Pinnacle Financial Partners announces earnings for third quarter 2026
Pinnacle Financial Partners, Inc. (PNFP) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Media Contact Investor Contact Joe Bass Samantha W. Tyagi 615-743-8219 404-364-2715 joe.bass@pnfp.com samantha.tyagi@synovus.com Pinnacle Financial Partners announces earnings for third quarter 2026 Diluted earnings per share of $2.40 versus $2.19 in 3Q25 Adjusted di
How this was made
The 30-second read
Why it matters
The earnings beat and growth metrics provide a clear catalyst for short‑term price movement.
Market read
First combined‑company earnings release; likely moves PNFP stock and may influence peer regional banks.
What to watch
Integration risks from the recent Synovus merger may affect future earnings consistency.
Diluted earnings per share of $2.40 versus $2.19 in 3Q25; adjusted diluted earnings per share of $2.69 versus $2.27 in 3Q25.
Third-quarter GAAP net income available to common shareholders increased 116% year over year and 16% sequentially, while adjusted diluted earnings per share increased 19% year over year and 8% sequentially. Loans and deposits each increased 2% sequentially, fee revenue expanded, and credit ratios remained stable, although net interest margin declined 4 basis points sequentially and expenses increased.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net income available to common shareholders, 3Q26GAAP | $364M | 16% | 116% |
| Adjusted net income available to common shareholders, 3Q26non-GAAP | $409M | – | – |
| Net income, 3Q26GAAP | $379M | 16% | 119% |
| Diluted earnings per share, 3Q26GAAP | $2.40 | 16% | 10% |
| Adjusted diluted earnings per share, 3Q26non-GAAP | $2.69 | 8% | 19% |
| Total revenue, 3Q26GAAP | $1.31B | – | – |
| Adjusted revenue (TE), 3Q26non-GAAP | $1.32B | – | – |
| Net interest income, 3Q26GAAP | $986M | 3% | 148% |
| Net interest income, taxable equivalent, 3Q26other | $995M | – | – |
| Net interest margin, taxable equivalent, 3Q26other | 3.40% | declined 4 basis points | – |
| Total non-interest revenue, 3Q26GAAP | $326M | 32% | 122% |
| Adjusted non-interest revenue, 3Q26non-GAAP | $323M | – | – |
| Core banking fees, 3Q26GAAP | $96M | – | 185% |
| Wealth management revenue, 3Q26GAAP | $88M | – | 130% |
| Income from equity method investment, 3Q26GAAP | $48M | – | 19% |
| Capital markets income, 3Q26GAAP | $17M | – | 300% |
| Income from bank-owned life insurance, 3Q26GAAP | $21M | – | 69% |
| Investment securities gains (losses), net, 3Q26GAAP | −$1M | – | nm |
| Total loan sales and servicing, 3Q26GAAP | $8M | – | 39% |
| Other non-interest revenue, 3Q26GAAP | $49M | – | 277% |
| Total non-interest expense, 3Q26GAAP | $749M | 4% | 147% |
| Adjusted non-interest expense, 3Q26non-GAAP | $690M | – | – |
| Salaries and other personnel expense, 3Q26GAAP | $398M | – | 115% |
| Merger-related expense, 3Q26GAAP | $56M | – | nm |
| Provision for credit losses, 3Q26GAAP | $86M | 36% | 168% |
| Income before income taxes, 3Q26GAAP | $477M | 14% | 129% |
| Income tax expense, 3Q26GAAP | $98M | 7% | 168% |
| Effective tax rate, 3Q26GAAP | 20.5% | – | – |
| Total loans, September 30, 2026GAAP | $89.81B | 2% | – |
| Total deposits, September 30, 2026GAAP | $103.0B | 2% | 125% |
| Commercial and industrial loans, September 30, 2026GAAP | $52.06B | 2% | – |
| Commercial real estate loans, September 30, 2026GAAP | $24.04B | 2% | – |
| Consumer loans, September 30, 2026GAAP | $13.71B | 3% | – |
| Non-interest-bearing DDA, September 30, 2026GAAP | $20.91B | 1% | 133% |
| Interest-bearing DDA, September 30, 2026GAAP | $29.73B | 4% | 98% |
| Money market deposits, September 30, 2026GAAP | $36.96B | 2% | 127% |
| Savings deposits, September 30, 2026GAAP | $1.78B | — | 123% |
| Time deposits, September 30, 2026GAAP | $13.65B | 2% | 194% |
| Non-performing assets ratio, 3Q26GAAP | 0.50% | flat | – |
| Net charge-offs / average loans, quarter, 3Q26GAAP | 0.23% | – | – |
| Allowance for credit losses / loans, 3Q26GAAP | 1.19% | – | – |
| Allowance for credit losses / non-performing loans, 3Q26GAAP | 245.78% | – | – |
| Common Equity Tier 1 Capital Ratio, September 30, 2026GAAP | 10.01% | – | – |
| Return on average assets, 3Q26GAAP | 1.18% | – | (6) bps |
| Adjusted return on average assets, 3Q26non-GAAP | 1.32% | – | – |
| Return on average common equity, 3Q26GAAP | 10.28% | – | (5) bps |
| Return on average tangible common equity, 3Q26non-GAAP | 16.54% | – | – |
| Efficiency ratio-TE, 3Q26other | 56.6% | – | – |
| Adjusted tangible efficiency ratio, 3Q26non-GAAP | 48.9% | – | – |
| Pre-provision net revenue, 3Q26GAAP | $563M | – | – |
| Adjusted pre-provision net revenue, 3Q26non-GAAP | $628M | – | – |
| Net income available to common shareholders, nine months ended September 30, 2026GAAP | $812M | – | 76% |
| Net income per common share, diluted, nine months ended September 30, 2026GAAP | $5.36 | – | (10)% |
| Net interest income, nine months ended September 30, 2026GAAP | $2.88B | – | 152% |
| Total non-interest revenue, nine months ended September 30, 2026GAAP | $857M | – | 132% |
| Total non-interest expense, nine months ended September 30, 2026GAAP | $2.42B | – | 180% |
Capital returns
- Cash dividends declared per common share were $0.50 in third quarter 2026, compared with $0.50 in second quarter 2026 and $0.24 in third quarter 2025.
- Cash dividends declared per common share were $1.50 for the nine months ended September 30, 2026, compared with $0.72 for the nine months ended September 30, 2025.
What drove it
- Period-end loans increased $1.7 billion, or 2%, from the prior quarter, with the majority of growth in commercial and industrial credits; growth was diverse by geography and supported by specialty lending.
- Period-end deposits increased $2.1 billion, or 2%, from the prior quarter, reflecting Pinnacle's historical seasonal growth pattern.
- Adjusted non-interest revenue increased $53 million from the second quarter, driven by higher production at the equity-method investment in BHG and a $23 million gain associated with the payoff of an equipment lease.
- Pinnacle added 96 experienced revenue producers in the third quarter, compared with 74 in second quarter 2026, bringing the year-to-date total to 222.
- The merger of Pinnacle and Synovus closed on Jan. 1, 2026. Reported third-quarter and second-quarter 2026 results reflect the combined organization, while prior periods reflect legacy Pinnacle unless stated otherwise.
Concerns
- Net interest margin declined 4 basis points sequentially to 3.40%, driven primarily by increasing deposit costs and the ongoing, wholesale-funded liquidity build, partially offset by rising securities and loan yields.
- Adjusted non-interest expense increased 4% sequentially, with increased employment expense driven by a true-up to the annual incentive accrual for revenue and EPS growth and accelerated revenue producer hiring.
- Provision for credit losses increased to $86 million from $63 million in the prior quarter. The change in the allowance quarter over quarter was driven largely by a more adverse macroeconomic outlook and continued loan growth.
- Non-performing loans were $433 million, up 4% from $415 million in the second quarter. Non-performing assets were $450 million, up from $444 million in the second quarter.
- The preliminary CET1 ratio was 10.01%, compared with 10.88% at December 31, 2025.
What to watch
- Whether loan and deposit growth continues after the third-quarter seasonal deposit-growth pattern.
- The trajectory of deposit costs, wholesale-funded liquidity, securities and loan yields, and their effect on net interest margin.
- BHG production and the sustainability of non-interest revenue following the $23 million equipment-lease payoff gain.
- Expense growth related to incentive accruals and revenue-producer hiring.
- Credit-loss provision, non-performing loans, allowance coverage, and the impact of the more adverse macroeconomic outlook.
- Retention, recruiting and integration performance following the Jan. 1, 2026 merger with Synovus.
Balance sheet and cash flow
- Cash, cash equivalents, and restricted cash were $7,221 million at September 30, 2026, compared with $3,565 million at December 31, 2025 and $3,265 million at September 30, 2025.
- Investment securities available for sale were $18,190 million at September 30, 2026, compared with $6,567 million at December 31, 2025 and $6,412 million at September 30, 2025.
- FHLB advances and other borrowings were $9,985 million at September 30, 2026, compared with $2,205 million at December 31, 2025 and $2,203 million at September 30, 2025.
- Total assets were $130,685 million at September 30, 2026, compared with $57,706 million at December 31, 2025 and $55,964 million at September 30, 2025.
- Total equity was $14,610 million at September 30, 2026, compared with $7,044 million at December 31, 2025 and $6,856 million at September 30, 2025.
- Tangible common equity ratio was 7.41% at September 30, 2026, compared with 8.86% at December 31, 2025 and 8.82% at September 30, 2025.
- Book value per common share was $91.52 at September 30, 2026, compared with $87.90 at December 31, 2025 and $85.60 at September 30, 2025.
- Tangible book value per common share was $61.86 at September 30, 2026, compared with $63.71 at December 31, 2025 and $61.53 at September 30, 2025.
Analysis
Pinnacle reported a materially larger year-over-year earnings base following the Jan. 1, 2026 merger with Synovus. Third-quarter net income available to common shareholders was $364 million, up 116% from $169 million, and diluted earnings per share was $2.40, up 10% from $2.19. Adjusted net income available to common shareholders was $409 million and adjusted diluted earnings per share was $2.69, compared with $175 million and $2.27, respectively, in 3Q25. Management states that year-over-year comparisons are significantly affected by the acquired balance sheet and purchase accounting.
Underlying linked-quarter operating trends were positive. Net interest income increased 3% to $986 million, total non-interest revenue increased 32% to $326 million, and total revenue was $1,312 million. The fee-income increase included higher income from the equity-method investment and the $23 million gain on payoff of an equipment lease. Core banking fees were $96 million, wealth management revenue was $88 million, and capital markets income was $17 million. Adjusted non-interest revenue was $323 million, up $53 million from the second quarter.
Balance-sheet growth remained broad-based. Total loans rose 2% sequentially to $89,808 million, led by commercial and industrial loans, and total deposits increased 2% to $103,036 million. Deposit growth spanned interest-bearing DDA, money market and time deposits. The tradeoff was a 4-basis-point linked-quarter decline in taxable-equivalent net interest margin to 3.40%, which management attributed to increasing deposit costs and an ongoing wholesale-funded liquidity build, partly offset by rising securities and loan yields.
Expenses and credit are the principal offsets to the revenue momentum. Total non-interest expense was $749 million and adjusted non-interest expense was $690 million, the latter up 4% sequentially due to incentive-accrual true-ups and accelerated revenue-producer hiring. Provision for credit losses increased to $86 million from $63 million in the second quarter as management cited a more adverse macroeconomic outlook and loan growth. Even so, the non-performing asset ratio held at 0.50%, the quarterly net charge-off ratio was 0.23%, and allowance for credit losses coverage of non-performing loans was 245.78%.
Capital improved sequentially but remains below the December 2025 level. Preliminary CET1 was 10.01%, up from 9.93% in the second quarter and compared with 10.88% at December 31, 2025. Pinnacle declared a $0.50 per-common-share cash dividend for the quarter. The release provided no financial outlook, so the near-term focus is on sustaining loan and deposit growth, stabilizing margin pressure, translating hiring into revenue, containing operating costs, and maintaining credit quality through the integration period.
Management, verbatim
Three quarters into our first year as a combined company, the pattern that built Pinnacle is intact: consistent, repeatable performance, quarter after quarter. The merger changed our size, not how we perform. Strong loan and deposit growth and outsized growth in fee income have driven double-digit diluted EPS growth year over year. And we did it while building capital and keeping credit sound. Retention and recruiting are both ahead of plan, and clients remain loyal and committed to doing more business with us. We plan to close 2026 building on that pattern of performance.
Kevin Blair, President and CEO
Not in the filing
stated, not guessed- Forward financial guidance was not provided.
- Prior-period outlook was not provided; therefore, no comparison with prior guidance is available.
- Operating cash flow was not provided.
- Free cash flow was not provided.
- Share repurchases were not provided.
- Gross margin was not provided, as this is a bank and the release did not report that metric.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Pinnacle Financial Partners completed its merger with Synovus on Jan. 1 2026 and is reporting its first combined‑company quarter.
Ticker impact
Q3 2026 earnings released via 8‑K showing EPS $2.40 vs $2.19 a year ago and adjusted EPS $2.69 vs $2.27, indicating beat and growth.
likely upward pressure as market prices in earnings beat and growth outlook
Beat on both headline and adjusted EPS, double‑digit loan growth and solid CET1 ratio support a bullish reaction.
Market effects
Banking sector may see modest lift from regional loan growth trends.
U.S. regional banks could benefit from similar merger‑driven scale gains.
Limited to U.S. financial markets; no broader macro effect.
Counterpoint
If deposit cost inflation accelerates, net interest margin could compress, tempering upside.
Key entities
- ExecutiveKevin Blair
President and CEO of Pinnacle Financial Partners, quoted on performance.
