Regions Financial Corporation · NYSE:RF
Regions Financial — Q2 2026 Earnings Presentation
39 slides from Regions Financial's earnings presentation, Jul 17, 2026
Slide 1: 2nd Quarter Earnings
Exhibit 99.3 2nd Quarter Earnings July 17, 2026
Slide 2: Second Quarter Overview
Second Quarter Overview Continue to deliver consistent, sustainable long-term performance 2Q26 Key Performance Metrics Reported Adjusted(1) Highlights Net Income Available to Common Shareholders $549M $583M • Proven history of consistently generating top-quartile returns in our peer group(2) Diluted
Slide 3: Loans
Loans Poised for continued growth Average Loans & Leases ($ in billions) $98.7 QoQ Highlights & Outlook $96.1 $96.4 • Avg loans increased 2%, while ending loans grew 1% $32.9 $32.4 $32.1 • Avg business loans increased 4%, while avg consumer loans remained relatively stable $63.2 $64.0 $66.6 • Broad-
Slide 4: Deposits
Deposits Disciplined deposit growth supported by a strong franchise Average Deposits by Segment ($ in billions) $129.4 $130.2 $130.7 QoQ Highlights & Outlook $3.0 $2.1 $2.4 $7.3 $7.8 $7.6 $40.1 • Avg deposits increased modestly, while ending $39.2 $40.7 balances decreased 1%, reflecting seasonal tax
Slide 5: NII & Margin Performance
NII & Margin Performance Well protected margin with NII growth from balance sheet repricing and expansion FTE NII and NIM ($ in millions) 2Q NII and NIM Drivers $1,271 $1,261 $1,291 NII increased 2% QoQ; NIM decreased 1bp to 3.66% 3.65% 3.67% 3.66% • Strong, broad-based loan growth 2Q25 1Q26 2Q26 •
Slide 6: 2026 NII Expected Range and Assumptions
2026 NII(1) Expected Range and Assumptions NII expected to grow in 2026 under a wide range of possible outcomes Expectation: Full-year 2026 NII to grow between 2.5 – 4%, with fixed- Net Interest Income Trend ($M) rate asset turnover, funding cost management, and loan growth as the Continuation of lo
Slide 7: Non-Interest Income
Non-Interest Income Non-Interest Income Adj. Non-Interest Income(1) ($ in millions) ($ in millions) QoQ Highlights & Outlook $646 $646 $670 $625 $630 $625 • NIR increased 1% on a reported basis and 7% on an adjusted(1) basis • Wealth Management income increased 6% and delivered another record quarte
Slide 8: Non-Interest Expense
Non-Interest Expense Non-Interest Expense Adj. Non-Interest Expense(1) ($ in millions) ($ in millions) $1,073 $1,121 $1,073 $1,116 QoQ Highlights & Outlook $1,068 $1,068 • NIE increased 5% on a reported basis and 4% on an adjusted(1) basis 58.3% 56.6% 56.9% • Salaries & benefits increased 6%, reflec
Slide 9: Asset Quality
Asset Quality Credit performance improving; metrics tracking favorably Net Charge-Offs(1) Non-Performing Loans (NPLs)(1) $130 $113 $776 $102 $692 $668 0.47% 0.54% 0.42% 0.80% 0.71% 0.67% 2Q25 1Q26 2Q26 2Q25 1Q26 2Q26 NCOs NCOs Ratio NPLs - excluding LHFS NPL/Loans Allowance for Credit Losses (ACL)(1
Slide 10: Capital and Liquidity
Capital and Liquidity Managing capital flexibility to support growth and shareholder returns Tier 1 Capital Ratio(1) 11.9% 11.8% 11.8% QoQ Highlights & Outlook • Declared 2Q common dividends of $226M and 2Q25 1Q26 2Q26 executed $59M in share repurchases; Board approved a dividend of $0.30 per share,
Slide 11: CET1 Under Basel III Endgame (B3E)
CET1 Under Basel III Endgame (B3E) B3E Update • In March, the Federal Reserve released a notice of proposed rulemaking (NPR) to implement B3E which, as expected, would include AOCI in Regulatory Capital • 2Q CET1 adjusted to include AOCI is estimated to be 9.5%(1)(2) ◦ In the near term, expect to ma
Slide 12: 2026 Expectations
2026 Expectations FY 2026 Expectations Expectations for 3Q26 & FY26 Net Interest Income up 2.5 – 4%(3) (vs. 2025 of $4,991) • 3Q26 NII to increase ~2% vs 2Q26(3) Adjusted Non-Interest Income up 3 – 5%(2) • 3Q26 NIM expected to be stable to modestly (vs. adjusted 2025 total of $2,585)(1) (Expect to b
Slide 13: Appendix
Appendix
Slide 14: Growth in Digital
Growth in Digital Digital Usage Transactions Customer Satisfaction Consumer Checking Account Acquisitions Mobile Banking Active Users (Millions)(1) by Channel(4) Mobile App +6% Average 4.9 out 1% 2% 1% of 5 rating from 2.71 2.73 2.59 iOS app store 80% 73% 71% Digital users Branch Contact Center 19%
Slide 15: Investments in Our Businesses
Investments in Our Businesses Investments in talent, technology and strategic acquisitions continue to pay off Corporate Consumer Wealth • Grew average loan balances 6% YoY in 2Q26, with • Record Quarter NIR, up 13% YoY, from • Maintained competitive deposit rates driving commitments up 7% YoY, refl
Slide 16: Hedging Strategy Update
Hedging Strategy Update Mostly "neutral" rate risk position protects margin & decreases capital volatility Asset Hedge Notional Receive-Fixed, Cash Flow Swaps - (Quarterly Avg) (Annual Avg) Loans Pay-Fixed, Fair Value Swaps - AFS Securities Net Asset Swap Position(1) Cash Flow Collars - Loans(2) 2Q2
Slide 17: Securities Portfolio
Securities Portfolio Provides downside rate protection/liquidity • Portfolio constructed to protect against changes in market rates Securities Portfolio Composition(1) ◦ Duration of ~3.9 years (AFS ~3.5 years) as of 6/30/2026; provides offset to long- duration deposit book Corporate Bonds HTM, 16% 1
Slide 18: Capital Strength
Capital Strength Robust capital balances and strong organic capital generation position Regions well for full range of potential economic conditions Capital Resiliency Post-Stress Capital(2) 2026 CCAR Capital Degradation(1) 11.8% 10.6% 10.8% 10.4% 10.8% 10.8% 10.8% 10.9% 10.6% 1.9% 0.6% 0.3% 1.6% 1.
Slide 19: Continuous Improvement in Risk Management
Continuous Improvement in Risk Management Our commitment to strengthening credit risk disciplines and intentional portfolio shaping over the past decade-plus leaves us well positioned for sound, profitable growth Strong Origination Disciplines Aligned with Comprehensive Risk Framework Case Studies i
Slide 20: Historical Credit Profile
Historical Credit Profile Total Net Charge-Offs 2.00% 1.50% Average Pre-Pandemic Average Pandemic 0.46% 0.35% 1.00% 0.42% 0.50% —% 13 20 4Q 22 26 1Q 1Q 2Q Non-Performing Loans 2.50% 2.00% Average Pre-Pandemic Average Pandemic 1.07% 0.64% 1.50% 1.00% 0.67% 0.50% —% 13 20 22 26 1Q 1Q 4Q 2Q Details reg
Slide 21: Historical Credit Profile
Historical Credit Profile Commercial Net Charge-Offs(1) 1.00% Average Pre-Pandemic Average Pandemic 0.27% 0.25% 0.50% 0.35% —% 13 20 22 26 1Q 1Q 4Q 2Q Consumer Net Charge-Offs(2) 3.50% Average Pre-Pandemic Average Pandemic 3.00% 0.78% 0.53% 2.50% 2.00% 1.50% 1.00% 0.56% 0.50% —% 13 20 22 26 1Q 1Q 4Q
Slide 22: Commercial Real Estate
Commercial Real Estate (Outstanding balances as of June 30, 2026) Highly Diversified Portfolio Key Portfolio Metrics REITs within Total: (IRE including Unsecured CRE) • Unsecured loans for RE purposes generally have low Data Center Diversified leverage, with strong access to liquidity 13% 7% Apartme
Slide 23: CRE - Office Portfolio
CRE- Office Portfolio (Outstanding balances as of June 30, 2026) Key Portfolio Metrics(1) Investor Real Estate Office Portfolio Overview Balances $858 % of Total Loans 0.9% 15% 21% NPL $121 55% 45% 85% NPL / Loans 14.1% 79% Charge-offs $1 Class A Class B Multi-Tenant Single Tenant Suburban Urban Cha
Slide 24: Transportation - Trucking
Transportation - Trucking (Outstanding balances as of June 30, 2026) Key Portfolio Metrics(1) Ongoing Portfolio Surveillance Balances $1,076 • The current Trucking market is being driven by carrier exits, driver shortages, regulatory pressures, and reduced equipment investment, which is resulting in
Slide 25: Consumer Lending Portfolio
Consumer Lending Portfolio Consumer FICO Scores(1) • Consumer Credit Card Home Equity • Avg. origination FICO 772 • Avg. origination FICO 762 2% 2% 2% • Avg. new line $9,441 • Current LTV 39% • 2Q26 Yield 13.69% • 56% of portfolio is 1st lien • 2Q26 QTD NCO 4.28% • Avg. loan size $36,067 68% 78% 81%
Slide 26: NDFI & Private Credit - Stable Composition and Solid Credit Quality
NDFI & Private Credit - Stable Composition and Solid Credit Quality Diversified, investment-grade portfolios aligned with Regions' core markets and industries Consumer Credit & Mortgage Intermediaries (6%) Private Equity Subscription Lines (13%) $756 Specialty Finance Companies (24%) Business Credit
Slide 27: Allowance for Credit Losses
Allowance for Credit Losses QoQ Highlights ($ in millions) • 2Q allowance decreased $34M compared to the prior quarter, resulting in a $68M provision expense. The decrease in the ACL and an increase in loan balances $1,647 $18 resulted in a reduction in the ACL % from 1.68% to $1,613 1.63% $(12) $(4
Slide 28: Base R&S Economic Outlook
Base R&S Economic Outlook (As of June 2026) Pre-R&S period 2Q2026 3Q2026 4Q2026 1Q2027 2Q2027 3Q2027 4Q2027 1Q2028 2Q2028 Real GDP, annualized % change 1.9 % 1.8 % 2.4 % 2.7 % 2.7 % 2.6 % 2.3 % 2.3 % 2.2 % Unemployment rate 4.3 % 4.3 % 4.3 % 4.3 % 4.2 % 4.2 % 4.1 % 4.0 % 4.0 % HPI, year-over-year %
Slide 29: Allowance Allocation
Allowance Allocation Regions "Day 1" CECL ACL ratio on 1/1/2020 was 1.71%. The company has executed a number of de-risking strategies that have improved the overall loan portfolio. Taking the 2Q26 loan portfolio and applying the "Day 1" ACL rates would produce a proforma Day 1 ACL ratio of 1.62%. As
Slide 30: Non-GAAP Information
Non-GAAP Information Management uses pre-tax pre-provision income (non-GAAP), adjusted pre-tax pre-provision income (non-GAAP), the adjusted efficiency ratio (non-GAAP), the adjusted fee income ratio (non-GAAP), return on average tangible common shareholders' equity (non-GAAP), adjusted return on av
Slide 31: Non-GAAP Reconciliation
Non-GAAP Reconciliation Tangible Common Ratios As of and for Quarter Ended ($ amounts in millions, except per share data) 6/30/2026 3/31/2026 12/31/2025 9/30/2025 6/30/2025 TANGIBLE COMMON RATIOS Shareholders’ equity (GAAP) A $ 18,840 $ 18,779 $ 19,043 $ 19,049 $ 18,666 Less: Preferred stock (GAAP)
Slide 32: Non-GAAP Reconciliation
Non-GAAP Reconciliation Net Income Available to Common Shareholders, Adjusted Diluted EPS, and Return Ratios Quarter Ended ($ amounts in millions) 6/30/2026 3/31/2026 12/31/2025 9/30/2025 6/30/2025 2Q26 vs. 1Q26 2Q26 vs. 2Q25 Net income available to common shareholders (GAAP) A $ 549 $ 539 $ 514 $ 5
Slide 33: Non-GAAP Reconciliation
Non-GAAP Reconciliation Pre-Tax Pre-Provision Income (PPI) Quarter Ended ($ amounts in millions) 6/30/2026 3/31/2026 12/31/2025 9/30/2025 6/30/2025 2Q26 vs. 1Q26 2Q26 vs. 2Q25 Net income available to common shareholders (GAAP) $ 549 $ 539 $ 514 $ 548 $ 534 $ 10 1.9 % $ 15 2.8 % Preferred dividends a
Slide 34: Non-GAAP Reconciliation
Non-GAAP Reconciliation NII, Non-Interest Income/Expense, and Efficiency Ratio Quarter Ended ($ amounts in millions) 6/30/2026 3/31/2026 12/31/2025 9/30/2025 6/30/2025 2Q26 vs. 1Q26 2Q26 vs. 2Q25 Non-interest expense (GAAP) A $ 1,121 $ 1,068 $ 1,098 $ 1,103 $ 1,073 $ 53 5.0 % $ 48 4.5 % Adjustments:
Slide 35: Non-GAAP Reconciliation
Non-GAAP Reconciliation Non-Interest Expense Twelve Months Ended December 31 ($ amounts in millions) 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 Non-interest expense (GAAP) $ 4,313 $ 4,242 $ 4,416 $ 4,068 $ 3,747 $ 3,643 $ 3,489 $ 3,570 $ 3,491 $ 3,483 Adjustments: FDIC insurance special asses
Slide 36: Non-GAAP Reconciliation
Non-GAAP Reconciliation CET1- inclusive of AOCI(4) Quarter Ended ($ amounts in millions) 6/30/2026 3/31/2026 12/31/2025 9/30/2025 6/30/2025 CET1 RATIOS Common Equity Tier 1(1) A $ 13,692 $ 13,419 $ 13,490 $ 13,620 $ 13,533 Adjustments: AOCI gain (loss) on securities(2) (1,192) (1,172) (1,076) (1,241
Slide 37: Forward-Looking Statements
Forward-Looking Statements Forward-Looking Statements This presentation, the related earnings release, and the accompanying earnings call may include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. In addition, the company, through its senior management
Slide 38: Forward-Looking Statements (continued)
Forward-Looking Statements (continued) • Weather-related events, pandemics and other natural or man-made disasters could cause a disruption in our operations or lead to other consequences that could adversely impact our financial results and condition. These impacts could be intensified by climate c
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