Associated Banc-Corp (ASB) Q2 2026 earnings summary

Executive summary

• Achieved 9%-10% organic C&I loan growth target for 2026 by mid-year, with $600M added in Q2 and strong commercial relationship growth.

• Net income for Q2 2026 was $123.6 million, up from $111.2 million in Q2 2025, with net income available to common equity at $120.7 million, or $0.63 per diluted share.

• The acquisition of American National Corporation in April 2026 significantly increased average loans, deposits, and earning assets, driving growth across key financial metrics.

• Organic customer household growth exceeded 2% annualized, and organic core customer deposits rose 6% year-over-year, marking the strongest June-to-June growth in five years.

• Integration of American National is progressing as planned, with systems and branch conversion expected in October 2026.

Financial highlights

• Q2 GAAP EPS was $0.63; adjusted EPS was $0.73, excluding $24M in non-recurring acquisition costs.

• Total loans grew 15% sequentially to $36.5B, driven by the addition of nearly $4B in American National balances; organic loan growth was 3% ($940M).

• Net interest income rose to $370M, up 20% sequentially and 23% year-over-year; net interest margin improved to 3.17%.

• Noninterest income reached $80M, up $5M sequentially and $13M year-over-year.

• Noninterest expense was $272M, including $24M in nonrecurring acquisition costs.

Outlook and guidance

• 2026 period-end total loan growth expected at 18%-20%; C&I loan growth at 20%-22% year-over-year.

• 2026 period-end total deposit growth forecasted at 17%-19%; core customer deposit growth at 19%-21%.

• Net interest income projected to grow 19%-21% in 2026; noninterest income to rise 8%-10%.

• Noninterest expense expected to increase 20%-21% in 2026, with full run-rate cost savings realized in Q1 2027.

• Annual effective tax rate anticipated between 19% and 21%.