Hancock Whitney (US:HWC)2026-01-20 21:00Financial Performance - Net income for Q4 2025 was $125.6 million, or $1.49 per diluted share, consistent with Q3 2025[1][4] - The net income for the twelve months ended December 31, 2025, was $486,073,000, compared to $460,815,000 for the same period in 2024, reflecting a 5.4% increase[37] - Net income for Q4 2025 was $125,572,000, compared to $122,074,000 in Q4 2024, reflecting a growth of 2.0% year-over-year[44] - Net income for the three months ended December 31, 2025, was $125,572,000, a decrease of 1.1% from $127,466,000 in the previous quarter[47] Earnings and Revenue - Adjusted EPS increased by 8% year-over-year, with adjusted pre-provision net revenue (PPNR) at $174.0 million, down from $175.6 million in the prior quarter[3][4] - Earnings per share (diluted) for the twelve months ended December 31, 2025, was $5.67, compared to $5.28 in 2024, showing a 7.4% increase[37] - Earnings per share (diluted) for Q4 2025 was $1.49, an increase from $1.40 in Q4 2024, reflecting a growth of 6.4%[44] Loans and Deposits - Total loans reached $24.0 billion, up $361.9 million, or 2% from Q3 2025, with a linked-quarter annualized growth of 6%[5][6] - Total deposits were $29.3 billion, an increase of $620 million, or 2% from Q3 2025, with noninterest-bearing deposits comprising 35% of total deposits[7][10] - Total loans increased to $23,958,440,000 as of December 31, 2025, from $23,299,447,000 a year earlier, representing a growth of 2.8%[41] - Total deposits as of December 31, 2025, were $29,279,774,000, a slight decrease from $29,492,851,000 a year earlier[37] Interest Income and Expenses - Net interest income for Q4 2025 was $284.7 million, a 1% increase from Q3 2025, with a net interest margin (NIM) of 3.48%[14] - Noninterest income totaled $107.1 million, up 1% from the previous quarter, driven by higher service charges and other income[16][18] - Noninterest expense increased by 2% to $217.9 million, with personnel expenses remaining stable[19] - The average yield on total earning assets (TE) was 5.00% for the three months ended December 31, 2025, down from 5.14% a year earlier[55] Capital Ratios and Efficiency - The CET1 ratio was estimated at 13.66%, down 43 basis points from the prior quarter, while the total risk-based capital ratio was 15.46%, down 46 basis points[21] - The efficiency ratio improved to 54.93% in Q4 2025 from 54.46% in Q4 2024, indicating better cost management[37] - The efficiency ratio improved to 54.93% for the quarter, compared to 54.10% in the prior quarter, indicating better cost management[70] Credit Quality - The allowance for loan losses as a percentage of period-end loans was 1.28% as of December 31, 2025, down from 1.37% a year prior[37] - The provision for credit losses was $13,145,000 in Q4 2025, up from $11,912,000 in Q4 2024, indicating a cautious approach to potential loan defaults[44] - Nonaccrual loans increased to $106.87 million in Q4 2025 from $97.34 million in Q4 2024, representing 0.45% of total loans[63] - Net charge-offs for the twelve months ended December 31, 2025, totaled $52.459 million, an increase from $46.033 million in 2024[63]