Hancock Whitney posts $110.1 million profit as adjusted earnings meet estimates
Key Facts
Hancock Whitney reported net income of $110.1 million for the third quarter of 2026, with results affected by charges related to its acquisition of One Florida Bank. The earnings announcement came on October 20, with reported earnings per share of $1.36, according to Investing.com. Net income declined from $127.5 million in the third quarter of 2025, when earnings per share were $1.49. However, adjusted earnings, which exclude acquisition-related items, totaled $1.66 per share, according to the company's filing with the U.S. Securities and Exchange Commission. Adjusted earnings rose $0.11 from the previous quarter and matched analysts' expectations, according to Investing.com.
Acquisition-related charges totaled $30.4 million before tax, according to the filing, reducing earnings per share by $0.30. Reported earnings fell short of analysts' estimates of $1.66 by that amount, according to Investing.com, while earnings excluding those items matched estimates. On revenue, the website reported quarterly revenue of $420.11 million against expectations of $421.75 million. Adjusted pre-provision net revenue totaled $189.3 million, according to figures the company released with its quarterly results. The efficiency ratio improved to 54.46%, alongside the quarter-on-quarter increase in adjusted earnings per share.
On the balance sheet, loans totaled $26.5 billion at the end of September, with the acquisition, commercial real estate and equipment finance contributing to growth, according to the company. Excluding One Florida Bank's balances at acquisition, loans increased by $243 million during the quarter. That equates to annualized quarterly growth of 4%, according to the investor presentation filed with the U.S. Securities and Exchange Commission. On the funding side, deposits totaled $32.2 billion on September 30, 2026, with the acquired bank contributing to their increase. The company said growth in interest-bearing transaction and savings accounts also helped lift deposits during the period.
The tax-equivalent net interest margin was 3.61% in the third quarter, according to Hancock Whitney's filing. Acquisition accounting and the asset mix supported the margin, while deposit costs weighed on it, according to the company. On credit quality, nonaccrual loans rose to $133.3 million at quarter-end. The allowance for credit losses as a percentage of loans held steady at 1.42% compared with the previous quarter, alongside that increase. The company estimated its common equity tier 1 capital ratio at 11.53% at the end of September, among the capital metrics reported with the results.
Hancock Whitney's acquisition of One Florida Bank's parent company became effective on August 1, 2026, according to the announcement of the deal's completion. Expansion in Orlando forms part of the backdrop to the acquisition, which affected loans, deposits and third-quarter charges. Chief Executive John Hairston had linked the choice of the city to its attractive demographics and strong economic fundamentals when the deal was announced. He said at the time: "Orlando has attractive demographics, strong economic fundamentals and significant opportunities to deepen client relationships." Hancock Whitney's network spans Mississippi, Alabama, Florida, Louisiana and Texas, according to the investor relations statement.
In trading, Hancock Whitney shares fell 1.19% after hours to $73.25, according to Investing.com's coverage published after the earnings call. The stock had ended the regular session at $74.13, up 2.25% on the day. The company scheduled its earnings review call for October 20, 2026, at 3:30 p.m. U.S. Central Time. Looking ahead, management expects year-end annual loan growth in the low double digits, according to its investor presentation. On integrating the acquired bank, the company said when announcing the deal's completion that it expected to convert systems during the fourth quarter of 2026.