Regions Financial raises non-interest expense outlook on check fraud

Regions Financial revised expectations for fiscal year 2023 adjusted non-interest expense and adjusted operating leverage due primarily to an increase in the company’s estimate of operational losses resulting from check fraud. The updated outlook reflects the most current information available to management, which, "due to the dynamic nature of this industry-wide issue, has changed since the prior reporting," the bank said in a regulatory filing. "Regions remains vigilant in our efforts to combat fraud, and we are committed to the mitigation of these losses, while continuing to be a source of stability to our customers and supporting their banking needs," it added. Regions now sees 2023 adjusted non-interest expenses to increase 6.5% compared to 2022, versus its prior outlook of up 4.5%-5.5%.