Cadence Bank (NYSE:CADE) experienced a sharp 9.28% decline in after-hours trading on Monday, despite reporting third-quarter earnings that surpassed analyst expectations. The bank's stock movement came as a surprise to many investors, given the positive financial results announced.

For the third quarter of 2025, Cadence Bank reported adjusted earnings per share of $0.81, beating the consensus estimate of $0.78 by 3.85%. This represents a 10.96% increase from the same period last year. The bank's net income for the quarter stood at $129.849 million. However, quarterly sales of $517.205 million fell short of analyst projections of $525.001 million by 1.48%, although this still marks a 15.61% increase from the previous year.

Despite the overall positive earnings report, investors may be focusing on some concerning aspects of the bank's performance. Notably, Cadence Bank reported a credit loss provision of $32 million for the quarter, which could be signaling potential concerns about loan quality or economic headwinds. Additionally, the slight miss on revenue expectations might be contributing to the negative sentiment in after-hours trading. As the market digests this mixed bag of results, it remains to be seen how Cadence Bank's stock will perform in the coming days.