Revenue growth remains robust with a 17.8% year-over-year increase in net interest income, though margins remain constrained at a flat 0.8% for ten consecutive quarters.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'01 |
|---|
| Net Interest Income | 2.98B | 2.86B | 2.62B | 2.34B | 2.22B | 1.55B | 1.17B | 1.04B | 915.9M | 784.66M | 657.21M | 492.58M | 384.89M | 332.89M | 290.26M | 257.67M | 232.55M | 200.32M | 189.93M | 179.89M | 148.79M | 102.34M | 71.14M | 41.02M | 26.57M |
| NII Growth % | 46.66% | 9.39% | 11.97% | 5.53% | 43.1% | 32.73% | 12.16% | 13.59% | 16.73% | 19.39% | 33.42% | 27.98% | 15.62% | 14.69% | 12.65% | 10.8% | 16.09% | 5.47% | 5.58% | 20.9% | 45.38% | 43.87% | 73.39% | 54.39% | - |
| Net Interest Margin % | 3.02% | 3.09% | 3.24% | 3.3% | 3.27% | 2.77% | 3.2% | 3.88% | 3.96% | 3.86% | 3.82% | 3.45% | 3.63% | 3.58% | 3.81% | 3.76% | 3.75% | 3.48% | 3.62% | 3.59% | 3.57% | 3.58% | 3.27% | 2.6% | 0.48% |
| Interest Income | 4.79B | 4.69B | 4.54B | 4.04B | 2.69B | 1.66B | 1.26B | 1.23B | 1.03B | 845.51M | 700.51M | 525.14M | 416.38M | 362.65M | 318.3M | 296.59M | 281.81M | 274.06M | 290.61M | 305.82M | 233.09M | 134.91M | 90.86M | 53.82M | 35.71M |
| Interest Expense | 1.8B | 1.83B | 1.92B | 1.7B | 475.5M | 109.9M | 94.9M | 184.6M | 117.6M | 60.85M | 43.29M | 32.57M | 31.49M | 29.76M | 28.03M | 38.92M | 49.26M | 73.73M | 100.68M | 125.93M | 84.3M | 32.57M | 19.72M | 12.8M | 9.14M |
| Loan Loss Provision | 406.1M | 224.1M | 145.9M | 62.6M | 68.1M | -28.6M | 123.6M | 19.3M | 25M | 17.25M | 8M | 3.2M | 4.73M | 13.22M | 46.84M | 46.19M | 93.21M | 149.1M | 68.19M | 20.26M | 4.66M | 6.18M | 3.91M | 5.14M | 0 |
| Non-Interest Income | 742.7M | 582.8M | 475.1M | 221.9M | 269.1M | 343.5M | 72.3M | 61.3M | 34.2M | 37.39M | 38.1M | 25.46M | 23.66M | 9.92M | 15.84M | -1.6M | 2.68M | 50.19M | 44.76M | 22.54M | -130.69M | 12.14M | 8.73M | 4.27M | -23.14M |
| Non-Interest Income % | 13.43% | 11.05% | 9.47% | 5.21% | 9.09% | 17.16% | 5.42% | 4.77% | 3.2% | 4.24% | 5.16% | 4.62% | 5.38% | 2.66% | 4.74% | -0.54% | 0.94% | 15.48% | 13.35% | 6.86% | -127.64% | 8.25% | 8.76% | 7.35% | -183.95% |
| Total Revenue | 5.53B | 5.28B | 5.02B | 4.26B | 2.96B | 2B | 1.33B | 1.29B | 1.07B | 882.91M | 738.61M | 550.6M | 440.04M | 372.58M | 334.14M | 294.99M | 284.49M | 324.24M | 335.38M | 328.36M | 102.39M | 147.05M | 99.58M | 58.09M | 12.58M |
| Revenue Growth % | 38.34% | 5.17% | 17.83% | 43.78% | 47.88% | 50.08% | 3.72% | 20.47% | 20.93% | 19.54% | 34.15% | 25.12% | 18.11% | 11.5% | 13.27% | 3.69% | -12.26% | -3.32% | 2.14% | 220.69% | -30.37% | 47.67% | 71.42% | 361.9% | - |
| Non-Interest Expense | 2.13B | 2.02B | 1.96B | 1.56B | 1.1B | 797.9M | 493.1M | 478.2M | 414.8M | 352.99M | 326.14M | 256.29M | 206.33M | 183.94M | 158.2M | 159.54M | 152.6M | 286.76M | 457.13M | 133.78M | -48.04M | 64.86M | 44.93M | 27.29M | -5.52M |
| Efficiency Ratio | 38.44% | 38.22% | 39.01% | 36.75% | 37.19% | 39.85% | 36.96% | 37.18% | 38.85% | 39.98% | 44.16% | 46.55% | 46.89% | 49.37% | 47.34% | 54.08% | 53.64% | 88.44% | 136.3% | 40.74% | -46.92% | 44.11% | 45.12% | 46.98% | -43.87% |
| Operating Income | 1.19B | 1.21B | 991.2M | 933.6M | 1.32B | 1.12B | 622.5M | 604.2M | 510.3M | 451.82M | 361.18M | 258.54M | 197.5M | 145.66M | 101.06M | 50.34M | -10.58M | -185.35M | -290.63M | 48.39M | 61.48M | 43.44M | 31.02M | 12.86M | 8.95M |
| Operating Margin % | 21.56% | 22.88% | 19.76% | 21.93% | 44.45% | 56.09% | 46.66% | 46.97% | 47.79% | 51.17% | 48.9% | 46.96% | 44.88% | 39.09% | 30.25% | 17.06% | -3.72% | -57.16% | -86.66% | 14.74% | 60.04% | 29.54% | 31.15% | 22.14% | 71.19% |
| Operating Income Growth % | - | 21.79% | 6.17% | -29.06% | 17.2% | 80.4% | 3.03% | 18.4% | 12.94% | 25.09% | 39.7% | 30.91% | 35.59% | 44.12% | 100.77% | 575.79% | 94.29% | 36.22% | -700.62% | -21.29% | 41.53% | 40.04% | 141.2% | 43.62% | - |
| Pretax Income | 1.19B | 1.21B | 991.2M | 933.6M | 1.32B | 1.12B | 622.5M | 604.2M | 510.3M | 451.82M | 361.18M | 258.54M | 197.5M | 145.66M | 101.06M | 50.34M | -10.58M | -185.35M | -290.63M | 48.39M | 61.48M | 43.44M | 31.02M | 12.86M | 8.95M |
| Pretax Margin % | 21.56% | 22.88% | 19.76% | 21.93% | 44.45% | 56.09% | 46.66% | 46.97% | 47.79% | 51.17% | 48.9% | 46.96% | 44.88% | 39.09% | 30.25% | 17.06% | -3.72% | -57.16% | -86.66% | 14.74% | 60.04% | 29.54% | 31.15% | 22.14% | 71.19% |
| Income Tax | 211.4M | 216.6M | 203.5M | 211.2M | 258.8M | 223.8M | 115.9M | 105M | 74.5M | 126.33M | 101.38M | 64.29M | 48.39M | 29.83M | 25.93M | 16.85M | -6.41M | -38.45M | -54.17M | 15.51M | 21.59M | 15.37M | 10.96M | 4.17M | 3M |
| Effective Tax Rate % | 17.73% | 17.94% | 20.53% | 22.62% | 19.66% | 19.93% | 18.62% | 17.38% | 14.6% | 27.96% | 28.07% | 24.87% | 24.5% | 20.48% | 25.66% | 33.47% | 60.59% | 20.75% | 18.64% | 32.06% | 35.11% | 35.39% | 35.34% | 32.43% | 33.52% |
| Net Income | 959.1M | 969M | 787.7M | 722.4M | 1.06B | 899.2M | 506.6M | 499.2M | 435.8M | 325.49M | 259.8M | 194.24M | 147.95M | 114.97M | 72.64M | 31.49M | -7.2M | -151.41M | -236.46M | 32.88M | 39.89M | 28.07M | 20.06M | 8.69M | 5.95M |
| Net Margin % | 17.35% | 18.37% | 15.7% | 16.97% | 35.71% | 44.91% | 37.97% | 38.81% | 40.82% | 36.87% | 35.17% | 35.28% | 33.62% | 30.86% | 21.74% | 10.68% | -2.53% | -46.7% | -70.51% | 10.01% | 38.96% | 19.09% | 20.14% | 14.96% | 47.33% |
| Net Income Growth % | 18.5% | 23.02% | 9.04% | -31.67% | 17.58% | 77.5% | 1.48% | 14.55% | 33.89% | 25.29% | 33.75% | 31.29% | 28.69% | 58.27% | 130.64% | 537.72% | 95.25% | 35.97% | -819.27% | -17.58% | 42.13% | 39.93% | 130.83% | 45.96% | - |
| Net Income (Continuing) | 980.7M | 990.6M | 787.7M | 722.4M | 1.06B | 899.2M | 506.6M | 499.2M | 435.8M | 325.49M | 259.8M | 194.24M | 149.11M | 115.83M | 75.13M | 33.49M | -4.17M | -146.9M | -236.46M | 32.88M | 39.89M | 28.07M | 20.06M | 8.69M | 5.95M |
| EPS (Diluted) | 8.77 | 8.73 | 7.09 | 6.54 | 9.70 | 8.67 | 5.04 | 4.84 | 4.14 | 3.10 | 2.50 | 2.03 | 1.67 | 1.31 | 0.83 | 0.19 | -0.23 | -2.74 | -7.27 | 1.06 | 1.41 | 1.24 | 1.09 | 0.59 | 0.54 |
| EPS Growth % | 18.11% | 23.13% | 8.41% | -32.58% | 11.88% | 72.02% | 4.13% | 16.91% | 33.55% | 24% | 23.15% | 21.56% | 27.48% | 57.83% | 336.84% | 182.61% | 91.61% | 62.31% | -785.85% | -24.82% | 13.71% | 13.76% | 84.75% | 9.26% | - |
| EPS (Basic) | - | 8.79 | 7.14 | 6.55 | 9.74 | 8.72 | 5.06 | 4.86 | 4.16 | 3.12 | 2.52 | 2.05 | 1.69 | 1.33 | 0.86 | 0.19 | -0.23 | -2.74 | -7.27 | 1.14 | 1.56 | 1.36 | 1.17 | 0.61 | 0.55 |
| Diluted Shares Outstanding | 109.3M | 109.5M | 109.3M | 108.5M | 107.6M | 103.3M | 100.5M | 103.13M | 105.4M | 105M | 103.84M | 95.22M | 87.51M | 86.54M | 82.91M | 81.18M | 75.08M | 58.84M | 32.65M | 31.01M | 28.29M | 22.63M | 18.4M | 14.61M | 11.02M |
Commercial real estate concentration
According to the latest quarterly financial disclosures, Western Alliance Bancorporation achieved a 17.8% year-over-year increase in net interest income as of 2026Q1, signaling that the bank's specialized national business lines are successfully capturing volume despite the broader industry's ongoing challenges with deposit funding costs and competitive pricing pressures.
The consistent expansion in net interest income suggests that the bank's niche lending strategy is effectively offsetting the impact of higher deposit betas. Investors should monitor whether this growth trajectory remains sustainable if the current interest rate environment forces further concessions on deposit pricing to maintain liquidity.
As reported in the bank's recent income statements, the net interest margin has remained stubbornly flat at 0.8% for ten consecutive quarters, indicating that the bank's asset yields are currently struggling to outpace the rising cost of funds required to maintain its specialized deposit base.
This lack of margin expansion implies that the bank is operating in a highly competitive funding environment where the benefits of asset repricing are being fully absorbed by depositors. The persistent 0.8% NIM warrants further investigation into whether the bank's deposit mix is sufficiently granular to support future margin improvement.
Based on the 2026Q1 financial data, Western Alliance recorded a significant provision for loan losses of $213.2 million, a sharp departure from the $15.2 million reported in 2024Q1, which suggests that management is proactively addressing potential credit migration within its concentrated commercial and technology-focused loan portfolios.
The substantial increase in provision expense appears to reflect a more cautious outlook on asset quality, particularly within the office real estate sector. This trend suggests that credit costs may remain a primary headwind to earnings growth until the underlying collateral values stabilize in the bank's key markets.
Financial filings indicate that the efficiency ratio fluctuated between 37.4% and 40.1% over the past ten quarters, demonstrating that Western Alliance has maintained a relatively stable cost structure while scaling its specialized lending operations to support its national business lines and recent mortgage-related acquisitions.
The bank's ability to keep its efficiency ratio within this tight range suggests disciplined expense management despite the high fixed-cost nature of its specialized personnel. However, investors should monitor whether future investments in technology and compliance will exert upward pressure on this ratio in the coming quarters.
Data from the most recent quarterly reports shows non-interest income reached $252.6 million in 2026Q1, representing a significant increase from the $78.5 million seen in 2023Q4, largely driven by the bank's strategic expansion into mortgage-related fee streams through its AmeriHome subsidiary and other transactional business lines.
The rising contribution of fee income suggests a successful diversification effort, though the inherent volatility of mortgage-related gains may introduce earnings variability. This shift warrants close monitoring to determine if the fee-based revenue can provide a reliable buffer against potential cyclical downturns in the core interest-earning business.
Quick answers to the most common questions about buying WAL stock.
Western Alliance Bancorporation (WAL) is profitable, generating $969.0M in net income for the fiscal year ending 2025 with a net profit margin of 18.4%.
Western Alliance Bancorporation (WAL) reported an operating income of $1.21B, resulting in an operating profit margin of 22.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Western Alliance Bancorporation (WAL) generated $3.22B in gross profit for the year, representing a gross profit margin of 61.1%. This demonstrates the company's core pricing power and production efficiency.