Financial Data and Key Metrics Changes - The company reported earnings of $0.80 per share in Q4 and $2.77 per share for the full year, marking the strongest net income in its history [7][8] - Total loans grew by 1% quarter-over-quarter and 5% year-over-year, with C&I loans being a primary growth driver [7][8] - Net interest income (NII) reached a record $310 million in Q4, up 15% for the year, while the net interest margin (NIM) was above 3% for the year, 50 basis points higher than 2020 [8][10] Business Line Data and Key Metrics Changes - C&I loans grew by over $1.2 billion in 2025, with a 2% increase in Q4 alone [7][8] - Core customer deposits increased by nearly $700 million in Q4 and $1 billion for the year, representing a 3.5% growth rate year-over-year [8][20] - Non-interest income for Q4 was $79 million, down slightly from Q3 but up from the previous year, supported by growth in wealth management and card fees [25][26] Market Data and Key Metrics Changes - The company is expanding its presence in major metropolitan markets, including Omaha and the Twin Cities, where it aims to deepen its market share [6][14] - The acquisition of American National Corporation is expected to enhance growth prospects in these markets [5][6] Company Strategy and Development Direction - The company completed major investments from its strategic plan in March 2025, positioning it for growth in 2026 and beyond [3][4] - Plans for 2026 include significant investments in marketing and hiring to accelerate organic growth in key markets [16][17] - The focus remains on high-quality commercial relationships and maintaining a low-risk profile [6][7] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's momentum heading into 2026, citing strong organic growth and profitability [7][33] - The company anticipates continued loan growth of 5%-6% and core customer deposit growth of 5%-6% in 2026, excluding the impact of the American National acquisition [21][19] Other Important Information - The efficiency ratio improved, decreasing by over 700 basis points from 2020 to 2025, indicating better cost management [11] - The company maintained a strong capital position, with a TCE ratio of 8.29% and a CET1 ratio of 10.49% [28] Q&A Session Summary Question: Non-interest income guidance - Management indicated that they do not have updates on financials related to the American National acquisition but are optimistic about the strategic alignment of the franchises [36][38] Question: Investments in key cities for 2026 - Management confirmed a 3% expense growth target and emphasized the importance of maintaining a balance between investments and cost reductions [40][41] Question: Loan and deposit growth expectations - Management expects significant loan growth from new hires and a strong pipeline, with a forecast of $1.2 billion in C&I growth for 2026 [44][45] Question: Capital management and buybacks - The primary focus remains on organic growth, with capital reserved for business investments rather than buybacks at this time [75][78] Question: Credit quality concerns - Management reported no significant stress in portfolios currently, with positive signs in commercial real estate paydowns [79][80] Question: Deposit mix changes - Management anticipates a shift towards demand deposit accounts as they focus on acquiring more households and commercial relationships [92][93]

Financial Data and Key Metrics Changes - The company reported earnings of $0.80 per share in Q4 and $2.77 per share for the full year, marking the strongest net income in its history [6][30] - Total loans grew by 1% quarter-over-quarter and 5% year-over-year, with C&I loans being a primary growth driver [6][7] - Net interest income (NII) reached a record $310 million in Q4, up 15% for the year, with a net interest margin (NIM) of over 3% for the year [8][10] Business Line Data and Key Metrics Changes - C&I loans grew by over $1.2 billion in 2025, with a 2% increase in Q4 alone [4][7] - Core customer deposits increased by nearly $700 million in Q4 and $1 billion for the year, reflecting a 3.5% growth rate year-over-year [8][19] - Non-interest income for Q4 was $79 million, down slightly from Q3 but up from the previous year, driven by growth in wealth management and card fees [24] Market Data and Key Metrics Changes - The company is expanding its presence in major metropolitan markets, including Omaha and the Twin Cities, where it aims to deepen market share [5][13] - The acquisition of American National Corporation is expected to enhance growth prospects in these markets [5][30] Company Strategy and Development Direction - The company completed major investments from its strategic plan in March 2025, positioning it for growth in 2026 and beyond [3][4] - Plans for 2026 include increasing marketing spend by over 100% in key markets to drive household growth [15] - The focus remains on high-quality commercial relationships and maintaining a low-risk profile while expanding [6][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth momentum and profitability, anticipating continued organic growth in 2026 [6][30] - The economic outlook includes expectations of two Fed rate cuts in 2026, which could impact net interest income positively [22][30] Other Important Information - The company has maintained a disciplined approach to credit, with low charge-offs and improving asset quality [9][29] - Capital ratios increased, with the tangible common equity ratio at 8.29% and the CET1 ratio at 10.49% [26] Q&A Session Summary Question: Non-interest income guidance excluding American National - Management indicated that they do not have updates on financial impacts from the acquisition yet, but they are optimistic about the strategic alignment of the franchises [31][32] Question: Investments in targeted cities for 2026 - Management confirmed that they expect to see a significant increase in marketing expenses in Omaha and Minneapolis, with hires for relationship managers already underway [34][36] Question: Loan and deposit growth expectations from new hires - Management expects that new hires will contribute to loan growth in 2026, with a forecast of $1.2 billion in C&I growth [37] Question: Capital considerations for buybacks - The primary focus remains on organic growth and executing the acquisition, with capital decisions to be made based on future profitability [49] Question: Credit metrics and portfolio concerns - Management reported no significant stress in the portfolio, with positive signs in commercial real estate paydowns [51]

Associated Banc-Corp Fourth Quarter 2025 Earnings Presentation January 22, 2026 This presentation includes certain non-GAAP financial measures. These financial measures have been included as they provide meaningful supplemental information to assess trends in the Corporation's results of operations. These non-GAAP measures are provided in addition to, and not as substitutes for, measures of our financial performance determined in accordance with GAAP. Our calculation of these non-GAAP measures may not be co ...

Financial Performance - Associated Banc-Corp reported record annual net income available to common equity of $463 million, or $2.77 per common share for 2025, compared to $112 million, or $0.72 per common share for 2024[1]. - The company achieved record net interest income of $1.2 billion, reflecting a 15% increase from 2024, with a net interest margin of 3.03%[12]. - Noninterest income for 2025 was $286 million, significantly impacted by nonrecurring items from a balance sheet repositioning[15]. - Full year 2025 noninterest expense was $856 million, a 5% increase from 2024, with personnel expenses rising by $34 million[20]. - Net income for Q4 2025 was $137,129,000, a turnaround from a loss of $161,615,000 in Q4 2024, with year-to-date net income of $474,777,000[35]. - Earnings per common share for Q4 2025 was $0.81, compared to a loss of $1.04 in Q4 2024, with year-to-date earnings of $2.79[35]. - The corporation's return on average tangible common equity (ROATCE) improved to 12.31% from previous periods, indicating enhanced profitability[56]. Loan and Deposit Growth - Total period end loans reached $31.2 billion, a 5% increase from 2024, while total period end deposits were $35.6 billion, up 3% from the previous year[4]. - The bank's loans increased by $211.7 million to $31.2 billion compared to the previous quarter, reflecting a year-over-year growth of $1.4 billion[33]. - Total deposits rose by $670.8 million to $35.6 billion, marking a significant increase of $904.2 million year-over-year[33]. - Total loans increased to $30.59 billion in 2025, up from $29.70 billion in 2024, reflecting a growth of 3.0%[40]. - Total deposits rose by 2% quarter-over-quarter to $35,552,608, compared to $34,881,853[42]. Credit Quality and Provision for Losses - The provision for credit losses for 2025 was $54 million, down from $85 million in the prior year, indicating improved credit quality[25]. - Provision for credit losses decreased by 59% to $6,998,000 in Q4 2025, resulting in a year-to-date reduction of 36% to $53,996,000[35]. - The provision for loan losses decreased significantly by 87% to $2,000 from $15,000 in the previous quarter[45]. - Nonaccrual loans decreased by 5% to $100,428 from 106,179 in the previous quarter[46]. - The allowance for credit losses on loans to total loans ratio remained stable at 1.35%[46]. Capital and Regulatory Ratios - The company's CET1 capital ratio stood at 10.49% as of December 31, 2025, exceeding Basel III regulatory benchmarks[26]. - Common equity Tier 1 capital ratio improved to 10.49% in Q4 2025, compared to 10.33% in Q4 2024, showing a 1.55% increase[48]. - Stockholders' equity increased by $107.0 million to $5.0 billion, reflecting strong capital management strategies[33]. - Total risk-weighted assets reached $35.13 billion as of December 31, 2025, up from $34.69 billion a year earlier, representing a 1.27% increase[48]. Future Expectations - For 2026, the company expects total period end loan growth of 5% to 6% and total deposit growth of 5% to 6%, excluding the impact of the acquisition of American National Corporation[6][11]. - The company anticipates total net interest income growth of 5.5% to 6.5% in 2026, excluding the acquisition impact[14]. - The expected annual effective tax rate for 2026 is projected to be between 19% and 21%[24]. Strategic Transactions - The company is actively pursuing a proposed transaction with American National Bank, which may impact future operations and financial performance[30]. - The corporation announced a definitive agreement to acquire American National, incurring nonrecurring costs associated with the acquisition[55]. Operational Efficiency - Management emphasizes the importance of non-GAAP financial measures to provide a clearer understanding of ongoing operations and earnings adequacy[31]. - The efficiency ratio improved to 56.29% in Q4 2025, down from 67.64% in Q4 2024, indicating a 16.67% improvement[48].

Core Viewpoint - Associated Banc-Corp reported significant growth in net income and earnings per share for the year ended December 31, 2025, marking a strong recovery from the previous year [1][2]. Financial Performance - Net income available to common equity for 2025 was $463 million, or $2.77 per common share, compared to $112 million, or $0.72 per common share in 2024 [1]. - For the fourth quarter of 2025, earnings were $134 million, or $0.80 per common share, a recovery from a loss of $164 million in the same quarter of 2024 [1]. Loan and Deposit Growth - Total loans at the end of Q4 2025 were $31.2 billion, up 1% from the prior quarter and up 5% from the same period last year [5]. - Total deposits at the end of Q4 2025 were $35.6 billion, an increase of 2% from the prior quarter and 3% from the same period last year [6]. Net Interest Income and Margin - Full year 2025 net interest income was $1.2 billion, a 15% increase from 2024, with a net interest margin of 3.03%, up 25 basis points from the previous year [10]. - Q4 2025 net interest income was $310 million, a 2% increase from the prior quarter and a 15% increase from the same period last year [11]. Noninterest Income and Expense - Full year 2025 noninterest income was $286 million, significantly up from the previous year, primarily due to nonrecurring items from a balance sheet repositioning [16]. - Full year 2025 noninterest expense was $856 million, a 5% increase from 2024 [17]. Credit Quality - The provision for credit losses for 2025 was $54 million, down from $85 million in the prior year, indicating improved credit quality [20]. - Nonaccrual loans decreased to $100 million, down 5% from the prior quarter and 19% from the same period last year [22]. Capital Position - The company's CET1 capital ratio was 10.49% at December 31, 2025, exceeding Basel III regulatory benchmarks [23].

Company Overview - Associated Banc-Corp (NYSE:ASB) is a bank holding company based in Green Bay, Wisconsin, providing a variety of banking and nonbanking services to individuals and businesses in Wisconsin, Illinois, and Minnesota [1] - The company operates through three main segments: Corporate and Commercial Specialty, Community, Consumer, and Business, and Risk Management and Shared Services, with 215 banking branches as of the end of 2021 [1] Price Target Analysis - The consensus price target for ASB has shown slight fluctuations over the past year, remaining stable at $29, indicating stability in analysts' expectations [2][5] - A quarter ago, the price target was slightly higher at $29.2, suggesting a minor decrease in optimism or adjustment in valuation models [2][5] - A year ago, the target was $28.8, showing a modest increase over the year [2] Analyst Insights - Analyst Brandon Berman from Neuberger Berman has set a price target of $29 for ASB, aligning with the current consensus, indicating a consistent outlook on the company's performance and potential [3] - Despite anticipated earnings growth, it is suggested that ASB may not have the optimal combination of factors necessary for an earnings beat [3] Comparative Financial Review - A financial review comparing ASB with Central Plains Bancshares (NASDAQ:CPBI) evaluates several factors, including analyst recommendations, earnings, valuation, dividends, risk, profitability, and institutional ownership [4] - Investors are advised to understand the key expectations surrounding ASB's performance, considering broader market conditions and company-specific news [4]

Analysts on Wall Street project that Associated Banc-Corp (ASB) will announce quarterly earnings of $0.69 per share in its forthcoming report, representing an increase of 21.1% year over year. Revenues are projected to reach $379.7 million, increasing 9.8% from the same quarter last year.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Prior to ...

Core Viewpoint - The market anticipates Associated Banc-Corp (ASB) will report a year-over-year increase in earnings driven by higher revenues for the quarter ending December 2025, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - The consensus EPS estimate for Associated Banc-Corp is $0.69 per share, reflecting a year-over-year increase of +21.1% [3]. - Expected revenues for the quarter are $379.7 million, which is a 9.8% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a stable outlook from covering analysts [4]. - The Most Accurate Estimate for Associated Banc-Corp is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.89%, suggesting a bearish sentiment among analysts [12]. Earnings Surprise History - In the last reported quarter, Associated Banc-Corp exceeded the expected EPS of $0.66 by delivering $0.73, resulting in a surprise of +10.61% [13]. - The company has beaten consensus EPS estimates in each of the last four quarters [14]. Industry Comparison - Mercantile Bank (MBWM), another player in the Zacks Banks - Midwest industry, is expected to report an EPS of $1.37 for the same quarter, indicating a year-over-year change of +12.3% [18]. - Mercantile Bank's revenues are projected to be $61.8 million, up 5.6% from the previous year, but its consensus EPS estimate has been revised down by 9.4% over the last 30 days [19].

Core Viewpoint - Edge Total Intelligence Inc. has successfully completed the acquisition of technology assets from Austal Limited, enhancing its capabilities in aviation and marine applications [1][2]. Group 1: Acquisition Details - The acquisition includes a 100% interest in various software products, including a planning software for aviation, a branched LUSI solution, and an enterprise asset management software suite focused on marine applications [1]. - The company issued 6,075,459 subordinate voting shares to Austal as part of the transaction, representing 9.9% of the issued and outstanding shares at a deemed price of C$1.00 per share [2]. Group 2: Rights and Obligations - Austal has been granted a right of first refusal to partner with the company in utilizing the acquired assets in specific global markets, including Australia, the United States, and several other countries [3]. - Austal has the right to nominate one individual for election to the company's board of directors, which will remain until Austal's shareholding falls below 5% for more than 20 consecutive days [3]. Group 3: Transition and Conditions - Key personnel from Austal will transition to the company to ensure continuity of service for Austal's programs and customers [4]. - If the company does not complete an uplisting transaction to NASDAQ or NYSE within 12 months, or if certain conditions are not met, all rights to the acquired assets will revert back to Austal [4]. Group 4: Company Background - Austal is recognized as a global leader in shipbuilding and defense contracting, having built over 300 vessels for more than 100 operators in 54 countries [6]. - Edge Total Intelligence Inc. specializes in real-time digital operations and decision intelligence solutions, aiming to provide clarity and agility in business operations [7].

Core Viewpoint - Associated Banc-Corp is set to release its fourth quarter 2025 financial results on January 22, 2026, after market close, and will host a conference call for investors and analysts at 4:00 p.m. Central Time on the same day [1]. Group 1 - The company has total assets of $44 billion, making it the largest bank holding company based in Wisconsin [3]. - Associated Banc-Corp operates nearly 200 banking locations serving over 100 communities across Wisconsin, Illinois, Minnesota, and Missouri, and has loan production offices in several other states [3]. - The company is committed to being an Equal Housing Lender and Equal Opportunity Lender, and is a member of the FDIC [3]. Group 2 - Interested parties can access the live webcast of the earnings call through the Investor Relations section of the company's website, and can also dial in using provided domestic and international numbers [2]. - Financial tables and a slide presentation will be available on the company's website prior to the call, with an audio archive expected to be available shortly after the call concludes [2].