First Horizon Corporation reported a net loss of $94 million for the third quarter of 2026, or a loss of $0.20 per share. The company attributed the loss to strategic actions taken to align its balance sheet with growth priorities, including the sale of a portion of its consumer mortgage portfolio. The filing details a $4.5 billion agreement to sell select lower-yielding consumer mortgages, which is expected to settle in the fourth quarter and be accretive to earnings.
Key financial metrics for the quarter included total revenue of $410 million on a fully taxable equivalent basis. Pre-provision net revenue was $3 million, while the provision for credit losses was a benefit of $25 million. Net charge-offs totaled $36 million, or 22 basis points. Nonperforming loans decreased by $49 million to $482 million. The company reported an adjusted earnings per share of $0.53, excluding notable items.
On the balance sheet, average deposits increased by $1.8 billion to $68.6 billion, with average client deposit balances rising by $1.3 billion. Average loan and lease balances decreased by $206 million to $64.5 billion, driven by a $4.6 billion decrease in consumer real estate loans due to the reclassification of loans held for sale. The company’s common equity tier 1 (CET1) capital ratio was 10.3%.
