Associated Banc-Corp Sees Robust Growth Amid Macro Uncertainty
The first quarter of 2026 has been marked by significant growth and momentum for Associated Banc-Corp, according to the company's recent earnings conference call. In a call led by President and CEO Andy Harmon, Associated reported earnings of $0.70 per share in Q1, exceeding expectations.
Key highlights from the quarter include a 2.2% annualized growth rate in checking household acquisition, over $500 million in period-end C&I loan growth - representing a 4.6% increase point-to-point versus December 31st - and total loans growing by more than $600 million or 2% compared to the prior quarter. The majority of this growth came from commercial lending, with C&I balances increasing by $540 million in Q1.
On the funding side, Associated saw a significant increase in deposits, with core customer deposits growing over $800 million versus Q4, despite some seasonal fluctuations. This growth was driven primarily by the company's commitment to expanding its presence in major metropolitan markets across 2026 and 2027, through strategic hiring and increased marketing spend.
One notable development is the acquisition of American National Bank, which closed on April 1st. The combined entity will boast a relationship-focused strategy, dynamic product suite, modern digital experience, effective marketing engine, and expanded commercial capabilities - positioning Associated to deepen relationships in growth markets such as Omaha and the Twin Cities.
Despite recent macroeconomic volatility, Andy Harmon expressed confidence that the company is well-positioned to navigate this uncertainty thanks to its disciplined approach to risk management, enhanced profitability profile, solid capital position, and resilient Midwestern market base.
The acquisition of American National Bank represents a strategic step towards achieving Associated's growth ambitions. By combining their strengths, they aim to create a stronger entity that will drive future success in the ever-changing banking landscape. The smooth integration process is expected to be completed late in the third quarter of this year.
