Bank OZK (OZK) Q3 2026 earnings summary

Executive summary

• Q3 net income available to common stockholders was $164.3M and diluted EPS was $1.50; assets were $43.2B, loans $34.1B and deposits $34.8B, all record levels.

• Strategy focuses on loan and deposit diversification, stronger fee income, lower-cost funding and more efficient capital use to support returns.

Financial highlights

• Q3 net income fell 9.0% YoY and rose 0.6% QoQ; 9M net income was $487.0M, down 7.7% YoY. Diluted EPS was $1.50, down 5.7% YoY and up 0.7% QoQ; 9M EPS was $4.43, down 4.5%.

• Q3 net interest income was $403.0M, down 2.6% YoY and up 2.8% QoQ; 9M NII was $1.18B, down 0.4%.

• Q3 non-interest income was $36.3M, up 0.5% YoY; 9M was $106.7M, up 4.5%. Q3 non-interest expense rose 11.6% YoY to $177.8M; 9M rose 11.7% to $513.0M.

Outlook and guidance

• FY26 loan growth guidance is 3%-5%; Q4 RESG repayments may slightly retrace balances and pull some repayments expected in early 2027 into 2026. FY27 loan growth guidance is 10%-12%, with acceleration possible in 2028.

• Q4 NII is expected at or slightly below Q3; 2027 NII is expected to grow at a low-single-digit rate vs. 2026, assuming no further Fed funds target rate changes. Further rate hikes could improve NII and NIM depending on timing and deposit costs.

• Q4 non-interest income is expected to equal or exceed the Q2 record; FY26 and FY27 growth is projected at high single digits. Q4 is expected to set a record excluding historical acquisition bargain-purchase gains.

• Q4 non-interest expense is expected near Q3 levels; FY27 expense growth is projected at high single digits. Q4 NIM is expected below Q1's 4.20% absent further Fed changes; 2027 NIM has downward bias from deposit competition and debt repricing.

• Credit conditions are expected to improve through 2027; provision needs will also reflect loan growth, credit models and macroeconomic conditions.