(Dollars in thousands, except earnings per share)
Three Months Ended
Nine Months Ended
Sep 30, 2025
Jun 30, 2025
Sep 30, 2024
Sep 30, 2025
Sep 30, 2024
Net income and earnings per share:
Net income
$
59,788
$
1,018
$
72,455
$
102,324
$
150,710
After-tax gain on sale on insurance agency
—
—
38,951
—
38,951
Merger and conversion related expenses (net of tax)
(13,129
)
(15,935
)
—
(29,561
)
—
Day 1 acquisition provision (net of tax)
—
(50,026
)
—
(50,026
)
—
Basic EPS
0.63
0.01
1.18
1.21
2.60
Diluted EPS
0.63
0.01
1.18
1.20
2.59
Adjusted diluted EPS (Non-GAAP)(1)
0.77
0.69
0.70
2.13
2.03
Impact to diluted EPS from after-tax gain on sale of insurance agency
—
—
0.63
—
0.67
Impact to diluted EPS from merger and conversion related expenses (net of tax)
(0.14
)
(0.17
)
—
(0.35
)
—
Impact to diluted EPS from Day 1 acquisition provision (net of tax)
—
(0.53
)
—
(0.59
)
—
"Renasant's financial performance in the third quarter was strong with good loan growth and profit improvement," remarked Kevin D. Chapman, President and Chief Executive Officer of the Company. "The integration with The First continues to go well and we believe positions us to meet the financial goals of the merger."
Quarterly Highlights
Earnings
Net income for the third quarter of 2025 was $59.8 million, which includes merger and conversion related expenses of $17.5 million; diluted EPS and adjusted diluted EPS (non-GAAP)(1) were $0.63 and $0.77, respectively
Net interest income (fully tax equivalent) for the third quarter of 2025 was $228.1 million, up $5.4 million linked quarter
For the third quarter of 2025, net interest margin was 3.85%. Adjusted net interest margin (non-GAAP)(1) was 3.62%, up 4 basis points linked quarter
Cost of total deposits was 2.14% for the third quarter of 2025, up 2 basis points linked quarter
Noninterest income, excluding the $1.5 million gain on sale of mortgage servicing rights ("MSRs") in the second quarter of 2025, decreased $0.8 million linked quarter
Excluding the gain on sale of MSRs, mortgage banking income decreased $0.8 million linked quarter. The mortgage division generated $590.2 million in interest rate lock volume in the third quarter of 2025, down $89.4 million linked quarter. Gain on sale margin was 1.32% for the third quarter of 2025, down 55 basis points linked quarter
Excluding merger and conversion related expenses, noninterest expense increased $3.6 million linked quarter
Balance Sheet
Loans increased $462.1 million linked quarter, representing 9.9% annualized net loan growth
Securities increased $16.2 million linked quarter. The Company purchased $113.0 million in securities during the third quarter, which was offset by cash flows related to principal payments, calls and maturities of $115.2 million and a positive fair market value adjustment in the Company's available-for-sale portfolio of $18.4 million
Deposits at September 30, 2025 decreased $158.1 million linked quarter. Public fund seasonality was the primary driver with a decrease of $169.6 million linked quarter. Noninterest bearing deposits decreased $117.7 million linked quarter and represented 24.5% of total deposits at September 30, 2025
Capital and Stock Repurchase Program
Book value per share and tangible book value per share (non-GAAP)(1) increased 1.2% and 2.9%, respectively, linked quarter
Effective October 28, 2025, the Company's Board of Directors approved a $150.0 million stock repurchase program under which the Company is authorized to repurchase outstanding shares of its common stock either in open market purchases or privately negotiated transactions. This plan, which will remain in effect until the earlier of October 2026 or the repurchase of the entire amount authorized under the plan, replaces the Company's $100.0 million stock repurchase program that expired October 2025. There was no buyback activity during the third quarter of 2025
The Company redeemed $60.0 million in subordinated notes acquired from The First Bancshares, Inc. ("The First") on October 1, 2025
Credit Quality
The Company recorded a provision for credit losses of $10.5 million for the third quarter of 2025. Excluding the provision recorded in the second quarter in connection with the acquisition of The First of $66.6 million, provision for credit losses decreased $4.3 million linked quarter
The ratio of the allowance for credit losses on loans to total loans was 1.56% at September 30, 2025, down one basis point linked quarter
The coverage ratio, or the allowance for credit losses on loans to nonperforming loans, was 173.47% at September 30, 2025, compared to 204.97% at June 30, 2025
Net loan charge-offs for the third quarter of 2025 were $4.3 million
Nonperforming loans to total loans increased to 0.90% at September 30, 2025 compared to 0.76% at June 30, 2025, and criticized loans (which include classified and Special Mention loans) to total loans increased to 3.22% at September 30, 2025, compared to 2.66% at June 30, 2025
(1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading "Non-GAAP Financial Measures" explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.
Income Statement
(Dollars in thousands, except per share data)
Three Months Ended
Nine Months Ended
Sep 30,2025
Jun 30,2025
Mar 31,2025
Dec 31,2024
Sep 30,2024
Sep 30,2025
Sep 30,2024
Interest income
Loans held for investment
$
308,110
$
301,794
$
196,566
$
199,240
$
202,655
$
806,470
$
593,442
Loans held for sale
4,675
4,639
3,008
3,564
4,212
12,322
10,050
Securities
30,217
28,408
12,117
10,510
10,304
70,742
31,414
Other
8,096
9,057
8,639
12,030
11,872
25,792
27,527
Total interest income
351,098
343,898
220,330
225,344
229,043
915,326
662,433
Interest expense
Deposits
115,573
111,921
79,386
85,571
90,787
306,880
261,021
Borrowings
12,005
13,118
6,747
6,891
7,258
31,870
22,098
Total interest expense
127,578
125,039
86,133
92,462
98,045
338,750
283,119
Net interest income
223,520
218,859
134,197
132,882
130,998
576,576
379,314
Provision for credit losses
Provision for loan losses
9,650
75,400
2,050
3,100
1,210
87,100
8,148
Provision for (recovery of) unfunded commitments
800
5,922
2,700
(500
)
(275
)
9,422
(1,475
)
Total provision for credit losses
10,450
81,322
4,750
2,600
935
96,522
6,673
Net interest income after provision for credit losses
213,070
137,537
129,447
130,282
130,063
480,054
372,641
Noninterest income
46,026
48,334
36,395
34,218
89,299
130,755
169,442
Noninterest expense
183,830
183,204
113,876
114,747
121,983
480,910
346,871
Income before income taxes
75,266
2,667
51,966
49,753
97,379
129,899
195,212
Income taxes
15,478
1,649
10,448
5,006
24,924
27,575
44,502
Net income
$
59,788
$
1,018
$
41,518
$
44,747
$
72,455
$
102,324
$
150,710
Adjusted net income (non-GAAP)(1)
$
72,917
$
65,877
$
42,111
$
46,458
$
42,960
$
180,809
$
118,588
Adjusted pre-provision net revenue ("PPNR") (non-GAAP)(1)
$
103,210
$
103,001
$
57,507
$
54,177
$
56,238
$
263,718
$
156,281
Basic earnings per share
$
0.63
$
0.01
$
0.65
$
0.70
$
1.18
$
1.21
$
2.60
Diluted earnings per share
0.63
0.01
0.65
0.70
1.18
1.20
2.59
Adjusted diluted earnings per share (non-GAAP)(1)
0.77
0.69
0.66
0.73
0.70
2.13
2.03
Average basic shares outstanding
94,623,551
94,580,927
63,666,419
63,565,437
61,217,094
84,403,694
57,934,806
Average diluted shares outstanding
95,284,603
95,136,160
64,028,025
64,056,303
61,632,448
84,934,390
58,297,554
Cash dividends per common share
$
0.22
$
0.22
$
0.22
$
0.22
$
0.22
$
0.66
$
0.66
(1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading "Non-GAAP Financial Measures" explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.
Performance Ratios
Three Months Ended
Nine Months Ended
Sep 30,2025
Jun 30,2025
Mar 31,2025
Dec 31,2024
Sep 30,2024
Sep 30,2025
Sep 30,2024
Return on average assets
0.90
%
0.02
%
0.94
%
0.99
%
1.63
%
0.58
%
1.16
%
Adjusted return on average assets (non-GAAP)(1)
1.09
1.01
0.95
1.03
0.97
1.03
0.91
Return on average tangible assets (non-GAAP)(1)
1.06
0.13
1.01
1.07
1.75
0.70
1.25
Adjusted return on average tangible assets (non-GAAP)(1)
1.27
1.18
1.02
1.11
1.05
1.17
0.99
Return on average equity
6.25
0.11
6.25
6.70
11.29
4.01
8.38
Adjusted return on average equity (non-GAAP)(1)
7.62
7.06
6.34
6.96
6.69
7.08
6.59
Return on average tangible equity (non-GAAP)(1)
11.87
1.43
10.16
10.97
18.83
7.69
14.69
Adjusted return on average tangible equity (non-GAAP)(1)
14.22
13.50
10.30
11.38
11.26
12.88
11.61
Efficiency ratio (fully taxable equivalent)
67.05
67.59
65.51
67.61
54.73
66.88
62.33
Adjusted efficiency ratio (non-GAAP)(1)
57.51
57.07
64.43
65.82
64.62
59.02
66.46
Dividend payout ratio
34.92
2200.00
33.85
31.43
18.64
54.55
25.38
Capital and Balance Sheet Ratios
As of
Sep 30, 2025
Jun 30, 2025
Mar 31, 2025
Dec 31, 2024
Sep 30, 2024
Shares outstanding
95,020,881
95,019,311
63,739,467
63,565,690
63,564,028
Market value per share
$
36.89
$
35.93
$
33.93
$
35.75
$
32.50
Book value per share
40.26
39.77
42.79
42.13
41.82
Tangible book value per share (non-GAAP)(1)
23.77
23.10
27.07
26.36
26.02
Shareholders' equity to assets
14.31
%
14.19
%
14.93
%
14.85
%
14.80
%
Tangible common equity ratio (non-GAAP)(1)
8.98
8.77
9.99
9.84
9.76
Leverage ratio(2)
9.46
9.36
11.39
11.34
11.32
Common equity tier 1 capital ratio(2)
11.04
11.08
12.59
12.73
12.88
Tier 1 risk-based capital ratio(2)
11.04
11.08
13.35
13.50
13.67
Total risk-based capital ratio(2)
14.88
14.97
16.89
17.08
17.32
(1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading "Non-GAAP Financial Measures" explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.
(2) Preliminary
Noninterest Income and Noninterest Expense
(Dollars in thousands)
Three Months Ended
Nine Months Ended
Sep 30,2025
Jun 30, 2025
Mar 31,2025
Dec 31,2024
Sep 30,2024
Sep 30,2025
Sep 30,2024
Noninterest income
Service charges on deposit accounts
$
13,416
$
13,618
$
10,364
$
10,549
$
10,438
$
37,398
$
31,230
Fees and commissions
4,167
6,650
3,787
4,181
4,116
14,604
12,009
Insurance commissions
—
—
—
—
—
—
5,474
Wealth management revenue
8,217
7,345
7,067
6,371
5,835
22,629
17,188
Mortgage banking income
9,017
11,263
8,147
6,861
8,447
28,427
29,515
Gain on sale of insurance agency
—
—
—
—
53,349
—
53,349
Gain on extinguishment of debt
—
—
—
—
—
—
56
BOLI income
4,235
3,383
2,929
3,317
2,858
10,547
8,250
Other
6,974
6,075
4,101
2,939
4,256
17,150
12,371
Total noninterest income
$
46,026
$
48,334
$
36,395
$
34,218
$
89,299
$
130,755
$
169,442
Noninterest expense
Salaries and employee benefits
$
98,982
$
99,542
$
71,957
$
70,260
$
71,307
$
270,481
$
213,508
Data processing
5,541
5,438
4,089
4,145
4,133
15,068
11,885
Net occupancy and equipment
18,415
17,359
11,754
11,312
11,415
47,528
34,648
Other real estate owned
328
157
685
590
56
1,170
268
Professional fees
3,435
4,223
2,884
2,686
3,189
10,542
9,732
Advertising and public relations
5,254
4,490
4,297
3,840
3,677
14,041
12,370
Intangible amortization
8,674
8,884
1,080
1,133
1,160
18,638
3,558
Communications
3,955
3,184
2,033
2,067
2,176
9,172
6,312
Merger and conversion related expenses
17,494
20,479
791
2,076
11,273
38,764
11,273
Other
21,752
19,448
14,306
16,638
13,597
55,506
43,317
Total noninterest expense
$
183,830
$
183,204
$
113,876
$
114,747
$
121,983
$
480,910
$
346,871
Mortgage Banking Income
(Dollars in thousands)
Three Months Ended
Nine Months Ended
Sep 30,2025
Jun 30,2025
Mar 31,2025
Dec 31,2024
Sep 30,2024
Sep 30,2025
Sep 30,2024
Gain on sales of loans, net
$
5,270
$
5,316
$
4,500
$
2,379
$
4,499
$
15,086
$
14,233
Fees, net
3,050
3,740
2,317
2,850
2,646
9,107
7,366
Mortgage servicing income, net
697
2,207
1,330
1,632
1,302
4,234
7,916
Total mortgage banking income
$
9,017
$
11,263
$
8,147
$
6,861
$
8,447
$
28,427
$
29,515
Balance Sheet
(Dollars in thousands)
As of
Sep 30, 2025
Jun 30, 2025
Mar 31, 2025
Dec 31, 2024
Sep 30, 2024
Assets
Cash and cash equivalents
$
1,083,785
$
1,378,612
$
1,091,339
$
1,092,032
$
1,275,620
Securities held to maturity, at amortized cost
1,051,884
