Financial Data and Key Metrics Changes - The company reported full-year earnings of $2.1 billion, with earnings per share (EPS) of $2.30, or $2.33 on an adjusted basis, and a return on tangible common equity of just over 18% [6][9] - Fourth-quarter earnings were $514 million, resulting in EPS of $0.58 and $0.57 on an adjusted basis, with certain items negatively impacting earnings by an additional $0.04 [7][11] - Adjusted non-interest income grew by 5% in 2025, while net interest income increased by 2% linked quarter [9][18] Business Line Data and Key Metrics Changes - Wealth Management and Corporate Bank businesses achieved record fee income, with Treasury management products also reaching a second consecutive record [9][18] - Loan growth was challenged in 2025, with large corporate customers refinancing into Capital Markets, leading to a strategic runoff of over $2 billion [12][19] - Adjusted non-interest expense increased by 2% in 2025, with salaries and benefits rising by 3% due to higher health insurance costs and hiring [19][20] Market Data and Key Metrics Changes - Deposits increased by approximately $800 million, supported by strong customer acquisition and retention, while average deposits were roughly flat [13][14] - The non-interest-bearing mix remained in the low 30% range, consistent with targets [14] - The company expects average loans to be up below single digits versus 2025, with a return to more normal loan growth anticipated in 2026 [12][21] Company Strategy and Development Direction - The company is focused on modernizing its core systems, which is expected to strengthen its competitive position [8][22] - A commitment to hiring approximately 120 bankers over two years is in place to support growth initiatives, with 50 hired in 2025 [30][90] - The company aims to deliver consistent, sustainable long-term performance while managing capital and expense discipline [22][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in improving client sentiment and strengthening loan pipelines, anticipating a return to normal loan growth levels in 2026 [12][29] - The company expects net interest income to grow between 2.5% and 4% in 2026, with a net interest margin projected to be around 3.7% in the first quarter [17][19] - Management noted that many headwinds from 2025 are behind them, with positive trends in loan pipelines, deposit strength, and fee income growth [22][23] Other Important Information - The effective tax rate for the full year was 21.4%, with expectations to return to the 20.5%-21.5% range in 2026 [11] - The allowance for credit losses decreased by $27 million, with the allowance as a percentage of non-performing loans increasing to 242% [21][22] - The company executed $430 million in share repurchases and paid $231 million in common dividends during the quarter [22] Q&A Session Summary Question: Loan growth guidance and pipeline activity - Management indicated positive customer sentiment and increased pipeline activity, expecting lower single-digit loan growth primarily driven by Commercial Banking activities [29][31] Question: Trade-off between growth and returns - Management emphasized a focus on capital allocation and risk-adjusted returns, stating that there is no trade-off between growth and returns [34][36] Question: Capital Markets performance and outlook - Management acknowledged a slower start in Capital Markets for 2026 but expressed confidence in a rebound and growth throughout the year [42][43] Question: Deposit pricing trends and competitive landscape - Management highlighted the importance of remaining competitive while acknowledging the need to adapt to market conditions [44][45] Question: Credit quality trends and expectations - Management reported improvements in credit quality metrics and expressed optimism for continued improvement in 2026 [58][60] Question: Systems conversion and M&A flexibility - Management stated that while the systems conversion is ongoing, it does not technically restrict M&A activities, though it would be challenging [97] Question: Expense outlook and headcount management - Management reiterated a commitment to positive operating leverage while managing expenses and headcount growth [84][86]

Financial Data and Key Metrics Changes - The company reported full-year earnings of $2.1 billion, with earnings per share of $2.30 or $2.33 on an adjusted basis, and a return on tangible common equity of just over 18% [6][9] - Fourth-quarter earnings were $514 million, resulting in earnings per share of $0.58 and $0.57 on an adjusted basis, with a negative impact of $0.04 from certain items [7][11] - Adjusted non-interest income grew by 5% in 2025, while net interest income increased by 2% linked quarter [9][18] Business Line Data and Key Metrics Changes - Wealth management and corporate bank businesses achieved record fee income, with treasury management products also reaching a second consecutive record [9][18] - Loan growth was challenged in 2025, with large corporate customers refinancing into capital markets, leading to a strategic runoff of over $2 billion [8][12] - Adjusted non-interest expense increased by 2% in 2025, with salaries and benefits rising by 3% due to higher health insurance costs and hiring [19][20] Market Data and Key Metrics Changes - Ending deposit balances increased by approximately $800 million, supported by strong customer acquisition and retention [13] - Average deposits were roughly flat, outperforming typical year-end seasonality, particularly in consumer banking [14] - The non-interest-bearing mix remained in the low 30% range, consistent with the company's target [15] Company Strategy and Development Direction - The company is focused on modernizing its core systems, which is expected to strengthen its competitive position [7][8] - The hiring of approximately 120 bankers over two years is aimed at supporting growth initiatives, particularly in priority markets [29][30] - The company is committed to maintaining a disciplined approach to capital allocation and risk-adjusted returns while pursuing growth opportunities [34][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to normal loan growth levels in 2026, supported by improving client sentiment and strengthening loan pipelines [12][22] - The company anticipates net interest income growth between 2.5% and 4% for 2026, with a net interest margin expected to stabilize around 3.7% [17][18] - Management noted that many headwinds from 2025 are behind them, with positive trends in loan pipelines, deposit strength, and fee income growth [22] Other Important Information - The company ended the quarter with a common equity tier 1 ratio of 10.8%, executing $430 million in share repurchases and paying $231 million in dividends [21][22] - The allowance for credit losses decreased by $27 million, with the allowance for credit loss ratio declining to 1.76% [20][21] Q&A Session Summary Question: Loan growth guidance and pipeline activity - Management indicated positive customer sentiment and increased pipeline activity, expecting primarily commercial banking to drive loan growth, with a guidance of low single-digit growth for 2026 [27][29] Question: Trade-off between growth and returns - Management emphasized a focus on capital allocation and risk-adjusted returns, stating that there is no trade-off between growth and returns, and they aim to deliver consistent, sustainable performance [34][36] Question: Capital markets performance and outlook - Management acknowledged a slower start in capital markets for 2026 but expressed confidence in a rebound, with expectations for improved activity in M&A and loan syndications [40][42] Question: Deposit beta performance and pricing trends - Management noted a significant improvement in deposit beta performance and indicated a proactive approach to remain competitive in pricing, especially with upcoming CD maturities [44][46] Question: Credit quality trends in higher-risk portfolios - Management reported improvements in credit quality metrics, with expectations for continued improvement in 2026, particularly in trucking and transportation sectors [58][60]

Financial Data and Key Metrics Changes - The company reported strong full-year earnings of $2.1 billion, resulting in earnings per share of $2.30 or $2.33 on an adjusted basis, with a return on tangible common equity of just over 18% [4][5] - Fourth-quarter earnings were $514 million, leading to earnings per share of $0.58 and $0.57 on an adjusted basis, with certain items negatively impacting earnings by an additional $0.04 [5][9] - Adjusted non-interest income grew by 5% in 2025, while net interest income increased by 2% linked quarter [7][12] Business Line Data and Key Metrics Changes - Wealth management and corporate bank businesses achieved record fee income, with treasury management products also reaching a second consecutive record [7][15] - Loan growth was challenged in 2025, with large corporate customers paying down debt, but net interest income benefited from fixed asset turnover and prudent funding cost management [6][12] - Adjusted non-interest expense increased by 2% in 2025, with salaries and benefits rising by 3% due to higher health insurance costs and hiring tied to growth initiatives [16][17] Market Data and Key Metrics Changes - Deposits performed well, with ending balances up approximately $800 million, supported by strong customer acquisition and retention [10][11] - Average deposits were roughly flat, modestly outperforming typical year-end seasonality, particularly in consumer banking [11] - The non-interest-bearing mix remained in the low 30% range, consistent with the company's target [12] Company Strategy and Development Direction - The company is focused on modernizing its core systems, which is expected to strengthen its competitive position [5][6] - The hiring of bankers to support growth initiatives is a priority, with a target of adding 120 bankers over two years [23][24] - The company aims to deliver consistent, sustainable long-term performance while managing capital and expense discipline [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to normal loan growth levels in 2026, with improving client sentiment and strengthening loan pipelines [10][20] - The company expects net interest income to grow between 2.5% and 4% in 2026, supported by a well-protected interest rate risk position [14] - Management noted that many headwinds from 2025 are behind them, with positive trends in loan pipelines, deposit strength, and fee income growth [20] Other Important Information - The company ended the quarter with an estimated common equity tier 1 ratio of 10.8%, executing $430 million in share repurchases and paying $231 million in common dividends [18][19] - The allowance for credit losses decreased by $27 million, with the allowance for credit loss ratio declining to 1.76% [18] Q&A Session Summary Question: Loan growth guidance and pipeline activity - Management noted positive customer sentiment and increased pipeline activity, expecting lower single-digit loan growth primarily driven by commercial banking activities [22][23] Question: Trade-off between growth and returns - The focus remains on capital allocation and risk-adjusted returns, with a commitment to delivering top quartile returns on tangible common equity [26][28] Question: Capital markets performance and outlook - Management expressed confidence in capital markets, expecting a rebound in activity after a slower start in the first quarter of 2026 [31] Question: Deposit beta performance and pricing trends - The company aims to remain competitive while managing deposit costs, with expectations of continued favorable trends in deposit beta [33] Question: Credit quality and higher-risk portfolios - Management indicated ongoing improvement in credit quality, with expectations for continued positive trends in 2026 [38] Question: Capital management and buyback pace - The company plans to balance capital needs for organic growth with share buybacks when loan growth opportunities are not present [40][41] Question: M&A potential and market share risks - Management views competition as an opportunity for growth, emphasizing strong market presence and customer relationships [42][43]

Regions Financial (RF) reported $1.92 billion in revenue for the quarter ended December 2025, representing a year-over-year increase of 5.8%. EPS of $0.57 for the same period compares to $0.59 a year ago.The reported revenue represents a surprise of -0.3% over the Zacks Consensus Estimate of $1.93 billion. With the consensus EPS estimate being $0.61, the company has not delivered EPS surprise.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expecta ...

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Financial Performance - Net income available to common shareholders was $514 million in 4Q25[4], a decrease of 6.2% QoQ but an increase of 1.2% YoY[59] - Total revenue was $1.921 billion in both 4Q25 and FY25[4] - Adjusted non-interest expense was $1.112 billion in 4Q25[4], and $4.331 billion for FY25[4] - Pre-tax pre-provision income was $823 million in 4Q25[4] - The efficiency ratio was 56.8% in 4Q25[4] Loan and Deposit Trends - Average business loans decreased by 1% QoQ in 4Q25[11] - Average consumer loans decreased by 0.4% QoQ in 4Q25[11] - Ending deposit balances increased by 0.6% QoQ in 4Q25[15] Net Interest Income (NII) and Margin (NIM) - NII increased 2% QoQ, reaching $1.294 billion in 4Q25[16] - NIM increased 11bps to 3.70% in 4Q25[16] - Interest-bearing deposit cost was 1.85% in 4Q25[20] Outlook - The company expects full-year 2026 NII to grow between 2.5% and 4%[21] - The company expects FY26 adjusted non-interest income to grow 3% – 5%[28] - The company expects FY26 adjusted non-interest expense to be up 1.5% – 3.5%[33] - The company expects FY26 net charge-offs to be between 40 and 50 bps[41]

Financial Performance - For Q4 2025, Regions Financial reported net interest income of $1,281 million, an increase from $1,257 million in Q3 2025[4] - Non-interest income for Q4 2025 was $640 million, slightly down from $659 million in Q3 2025[4] - Net income available to common shareholders for Q4 2025 was $514 million, a decrease from $548 million in Q3 2025[4] - The diluted earnings per share for Q4 2025 was $0.58, down from $0.61 in Q3 2025[4] - The company reported an adjusted net income available to common shareholders of $504 million for Q4 2025, down from $561 million in Q3 2025[4] - Net income for Q4 2025 was $534 million, a decrease from $569 million in Q3 2025 but equal to Q4 2024[21] - Net income available to common shareholders for the year ended December 31, 2025, was $2,061 million, representing a 16.2% increase from $1,774 million in 2024[38] - Net income for 2025 was $2,156 million, representing a 13.9% increase from $1,893 million in 2024[24] - Earnings per common share increased to $2.31 in 2025, up from $1.94 in 2024, reflecting a growth of 19.0%[24] Asset and Deposit Trends - Total assets at the end of Q4 2025 were $159,553 million, a slight decrease from $159,940 million in Q3 2025[4] - Total deposits increased to $131,128 million in Q4 2025, up from $130,334 million in Q3 2025[4] - Total deposits for Regions Financial Corporation increased to $129,850 million in Q4 2025, up 0.2% from Q3 2025 and 2.7% from Q4 2024[19] - Total deposits increased by $794 million (0.6%) from Q3 2025 to $131,128 million in Q4 2025, and increased by $3,525 million (2.8%) year-over-year from Q4 2024[18] - Wealth Management Segment deposits increased by $690 million (9.0%) from Q3 2025 to $8,344 million in Q4 2025, and increased by $608 million (7.9%) year-over-year from Q4 2024[18] Loan Performance - Total loans decreased by $996 million (1.0%) from Q3 2025 to $95,651 million in Q4 2025, and decreased by $757 million (0.8%) year-over-year from Q4 2024[16] - Net loans stood at $94.081 billion as of December 31, 2025, compared to $95.114 billion in 2024[10] - Total loans, net of unearned income, amounted to $96.077 billion, generating interest income of $1.389 billion at a yield of 5.75%[29] - Total business loans decreased to $63,004 million, a decline of $420 million or 0.7% from the previous quarter and down $551 million or 0.9% year-over-year[12] - Commercial and industrial loans amounted to $48,790 million, down $444 million or 0.9% from the previous quarter and down $881 million or 1.8% year-over-year[12] Credit Quality - The provision for credit losses was $115 million in Q4 2025, compared to $105 million in Q3 2025[4] - The allowance for credit losses stood at $1,686 million at the end of Q4 2025, down from $1,713 million in Q3 2025[4] - Non-performing loans as a percentage of total loans decreased to 0.73% in Q4 2025 from 0.96% in Q4 2024[10] - Total non-performing loans decreased to $698 million (0.73%) as of December 31, 2025, down from $758 million (0.79%) in the previous quarter[80] - Total commercial net charge-offs were $82 million for the quarter, up from $47 million in the previous quarter[76] Efficiency and Expenses - Efficiency ratio improved to 56.9% in 2025 from 59.5% in 2024[10] - Total non-interest expense for 2025 was $4,313 million, slightly higher than $4,242 million in 2024, indicating a 1.7% increase[24] - The adjusted efficiency ratio, a measure of productivity, is calculated as non-interest expense divided by total revenue, providing insights into the company's performance[59] - Total non-interest expense for the fourth quarter of 2025 was $1,098 million, a decrease of $5 million or 0.5% from $1,103 million in the previous quarter[56] Strategic Focus and Risks - The company anticipates potential declines in property values and increases in interest rates, which may adversely affect lending and financial results[1] - The company reported a significant risk related to changes in market interest rates, which could impact revenue and expenses[1] - The company highlighted the importance of managing credit risk and the potential impairment of loan collectability[1] - The company faces challenges in attracting and retaining deposits due to competitive pressures and changing consumer behaviors[1] - The company is committed to executing its strategic and operational plans to realize financial benefits from its initiatives[1]

Core Insights - Regions Financial Corp. reported its earnings for the fourth quarter and full-year 2025, indicating a significant performance overview for the company [1] Financial Performance - The company disclosed its earnings figures for the fourth quarter and the entire year, which are critical for assessing its financial health and operational efficiency [1]

Regions Financial Corporation (NYSE:RF) will release earnings results for the fourth quarter, before the opening bell on Friday, Jan. 16.Analysts expect the Birmingham, Alabama-based company to report quarterly earnings at 61 cents per share, up from 59 cents per share in the year-ago period. The consensus estimate for Regions Financial's quarterly revenue is $1.94 billion, up from $1.83 billion a year earlier, according to data from Benzinga Pro.On Jan. 12, Regions Financial announced the retirement of its ...

Regions Financial Corporation (NYSE:RF) will release earnings results for the fourth quarter, before the opening bell on Friday, Jan. 16.Analysts expect the Birmingham, Alabama-based company to report quarterly earnings at 61 cents per share, up from 59 cents per share in the year-ago period. The consensus estimate for Regions Financial's quarterly revenue is $1.94 billion, up from $1.83 billion a year earlier, according to data from Benzinga Pro.On Jan. 12, Regions Financial announced the retirement of its ...