third quarter of 2026
Filed Oct 20, 2026Hancock Whitney reports third quarter 2026 EPS of $1.36
Adjusted EPS was $1.66, up $0.11 linked-quarter, while GAAP net income was $110.1 million and diluted EPS was $1.36, both below the second quarter. Loans, deposits, net interest income and NIM increased, but OFB acquisition-related supplemental disclosure items increased provision and expenses, nonaccrual loans rose, and capital ratios declined.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net income, three months ended 9/30/2026 (dollars in thousands)GAAP | $110.1M | – | – |
| Adjusted net income, three months ended 9/30/2026non-GAAP | $134.1M | – | – |
| Earnings per share, diluted, three months ended 9/30/2026GAAP | $ 1.36 | – | – |
| Adjusted earnings per share, diluted, three months ended 9/30/2026non-GAAP | 1.66 | up $0.11 linked-quarter | – |
| Net interest income, three months ended 9/30/2026 (dollars in thousands)GAAP | $313.1M | – | – |
| Net interest income (TE), three months ended 9/30/2026 (dollars in thousands)non-GAAP | $314.9M | an increase of $19.7 million, or 7% | – |
| Noninterest income, three months ended 9/30/2026 (dollars in thousands)GAAP | $107.0M | down $1.4 million | – |
| Total GAAP revenue, three months ended 9/30/2026 (dollars in thousands)GAAP | $420.1M | – | – |
| Total revenue (TE), three months ended 9/30/2026 (dollars in thousands)non-GAAP | $421.9M | – | – |
| Adjusted total revenue (TE), three months ended 9/30/2026 (dollars in thousands)non-GAAP | $421.9M | – | – |
| Provision for credit losses, three months ended 9/30/2026 (dollars in thousands)GAAP | $16.10M | – | – |
| Income before income taxes, three months ended 9/30/2026 (dollars in thousands)GAAP | $142.0M | – | – |
| Income tax expense, three months ended 9/30/2026 (dollars in thousands)GAAP | $31.96M | – | – |
| Effective income tax rate, third quarter of 2026GAAP | 22.5% | – | – |
| Noninterest expense, three months ended 9/30/2026 (dollars in thousands)GAAP | $262.0M | up $36.6 million, or 16% linked-quarter | – |
| Adjusted noninterest expense for efficiency, three months ended 9/30/2026 (dollars in thousands)non-GAAP | $229.8M | – | – |
| Adjusted pre-provision net revenue (TE), three months ended 9/30/2026 (dollars in thousands)non-GAAP | $189.3M | up $11.2 million, or 6% | – |
| Net interest margin (TE), three months ended 9/30/2026non-GAAP | 3.61 % | up 5 bps linked-quarter | – |
| Efficiency ratio, three months ended 9/30/2026non-GAAP | 54.46 % | down 85 bps linked-quarter | – |
| Return on average assets, three months ended 9/30/2026GAAP | 1.16 % | – | – |
| Return on average common equity, three months ended 9/30/2026GAAP | 9.95 % | – | – |
| Return on average tangible common equity, three months ended 9/30/2026other | 13.46 % | – | – |
| Total loans, period-end 9/30/2026 (dollars in thousands)GAAP | $26.54B | up $2.0 billion, or 8% | – |
| Average loans, three months ended 9/30/2026 (dollars in thousands)GAAP | $25.77B | up $1.4 billion, or 6% | – |
| Total deposits, period-end 9/30/2026 (dollars in thousands)GAAP | $32.18B | up $2.5 billion, or 9% | – |
| Average deposits, three months ended 9/30/2026 (dollars in thousands)GAAP | $30.92B | up $2.1 billion, or 7% | – |
| Noninterest-bearing deposits, period-end 9/30/2026 (dollars in thousands)GAAP | $10.55B | up $217.9 million, or 2% | – |
| Interest-bearing transaction and savings deposits, period-end 9/30/2026 (dollars in thousands)GAAP | $15.49B | up $2.5 billion, or 19% | – |
| Interest-bearing public fund deposits, period-end 9/30/2026 (dollars in thousands)GAAP | $2.57B | down $309.0 million, or 11% | – |
| Time deposits, period-end 9/30/2026 (dollars in thousands)GAAP | $3.56B | up $174.2 million, or 5% | – |
| Total assets, period-end 9/30/2026 (dollars in thousands)GAAP | $38.58B | – | – |
| Common stockholders' equity, period-end 9/30/2026 (dollars in thousands)GAAP | $4.23B | down $209.8 million, or 5% | – |
| Tangible common equity ratio, period-end 9/30/2026other | 8.05 % | down 173 bps linked-quarter | – |
| Common equity tier 1 ratio, period-end 9/30/2026other | 11.53 % | down 166 bps linked-quarter | – |
| Total allowance for credit losses, period-end 9/30/2026 (dollars in thousands)GAAP | $375.8M | up $27.8 million, or 8% | – |
| Allowance for credit losses as a percentage of period-end loans, 9/30/2026GAAP | 1.42 % | unchanged from the prior quarter | – |
| Nonaccrual loans, period-end 9/30/2026 (dollars in thousands)GAAP | $133.3M | – | – |
| Nonaccrual loans as a percentage of loans, 9/30/2026GAAP | 0.50 % | – | – |
| Criticized commercial loans, period-end 9/30/2026GAAP | $485.3 million, or 2.29% of total commercial loans | down $6.7 million | – |
| Total net charge-offs, three months ended 9/30/2026 (dollars in thousands)GAAP | $10.20M | – | – |
| Total net charge-offs as a percentage of average loans, three months ended 9/30/2026GAAP | 0.16 % | – | – |
| Cash dividends per share, three months ended 9/30/2026GAAP | 0.50 | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Capital returns
- During the third quarter of 2026, the company repurchased one million shares of its common stock at an average price of $77.91 per share.
- The share buyback program authorizes the repurchase of up to 5%, or approximately 4.1 million shares, of the company’s outstanding common stock, and expires on December 31, 2026.
- Since the share buyback program’s inception, the company has repurchased 3,112,966 shares of its common stock under this share buyback program.
- Cash dividends per share were 0.50 for the three months ended 9/30/2026.
What drove it
- Loans increased $2.0 billion, including $1.7 billion in loans acquired from OFB, as well as increases in commercial real estate across multiple products and continued growth in equipment finance.
- Deposits increased $2.5 billion, including $1.9 billion acquired from OFB; interest-bearing transaction and savings deposits increased due to competitive products and pricing.
- NIM expansion reflected purchase accounting accretion related to OFB (+4 bps), favorable level of other borrowings (+1 bps), and change in earning asset yield and mix (+8 bps), offset by higher cost of deposits (-8 bps).
- Third-quarter net interest income included net purchase accounting accretion of $3.3 million.
- Noninterest expense included $5.8 million of post-acquisition noninterest expense from OFB and $29.4 million of supplemental disclosure items related to the acquisition of OFB.
- Personnel expense increased partly from $8.3 million of OFB acquisition-related supplemental disclosure items, $3.6 million of post-acquisition OFB expense, and new hires associated with the organic growth plan.
Concerns
- GAAP net income was $110.1 million and GAAP diluted EPS was $1.36, compared with $127.0 million and $1.55 in the second quarter of 2026.
- Noninterest expense increased $36.6 million, or 16% linked-quarter, and included $29.4 million of supplemental disclosure items related to the OFB acquisition.
- Nonaccrual loans totaled $133.3 million, or 0.50% of total loans, compared to $113.7 million, or 0.46% of total loans, at June 30, 2026.
- The CET1 ratio was estimated at 11.53%, compared to 13.19% in the prior quarter, while the tangible common equity ratio was 8.05%, compared to 9.78%.
- Interest-bearing transaction and savings deposits grew with competitive products and pricing, while higher cost of deposits offset 8 bps of NIM drivers.
- Fees from secondary mortgage operations totaled $2.9 million, down $1.2 million, or 30%, linked-quarter, due to the current rate environment.
What to watch
- Integration of OFB Bancshares, Inc., including purchase accounting accretion, post-acquisition income and expense, and acquisition-related supplemental disclosure items.
- Whether legacy and post-acquisition loan growth in commercial real estate and equipment finance continues.
- Deposit mix, competitive pricing and the cost of deposits.
- The path of nonaccrual loans, criticized commercial loans, net charge-offs and the allowance for credit losses.
- CET1 and tangible common equity ratios following the OFB acquisition and continued share repurchases.
- Noninterest expense following OFB acquisition costs and hiring associated with the organic growth plan.
Balance sheet and cash flow
- Total assets were $ 38,583,463 at 9/30/2026, compared to $ 36,345,972 at 6/30/2026.
- Total deposits were $ 32,177,308 at 9/30/2026, compared to $ 29,629,760 at 6/30/2026.
- Short-term borrowings were $ 1,304,281 and long-term debt was $ 212,212 at 9/30/2026.
- Common stockholders' equity was $ 4,234,341 at 9/30/2026, compared to $ 4,444,134 at 6/30/2026.
- Operating cash flow, investing cash flow, financing cash flow, free cash flow and cash balances were not reported in the provided release.
Analysis
Hancock Whitney reported third-quarter GAAP net income of $110.1 million, or $1.36 per diluted common share, compared with $127.0 million, or $1.55 per diluted common share, in the second quarter of 2026. The quarter included a pretax charge of $30.4 million, or $0.30 per share, of supplemental disclosure items related to the OFB acquisition. Adjusted net income totaled $134.1 million and adjusted diluted EPS was $1.66, up $0.11 linked-quarter. Adjusted pre-provision net revenue (TE) was $189.3 million, up $11.2 million, or 6%, from the prior quarter.
Balance-sheet expansion was led by OFB and commercial lending. Period-end loans were $26.5 billion, up $2.0 billion, or 8%, from June 30, 2026, including $1.7 billion acquired from OFB. Period-end deposits were $32.2 billion, up $2.5 billion, or 9%, including $1.9 billion acquired from OFB. Interest-bearing transaction and savings deposits rose $2.5 billion, or 19%, while interest-bearing public fund deposits declined $309.0 million, or 11%. Noninterest-bearing deposits were $10.6 billion and comprised 33% of total period-end deposits.
Net interest income (TE) increased $19.7 million, or 7%, from the second quarter to $314.9 million, and NIM (TE) expanded 5 bps to 3.61%. The stated NIM drivers were OFB purchase accounting accretion, favorable other borrowings, and earning-asset yield and mix, partly offset by higher deposit costs. Noninterest income was $107.0 million, down $1.4 million from the second quarter. Service charges rose $1.2 million, while trust fees, investment and annuity income and insurance fees, and secondary mortgage operations declined linked-quarter.
Expense and capital absorbed the acquisition impact. Noninterest expense was $262.0 million, up $36.6 million, or 16%, linked-quarter, including $29.4 million of OFB acquisition supplemental disclosure items and $5.8 million of post-acquisition OFB expense. The efficiency ratio nevertheless improved to 54.46% from 55.31%. Common stockholders' equity was $4.2 billion, down $209.8 million, or 5%, from June 30, 2026; estimated CET1 was 11.53% and the tangible common equity ratio was 8.05%.
Credit indicators were mixed. Criticized commercial loans declined $6.7 million to $485.3 million, or 2.29% of total commercial loans, and annualized net charge-offs remained 0.16% of average loans. However, nonaccrual loans increased to $133.3 million, or 0.50% of total loans, from $113.7 million, or 0.46%, in the second quarter. The ACL was $375.8 million, up $27.8 million, or 8%, with the ACL-to-period-end-loans ratio unchanged at 1.42%. The release provided no forward financial guidance.
Management, verbatim
Profitability remains strong with adjusted EPS of $1.66, up 7% from prior quarter, adjusted ROA of 1.41%, and an improved efficiency ratio of 54.46%.
John M. Hairston, President & CEO
We delivered strong loan and deposit growth, while NIM expanded 5 basis points to 3.61%.
John M. Hairston, President & CEO
As 2026 draws to a close, we remain committed to executing on our organic growth plan and maintaining operational efficiency and a strong capital position.
John M. Hairston, President & CEO
Not in the filing
stated, not guessed- Forward guidance for revenue, net interest margin, expenses, tax rate, loan growth, deposit growth, provision for credit losses, capital ratios, dividends or repurchases was not provided.
- Previous-release outlook was not provided.
- Gross margin is not reported.
- Operating income is not reported.
- Operating cash flow is not reported.
- Investing cash flow is not reported.
- Financing cash flow is not reported.
- Free cash flow is not reported.
- Cash and cash equivalents balance is not reported.
- Reportable operating segments and segment revenue are not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.