Earnings release
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First Mid Bancshares, Inc. Announces Third Quarter 2025 Results October 30, 2025 MATTOON, Ill., Oct. 30, 2025 (GLOBE NEWSWIRE) -- First Mid Bancshares, Inc. (NASDAQ: FMBH) (the “Company”) today announced its financial results for the quarter ended September 30, 2025. Highlights Quarterly net income of $22.5 million, or $0.94 diluted EPS Adjusted quarterly net income of $23.3 million, or $0.97 diluted EPS Net interest margin tax equivalent expands to 3.80%, quarterly increase of 8 basis points, helping drive the sixth consecutive quarter of growth in net interest income Total loans of $5.82 billion, quarterly increase of $57.0 million, or 1.0% Total deposits of $6.29 billion, quarterly increase of $99.3 million, or 1.6% Tangible book value per share increased 6.0% during the quarter to $28.21 Announced pending acquisition of Two Rivers Financial Group, Inc. Completion of core operating system conversion Completion of branch optimization project in which 8 full-service branches were closed Announced pending acquisition of Ray Farm Management Services, Inc. Board of Directors declares regular dividend of $0.25 per share “The third quarter reflected solid financial and operating performance led by further expansion of our net interest margin while delivering growth in both loans and deposits. We executed on our strategic plan to drive greater efficiency by completing the conversion of our core operating system in late October and closing 8 full-service branches across our footprint during the quarter. The branch closures align with the continued migration in customer preferences to a more digital first mindset. The core system conversion will not only provide cost savings, but will also provide process efficiencies that will set us up well for future growth” said Matthew Smith, President. “I am excited to announce the pending acquisition of Two Rivers Financial Group, Inc. as we continue to diversify our footprint and enter the state of Iowa. We are honored to have been chosen as their strategic partner. Two Rivers has a long history of providing value to their customers through their banking, trust, and wealth management services. We completed extensive due diligence and solidified our view that our cultures are closely aligned with a focus on community banking” said Joseph Dively, Chairman and CEO. Net Interest Income Net interest income for the third quarter of 2025 was $66.4 million, an increase of $2.5 million, or 3.9% compared to the second quarter of 2025. The increase was primarily the result of higher yields on earning assets while maintaining funding costs. Accretion income for the third quarter was $3.2 million, a decrease of $0.2 million compared to the prior quarter. In comparison to the third quarter of 2024, net interest income increased $8.8 million, or 15.3%. Interest income was higher by $5.0 million, inclusive of a decrease in accretion income of $0.5 million compared to the third quarter last year. Interest expense was lower by $3.9 million compared to the third quarter of last year. Net Interest Margin Net interest margin, on a tax equivalent basis, was 3.80% for the third quarter of 2025 representing an increase of 8 basis points over the prior quarter, driven by an increase to earning asset yields and maintaining funding costs. Loan Portfolio Total loans ended the quarter at $5.82 billion, representing an increase of $57.0 million, or 1.0%, from the prior quarter. The increase was well diversified and included construction and land development, commercial real estate, agriculture operating lines, and commercial and industrial loans. Farm real estate, multi-family residential properties, and consumer loans saw modest declines in the quarter. In comparison to the third quarter of last year, loan balances increased $209.4 million, or 3.7%. The largest increases were in construction and land development, agriculture operating lines, and commercial and industrial loans. * * * *
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Asset Quality Asset quality remained strong for the quarter. The allowance for credit losses (“ACL”) ended the period at $72.9 million and the ACL to total loans ratio was 1.25%. In addition to the ACL, an unearned discount of $26.0 million remains at quarter end. Provision expense was recorded in the amount of $3.4 million during the quarter with growth in the loan portfolio and net charge-offs of $1.6 million. At the end of the third quarter, the ratio of non-performing loans to total loans was 0.38%, which was in line with the prior quarter. The ACL to non-performing loans ratio was 328.5%, a slight increase from 325.0% in the second quarter. The ratio of nonperforming assets to total assets decreased from 0.31% in the prior quarter to 0.30%. The loan portfolio had some migration from special mention to substandard with nonperforming assets remaining stable. Special mention loans decreased by $20.6 million to $61.2 million and substandard loans increased $36.3 million to $75.3 million, driven primarily by downgrades of three relationships in varying industries and geographies. Deposits Total deposits ended the quarter at $6.29 billion, which represented an increase of $99.3 million, or 1.6%, from the prior quarter. Non-interest- bearing demand deposits grew $128.8 million or 9.7% from the second quarter due to seasonal cash flow fluctuations from a few large depositors as well as continued business development efforts. Time deposits also saw an increase during the quarter with decreases in interest bearing demand deposits, savings deposits, and money market accounts. Non-Interest Income Non-interest income for the third quarter of 2025 was $22.9 million compared to $23.6 million in the prior quarter. Gains on the sale of real estate from our branch optimization efforts totaled $1.3 million, net of losses realized from leasehold improvement charge-offs associated with leased locations. The sale of low yielding bonds produced a loss of $1.9 million. The bonds sold provided proceeds of $35.7 million that was redeployed at higher rates. In comparison to the third quarter of 2024, non-interest income decreased $0.1 million, primarily driven by the loss on the sale of securities offset by an increase of insurance commissions. Wealth management revenues for the quarter were $5.1 million, which was a decrease of $0.2 million from the prior quarter and $0.7 million from the third quarter of 2024. This was primarily driven by lower commodity prices. Overall Ag Services revenue was $1.8 million in the period compared to $2.3 million in the prior quarter and $1.8 million in the third quarter of 2024. First Mid Ag Services has entered into an agreement to acquire Ray Farm Management Services, Inc., based in Princeton Illinois. The transaction is expected to close in the fourth quarter of 2025 and add approximately 9,000 acres under management. Insurance commissions for the quarter were $7.1 million, which was a decrease of $0.8 million compared to the second quarter due to seasonality. Insurance commissions increased $1.1 million compared to the third quarter of 2024 from both organic growth and strategic acquisitions. Non-Interest Expenses Non-interest expense for the third quarter of 2025 totaled $57.1 million compared to $54.8 million in the prior quarter. Total pre-tax, one- time costs for the quarter were $2.5 million. Net of one-time gains, pre-tax, one-time costs for the quarter totaled $1.1 million. Debit card expenses were higher due to the service provider incentive recognized in the second quarter. Occupancy and equipment expenses also increased primarily from one-time costs associated with branch closures and technology enhancements. In comparison to the third quarter of 2024, non-interest expenses increased $3.2 million. Salaries and benefits expenses increased $2.0 million due to annual compensation increases along with incentive for over performance compared to plan in 2025. The Company’s efficiency ratio, as adjusted in the non-GAAP reconciliation table herein, for the third quarter of 2025 was 58.75% compared to 58.09% in the prior quarter and 61.33% for the same period last year. Capital Levels and Dividend The Company’s capital levels remained strong and above the “well capitalized” levels. Capital levels ended the period as follows: Total capital to risk-weighted assets 15.99%Tier 1 capital to risk-weighted assets 13.53%Common equity tier 1 capital to risk-weighted assets13.13%Leverage ratio 10.92% Tangible book value per share increased $1.59, or 6.0% during the third quarter of 2025. The increase was driven by both earnings and a decrease of $20.7 million related to the unrealized loss position in the Company’s investment portfolio. The Company’s Board of Directors approved its regular quarterly dividend of $0.25 payable on Monday December 1, 2025 to the shareholders of record as of Friday November 14, 2025. * * st th
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About First Mid: First Mid Bancshares, Inc. (“First Mid”) is the parent company of First Mid Bank & Trust, N.A., First Mid Insurance Group, Inc., and First Mid Wealth Management Co. First Mid is a $7.8 billion community-focused organization that provides a full-suite of financial services including banking, wealth management, brokerage, Ag services, and insurance through a sizeable network of locations throughout Illinois, Missouri, Texas, and Wisconsin and a loan production office in the greater Indianapolis area. Together, our First Mid team takes great pride in providing solutions and services to the customers and communities and has done so over the last 160 years. More information about the Company is available on our website at www.firstmid.com. *Non-GAAP Measures: In addition to reports presented in accordance with generally accepted accounting principles (“GAAP”), this release contains certain non-GAAP financial measures. The Company believes that such non-GAAP financial measures provide investors with information useful in understanding the Company’s financial performance. Readers of this release, however, are urged to review these non- GAAP financial measures in conjunction with the GAAP results as reported. These non-GAAP financial measures are detailed as supplemental tables and include “Adjusted Net Earnings,” “Adjusted Diluted EPS,” “Efficiency Ratio,” “Net Interest Margin, tax equivalent,” “Tangible Book Value per Common Share,” “Adjusted Tangible Book Value per Common Share,” “Adjusted Return on Assets,” and “Adjusted Return on Average Common Equity”. Refer to non-GAAP reconciliation tables herein for reconciliation to comparable GAAP measures. While the Company believes these non-GAAP financial measures provide investors with a broader understanding of the capital adequacy, funding profile and financial trends of the Company, this information should be considered as supplemental in nature and not as a substitute to the related financial information prepared in accordance with GAAP. These non-GAAP financial measures may also differ from the similar measures presented by other companies. Forward Looking Statements This document may contain certain forward-looking statements about First Mid and Two Rivers, such as discussions of First Mid’s and Two Rivers’ pricing and fee trends, credit quality and outlook, liquidity, new business results, expansion plans, anticipated expenses and planned schedules. First Mid and Two Rivers intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of First Mid and Two Rivers are identified by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” or similar expressions. Actual results could differ materially from the results indicated by these statements because the realization of those results is subject to many risks and uncertainties, including, among other things, the possibility that any of the anticipated benefits of the proposed transactions between First Mid and Two Rivers will not be realized within the expected time period; the risk that integration of the operations of Two Rivers with First Mid will be materially delayed or will be more costly or difficult than expected; the inability to complete the proposed transactions due to the failure to satisfy conditions to completion of the proposed transactions, including failure to obtain the required regulatory, shareholder and other approvals; the failure of the proposed transactions to close for any other reason; the effect of the announcement of the proposed transactions on customer relationships and operating results; the possibility that the proposed transactions may be more expensive to complete than anticipated, including as a result of unexpected factors or events; changes in interest rates; general economic conditions and those in the market areas of First Mid and Two Rivers; legislative and/or regulatory changes; monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board; the quality or composition of First Mid’s and Two Rivers’ loan or investment portfolios and the valuation of those investment portfolios; demand for loan products; deposit flows; competition, demand for financial services in the market areas of First Mid and Two Rivers; accounting principles, policies and guidelines; and the ability to complete the proposed transactions or any of the other foregoing risks. Additional information concerning First Mid, including additional factors and risks that could materially affect First Mid’s financial results, are included in First Mid’s filings with the SEC, including its Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date they are made. Except as required under the federal securities laws or the rules and regulations of the SEC, First Mid and Two Rivers do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise. Important Information about the Merger and Additional Information First Mid will file a registration statement on Form S-4 with the SEC in connection with the proposed transaction. The registration statement will include a proxy statement of Two Rivers that also constitutes a prospectus of First Mid, which will be sent to the shareholders of Two Rivers. Two Rivers shareholders are urged to read the proxy statement/prospectus when it becomes available, which will contain important information about First Mid, Two Rivers and the proposed transaction, including detailed risk factors. The proxy statement/prospectus and other documents which will be filed by First Mid with the SEC will be available free of charge at the SEC’s website, www.sec.gov. These documents also can be obtained free of charge by accessing First Mid’s website at www.firstmid.com under the tab “Investor Relations” and then under “SEC Filings.” Alternatively, when available, these documents can be obtained free of charge from First Mid upon written request to First Mid Bancshares, PO Box 499, Mattoon, IL 61938, Attention: Investor Relations; or from Two Rivers upon written request to Two Rivers Financial Group, Inc., 222 North Main St., Burlington, IA 52601-5214, Attention: Andrea Gerst, CFO. A final proxy statement/prospectus will be mailed to the shareholders of Two Rivers.
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Participants in the Solicitation First Mid and Two Rivers, and certain of their respective directors, executive officers, and other members of management and employees, are participants in the solicitation of proxies in connection with the proposed transactions. Information about the directors and executive officers of First Mid is set forth in the proxy statement for its 2025 annual meeting of stockholders, which was filed with the SEC on March 18, 2025. These documents can be obtained free of charge from the sources provided above. Investors may obtain additional information regarding the interests of such participants in the proposed transactions by reading the proxy statement/prospectus for such proposed transactions when it becomes available. No Offer or Solicitation This communication shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there by any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. Investor Contact: Austin Frank SVP, Shareholder Relations 217-258-5522 afrank@firstmid.com Jordan Read Chief Financial and Risk Officer 217-258-3528 jread@firstmid.com – Tables Follow – FIRST MID BANCSHARES, INC.Condensed Consolidated Balance Sheets(In thousands, unaudited) As of September 30, December 31, September 30, 2025 2024 2024 Assets Cash and cash equivalents $ 277,087 $ 121,216 $ 164,191 Investment securities 1,098,093 1,073,510 1,125,774 Loans (including loans held for sale) 5,824,038 5,672,462 5,614,591 Less allowance for credit losses (72,925) (70,182) (68,774)Net loans 5,751,113 5,602,280 5,545,817 Premises and equipment, net 94,673 100,234 101,464 Goodwill and intangibles, net 255,217 261,906 265,139 Bank Owned Life Insurance 173,588 170,854 169,635 Other assets 180,597 189,734 190,469 Total assets $ 7,830,368 $ 7,519,734 $ 7,562,489 Liabilities and Stockholders' Equity Deposits: Non-interest bearing $ 1,450,244 $ 1,329,155 $ 1,387,290 Interest bearing 4,839,299 4,727,941 4,701,544 Total deposits 6,289,543 6,057,096 6,088,834 Repurchase agreements with customers 200,506 204,122 204,343 Other borrowings 245,000 242,520 238,712 Junior subordinated debentures 24,419 24,280 24,224 Subordinated debt 79,645 87,472 87,373 Other liabilities 59,076 57,853 60,506 Total liabilities 6,898,189 6,673,343 6,703,992 Total stockholders' equity 932,179 846,391 858,497 Total liabilities and stockholders' equity $ 7,830,368 $ 7,519,734 $ 7,562,489 FIRST MID BANCSHARES, INC.Condensed Consolidated Statements of Income
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(In thousands, except per share data, unaudited) Three Months Ended Nine Months Ended September 30, September 30, 2025 2024 2025 2024 Interest income: Interest and fees on loans $ 87,020 $ 81,775 $ 251,722 $ 239,158 Interest on investment securities 7,659 7,036 21,331 21,846 Interest on federal funds sold & other deposits 1,456 2,371 4,042 6,533 Total interest income 96,135 91,182 277,095 267,537 Interest expense: Interest on deposits 25,179 28,341 73,865 80,775 Interest on securities sold under agreements to repurchase 1,105 1,444 3,503 5,115 Interest on other borrowings 2,186 2,195 6,060 6,757 Interest on jr. subordinated debentures 452 567 1,384 1,646 Interest on subordinated debt 850 1,092 2,648 3,466 Total interest expense 29,772 33,639 87,460 97,759 Net interest income 66,363 57,543 189,635 169,778 Provision for credit losses 3,353 1,266 7,572 1,992 Net interest income after provision for credit losses 63,010 56,277 182,063 167,786 Non-interest income: Wealth management revenues 5,145 5,816 16,350 16,543 Insurance commissions 7,089 6,003 24,854 21,747 Service charges 3,240 3,121 9,136 9,304 Net securities losses (1,930) (277) (2,111) (433)Mortgage banking revenues 1,255 1,109 3,036 2,853 ATM/debit card revenue 4,182 4,267 12,464 12,603 Other 3,928 2,984 7,637 7,306 Total non-interest income 22,909 23,023 71,366 69,923 Non-interest expense: Salaries and employee benefits 33,570 31,565 98,941 92,177 Net occupancy and equipment expense 9,196 8,055 25,544 23,122 Net other real estate owned expense 217 107 393 171 FDIC insurance 874 829 2,596 2,600 Amortization of intangible assets 3,128 3,405 9,480 10,242 Stationery and supplies 411 482 1,209 1,243 Legal and professional expense 2,454 2,573 8,287 7,558 ATM/debit card expense 2,052 1,869 5,027 4,341 Marketing and donations 959 836 2,588 2,512 Other 4,285 4,212 12,315 14,720 Total non-interest expense 57,146 53,933 166,380 158,686 Income before income taxes 28,773 25,367 87,049 79,023 Income taxes 6,311 5,885 18,978 19,293 Net income $ 22,462 $ 19,482 $ 68,071 $ 59,730 Per Share Information Basic earnings per common share $ 0.94 $ 0.81 $ 2.85 $ 2.50 Diluted earnings per common share 0.94 0.81 2.84 2.49 Weighted average shares outstanding 23,876,020 23,905,099 23,867,537 23,891,430 Diluted weighted average shares outstanding 23,997,198 24,006,647 23,981,938 23,988,478 FIRST MID BANCSHARES, INC.Condensed Consolidated Statements of Income(In thousands, except per share data, unaudited) For the Quarter Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Interest income: Interest and fees on loans $ 87,020 $ 84,784 $ 79,918 $ 81,288 $ 81,775 Interest on investment securities 7,659 6,895 6,777 6,990 7,036 Interest on federal funds sold & other deposits 1,456 1,722 864 1,564 2,371 Total interest income 96,135 93,401 87,559 89,842 91,182 Interest expense: Interest on deposits 25,179 24,964 23,722 26,144 28,341 Interest on securities sold under agreements torepurchase 1,105 1,218 1,180 1,333 1,444 Interest on other borrowings 2,186 2,043 1,831 1,917 2,195 Interest on jr. subordinated debentures 452 464 468 510 567 Interest on subordinated debt 850 849 949 988 1,092
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Total interest expense 29,772 29,538 28,150 30,892 33,639 Net interest income 66,363 63,863 59,409 58,950 57,543 Provision for credit losses 3,353 2,567 1,652 3,643 1,266 Net interest income after provision for creditlosses 63,010 61,296 57,757 55,307 56,277 Non-interest income: Wealth management revenues 5,145 5,394 5,800 6,275 5,816 Insurance commissions 7,089 7,840 9,925 6,805 6,003 Service charges 3,240 2,995 2,901 3,058 3,121 Net securities losses (1,930) 0 (181) 0 (277)Mortgage banking revenues 1,255 1,070 711 1,104 1,109 ATM/debit card revenue 4,182 4,636 3,646 4,204 4,267 Other 3,928 1,658 2,062 4,917 2,984 Total non-interest income 22,909 23,593 24,864 26,363 23,023 Non-interest expense: Salaries and employee benefits 33,570 33,623 31,748 31,957 31,565 Net occupancy and equipment expense 9,196 7,869 8,479 7,285 8,055 Net other real estate owned expense 217 75 101 240 107 FDIC insurance 874 873 849 863 829 Amortization of intangible assets 3,128 3,121 3,231 3,314 3,405 Stationary and supplies 411 367 431 642 482 Legal and professional expense 2,454 2,757 3,076 5,386 2,573 ATM/debit card expense 2,052 1,144 1,831 2,043 1,869 Marketing and donations 959 777 852 906 836 Other 4,285 4,156 3,874 3,661 4,212 Total non-interest expense 57,146 54,762 54,472 56,297 53,933 Income before income taxes 28,773 30,127 28,149 25,373 25,367 Income taxes 6,311 6,689 5,978 6,205 5,885 Net income $ 22,462 $ 23,438 $ 22,171 $ 19,168 $ 19,482 Per Share Information Basic earnings per common share $ 0.94 $ 0.98 $ 0.93 $ 0.80 $ 0.81 Diluted earnings per common share 0.94 0.98 0.93 0.80 0.81 Weighted average shares outstanding 23,876,020 23,867,592 23,858,817 23,818,806 23,905,099 Diluted weighted average shares outstanding 23,997,198 23,988,974 23,959,228 23,908,340 24,006,647 FIRST MID BANCSHARES, INC.Consolidated Financial Highlights and Ratios(Dollars in thousands, except per share data)(Unaudited) As of and for the Quarter Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Loan Portfolio Construction and land development $ 336,795 $ 298,812 $ 269,148 $ 236,093 $ 190,857 Farm real estate loans 367,473 381,517 373,413 390,760 384,620 1-4 Family residential properties 495,537 495,787 488,139 496,597 505,342 Multifamily residential properties 330,549 360,604 356,858 332,644 338,167 Commercial real estate 2,432,180 2,393,640 2,397,985 2,417,585 2,440,120 Loans secured by real estate 3,962,534 3,930,360 3,885,543 3,873,679 3,859,106 Agricultural operating loans 311,594 306,374 296,811 239,671 233,414 Commercial and industrial loans 1,349,863 1,324,653 1,303,712 1,335,920 1,283,631 Consumer loans 36,317 41,604 47,220 53,960 63,222 All other loans 163,730 164,008 165,572 169,232 175,218 Total loans 5,824,038 5,766,999 5,698,858 5,672,462 5,614,591 Deposit Portfolio Non-interest bearing demand deposits $ 1,450,244 $ 1,321,446 $ 1,394,590 $ 1,329,155 $ 1,387,290 Interest bearing demand deposits 1,901,516 1,947,744 1,814,427 1,907,733 1,834,123 Savings deposits 617,311 632,925 643,289 636,427 648,582 Money Market 1,184,964 1,206,140 1,215,420 1,196,537 1,183,594 Time deposits 1,135,508 1,081,944 1,062,654 987,244 1,035,245 Total deposits 6,289,543 6,190,199 6,130,380 6,057,096 6,088,834 Asset Quality Non-performing loans $ 22,199 $ 21,895 $ 26,598 $ 29,835 $ 18,242 Non-performing assets 23,670 23,572 28,703 32,030 20,076 Net charge-offs (recoveries) 1,588 1,458 1,783 2,235 804
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Allowance for credit losses to non-performingloans 328.51% 325.00% 263.36% 235.23% 377.01% Allowance for credit losses to total loansoutstanding 1.25% 1.23% 1.23% 1.24% 1.22% Nonperforming loans to total loans 0.38% 0.38% 0.47% 0.53% 0.32% Nonperforming assets to total assets 0.30% 0.31% 0.38% 0.43% 0.27% Special Mention loans 61,195 81,815 74,019 57,848 38,151 Substandard and Doubtful loans 75,309 39,031 33,884 35,516 29,037 Common Share Data Common shares outstanding 23,996,833 23,988,845 23,981,916 23,895,807 23,904,051 Book value per common share $ 38.85 $ 37.27 $ 36.32 $ 35.42 $ 35.91 Tangible book value per common share 28.21 26.62 25.53 24.46 24.82 Tangible book value per common shareexcluding other comprehensive income at periodend 32.79 32.07 31.21 30.42 29.70 Market price of stock 37.88 37.49 34.90 36.82 38.91 Key Performance Ratios and Metrics End of period earning assets $ 7,101,811 $ 6,924,934 $ 6,844,096 $ 6,775,075 $ 6,786,458 Average earning assets 7,014,675 6,975,783 6,769,858 6,884,303 6,857,070 Average rate on average earning assets (taxequivalent) 5.48% 5.41% 5.29% 5.24% 5.35% Average rate on cost of funds 1.75% 1.75% 1.74% 1.83% 2.00% Net interest margin (tax equivalent) 3.80% 3.72% 3.60% 3.41% 3.35% Return on average assets 1.17% 1.20% 1.19% 1.01% 1.03% Adjusted return on average assets 1.21% 1.23% 1.23% 1.10% 1.05% Return on average common equity 9.95% 10.52% 10.35% 9.04% 9.40% Adjusted return on average common equity 10.34% 10.80% 10.78% 9.80% 9.58% Efficiency ratio (tax equivalent) 58.75% 58.09% 58.88% 58.76% 61.33% Full-time equivalent employees 1,178 1,190 1,194 1,198 1,207 FIRST MID BANCSHARES, INC.Net Interest Margin (In thousands, unaudited) For the Quarter Ended September 30, 2025 QTD Average Average Balance Interest RateINTEREST EARNING ASSETS Interest bearing deposits $ 123,271 $ 1,432 4.61%Federal funds sold 76 1 5.22%Certificates of deposit investments 2,009 23 4.54%Investment Securities 1,130,674 8,146 2.88%Loans (net of unearned income) 5,758,645 87,311 6.02% Total interest earning assets 7,014,675 96,913 5.48% NONEARNING ASSETS Other nonearning assets 769,758 Allowance for loan losses (72,065) Total assets $ 7,712,368 INTEREST BEARING LIABILITIES Demand deposits $ 3,203,911 $ 15,983 1.98%Savings deposits 625,166 180 0.11%Time deposits 1,077,433 9,014 3.32%Total interest bearing deposits 4,906,510 25,177 2.04%Repurchase agreements 192,187 1,105 2.28%FHLB advances 233,043 2,181 3.71%Federal funds purchased 46 5 0.00%Subordinated debt 79,609 850 4.24%Jr. subordinated debentures 24,400 452 7.35%Other debt - - 0.00%Total borrowings 529,285 4,593 3.44%Total interest bearing liabilities 5,435,795 29,770 2.17% NONINTEREST BEARING LIABILITIES Demand deposits 1,331,638 Avg Cost of Funds 1.75%Other liabilities 41,524 (1) (1) (1)(2) (1) (1) (1) Non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure.1 During the first quarter 2025, the Company changed the methodology utilized for the calculation of net interest margin to be more consistent with what is typically used by peer banks andresearch analysts. The calculation now is the annualized net interest income on a tax equivalent basis divided by average interest earning assets.2
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Stockholders' equity 903,411 Total liabilities & stockholders' equity $ 7,712,368 Net Interest Earnings / Spread $ 67,143 3.31% Tax effected yield on interest earning assets 3.80% FIRST MID BANCSHARES, INC.Reconciliation of Non-GAAP Financial Measures(In thousands, unaudited) As of and for the Quarter Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Net interest income as reported $ 66,363 $ 63,863 $ 59,409 $ 58,950 $ 57,543 Net interest income, (tax equivalent) 67,143 64,634 60,162 59,717 58,627 Average earning assets 7,014,675 6,975,783 6,769,858 6,884,303 6,857,070 Net interest margin (tax equivalent) 3.80% 3.72% 3.60% 3.41% 3.35% Common stockholder's equity $ 932,179 $ 894,140 $ 870,949 $ 846,391 $ 858,497 Goodwill and intangibles, net 255,217 255,547 258,671 261,906 265,139 Common shares outstanding 23,997 23,989 23,982 23,896 23,904 Tangible Book Value per common share $ 28.21 $ 26.62 $ 25.53 $ 24.46 $ 24.82 Accumulated other comprehensive loss (AOCI) (110,012) (130,710) (136,097) (142,383) (116,692)Adjusted tangible book value per common share$ 32.79 $ 32.07 $ 31.21 $ 30.42 $ 29.70 FIRST MID BANCSHARES, INC.Reconciliation of Non-GAAP Financial Measures(In thousands, except per share data, unaudited) As of and for the Quarter Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Adjusted earnings Reconciliation Net Income - GAAP $ 22,462 $ 23,438 $ 22,171 $ 19,168 $ 19,482 Adjustments (post-tax): Nonrecurring technology project expenses 360 246 728 1,710 - Net (gain)/loss on securities sales 1,525 - 143 - 219 Net (gain)/loss on real estate sales (1,033) - - - - Nonrecurring severance expense 15 - - - - Integration and acquisition expenses 13 3 41 - 137 Total non-recurring adjustments (non-GAAP)$ 880 $ 249 $ 912 $ 1,710 $ 356 Adjusted earnings - non-GAAP $ 23,342 $ 23,687 $ 23,083 $ 20,878 $ 19,838 Adjusted diluted earnings per share (non-GAAP)$ 0.97 $ 0.99 $ 0.96 $ 0.87 $ 0.83 Adjusted return on average assets (non-GAAP) 1.21% 1.23% 1.23% 1.10% 1.05% Adjusted return on average common equity (non-GAAP) 10.34% 10.80% 10.78% 9.80% 9.58% Efficiency Ratio Reconciliation Noninterest expense - GAAP $ 57,146 $ 54,762 $ 54,472 $ 56,297 $ 53,933 Other real estate owned property income(expense) (217) (75) (101) (240) (107)Amortization of intangibles (3,128) (3,121) (3,231) (3,314) (3,405)Loss on real estate sales (95) - - - - Nonrecurring severance expense (19) - - - - Nonrecurring technology project expense (456) (311) (921) (2,164) - Integration and acquisition expenses (17) (4) (52) - (174)Adjusted noninterest expense (non-GAAP) $ 53,214 $ 51,251 $ 50,167 $ 50,579 $ 50,247 Net interest income -GAAP $ 66,363 $ 63,863 $ 59,409 $ 58,950 $ 57,543 Effect of tax-exempt income 780 771 753 767 1,084 Adjusted net interest income (non-GAAP) $ 67,143 $ 64,634 $ 60,162 $ 59,717 $ 58,627 Tax equivalent net interest margin is a non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure. (1) (1)
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Noninterest income - GAAP $ 22,909 $ 23,593 $ 24,864 $ 26,363 $ 23,023 Gain on real estate sales (1,403) $ - $ - $ - $ - Net (gain)/loss on securities sales 1,930 0 181 0 277 Adjusted noninterest income (non-GAAP) $ 23,436 $ 23,593 $ 25,045 $ 26,363 $ 23,300 Adjusted total revenue (non-GAAP) $ 90,579 $ 88,227 $ 85,207 $ 86,080 $ 81,927 Efficiency ratio (non-GAAP) 58.75% 58.09% 58.88% 58.76% 61.33% (1) Nonrecurring items (post-tax) and tax-exempt income are calculated using an estimated effective tax rate of 21%.