Key Highlights

  • Old National's quarterly Dividend of $0.145 per share trades ex-date September 4, 2026, payable September 15, yielding approximately 2.26%, with the Record Date falling September 5.
  • Q2 2026 Net Income applicable to common shares reached a record $249.4 million, or $0.65 diluted EPS, with adjusted net income of $250.4 million, also $0.65 per share.
  • The adjusted efficiency ratio improved to a record 45.2%, while period-end deposits grew 3.4% annualized alongside a modest decline in total deposit costs.
  • Management created a new Operating Group and expanded the Executive Leadership Team, aiming to increase accountability and operating speed as the Franchise continues to scale.

Old National Bancorp's (NASDAQ:ONB) quarterly dividend of $0.145 per share yields approximately 2.26%. The more relevant story this quarter is operating leverage: the bank posted record Earnings alongside a record-low efficiency ratio and continued deposit growth with declining funding costs, an unusually clean combination for a regional bank operating in a still-uncertain rate environment.

Dividend Program and Shareholder Returns

Old National's Board declared a quarterly Cash Dividend of $0.145 per share on August 12, 2026, payable September 15, 2026, to shareholders of record September 5, trading ex-dividend around that date and yielding approximately 2.26%. The Board also declared a quarterly dividend of $17.50 per share, equivalent to $0.4375 per depositary share, on the company's 7.0% Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A and Series C, payable November 20 to holders of record November 5. The common dividend has remained at $0.145 for the 2026 quarters reported so far, following a 3.6% increase earlier in the year, with the company continuing to return Capital through both dividends and share repurchases.

About the Company

Old National Bancorp is a regional banking organization headquartered in Evansville, Indiana, providing commercial and consumer banking, wealth management, and treasury-management services across its Midwestern and broader U.S. footprint. The company's Business model emphasizes relationship banking and a diversified deposit franchise, with acquisitions having been an important component of its expansion strategy in recent years, increasing both scale and geographic reach.

Financial Performance Behind the Payout

Old National reported record Q2 2026 net income applicable to common shares of $249.4 million, or $0.65 diluted EPS, with adjusted net income of $250.4 million, also $0.65 per diluted share. Net interest income on a fully taxable-equivalent basis was $586.5 million, up 12% year over year, with net interest Margin of 3.54%. Pre-provision net Revenue was $367.9 million, and adjusted PPNR was $366.8 million. Noninterest expense was $372.2 million, while the adjusted efficiency ratio improved to a record 45.2%. Period-end deposits were $56.1 billion, up 3.4% annualized, with total deposit costs declining one basis point to 171 basis points.

Record Efficiency Alongside Growth Signals Genuine Operating Leverage

The key analytical point for Old National is that record earnings this quarter came alongside a record-low efficiency ratio rather than at the expense of Investment in growth, a combination that suggests the enlarged platform built through prior acquisitions is now generating genuine operating leverage. Deposit growth of 3.4% annualized occurring alongside a modest reduction in deposit costs is particularly notable, since funding costs are typically one of the most significant swing factors in regional-bank profitability. Management's newly enhanced leadership structure, including a new Operating Group and expanded Executive Leadership Team, signals continued focus on integration discipline and execution speed as the franchise scales further. Investors should watch whether the record efficiency ratio can be sustained as Loan growth potentially accelerates, and whether Credit costs remain controlled even as the Balance Sheet continues to grow.

Outlook

Old National's dividend is well supported by record earnings, an industry-leading efficiency ratio, and continued deposit growth with declining funding costs. Investors should watch loan growth trends, deposit cost trajectory, credit quality as the franchise scales, and execution under the newly restructured leadership team.