Popular, Inc. (BPOP) reported first‑quarter 2026 results that included a net income of $245.7 million, up 38% from the same period a year earlier, and earnings per share of $3.78, a 48% increase YoY. The company’s guidance for the remainder of 2026 was reaffirmed, underscoring management’s confidence in continued growth and profitability.
Total revenue for the quarter reached $835.8 million, slightly higher than the $835.1 million reported in Q4 2025. Revenue is composed of net interest income of $670.2 million and non‑interest income of $165.6 million. The Popular Bank segment contributed $111.7 million of net interest income, while the BPPR segment added $567.9 million, reflecting a balanced mix of U.S. and Puerto Rico operations.
Net interest income grew 11% to $670.2 million, and the net interest margin expanded to 3.66% from 3.61% in Q4 2025. The margin lift was driven by lower deposit costs and higher U.S. Treasury income, which offset modest increases in operating expenses. The company’s operating income rose to $179.4 million, reflecting disciplined cost control and efficient capital deployment.
Net charge‑offs increased to $60.0 million from $49.1 million YoY, largely due to a commercial loan charge‑off. Provision for credit losses also rose, reinforcing the bank’s conservative risk management stance. The Common Equity Tier 1 (CET1) ratio climbed to 15.92% from 15.72% in the prior quarter, underscoring a robust capital position that supports future lending and growth initiatives.
CEO Javier D. Ferrer highlighted the company’s disciplined execution, noting that “we delivered a strong start to 2026, with net income of $246 million and earnings per share of $3.78, up 38% and 48% respectively, year‑over‑year, reflecting disciplined execution across our businesses and continued momentum throughout the franchise.” He also added that the bank returned $204 million to shareholders through buybacks and dividends, reinforcing its commitment to shareholder value.
Analysts responded to the results by raising price targets, citing the expanding net interest margin and a normalizing yield curve that benefits regional bank margins. While the revenue miss prompted a modest decline in investor sentiment, the EPS beat and strong capital metrics reinforced confidence in Popular’s strategic trajectory.
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