Regional banking company Trustmark (NASDAQ: TRMK) reported revenue ahead of Wall Street’s expectations in Q3 2026, with revenue up 2.3% year on year to $207.1 million. Its non-GAAP profit of $1 per share was in line with analysts’ consensus estimates.
For more on Trustmark, read our free full research report.
Trustmark (TRMK) Q3 2026 highlights:
- Net interest income $170.6 million vs analysts’ consensus estimates of $172.6 million (3.2% year-on-year growth, 1.2% miss)
- Net interest margin 3.8% vs analysts’ consensus estimates of 3.9% (in line)
- Revenue $207.1 million vs S&P analysts’ consensus estimates of $203.2 million (2.3% year-on-year growth, 1.9% beat)
- Efficiency ratio 63.2% vs analysts’ consensus estimates of 63.1% (11.8 basis point miss)
- Adjusted EPS $1 vs S&P analysts’ consensus estimates of $1.00 (in line)
- Tangible book value per share $30.42 vs analysts’ consensus estimates of $31.77 (2.8% year-on-year growth, 4.2% miss)
- Market capitalization $2.68 billion
Revenue growth
In general, banks make money from two primary sources. The first is net interest income, which is interest earned on loans, mortgages and investments in securities minus interest paid out on deposits. The second source is non-interest income, which can come from bank account, credit card, wealth management, investment banking and trading fees. Trustmark’s revenue grew at a sluggish 4.2% annualized rate over the last five years, falling short of the banking sector benchmark.
Long-term growth matters most, but within financials, a half-decade historical view may miss recent interest rate changes, market returns and industry trends. Trustmark’s annualized revenue growth of 6.1% over the last two years is a positive improvement over its five-year trend. 
Note: Quarters not shown were determined to be outliers because they were impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.
This quarter, Trustmark reported modest year-on-year revenue growth of 2.3% but beat Wall Street’s consensus estimates by 1.9%.
Net interest income made up 76.1% of the company’s total revenue during the last five years, meaning lending operations are Trustmark’s largest source of revenue.
Net interest income commands greater market attention due to its reliability and consistency, whereas non-interest income is often seen as lower-quality revenue that lacks the same dependable characteristics.
Tangible book value per share (TBVPS)
Banks are balance sheet-driven businesses because they generate earnings primarily through borrowing and lending. They’re also valued based on their balance sheet strength and ability to compound book value (another name for shareholders’ equity) over time.
This makes tangible book value per share (TBVPS) the most important metric to track for banks. TBVPS represents the real, liquid net worth per share of a bank, excluding intangible assets that have debatable value upon liquidation. On the other hand, EPS is often distorted by mergers and flexible loan loss accounting. TBVPS provides clearer performance insights.
Trustmark’s TBVPS grew at a solid 6.6% annual rate over the last five years. The last two years show a similar trajectory as TBVPS grew by 6.4% annually from $26.88 to $30.42 per share.
Over the next 12 months, consensus estimates call for Trustmark’s TBVPS to grow by 13.9% to $34.66, a decent growth rate.
Key takeaways from Trustmark’s Q3 results
Trustmark’s revenue beat analysts’ consensus estimates, but the rest of the quarter offered less upside: tangible book value per share missed expectations and EPS was in line with Wall Street’s consensus. Taken together, the results made for a softer quarter. Shares fell 3.6% to $44.46 immediately after the release.
Trustmark may have had a tough quarter, but the investment case goes beyond the latest results. The latest quarter does matter when deciding if the stock is a buy, but not nearly as much as longer-term fundamentals and valuation. For more on those factors, read the full research report here (it’s free).
