Core Insights - Trustmark reported record earnings for 2025, with net income of $224.1 million, or $3.70 per diluted share, reflecting a 5.4% increase year-over-year [3] - The company expects mid-single-digit growth across key lines for 2026, including loans and deposits [5][8] Financial Performance - Total revenue for the fourth quarter was $204 million, with net interest income of $166 million, contributing to a net interest margin of 3.81% [2] - Non-interest expense increased to $512 million for 2025, up 5.5% year-over-year, indicating a focus on expense management [2] - Deposits declined by $131 million, or 0.8%, linked quarter, but increased by $392 million, or 2.6%, year-over-year [1] Loan and Deposit Growth - Loans held for investment increased by $126 million, or 0.9%, from the third quarter and grew by $584 million, or 4.5%, year-over-year [1] - The company emphasized a strong, cost-effective core deposit base, with the cost of total deposits decreasing to 1.72% in the fourth quarter [1][9] Credit Quality - Fourth-quarter net charge-offs were $7.6 million, equating to 0.22% of average loans for the quarter [10] - Trustmark expects net charge-offs to normalize in the range of 13 to 15 basis points of average loans [11] Capital Management - Trustmark repurchased $43 million of common stock in the fourth quarter and announced a $100 million share repurchase authorization for 2026 [13][14] - The company reported a CET1 ratio of 11.72% at year-end, with projections for slight changes based on potential buybacks [15][14] Dividend and Shareholder Returns - The board approved a 4.2% increase in the quarterly dividend to $0.25 per share, with a return of approximately 61.8% of 2025 net income to shareholders through dividends and repurchases [16] Strategic Focus - Trustmark is focusing on organic growth through hiring, adding 13 new production hires in the fourth quarter [17] - The company remains opportunistic regarding M&A, with a focus on organic opportunities in 2026 [19]