Washington Trust Bancorp Delivers Strong Q2 Results, Drives Growth in Institutional Banking and Digital Innovation
The second quarter of 2026 has been a standout period for Washington Trust Bancorp Inc. (WASH), with the bank delivering strong results across key metrics. Chairman and Chief Executive Officer Ned Handy took to the conference call stage to outline the company's achievements, which included disciplined execution driving higher profitability and solid loan and deposit growth.
"We delivered strong results from the second quarter as disciplined execution across the company drove higher profitability and solid loan and deposit growth," Handy said. "Our institutional banking initiative helped drive an increase in our C&I loan book and overall deposits."
Handy also highlighted the company's ongoing investment in its franchise, expansion of its presence in key markets, and enhancement of the customer experience. This includes the planned opening of a new branch in Bristol, Rhode Island, which will serve consumers and businesses in the East Bay and Southeastern Massachusetts.
The bank's financial results were equally impressive, with net income reaching $16 million, or $0.83 per share, up by $3.4 million or $0.17 from the preceding quarter. Pre-provision pretax net revenue (PPNR) was up 9% from Q1 and up 23% year-over-year, while net interest income rose by 3% from Q1 and 12% year-over-year.
Chief Financial Officer Ron Ohsberg provided additional detail on the company's financial performance, highlighting a number of key drivers. "The second quarter captured only a two-month benefit from ending this amortization expense [from a terminated hedge], as one month of amortization remained in April," he explained. "The second quarter benefit to net interest income was $1.4 million and nine basis points." Ohsberg also noted that the company will realize an additional $700,000 or four basis points in Q3 from this expense.
Wealth management revenues were up by 5% compared to Q1 and increased by 11% year-over-year, while mortgage banking revenues rose by 14% from the first quarter and also up 14% year-over-year. The bank's capital levels remain strong, supporting additional expected loan growth.
The conference call highlighted Washington Trust Bancorp Inc.'s commitment to innovation, including its institutional banking initiative and enhanced digital banking solution for small business customers. The company is also finalizing the build of a new Pawtucket branch, which will provide greater access for consumers and businesses in the area.
