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Regions Financial (RF) Reports Q3 Earnings: What Key Metrics Have to Say

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Regions Financial (RF - Free Report) reported $1.86 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 0.5%. EPS of $0.49 for the same period compares to $0.56 a year ago.

The reported revenue represents a surprise of -1.65% over the Zacks Consensus Estimate of $1.89 billion. With the consensus EPS estimate being $0.59, the EPS surprise was -16.95%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Regions Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net interest margin (FTE): 3.7% compared to the 3.8% average estimate based on eight analysts.
  • Efficiency Ratio: 58.5% versus 53.8% estimated by eight analysts on average.
  • Total interest-earning assets - Average balance: $138.64 billion versus the six-analyst average estimate of $138.46 billion.
  • Net Charge-Offs as a percentage of average loans: 0.4% versus 0.4% estimated by six analysts on average.
  • Common equity Tier 1 ratio: 10.3% compared to the 10.1% average estimate based on six analysts.
  • Tier 1 Capital Ratio: 11.6% compared to the 11.1% average estimate based on three analysts.
  • Total Non-Performing Assets: $659 million versus $531.80 million estimated by three analysts on average.
  • Non-Accrual Loans: $644 million versus the two-analyst average estimate of $526.21 million.
  • Total risk-based capital ratio: 13.4% versus 13.1% estimated by two analysts on average.
  • Leverage Ratio: 9.7% compared to the 9.2% average estimate based on two analysts.
  • Total Non-Interest Income: $566 million versus the eight-analyst average estimate of $568.44 million.
  • Net Interest Income: $1.29 billion versus $1.32 billion estimated by seven analysts on average.
View all Key Company Metrics for Regions Financial here>>>

Shares of Regions Financial have returned -5.4% over the past month versus the Zacks S&P 500 composite's -3.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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