Hancock Whitney (HWC) Q4 2025 earnings summary

Executive summary

• Fourth quarter 2025 net income was $125.6 million ($1.49 per share), nearly flat sequentially, with full-year net income of $486.1 million ($5.67 per share), and adjusted PPNR of $174.0 million for Q4 and $679.9 million for the year, both up year-over-year.

• Loans grew by $362 million (6% LQA) in Q4 and 3% year-over-year to $24.0 billion, with strong production in CRE, ICRE, and Equipment Finance.

• Deposits increased $620 million (9% LQA) in Q4 to $29.3 billion, up linked-quarter but down 1% year-over-year, with DDA mix at 35%.

• Asset quality remained strong, with criticized and nonaccrual loans declining, ACL coverage at 1.43%, and tangible book value per share up 12% year-over-year.

• 2025 saw adjusted EPS up 8% and continued focus on organic growth, including plans to hire up to 50 new revenue-generating associates in 2026.

Financial highlights

• Net interest income (TE) for Q4 2025 was $284.7 million, up 1% sequentially; NIM was 3.48%, down 1 bp from Q3.

• Noninterest income for Q4 2025 was $107.1 million, up 1% linked-quarter, with growth across all categories.

• Noninterest expense was $217.9 million, up 2% sequentially; efficiency ratio was 54.93%.

• ROA for the quarter was 1.41%; ROTCE was 14.49%; return on average common equity was 11.28%.

• Fee income totaled $107 million in Q4, with noninterest income as 27.34% of total revenue (TE).

Outlook and guidance

• 2026 guidance includes mid-single-digit loan growth, low single-digit deposit growth, and NII expected to rise 5%-6% with modest NIM expansion.

• Adjusted PPNR expected to increase 4.5%-5.5% from FY25; fee income targeted to grow 4%-5%; noninterest expense to rise 5%-6%.

• Efficiency ratio projected between 54%-55% for 2026.

• Net charge-offs expected between 15-25 basis points for 2026.

• Rate environment assumptions include two 25 basis point cuts in 2026.