Renasant (US:RNST)2025-10-28 20:34Financial Performance - Net income for Q3 2025 was $59.8 million, a decrease of 17.4% compared to $72.5 million in Q3 2024[3] - Diluted EPS for Q3 2025 was $0.63, down from $1.18 in Q3 2024, while adjusted diluted EPS (non-GAAP) increased to $0.77 from $0.70[4] - The Company’s return on average assets was 0.90% for Q3 2025, compared to 1.63% in Q3 2024[10] - Net income (GAAP) for Q3 2025 was $59,788 thousand, a significant increase from $1,018 thousand in Q2 2025[31] - Adjusted net income (non-GAAP) for Q3 2025 was $72,917 thousand, compared to $65,877 thousand in Q2 2025[31] - Tangible net income (non-GAAP) for Q3 2025 was $66,298 thousand, a rise from $7,690 thousand in Q2 2025[31] - Diluted earnings per share (GAAP) improved to $0.63 from $0.01, showcasing a significant increase[32] - Adjusted diluted earnings per share (non-GAAP) reached $0.77, up from $0.69, representing an increase of 11.6%[32] Loan and Asset Growth - Loans increased by $462.1 million linked quarter, representing an annualized net loan growth of 9.9%[8] - Loans held for investment increased to $19,025,521,000 as of September 30, 2025, up from $18,563,447,000 in the previous quarter[14] - The loan portfolio totaled $19,025,521 thousand as of September 30, 2025, reflecting an increase from $18,563,447 thousand as of June 30, 2025[17] - Commercial, financial, and agricultural loans increased to $2,760,490 thousand as of September 30, 2025, from $2,666,923 thousand as of June 30, 2025[17] - Total assets of the company reached $26,726,165,000, an increase from $26,624,975,000 in the previous quarter[14] - Renasant Corporation has total assets of approximately $26.7 billion as of the latest reporting date[22] Income and Expense Analysis - Net interest income for Q3 2025 was $228.1 million, up $5.4 million from the previous quarter, with a net interest margin of 3.85%[8] - Noninterest income decreased by $0.8 million linked quarter, excluding a $1.5 million gain on sale of mortgage servicing rights[8] - Total noninterest expense for the nine months ended September 30, 2025, was $480,910,000, compared to $346,871,000 for the same period in 2024, indicating an increase of approximately 38.5%[12] - Total noninterest income (GAAP) for the period was $46,026 million, a decrease from $48,334 million in the previous period[33] - Total adjusted noninterest income (non-GAAP) of $46,026 million, compared to $46,867 million in the prior period[33] Credit Quality and Losses - The Company recorded a provision for credit losses of $10.5 million for Q3 2025, a decrease of $4.3 million linked quarter[8] - As of September 30, 2025, total nonperforming assets increased to $182,126 thousand, up from $153,609 thousand as of June 30, 2025, representing a 18.5% increase[18] - Nonperforming loans as a percentage of total loans rose to 0.90% as of September 30, 2025, compared to 0.76% as of June 30, 2025[18] - The allowance for credit losses on loans was $297,591 thousand as of September 30, 2025, compared to $290,770 thousand as of June 30, 2025, reflecting a 0.3% increase[18] - The annualized net loan charge-offs as a percentage of average loans decreased to 0.09% for the quarter ending September 30, 2025, down from 0.26% for the quarter ending June 30, 2025[18] Shareholder Metrics - Book value per share increased by 1.2% linked quarter, while tangible book value per share (non-GAAP) increased by 2.9%[8] - The company's shareholders' equity to assets ratio improved to 14.31% as of September 30, 2025, compared to 14.19% in the previous quarter[11] - Average shareholders' equity (GAAP) increased to $3,794,996 thousand in Q3 2025 from $3,745,051 thousand in Q2 2025[31] - Shareholders' equity (GAAP) increased to $3,825,778 from $3,778,854, reflecting a growth of 1.4% year-over-year[32] Operational Efficiency - The efficiency ratio (GAAP) improved to 67.05%, down from 67.59% in the previous period, indicating better cost management[33] - The adjusted efficiency ratio (non-GAAP) improved to 57.51%, compared to 57.07% in the previous period, indicating enhanced operational efficiency[33] Stock and Market Activity - Effective October 28, 2025, the Company approved a $150.0 million stock repurchase program, replacing the previous $100.0 million program[8] - The market value per share increased to $36.89 from $35.93 in the previous quarter, reflecting a growth of approximately 2.67%[11]