What is the market's earnings forecast for Old National Bancorp next quarter?

What were the key takeaways from Old National Bancorp's earnings call?

What is Old National Bancorp's gross profit margin?

What is Old National Bancorp's latest dividend and current dividend yield?

What factors drove the changes in Old National Bancorp's revenue and profit?

What were the key takeaways from Old National Bancorp’s earnings call?

What guidance did Old National Bancorp's management provide for the next earnings period?

What is the revenue and EPS growth rate for Old National Bancorp year over year?

- **Record Q3 Performance**: Adjusted EPS of $0.59 (11% Q/Q growth), driven by Bremer integration, margin expansion, and fee income.
- **Credit Strength**: 6% decline in criticized/classified loans, delinquencies down 12bps, and stable credit reserves.
- **Efficiency & Capital**: 48% efficiency ratio, CET1 at 11.3%, and 1.1M shares repurchased late in the quarter.
- **Bremer Integration**: Systems conversion completed smoothly; $200M strategic loan runoff expected to stabilize.
- **2026 Outlook**: Loan growth 4-5% (ex-Bremer), NII stable to improving, and capital returns to accelerate.

**【CEO Summary Section】**
- Reported strong third-quarter results, including revenue growth across all major income statement line items.
- Highlighted improved credit metrics: 6% decline in criticized/classified loans, reduced delinquencies, and stable allowance for credit losses.
- Emphasized focus on organic growth, efficiency (below 50% efficiency ratio), and capital management (CET1 at 11.3%).
- Announced 1.1 million share buyback late in the quarter, signaling confidence in capital generation.
- Discussed successful Bremer Bank systems conversion and integration, with no major disruptions.

**【CFO Financial Commentary】**
- GAAP EPS: $0.46; Adjusted EPS: $0.59 (11% Q/Q growth, 28% YoY growth).
- Net Interest Income (NII): $585 million (stable vs. Q2, +$5 million below prior guidance due to 5-year Treasury rate dynamics).
- Deposit Growth: 4.8% annualized, core deposits up 5.8% (noninterest-bearing deposits 24% of total).
- Loan Growth: Excluding Bremer, +3.1% annualized; Bremer loans declined $200 million due to strategic runoff.
- Fee Income: $130 million (up 12% YoY), driven by capital markets and mortgage businesses.
- Efficiency Ratio: 48% (improving trend).
- Capital: CET1 +28bps Q/Q to 11.3%, tangible book value up 4% Q/Q.

**【Q&A Key Highlights】**
- **Loan Growth Guidance**: Full-year 2025 loan growth (ex-Bremer) 4-5%; Q4 guidance includes Bremer.
- **Capital Allocation**: Buyback 1.1M shares in Q3; expect continued balance between organic growth and returns.
- **Bremer Integration**: $70M merger-related costs in Q3, $50M in Q4; full cost savings ($115M annualized) visible in Q1 2026.
- **Credit Outlook**: Stable to improving; 60% of NPLs from acquired books with appropriate reserves.
- **NII Expectations**: Stable to improving in Q4; 2026 NII growth dependent on yield curve steepening.
- **Deposit Strategy**: Proactive client acquisition with 85% beta to rate cuts; 5.8% brokered deposits (below peer median).
- **M&A Posture**: No active deals; focus on organic growth and talent investment.


Old National Bancorp (ONB) Q3 2025 Earnings Call Transcript

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