Hancock Whitney Corporation (HWC) SEC Filings & Earnings Calls

Acquisition integration risk: OFB acquisition adds $30.4M pretax charge and increases operational complexity.

“Pretax charge of $30.4M related to OFB acquisition; loans and deposits acquired from OFB.”

Nonaccrual loans increased to $133.3M (0.50% of loans) from $113.7M (0.46%) in prior quarter.

“Nonaccrual loans totaled $133.3 million, up from $113.7 million.”

Geopolitical/Energy Shock

“The U.S. – Iran conflict continues to contribute to heightened volatility and supply concerns in global energy markets.” · word for word

Prolonged High Interest Rates

“market expectations shifted in recent months from anticipation of multiple rate cuts in 2026 toward the notion that monetary policy could remain restrictive for a longer period.” · word for word

Credit Risk from Economic Slowdown

“The S-2 scenario assumes ... the U.S. economy to fall into a mild recession beginning in the third quarter of 2026 that lasts for three quarters” · word for word

Integration risk; potential dilution.

“Cash consideration; integration of operations.”

Net interest margin remains low at 3.56% with only 1bp expansion, indicating limited earning asset yield improvement

“NIM 3.56%, up 1bp; loan yields down 1bp”

Noninterest-bearing deposits flat at 35% of total, suggesting potential deposit mix shift to higher-cost funding

“Noninterest-bearing deposits $10.3B, virtually flat; interest-bearing transaction and savings up 6%”

Retail time deposits declined 5% linked-quarter, indicating potential deposit runoff

“Retail time deposits $3.4B, down $172.4M or 5%”

Integration risks associated with acquisition.

“Ability to retain customers and employees following closing, receipt of certain third party or regulatory approvals and the ability to realize expected cost savings or other synergies from the acquisition.” · word for word

Integration risk and regulatory approval required; all-cash transaction may impact liquidity.

“Subject to regulatory and shareholder approvals; expected to close Q3 2026.”

Geopolitical conflict and energy disruption

“In late February, the military conflict in the Middle East caused widespread disruption to energy markets and supply chains and created significant uncertainty as to the near and long term economic effects.” · word for word

Tariff and trade policy uncertainty

“the effective tariff rate of about 11% is expected to remain for the duration of the current administration before eventually falling back to about 2% late in the decade or early next” · word for word

Inflation and recession risk

“Driven by the sharp increase in energy prices, inflation rose to 3.3% on an annualized basis in March 2026, up considerably from a recent trend of about 2.5% annualized.” · word for word

Securities portfolio restructure resulted in a $98.6M pretax charge ($0.95 per share), indicating realized losses on repositioning.

“pretax charge of $98.6 million, or $0.95 per share, of a supplemental disclosure item related to a net loss on the securities portfolio restructure.” · word for word

Deposit outflow of $198M (3% LQA) and CET1 ratio decline of 35 bps signal potential funding pressure.

“Deposits decreased $198 million, or 3% LQA. CET1 ratio estimated at 13.30%, down 35 bps linked-quarter.” · word for word

Nonaccrual loans increased, indicating credit quality deterioration.

“Criticized commercial loans decreased and nonaccrual loans increased.” · word for word

Deposit outflow risk in falling rate environment

“Total deposits ended 2025 at $29.3 billion, down $213 million, or 1%, from 2024, influenced by the falling interest rate environment.” · word for word

Credit quality normalization

“Allowance for credit loss to total loans of 1.43% at December 31, 2025, compared to 1.47% at December 31, 2024.” · word for word

Elevated net charge-offs and nonaccrual loans

“Net charge-offs to average loans 0.22%” · word for word

Deposit outflow risk

“Total deposits were $29.3 billion at December 31, 2025, down $213.1 million, or 1%, from December 31, 2024.” · word for word

NIM compression risk from lower loan yields and potential rate environment changes.

“NIM down 1bp; loan yields down 10bps; bond restructuring may mitigate but rate sensitivity remains.”

Credit risk remains manageable with stable ACL and declining criticized loans.

“ACL 1.43%; criticized commercial loans decreased to 2.88%; nonaccrual loans down.”

Deposit mix shift towards interest-bearing public funds could pressure funding costs.

“Interest-bearing public fund deposits increased $417M (15% LQA); noninterest-bearing DDA mix at 35%.”

Credit quality stable; net charge-offs expected 0.15%-0.25%.

“Reserve for Credit Losses; Net charge-offs 0.15% - 0.25%” · word for word

Noninterest income down 2-3% due to seasonality and lower specialty fees (including SBA impact from government shutdown).

“Noninterest Income Down 2%-3%; Expect slight decrease from third quarter due to seasonality, lower specialty fees (including impact of government shutdown on SBA fees)” · word for word

Tariff-driven inflation and economic uncertainty

“The burden of tariffs on global supply chains, with exporters and importers struggling to absorb costs and increasingly passing them on to consumers, has reversed some of the progress made in curbing inflation in recent years” · word for word

Potential recession scenario

“The S-2 scenario assumes the U.S. falls into a mild recession beginning in the fourth quarter of 2025 that lasts for three quarters”

Deposit outflow pressure

“Period-end deposits totaled $28.7 billion, down $386.9 million, or 1%” · word for word