Core Insights - WesBanco reported $194.39 million in revenue for Q1 2025, a year-over-year increase of 33.3% [1] - The EPS for the same period was $0.66, up from $0.56 a year ago, exceeding the consensus estimate of $0.60 by 10% [1] Financial Performance - Revenue exceeded the Zacks Consensus Estimate of $186.97 million by 3.97% [1] - Net Interest Margin was reported at 3.4%, above the average estimate of 3.1% [4] - Efficiency Ratio stood at 58.6%, better than the average estimate of 61.9% [4] - Total non-performing loans were $81.49 million, lower than the average estimate of $94.38 million [4] - Net Interest Income was $158.52 million, surpassing the estimate of $156.27 million [4] Other Key Metrics - Total Non-Interest Income was $34.67 million, slightly below the estimate of $35.53 million [4] - Mortgage banking income was $1.14 million, compared to the average estimate of $1.55 million [4] - Service charges on deposits were $8.59 million, lower than the estimate of $8.97 million [4] - The stock has returned -3.8% over the past month, compared to the S&P 500's -0.8% change [3]

Core Insights - WesBanco (WSBC) reported quarterly earnings of $0.66 per share, exceeding the Zacks Consensus Estimate of $0.60 per share, and up from $0.56 per share a year ago, representing a 10% earnings surprise [1] - The company posted revenues of $194.39 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 3.97%, and up from $145.81 million year-over-year [2] - WesBanco has outperformed consensus EPS estimates three times in the last four quarters and has also topped revenue estimates three times during the same period [2] Earnings Outlook - The sustainability of WesBanco's stock price movement will depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.86 on revenues of $255.39 million, and for the current fiscal year, it is $3.30 on revenues of $969.77 million [7] Industry Context - The Banks - Southeast industry, to which WesBanco belongs, is currently ranked in the top 15% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5][6]

Core Viewpoint - WesBanco, Inc. reported a net loss of $11.5 million for Q1 2025, primarily due to the acquisition of Premier Financial Corp. and associated credit loss provisions, despite strong organic loan and deposit growth [1][4]. Financial Performance - Net income available to common shareholders, excluding certain provisions and expenses, was $51.2 million, or $0.66 per share, compared to $33.2 million, or $0.56 per share, in Q1 2024 [1][3]. - Total interest income for Q1 2025 was $253.2 million, a 29.6% increase year-over-year, driven by higher loan and securities yields [23]. - Net interest income increased by 39.1% year-over-year to $158.5 million, reflecting the larger balance sheet from the PFC acquisition [10][23]. Acquisition Impact - The acquisition of Premier Financial Corp. added $5.9 billion in loans and $6.9 billion in deposits, significantly boosting WesBanco's total assets to $27.4 billion, a 54.2% increase year-over-year [5][11]. - The acquisition is expected to enhance WesBanco's market position and long-term growth strategy [4]. Loan and Deposit Growth - Total portfolio loans increased by 57.3% year-over-year to $18.7 billion, with organic growth contributing $0.9 billion [5][11]. - Total deposits rose by 57.8% year-over-year to $21.3 billion, with organic deposit growth of $922 million, or 6.8% [6][11]. Credit Quality - As of March 31, 2025, total loans past due as a percentage of the loan portfolio decreased to 0.43%, indicating stable credit quality [8]. - The allowance for credit losses was $233.6 million, with a coverage ratio of 1.25% [2][8]. Balance Sheet Strength - Total assets reached $27.4 billion, with total securities increasing by 30.1% year-over-year to $4.3 billion [5][28]. - The efficiency ratio improved to 58.6%, reflecting better expense management and the benefits of the PFC acquisition [11][25]. Capital Position - WesBanco's capital ratios remain strong, with a Tier I leverage ratio of 11.01% and a common equity Tier 1 capital ratio of 9.99% as of March 31, 2025 [14].

Core Viewpoint - WesBanco (WSBC) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a strong history of exceeding expectations [1]. Group 1: Earnings Performance - WesBanco has a solid track record of surpassing earnings estimates, with an average surprise of 19.59% over the last two quarters [2]. - In the most recent quarter, WesBanco reported earnings of $0.71 per share, exceeding the expected $0.54 per share, resulting in a surprise of 31.48% [3]. - For the previous quarter, the company reported $0.56 per share against an estimate of $0.52 per share, achieving a surprise of 7.69% [3]. Group 2: Earnings Estimates and Predictions - Recent changes in earnings estimates for WesBanco have been favorable, with a positive Zacks Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [6]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [7]. - WesBanco currently has an Earnings ESP of +0.42%, suggesting increased analyst optimism regarding its near-term earnings potential [9]. Group 3: Upcoming Earnings Report - The next earnings report for WesBanco is anticipated to be released on April 29, 2025 [9].

Group 1 - WesBanco, Inc. (NASDAQ: WSBC) is rated as a "Buy" due to the recent "Tariff Selloff" which has led the stock to trade at 8.4x Price to Earnings Forward (Non-GAAP) [1] - There is a potential upside of 20% for WesBanco's stock over the next 12 months [1]

Financial Results Announcement - Wesbanco, Inc. will release its financial results for Q1 2025 after market close on April 29, 2025[6] - A conference call to discuss the Q1 2025 financial results is scheduled for April 30, 2025, at 9:00 a.m. ET[6] - The financial results will provide insights into the company's operational performance and financial condition for the first quarter[6] - The scheduled conference call will allow management to address investor questions and provide further insights into future strategies[6] - The press release regarding the financial results is attached as Exhibit 99.1[6] Stock Information - The company’s common stock is traded on the Nasdaq Global Select Market under the symbol WSBC[4] - The company’s preferred stock is also traded on the Nasdaq Global Select Market under the symbol WSBCP[4] Compliance and Reporting - The company is not classified as an emerging growth company under the Securities Act of 1933[5] - The company has not indicated any changes to its accounting standards compliance[5] - The report was signed by Daniel K. Weiss, Jr., Senior Executive Vice President and CFO[9]

Core Points - WesBanco, Inc. will host a conference call on April 30, 2025, to review its financial results for the first quarter of 2025 [1] - The financial results are expected to be released after market close on April 29, 2025 [1] Access Information - Interested parties can access the live webcast through the Investor Relations section of WesBanco's website or by dialing specific numbers for participation [2] - A replay of the conference call will be available starting at 12:00 p.m. ET on April 30, 2025, and will end at 12 a.m. ET on May 14, 2025 [3] Company Overview - WesBanco, Inc. has over 150 years of experience as a community-focused financial services partner, with total assets exceeding $27 billion [4] - The company offers a comprehensive range of services including retail and commercial banking, trust, brokerage, wealth management, and insurance [4] - WesBanco's Trust and Investment Services manage over $7 billion in assets, with securities account values exceeding $2 billion [4]

Core Viewpoint - WesBanco (WSBC) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system reflects changes in earnings estimates, which are strongly correlated with near-term stock price movements, particularly due to institutional investors adjusting their valuations based on these estimates [4][6]. - For WesBanco, the rising earnings estimates suggest an improvement in the company's underlying business, likely leading to increased stock prices as investors respond to this trend [5][8]. Earnings Estimate Revisions - WesBanco is projected to earn $3.42 per share for the fiscal year ending December 2025, representing a year-over-year increase of 46.2% [8]. - Over the past three months, the Zacks Consensus Estimate for WesBanco has increased by 10.5%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system categorizes stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of WesBanco to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10].

Financial Performance - For the twelve months ended December 31, 2024, net income available to common shareholders was $141.4 million, or $2.26 per diluted share, compared to $148.9 million, or $2.51 per diluted share for the same period in 2023, reflecting a decrease due to higher funding costs and inflationary pressures[208]. - Interest income increased by $114.1 million or 16.0% to $825.6 million in 2024 compared to 2023, while net interest income decreased by $3.1 million or 0.7% primarily due to higher funding costs[208]. - Total assets as of December 31, 2024, were $18.7 billion, an increase of 5.5% compared to December 31, 2023[209]. - Total portfolio loans increased to $12.7 billion, reflecting an 8.7% increase year-over-year from $11.6 billion at December 31, 2023[209]. - Total deposits increased by $965.0 million or 7.3% at December 31, 2024, compared to December 31, 2023, supporting loan growth[209]. - Criticized and classified loan balances increased to 2.80% of total portfolio loans, up from 2.22% at December 31, 2023[209]. - Tier I leverage ratio was 10.68%, Tier I risk-based capital was 13.06%, total risk-based capital was 15.88%, and common equity Tier 1 capital ratio was 12.07% as of December 31, 2024, indicating strong regulatory capital ratios[210]. - The quarterly dividend was increased to $0.37 per share in Q4 2024, marking the eighteenth increase over the last fourteen years, representing a cumulative increase of 164%[211]. Assets and Liabilities - As of December 31, 2024, Wesbanco's total assets were approximately $18.7 billion, with assets under management in the trust and investment services segment valued at around $6.0 billion[14]. - Wesbanco had $131.0 million in junior subordinated debt on its balance sheets as of December 31, 2024, with $126.9 million included in Tier 2 capital[58]. - Wesbanco's goodwill was approximately $1.1 billion, representing 39% of stockholders' equity as of December 31, 2024, which may require future impairment testing[124]. - Wesbanco's total assets increased above $15 billion due to recent acquisitions, affecting the inclusion of certain trust preferred securities in Tier 1 capital[149]. Employee and Corporate Culture - The company employed 2,195 full-time equivalent employees as of December 31, 2024, with an overall turnover rate of 17%[27]. - The average tenure of Wesbanco's full-time employees was approximately 10 years, while executive officers had an average tenure of over 18 years[27]. - Over 10% of Wesbanco's employees were minorities, with 56% of total officers being women[28]. - Wesbanco's corporate culture emphasizes customer and employee-centric values, focusing on long-term relationships and community stewardship[29]. Community Engagement and Philanthropy - In 2024, Wesbanco provided philanthropic donations and sponsorships totaling over $1.0 million, contributing nearly 12,000 volunteer hours to local organizations[32]. - Wesbanco's community development strategies focus on providing targeted investment and financial education to promote financial inclusion[85]. - Wesbanco CDC has made over 240 loans totaling in excess of $184 million, creating over 7,100 jobs in low-income communities[88]. - In the past five years, Wesbanco originated nearly $2.4 billion in community development loans, including over $520 million in 2024[89]. - Wesbanco employees provided nearly 12,000 hours of technical assistance and financial education to over 640 organizations and schools in 2024[90]. - Wesbanco's community development programs are supported by partnerships with governmental and non-profit agencies to assist low- and moderate-income consumers[89]. Regulatory and Compliance - The company is subject to enhanced prudential supervision due to its asset size exceeding $10 billion, ensuring compliance with safety and soundness regulations[36]. - The Federal Reserve's minimum capital levels require a CET1 of at least 4.5%, a Tier 1 capital ratio of at least 6%, and a total capital ratio of at least 8%[53]. - The Dodd-Frank Act requires annual company-run stress tests for bank holding companies with total consolidated assets greater than $100 billion, but Wesbanco is not subject to these rules as it has less than $100 billion in average total consolidated assets[74][75]. - The Dodd-Frank Act mandates that financial institutions retain at least 5% of the credit risk in securitizations, which may affect Wesbanco's funding strategies[78]. - Wesbanco's assets exceeded $10 billion for four consecutive quarters, bringing it under the supervision of the Consumer Financial Protection Bureau (CFPB) in 2019[80]. Risk Management - The company is enhancing its climate risk considerations into its risk management strategies to address potential impacts from climate change[100]. - Wesbanco's ability to mitigate risk depends on its enterprise risk management framework, which is crucial for managing various types of risks[151]. - Wesbanco is exposed to operational risks, including reputational risk and the risk of fraud or theft, which could adversely impact its business[145]. - The integration of future acquisitions may not be successful, potentially leading to a material adverse effect on the company's financial condition[142]. - Wesbanco's financial performance may be adversely affected if it fails to keep pace with technological changes in the financial services industry[158]. Competition and Market Position - The market for Wesbanco's trust and investment services faces intense competition from various financial institutions, impacting its market share growth potential[33]. - The company faces significant competition from local, regional, and national banks, as well as financial technology companies, which may impact its ability to attract and retain customers[136]. - Wesbanco's competitive position may be challenged by the introduction of new payment system technologies and cryptocurrency by competitors[136]. Acquisitions and Growth Strategy - Wesbanco completed the acquisition of Premier Financial Corp. on February 28, 2025, expanding its presence in Ohio and surrounding states[25]. - The anticipated cost savings and synergies from the acquisition of Premier Financial depend on successful integration, which may face challenges and uncertainties[125]. - Wesbanco has incurred significant transaction-related costs associated with the merger, which may impact short-term financial performance[129]. - Wesbanco's future profitability will depend on the success and growth of its subsidiaries, which may include acquisitions that could be dilutive to earnings per share[148]. - The company may need to raise additional capital in the future, but conditions in the capital markets may affect its ability to do so on favorable terms[150]. Technology and Cybersecurity - Wesbanco completed its core banking software conversion in 2021 to enhance operational efficiency and customer service[158]. - The bank's cybersecurity strategy includes a multi-layered approach to identify and mitigate threats, with ongoing education and incident response exercises[168]. - The company maintains backups of key processing output daily to mitigate risks associated with third-party vendor failures[157]. - Wesbanco's ability to pay dividends on common stock is limited by the outstanding Series A Preferred Stock, which requires full dividends to be paid before any common stock dividends can be declared[159].

Core Points - WesBanco, Inc. has successfully completed the acquisition of Premier Financial Corp, enhancing its position as a regional financial services institution with approximately $27 billion in assets [1][3] - The merger integrates Premier Bank into WesBanco Bank, Inc., and includes the appointment of four former Premier directors to the WesBanco Board of Directors [1][2] Group 1: Acquisition Details - The acquisition creates a combined entity that is the 81st largest insured depository organization in the U.S. and the 8th largest bank in Ohio based on deposit market share [3] - WesBanco now operates over 250 financial centers and loan production offices across nine states, including Indiana, Kentucky, Maryland, Michigan, Ohio, Pennsylvania, Tennessee, Virginia, and West Virginia [3] Group 2: Leadership and Integration - The integration of Premier's leadership and expertise is expected to enhance customer and community relationships, supporting long-term growth [4] - The former Premier financial centers will continue to operate under the Premier Bank name until a full rebranding to WesBanco occurs in mid-May [5] Group 3: Company Background - WesBanco has over 150 years of experience as a community-focused financial services partner, with total assets of $18.7 billion as of December 31, 2024 [6]