are actionable for bank traders even without explicit forward guidance numbers.
Market effects
Provides a read-through on regional bank dynamics: deposit beta resilience (66%), NIM settling in the high-3s, and credit costs staying near expectations.
Highlights performance drivers tied to First Horizon’s regional and specialty mix, relevant to peers with similar deposit and CRE exposure.
Limited direct global linkage, aside from mention of macro volatility and geopolitical uncertainty affecting fixed-income revenues.
Counterpoint
Deposit competition is still pressuring costs, and fixed-income revenue declined sequentially, so the quarter may not signal durable margin expansion.
Key entities
- companyFirst Horizon
Subject of the earnings call transcript, reporting Q2 2026 results and capital actions.
- regulationBasel III
Regulatory framework referenced for expected risk-weighted asset reduction in the standardized approach.
