Hancock Whitney Corporation Reports $119.5 Million Net Income in Q1 2025

Hancock Whitney Corporation reported a net income of $119.5 million for the first quarter of 2025, translating to earnings of $1.38 per diluted share. This marks a slight decrease from the previous quarter's net income of $122.1 million, or $1.40 per diluted share, but represents an increase from $108.6 million, or $1.24 per diluted share, in the same quarter of 2024. The company's total interest income for the quarter was $395.3 million, down from $421.7 million year-over-year, while interest expense decreased to $125.4 million from $155.5 million, contributing to a net interest income of $272.7 million, a 1% decline from the prior quarter but a 1% increase from the previous year.

In terms of operational metrics, total loans decreased by $201.3 million, or 1%, to $23.1 billion compared to the end of 2024, reflecting softer demand and increased payoffs in large healthcare and commercial non-real estate credits. Total deposits also fell by $298.1 million, or 1%, to $29.2 billion, primarily due to seasonal declines in public funds deposits. The company maintained a strong capital position, with a common equity tier 1 ratio of 14.48%, up 34 basis points from the previous quarter, and a tangible common equity ratio of 10.01%, an increase of 54 basis points.

Hancock Whitney's strategic initiatives included the announcement of its acquisition of Sabal Trust Company, a non-depository trust company, which closed on May 2, 2025. This acquisition is expected to enhance the company's service offerings and client base, although it is not anticipated to have a material impact on financial results. The company also executed a stock buyback program, repurchasing 350,000 shares at an average price of $59.28 per share during the quarter, as part of its strategy to enhance shareholder value.

The allowance for credit losses stood at $343.2 million, reflecting a modest increase from the previous quarter, with the allowance coverage to total loans at 1.49%. The company reported annualized net charge-offs of 0.18% of average loans, a slight decrease from 0.20% in the prior quarter. The credit quality indicators showed a decrease in criticized commercial loans, while nonaccrual loans increased to $104.2 million, representing 0.45% of total loans. The company continues to monitor its portfolio closely amid ongoing economic uncertainties, including inflation and elevated interest rates.

Looking ahead, Hancock Whitney expects modest loan growth in the low single digits for 2025, with net interest income projected to increase by 3% to 4% compared to 2024. The company remains focused on optimizing its balance sheet and managing expenses effectively, positioning itself to enhance shareholder value while navigating the current economic landscape.