Zions Bancorporation, National Association Reports Third Quarter Financial Results

Rhea-AI Summary

Zions Bancorporation (NASDAQ: ZION) reported Q3 2025 net earnings applicable to common shareholders of $221 million, or $1.48 per diluted share, versus $204 million ($1.37) in Q3 2024 and $243 million ($1.63) in Q2 2025. The company reported pre-provision net revenue +14% year-over-year (18% adjusted) and a net interest margin increase of 25 basis points versus the prior year. Loans contracted at a 3% annualized linked-quarter rate while deposits excluding brokered grew 7% annualized. Tangible book value per share +17% year-over-year.

Credit included a $50 million charge-off and a $10 million specific reserve tied to loans to two related companies with detected irregularities; legal action has been initiated. Excluding that loss, net charge-offs were $6 million (4 bps annualized).

Positive

• Net earnings of $221M in Q3 2025
• EPS of $1.48 in Q3 2025
• Pre-provision net revenue +14% YoY (+18% adjusted)
• Tangible book value per share +17% YoY
• Deposits excl. brokered grew +7% annualized

Negative

• $50M charge-off from loans to two related companies
• $10M specific reserve established against remaining balance
• Loans contracted at a 3% annualized linked-quarter rate

Insights

Bank financial analyst

Zions shows quarter-over-year revenue and tangible book growth but a one-off credit loss creates near-term noise for results.

The company reported net earnings applicable to common shareholders of $221 million and $1.48 per diluted share for the third quarter of 2025, up from $204 million and $1.37 in the year-ago quarter but down from $243 million and $1.63 in the prior quarter. Management highlighted 14% growth in pre-provision net revenue year-over-year (18% adjusted), a 25 basis-point increase in net interest margin, and 17% growth in tangible book value per share over the past year.

These facts indicate improving core earnings and capital accretion versus the prior year. Key dependencies include whether net interest margin and adjusted pre-provision revenue trends persist and whether loan contraction (a 3% annualized linked-quarter decline) reverses. Monitor the archived supplemental presentation and the conference call on October 20, 2025 and the coming quarterly report for margin, loan growth, and the impact of any further credit items over the next 1–3 quarters.

Credit risk specialist

A single concentrated credit failure drove most of this quarter's incremental charge, while underlying charge-offs remained minimal.

The quarter included a $50 million charge-off and a $10 million specific reserve tied to loans to two related companies where "apparent irregularities and misrepresentations were recently detected," and legal action has been initiated against guarantors. Excluding that loss, remaining net charge-offs were $6 million, or 4% basis points annualized of average loans, which the company described as "very benign."

This frames the event as a concentrated, identifiable loss rather than broad portfolio deterioration, but recovery depends on legal outcomes and guarantor strength. Watch legal recovery progress, any additional reserves in the next quarter, and loan portfolio trends; near-term resolution and disclosures over the next 3–12 months will materially affect credit provisions and reported earnings.

SALT LAKE CITY, Oct. 20, 2025 /PRNewswire/ -- Zions Bancorporation, N.A. (NASDAQ: ZION) ("Zions" or "the Bank") today reported net earnings applicable to common shareholders for the third quarter of 2025 of $221 million, or $1.48 per diluted common share, compared with net earnings applicable to common shareholders of $204 million, or $1.37 per diluted common share, for the third quarter of 2024, and net earnings applicable to common shareholders of $243 million, or $1.63 per diluted common share, for the second quarter of 2025.

Harris H. Simmons, Chairman and CEO of Zions Bancorporation, commented, "We're pleased with the Company's core earnings, which included 14% growth in pre-provision net revenue over the prior year period, and 18% on an adjusted basis. The net interest margin increased 25 basis points over the prior year period, while customer-related noninterest income, adjusted for the net credit valuation adjustment, grew 8%. Although loans contracted at a 3% annualized linked-quarter rate in the quarter, deposits, excluding brokered deposits, grew at an annualized rate of 7%. Over the past year, tangible book value per share grew 17%."

Mr. Simmons continued, "The quarter's credit results were marred by a $50 million charge-off, and a $10 million specific reserve established against the approximate remaining balance, arising from loans to two related companies in which apparent irregularities and misrepresentations were recently detected. Legal action has been initiated to pursue recovery of the amounts owed from guarantors of the credits. Excluding this loss, remaining net charge-offs were very benign at $6 million, or 4 basis points of average loans on an annualized basis."

For the full version of the Bank's 2025 third quarter earnings release, including financial schedules, please visit www.zionsbancorporation.com.

Supplemental Presentation and Conference Call

Zions has posted a supplemental presentation to its website, which will be used to discuss the third quarter results at 5:30 p.m. ET on October 20, 2025. Media representatives, analysts, investors, and the public are invited to join this discussion by calling (877) 709-8150 (domestic and international) and using the meeting number 13756405, or via on-demand webcast. A link to the webcast will be available on the Zions Bancorporation website at www.zionsbancorporation.com. The webcast of the conference call will also be archived and available for 30 days.

About Zions Bancorporation, N.A.

Zions Bancorporation, N.A. is one of the nation's premier financial services companies with annual net revenue of $3.1 billion in 2024, and total assets of approximately $89 billion at December 31, 2024. Zions operates under local management teams and distinct brands in 11 western states: Arizona, California, Colorado, Idaho, Nevada, New Mexico, Oregon, Texas, Utah, Washington, and Wyoming. The Bank is a consistent recipient of national and state-wide customer survey awards in small- and middle-market banking, as well as a leader in public finance advisory services and Small Business Administration lending. In addition, Zions is included in the S&P MidCap 400 and NASDAQ Financial 100 indices. Investor information and links to local banking brands can be accessed at www.zionsbancorporation.com.

Forward-Looking Information

The earnings release contains "forward-looking statements" as defined under the Private Securities Litigation Reform Act of 1995. These statements reflect management's current expectations and assumptions regarding future events and outcomes. However, they are inherently subject to known and unknown risks, uncertainties, and other factors that could cause actual results, performances, achievements, industry developments, or regulatory outcomes to differ materially from those expressed or implied. Forward-looking statements may include, among others:

• Statements concerning the beliefs, plans, objectives, goals, targets, commitments, designs, guidelines, expectations, anticipations, and future financial condition, operating results, and performance of Zions Bancorporation, National Association, and its subsidiaries (collectively "Zions Bancorporation, N.A.," "the Bank," "we," "our," "us"); and
• Statements preceded or followed by, or that include, terminology such as "may," "might," "can," "continue," "could," "should," "would," "believe," "anticipate," "estimate," "forecasts," "expect," "intend," "target," "commit," "design," "plan," "projects," "will," or similar words and expressions, including their negative forms.

Forward-looking statements are not guarantees and should not be relied upon as representing management's views as of any subsequent date. Actual results and outcomes may differ materially from those presented. Although the following list is not comprehensive, key factors that may cause material differences include:

• The quality and composition of our loan and investment securities portfolios and the quality and composition of our deposits;
• Changes in general industry, political, and economic conditions, including increases in the national debt, elevated inflation, economic slowdowns or recessions, and other macroeconomic challenges; changes in interest and reference rates, which could negatively impact our revenues and expenses, the valuation and performance of our assets and liabilities, and the availability and cost of capital and liquidity;
• Political developments, including government shutdowns and other significant disruptions and changes in the funding, size, scope, and effectiveness of the government and its agencies and services;
• The effects of newly enacted and proposed regulations affecting us and the banking industry, as well as changes and uncertainties in the interpretation, enforcement, and applicability of laws and fiscal, monetary, regulatory, trade, and tax policies;
• Actions taken by governments, agencies, central banks, and similar organizations, including those that result in decreases in revenue, increases in regulatory bank fees, insurance assessments, and capital standards; and other regulatory requirements;
• Evolving trade policies and disputes, such as proposed and implemented tariffs and resulting market volatility and uncertainty, including the effects on supply chains, expenses, and revenues for both us and our customers;
• Judicial, regulatory and administrative inquiries, investigations, examinations or proceedings and the outcomes thereof that create uncertainty for, or are adverse to, us or the banking industry;
• Changes in our credit ratings;
• Our ability to innovate and otherwise address competitive pressures and other factors that may affect aspects of our business, such as pricing, relevance of, and demand for, our products and services, and our ability to recruit and retain talent;
• The potential for both positive and disruptive impacts of emerging technologies, including stablecoins and other digital currencies, blockchain, artificial intelligence, quantum computing, and related innovations affecting both us and the banking industry;
• Our ability to complete projects and initiatives and execute our strategic plans, manage our risks, control compensation and other expenses, and achieve our business objectives;
• Our ability to develop and maintain technology and information security systems, along with effective controls designed to guard against fraud, cybersecurity, and privacy risks and related incidents, particularly given the accelerating pace at which threat actors are developing and deploying increasingly sophisticated and targeted tactics against the financial services industry;
• Our ability to provide adequate oversight of our suppliers to help us prevent or mitigate effects upon us and our customers of inadequate performance, systems failures, or cyber and other incidents by, or affecting, third parties upon whom we rely for the delivery of various products and services;
• The effects of wars, geopolitical conflicts, and other local, national, or international disasters, crises, or conflicts that may occur in the future;
• Natural disasters, pandemics, wildfires, catastrophic events, and other emergencies and incidents, and their impact on our and our customers' operations, business, and communities, including the increasing difficulty in, and the expense of, obtaining property, auto, business, and other insurance products;
• Governmental and social responses to environmental, social, and governance issues, including those with respect to climate change and diversity;
• Securities and capital markets behavior, including volatility and changes in market liquidity and our ability to raise capital;
• The possibility that our recorded goodwill could become impaired, which may have an adverse impact on our earnings and shareholders' equity;
• The impact of bank closures or adverse developments at other banks on general investor sentiment regarding the stability and liquidity of banks;
• Adverse news and other expressions of negative public opinion whether directed at us, other banks, the banking industry, or otherwise that may adversely affect our reputation and that of the banking industry generally; and
• Other assumptions, risks, or uncertainties described in this earnings release, and other SEC filings.

We caution against undue reliance on forward-looking statements, which reflect our views only as of their date of issuance. Except as required by law, we specifically disclaim any obligation to update any factors or publicly announce revisions to forward-looking statements to reflect future events or developments.

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SOURCE Zions Bancorporation

FAQ

What were ZION's net earnings and EPS for Q3 2025?

ZION reported net earnings of $221 million and EPS of $1.48 for Q3 2025.

How did ZION's pre-provision net revenue perform in Q3 2025 versus Q3 2024?

Pre-provision net revenue increased 14% year-over-year and 18% on an adjusted basis.

What credit losses did ZION report in Q3 2025 and why?

ZION recorded a $50 million charge-off plus a $10 million specific reserve related to loans to two related companies where irregularities were detected; legal action was initiated.

How did ZION's loans and deposits change in Q3 2025?

Loans contracted at a 3% annualized linked-quarter rate, while deposits excluding brokered grew at a 7% annualized rate.

What happened to ZION's tangible book value per share year-over-year?

Tangible book value per share increased by 17% year-over-year.