Q2 Earnings, Dividend, Acquisition
First Hawaiian Posts $73.4M Q2 Net Income, Declares Dividend, Advances TriCo Acquisition
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The board also declared a cash dividend for the quarter and set a record date of August 17, 2026, with the $0.26 per share payout to be paid on August 28, 2026.
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Total assets were $23.6 billion as of June 30, 2026, highlighting the scale of the bank ahead of the TriCo acquisition.
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Provision for credit losses in the quarter was $5.6 million, with the allowance for credit losses at $168.1 million (about 1.15% of loans) and non-performing assets at $39.5 million (0.27%).
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The TriCo Bancshares deal is structured as an all-stock transaction with an exchange ratio of 2.095 First Hawaiian shares for each TriCo share.
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Following the earnings and deal news, First Hawaiian shares were down about 0.6% in premarket trading, trading around $28.65.
First Hawaiian, Inc. posted net income of $73.4 million in the second quarter of 2026, with diluted earnings per share of $0.60 on revenue of $231.27 million, according to MarketScreener. The Hawaii-based bank also declared a quarterly cash dividend of $0.26 per share, payable August 28, 2026.
Shares slipped about 0.6% in premarket trading to around $28.65, reflecting mild post-earnings selling. The results come as First Hawaiian moves ahead with a major deal to acquire California's TriCo Bancshares in an all-stock transaction.
Net Interest Income Climbs as Loan Book Grows
Net interest income — money earned from loans minus what the bank pays depositors — rose to $171.0 million in Q2 2026. That compares to $163.6 million a year earlier, according to MarketScreener. The net interest margin held at 3.25%.
Total loans grew to $14.6 billion as of June 30, 2026. Deposits, however, dipped to $20.2 billion. Total assets stood at $23.6 billion. The bank's credit quality stayed stable, with non-performing assets at just $39.5 million, or 0.27% of total assets, per Kalkine Media.
Strong Capital Ratios Ahead of TriCo Bancshares Deal
First Hawaiian's capital position improved during the quarter. Its CET1 ratio — a key measure of financial strength — reached 13.27%. Its tier 1 leverage ratio came in at 9.46%. Both numbers show the bank is well-capitalized before a major acquisition, according to MarketScreener.
The provision for credit losses was $5.6 million for the quarter. The allowance for credit losses totaled $168.1 million, equal to about 1.15% of total loans. These figures point to a well-managed loan book with limited stress, per Kalkine Media.
TriCo Acquisition Would Create a $34 Billion Bank
First Hawaiian is pushing ahead with its all-stock purchase of TriCo Bancshares. The deal uses a fixed exchange ratio of 2.095 First Hawaiian shares for each TriCo share. Management expects the deal to close by the end of 2026. The combined bank would hold roughly $34 billion in assets.
Piper Sandler raised its price target on First Hawaiian to $29 following the results, while keeping a Neutral rating. The firm flagged execution risks tied to the TriCo deal but projected earnings accretion of roughly 6% once the two banks are fully combined. The deal marks First Hawaiian's push to expand beyond its Hawaii base onto the mainland.
Quarterly Dividend Set for August Payout
The board declared a cash dividend of $0.26 per share for Q2 2026, according to MarketScreener UK. The record date is August 17, 2026. Shareholders will receive payment on August 28, 2026. The dividend is unchanged from prior quarters, signaling confidence in the bank's earnings outlook.
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