v3.26.1
Shareholders' Equity
 3 Months Ended
Mar. 31, 2026
Stockholders' Equity Note [Abstract]  
Shareholders' Equity

Note 14 – Shareholders’ Equity

Regulatory Capital

Trustmark and TB are subject to minimum risk-based capital and leverage capital requirements, as described in the section captioned “Capital Adequacy” included in Part I. Item 1. – Business of Trustmark’s 2025 Annual Report, which are administered by the federal bank regulatory agencies. These capital requirements, as defined by federal regulations, involve quantitative and qualitative measures of assets, liabilities and certain off-balance sheet instruments. Trustmark’s and TB’s minimum risk-based capital requirements include a capital conservation buffer of 2.50%. Accumulated other comprehensive income (loss), net of tax, is not included in computing regulatory capital. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary

actions by regulators that, if undertaken, could have a direct material effect on the financial statements of Trustmark and TB and limit Trustmark’s and TB’s ability to pay dividends. As of March 31, 2026, Trustmark and TB exceeded all applicable minimum capital standards. In addition, Trustmark and TB met applicable regulatory guidelines to be considered well-capitalized at March 31, 2026. To be categorized in this manner, Trustmark and TB maintained, as applicable, minimum common equity Tier 1 risk-based capital, Tier 1 risk-based capital, total risk-based capital and Tier 1 leverage ratios as set forth in the accompanying table, and were not subject to any written agreement, order or capital directive, or prompt corrective action directive issued by their primary federal regulators to meet and maintain a specific capital level for any capital measures. There are no significant conditions or events that have occurred since March 31, 2026, which Management believes have affected Trustmark’s or TB’s present classification.

The following table provides Trustmark’s and TB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at March 31, 2026 and December 31, 2025 ($ in thousands):

 

 

Actual

 

 

 

 

 

 

 

 

 

Regulatory Capital

 

 

Minimum

 

 

To Be Well

 

 

 

Amount

 

 

Ratio

 

 

Requirement

 

 

Capitalized

 

At March 31, 2026:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,835,118

 

 

 

11.70

%

 

 

7.00

%

 

n/a

 

Trustmark Bank

 

 

1,923,825

 

 

 

12.27

%

 

 

7.00

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,895,118

 

 

 

12.09

%

 

 

8.50

%

 

n/a

 

Trustmark Bank

 

 

1,923,825

 

 

 

12.27

%

 

 

8.50

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

2,253,594

 

 

 

14.37

%

 

 

10.50

%

 

n/a

 

Trustmark Bank

 

 

2,110,259

 

 

 

13.46

%

 

 

10.50

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,895,118

 

 

 

10.19

%

 

 

4.00

%

 

n/a

 

Trustmark Bank

 

 

1,923,825

 

 

 

10.35

%

 

 

4.00

%

 

 

5.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2025:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,814,295

 

 

 

11.72

%

 

 

7.00

%

 

n/a

 

Trustmark Bank

 

 

1,908,101

 

 

 

12.33

%

 

 

7.00

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,874,295

 

 

 

12.11

%

 

 

8.50

%

 

n/a

 

Trustmark Bank

 

 

1,908,101

 

 

 

12.33

%

 

 

8.50

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

2,231,283

 

 

 

14.41

%

 

 

10.50

%

 

n/a

 

Trustmark Bank

 

 

2,093,123

 

 

 

13.52

%

 

 

10.50

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,874,295

 

 

 

10.18

%

 

 

4.00

%

 

n/a

 

Trustmark Bank

 

 

1,908,101

 

 

 

10.37

%

 

 

4.00

%

 

 

5.00

%

 

Stock Repurchase Program

On December 3, 2024, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2025, under which $100.0 million of Trustmark’s outstanding shares could be acquired through December 31, 2025. Under this authority, Trustmark repurchased 2.2 million shares of its common stock valued at $80.0 million during the twelve months ended December 31, 2025.

On December 2, 2025, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2026, under which $100.0 million of Trustmark’s outstanding shares could be acquired through December 31, 2026. The repurchase program, which is subject to market conditions and management discretion, will be implemented through open market repurchases or privately negotiated transactions. Under this authority, Trustmark repurchased 477 thousand shares of its common stock valued at $19.8 million during the three months ended March 31, 2026.

Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss)

The following table presents the net change in the components of accumulated other comprehensive income (loss) and the related tax effects allocated to each component for the periods presented ($ in thousands). The amortization of prior service cost, recognized net loss due to lump sum settlements and change in net actuarial loss are included in the computation of net periodic benefit cost (see Note 9 – Defined Benefit and Other Postretirement Benefits for additional details). Reclassification adjustments related to pension and other postretirement benefit plans are included in salaries and employee benefits and other expense in the accompanying consolidated statements of income. Reclassification adjustments related to the cash flow hedge derivatives are included in interest and fees on LHFS and LHFI in the accompanying consolidated statements of income.

 

 

 

Three Months Ended March 31, 2026

 

 

Three Months Ended March 31, 2025

 

 

 

Before Tax
Amount

 

 

Tax (Expense)
Benefit

 

 

Net of Tax
Amount

 

 

Before Tax
Amount

 

 

Tax (Expense)
Benefit

 

 

Net of Tax
Amount

 

Securities available for sale and transferred
   securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising
   during the period

 

$

(16,686

)

 

$

4,171

 

 

$

(12,515

)

 

$

32,599

 

 

$

(8,149

)

 

$

24,450

 

Reclassification adjustment for net (gains) losses
   realized in net income

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Change in net unrealized holding loss on
   securities transferred to held to maturity

 

 

2,959

 

 

 

(740

)

 

 

2,219

 

 

 

3,425

 

 

 

(856

)

 

 

2,569

 

Total securities available for sale
   and transferred securities

 

 

(13,727

)

 

 

3,431

 

 

 

(10,296

)

 

 

36,024

 

 

 

(9,005

)

 

 

27,019

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reclassification adjustments for changes
   realized in net income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

(1

)

 

 

3

 

Recognized net loss due to lump sum
   settlements

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(50

)

 

 

12

 

 

 

(38

)

Change in net actuarial loss

 

 

85

 

 

 

(21

)

 

 

64

 

 

 

71

 

 

 

(17

)

 

 

54

 

Total pension and other postretirement
   benefit plans

 

 

85

 

 

 

(21

)

 

 

64

 

 

 

25

 

 

 

(6

)

 

 

19

 

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in accumulated gain (loss) on effective
   cash flow hedge derivatives

 

 

(5,707

)

 

 

1,427

 

 

 

(4,280

)

 

 

7,879

 

 

 

(1,970

)

 

 

5,909

 

Reclassification adjustment for (gain) loss
   realized in net income

 

 

935

 

 

 

(234

)

 

 

701

 

 

 

2,680

 

 

 

(670

)

 

 

2,010

 

Total cash flow hedge derivatives

 

 

(4,772

)

 

 

1,193

 

 

 

(3,579

)

 

 

10,559

 

 

 

(2,640

)

 

 

7,919

 

Total other comprehensive income (loss)

 

$

(18,414

)

 

$

4,603

 

 

$

(13,811

)

 

$

46,608

 

 

$

(11,651

)

 

$

34,957

 

 

The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax.

 

Securities
Available for Sale
and Transferred
Securities

 

 

Defined
Benefit
Pension Items

 

 

Cash Flow
Hedge
Derivatives

 

 

Total

 

Balance at January 1, 2026

$

(10,518

)

 

$

(5,169

)

 

$

2,062

 

 

$

(13,625

)

Other comprehensive income (loss) before
   reclassification

 

(10,296

)

 

 

—

 

 

 

(4,280

)

 

 

(14,576

)

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

—

 

 

 

64

 

 

 

701

 

 

 

765

 

Net other comprehensive income (loss)

 

(10,296

)

 

 

64

 

 

 

(3,579

)

 

 

(13,811

)

Balance at March 31, 2026

$

(20,814

)

 

$

(5,105

)

 

$

(1,517

)

 

$

(27,436

)

 

 

 

 

 

 

 

 

 

 

 

 

Balance at January 1, 2025

$

(66,885

)

 

$

(4,721

)

 

$

(12,053

)

 

$

(83,659

)

Other comprehensive income (loss) before
   reclassification

 

27,019

 

 

 

—

 

 

 

5,909

 

 

 

32,928

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

—

 

 

 

19

 

 

 

2,010

 

 

 

2,029

 

Net other comprehensive income (loss)

 

27,019

 

 

 

19

 

 

 

7,919

 

 

 

34,957

 

Balance at March 31, 2025

$

(39,866

)

 

$

(4,702

)

 

$

(4,134

)

 

$

(48,702

)