Pinnacle Financial Partners announces earnings for first quarter 2026
ATLANTA--( BUSINESS WIRE)--Pinnacle Financial Partners, Inc. (NYSE: PNFP) today reported financial results for the quarter ended March 31, 2026. The merger of Pinnacle Financial Partners, Inc. and Synovus Financial Corp. closed on January 1, 2026. The combination creates one of the highest-performing regional banks in the country, positioned for industry-leading revenue, earnings per share and tangible book value growth by marrying Pinnacle’s proven growth model and Synovus’ deep talent and capabilities.
“We set out to scale with a soul, and our first quarter results prove that we’re doing it. We delivered strong loan and deposit growth, expanded revenue and hired 50 new revenue producers, while moving forward with 8,500 team members who never took their eye off the client. The merger was a catalyst for growth rather than a distraction. One quarter in, with much more to prove and deliver, we are confident in the talent, culture and momentum we are building together. The best is still ahead for Pinnacle,” said Pinnacle President and CEO Kevin Blair.
First Quarter 2026 Highlights
First Quarter Summary
Reported
Adjusted
(dollars in millions)
1Q26
4Q25
1Q25
1Q26
4Q25
1Q25
Net income available to common shareholders
$
135
$
166
$
136
$
363
$
173
$
146
Diluted earnings per share
0.89
2.13
1.77
2.39
2.24
1.90
Total revenue
1,217
541
462
1,229
562
488
Total loans
85,197
39,154
36,137
NA
NA
NA
Total deposits
100,103
47,401
44,482
NA
NA
NA
Return on avg assets (1)
0.50
%
1.19
%
1.08
%
1.26
%
1.24
%
1.16
%
Return on avg common equity (1)
3.96
9.76
8.80
10.65
10.20
9.40
Return on avg tangible common equity (1)
7.58
13.59
12.61
17.69
14.19
13.47
Net interest margin (2)
3.53
3.27
3.21
NA
NA
NA
Efficiency ratio-TE (2)(3)
77.4
54.0
58.0
51.3
52.3
56.2
NCO ratio-QTD
0.23
0.28
0.16
NA
NA
NA
NPA ratio
0.58
0.36
0.48
NA
NA
NA
CET1 ratio (4)
9.83
10.88
10.70
NA
NA
NA
(1) Annualized
(2) Taxable equivalent
(3) Adjusted tangible efficiency ratio
(4) Current period ratio preliminary
NA - not applicable
Balance Sheet
Loans *
(dollars in millions)
1Q26
4Q25
Linked Quarter Change
Linked Quarter % Change
Commercial & industrial
$
48,197
$
22,296
$
25,901
116
%
Commercial real estate
23,760
11,357
12,404
109
Consumer
13,240
5,501
7,739
141
Total loans
$
85,197
$
39,154
$
46,043
118
%
*Amounts may not total due to rounding and prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
Deposits *
(dollars in millions)
1Q26
4Q25
Linked Quarter Change
Linked Quarter % Change
1Q25
Year/Year Change
Year/Year % Change
Non-interest-bearing DDA
$
20,388
$
9,051
$
11,338
125
%
$
8,510
$
11,878
140
%
Interest-bearing DDA
30,666
15,649
15,017
96
14,802
15,864
107
Money market
34,007
16,824
17,183
102
16,093
17,913
111
Savings
1,865
804
1,061
132
820
1,045
127
Time deposits
13,176
5,073
8,103
160
4,256
8,920
210
Total deposits
$
100,103
$
47,401
$
52,702
111
%
$
44,482
$
55,621
125
%
*Amounts may not total due to rounding and prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
Income Statement Summary **
(in millions, except per share data)
1Q26
4Q25
Linked Quarter Change
Linked Quarter % Change
1Q25
Year/Year Change
Year/Year % Change
Net interest income
$
933
$
408
$
525
129
%
$
365
$
568
156
%
Non-interest revenue
284
133
151
114
97
187
193
Non-interest expense
952
301
651
216
275
677
246
Provision for (reversal of) credit losses
76
34
42
124
17
59
347
Income before taxes
$
189
$
206
$
(17
)
(8
)%
$
170
$
19
11
%
Income tax expense (benefit)
39
36
3
8
30
9
31
Net income
150
170
(20
)
(12
)
140
10
7
Less: Preferred stock dividends
15
4
11
275
4
11
275
Net income available to common shareholders
$
135
$
166
$
(31
)
(19
)%
$
136
$
(1
)
(1
)%
Weighted average common shares outstanding, diluted
151
78
73
94
%
77
74
96
%
Diluted earnings per share
$
0.89
$
2.13
$
(1.24
)
(58
)
$
1.77
$
(0.88
)
(50
)
Adjusted diluted earnings per share
2.39
2.24
0.15
7
1.90
0.49
26
Effective tax rate
21
%
17
%
18
%
** Amounts may not total due to rounding and prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
First Quarter 2026 Earnings Webcast and Conference Call
Pinnacle will host a conference call and webcast to discuss the first quarter 2026 earnings results with an accompanying slide presentation at 8 a.m. ET on April 23, 2026. Shareholders and other interested parties may listen to this conference call via simultaneous internet broadcast at investors.pnfp.com/events-presentations. Participants may also access the conference call at 888-506-0062 using the code 878834. The replay will be archived for at least 12 months and will be available approximately one hour after the call.
Pinnacle Financial Partners, Inc. (“Pinnacle”) is a $123 billion asset regional bank which provides a full range of banking, investment, trust, mortgage and insurance products and services for commercial and consumer clients who want a comprehensive relationship with their financial institution. The firm joined forces with Synovus on January 1, 2026, bringing together more than 160 years of combined banking service. Pinnacle is the largest bank headquartered in Tennessee and the largest bank holding company headquartered in Georgia. The firm is No. 1 in deposit market share in the Nashville MSA and No. 4 in the Atlanta MSA with offices in Tennessee, Georgia, Florida, North Carolina, South Carolina, Alabama, Kentucky, Virginia and Maryland (based on June 30, 2025 FDIC market share data).
Pinnacle is an employer of choice for financial services professionals. The firm is No. 12 in FORTUNE magazine’s 2026 list of 100 Best Companies to Work For® in the U.S., its tenth consecutive appearance. Pinnacle was also recognized by American Banker as No. 4 among America’s Best Banks to Work For in 2025, its 13th consecutive year on the list, and No. 1 among banks with more than $10 billion in assets.
Forward-Looking Statements
This press release and certain of our other filings with the Securities and Exchange Commission contain statements that constitute “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements. You can identify these forward-looking statements through Pinnacle's use of words such as “believes,” “anticipates,” “expects,” “may,” “will,” “assumes,” “should,” “predicts,” “could,” “would,” “intends,” “targets,” “estimates,” “projects,” “plans,” “potential” and other similar words and expressions of the future or otherwise regarding the outlook for Pinnacle's future business and financial performance and/or the performance of the banking industry and economy in general. These forward-looking statements include, among others, our expectations regarding the anticipated benefits and risks related to the recently-completed business combination with Synovus Financial Corp., our future operating and financial performance; expectations on our intended strategies, initiatives, and other operational and execution goals; expectations on credit quality and performance; and the assumptions underlying our expectations. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risks and uncertainties which may cause the actual results, performance or achievements of Pinnacle to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are based on the information known to, and current beliefs and expectations of, Pinnacle's management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by such forward-looking statements. A number of factors could cause actual results to differ materially from those contemplated by the forward-looking statements in this press release. Many of these factors are beyond Pinnacle's ability to control or predict.
These forward-looking statements are based upon information presently known to management and are inherently subjective, uncertain and subject to change due to any number of risks and uncertainties, including, without limitation, the risks and other factors set forth in Pinnacle's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2025, under the captions “Cautionary Notice Regarding Forward-Looking Statements” and “Risk Factors” and in Pinnacle's quarterly reports on Form 10-Q, current reports on Form 8-K and other filings and reports filed with the Securities and Exchange Commission. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise, except as otherwise may be required by law.
PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME – UNAUDITED
INCOME STATEMENT DATA
2026
2025
First Quarter
(In millions, except per share data)
First Quarter
Fourth Quarter
First Quarter
'26 vs '25
% Change
Interest income
$
1,514
712
669
126
%
Interest expense
581
304
304
91
Net interest income
933
408
365
156
Provision for (reversal of) credit losses
76
34
17
347
Net interest income after provision for credit losses
857
374
348
146
Non-interest revenue:
Core banking fees
91
36
32
184
Wealth management revenue
84
37
33
155
Income from equity method investment
31
31
20
55
Capital markets income
18
3
3
500
Total loan sales and servicing
10
4
6
67
Income from bank-owned life insurance
20
12
10
100
Investment securities gains (losses), net
3
(4
)
(13
)
(123
)
Other non-interest revenue
27
14
6
350
Total non-interest revenue
284
133
97
192
Non-interest expense:
Salaries and other personnel expense
396
181
172
130
Net occupancy, equipment, and software expense
97
48
42
131
Amortization of intangibles
48
1
1
nm
FDIC insurance and other regulatory fees
23
2
11
109
Merger-related expense
275
13
—
nm
Other operating expenses
113
56
49
131
Total non-interest expense
952
301
275
246
Income before income taxes
189
206
170
11
Income tax expense
39
36
30
31
Net income
150
170
140
7
Less: Preferred stock dividends
15
4
4
275
Net income available to common shareholders
$
135
166
136
(1
)%
Per share information:
Net income per common share, basic
$
0.89
2.16
1.78
(50
)%
Net income per common share, diluted
0.89
2.13
1.77
(50
)
Cash dividends declared per common share
0.50
0.24
0.24
108
Return on average assets *
0.50
%
1.19
%
1.08
%
(58) bps
Return on average common equity *
3.96
9.76
8.80
(484) bps
Weighted average common shares outstanding, basic
151
77
77
96
%
Weighted average common shares outstanding, diluted
151
78
77
96
nm - not meaningful
bps - basis points
* - ratios are annualized
Amounts may not total due to rounding and percentage changes are calculated using unrounded amounts and may differ from calculations based on rounded figures.
Prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS – UNAUDITED
March 31, 2026
December 31, 2025
March 31, 2025
(In millions)
ASSETS
Cash and due from banks
$
609
$
359
$
346
Federal funds sold, securities purchased under resale agreements, and interest earning deposits with banks
5,309
3,206
3,532
Cash, cash equivalents, and restricted cash
5,918
3,565
3,878
Investment securities held to maturity
2,539
2,591
2,769
Investment securities available for sale
16,939
6,567
5,950
Loans held for sale
251
97
155
Loans, net of deferred fees and costs
85,197
39,154
36,137
Allowance for loan losses
(942
)
(442
)
(417
)
Loans, net
84,255
38,712
35,720
Cash surrender value of bank-owned life insurance
2,181
1,223
1,140
Premises, equipment, and software, net
907
352
333
Goodwill
3,478
1,849
1,849
Core deposits and other intangible assets, net
1,091
30
20
Other assets
5,207
2,720
2,440
Total assets
$
122,766
$
57,706
$
54,254
LIABILITIES AND EQUITY
Liabilities:
Deposits:
Non-interest-bearing deposits
$
20,388
$
9,051
$
8,510
Interest-bearing deposits
79,715
38,350
35,972
Total deposits
100,103
47,401
44,482
Federal funds purchased and securities sold under repurchase agreements
308
316
264
FHLB advances and other borrowings
5,741
2,205
2,312
Other liabilities
2,020
740
653
Total liabilities
108,172
50,662
47,711
Equity:
Shareholders' equity:
Preferred stock - no par value. Authorized 110 million shares at Mar 31, 2026 and 10 million shares at Dec 31, 2025 and Mar 31, 2025, respectively; 225,000 shares, liquidation preference $225 million, 22 million shares issued and outstanding at Mar 31, 2026, and 225,000 shares, liquidation preference $225 million, issued and outstanding at Dec 31, 2025 and Mar 31, 2025, respectively
781
217
217
Common stock - $1.00 par value. Authorized 360 million shares at Mar 31, 2026 and 180 million shares authorized at Dec 31, 2025 and Mar 31, 2025, respectively; issued and outstanding 151 million, 78 million and, 78 million, respectively
151
78
78
Additional paid-in capital
10,102
3,144
3,121
Accumulated other comprehensive income (loss), net
(225
)
(123
)
(166
)
Retained earnings
3,785
3,728
3,294
Total equity
14,594
7,044
6,543
Total liabilities and equity
$
122,766
$
57,706
$
54,254
Amounts may not total due to rounding prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
AVERAGE BALANCES, INTEREST, AND YIELDS/RATES
(Unaudited)
First Quarter 2026
First Quarter 2025
(dollars in millions)
Average Balance
Interest
Yield/
Rate
Average Balance
Interest
Yield/
Rate
Assets
Loans, net of deferred fees and costs (1)(2)
$
83,691
$
1,267
6.14
%
$
36,042
$
556
6.24
%
Tax-exempt securities (2)(3)
3,344
33
3.99
3,247
30
3.76
Taxable securities (3)
15,644
171
4.37
5,433
62
4.62
Interest-earning deposits with banks
5,224
47
3.67
2,645
29
4.43
Federal funds sold and securities purchased under resale agreements
148
2
6.08
58
2
11.35
Other earning assets (4)
666
8
4.28
255
3
5.06
Total interest earning assets
108,717
1,528
5.70
%
47,680
682
5.79
%
Goodwill
3,583
1,849
Core deposits and other intangible assets, net
1,079
21
Other assets (5)
7,868
2,976
Total assets
$
121,247
$
52,526
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing demand deposits
$
30,004
$
186
2.51
%
$
14,136
$
112
3.21
%
Money market accounts
33,390
214
2.59
15,541
118
3.08
Savings deposits
1,824
2
0.40
804
1
0.45
Time deposits
13,662
119
3.53
4,331
43
4.01
Federal funds purchased and securities sold under repurchase agreements
344
1
1.45
231
1
1.78
FHLB advances and other borrowings
4,723
59
5.08
2,305
29
5.16
Total interest-bearing liabilities
83,947
581
2.81
%
37,348
304
3.30
%
Non-interest-bearing demand deposits
20,289
8,207
Other liabilities
2,424
455
Total equity
14,587
6,516
Total liabilities and equity
$
121,247
$
52,526
Net interest income and net interest margin, taxable equivalent (2)(6)
$
947
3.53
%
$
378
3.21
%
Less: taxable-equivalent adjustment
14
13
Net interest income
$
933
$
365
(1) Average loans are shown net of unearned income. NPLs are included. Interest income includes fees as follows: First Quarter 2026 — $15.2 million, and First Quarter 2025 — $9.5 million.
(2) Reflects taxable-equivalent adjustments, using the statutory federal tax rate of 21%, in adjusting interest on tax-exempt loans and securities to a taxable-equivalent basis.
(3) Securities are included on an amortized cost basis with yield and net interest margin calculated accordingly.
(4) Includes loans held for sale, trading account assets, and FHLB and Federal Reserve Bank Stock.
(5) As a result of the merger, during the first quarter 2026, certain immaterial changes were made to integrate the presentation of the legacy banks' yield on investment securities, which included presenting average unrealized losses on investment securities available for sale of $(97.9) million as a component of other assets.
(6) The net interest margin is calculated by dividing annualized net interest income-taxable equivalent (TE) by average total interest earning assets.
Amounts may not total due to rounding
PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
LOANS OUTSTANDING BY TYPE
(Unaudited)
(Dollars in millions)
Total Loans
Total Loans
Linked Quarter
Loan Type
March 31, 2026
December 31, 2025
% Change
Commercial, Financial, and Agricultural
$
34,151
$
16,549
106
%
Owner-Occupied
14,046
5,747
144
Total Commercial & Industrial
48,197
22,296
116
Multi-Family
7,073
3,433
106
Hotels
2,554
573
345
Office Buildings
2,759
1,176
135
Shopping Centers
3,356
1,307
157
Warehouses
3,101
2,087
49
Other Investment Property
2,045
919
123
Total Investment Properties
20,888
9,496
120
1-4 Family Construction
769
524
47
1-4 Family Investment Mortgage
1,166
761
53
Total 1-4 Family Properties
1,935
1,284
51
Commercial Development
293
175
68
Residential Development
377
273
38
Land Acquisition
268
128
109
Land and Development
937
576
63
Total Commercial Real Estate
23,760
11,357
109
Consumer Mortgages
8,234
3,456
138
Home Equity
3,157
1,374
130
Credit Cards
227
53
329
Other Consumer Loans
1,622
619
162
Total Consumer
13,240
5,501
141
Total
$
85,197
$
39,154
118
%
NON-PERFORMING LOANS COMPOSITION
(Unaudited)
(Dollars in millions)
Total
Non-performing Loans
Total
Non-performing Loans
Linked Quarter
Loan Type
March 31, 2026
December 31, 2025
% Change
Commercial, Financial, and Agricultural
$
174
$
49
256
%
Owner-Occupied
74
6
nm
Total Commercial & Industrial
247
54
355
Multi-Family
35
34
2
Office Buildings
34
4
810
Shopping Centers
2
—
nm
Other Investment Property
50
10
412
Total Investment Properties
121
48
152
1-4 Family Construction
1
—
nm
1-4 Family Investment Mortgage
4
2
138
Total 1-4 Family Properties
5
2
139
Land and Development
—
—
nm
Total Commercial Real Estate
126
50
152
Consumer Mortgages
61
23
169
Home Equity
18
6
208
Other Consumer Loans
7
—
nm
Total Consumer
85
29
195
Total
$
459
$
133
244
%
nm - not meaningful
Amounts may not total due to rounding and percentage changes are calculated using unrounded amounts and may differ from calculations based on rounded figures.
Prior periods' consolidated financial statements are reclassified whenever necessary to conform to the current periods' presentation.
PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
CREDIT QUALITY DATA
(Unaudited)
(Dollars in millions)
2026
2025
First Quarter
First
Fourth
First
'26 vs '25
Quarter
Quarter
Quarter
% Change
Non-performing Loans (NPLs)
$
459
133
171
168
%
Other Real Estate and Other Assets
32
8
4
nm
Non-performing Assets (NPAs)
491
141
175
181
Allowance for Loan Losses (ALL)
942
442
417
126
Reserve for Unfunded Commitments
72
16
12
500
Allowance for Credit Losses (ACL)
1,014
458
430
136
Net Charge-Offs - Quarter
49
27
14
Net Charge-Offs - YTD
49
77
14
Net Charge-Offs / Average Loans - Quarter (1)
0.23
%
0.28
0.16
Net Charge-Offs / Average Loans - YTD (1)
0.23
0.21
0.16
NPLs / Loans
0.54
0.34
0.47
NPAs / Loans, ORE and specific other assets
0.58
0.36
0.48
ACL/Loans
1.19
1.17
1.19
ALL/Loans
1.11
1.13
1.16
ACL/NPLs
221.03
343.19
250.59
ALL/NPLs
205.21
331.09
243.32
Past Due Loans over 90 days and Still Accruing
$
8
3
4
100
As a Percentage of Loans Outstanding
0.01
%
0.01
0.01
Total Past Due Loans and Still Accruing
$
117
57
52
125
As a Percentage of Loans Outstanding
0.14
%
0.14
0.14
(1) Ratio is annualized.
Amounts may not total due to rounding and percentage changes are calculated using unrounded amounts and may differ from calculations based on rounded figures.
SELECTED CAPITAL INFORMATION (1)
(Unaudited)
(Dollars in millions)
March 31,
2026
December 31,
2025
Common Equity Tier 1 Capital Ratio
9.83
%
10.88
Tier 1 Capital Ratio
10.62
11.34
Total Risk-Based Capital Ratio
12.34
12.97
Tier 1 Leverage Ratio
8.93
9.57
Total Shareholders' Equity as a Percentage of Total Assets
11.89
12.21
Tangible Common Equity Ratio (2)
7.82
8.86
Book Value Per Common Share (3)
$
91.42
87.90
Tangible Book Value Per Common Share (4)
61.18
63.71
(1) Current quarter regulatory capital information is preliminary.
(2) See "Non-GAAP Financial Measures" for applicable reconciliation.
(3) Book Value Per Common Share consists of Total Shareholders’ Equity less Preferred Stock divided by total common shares outstanding.
(4) Tangible Book Value Per Common Share consists of Total Shareholders’ Equity less Preferred Stock and less the carrying value of goodwill and other intangible assets divided by total common shares outstanding.
Non-GAAP Financial Measures
The measures entitled adjusted non-interest revenue, non-interest expense; adjusted revenue taxable equivalent (TE); adjusted tangible efficiency ratio; adjusted pre-provision net revenue (PPNR); adjusted return on average assets; adjusted net income available to common shareholders; adjusted diluted earnings per share; adjusted return on average common equity; return on average tangible common equity; adjusted return on average tangible common equity; tangible common equity ratio; and tangible book value per common share are not measures recognized under GAAP and therefore are considered non-GAAP financial measures. The most comparable GAAP measures to these measures are total non-interest revenue; total non-interest expense; total revenue; efficiency ratio-TE; PPNR; return on average assets; net income available to common shareholders; diluted earnings per share; return on average common equity; the ratio of total shareholders' equity to total assets and book value per common share, respectively.
Management believes that these non-GAAP financial measures provide meaningful additional information about Pinnacle to assist management and investors in evaluating its operating results, financial strength, the performance of its business, and the strength of its capital position. However, these non-GAAP financial measures have inherent limitations as analytical tools and should not be considered in isolation or as a substitute for analyses of operating results or capital position as reported under GAAP. The non-GAAP financial measures should be considered as additional views of the way our financial measures are affected by significant items and other factors, and since they are not required to be uniformly applied, they may not be comparable to other similarly titled measures at other companies. Adjusted non-interest revenue and adjusted revenue (TE) are measures used by management to evaluate non-interest revenue exclusive of net investment securities gains (losses), fair value adjustments on non-qualified deferred compensation and other items not indicative of ongoing operations that could impact period-to-period comparisons. Adjusted non-interest expense and the adjusted tangible efficiency ratio are measures utilized by management to measure the success of expense management initiatives focused on reducing recurring controllable operating costs. Adjusted net income available to common shareholders, adjusted net income per common share, diluted, adjusted return on average assets and adjusted return on average common equity are measures used by management to evaluate operating results exclusive of items that are not indicative of ongoing operations and impact period-to-period comparisons. Adjusted PPNR is used by management to evaluate PPNR exclusive of items that management believes are not indicative of ongoing operations and impact period-to-period comparisons. Return on average tangible common equity and adjusted return on average tangible common equity are measures used by management to compare Pinnacle's performance with other financial institutions because it calculates the return available to common shareholders without the impact of intangible assets and their related amortization, thereby allowing management to evaluate the performance of the business consistently. The tangible common equity ratio is used by stakeholders to assess our capital position. Tangible book value per common share is used by stakeholders to assess our financial stability and value. The computations of these measures are set forth in the tables below.
Reconciliation of Non-GAAP Financial Measures
(dollars in millions)
1Q26
4Q25
1Q25
Adjusted non-interest revenue
Total non-interest revenue
$
284
$
133
$
97
Investment securities (gains) losses, net
(3
)
4
13
Fair value adjustment on non-qualified deferred compensation
1
—
—
Adjusted non-interest revenue
$
282
$
137
$
110
Adjusted non-interest expense
Total non-interest expense
$
952
$
301
$
275
Merger-related expense
(275
)
(13
)
—
FDIC Special Assessment
—
8
—
Valuation adjustment to Visa derivative
(1
)
—
—
Fair value adjustment on non-qualified deferred compensation
1
—
—
Adjusted non-interest expense
$
677
$
296
$
275
Reconciliation of Non-GAAP Financial Measures, continued
(dollars in millions)
1Q26
4Q25
1Q25
Adjusted revenue (TE) and tangible efficiency ratio
Adjusted non-interest expense
$
677
$
296
$
275
Amortization of intangibles
(48
)
(1
)
(1
)
Adjusted tangible non-interest expense
$
629
$
295
$
274
Net interest income
$
933
$
408
$
365
Tax equivalent adjustment
14
17
13
Net interest income (TE)
947
425
378
Net interest income
$
933
$
408
$
365
Total non-interest revenue
284
133
97
Total revenue
$
1,217
$
541
$
462
Tax equivalent adjustment
14
17
13
Total TE revenue
1,231
558
475
Investment securities losses (gains), net
(3
)
4
13
Fair value adjustment on non-qualified deferred compensation
1
—
—
Adjusted revenue (TE)
$
1,229
$
562
$
488
Efficiency ratio-TE (1)
77.4
%
54.0
%
58.0
%
Adjusted tangible efficiency ratio (1)
51.3
52.3
56.2
Adjusted pre-provision net revenue
Net interest income
$
933
$
408
$
365
Total non-interest revenue
284
133
97
Total non-interest expense
(952
)
(301
)
(275
)
Pre-provision net revenue (PPNR)
$
265
$
240
$
187
Adjusted revenue (TE)
$
1,229
$
562
$
488
Adjusted non-interest expense
(677
)
(296
)
(275
)
Adjusted PPNR
$
551
$
267
$
212
(1) Amounts have been calculated using whole dollar values.
Amounts may not total due to rounding
Reconciliation of Non-GAAP Financial Measures, continued
(In millions, except per share data)
1Q26
4Q25
1Q25
Adjusted return on average assets (annualized)
Net income
$
150
$
170
$
140
Valuation adjustment to Visa derivative
1
—
—
Investment securities losses (gains), net
(3
)
4
13
Merger-related expense (1)
275
13
—
FDIC Special Assessment
—
(8
)
—
Tax effect of adjustments (2)
(45
)
(2
)
(3
)
Adjusted net income
$
378
$
177
$
150
Net income annualized (3)
$
606
$
674
$
569
Adjusted net income annualized (3)
$
1,531
$
704
$
607
Total average assets
$
121,247
$
56,706
$
52,526
Return on average assets (annualized) (3)
0.50
%
1.19
%
1.08
%
Adjusted return on average assets (annualized) (3)
1.26
1.24
1.16
Adjusted net income available to common shareholders and adjusted diluted earnings per share
Net income available to common shareholders
$
135
$
166
$
136
Valuation adjustment to Visa derivative
1
—
—
Investment securities losses (gains), net
(3
)
4
13
Merger-related expense (1)
275
13
—
FDIC Special Assessment
—
(8
)
—
Tax effect of adjustments (2)
(45
)
(2
)
(3
)
Adjusted net income available to common shareholders
$
363
$
173
$
146
Weighted average common shares outstanding, diluted
151
78
77
Diluted earnings per share (3)
$
0.89
$
2.13
$
1.77
Adjusted diluted earnings per share (3)
2.39
2.24
1.90
(1) A portion of this item was non-taxable.
(2) A blended tax rate of 16.4% was applied for 2026 which takes into consideration the deductibility and non-deductibility of certain merger-related expense items for tax purposes. For 2025 an assumed marginal tax rate of 25% was applied.
(3) Amounts have been calculated using whole dollar values.
Amounts may not total due to rounding
Reconciliation of Non-GAAP Financial Measures, continued
(dollars in millions)
1Q26
4Q25
1Q25
Adjusted return on average common equity, return on average tangible common equity, and adjusted return on average tangible common equity (annualized)
Net income available to common shareholders
$
135
$
166
$
136
Valuation adjustment to Visa derivative
1
—
—
Investment securities losses (gains), net
(3
)
4
13
Merger-related expense (1)
275
13
—
FDIC Special Assessment
—
(8
)
—
Tax effect of adjustments (2)
(45
)
(2
)
(3
)
Adjusted net income available to common shareholders
$
363
$
173
$
146
Adjusted net income available to common shareholders annualized (3)
$
1,471
$
689
$
591
Amortization of intangibles, tax effected, annualized (2)(3)
147
4
4
Adjusted net income available to common shareholders excluding amortization of intangibles annualized (3)
$
1,618
$
693
$
595
Net income available to common shareholders annualized (3)
$
546
$
659
$
553
Amortization of intangibles, tax effected, annualized (2)(3)
147
4
4
Net income available to common shareholders excluding amortization of intangibles annualized (3)
$
693
$
663
$
557
Total average shareholders' equity less preferred stock
$
13,805
$
6,750
$
6,299
Average goodwill
(3,583
)
(1,849
)
(1,849
)
Average other intangible assets, net
(1,079
)
(24
)
(21
)
Total average tangible shareholders' equity less preferred stock
$
9,144
$
4,877
$
4,429
Return on average common equity (annualized) (3)
3.96
%
9.76
%
8.80
%
Adjusted return on average common equity (annualized) (3)
10.65
10.20
9.40
Return on average tangible common equity (annualized) (3)
7.58
13.59
12.61
Adjusted return on average tangible common equity (annualized) (3)
17.69
14.19
13.47
(1) A portion of this item was non-taxable.
(2) A blended tax rate of 16.4% was applied for 2026 which takes into consideration the deductibility and non-deductibility of certain merger-related expense items for tax purposes, with the exception of amortization of intangibles which applied an assumed 24% marginal rate. For 2025 an assumed marginal tax rate of 25% was applied.
(3) Amounts have been calculated using whole dollar values.
Amounts may not total due to rounding
(dollars in millions)
March 31, 2026
December 31, 2025
March 31, 2025
Tangible common equity ratio
Total assets
$
122,766
$
57,706
$
54,254
Goodwill
(3,478
)
(1,849
)
(1,849
)
Core deposits and other intangible assets, net
(1,091
)
(30
)
(20
)
Tangible assets
$
118,196
$
55,827
$
52,385
Total shareholders’ equity
$
14,594
$
7,044
$
6,543
Goodwill
(3,478
)
(1,849
)
(1,849
)
Core deposits and other intangible assets, net
(1,091
)
(30
)
(20
)
Preferred Stock, no par value
(781
)
(217
)
(217
)
Tangible common equity
$
9,244
$
4,948
$
4,457
Total shareholders’ equity to total assets ratio (1)
11.89
%
12.21
%
12.06
%
Tangible common equity ratio (1)
7.82
8.86
8.51
Tangible common equity
$
9,244
$
4,948
$
4,457
Common shares outstanding
151
78
78
Book value per common share (1)
$
91.42
87.90
81.57
Tangible book value per common share (1)
$
61.18
$
63.71
$
57.47
(1) Amounts have been calculated using whole dollar values.
Amounts may not total due to rounding