First Hawaiian, Inc. (NASDAQ:FHB) reported first‑quarter 2026 results that included net interest income of $167.5 million, net income of $67.8 million, and basic and diluted earnings per share of $0.55. The net interest margin for the quarter was 3.19%, slightly below the 3.21% recorded in the prior quarter but above the 3.15% margin of 2025. Total assets rose to $24.3 billion and total deposits increased to $20.8 billion, while the bank repurchased approximately 1.3 million shares for $32.0 million.
The year‑over‑year comparison shows net interest income up from $160.5 million and net income up from $59.2 million in the same period a year earlier. Compared with the immediately preceding quarter, Q4 2025, net interest income was $170.3 million and the net interest margin was 3.21%. The slight compression in the current quarter’s margin is attributed to ongoing pressure on earning asset yields relative to funding costs and the full‑quarter impact of the December rate cut.
First Hawaiian’s total revenue of $220.3 million fell short of the consensus estimate of $221.09 million, marking a narrow miss. The earnings beat—$0.55 versus the $0.53 estimate—was driven by strong loan and deposit growth and effective cost control, which offset the revenue shortfall and the sequential decline in net interest income.
"I'm pleased to report that First Hawaiian started 2026 with a strong first quarter," said the company’s CEO. "We had good growth in loans and deposits, and credit quality remained excellent." Bob Harrison, Chairman, President, and CEO, added, "I'm happy to report that First Hawaiian finished 2025 with another strong quarter. Loans grew, retail and commercial deposits grew, and we remained the most profitable bank in the state."
The market reaction was mixed to slightly negative. Investors noted the EPS beat but were tempered by the revenue miss and the margin compression, which signaled continued pressure on earning asset yields. Analysts highlighted the narrow revenue miss and the sequential decline in net interest income as key concerns, while the EPS beat was seen as evidence of disciplined cost management.
The company did not provide explicit forward guidance, but analysts project a Q2 2026 EPS of $0.55 and a full‑year 2026 EPS of $2.26. The guidance reflects confidence in maintaining profitability amid margin pressure, while the lack of explicit guidance underscores the company’s cautious outlook in the face of ongoing rate‑cut impacts and revenue uncertainty.
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