Zions Posts Quarterly Profit of $262 Million and Buys Back $75 Million in Shares
Key Facts
Zions Bancorporation reported net income of $262 million and diluted earnings per share of $1.78 in the third quarter of 2026, according to results published by the company on October 19. Net income was higher than the $221 million in the same period a year earlier, while earnings per share rose from $1.48. The chairman and chief executive said earnings per share increased 20% year over year. He attributed the improvement in earnings mainly to better credit quality. Third-quarter figures show net loan charge-offs fell to $3 million from $56 million a year earlier.
On shareholder returns, the common stock dividend was $0.48 per share in the third quarter, compared with $0.45 in the third quarter of 2025. The company repurchased 1.1 million common shares for $75 million during the quarter. It said it had not repurchased common shares in the same period a year earlier. These figures describe activity during the third quarter and do not establish a new announcement on October 30.
The company had previously announced on May 1 an authorization to repurchase up to $225 million in shares for the remainder of 2026, saying this raised its full-year repurchase target to $300 million. The company tied the timing and amount of any purchases to market conditions, regulatory requirements and other factors. It added that the board could adjust the activity at its discretion. The May announcement alone does not establish that the company issued a new authorization on October 30.
Net interest income was $684 million in the third quarter, up 2% year over year. The company attributed the increase mainly to lower funding costs and changes in the balance-sheet mix. Total deposits were $77.9 billion, up 4% from the same period. Customer deposits excluding brokered deposits were $74.5 billion, an increase of 5%. These indicators put earnings growth and the return of capital to shareholders in the context of deposit and interest income performance during the quarter.
The company estimated its Common Equity Tier 1 (CET1) capital ratio at 11.8% in the third quarter, compared with 11.3% in the same period a year earlier. In its second-quarter report, it said total shareholders’ equity was $7.7 billion on June 30, up $501 million, or 7%, from the end of 2025. It also repurchased 1.2 million shares for $75 million in the second quarter, and 1.3 million shares for $77 million in the first quarter. These figures show repurchases in previous quarters alongside the purchases recorded in the third quarter. They do not support a description of the share-price movement following an October 30 announcement.
On the operating outlook, the chief executive said the company expects noninterest income to continue improving into next year. He added that the moderately asset-sensitive balance sheet should support stronger net interest income in a higher interest-rate environment. The statement provided did not specify a later date for a new announcement on repurchases or dividends. The $0.48 per-share third-quarter dividend was the distribution reported in the earnings release, with no available evidence of a separate new announcement on October 30.