Slides
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0 4th Quarter 2025 Earnings Call January 30, 2026
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FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may”, “might”, “should”, “could”, “predict”, “potential”, “believe”, “expect”, “continue”, “will”, “anticipate”, “seek”, “estimate”, “intend”, “plan”, “projection”, “would”, “annualized” and “outlook”, or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about our industry, management's beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions, estimates and uncertainties that are difficult to predict. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, there can be no assurance that actual results will not prove to be materially different from the results expressed or implied by the forward-looking statements. A number of important factors could cause actual results or performance to differ materially from the forward- looking statements, including (without limitation) the risks and uncertainties associated with the domestic and global economic environment and capital market conditions and other risk factors. For a discussion of some of these risks and important factors that could affect our future results and financial condition, see our U.S. Securities and Exchange Commission (“SEC”) filings, including, but not limited to, our Annual Report on Form 10-K for the year ended December 31, 2024 and our Quarterly Report on Form 10-Q for the quarters ended March 31, 2025, June 30, 2025, and September 30, 2025. 1
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Q4 2025 FINANCIAL HIGHLIGHTS1 (1) Comparisons to Q3 2025 (2) ROATA and ROATCE are non-GAAP financial measures. A reconciliation of average tangible assets and average tangible stockholders’ equity to the comparable GAAP measurements is provided in the appendix of this slide presentation. (3) Declared on January 28, 2026. Payable February 27, 2026 to shareholders of record at close of business on February 13, 2026. 2 • Net income: $69.9 mm • Cost of deposits: 1.29% • Total cost of funds: 1.29% • Net interest margin increased 2 bp to 3.21% • Strong credit quality. Recorded $7.7 mm provision • 24.8% effective tax rate • Well capitalized: 13.17% CET1 ratio • Declared $0.26 / share dividend Q4 2025 Q3 2025 Net Income ($mm) $69.9 $73.8 Diluted EPS $0.56 $0.59 Net Interest Margin 3.21% 3.19% Efficiency Ratio 55.1% 55.3% ROA / ROATA2 1.16% / 1.21% 1.22% / 1.27% ROE / ROATCE2 10.07% / 15.76% 10.81% / 17.08% Tier 1 Leverage Ratio CET1 Capital Ratio Total Capital ratio 9.27% 13.17% 14.42% 9.16% 13.24% 14.49% Dividend3 $0.26 / share $0.26 / share
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Q4 2025 BALANCE SHEET HIGHLIGHTS1 3 $ in millions 12/31/25 9/30/25 Assets Cash and Cash Equivalents2 $ 1,477.8 $ 1,855.6 Investment Securities - AFS 2,076.2 1,986.7 Investment Securities - HTM 3,533.1 3,594.2 Loans and Leases 14,312.5 14,129.4 Total Assets 23,955.3 24,098.7 Liabilities Deposits $20,515.7 $20,729.6 Short-term borrowings - - Total Stockholders’ Equity 2,769.4 2,733.9 (1) Comparisons to September 30, 2025 (2) Includes Cash and due from banks and Interest-bearing deposits in other banks (3) TBV/share (tangible book value per share) is a non-GAAP financial measure. A reconciliation of TBV/share to the comparable GAAP measurement is provided in the appendix of this slide presentation • Total loans and leases increased $183.1 mm • Total deposits decreased $213.9 mm, driven by a $447.1 mm decline in public deposits • No outstanding short-term or long-term borrowings • Repurchased approximately 1.0 million shares of common stock, at a total cost of $26 million • Board of Directors adopted a stock repurchase program for up to $250 million • TBV/share3 increased to $14.46 / share
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5.4 5.4 5.4 4.2 4.1 4.1 2.2 2.0 2.2 1.0 1.0 1.0 1.2 1.2 1.2 0.4 0.4 0.4 14.4 14.1 14.3 Dec-24 Sep-25 Dec-25 ($ billions) LOANS INCREASED $183.1 MM, OR 5.2% ANNUALIZED (73) (2) 8 12 18 77 144 Consumer Total Loans and Leases 12/31/25 vs 9/30/25 Net Changes ($ millions) Note: Segments may not sum to total due to rounding CRE C&I CRE & Construction Residential Home Equity Construction Residential C&I Consumer Home Equity Leasing Leases Q4 Highlights • Growth primarily driven by C&I loans • Dealer flooring was up $11 million to about $650 million 4
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10.6 9.1 0.8 Retail Commercial Public RETAIL + COMMERCIAL DEPOSITS UP $233 MM TOTAL COST OF DEPOSITS DOWN 9 BP 7.0 6.8 6.5 6.0 6.7 6.3 4.0 3.9 4.3 3.3 3.4 3.4 20.3 20.7 20.5 Dec-24 Sep-25 Dec-25 ($ billions) Total Deposits Deposit Composition ($ billions) Note: Segments may not sum to total due to rounding Quarterly Cost of Deposits 154 bps 138 bps 129 bps Q4 Highlights • $214 mm decrease in total deposits o $233 mm increase in retail and commercial deposits o $447 mm decrease in total public deposits primarily due to decreases in operating account balances • 129 bp cost of deposits, down 9 bp • 32% noninterest bearing / total deposit ratio Time Money Market Savings Demand 5
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158.8 169.3 170.3 3.03% 3.19% 3.21% 1.00%1.10%1.20%1.30%1.40%1.50%1.60%1.70%1.80%1.90%2.00%2.10%2.20%2.30%2.40%2.50%2.60%2.70%2.80%2.90%3.00%3.10%3.20%3.30%3.40%3.50%3.60%3.70%3.80%3.90%4.00%4.10%4.20%4.30%4.40%4.50%4.60%4.70%4.80%4.90%5.00% 0.05.010.015.020.025.030.035.040.045.050.055.060.065.070.075.080.085.090.095.0100.0105.0110.0115.0120.0125.0130.0135.0140.0145.0150.0155.0160.0165.0170.0175.0180.0185.0190.0195.0200.0205.0210.0 Q4 24 Q3 25 Q4 25 $1.0 MM INCREASE IN NET INT INCOME 2 BP INCREASE IN NIM ($ millions) Net Interest Income and Net Interest Margin Q4 Highlights • Net interest margin increased 2 bps in Q4 o NIM improvement driven by deposit repricing and full quarter benefit of FHLB borrowing that matured in September • 1.29% total cost of funds, down 12 bps Q3 ‘25 – Q4 ‘25 NIM Walk 6
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124.1 125.7 125.1 65.5% 55.3% 55.1% Q4 24 Q3 25 Q4 25 29.4 57.1 55.6 26.2 Q4 24 Q3 24 Q4 25 NONINTEREST INCOME AND EXPENSE 7 ($ millions) Noninterest Income Noninterest Expense Nonint Expense Efficiency Ratio ($ millions) • Q4 2024 included $26.2 million loss on sale of securities
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ASSET QUALITY REMAINS STRONG 8 ▪ 30-89 days past due is comprised of accruing and non-accruing loans▪ TLL - Total Loans and Leases ▪ QTD NCO Rate - Annualized QTD NCO/Avg Loans and Leases ▪ Includes OREO and 90+ days past due accruing loans ($ millions) ($ millions) ($ millions)($ millions)
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ALLOWANCE FOR CREDIT LOSS RESERVE LEVELS CONTINUE TO PROVIDE FOR UNCERTAINTY 9 Rollforward of the On-Balance Sheet Allowance for Credit Losses • The Asset ACL / Total Loans and Leases is at 1.18%, 1 BP increase from Q3. ($ in 000’s) C&I CRE Const Lease Mortgage Home Equity Consumer Total 9/30/2025 19,084 38,840 8,388 2,515 37,731 11,384 47,327 165,269 Charge-offs -1,478 - - - - - -5,186 -6,664 Recoveries 193 - - - 14 27 1,429 1,663 Provision 3,034 -83 -783 263 -1,361 3,781 3,349 8,200 12/31/2025 20,833 38,757 7,605 2,778 36,384 15,192 46,919 168,468 % of Total ACL 12.4% 23.0% 4.5% 1.6% 21.6% 9.0% 27.9% 100.0% Total Loan Balance 2,171,333 4,590,326 808,275 441,930 4,096,300 1,178,527 1,025,838 14,312,529 ACL/Total LL 0.96% 0.84% 0.94% 0.63% 0.89% 1.29% 4.57% 1.18%
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2026 OUTLOOK 10 Driver Outlook / Comments Loans Full year loan growth: 3% - 4% Net Interest Margin Full year NIM: 3.16% - 3.18% • Assumes two, 25 bp rate cuts in May and September • Tailwinds: Fixed asset repricing (loan and securities) • ~$385 mm of fixed rate cash flows • Roll off yield ~4% • New asset yield ~ 5.5% • Headwinds: Fed rate cuts, declining deposit beta Noninterest Income Full year noninterest income ~$220 mm Noninterest Expense Full year expenses ~$520 mm
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11 QUESTIONS
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APPENDIX 12
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COMMERCIAL REAL ESTATE 13 (As of 12/31/25) CRE exposure increased $76.6 mm from Q3 2025 with the larger increases in Retail and Multi-family. The portfolio continues to be well diversified across property types, well secured with a weighted average LTV of 58.4%. Criticized rate increased to 5.0%. • Office exposure in CRE represents approximately 5.2% of total loans and leases, with criticized office CRE at 27 bps of total loans and leases. • The CRE portfolio continues to perform well, reflecting the quality of sponsorship and underlying collateral. • The Bank continues to monitor the CRE book closely, focusing attention on investor real estate, construction/development and office. Property Type Balances ($ mm) % of Balances Weighted Average LTV % Criticized Office 749 16.3% 59.7% 5.2% Hotel 446 9.7% 53.8% 6.8% Retail 1,005 21.9% 61.0% 2.0% Multi-family 952 20.7% 55.5% 10.4% Industrial 643 14.0% 58.2% 5.3% Dealer Related 458 10.0% 65.1% 0.5% Other 337 7.4% 53.7% 1.3% Total 4,590 100.0% 58.4% 5.0%
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COMMERCIAL & INDUSTRIAL 14 (As of 12/31/25) Industries deemed to exhibit higher volatility represent a modest amount of total C&I exposure and dealer related credits represent about 34.5% of total C&I. Industry Balances ($ mm) % of Balances % Criticized Auto Dealers 749 34.5% 1.1% Retail - 0.0% 0.0% Hospitality/Hotel 81 3.7% 0.0% Food Service 39 1.8% 2.1% Transportation 61 2.8% 0.0% Other 1,241 57.2% 5.8% Total 2,171 100.0% 3.8%
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CONSTRUCTION 15 (As of 12/31/25) The construction book is concentrated in Multi-family and largely centered in rental and for-sale housing. Multi-family criticized rate is 0.0%, unchanged from Q3 2025. Property Type Balances ($ mm) % of Balances Weighted Average LTV % Criticized Office 24 3.0% 46.9% 0.0% Hotel 46 5.7% 48.0% 0.0% Retail 7 0.9% 51.0% 0.0% Multi-family 396 49.0% 53.2% 0.0% Industrial 173 21.4% 54.5% 16.1% Dealer Related 73 9.0% 77.7% 0.0% Other 89 11.0% 60.6% 1.2% Total 808 100.0% 56.0% 3.6%
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SUMMARY INCOME STATEMENT Quarter ended ($ in millions except per share data) 12/31/25 9/30/25 12/31/24 Net interest income $ 170.3 $ 169.3 $ 158.8 Provision for credit losses 7.7 4.5 (0.8) Noninterest income 55.6 57.1 29.4 Noninterest expense 125.1 125.7 124.1 Pre-tax income 93.1 96.1 64.7 Tax expense 23.1 22.3 12.2 Net Income $ 69.9 $ 73.8 $ 52.5 Diluted earnings per share $ 0.56 $ 0.59 $ 0.41 16 Note: Totals may not sum due to rounding.
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SELECTED BALANCE SHEET ITEMS ($ in millions except per share data) As of 12/31/25 9/30/25 12/31/24 Selected Assets Investment securities – AFS $ 2,076.2 $ 1,986.7 $ 1,926.5 Investment securities – HTM 3,533.1 3,594.2 3,790.7 Loans and leases 14,312.5 14,129.4 14,408.3 Total assets 23,955.3 24,098.7 23,828.2 Selected Liabilities and Stockholders’ Equity Total deposits $ 20,515.7 $ 20,729.6 $ 20,322.2 Short-term borrowings - - 250.0 Total stockholders’ equity 2,769.4 2,733.9 2,617.5 Shares Outstanding 122.689,256 123,719,585 126,422,898 Book value per share $ 22.57 $ 22.10 $ 20.70 Tangible book value per share (1) 14.46 14.05 12.83 Tier 1 Leverage Ratio 9.27 % 9.16 % 9.14 % CET 1 / Tier 1 13.17 % 13.24 % 12.80 % Total Capital Ratio 14.42 % 14.49 % 13.99 % 17(1) Non-GAAP financial measure. A reconciliation to the directly comparable GAAP measure is provided in the appendix of this slide presentation.
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GAAP TO NON-GAAP RECONCILIATIONS Return on average tangible assets, return on average tangible stockholders’ equity, tangible book value per share and tangible stockholders’ equity to tangible assets are non-GAAP financial measures. We compute our return on average tangible assets as the ratio of net income to average tangible assets, which is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our average total assets. We compute our return on average tangible stockholders’ equity as the ratio of net income to average tangible stockholders’ equity, which is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our average total stockholders’ equity. We compute our tangible book value per share as the ratio of tangible stockholders’ equity to outstanding shares. Tangible stockholders’ equity is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our total stockholders’ equity. We compute our tangible stockholders’ equity to tangible assets as the ratio of tangible stockholders’ equity to tangible assets, each of which we calculate by subtracting (and thereby effectively excluding) the value of our goodwill. We believe that these measurements are useful for investors, regulators, management and others to evaluate financial performance and capital adequacy relative to other financial institutions. Although these non- GAAP financial measures are frequently used by stakeholders in the evaluation of a company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our results or financial condition as reported under GAAP. Investors should consider our performance and capital adequacy as reported under GAAP and all other relevant information when assessing our performance and capital adequacy. The following tables provide a reconciliation of these non-GAAP financial measures with their most directly comparable GAAP measures. 18
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GAAP TO NON-GAAP RECONCILIATION 19 (1) Annualized for the three months ended December 31, 2025, September 30, 2025, and December 31, 2024. (dollars in thousands) Income Statement Data: Net income $ 69,931 $ 73,840 $ 52,496 $ 276,266 $ 230,129 Average total stockholders' equity $ 2,756,241 $ 2,710,273 $ 2,629,600 $ 2,693,446 $ 2,557,215 Less: average goodwill 995,492 995,492 995,492 995,492 995,492 Average tangible stockholders' equity $ 1,760,749 $ 1,714,781 $ 1,634,108 $ 1,697,954 $ 1,561,723 Average total assets $ 23,925,000 $ 23,993,685 $ 23,795,735 $ 23,917,443 $ 23,996,723 Less: average goodwill 995,492 995,492 995,492 995,492 995,492 Average tangible assets $ 22,929,508 $ 22,998,193 $ 22,800,243 $ 22,921,951 $ 23,001,231 Return on average total stockholders' equity (1) 10.07 % 10.81 % 7.94 % 10.26 % 9.00 % Return on average tangible stockholders' equity (non-GAAP) (1) 15.76 % 17.08 % 12.78 % 16.27 % 14.74 % Return on average total assets (1) 1.16 % 1.22 % 0.88 % 1.16 % 0.96 % Return on average tangible assets (non-GAAP) (1) 1.21 % 1.27 % 0.92 % 1.21 % 1.00 % (dollars in thousands, except per share amounts) Balance Sheet Data: Total stockholders' equity $ 2,769,365 $ 2,733,921 $ 2,617,486 Less: goodwill 995,492 995,492 995,492 Tangible stockholders' equity $ 1,773,873 $ 1,738,429 $ 1,621,994 Total assets $ 23,955,252 $ 24,098,728 $ 23,828,186 Less: goodwill 995,492 995,492 995,492 Tangible assets $ 22,959,760 $ 23,103,236 $ 22,832,694 Shares outstanding 122,689,256 123,719,585 126,422,898 Total stockholders' equity to total assets 11.56 % 11.34 % 10.98 % Tangible stockholders' equity to tangible assets (non-GAAP) 7.73 % 7.52 % 7.10 % Book value per share $ 22.57 $ 22.10 $ 20.70 Tangible book value per share (non-GAAP) $ 14.46 $ 14.05 $ 12.83 As of As of As of For the T hree Months E nded For the Year E nded December 31, September 30, December 31, December 31, 2025 2025 2024 2025 2024 December 31, September 30, December 31, 2025 2025 2024