Cadence reported fourth-quarter adjusted earnings of $0.85 per share, outpacing the Zacks Consensus Estimate of $0.79 by 7.6% and marking a 21.4% increase from $0.70 in the year-ago period. Net interest income rose 9% year-over-year, driven by a 12% growth in average loan balances. Non-interest income held steady despite pressure on mortgage and trust fee businesses, reflecting stable client activity across the bank’s footprint. The efficiency ratio improved to 58%, down from 62% a year earlier, as cost-control measures began to offset higher funding costs.

Cadence Bank’s board approved a quarterly cash dividend of $0.34375 per share on its Series A Preferred Stock, payable February 20, 2026, to holders of record as of January 30. The decision underscores the strength of Cadence’s capital position, with total assets of $53 billion and a common equity Tier 1 ratio of 10.8%. The dividend declaration follows nine consecutive quarters of preferred distributions and remains subject to regulatory approval.

With more than 390 branches across the South and Texas, Cadence continues to leverage its regional scale to deepen client relationships in commercial banking, treasury services and wealth management. In 2025, average core deposits grew by 8%, outpacing peer group average growth of 5%. Management reiterated its 2026 targets of mid-single-digit loan growth and a return on tangible common equity of at least 12%. Institutional investors are watching for credit quality trends as the bank navigates a higher-rate environment, particularly in commercial real estate portfolios.