First Horizon (NYSE:FHN) FY Conference September 09, 2025 12:00 PM ET Company ParticipantsBryan Jordan - President, Chairman & CEOHope Dmuchowski - Senior EVP & CFONoneGood afternoon, everybody. Thanks for joining us. We're excited to have First Horizon Corporation here, an $82 billion bank headquartered in Memphis, Tennessee. We're joined by Bryan Jordan, the Chairman, President, and CEO, and Hope Dmuchowski, the Chief Financial Officer. Thanks a lot for being here today.Bryan JordanThank you for having us ...

Core Insights - LPL Financial Holdings Inc. has transitioned the support of First Horizon Bank's broker-dealer and investment advisory services program to its platform, enhancing service capabilities for First Horizon Advisors [1][2] - The integration is expected to provide personalized advice and foster growth and stronger client relationships [2] - As of August 2025, approximately $12 billion of brokerage and advisory assets have been onboarded to LPL, with more expected in the coming months [2] Company Overview: First Horizon Corporation - First Horizon Corporation, with $82.1 billion in assets as of June 30, 2025, is a regional financial services company operating primarily in the southern U.S. [3] - The company offers a wide range of services including commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking [3] - First Horizon has received recognition as one of the best employers and a top reputable bank in the U.S. [3] Company Overview: LPL Financial - LPL Financial Holdings Inc. is a leading wealth management firm in the U.S., supporting over 29,000 financial advisors and approximately 1,100 financial institutions [4] - The firm services and custody approximately $1.9 trillion in brokerage and advisory assets for around 7 million Americans [4] - LPL provides various advisor affiliation models, investment solutions, fintech tools, and practice management services to support advisors and institutions [4]

Core Viewpoint - First Horizon Corporation (FHN) has outperformed the industry and its peers over the past year, with a share price increase of 36.2% compared to the industry's 10.1% growth [1][7]. Performance Drivers - Rising Loans & Deposit Balances: FHN has experienced solid loan and deposit growth, with a compound annual growth rate (CAGR) of 15% for loans and 15.1% for deposits from 2019 to 2024. As of Q2 2025, loan balances reached $63.3 billion, up 1.7% year over year, while deposit balances rose to $65.6 billion, an increase of 2.1% year over year [5][11]. - Net Interest Income (NII) Growth: Over the past five years, NII has expanded at a CAGR of 15.7%, with continued momentum into the first half of 2025. Anticipated Federal Reserve rate cuts are expected to further benefit NII by easing funding costs and boosting lending activity [12][13]. - Strong Liquidity and Capital Distribution: As of June 30, 2025, FHN had $3.86 billion in cash and cash equivalents, supporting its capital distribution plans, including a 7% increase in dividends and a $1 billion share repurchase plan [14][15][16]. Near-Term Challenges - Rising Expenses: Non-interest expenses have seen a CAGR of 10.6% from 2019 to 2024, with ongoing investments in technology and personnel likely to keep expenses elevated in the near term [17]. - Loan Concentration Risks: A significant portion of FHN's loan portfolio (76.3%) is concentrated in commercial and commercial real estate loans, which may pose risks if the economic environment deteriorates [20]. Earnings Outlook - Earnings estimates indicate a year-over-year growth of 12.26% for the current year and 8.54% for the next year, with consensus estimates for Q3 2025 at $0.44 and for Q4 2025 at $0.45 [22][23].

Core Viewpoint - First Horizon Corporation has elected Michael Moehn to its Board of Directors, bringing extensive experience in finance and strategic leadership from the energy sector [1][2]. Company Overview - First Horizon Corporation, headquartered in Memphis, TN, has $82.1 billion in assets as of June 30, 2025, and operates in 12 states in the southern U.S. [6]. - The company offers a wide range of financial services including commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage services [6]. Leadership Experience - Michael Moehn has over two decades of executive experience in finance, operations, risk management, and strategic leadership, particularly in the energy and utility sectors [2]. - As CFO of Ameren, he has led strategic planning initiatives and managed financial affairs, including investor relations and capital market activities [2][3]. - Moehn has held various leadership roles at Ameren, including President of Ameren Missouri, which serves over 1.2 million customers [3]. Strategic Insights - The Chairman, President, and CEO of First Horizon, Bryan Jordan, emphasized that Moehn's leadership and strategic insights will be crucial for shaping the company's future [4]. - Lead Director Colin Reed noted Moehn's experience in the energy sector will enhance board leadership and support customer service and innovation [4]. Community Engagement - Moehn is actively involved in community service, having supported various civic organizations, including serving as past chairman of the Urban League of Metropolitan St. Louis and the United Way of Greater St. Louis [5].

Group 1 - First Horizon Foundation announced a $25,000 donation to the American Red Cross of Southeast Tennessee to support relief efforts in Chattanooga [1] - The donation aims to provide essential services and critical resources to the community affected by recent floods [1][3] - Chattanooga Mayor Tim Kelly praised First Horizon for its long-standing support and commitment to the community since 1905 [3] Group 2 - The American Red Cross of Southeast Tennessee offers emergency financial aid, recovery planning, and long-term support for those impacted by the floods [3] - First Horizon Corporation, with $82.1 billion in assets as of June 30, 2025, is a leading regional financial services company operating in 12 states [5] - The First Horizon Foundation has donated over $150 million since its founding in 1993, supporting various impact areas including Arts & Culture, Education & Leadership, and Health & Human Services [4]

Core Viewpoint - First Horizon Corporation will participate in the Barclays 23rd Annual Global Financial Services Conference on September 9, 2025, featuring key executives Bryan Jordan and Hope Dmuchowski [1] Group 1: Company Overview - First Horizon Corporation has $82.1 billion in assets as of June 30, 2025 [4] - The company operates in 12 states, primarily in the southern U.S., through its banking subsidiary, First Horizon Bank [4] - Services offered include commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking [4] Group 2: Recognition and Reputation - First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines [4] - The company is also listed as a Top 10 Most Reputable U.S. Bank [4] Group 3: Event Details - A live webcast and audio replay of the conference will be available on the First Horizon Investor Relations website [2]

Core Viewpoint - First Horizon National's recent earnings report indicates a positive trend with adjusted earnings per share surpassing estimates, driven by increased net interest income and reduced expenses [2][3]. Financial Performance - Adjusted earnings per share for Q2 2025 were 45 cents, exceeding the Zacks Consensus Estimate of 41 cents and up from 36 cents in the same quarter last year [2]. - Net income available to common shareholders was $233 million, reflecting a 27% year-over-year increase [3]. - Total quarterly revenues reached $830 million, a 1.8% increase year-over-year, although it missed the Zacks Consensus Estimate by 0.9% [4]. - Net interest income rose nearly 2% year-over-year to $641 million, with the net interest margin increasing by 2 basis points to 3.40% [4]. Expense Management - Non-interest expenses decreased by 1.8% year-over-year to $491 million, attributed to declines in most cost components [5]. - The efficiency ratio improved to 59.20%, down from 61.44% in the prior year, indicating enhanced profitability [5]. Loan and Deposit Growth - Total loans and leases at period-end were $63.3 billion, up 1.7% from the previous quarter, while total deposits increased by 2.1% to $65.6 billion [6]. Credit Quality - Non-performing loans and leases rose by 3.3% year-over-year to $593 million, with the allowance for loan and lease losses decreasing by 0.8% to $814 million [7]. - Net charge-offs remained stable at $34 million year-over-year, and the provision for credit losses dropped 45% to $30 million [8]. Capital Ratios - As of June 30, 2025, the Common Equity Tier 1 ratio was stable at 11%, with the total capital ratio also remaining at 14% [9]. 2025 Outlook - Adjusted revenues are projected to be flat to a 4% increase from $3.28 billion in 2024, while adjusted non-interest expenses are expected to remain flat or rise by 2% from $1.98 billion [11]. - The net charge-off ratio is anticipated to be between 0.15-0.25%, reflecting credit normalization [11]. - The CET 1 ratio is expected to be between 10.5-11%, indicating modest loan growth [12].

Core Viewpoint - First Horizon Corporation has appointed Shaun McDougall as the Head of Consumer Banking to enhance client experience and support the bank's growth strategy [1][3]. Group 1: Appointment and Role - Shaun McDougall will lead Retail Banking, Digital Banking, and Small Business Banking teams, focusing on creating a comprehensive client experience for the Consumer segment [1]. - This new executive role is aimed at delivering an integrated experience for consumer clients across all channels [1]. Group 2: Experience and Background - McDougall has over 20 years of experience in financial services, previously working at Wells Fargo, where he focused on branch banking growth and customer experience strategy [2]. - His prior roles include leadership positions in wealth management, small business banking, and corporate partnerships at HSBC, as well as retail leadership at Citizens Financial and JPMorgan Chase [2]. Group 3: Company Overview - First Horizon Corporation has $82.1 billion in assets as of June 30, 2025, and operates in 12 states in the southern U.S. [4]. - The company offers a wide range of financial services, including commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services [4]. - First Horizon has been recognized as one of the nation's best employers and a Top 10 Most Reputable U.S. Bank [4].

Core Insights - First Horizon Corporation is relocating to a new office in Charlotte's South End to accommodate significant growth, with a 150% increase in team size in the Charlotte market over the past year [1] - The new office will consolidate two existing locations into a modern space featuring 250 workspaces and various amenities [1] - First Horizon Corporation has $82.1 billion in assets as of June 30, 2025, and operates in 12 states, focusing on financial services [3] Company Overview - First Horizon Corporation is a leading regional financial services company headquartered in Memphis, TN, offering a range of services including commercial, private banking, and wealth management [3] - The company has been recognized as one of the best employers in the nation by Fortune and Forbes magazines [3]

Core Insights - First Horizon Corporation's CFO, Hope Dmuchowski, has been recognized in the Memphis Business Journal's Super Women in Business Class of 2025, highlighting her significant contributions to the business community [1][2] - Dmuchowski was previously awarded the 2023 CFO of the Year in the public company category, showcasing her exceptional financial leadership within the regional banking sector [2] - The company, with $82.1 billion in assets as of June 30, 2025, operates in 12 states and offers a wide range of financial services [4] Company Overview - First Horizon Corporation is a leading regional financial services company headquartered in Memphis, TN, focusing on helping clients, communities, and associates unlock their full potential [4] - The banking subsidiary, First Horizon Bank, provides services including commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking [4] - The company has received recognition as one of the nation's best employers by Fortune and Forbes magazines and is listed as a Top 10 Most Reputable U.S. Bank [4] Leadership and Community Involvement - Hope Dmuchowski has been instrumental in leading strategic financial initiatives at First Horizon since joining in 2021 and actively mentors emerging leaders within the organization [3] - Dmuchowski serves on several non-profit boards, including the National Salvation Army, where she is the treasurer, and the Baptist Memorial Healthcare Foundation [3] - She has been recognized as one of American Banker's Most Powerful Women in Banking in 2024 and was part of the executive team honored as The Most Powerful Women in Banking Top Team 2024 [3]