Popular adds $38M to Q3 credit-loss provision

Updated common equity tier 1 capital is 16.01%, five basis points below the earnings-release figure.

Available on EDGAR 11/09/2026 - 07:40 AM EST Accepted by SEC EDGAR 11/09/2026 - 07:39 AM EST Learn about SEC filing dates

Rhea-AI Filing Summary

Popular, Inc. (BPOP) revised its September 2026 quarter results after a commercial and industrial borrower in the quick service restaurant industry substantially ceased operations and filed for Chapter 11 bankruptcy. The relationship entered nonperforming status during the second quarter, and reserves and charge-offs had already been recorded during the third quarter. Popular treated the bankruptcy as a recognized subsequent event and recorded an additional $38 million provision for credit losses for the quarter ended September 30, 2026; it expects an additional charge-off in the fourth quarter.

Updated provision for credit losses was $96.716 million, compared with $58.593 million in the earnings release. Updated net income was $242.385 million, versus $266.334 million as initially reported, and diluted EPS was $3.83 versus $4.21. Net income was $31.068 million above the September 2025 quarter. Popular also revised its 2026 net charge-off outlook to 90–95 basis points from 80–90 basis points, citing the expected fourth-quarter charge-off. The remainder of the full-year outlook was unchanged.

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0 major · 3 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointNet income increased $31.068 million year over year.

Negative

• Moderate pointAdditional credit-loss provision: $38 million for the September quarter.
• Moderate point. Forward-looking: it has not happened yet and may not happen.2026 net charge-off outlook rose to 90–95 bps.
• Minor pointSeptember-quarter net income was revised down by $23.949 million from the earnings-release figure.

Filing Explained

In Popular’s updated September-quarter results, the Common Equity Tier 1 capital ratio is 16.01% versus 16.06% in the earnings release, and tangible book value per share is $85.92 versus $86.30, leaving both reported measures lower.

8-K Event Classification

2 items: 8.01, 9.01

2 items

Item 8.01 Other Events Other

Voluntary disclosure of events the company deems important to shareholders but not covered by other items.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

Key Figures

Additional provision for credit losses: $38 million Provision for credit losses: $96.716 million Net income: $242.385 million +3 more

6 metrics

Additional provision for credit losses $38 million Quarter ended September 30, 2026

Provision for credit losses $96.716 million Updated quarter ended September 30, 2026

Net income $242.385 million Updated quarter ended September 30, 2026

Diluted EPS $3.83 per share Updated quarter ended September 30, 2026

2026 net charge-off guidance 90 bps–95 bps Revised outlook

Net income year-over-year increase $31.068 million Quarter ended September 30, 2026, compared with September 30, 2025

Key Terms

recognized subsequent event, commercial and industrial loan relationship, net charge-offs, Common Equity Tier 1 Capital, +1 more

5 terms

recognized subsequent event technical

"recognized subsequent event requiring adjustment of its interim consolidated financial statements"

commercial and industrial loan relationship financial

"a commercial and industrial loan relationship with Banco Popular de Puerto Rico"

net charge-offs financial

"guidance for net charge-offs (“NCOs”) for 2026"

Net charge-offs are the amount of loans or credit a lender removes from its books as uncollectible after subtracting any money later recovered from previously written-off accounts. Think of it like a store writing off unpaid tabs but getting back a few dollars later — the net figure shows the real loss. Investors watch this to judge a lender’s loan quality, future profits and how much capital may be needed to cover bad debts.

Common Equity Tier 1 Capital financial

"Common Equity Tier 1 Capital"

Core capital a bank holds consisting mainly of common shares and retained profits that can absorb losses without forcing the bank to sell assets or seek emergency help; items that can’t reliably cover losses are excluded. Think of it as the bank’s shock-absorbing cushion: a higher common equity tier 1 (CET1) level and ratio means regulators and investors view the bank as better able to survive bad loans or market shocks, so it signals lower risk to shareholders and creditors.

Return on Average Tangible Common Equity (ROTCE) financial

"Return on Average Tangible Common Equity (ROTCE) (Non-GAAP)"

Return on average tangible common equity (ROTCE) measures how much profit a company generates for ordinary shareholders relative to the average amount of their tangible capital—equity after removing goodwill and other intangible items. For investors it shows how efficiently the company uses the concrete, balance-sheet value that could realistically back future dividends or growth, similar to measuring how well a baker turns physical ingredients into loaves rather than valuing the shop’s brand name.

Earnings Snapshot

Provision for credit losses: $96.716 million · Guidance included

Quarter ended September 30, 2026

Provision for credit losses $96.716 million $38.123 million higher than the earnings-release figure

Net income $242.385 million $23.949 million lower than the earnings-release figure

Diluted EPS $3.83 per share $0.38 lower than the earnings-release figure

Guidance

2026 net charge-offs of 90 bps–95 bps, revised from 80 bps–90 bps

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

Why did BPOP revise its third-quarter 2026 results?

Popular recorded an additional $38 million provision for credit losses for the quarter ended September 30, 2026, after a commercial and industrial borrower in the quick service restaurant industry substantially ceased operations and filed for Chapter 11 bankruptcy. The relationship entered nonperforming status during the second quarter, and reserves and charge-offs had already been recorded during the third quarter.

What is BPOP's 2026 net charge-off outlook?

Popular now expects 2026 net charge-offs of 90 bps–95 bps, compared with its prior outlook of 80 bps–90 bps. The company attributed the revision to the expected fourth-quarter charge-off related to the borrower.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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false 0000763901 0000763901 2026-11-09 2026-11-09 0000763901 us-gaap:CommonStockMember 2026-11-09 2026-11-09 0000763901 bpop:CumulativePreferredStockSixPointOneTwoFivePercentMember 2026-11-09 2026-11-09

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 9, 2026

POPULAR, INC.

(Exact name of registrant as specified in its charter)

Puerto Rico		001-34084		66-0667416
(State or other jurisdiction of incorporation or organization)		(Commission File Number)		(IRS Employer Identification Number)

209 Muñoz Rivera Avenue Hato Rey, Puerto Rico		00918
(Address of principal executive offices)		(Zip code)

(787) 765-9800

(Registrant’s telephone number, including area code)

NOT APPLICABLE

(Former name, former address and former fiscal year, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communication pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communication pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock ($0.01 par value)		BPOP		The NASDAQ Stock Market
6.125% Cumulative Monthly Income Trust Preferred Securities		BPOPM		The NASDAQ Stock Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 8.01. Other Events.

Recognized Subsequent Event

On November 9, 2026, Popular, Inc. (the “Corporation”) filed its Quarterly Report on Form 10-Q for the quarter ended September 30, 2026 (the “Form 10-Q”). The Form 10-Q disclosed that, after the issuance of the Corporation’s press release announcing its unaudited financial results for the quarter ended September 30, 2026, a borrower in the quick service restaurant industry with a commercial and industrial loan relationship with Banco Popular de Puerto Rico substantially ceased operations and filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The relationship had entered nonperforming status during the second quarter of 2026 and certain reserves and charge-offs related to this relationship had already been recorded during the third quarter of 2026. The Corporation evaluated these events and determined that they constituted a recognized subsequent event requiring adjustment of its interim consolidated financial statements for the quarter ended September 30, 2026, which had not yet been issued. Accordingly, the Corporation recognized an additional provision for credit losses in connection with that relationship in the amount of $38 million for the quarter ended September 30, 2026. The Corporation expects these developments to also result in an additional charge-off related to the relationship in the fourth quarter of 2026. See Note 27, Subsequent Events, to the interim consolidated financial statements included in the Form 10-Q for further information.

Financial Highlights

As a result of the additional provision for credit losses described above, certain amounts reported in the press release announcing the Corporation’s unaudited financial results for the quarter ended September 30, 2026 have been updated. The table below includes the updated Financial Highlights after the recognized subsequent event, compared to the figures included in the Corporation’s earnings release for the quarter ended September 30, 2026:

($ in thousands, except per share information)

		Quarter ended
		30-Sep-26 (updated)				30-Sep-26 (as issued on earnings release)				∆
EARNINGS
Provision for Credit Losses		$	96,716			$	58,593			$	38,123
Net Interest Income After Provision for Credit Losses			602,214				640,337				(38,123	)
Income Tax Expense			29,897				44,071				(14,174	)
Net Income		$	242,385			$	266,334			($	23,949	)
BALANCE SHEET
Allowance for Credit Losses		$	808,810			$	770,687			$	38,123
Total Loans Held-in-Portfolio, Net			39,233,846				39,271,969				(38,123	)
Other Assets			1,845,682				1,831,386				14,296
Total Assets		$	77,735,045			$	77,758,872			($	23,827	)
CAPITAL
Common Equity Tier 1 Capital			16.01	%			16.06	%			-5 bps
Total Capital			17.78	%			17.84	%			-6 bps
Tier 1 Leverage			8.49	%			8.52	%			-3 bps
PER SHARE DATA
Basic EPS		$	3.84			$	4.21			($	0.37	)
Diluted EPS		$	3.83			$	4.21			($	0.38	)
Tangible Book Value Per Share (Non-GAAP) [1]		$	85.92			$	86.30			($	0.38	)
FINANCIAL RATIOS
Return on Average Tangible Common Equity (ROTCE) (Non-GAAP) [1]			14.39	%			15.80	%			-141 bps
Allowance for Credit Losses to Loans Held-in-Portfolio			2.02	%			1.92	%			10 bps
Allowance for Credit Losses to Non-Performing Loans (excluding held-for-sale)			173.64	%			165.46	%			8.18 pts

[1] Non-GAAP measures are intended to supplement, and should not be considered a substitute for, GAAP results. See Schedule 1 for additional information and a reconciliation to GAAP financial measures.

The Financial Highlights table below presents updated results for the quarter ended September 30, 2026 and related variances against the prior period and against the same period in the prior year:

($ in thousands, except per share information)

		Quarters ended
		30-Sep-26 (updated)				30-Jun-26				∆ vs 30-Jun-26				30-Sep-25				∆ vs 30-Sep-25
EARNINGS
Provision for Credit Losses		$	96,716			$	65,873			$	30,843			$	75,125			$	21,591
Net Interest Income After Provision for Credit Losses			602,214				627,546				(25,332	)			571,380				30,834
Income Tax Expense			29,897				45,747				(15,850	)			35,971				(6,074	)
Net Income		$	242,385			$	278,214			($	35,829	)		$	211,317			$	31,068
BALANCE SHEET
Allowance for Credit Losses		$	808,810			$	784,832			$	23,978			$	786,220			$	22,590
Total Loans Held-in-Portfolio, Net			39,233,846				38,965,030				268,816				37,900,938				1,332,908
Other Assets			1,845,682				1,762,221				83,461				1,744,886				100,796
Total Assets		$	77,735,045			$	78,972,300			($	1,237,255	)		$	75,065,798			$	2,669,247
CAPITAL
Common Equity Tier 1 Capital			16.01	%			16.08	%			-7 bps				15.79	%			22 bps
Total Capital			17.78	%			17.85	%			-7 bps				17.58	%			20 bps
Tier 1 Leverage			8.49	%			8.57	%			-8 bps				8.48	%			1 bp
PER SHARE DATA
Basic EPS		$	3.84			$	4.35			($	0.51	)		$	3.15			$	0.69
Diluted EPS		$	3.83			$	4.35			($	0.52	)		$	3.14			$	0.69
Tangible Book Value Per Share (Non-GAAP) [1]		$	85.92			$	87.94			($	2.02	)		$	79.12			$	6.80
FINANCIAL RATIOS
Return on Average Tangible Common Equity (ROTCE) (Non-GAAP) [1]			14.39	%			17.02	%			-263 bps				13.06	%			133 bps
Allowance for Credit Losses to Loans Held-in-Portfolio			2.02	%			1.97	%			5 bps				2.03	%			-1 bp
Allowance for Credit Losses to Non-Performing Loans (excluding held-for-sale)			173.64	%			189.83	%			-16.19 pts				156.55	%			17.09 pts

[1] Non-GAAP measures are intended to supplement, and should not be considered a substitute for, GAAP results. See Schedule 1 for additional information and a reconciliation to GAAP financial measures.

The earnings press release and the conference call presentation in the investor relations section of the Corporation’s website have been updated to give effect to the additional provision for credit losses referred to in Note 27, Subsequent Events, to the interim consolidated financial statements included in the Form 10-Q.

Full Year 2026 Outlook

In addition, the press release announcing the Corporation’s unaudited financial results for the quarter ended September 30, 2026 included an update to the Corporation’s full year 2026 outlook. The updated guidance included in the earnings press release included guidance for net charge-offs (“NCOs”) for 2026 of 80 bps – 90 bps. As a result of the expected fourth quarter charge-off described above, the Corporation now expects NCOs for 2026 to be in the range of 90 bps – 95 bps. Except for the NCO guidance, the Corporation has not updated the remainder of the full year 2026 outlook included in the press release, which was provided based on information known to the Corporation as of the date of the press release.

Forward-Looking Statements

This Current Report on Form 8-K contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including without limitation those regarding the Corporation’s business, financial condition, results of operations, plans, objectives, outlook and future performance. These statements are not guarantees of future performance, are based on management’s current expectations and, by their nature, involve risks, uncertainties, estimates and assumptions. Potential factors, some of which are beyond the Corporation’s control, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. All statements contained herein that are not clearly historical in nature are forward-looking, and the words “anticipate,” “believe,” “continues,” “expect,” “estimate,” “intend,” “project” and similar expressions, and future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “can,” “may” or similar expressions, are generally intended to identify forward-looking statements.

More information on the risks and important factors that could affect the Corporation’s future results and financial condition is included in its Form 10-K for the year ended December 31, 2025, its Form 10-Q for the quarter ended March 31, 2026, its Form 10-Q for the quarter ended June 30, 2026 and its Form 10-Q for the quarter ended September 30, 2026. Our filings are available on the Corporation’s website (www.popular.com) and on the Securities and Exchange Commission website (www.sec.gov). The Corporation assumes no obligation to update or revise any forward-looking statements or information which speak as of their respective dates.

Schedule 1

Reconciliation to GAAP Financial Measures

The tangible common equity ratio and tangible book value per common share are commonly used by banks and analysts in conjunction with more traditional bank capital ratios to compare the capital adequacy of banking organizations with significant amounts of goodwill or other intangible assets, typically stemming from the use of the purchase accounting method for mergers and acquisitions. Return on average tangible common equity is also a measure commonly used by banks and analysts to measure the return on that tangible common equity. We present return on average tangible common equity with and without the impact of unrealized (gains) losses on available for sale (“AFS”) securities, including those transferred to held-to-maturity (“HTM”), in the denominator because we believe that adding back the impact of unrealized (gains) losses on AFS securities including those transferred to HTM to the denominator provides meaningful information about the Corporation’s return on capital. Unless otherwise indicated, references to “ROTCE” in this Form 8-K mean return on average tangible common equity as adjusted to add back unrealized (gains) losses on AFS securities, including those transferred to HTM. Neither tangible common equity nor tangible assets or related measures should be used in isolation or as a substitute for stockholders’ equity, total assets or any other measure calculated in accordance with GAAP.

The tables below present the updated reconciliation for the aforementioned non-GAAP financial measures for the quarter ended September 30, 2026, as well as the prior period and the same period in the prior year:

(In thousands, except share or per share information)

		Quarters ended
		30-Sep-26				30-Jun-26				30-Sep-25
Total stockholders’ equity		$	6,214,896			$	6,433,005			$	6,115,672
Less: Preferred stock			(22,143	)			(22,143	)			(22,143	)
Less: Goodwill			(789,954	)			(789,954	)			(789,954	)
Less: Other intangibles			(3,924	)			(4,308	)			(5,460	)
Total tangible common equity		$	5,398,875			$	5,616,600			$	5,298,115
Total assets		$	77,735,045			$	78,972,300			$	75,065,798
Less: Goodwill			(789,954	)			(789,954	)			(789,954	)
Less: Other intangibles			(3,924	)			(4,308	)			(5,460	)
Total tangible assets		$	76,941,167			$	78,178,038			$	74,270,384
Tangible common equity to tangible assets			7.02	%			7.18	%			7.13	%
Common shares outstanding at end of period			62,834,136				63,866,681				66,959,866
Tangible book value per common share		$	85.92			$	87.94			$	79.12

(In thousands)

		Quarterly average
		30-Sep-26				30-Jun-26				30-Sep-251
Total stockholders’ equity		$	6,435,638			$	6,354,694			$	6,882,514
Less: Preferred Stock			(22,143	)			(22,143	)			(22,143	)
Less: Goodwill			(789,954	)			(789,954	)			(802,812	)
Less: Other intangibles			(4,177	)			(4,559	)			(5,714	)
Total tangible common equity before adjusting for the impact of unrealized (gains) losses on AFS securities including those transferred to HTM		$	5,619,364			$	5,538,038			$	6,051,845
Return on average tangible common equity before adjusting for the impact of unrealized (gains) losses on AFS securities including those transferred to HTM			17.09	%			20.12	%			13.83	%
Add: Average unrealized (gains) losses on AFS securities			903,931				824,631				61,027
Add: Average unrealized (gains) losses on AFS securities transferred to HTM			150,274				184,136				296,934
Total tangible common equity after adding back of impact of unrealized (gains) losses on AFS securities, including those transferred to HTM		$	6,673,569			$	6,546,805			$	6,409,806
ROTCE			14.39	%			17.02	%			13.06	%

[1] Average balances exclude unrealized gains or losses on debt securities available-for-sale.

Item 9.01. Financial Statements and Exhibits.

101 Pursuant to Rule 406 of Regulation S-T, the cover page is formatted in Inline XBRL (Inline eXtensible Business Reporting Language).

104 Cover Page Interactive Data File (embedded within the Inline XBRL document and included in Exhibit 101).

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

				POPULAR, INC.    (Registrant)
Date: November 9, 2026				By:		/s/ Denissa M. Rodríguez
						Denissa M. Rodríguez
						Senior Vice President and Corporate Comptroller

Filing Exhibits & Attachments

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• EX-101 XBRL TAXONOMY EXTENSION SCHEMA 4.4 KB
• EX-101 XBRL TAXONOMY EXTENSION DEFINITION LINKBASE 13.0 KB
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