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Regions Financial (RF) Miss Q3 Earnings on Higher Expenses

Have you been eager to see how Regions Financial CorporationRF performed in Q3 in comparison with the market expectations? Let's quickly scan through the key facts from this AL-based popular bank's earnings release this morning:

An Earnings Miss

Regions Financial came out with earnings per share of 19 cents, missing the Zacks Consensus Estimate of 20 cents. Elevated expenses were primarily responsible for this earnings miss.

How Was the Estimate Revision Trend?

You should note that the earnings estimate revisions for Regions Financial depicted a neutral stance prior to the earnings release. The Zacks Consensus Estimate has remained stable over the last 7 days.

Before posting an earnings miss in Q3, the company missed the Zacks Consensus Estimate by an average of 9.92% in the trailing four quarters.

Revenue Came In Lower Than Expected

Regions Financial posted revenues of $1.33 billion, which lagged the Zacks Consensus Estimate of $1.35 billion. However, it compared favorably with the year-ago number of $1.32 billion.

Key Stats to Note:

  • Loan growth of 6% recorded on 20% increase in production
  • Repurchased $270 million of common stock and declared $79 million in common stock dividends
  • Reduced non-performing loans and troubled debt restructured loans were recorded

What Zacks Rank Says

The estimate revisions that we discussed earlier have driven a Zacks Rank #4 (Sell) for Regions Financial. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.

Check back later for our full write up on this Regions Financial earnings report!

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REGIONS FINL CP (RF): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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