Memphis, Tennessee, October 15th / PRNewswire / -- First Horizon Corporation (New York Stock Exchange ticker: FHN, hereinafter referred to as " First Horizon ") today announced its financial results for the third quarter of 2026. The net loss attributable to common shareholders was 94 million dollars, resulting in a loss of 0.20 dollars per share. The company stated that these results reflect the impact of strategic measures taken to further align the balance sheet with the company's growth priorities.

This quarter, the company began to assess the possibility of selling approximately $4.5 billion in consumer mortgage loans with lower yields and signed an agreement to sell these mortgage loans at the beginning of October. The company stated that this transaction will enhance profits in the future and provide flexibility to the balance sheet to support future loan growth. The transaction is expected to be completed by the beginning of the fourth quarter.

After excluding special items, the adjusted earnings per share for the third quarter of 2026 were $0.53, which is a decrease of $0.01 compared to the second quarter of 2026 and an increase of $0.02 compared to the third quarter of 2025. The reported results include a special item impact of $0.73 per share and $347 million after taxes, mainly related to the reclassification of target mortgage loans as assets to be sold in preparation for the proposed sale of the mortgage loan portfolio.

CEO Comment

First Horizon Corporation Chairman, President, and CEO Bryan Jordan stated: "The performance of this quarter reflects our disciplined approach and clear strategic priorities. The average quarterly customer deposit balance increased by $1.3 billion. We will continue to focus on growth and maintaining strong customer relationships, and we will direct capital towards areas that are most conducive to long-term value creation. Looking ahead, we remain committed to executing our strategy and achieving sustainable growth and value for our customers, employees, and shareholders."

Telephone Conference Arrangement

Analysts, investors, and other interested parties can call the toll-free number 1-833-461-5787 (within the United States) starting at 8:15 a.m. Central Time on October 15, 2026, and enter the access code 391 852 446 to attend the teleconference. The teleconference will begin at 8:30 a.m. Central Time.

Participants can also choose to listen to the live audio broadcast via the following URLs: https :// ir.firsthorizon.com / events-and-presentations / default.aspx.

The live broadcast replay will be published on the company's website on October 15th and will be archived on the website for one year.

Forward-looking Statements

This document and its corresponding complete third-quarter 2026 earnings announcement contain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995, Section 27A of the Revised Securities Act of 1933, and Section 21E of the Revised Securities Exchange Act of 1934, which relate to the beliefs, plans, objectives, expectations, and estimates of FHN. Forward-looking statements are not statements of historical fact, but rather involve future operations, strategies, financial results, or other developments. Forward-looking statements typically use words such as "believes," "expects," "anticipates," "intends," "estimates," "should," "may," "will," "future," and similar expressions that refer to future events and trends.

Forward-looking statements are necessarily based on estimates and assumptions, which are inherently subject to significant business, operational, economic, and competitive uncertainties as well as contingencies, many of which are beyond the control of FHN. Moreover, with respect to future business decisions and actions (including acquisitions and divestitures), many of these factors may also change, and could result in actual future results and performance of FHN differing materially from those anticipated or implied in the forward-looking statements or from historical performance. Although it is not possible to list all uncertainties and contingencies that could cause actual results to differ from those stated in the forward-looking statements, factors that could lead to such differences include: those mentioned in this document; factors described in items 2.02 and 7.01 of FHN's current 8-K report filed with the U.S. Securities and Exchange Commission on the date of this release; factors described in the preface and items 1, 1A, and 7 of FHN's most recent 10-K annual report; and factors described in the preface and item 1A of part 2 of the 10-Q quarterly reports filed subsequent to that annual report. Any forward-looking statements made by FHN or on its behalf of FHN are only valid as of the date they are made. FHN assumes no obligation to update or revise any forward-looking statements contained in this document or any other statements, press releases, reports, or filings. Due to one or more of the factors mentioned above, as well as other factors listed in this document or in the aforementioned documents and other factors not listed, actual results may differ, and expectations may change, and such differences could be material.

In this document and the corresponding full third-quarter 2026 performance announcement, figures may not add up exactly due to rounding. EPS refers to earnings per share after full dilution, and the capital adequacy ratio for the most recent quarter is an estimated value.

Use of non-GAAP indicators and non-GAAP regulatory indicators

This document and the corresponding complete third-quarter 2026 performance announcement contain certain indicators that are not classified as “GAAP” indicators. In other words, they do not comply with Generally Accepted Accounting Principles (GAAP) in the United States, nor do they fall within the statutory accounting criteria stipulated by current U.S. banking regulatory rules applicable to FHN. Although other institutions may use different calculation methods from FHN, FHN management believes that these indicators are helpful for understanding the financial condition, capital position, and financial performance of FHN and its business segments. These non-GAAP indicators are reported to FHN management and the board of directors through various internal reports.

The non-GAAP indicators presented in this document and the corresponding complete third-quarter 2026 performance announcement include: fully taxable equivalent indicators, net income before tax provisions ( PPNR ), average return on tangible common equity ( ROTCE ), the ratio of tangible common equity to tangible assets ( TCE to TA ), tangible book value per share ( TBV ), as well as consolidated and segmental performance and various performance indicators and ratios after adjustments for special items.

The presentation of regulatory indicators, even if not GAAP, provides a meaningful basis for comparison with other financial institutions that are under the same regulation, just as banking regulatory authorities use when reviewing the capital adequacy ratios of financial institutions. Although these regulatory indicators are not GAAP terminology, as long as their presentation complies with regulatory standards, they are not considered 'non-GAAP' under U.S. financial reporting rules. The regulatory indicators used in this financial supplementary material include: Common Equity Tier 1 Capital (CET1), which is generally defined as common equity minus goodwill, other intangible assets, and certain other regulatory deductions; Tier 1 Capital, which is typically defined as the sum of core capital (including common equity and instruments that holders have no right to demand redemption), and is adjusted for certain items according to risk capital rules; and Risk-Weighted Assets, which is the total of on-balance-sheet and off-balance-sheet assets adjusted for credit and market risks, and is used to determine regulatory capital ratios.

For a comparison table of indicators other than GAAP and GAAP, as well as a presentation of the most comparable GAAP project, please refer to page 19 of the complete 2026 Third Quarter Performance Announcement FHN. The URL is: https :// ir.firsthorizon.com.

As of September 30, 2026, First Horizon Corp (New York Stock Exchange ticker: FHN) has an asset size of $84.3 billion and is a leading regional financial services company dedicated to helping customers, communities, and employees unleash their full potential by providing capital and consulting services. The company's headquarters are located in Memphis, Tennessee, and its banking subsidiary, First Horizon Bank, operates in 12 states in the southern United States. The company and its subsidiaries offer commercial banking, private banking, consumer finance, small business services, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services. First Horizon has been rated as one of the best employers in the United States by Fortune and Forbes, and has also been named one of the top ten most reputable banks in the country. For more information, please visit www.FirstHorizon.com.