First Horizon Corporation (NYSE:FHN) reported a substantial jump in its full-year 2025 results on Thursday, fueled by consistent execution in its core southern U.S. markets and a significant cleanup of its balance sheet.
The regional lender posted net income available to common shareholders (NIAC) of $956 million for the year, resulting in earnings per share of $1.87—a 38% increase over the $1.36 reported in 2024.
The surge in profitability was aided by a drastic reduction in "notable items," which totaled just $12 million after-tax in 2025, compared to $105 million in the prior year.
On an adjusted basis, the bank's full-year NIAC grew 15% to $968 million, or $1.89 per share.
For the fourth quarter, First Horizon delivered net income of $257 million, or $0.52 per share, slightly ahead of the $0.50 earned in the third quarter.
The results topped the Wall Street consensus estimate of $0.46 per share, as the bank benefited from revenue strength and stable credit performance.
Meanwhile, the bank’s efficiency and credit quality remained highlights of the reporting period.
Net charge-offs remained low, and the bank’s capital ratios stayed well above regulatory requirements, with a Common Equity Tier 1 ratio finishing the year at approximately 11.4%.
As First Horizon moves into 2026, management indicated a continued focus on deepening client relationships and maximizing revenue opportunities across its 12-state footprint.