Brookfield Renewable Partners (NYSE:BEP) Q4 2025 Earnings call January 30, 2026 09:00 AM ET Company ParticipantsConnor Teskey - CEOPatrick Taylor - CFOConference Call ParticipantsNelson Ng - AnalystOperatorGood day, and thank you for standing by. Welcome to the Brookfield Renewable Partners' fourth quarter and full year 2025 results. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during the session, y ...

Financial Data and Key Metrics Changes - Financial conditions improved during Q4 2025, supported by two Federal Reserve rate cuts and strong economic growth, leading to an 8% economic return for the quarter and a 3.7% increase in book value per common share to $8.72 [3][5][19] - The company's portfolio at year-end was valued at $6.3 billion, with $5.4 billion in Agency mortgages and $900 million in Agency CMBS [6][18] Business Line Data and Key Metrics Changes - The Agency RMBS portfolio increased by 11% quarter over quarter, focusing on 5% and 5.5% coupons, while the allocation in 6% and 6.5% coupons declined due to paydowns [14][15] - Agency CMBS risk premiums remained largely unchanged, with no new purchases made during the quarter, but the sector continues to provide benefits through prepayment protection and fixed maturities [16][17] Market Data and Key Metrics Changes - The 10-year Treasury yield ended the year at 4.17%, with a steepening yield curve benefiting longer-term investments [8][9] - Agency mortgages delivered strong performance in 2025, driven by reduced interest rate volatility and increased demand from GSEs [11][12] Company Strategy and Development Direction - The company remains positive on Agency mortgages, viewing conditions as favorable due to lower interest rate volatility and expectations for broadening demand [6][21] - The strategy includes selectively accessing the ATM for capital raising when conditions are favorable, with a focus on maintaining a robust capital structure [36][40] Management's Comments on Operating Environment and Future Outlook - Management noted that while near-term risks are balanced, the current environment of low volatility in interest rates and spreads is expected to provide a positive backdrop for agency mortgages over the long term [21] - The conclusion of quantitative tightening and the announcement of T-bill purchases by the Fed have solidified funding markets, serving as a tailwind for the company's strategy [20][21] Other Important Information - The liquidity position remains strong, with $453 million in unrestricted cash and unencumbered assets [6] - The company modestly increased leverage to 7 times, consistent with the constructive investment environment [5][6] Q&A Session Summary Question: How is the company approaching leverage levels post the tightening? - The company increased leverage slightly in Q4, reflecting a positive environment, and remains comfortable with current levels despite tighter spreads [25] Question: Have there been any surprises in prepayment reports for higher coupons? - No significant surprises were noted; prepayment speeds increased in higher coupons but were less impacted due to prepayment protection [27] Question: Is the decision on the ATM solely based on stock price? - The decision is based on a combination of price to book and the availability of accretive investment opportunities [40] Question: What would trigger a tighter spread range for MBS? - An increase in the GSEs' caps or a notable increase in the pace of purchases could signal a tighter spread range [46] Question: How should investors think about book value sensitivity to spread changes? - The magnitude of change in book value to spread changes remains consistent, but expectations for further spread tightening are reduced [50]

Financial Data and Key Metrics Changes - The Hartford reported Core Earnings of $3.8 billion for 2025, with a Core Earnings ROE of 19.4% [5][15] - Core earnings for Q4 2025 were $1.1 billion, or $4.06 per diluted share [15] - The business insurance segment achieved written premium growth of 7% with an underlying combined ratio of 88.1 [15] - The overall expense ratio for business insurance increased to 31.8, up 1 point from the prior year [16] Business Line Data and Key Metrics Changes - Business insurance delivered top-line growth of 8%, with small business written premium of $6 billion and an underlying combined ratio of 88.9 [4][8] - Personal insurance core earnings were $214 million, with an underlying combined ratio of 84.3, improving by 5.9 points [17] - Employee benefits reported a Core Earnings margin of 8.2%, driven by strong life and disability results [4][12] Market Data and Key Metrics Changes - Business insurance renewal written pricing, excluding workers' compensation, was 6.1% for the quarter [10] - The Hartford's small business segment was ranked number one for digital capabilities by Keynova Group, with a double-digit lead in all categories [8] - The investment portfolio generated net investment income of $832 million, a 17% increase from Q4 2024 [22] Company Strategy and Development Direction - The Hartford is focusing on technology and innovation, with a multi-year journey towards an AI-first mindset [6] - The company aims to sustain industry-leading ROEs through disciplined underwriting and risk selection, particularly in the SME segment [10][14] - The Hartford is expanding its presence in the under 500 lives segment within employee benefits, with a focus on enhancing product offerings [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capture additional market share while maintaining strong profitability in small business [8] - The company anticipates continued growth in personal insurance, particularly in the agency channel, while facing challenges in the direct channel [11] - Management remains optimistic about the economic outlook and the potential for growth in 2026, despite some pressures in the property market [44][74] Other Important Information - The Hartford completed its A&E reserve study, resulting in an increase in reserves of $165 million, primarily for asbestos and environmental claims [18] - The company renewed its catastrophe cover with favorable terms, enhancing capital strength and supporting growth in property underwriting [20] Q&A Session Summary Question: How long can favorable renewal premium changes in small business be sustained? - Management believes the small business segment can continue to grow at healthy levels due to strong relationships with agents and brokers, and a differentiated market position [28][30] Question: What is the outlook for the Prevail platform? - The Prevail platform is expected to grow significantly, with plans to expand to 30 states by early 2027, focusing on new business in both direct and agency channels [33][36] Question: Why is the buyback pace not increased in line with dividend increases? - Management indicated a balanced approach to share buybacks and dividends, considering overall capital flexibility and market conditions [39][40] Question: What is the outlook for business insurance margins in 2026? - Management refrained from providing specific numbers but emphasized a strong starting position and a disciplined approach to underwriting [42][44] Question: How will technology impact the expense ratio in a soft market? - Management is optimistic about capturing market share and believes that technology investments will lead to improved expense ratios over time [49][50]

Financial Data and Key Metrics Changes - As of the record date, there were 68,570,616 shares of common stock outstanding, each entitled to one vote [2] - The meeting was held with a quorum present, indicating that a majority of the shares eligible to vote were represented [3] Business Lines Data and Key Metrics Changes - No specific data on business lines or key metrics was provided during the meeting [6] Market Data and Key Metrics Changes - No specific market data or key metrics were discussed during the meeting [6] Company Strategy and Development Direction and Industry Competition - The company is focused on inclusivity by hosting the annual shareholders meeting virtually, allowing greater shareholder participation [1] - The company plans to release fiscal 2026 first quarter results on February 5, indicating a commitment to transparency and timely communication with shareholders [6] Management's Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during this meeting [6] Other Important Information - The company has nominated 10 director nominees for a 1-year term, and the appointment of PricewaterhouseCoopers as the independent auditor for fiscal 2026 was ratified [4][5] - An advisory non-binding vote on executive compensation was also approved [5] Q&A Session All Questions and Answers - No questions were submitted during the Q&A session, leading to the adjournment of this portion of the meeting [9]

Financial Data and Key Metrics Changes - The company reported a net loss of $2.5 million in Q4 2025, an improvement from a net loss of $18.9 million in Q3 2025, which included a restructuring charge of $7.3 million and additional provision expense of $8.1 million [7] - Loans held for investment decreased by $34.8 million, or 3.5%, in Q4 2025, ending at $963.9 million, with a total annual decrease of $102.7 million, or 9.6% [7] - Deposits increased by $12.5 million, or 1.1%, in Q4 2025, totaling $1.18 billion, with a year-over-year increase of $40.7 million, or 3.6% [8] - Shareholders' equity at quarter end was $87.6 million, down $23.4 million from the end of 2024, and tangible book value decreased to $17.22 per share from $17.90 per share in Q3 2025 [9] Business Line Data and Key Metrics Changes - The bank's net interest margin remained stable at 3.58%, down 3 basis points from Q3 2025, with net interest income of $11.2 million in Q4 2025, a decrease of about $100,000 from Q3 2025 but an increase of $500,000 from the same quarter last year [9] - Treasury management revenues grew by 69% compared to Q4 2024, indicating strong performance in this business line [3] Market Data and Key Metrics Changes - The company reported that 85% of its deposits were insured by the FDIC as of December 31, 2025, providing a strong safety net for depositors [8] - The liquidity ratio was over 18% at year-end, supporting efforts to reduce high-cost deposits and improve the bank's cost of funds [5] Company Strategy and Development Direction - The company has exited the SBA 7(a) lending business and is focusing on becoming the premier community bank in the Tampa Bay area, emphasizing organic growth in deposits and community engagement [2][3] - The strategic plan for 2026 includes fortifying the balance sheet and maintaining a culture of disciplined risk management to drive sustainable revenue growth [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges faced in the legacy SBA 7(a) business but expressed confidence in the bank's ability to manage future risks and improve asset quality [4][19] - The focus on credit risk management is a priority, with efforts to reduce non-performing and classified loans expected to improve in the coming quarters [19] Other Important Information - The provision for credit losses was $2 million in Q4 2025, significantly lower than $10.9 million in Q3 2025 and $4.5 million in Q4 2024 [12] - Non-interest income was negative $104,000 in Q4 2025, an improvement from the previous quarter but a decrease from $22.3 million in Q4 2024, primarily due to reduced gains from the sale of SBA loans [10] Q&A Session Summary Question: What is the specific allowance against the $171 million of unguaranteed government loans, and what's been the recent default experience? - The company indicated that approximately 13% of the $171.6 million in unguaranteed balances is covered by the allowance for credit losses, with a default rate lower than that [25] Question: What was the peak of the unguaranteed portion before the loan sale? - The unguaranteed portion was about $50.5 million higher at the end of Q3 2025 [28] Question: Can you discuss the growth in deposits and the reduction in deposit costs? - The growth in deposits is attributed to strong relationships with customers and effective management of deposit costs, with a reduction of nearly 13 basis points sequentially [35][36]

Financial Data and Key Metrics Changes - The annual meeting confirmed the election of all 10 director nominees and approved the compensation for named executive officers, indicating a stable governance structure [7] - KPMG was ratified as the independent registered public accounting firm for fiscal 2026, reflecting continuity in external auditing [7] Business Line Data and Key Metrics Changes - No specific financial data or metrics related to individual business lines were discussed during the meeting [3][4] Market Data and Key Metrics Changes - There were no specific market data or metrics changes mentioned in the meeting [3][4] Company Strategy and Development Direction - The company is focused on maintaining shareholder engagement through virtual meetings, which allows for broader participation and cost savings [2] - The upcoming first quarter earnings call is scheduled for February 5, 2026, indicating a commitment to regular financial updates [3][10] Management Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during this meeting, as there was no management presentation [3][4] Other Important Information - The meeting was conducted virtually to enhance shareholder participation and reduce costs [2] - The results of the voting will be reported in a Form 8-K, ensuring transparency in the decision-making process [8] Q&A Session Summary - No questions were submitted by shareholders regarding the items of business for this meeting, and the management concluded the discussion without addressing any inquiries [5][10]

Financial Data and Key Metrics Changes - The meeting discussed the approval of various resolutions, including the adoption of a new Memorandum of Association and a dual class share structure, which will affect voting rights [2][3][4] Business Line Data and Key Metrics Changes - No specific financial data or business line metrics were provided in the meeting records Market Data and Key Metrics Changes - No specific market data or metrics were discussed in the meeting records Company Strategy and Development Direction and Industry Competition - The company is implementing a dual class share structure to enhance governance and control, which may impact its strategic direction [3] Management's Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during this meeting Other Important Information - The meeting confirmed the appointment of Enrobe LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025 [4] Summary of Q&A Session - There were no questions submitted during the Q&A session, and the meeting proceeded directly to voting [9][10]

Brookfield Renewable Partners (NYSE:BEP) Q4 2025 Earnings call January 30, 2026 09:00 AM ET Speaker1Good day, and thank you for standing by. Welcome to the Brookfield Renewable Partners' fourth quarter and full year 2025 results. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during the session, you'll need to press star one one on your telephone. You will then hear an automated message advising your ...

Financial Data and Key Metrics Changes - Hilltop reported net income of approximately $42 million or $0.69 per diluted share for Q4 2025, with a return on average assets of 1.1% and return on average equity of 7.6% [6] - For the full year 2025, consolidated income attributable to common stockholders was $165.6 million, equating to $2.64 per diluted share, representing a growth of 46% [13] - Net interest income grew by 7% year-over-year, while non-interest income increased by 11%, contributing to a 26% improvement in diluted EPS [12] Business Line Data and Key Metrics Changes - PlainsCapital Bank saw an expansion in net interest margin, with a pre-tax income of $43.5 million and a return on average assets of 1.05% [6] - PrimeLending reported a pre-tax loss of $5 million in Q4 2025, despite a seasonally healthy origination volume of $2.4 billion [8] - Hilltop Securities generated pre-tax income of $26 million on net revenues of $138 million, achieving a pre-tax margin of 18% [10] Market Data and Key Metrics Changes - The average total deposits for Q4 2025 were approximately $10.7 billion, declining by $233 million compared to Q4 2024 [18] - Mortgage-related income and fees increased by $2.5 million year-over-year, driven by improvements in lock and originated volumes [20] - Public Finance, Wealth Management, and Structured Finance business lines within Hilltop Securities all generated higher fee income compared to the prior year [21] Company Strategy and Development Direction - Hilltop aims to be a full solution provider to clients, focusing on executing strategic initiatives [11] - The company is actively evaluating acquisition opportunities while also focusing on organic growth [44] - Management expressed optimism about the performance of Public Finance and Wealth Management, expecting continued improvement in these areas [32] Management's Comments on Operating Environment and Future Outlook - Management noted uncertainty in the market regarding interest rates, inflation, and overall economic health, but remains optimistic about the company's positioning for long-term success [14][27] - The company expects full-year average bank loan growth of 4%-6% for 2026, excluding the impact of loans retained from PrimeLending [25] - Management anticipates that interest-bearing deposit costs will decrease somewhat over the coming quarters [19] Other Important Information - Hilltop returned $229 million to stockholders through share repurchases and common dividends in 2025 [5] - The allowance for credit losses decreased by $3.6 million to $91.5 million during the quarter [14] Q&A Session Summary Question: Expectations for broker-dealer fees and pre-tax margin for 2026 - Management expressed confidence in the stability of broker-dealer fees and indicated that a pre-tax margin of 13.5% is a reasonable baseline for 2026 [31][36] Question: Sensitivity of NII and broker-dealer fees to Fed cuts - Management noted that every 25 basis points reduction in rates could impact NII by about $4.5 million annually, with broker fee income being more variable [38] Question: Capital priorities and M&A opportunities - Management highlighted the increase in dividends and the standard share repurchase authorization, while also evaluating acquisition opportunities in a competitive market [44][45] Question: Loan growth and pricing competition - The loan pipeline entering 2026 is approximately $2.6 billion, with management feeling optimistic about organic loan growth despite pricing competition [55] Question: Gain on sale margins expectations - Management expects total revenue from gain on sale margins and mortgage origination fees to remain stable, with a projected range of 350-360 basis points [57]

Deutsche Bank (NYSE:DB) Q4 2025 Earnings call January 30, 2026 09:00 AM ET Speaker1Ladies and gentlemen, welcome to the Q4 2025 Fixed Income Conference Call and live webcast. I'm Moritz, the call operator. I would like to remind you that all participants will be in a listen-only mode, and the conference is being recorded. The presentation will be followed by a question and answer session. You can register for questions at any time by pressing star and one on your telephone. For operator assistance, please p ...