SHARPE
Reported results
- Reported diluted EPS of $(0.20) (GAAP); adjusted diluted EPS of $0.53 (non-GAAP), down $0.01 from Q2 2026 and up $0.02 from Q3 2025
- Net interest income (FTE) increased $7 million to $686 million; net interest margin was 3.48%, down 1 basis point
- Total revenue (FTE) was $883 million (non-GAAP adjusted); noninterest income included a $473 million loss on pending sale of mortgage loans
- Adjusted efficiency ratio was 58.9% (non-GAAP); reported efficiency ratio was 129.6% (GAAP) due to notable items
- Average deposits increased $1.8 billion to $68.6 billion; average client deposit balances increased $1.3 billion
- CET1 capital ratio was 10.3%, down 12 basis points from Q2 2026; company agreed to sell approximately $4.5 billion of select lower-yielding consumer mortgages, expected to settle early Q4 2026
Guidance
- Mortgage portfolio sale of ~$4.5 billion expected to settle early in the fourth quarter
- Transaction expected to be accretive to earnings on a go-forward basis and provide balance sheet flexibility to support future loan growth
Notes
Notable items totaling $0.73 per share, or $347 million after tax (primarily the $473 million pre-tax loss on reclassification of targeted mortgage loans to held for sale). Adjusted results exclude these notable items. This is a non-GAAP disclosure heavily weighted by the pending mortgage sale transaction.
Price and volatility reaction
Source
The figures above come from the earnings release the company filed with the SEC on 2026-10-15 (8-K, Item 2.02). Read the original filing on sec.gov.