Regions Financial reported second-quarter 2026 earnings of $549 million, up from $539 million in the first quarter, while diluted earnings per share rose to $0.64 from $0.62.
On an adjusted basis, earnings increased to $583 million from $539 million, and adjusted diluted EPS climbed to $0.68 from $0.62.
Total revenue was $1.907 billion, up from $1.873 billion in the prior quarter and essentially flat versus $1.905 billion a year earlier. Adjusted total revenue reached $1.947 billion, compared with $1.873 billion in the first quarter and $1.905 billion in the second quarter of 2025.
Net interest income increased to $1.277 billion from $1.248 billion, while taxable-equivalent net interest income rose to $1.291 billion from $1.261 billion. Net interest margin was 3.66%, down 1 basis point from 3.67% in the first quarter and up slightly from 3.65% a year earlier.
Non-interest income totaled $630 million, up from $625 million in the first quarter but down from $646 million a year earlier. Adjusted non-interest income was $670 million, compared with $625 million in the first quarter and $646 million in the same period last year.
Wealth management income set another record at $150 million, up from $141 million in the first quarter and $133 million a year earlier. Card and ATM fees rose to $126 million from $117 million. Service charges on deposit accounts increased to $167 million from $163 million. Mortgage income edged up to $33 million from $32 million.
Non-interest expense increased to $1.121 billion from $1.068 billion in the first quarter and $1.073 billion a year earlier. Adjusted non-interest expense was $1.116 billion, up from $1.068 billion in the first quarter and $1.073 billion in the second quarter of 2025.
Salaries and employee benefits rose to $697 million from $659 million, while outside services climbed to $47 million from $42 million. FDIC insurance assessments fell to $17 million from $19 million. The efficiency ratio was 58.3%, compared with 56.6% in the first quarter.
Average loans increased to $98.722 billion from $96.423 billion, while ending loans rose to $99.200 billion from $97.926 billion. Average business lending climbed to $66.635 billion from $64.045 billion, led by commercial and industrial loans, which rose to $51.504 billion from $49.572 billion. Investor real estate averaged $9.789 billion, up from $9.327 billion. Average consumer lending slipped to $32.087 billion from $32.378 billion.
Average deposits were $130.691 billion, up slightly from $130.234 billion. Ending deposits were $130.710 billion, down from $131.880 billion. Average interest-bearing deposits were $90.953 billion, down from $91.074 billion, while average non-interest-bearing deposits rose to $39.738 billion from $39.160 billion.
Credit metrics improved. Net charge-offs were $102 million, down from $130 million in the first quarter, and the annualized net charge-off ratio fell to 0.42% from 0.54%. The allowance for credit losses declined to $1.613 billion from $1.647 billion, and the allowance ratio fell to 1.63% from 1.68%. Non-performing loans declined to 0.67% of loans from 0.71%, while coverage of non-performing loans rose to 241% from 238%.
Capital remained steady, with common equity tier 1 at 10.7%, unchanged from the first quarter. The CET1 ratio including AOCI improved to 9.5% from 9.4%. Return on average tangible common equity increased to 19.01% from 18.26%, and adjusted return on average tangible common equity rose to 20.18% from 18.26%. Today the company's shares have moved -0.18% to a price of $32.3425. If you want to know more, read the company's complete 8-K report here.
