01—Abstract
Summary
Summary of the 10-Q filed April 30, 2026. Cited figures are marked; the original filing is the authoritative source.
Huntington Bancshares Incorporated reported net income attributable to Huntington of $523 milliona, or $0.25 per diluted common share, for the first quarter of 2026, compared with $527 million, or $0.34 per diluted share, a year earlier.
Results were affected by $263 millionb of acquisition-related expenses, or $210 million after tax, tied to the Cadence and Veritex acquisitions, which reduced diluted earnings by $0.12 per share. Net interest income rose 33% to $1.9 billion, driven by a 27% increase in average earning assets and a net interest margin of 3.24%, up 14 basis points. Noninterest income increased 38% to $682 million, while noninterest expense rose 54% to $1.8 billion, including the acquisition-related costs.
The Cadence acquisition, effective February 1, 2026, with total consideration of $8.3 billionc, drove most of the balance sheet growth. Total assets were $285.4 billion at March 31, 2026, up 27% from December 31, 2025, and total deposits were $223.5 billion. Loans and leases totaled $188.8 billion, and the allowance for credit losses was $3.4 billion, or 1.78% of total loans and leases.
Nonperforming assets rose 44% to $1.4 billion, primarily due to $295 milliond of nonperforming assets assumed in the Cadence acquisition. Net charge-offs were an annualized 0.26% of average loans and leases, unchanged from a year earlier. Capital remained above well-capitalized standards, though the consolidated CET1 risk-based capital ratio declined to 10.2% from 10.4%, driven by the Cadence acquisition and share repurchases.
The company repurchased $150 million of common stock in the quarter. On April 22, 2026, the Board approved a new share repurchase authorization of up to $3.0 billion and declared a quarterly common dividend of $0.155 per share. The filing also notes that the federal banking agencies issued proposed rules on March 19, 2026 to modernize the regulatory capital framework, which the company is evaluating.
02—Key points
Key Highlights
- Net income attributable to Huntington was $523 million, or $0.25 per diluted share, versus $527 million, or $0.34 per diluted share, a year earlier, with $263 million of acquisition-related expenses weighing on results.
- Net interest income increased 33% to $1.9 billion, and the net interest margin rose to 3.24% from 3.10%, reflecting lower funding costs partly offset by lower earning asset yields.
- Noninterest income rose 38% to $682 million, led by capital markets and advisory fees, which increased 97% and included three business units acquired from Janney in January 2026.
- Noninterest expense rose 54% to $1.8 billion; excluding acquisition-related expenses, it was $1.5 billion, an increase of 31%.
- Total assets reached $285.4 billion, up 27%, primarily from $51.3 billion of assets acquired in the Cadence transaction, and total deposits reached $223.5 billion, up 27%.
- Credit quality metrics showed nonaccrual loans and leases of $1.3 billion, a nonaccrual ratio of 0.71% of total loans, and an ACL of 1.78% of total loans and leases, with net charge-offs at 0.26% annualized.
- CET1 risk-based capital ratio was 10.2% versus 10.4% at year-end 2025; the company repurchased $150 million of stock and approved a new $3.0 billion repurchase authorization on April 22, 2026.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2026filed April 30, 2026Financial Statements
Q1 FY2026 against Q1 FY2025
| Line item | Q1 FY2026Q1 FY2025 | Change |
|---|---|---|
| Revenue | $472.00M$351.00M | +34.5% |
| Net Income | $523.00M$527.00M | −0.8% |
| EPS (Basic) | $0.26$0.34 | −23.5% |
| EPS (Diluted) | $0.25$0.34 | −26.5% |
| Shares Outstanding (Basic) | 1.87B1.45B | +28.5% |
| Shares Outstanding (Diluted) | 1.90B1.48B | +28.3% |
05—Questions
Frequently Asked Questions
How did the Cadence acquisition affect Huntington's financial position this quarter?
Cadence Bank merged into Huntington National Bank effective February 1, 2026, with total consideration of $8.3 billion. The company acquired $51.3 billion of assets and assumed $46.5 billion of liabilities, adding $36.9 billion of loans and $43.5 billion of deposits, and recorded $3.5 billion of preliminary goodwill. Average balance sheet comparisons with the prior year are therefore heavily affected by the acquisitions.
Why did earnings per share decline despite higher net interest income?
Diluted earnings per share fell to $0.25 from $0.34. Noninterest expense rose $622 million, including $263 million of acquisition-related expenses, and the average diluted share count increased to 1,901 million from 1,482 million, largely due to shares issued in the acquisitions. Net income attributable to Huntington was $523 million, down from $527 million, and preferred dividends rose to $41 million from $27 million.
What is the company's credit quality outlook based on this filing?
Nonperforming assets totaled $1.4 billion, up $412 million, or 44%, from December 31, 2025, mainly due to $295 million assumed in the Cadence acquisition and higher commercial and industrial and commercial real estate nonaccrual loans. The provision for credit losses was $158 million. Management's baseline scenario projects unemployment at 4.5% through 2026, and an adverse scenario would increase the ACL by a hypothetical $1.2 billion.
Did Huntington change its capital return plans?
During the first quarter, the company repurchased 9.0 million common shares for $150 million. On April 22, 2026, the Board approved a new authorization of up to $3.0 billion, replacing the prior authorization, and declared a quarterly common dividend of $0.155 per share payable July 1, 2026. Current quarterly dividend declarations are expected to total approximately $355 million.
What interest rate sensitivity does the balance sheet show?
The net interest income at risk analysis shows the balance sheet is asset-sensitive at both March 31, 2026 and December 31, 2025. Under a +200 basis point ramp scenario, net interest income at risk is 2.6%, while a -200 basis point scenario shows -1.4%. Economic value of equity at risk under a +200 basis point shock is -6.7%.
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