Old National Bancorp (ONB) Q2 2026 earnings summary

Executive summary

• Achieved record second quarter results for 2026, including net income of $249.4 million, adjusted EPS of $0.65, and record efficiency ratios, with strong organic growth and disciplined expense management.

• Adjusted return on average tangible common equity was approximately 20%, and adjusted ROA was 1.39%.

• End-of-period loans increased by $1 billion (8.3% annualized), driven by robust commercial production and a record commercial pipeline of $5.6 billion.

• Fee income showed broad-based strength, supporting a more balanced earnings engine less reliant on net interest income.

• Enhanced executive leadership structure with the formation of an Operating Group and expansion of the Executive Leadership Team to drive strategy and execution.

Financial highlights

• GAAP and adjusted EPS for 2Q were $0.65, with net income reaching $249 million and adjusted net income of $250 million.

• Net interest income (FTE) rose to $586.5 million, up 12% year-over-year.

• Adjusted noninterest income increased 25% year-over-year to $140 million.

• Tangible book value per share increased 14% year-over-year and 11% annualized from the prior quarter.

• CET1 ratio finished at 11.09%, with a loan-to-deposit ratio of 91%.

Outlook and guidance

• Increased full-year 2026 loan growth guidance to 6%-8% and raised non-interest income outlook.

• NII guidance unchanged, but updated for sub debt issuance; NIM and NII expected to improve in the second half of the year.

• Noninterest expense expected at $1.435–$1.455 billion; net charge-off ratio forecasted at 0.25–0.30%.

• Expect 15%+ EPS growth for the full year, with positive operating leverage and peer-leading profitability.

• Plan to fully utilize remaining buyback authorization by February 2027.