Hancock Whitney Bank reported solid capital levels, strong fee income performance, and controlled expenses in Q4 2025. They expect fee income to grow between 4-5% in 2026 and expenses to be up between 5-6%. The bank’s net interest income (NII) and net interest margin (NIM) are expected to improve due to a bond portfolio restructuring.

The bank’s efficiency ratio was 54.9% for the quarter and 54.8% for the year, showing well-controlled expenses. Fee income grew in each of the four quarters, totaling $107 million in Q4. The bank expects expenses to be up between 5-6% in 2026, including impacts from organic growth and the acquisition of Sable Trust Company.

Hancock Whitney Bank’s NIM is expected to expand by 12-15 basis points in 2026 compared to 2025. They aim to grow core deposit accounts and deepen wealth management services to increase fee income. The bank plans to execute its pricing models to improve loan yields and maintain risk-adjusted revenue targets.

The bank reported improvements in credit quality, with lower nonaccruals and criticized loans in Q4 2025. They are pleased with the resilience of their portfolio, attributing specific charge-offs to situational factors across various industries. The bank plans to continue managing credit quality prudently despite potential rate cuts in 2026.

Hancock Whitney Bank places a deliberate focus on balancing loan and deposit growth for bankers, aiming for full-service relationships that include credit, deposits, and fee products. The bank expects new bankers to break even within 24-26 months and generate revenue from a mix of credit and deposit balances. They plan to calibrate pricing models to positively impact loan yields in 2026.

Read more at Yahoo Finance: Hancock Whitney HWC Q4 2025 Earnings Transcript