10-Q · August 4, 2026
PNFP's first full post-merger Q2 showed $1.203 billion of revenue, up 138% year over year, and reported EPS of $2.07, up from $2.00; adjusted EPS was $2.50. Results benefited materially from the Synovus combination and…
Earnings analysis · 10-Q
PNFP earnings analysis
Filed November 2, 2026 · Our reading of the company's report
The latest report
PNFP delivered strong reported Q3 growth following the Synovus merger, with revenue up 141% to $1.312 billion, GAAP diluted EPS rising to $2.40, and loans and deposits increasing sequentially. Banking and Wealth both…
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PNFP delivered strong reported Q3 growth following the Synovus merger, with revenue up 141% to $1.312 billion, GAAP diluted EPS rising to $2.40, and loans and deposits increasing sequentially. Banking and Wealth both improved, operating cash flow was $1.392 billion year to date, and management maintained its 2026 quantitative outlook. However, $56 million of quarterly merger expense, higher funding costs, weaker credit metrics, lower capital ratios, and substantial unrealized securities losses temper the outlook; the filing also states that no material risk-factor changes occurred versus the March 31, 2026 10-Q.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $2.4
What stood out
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Revenue and net interest income surged
Q3 total revenue increased 141% year over year to $1.312 billion from $544 million, driven primarily by the January 1, 2026 merger. Net interest income rose 148% to $986 million from $397 million, while taxable-equivalent net interest margin expanded 14 basis points to 3.40%.
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GAAP and adjusted EPS improved
Q3 GAAP diluted EPS increased to $2.40 from $2.19 year over year, while adjusted diluted EPS was $2.69 versus $2.27. Net income available to common shareholders rose 116% to $364 million from $169 million.
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Loan and deposit growth remained strong
Loans grew to $89.8 billion from $39.2 billion at December 31, 2025, while deposits reached $103.0 billion from $47.4 billion. Sequentially, loans increased $1.732 billion and deposits increased $2.138 billion.
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Banking and Wealth expanded
Banking Q3 income before taxes increased to $572 million from $208 million, and Wealth increased to $35 million from $12 million. Wealth management revenue rose to $88 million from $38 million, while core banking fees increased to $96 million from $34 million.
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Operating cash flow strengthened
Operating cash flow was $1.392 billion for the first nine months versus $643 million in the prior year. Capital spending was $49 million versus $58 million, indicating low reported capex intensity, although investing cash flow was $(7.344) billion due primarily to loan growth and securities activity.
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Full-year outlook maintained
Management maintained 2026 adjusted revenue guidance of $5.0-$5.2 billion and adjusted expense guidance of $2.675-$2.775 billion. The outlook assumes 9%-11% loan growth and 8%-10% deposit growth, excluding the Day 1 purchase accounting loan mark.
What to watch
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Asset quality and coverage deteriorated
Credit metrics weakened versus December 31, 2025: non-performing loans rose to $433 million from $133 million, the NPL ratio increased to 0.48% from 0.34%, and the NPA ratio increased to 0.50% from 0.36%. The ACL-to-NPL ratio declined to 246% from 343%.
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Merger costs pressure profitability
Merger-related costs remained significant at $56 million in Q3 and $382 million year to date, while intangible amortization was $46 million in Q3 and $140 million year to date. Treasury and Corporate Other reported a $(130) million Q3 pretax loss versus $(11) million in the prior-year quarter.
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Capital and securities valuation pressure
Capital and accumulated other comprehensive income were under pressure: the CET1 ratio was 10.02% versus 10.88% at December 31, 2025, while accumulated other comprehensive loss widened to $(771) million from $(123) million. The AFS securities portfolio carried $949 million of gross unrealized losses at September 30, 2026.
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Higher funding costs constrain margins
Funding costs remain material: Q3 interest expense was $653 million versus $325 million, and FHLB advances and other borrowings were $9.985 billion versus $2.205 billion at December 31, 2025. Management reported Q3 total average deposit costs of 2.18%.
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Increased regulatory and integration burden
The company surpassed the $100 billion asset threshold and became a Category IV large financial institution, adding enhanced prudential requirements. Management stated that its evaluation of internal controls related to the merger remains ongoing as of September 30, 2026.
Management's outlook
Management stated that the 2026 outlook is unchanged from January 2026. Quantitative outlook includes end-of-period loan growth of approximately 9%-11% excluding the Day 1 purchase accounting loan mark, deposit growth of approximately 8%-10%, adjusted revenue (TE) of approximately $5.0-$5.2 billion, adjusted non-interest expense of approximately $2.675-$2.775 billion, year-to-date annualized net charge-offs of 0.20%-0.25%, and an adjusted effective tax rate of approximately 20%-21%. The outlook assumes stable interest rates and economic conditions, a 3.44%-3.46% net interest margin, approximately $185 million of intangible amortization, and realization of 40% of expected merger cost savings in 2026.
Earlier filings 2
10-Q · May 5, 2026
Pinnacle Financial Partners (PNFP) reported a strong Q1 2026 performance with significant increases in revenue and net interest income, largely driven by the recent merger with Synovus. Total revenue reached $1,217…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.