EarningsQ2 2026 Earnings Report
DE:PP4A Q2 2026 EPS Results
Actual EPS€3.86
Consensus EPS€3.30
Beat/MissBeat by +€0.56
One Year Ago EPS€2.74
DE:PP4A Q2 2026 Revenue Results
Actual Revenue€1.04B
Expected Revenue€780.16M
Beat/MissBeat by +€254.91M
YoY Revenue Growth+4.38%
Earnings Announcement Details
QuarterQ2 2026
Date07/23/2026
TimeBefore Open
Conference CallThursday, July 23, 2026
DE:PP4A Upcoming Earnings
Popular's next earnings date is estimated for October 22, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
DE:PP4A Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The earnings call presented a strongly positive operational and financial quarter with solid earnings growth (EPS +15% QoQ, +41% YoY), improved profitability (ROTCE 17%), NII growth, fee income expansion, meaningful capital returns (dividend increase and $1B buyback authorization), and continued investments in branches and digital capabilities. Credit quality remains stable in underlying consumer and mortgage portfolios and reserve coverage is healthy. The quarter’s main negatives were discrete commercial credit events (a $71M charge-off and ~$129M of new C&I nonaccruals) that elevated reported net charge-offs and produced some volatility in NPL metrics, along with modest expense increases and deposit-mix headwinds from higher-cost public funds. Overall, the positive drivers and capital/return actions materially outweigh the discrete credit challenges reported this quarter.Company Guidance
Strong Quarterly Earnings and EPS Growth
Net income of $278 million and diluted EPS of $4.35, up $0.57 QoQ (+15%) and +41% YoY, driven by higher net interest income, solid fee generation, balance sheet growth and strong capital generation.
Improved Profitability Metrics
Return on tangible common equity (ROTCE) improved to 17% in the quarter (from 15.5% in Q1 and 13.3% a year ago); company set a higher annual ROC objective of 14%–17%.
Net Interest Income and Margin Stability
Net interest income increased $23 million to $693 million. GAAP NIM remained stable at 3.66%; taxable-equivalent NIM expanded +3 bps to 4.17%. Management expects NII to increase 8%–9% for the year and NIM to remain generally stable.
Deposit and Balance Sheet Growth
Ending deposits rose $2.6 billion to $70.2 billion; Puerto Rico public deposits increased ~ $3.0 billion to $22.7 billion. Ending loan balances increased $460 million QoQ, led by commercial construction and mortgage lending.
Noninterest Income Expansion
Noninterest income grew $15 million to $181 million (+7% YoY). Debit and credit card fees rose ~13%–17% YoY; asset management and insurance fees increased ~7% YoY. Company now expects quarterly noninterest income of $165M–$170M.
Capital Strength and Shareholder Returns
Tangible book value per share rose $2.96 to $87.94; CET1 capital improved +16 bps to 16.1%. Returned $174 million to shareholders in the quarter (including $125M buybacks). Announced planned 20% dividend increase to $0.90/share and a new $1.0 billion repurchase authorization; expect an additional $300M–$400M of buybacks in 2026.
Reserve Coverage and Credit Positioning
Allowance for credit losses (ACL) coverage remains solid: ACL-to-loans ratio 1.97% and ACL-to-NPL ratio increased to 190% (from 180%). Excluding the discrete commercial charge-off, consumer credit continued to improve with lower auto losses and mortgage net recoveries.
Prudent Investment and Funding Strategy
Reinvested bond maturity proceeds into U.S. Treasuries: purchased ~$1.1 billion of Treasury notes (duration ~2.8 years) at ~3.9% average yield to manage liquidity and interest-rate positioning.
Operational Initiatives and Commercial Traction
Ongoing branch modernization and digital investments; corporate credit card solutions have rapidly gained share and now account for nearly half of commercial purchase volume. Targeted segment strategies and campaign 'Aquí Crecemos' intended to deepen relationships and drive growth.
DE:PP4A Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed