Key Highlights

● Second-quarter net interest income rose 23 per cent year over year to $370 million.

● Net interest margin widened to 3.17 per cent in the quarter.

● Period-end loans rose 19 per cent year over year to $36.5 billion, mostly deal-driven.

● Management guided 2026 loan growth of 18 to 20 per cent versus standalone 2025 results.

Associated Banc-Corp (NYSE:ASB), listed on the New York Stock Exchange as ASB, describes itself as the largest bank holding company based in Wisconsin. Headquartered in Green Bay, it reported total assets of $52 billion in its second-quarter 2026 release and operates more than 200 banking locations across Wisconsin, Illinois, Iowa, Minnesota, Missouri and Nebraska, with loan production offices in states including Indiana, Texas and New York. For a regional lender of this scale, the S&P MidCap 400 is a sensible yardstick. The acquisition adds scale to a franchise that already spans six states, although the benefits are our interpretation and not a company claim.

Second-Quarter 2026 Results and the American National Deal

The latest reported results, released on 23 July 2026 for the quarter ended 30 June 2026, were shaped by the acquisition of American National Corporation, which closed on 1 April 2026. Net income available to common equity was $121 million, or $0.63 per diluted share, against $0.70 in the first quarter and $0.65 a year earlier. Excluding nonrecurring items, the company reported adjusted earnings of $0.73 per share. Net interest income reached $370 million, up 23 per cent year on year, while noninterest income was $80 million. The net interest margin widened to 3.17 per cent, 13 basis points higher than a year earlier. Quarterly noninterest expense included $24 million of nonrecurring acquisition costs. Net income before preferred dividends was $123.6 million. The reported effective tax rate was 22.37 per cent, while guidance points to an annual rate of 19 to 21 per cent.

Balance Sheet, Guidance and Dividend

Balance sheet growth was substantial, though much of it reflects the deal. Period-end loans were $36.5 billion, up 19 per cent year on year, with commercial and industrial loans of $13.8 billion. Total deposits were $39.9 billion, and the estimated common equity tier one ratio stood at 10.47 per cent. Management guided to 2026 loan growth of 18 to 20 per cent, net interest income growth of 19 to 21 per cent and noninterest expense growth of 20 to 21 per cent, all measured against standalone 2025 results. These are management projections, not outcomes. The quarterly dividend was $0.24 per common share, unchanged from the first quarter and up from $0.23 a year earlier. Chief executive commentary emphasised organic growth as a primary focus. Period-end core customer deposits were $34.2 billion, up 21 per cent year on year, and management expects 2026 growth in that measure of 19 to 21 per cent. Noninterest income growth is guided at 8 to 10 per cent.

Integration Costs Are Still Visible in the Numbers

Associated Banc-Corp's balance sheet grew substantially after closing its acquisition of American National Corporation on 1 April 2026, with a firmer net interest margin showing through even as $24 million of nonrecurring acquisition costs weighed on the quarter. Nonaccrual loans ticked up to 0.41 per cent of loans from 0.35 per cent, and with goodwill rising to roughly $1.15 billion, the 22 October third-quarter report should show whether integration costs are fading as guided loan and deposit growth continues.