Core Insights - Linscomb Wealth is expanding its geographic footprint with a new office in The Woodlands, Texas, to enhance its commitment to personalized financial advice in the Greater Houston area [1][2] - The firm is also planning to establish a presence in Nashville, Tennessee, indicating a strategic approach to growth in key markets [3] Company Expansion - The new office in The Woodlands is staffed by Senior Wealth Advisor Nick Ibanez and Wealth Advisor Matt Britton, who will provide a full suite of wealth management services [1] - The expansion aligns with Linscomb's strategic plan initiated in 2019, focusing on markets where its high-touch, team-based approach can resonate with successful families and business owners [2][3] Service Offerings - Both The Woodlands and Nashville locations will offer comprehensive financial planning, investment management, and estate planning services [4] - Linscomb plans to engage with the local communities through professional partnerships, philanthropic efforts, and local events [4] Company Background - Linscomb Wealth is a fee-only wealth management firm founded in 1971, headquartered in Houston, Texas, with multiple offices across the Southeast [5] - The firm operates as a registered investment advisor, providing tailored planning and investment strategies to help clients grow and preserve their wealth [5] Parent Company Information - Cadence Bank, the parent company of Linscomb Wealth, is a $55 billion regional bank with over 390 locations, offering a range of banking and investment services [6] - Cadence Bank has received accolades for being one of the nation's best employers and for its banking services [6]

Core Insights - Cadence Bank has received four Coalition Greenwich Best Bank Awards for its exceptional service in middle market and small business banking, highlighting its commitment to these sectors [1][2][6] - The awards are based on interviews with over 25,000 businesses, showcasing Cadence Bank's strong relationships and trusted advice [3] Awards and Recognition - Cadence Bank was recognized in the following categories: - Best Bank – Overall Satisfaction for Middle Market Banking in the U.S. - Best Bank – Overall Satisfaction for Small Business Banking in the U.S. - Best Bank – Satisfaction in Cash Management for Small Business Banking in the U.S. - Best Bank – Satisfaction with Relationship Management for Small Business Banking in the U.S. (South) [6] Company Overview - Cadence Bank is a $55 billion regional bank with over 390 locations across the South and Texas, offering a range of banking, investment, trust, and mortgage services [5] - The bank has been recognized as one of the nation's best employers and as one of America's Best Banks by Forbes [5]

Financial Data and Key Metrics Changes - Adjusted net income from continuing operations increased to $137.5 million or $0.73 per share, with adjusted ROA at 1.14% for the quarter [9] - Adjusted efficiency ratio improved by 90 basis points to 56.7% [10] - Total adjusted revenue was strong at $476 million, an increase of $28 million or 6% [13] - Net interest revenue increased by $15 million or 4% due to robust loan growth and added securities [13] - Tangible book value improved to $22.94 per share, with regulatory capital levels remaining strong at CET1 of 12.2% [11] Business Line Data and Key Metrics Changes - Organic loan growth was $1.1 billion for the quarter, representing a 12.6% annualized growth rate, with significant contributions from Texas [10] - Core customer deposits increased at a 4.4% annualized rate, primarily in non-interest bearing deposits [11] - Average loans were up over $800 million, while period-end loans grew by $1.4 billion, including $400 million from the First Chatham acquisition [12] Market Data and Key Metrics Changes - The company reported strong performance across various markets, particularly in Texas, Georgia, Florida, and Tennessee, with Texas leading in growth [90] - The company expects solid loan demand for the latter half of the year, projecting full-year loan growth, including acquisitions, to be between 11-15% [20] Company Strategy and Development Direction - The company is focused on expanding its presence in Georgia and Central Texas through recent acquisitions [7] - Management expressed confidence in continuing to grow organically and through strategic partnerships, positioning the company for strength in 2026 [109] Management Comments on Operating Environment and Future Outlook - Management noted that the operating environment is improving, with strong pipelines and robust loan origination activity [54] - The company anticipates continued operating leverage, with expenses expected to increase between 7-9% to support balance sheet growth [20] Other Important Information - The company completed the acquisition of First Chatham Bank on May 1 and closed the acquisition of Industry Bank Shares on July 1 [7] - The company liquidated $1.9 billion of securities from the Industry acquisition and reinvested in securities yielding over 5.25% [19] Q&A Session Summary Question: Can you provide insights on the NII and margin guidance? - Management acknowledged the impact of recent acquisitions on NIM but expressed optimism for future improvements in net interest margin [27][29] Question: What are the expectations for M&A activity? - Management noted increased M&A activity and expressed confidence in executing future transactions within their footprint [32] Question: Can you elaborate on the revenue guidance increase? - Management confirmed that the revenue guidance increase is based on strong organic loan growth and robust pipelines [37] Question: How is loan growth expected to trend moving forward? - Management indicated that the strong loan growth observed in the second quarter is expected to continue, driven by robust pipelines and origination activity [86] Question: What is the outlook for deposit growth? - Management highlighted the strength in core deposit origination and expressed optimism for continued growth in DDAs [67] Question: Any changes in beta expectations with the recent acquisitions? - Management stated that there are no significant changes in beta expectations and that interest rate sensitivity remains consistent [76]

Financial Data and Key Metrics Changes - Adjusted net income from continuing operations increased to $137.5 million or $0.73 per share, with adjusted ROA at 1.14% for the quarter [7] - Adjusted efficiency ratio improved by 90 basis points to 56.7% [8] - Organic loan growth reached $1.1 billion for the quarter, representing a 12.6% annualized growth rate [8] - Core customer deposits increased at a 4.4% annualized rate, with significant growth in non-interest bearing deposits [9] - Tangible book value rose to $22.94 per share, with CET1 regulatory capital at 12.2% [9] Business Line Data and Key Metrics Changes - Average loans increased by over $800 million, while period-end loans grew by $1.4 billion, including $400 million from the First Chatham acquisition [10] - Non-interest revenue increased by $13 million or 15% compared to the first quarter, driven by strong performance in mortgage originations and wealth management [13] - Adjusted non-interest expense rose by $11.7 million, primarily due to the First Chatham acquisition and business growth [14] Market Data and Key Metrics Changes - The company reported strong loan growth across various geographies and verticals, with Texas showing the highest growth [8] - Non-interest bearing deposits as a percentage of total deposits increased to 22.6% [11] - The net interest margin (NIM) declined by six basis points to 3.4%, but loan yields increased to 6.34% [12] Company Strategy and Development Direction - The company is focused on expanding its presence in Georgia and Central Texas through recent acquisitions [6] - Future loan growth is expected to be between 11-15% for the full year, supported by strong pipelines and acquisitions [18] - The company aims to continue investing in its future while maintaining stable credit and strong EPS performance [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving growth through both organic means and strategic partnerships [111] - The company anticipates continued strong loan demand and revenue growth in the latter half of the year [18] - Management noted that the current operating environment is favorable, with strong pipelines and borrower activity [50][86] Other Important Information - The company completed the acquisition of Industry Bank shares and First Chatham Bank, enhancing its market position [6] - The company liquidated a significant portion of the municipal portfolio acquired from Industry Bank, reinvesting the proceeds into higher-yielding securities [16] Q&A Session Summary Question: Can you provide insights on the NII and margin guidance? - Management indicated that they expect continued improvement in net interest margin as new loans are coming in at higher rates, despite some initial negative impacts from security purchases [21][24] Question: What are the expectations for M&A activity? - Management noted an increase in M&A activity and expressed confidence in executing future transactions within their existing footprint [28][30] Question: Can you elaborate on the revenue guidance increase? - The revenue guidance increase is based on strong loan growth and a healthy pipeline, with expectations for organic revenue growth [34] Question: How is the loan growth trend expected to continue? - Management believes the strong loan growth is sustainable and reflects a real change in demand rather than a temporary rebound [83][86] Question: What is the outlook for deposit growth? - Management is optimistic about continued growth in core deposits, particularly in DDA, and sees potential for further compression in CD costs [63][66] Question: Any changes in credit quality or classified loans? - Management reported that the increase in criticized loans is within normal ranges and attributed some of it to the recent acquisition [67]

Financial Performance - Adjusted net income available to common shareholders reached $137.5 million, resulting in an adjusted EPS of $0.73[3, 4] - Adjusted pre-tax pre-provision net revenue (PPNR) hit a record $206.0 million, an 8.4% increase compared to the first quarter of 2025[3, 4] - Net charge-offs for the second quarter of 2025 were $21.2 million, representing 0.24% of average net loans and leases on an annualized basis[30, 33] Balance Sheet Growth - Net organic loan growth was $1.1 billion for 2Q25, translating to an annualized rate of 12.6%[4] - Core organic customer deposit balances grew by $376 million, or 4.4% on an annualized basis[4] - Total deposits reached $40.5 billion as of June 30, 2025, a $0.2 billion increase from the previous quarter[11, 13] - Loans and leases increased by $1.4 billion to $35.5 billion from the end of the first quarter of 2025[14, 16] Acquisitions - Completed the acquisition of FCB Financial Corp, adding approximately $604 million in assets[4, 6] - Completed the acquisition of Industry Bancshares, Inc, adding approximately $4.1 billion in assets[4, 8, 10] Capital and Credit Quality - Maintained strong regulatory capital with a Common Equity Tier 1 Capital of 12.2% and Total Capital of 13.8%[3, 4] - Total shareholders' equity was $5.9 billion at June 30, 2025[58, 60]

Core Insights - Cadence (CADE) reported quarterly earnings of $0.73 per share, exceeding the Zacks Consensus Estimate of $0.69 per share, and showing an increase from $0.69 per share a year ago, resulting in an earnings surprise of +5.80% [1] - The company achieved revenues of $476.32 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.60% and up from $456.98 million year-over-year [2] - Cadence has consistently surpassed consensus EPS estimates over the last four quarters, achieving this four times [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.75 on revenues of $517.25 million, while for the current fiscal year, the estimate is $2.92 on revenues of $1.95 billion [7] - The trend of estimate revisions for Cadence was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Banks - Southeast industry, to which Cadence belongs, is currently ranked in the top 14% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Core Insights - Cadence Bank reported strong operating performance for Q2 2025, driven by organic balance sheet growth and recent acquisitions, including First Chatham and Industry Bancshares [3][15][24][25] Financial Performance - Net income available to common shareholders for Q2 2025 was $129.9 million, or $0.69 per diluted common share, compared to $135.1 million, or $0.73 per diluted common share in Q2 2024 [4][15] - Adjusted net income for Q2 2025 was $137.5 million, or $0.73 per diluted common share, up from $127.9 million, or $0.69 per diluted common share in Q2 2024 [4][15] - Return on average assets was 1.09% for Q2 2025, down from 1.15% in both Q2 2024 and Q1 2025 [5][38] - Adjusted return on average assets was 1.14% for Q2 2025, compared to 1.09% in Q2 2024 [5][38] Revenue and Expenses - Net interest revenue for Q2 2025 was $378.1 million, an increase from $356.3 million in Q2 2024 [6][15] - Noninterest revenue was $98.2 million for Q2 2025, down from $100.7 million in Q2 2024 [16][15] - Noninterest expense for Q2 2025 was $272.9 million, compared to $256.7 million in Q2 2024 [20][15] Balance Sheet Highlights - Total assets increased to $50.4 billion as of June 30, 2025, up from $47.7 billion a year earlier [35][15] - Loans and leases net of unearned income rose to $35.5 billion, reflecting a net organic loan growth of $1.1 billion, or 12.6% annualized [9][15] - Total deposits were $40.5 billion as of June 30, 2025, a slight increase from $40.3 billion at the end of Q1 2025 [10][15] Credit Quality - Net charge-offs for Q2 2025 were $21.2 million, or 0.24% of average net loans and leases, compared to $22.6 million, or 0.28% in Q2 2024 [12][15] - The allowance for credit losses was $474.7 million, or 1.34% of total loans and leases, compared to 1.41% a year earlier [12][15] Capital Management - Total shareholders' equity was $5.9 billion at June 30, 2025, up from $5.3 billion a year earlier [22][15] - Common Equity Tier 1 capital ratio was 12.2% as of June 30, 2025 [22][15] Strategic Transactions - The acquisition of First Chatham on May 1, 2025, added approximately $604 million in assets [15][24] - The acquisition of Industry Bancshares on July 1, 2025, added approximately $4.1 billion in assets [15][25]

Core Viewpoint - Analysts forecast that Cadence (CADE) will report quarterly earnings of $0.69 per share, indicating no change from the previous year, with anticipated revenues of $468.8 million, reflecting a 2.6% increase year-over-year [1]. Earnings Projections - The consensus EPS estimate has been revised upward by 6.1% over the past 30 days, indicating a collective reassessment by analysts [2]. - Revisions to earnings projections are crucial for predicting investor behavior and are strongly linked to short-term stock price performance [3]. Key Metrics Estimates - Analysts predict an 'Adjusted Efficiency Ratio fully tax equivalent' of 57.5%, up from 56.7% in the same quarter last year [5]. - The 'Net Interest Margin' is expected to be 3.5%, compared to 3.3% in the same quarter last year [5]. - The consensus estimate for 'Average Balance - Total interest earning assets' is $43.77 billion, slightly down from $43.85 billion year-over-year [6]. - 'Non-Performing Loans' are estimated at $236.51 million, up from $216.75 million in the previous year [6]. - 'Non-Performing Assets' are projected at $247.37 million, compared to $221.54 million last year [7]. - 'Total noninterest income' is expected to reach $89.86 million, down from $100.66 million year-over-year [7]. - 'Net Interest Income' is projected at $378.04 million, compared to $356.32 million in the same quarter last year [8]. - 'Credit card, debit card and merchant fees' are expected to be $12.38 million, slightly down from $12.77 million last year [9]. - 'Other noninterest income' is forecasted at $24.46 million, down from $40.06 million year-over-year [9]. - 'Deposit Service charges' are expected to reach $18.73 million, up from $17.65 million last year [9]. - 'Mortgage banking' is projected to reach $7.91 million, compared to $6.17 million in the previous year [10]. Stock Performance - Cadence shares have returned +12.8% over the past month, outperforming the Zacks S&P 500 composite's +5.9% change, with a Zacks Rank 2 (Buy) indicating expected outperformance in the near future [11].

Core Viewpoint - Cadence (CADE) is anticipated to report flat earnings of $0.69 per share for the quarter ended June 2025, with revenues expected to increase by 2.6% to $468.8 million compared to the previous year [3][12]. Earnings Expectations - The upcoming earnings report is scheduled for July 23, and the stock may rise if actual earnings exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised 7.55% higher in the last 30 days, indicating a more optimistic outlook from analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP for Cadence is +2.90%, suggesting a higher Most Accurate Estimate compared to the Zacks Consensus Estimate, which indicates a likelihood of beating the consensus EPS [12]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [10]. Historical Performance - Cadence has consistently beaten consensus EPS estimates in the last four quarters, with a notable surprise of +10.94% in the last reported quarter [13][14]. - The company’s ability to exceed expectations in the past may influence future earnings estimates [13]. Industry Context - Trustmark (TRMK), another player in the Zacks Banks - Southeast industry, is expected to report earnings of $0.86 per share, reflecting a year-over-year increase of +30.3% [18]. - Trustmark has an Earnings ESP of -5.81% despite a Zacks Rank of 2 (Buy), making it challenging to predict a beat on the consensus EPS [19].

Core Viewpoint - Investors are encouraged to consider Cadence (CADE) due to solid improvements in earnings estimates and positive short-term price momentum [1] Earnings Estimate Revisions - Analysts are increasingly optimistic about Cadence's earnings prospects, leading to higher estimates that are expected to positively impact the stock price [2] - The Zacks Rank system indicates strong agreement among analysts in raising earnings estimates, significantly increasing consensus estimates for the next quarter and full year [3] Current-Quarter Estimates - The earnings estimate for the current quarter is $0.69 per share, unchanged from the previous year, with a 5.19% increase in the Zacks Consensus Estimate over the last 30 days [6] - There have been two upward revisions with no negative changes in estimates for the current quarter [6] Current-Year Estimates - The full-year earnings estimate stands at $2.92 per share, reflecting a 6.57% increase from the previous year [7] - Over the past month, two estimates have been revised upward, contributing to a 5.92% increase in the consensus estimate [8] Zacks Rank - Cadence has achieved a Zacks Rank 1 (Strong Buy) due to favorable estimate revisions, which historically correlate with significant outperformance compared to the S&P 500 [9] Stock Performance - The stock has gained 13.2% over the past four weeks, driven by solid estimate revisions and positive earnings growth prospects [10]