Renasant (RNST) investor relations material

Executive summary

• Adjusted EPS reached $0.93 in Q1 2026, up 41% year-over-year, with net income of $88.2 million and diluted EPS of $0.94, reflecting strong profitability and successful integration of recent acquisitions.

• Return on assets rose to 1.33% from 0.94% year-over-year, and return on tangible equity increased to 16.3% from 10.3% year-over-year.

• Efficiency ratio improved to 55.7% from 65.5% year-over-year; adjusted efficiency ratio improved to 52.82% from 64.43%.

• Successfully completed the largest merger, conversion, and integration in company history, maintaining customer focus and achieving significant cost savings.

• Quarterly dividend increased by $0.01 to $0.24 per share, and stock repurchase authorization was increased by $100 million.

Financial highlights

• Loans decreased by $71.8 million sequentially (1.5% annualized), while deposits increased by $626.4 million (11.8% annualized), driven by seasonal public fund inflows.

• Net interest margin was 3.87%, down 2 basis points sequentially; adjusted net interest margin was 3.61%.

• Noninterest income was $50.3 million, with mortgage banking income up $0.5 million sequentially; noninterest income decreased $0.8 million sequentially due to a prior one-time gain.

• Noninterest expense was $155.3 million, a $4.9 million decrease from Q4 excluding merger expenses; merger/conversion expenses down $10.6 million.

• Allowance for credit losses on loans increased to 1.56% of total loans, up 2 basis points sequentially.

Outlook and guidance

• Reaffirmed mid-single digit growth outlook for both loans and deposits for the year.

• Net interest margin expected to remain stable for 2026, with little impact anticipated from potential rate cuts.

• Modest increase in expenses expected in Q2 due to merit increases and hiring, with low single-digit percentage growth projected.

• Fee income expected to see modest improvement, with mortgage and wealth management highlighted as growth areas.

• Board approved a $0.24 per share quarterly dividend and increased stock repurchase authorization by $100 million.