Cadence Bank (NYSE:CADE) reported stronger-than-expected fourth-quarter results on Thursday, delivering adjusted earnings of $0.85 per share, ahead of the $0.78 forecast by analysts. Revenue reached $528.41 million, topping the consensus estimate of $524.85 million.
The better-than-anticipated performance lifted the bank’s shares by 1.38% in pre-market trading.
The Houston-based lender recorded record quarterly adjusted net income available to common shareholders of $160.6 million, up 23.5% from the same period a year earlier. Adjusted pre-tax, pre-provision net revenue for the quarter came in at $237.8 million, representing a 29.2% increase compared with the fourth quarter of 2024.
Net interest margin expanded to 3.55% in the fourth quarter, rising 9 basis points from the third quarter of 2025, supported by ongoing balance sheet growth and lower funding costs. Cadence generated net organic loan growth of $444.5 million, equivalent to 4.8% on an annualized basis, while core customer deposits increased by $529.0 million, also a 4.8% annualized gain.
“We are pleased to report strong fourth quarter results reflecting themes that are consistent with our full year 2025 performance, including continued earnings improvement and balance sheet growth,” said Dan Rollins, Chairman and Chief Executive Officer of Cadence Bank.
Credit quality remained sound, with a total capital ratio of 13.3% and Common Equity Tier 1 capital at 11.7%. Net charge-offs totaled $26.1 million, or 0.28% of average net loans and leases on an annualized basis, compared with $14.1 million, or 0.17%, in the same quarter last year.
For the full year 2025, Cadence reported adjusted net income available to common shareholders of $582.2 million, or $3.10 per diluted share, marking a 13.1% increase on a per-share basis versus 2024.
The bank also reiterated that its pending merger with Huntington Bancshares Incorporated is expected to close on February 1, 2026. Once completed, the transaction is set to create a top-10 U.S. banking franchise with pro forma total assets exceeding $275 billion.