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WesBanco Q2 adjusted profit beats estimates

WesBanco Q2 adjusted profit beats estimates


Overview

  • U.S. regional bank's Q2 adjusted EPS beat analyst expectations

  • Net interest income for Q2 rose 2.5% yr/yr, driven by higher securities yields and lower funding costs

  • Company repurchased $9.7 mln of its shares during the quarter


Outlook

  • WesBanco expects continued growth in expansion markets, including Northern Virginia, Tennessee, and Florida

  • Company plans new financial center openings in Florida during the first half of 2027

  • WesBanco sees strong commercial loan pipeline supporting future growth


Result Drivers

  • LOAN GROWTH - Annualized loan growth of 8.3% over the sequential quarter and 3.5% yr/yr, with organic growth across all markets offsetting higher CRE payoffs

  • NON-INTEREST INCOME - Record fee income from securities brokerage, digital banking, and service charges on deposits, plus a non-recurring pension plan gain

  • EFFICIENCY IMPROVEMENT - Efficiency ratio improved more than 1 percentage point yr/yr and qtr/qtr to a record low, mainly due to focus on positive operating leverage


Company press release: ID:nPn72qn8Da


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Adjusted EPS

Beat

$0.92

$0.85 (8 Analysts)

Q2 Net Interest Income

$222.20 mln

Q2 CET1 Capital Ratio

10.7%

Q2 Net Interest Margin

3.63%


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the banks peer group is "buy"

  • Wall Street's median 12-month price target for WesBanco Inc is $40.75, about 0.5% above its July 20 closing price of $40.53

  • The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 9 three months ago


Reuters Recommended Reads

  • July 21 - Atlantic Union Bankshares beats Q2 EPS estimates on loan growth

  • July 21 - Hancock Whitney Q2 profit rises as net interest income grows

  • July 21 - Southern First Bancshares' Q2 profit rises on loan growth and margin expansion


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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