First Horizon Corporation Q1 2026 Earnings Recap

First Horizon reported solid Q1 2026 earnings with adjusted ROTCE of 15.1%, driven by strong C&I loan growth and disciplined deposit management, reflecting resilient profitability amid market headwinds.

Key Takeaways

• Net interest income rose 6% YoY, outperforming loan growth of 3%, supported by deposit cost control and yield management.
• C&I portfolio expanded by $624 million, highlighting momentum in core commercial lending, despite headwinds in CRE and consumer segments.
• Strong capital position with CET1 at 10.53%, and $400 million in preferred stock issuance boosting Tier 1 ratio to 11.95%.
• Expense discipline evident with a $32 million quarterly decrease, including lower personnel and outside services costs.
• Credit metrics remain stable with net charge-offs at 18 bps and provision levels aligned with expectations.