First Horizon Reports Third Quarter Loss, Sells Mortgage Portfolio
First Horizon Corporation reported a net loss of $94 million for the third quarter of 2026. The company also announced it has agreed to sell approximately $4.5 billion in mortgage loans to support future growth and balance sheet flexibility.
Memphis, Tennessee – First Horizon Corporation reported a third quarter 2026 net loss available to common shareholders of $94 million, or a loss per share of $0.20. The results reflect strategic actions taken to align the balance sheet with the company's growth priorities.
The company disclosed it began evaluating the sale of approximately $4.5 billion of select lower-yielding consumer mortgages during the quarter and entered into an agreement to sell these mortgages in early October. This transaction is expected to be accretive to earnings going forward and will provide balance sheet flexibility to support future loan growth.
Excluding notable items, adjusted earnings per share for the quarter was $0.53. Chairman, President and CEO Bryan Jordan stated that client deposit balances increased by $1.3 billion during the quarter, emphasizing the company's focus on client relationships and capital deployment.
The mortgage sale is expected to settle in early fourth quarter. First Horizon reiterated its commitment to executing its strategy and delivering sustainable growth and value for its stakeholders.