Renasant (RNST) Q4 2025 earnings summary

Executive summary

• 2025 was a transformative year, marked by improved profitability, strong balance sheet growth, and the successful completion of the largest merger in company history, with full systems integration in Q3.

• Q4 2025 net income was $78.9 million, up from $44.7 million in Q4 2024, with diluted EPS of $0.83 and adjusted diluted EPS of $0.91, reflecting strong profitability and successful integration of The First Bancshares.

• Organic loan and deposit growth was achieved, with a focus on leveraging presence in strong economies and delivering excellent customer service.

• Strategic priorities and balance sheet growth contributed to strong quarterly results.

Financial highlights

• Adjusted earnings per share for 2025 were $3.06, up 11% year-over-year.

• Q4 net income was $78.9 million ($0.83 per diluted share); adjusted earnings excluding merger charges were $86.9 million ($0.91 per diluted share).

• Net interest margin for Q4 2025 was 3.89%, up 4 basis points sequentially; adjusted net interest margin was flat at 3.62%.

• Noninterest income increased $5.1 million sequentially, including $2.0 million from exiting certain tax credit partnerships.

• Noninterest expense decreased $13.1 million sequentially, driven by lower merger and conversion costs and a $2.1 million net gain from branch consolidation.

• Loans grew $21.5 million (0.4% annualized) and deposits increased $48.5 million (0.9% annualized) from Q3.

Outlook and guidance

• Targeting mid-single-digit loan growth for 2026, with some quarter-to-quarter lumpiness expected due to payoffs.

• Margin outlook for 2026 is stable, with two assumed Fed rate cuts; net interest income expected to grow modestly with balance sheet growth.

• Core non-interest expense expected to decline by $2–$3 million in Q1 2026, mainly from salary reductions.

• No further M&A expenses anticipated in Q1 2026.

• Management expects continued growth and success in 2026, citing strong fundamentals and momentum.