EarningsQ2 2026 Earnings Report
MX:WAL Q2 2026 EPS Results
Actual EPS$40.45
Consensus EPS$40.44
Beat/MissBeat by +$0.02
One Year Ago EPS$35.48
MX:WAL Q2 2026 Revenue Results
Actual Revenue$23.94B
Expected Revenue$16.81B
Beat/MissBeat by +$7.13B
YoY Revenue Growth+9.32%
Earnings Announcement Details
QuarterQ2 2026
Date07/21/2026
TimeAfter Close
Conference CallTuesday, July 21, 2026
MX:WAL Upcoming Earnings
Western Alliance's next earnings date is estimated for October 15, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:WAL Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a constructive, execution-focused tone: the company reported solid quarter-over-quarter and year-over-year growth in key earnings metrics (NII +14% YoY, PPNR +25% YoY, loan growth led by C&I) while maintaining capital and margin stability. Management proactively implemented a deposit optimization program, is deploying excess capital into share repurchases, and expects asset-quality improvements in H2. Offsetting this optimism were headwinds in mortgage banking, a temporary bump in nonaccruals (and a coverage dip), reduced near-term guidance for fee growth, and continued relatively high deposit funding costs. Overall, management presented credible actions and reasonable outcomes to address the challenges while maintaining profitable growth.Company Guidance
Strong Loan Growth Driven by C&I
Quarterly held-for-investment (HFI) loan growth of $1.8B led by C&I (over 80% of quarterly HFI growth); average HFI loan growth included $1.1B in the quarter. Management expects full-year loan growth of $5B (revised guidance) while still remaining top-quartile among $50B–$300B peers.
Net Interest Income Expansion with Stable Margin
Net interest income (NII) of $797M, up $31M QoQ (16% annualized linked-quarter) and 14% YoY, achieved while net interest margin remained relatively stable (compressing ~1 bp QoQ). Full-year NII growth guidance raised to 12%–14%.
PPNR and Operating Leverage Improvement
Pre-provision net revenue (PPNR) expanded to $412M, a 25% increase YoY. Total revenue growth outpaced expense growth by a ~3-to-1 margin (excluding Q1 securities gains), supporting improved operating leverage and an adjusted efficiency ratio of 49%.
Resilient Capital and Shareholder Returns
CET1 maintained at 11% target; tangible common equity to tangible assets ~7% (up ~20 bps YTD). Tangible book value per share $63.24, up $2.10 QoQ and 13% YoY. Company announced $150M planned share repurchases for H2 2026 and signaled capacity for more repurchases.
Noninterest Income Momentum Outside Mortgage
Quarterly noninterest income of $199M (consistent with adjusted Q1 excluding $50.5M securities gains); noninterest income up ~34% YoY (~$51M) driven by commercial banking treasury management, FX, and service charges.
Deposit Optimization Progress and Lower Funding Costs
Intentional reduction of over $1.2B higher-cost deposits toward quarter-end (~$2B total targeted optimization to date). Total deposit cost declined to $1.78 (down 3 bps QoQ from $1.81); interest-bearing deposit cost compressed to 2.74% (down ~1 bp QoQ). June month-end deposit cost ~1–2 bps below Q2 average.
Asset Quality Trends Improving / NCOs Stabilizing
Criticized assets and net charge-offs declined from prior quarter; special mention loans decreased $87M to $316M; classified accruing loans down $15M to $440M. Quarterly net charge-offs moved lower (management cited 37 bps in commentary) and reaffirmed full-year core NCO guidance of 25–35 bps.
Execution of Mortgage Hedging Strategy
Sold covered calls on mortgage bonds produced $6M in Q2 fair value gains and $3M realized in July; management expects to regularly execute these trades to hedge mortgage volatility.
MX:WAL 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