Western Alliance Bancorporation (WAL) Q3 2026 earnings summary

Executive summary

• Q3 net income was $277.2 million and diluted EPS was $2.45; PPNR reached $419.1 million, up 6.4% YoY.

• Deposit optimization, lower nonaccrual balances and share repurchases advanced; commercial deposit growth kept deposits near $81.8 billion.

• HFI loans grew $4.9 billion YoY; management cited stronger earnings durability and medium-term return goals.

Financial highlights

• Net revenue was $1,014.2 million, up 1.9% QoQ and 8.1% YoY; net interest income was $807.6 million, up 1.3% QoQ and 7.6% YoY.

• Net income was $277.2 million, up 6.4% YoY; net income available to common stockholders was $266.9 million. Diluted EPS of $2.45 rose 7.5% YoY.

• PPNR was $419.1 million, up 6.4% YoY; non-interest income was $206.6 million and non-interest expense was $595.1 million.

• Total deposits were $81.755 billion, down $119 million QoQ; HFI loans were $61.549 billion, up $600 million QoQ and $4.9 billion YoY.

• Provision for credit losses was $80.0 million; net loan charge-offs were $45.8 million, or 0.30% of average loans.

Outlook and guidance

• FY26 deposit growth guidance was reduced to $3.5–$4.0 billion from $6 billion; HFI loan growth guidance is $4.0 billion, down $1 billion.

• FY26 NII growth guidance is 11%–12%, revised from 12%–14%; non-interest income growth guidance is 18%–21%, raised from 13%–17%.

• FY26 non-interest expense guidance is $1.60–$1.65 billion, with results expected toward the upper end; deposit costs are forecast at $650–$675 million.

• FY26 net charge-off guidance is 25–35 bps and the effective tax rate is 19%; core charge-offs excluding fraud are tracking to the upper half of the range.

• Q4 NII dollars are expected flat to slightly higher QoQ; seasonal mortgage-related outflows typically create a 3–4 bps NIM headwind, and mortgage banking revenue is expected near $70 million.