Truist Financial Corporation released its fourth‑quarter 2025 earnings on January 21, 2026, reporting a GAAP earnings per share of $1.00 and a non‑GAAP EPS of $1.12. The company’s revenue for the quarter was $5.25 billion, slightly below the consensus estimate of $5.27 billion. Net interest margin expanded to 3.07% from 3.01% in the prior year, reflecting stronger loan growth and fee income.
The GAAP EPS miss of $0.09 per share—about 8% below analysts’ $1.09 estimate—was largely driven by a $130 million legal accrual and a $63 million severance charge that reduced earnings by $0.12 per share. In contrast, the non‑GAAP EPS beat the estimate by $0.03, a result of disciplined cost control and a 1.3% increase in average loans held for investment, which lifted interest income and offset the one‑time charges.
Revenue fell 0.8% to $5.25 billion, missing the $5.27 billion consensus. The shortfall was concentrated in the core retail and commercial banking segments, where deposit competition and slower loan origination dampened top‑line growth. However, fee‑based income from investment banking and trading rose 28%, partially offsetting the revenue decline and supporting the margin expansion.
Truist’s guidance for 2026 signals a cautious outlook. Management expects adjusted revenue to grow 4%–5% for the full year, below the analyst consensus of 6%–7%. For Q1 2026, the company projects a 2%–3% decline in revenue compared with Q4 2025, reflecting anticipated headwinds from deposit competition and a slower economic environment. The bank also plans to repurchase up to $1 billion of shares in Q1 2026 and returned $5.2 billion to shareholders in 2025, a 37% increase from 2024.
Bill Rogers, Truist Chairman and CEO, said the quarter demonstrated “strong, purpose‑driven performance” driven by deepening client relationships, operational efficiency, and technology investment. He added that disciplined risk management and sound governance have strengthened the bank’s foundation and positioned it for sustainable growth. Investors reacted negatively, citing the revenue miss and cautious guidance as key concerns.
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