HWCPZ — Hancock Whitney Corporation - 6

Summary of Hancock Whitney Corporation Q1 2026 Earnings Call

1. Key Financial Results and Metrics:

• Adjusted Return on Assets (ROA): 1.43%
• Return on Tangible Common Equity (ROTCE): 14.64%
• Earnings Per Share (EPS): $1.52, up over 10% year-over-year.
• Net Interest Margin (NIM): Expanded by 7 basis points to 3.55%.
• Net Income: $125 million, slightly down from $126 million in Q4 2025.
• Loan Growth: Increased by $33 million (1% annualized), with total loan production at $1.2 billion, up $365 million year-over-year.
• Deposits: Decreased by $198 million (3% annualized), primarily due to seasonal public fund outflows.
• Common Equity Tier 1 Ratio: 13.3%, with a Tangible Common Equity (TCE) ratio of 9.93%.

2. Strategic Updates and Business Highlights:

• Welcomed 27 net new revenue producers, enhancing the sales team and expected to drive future loan growth.
• Continued focus on fee income, which remained stable despite a slight decline in specialty income.
• Capital Management: Returned capital to shareholders through the repurchase of 1.4 million shares and an 11% increase in the quarterly cash dividend to $0.50 per share.
• Completed a bond portfolio restructuring aimed at improving yields, contributing to NIM expansion.

3. Forward Guidance and Outlook:

• Loan Growth Guidance: Maintained at mid-single digits for 2026, with expectations for stronger growth in the latter half of the year.
• Deposit Growth: Expected to increase in low single digits from 2025 levels.
• NIM Guidance: Anticipated to expand further, with a target increase of 12-15 basis points for the year, supported by bond yield improvements and lower deposit costs.

4. Bad News, Challenges, or Points of Concern:

• Loan Growth Challenges: The first quarter saw lower loan growth due to seasonal factors and higher-than-expected paydowns, raising concerns about sustaining momentum.
• Deposit Declines: Notable outflows in public funds impacted overall deposit levels, although core deposits showed some resilience.
• Market Volatility: Economic uncertainties, including geopolitical tensions and rising operating costs, could affect borrower sentiment and credit quality.
• Competition: Intense competition in the lending market may pressure loan yields and margins.

5. Notable Q&A Insights:

• Management expressed confidence in loan growth, citing a strong pipeline and the impact of new banker hires, particularly in business banking.
• The company is monitoring macroeconomic trends closely, with a focus on managing credit quality amid rising costs for clients.
• There was discussion on the potential for fee income growth, particularly in wealth management, contingent on market conditions.
• Management noted that while they expect some stability in loan yields, competition could limit significant increases.
• The bond restructuring was deemed a strategic move, despite a longer payback period, as it is expected to enhance capital efficiency and returns.

Overall, Hancock Whitney Corporation reported solid earnings and maintained a positive outlook for the year, despite facing challenges in loan growth and deposit levels. The strategic focus on expanding the sales team and managing capital effectively positions the bank for future growth.