Regions Financial Q3 profit beats estimates on higher interest income
RF•Regions Financial reported Q3 adjusted EPS of $0.73, above the $0.66 consensus, while adjusted revenue of $1.99 billion met estimates. Net interest income rose 2% from the prior quarter, and capital markets income increased 27%.
1. Quarterly results
Regions Financial reported Q3 net income of $631 million and EPS of $0.71. Adjusted EPS was $0.73, compared with analyst expectations of $0.66, while adjusted revenue of $1.99 billion matched estimates.
2. Income and credit trends
Net interest income increased 2% quarter over quarter to $1.30 billion. Capital markets income rose 27% to a record, and the company also reported record treasury management income. Net charge-offs fell 13 basis points quarter over quarter, criticized and non-performing loans declined, and allowance coverage of non-performing loans increased to 275%.
