Financial Performance - Wintrust Financial Corporation reported record net income of $823.8 million, or $11.40 per diluted common share, for the year ended December 31, 2025, representing a 19% increase from $695.0 million, or $10.31 per diluted common share, in 2024[2]. - For the fourth quarter of 2025, net income was $223.0 million, or $3.15 per diluted common share, compared to $216.3 million, or $2.78 per diluted common share, in the third quarter of 2025[3]. - Net income for Q4 2025 was $223,024 thousand, reflecting a 3.6% increase compared to $216,254 thousand in the previous quarter[44]. - Net income applicable to common shares for the quarter was $214,657 thousand, up from $188,913 thousand in the prior quarter, representing a growth of 13.5%[94]. - Basic net income per common share for the same period was $3.21, up from $2.82 in the previous quarter, reflecting a 13.8% increase[95]. Loan and Deposit Growth - Total loans increased by $1.0 billion, or 8% annualized, and total deposits also increased by $1.0 billion, or 7% annualized, in the fourth quarter of 2025[5]. - Total loans increased to $53.11 billion, reflecting an 8% growth from Q3 2025[41]. - Total deposits rose to $57.72 billion, a 7% increase compared to Q3 2025[41]. - Total loans, net of unearned income increased to $53,105,101 thousand as of Dec 31, 2025, up from $52,063,482 thousand as of Sep 30, 2025, reflecting a growth of 1.99%[78]. - Total deposits reached $57,717,191 thousand, marking a 7% increase compared to the prior quarter[53]. Interest Income and Margin - Net interest income for the fourth quarter of 2025 reached $583.9 million, an increase of $16.9 million from $567.0 million in the third quarter of 2025, driven by improved net interest margin and average earning asset growth[5]. - The net interest margin improved to 3.52% in the fourth quarter of 2025, up four basis points from the previous quarter[5]. - Total interest income for the three months ended December 31, 2025, was $956.3 million, an increase from $920.9 million in the previous quarter[49]. - The taxable-equivalent net interest margin for Q4 2025 was 3.54%, compared to 3.50% in Q3 2025[93]. Non-Interest Income and Expenses - Non-interest income totaled $130.4 million in the fourth quarter of 2025, a slight decrease from $130.8 million in the third quarter of 2025[25]. - Total non-interest expense for Q4 2025 was $384,453,000, an increase of $4,425,000 or 1% compared to Q3 2025, and an increase of $15,914,000 or 4% compared to Q4 2024[90]. - Total Non-Interest Income for Q4 2025 was $130,390, a decrease of $437 or 0% compared to Q3 2025, but an increase of $16,939 or 15% compared to Q4 2024[84]. Credit Quality and Losses - The provision for credit losses totaled $27.6 million in the fourth quarter of 2025, compared to $21.8 million in the third quarter of 2025[5]. - Non-performing loans increased to $185.8 million, comprising 0.35% of total loans as of December 31, 2025, compared to 0.31% in the prior quarter[6]. - The allowance for credit losses stood at $460,465 thousand, up from $454,586 thousand in the previous quarter[44]. - The total charge-offs for the three months ended December 31, 2025, amounted to $27,076 thousand, a decrease from $28,846 thousand in the previous quarter[74]. Assets and Equity - Total assets grew to $71.14 billion by the end of Q4 2025, a 9% increase from Q3 2025[41]. - Total shareholders' equity (GAAP) increased to $7,258,715 thousand from $7,045,757 thousand in the previous quarter, reflecting a growth of 3.0%[94]. - The common equity to assets ratio was 9.6%, an increase from 9.5% in the previous quarter[44]. - Book value per common share rose to $102.03 from $98.87 in the previous quarter, indicating a growth of 2.0%[94]. Strategic Initiatives and Market Conditions - The company plans to continue its growth strategies, including potential acquisitions of banks and expansion of branch offices[97]. - Economic conditions, including housing prices and job market trends, are critical factors that may impact the company's loan portfolio performance[99]. - The company is facing challenges in the commercial real estate market, particularly in the Chicago metropolitan area, southern Wisconsin, and west Michigan, which may lead to increased credit loss allowances[100]. - There are risks associated with security breaches and cyberattacks that could adversely affect the company's information technology systems[100].
Wintrust Financial Corp Series F Pfd(WTFCN) - 2025 Q4 - Annual Results