Slides
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Investor Update Fourth Quarter 2025
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Forward Looking Statements This presentation contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can often, but not always, be identified by the use of words like “believe”, “continue”, “pattern”, “estimate”, “project”, “intend”, “anticipate”, “expect” and similar expressions or future or conditional verbs such as “will”, “would”, “should”, “could”, “might”, “can”, “may”, or similar expressions. These forward-looking statements include, but are not limited to, statements relating to the expected timing and benefits of the proposed merger (the “Merger”) between First Merchants Corporation (“First Merchants”) and First Savings Financial Group, Inc. (“First Savings”), including future financial and operating results, cost savings, enhanced revenues, and accretion/dilution to reported earnings that may be realized from the Merger, as well as other statements of expectations regarding the Merger, and other statements of First Merchants’ goals, intentions and expectations; statements regarding the First Merchants’ business plan and growth strategies; statements regarding the asset quality of First Merchants’ loan and investment portfolios; and estimates of First Merchants’ risks and future costs and benefits whether with respect to the Merger or otherwise. These forward-looking statements are subject to significant risks, assumptions and uncertainties that may cause results to differ materially from those set forth in forward-looking statements, including, among other things: the risk that the businesses of First Merchants and First Savings will not be integrated successfully or such integration may be more difficult, time-consuming or costly than expected; expected revenue synergies and cost savings from the Merger may not be fully realized or realized within the expected time frame; revenues following the Merger may be lower than expected; customer and employee relationships and business operations may be disrupted by the Merger; the ability to obtain required regulatory approvals or the approval of First Savings’ common shareholders, and the ability to complete the Merger on the expected timeframe; possible changes in monetary and fiscal policies, and laws and regulations; the effects of easing restrictions on participants in the financial services industry; the cost and other effects of legal and administrative cases; possible changes in the credit worthiness of customers and the possible impairment of collectability of loans; fluctuations in market rates of interest; competitive factors in the banking industry; changes in the banking legislation or regulatory requirements of federal and state agencies applicable to bank holding companies and banks like First Merchants’ affiliate bank; continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; changes in market, economic, operational, liquidity (including the ability to grow and maintain core deposits and retain large uninsured deposits), credit and interest rate risks associated with First Merchants’ business; the impacts of epidemics, pandemics or other infectious disease outbreaks; and other risks and factors identified in each of First Merchants’ filings with the Securities and Exchange Commission (“SEC”). First Merchants undertakes no obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this presentation or press release. In addition, First Merchants’ past results of operations do not necessarily indicate its anticipated future results, whether the Merger is effectuated or not. PRO FORMA AND PROJECTED INFORMATION This presentation contains certain pro forma and projected financial information, including projected pro forma information, which reflects First Merchants’ current expectations and assumptions. This pro forma information is for illustrative purposes only and should not be relied on as necessarily being indicative of future results. The assumptions and estimates underlying the pro forma information are inherently uncertain and are subject to a wide variety of significant business, economic and competitive risks and uncertainties that could cause actual results to differ materially from those contained in the prospective financial information, including those in the “Forward Looking Statements” disclaimer. Accordingly, there can be no assurance that the prospective results are indicative of future performance of the combined company after the proposed acquisition or that actual results will not differ materially from those presented in the pro forma information. NON-GAAP FINANCIAL MEASURES These slides contain non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of the registrant’s historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows (or equivalent statements) of the issuer; or includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented. In this regard, GAAP refers to generally accepted accounting principles in the United States. Pursuant to the requirements of Regulation G, First Merchants Corporation has provided reconciliations within the slides, as necessary, of the non-GAAP financial measure to the most directly comparable GAAP financial measure. 2
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Executive Management Team 3 Mark Hardwick Chief Executive Officer Mark K. Hardwick currently serves as the Chief Executive Officer of First Merchants Corporation and First Merchants Bank. Mark joined First Merchants in November of 1997 as Corporate Controller and was promoted to Chief Financial Officer in April of 2002. In 2016, Mark’s title expanded to include Chief Operating Officer, overseeing the leadership responsibilities for finance, operations, technology, risk, legal, and facilities for the corporation. Prior to joining First Merchants Corporation, Mark served as a senior accountant with BKD, LLP in Indianapolis. Mark is a graduate of Ball State University with a Master of Business Administration and Bachelor’s degree in Accounting. He is also a certified public accountant and a graduate of the Stonier School of Banking. FMB: 28 Yrs Banking: 28 Yrs FMB: 10 Yrs Banking: 22 Yrs Michele Kawiecki Chief Financial Officer Michele Kawiecki currently serves as Executive Vice President and Chief Financial Officer for First Merchants Corporation and First Merchants Bank. Michele joined First Merchants in 2015 as Director of Finance. Prior to joining First Merchants, Michele spent 12 years with UMB Financial Corporation in Kansas City, Missouri having served as Senior Vice President of Capital Management and Assistant Treasurer; Director of Corporate Development and the Enterprise Project Management Office; and Chief Risk Officer. Prior to UMB, she worked for PriceWaterhouseCoopers LLP as an Audit Manager. Michele earned both a Master of Science in Accounting and an Executive Master of Business Administration from the University of Missouri-Kansas City and a Bachelor’s degree in Accounting from Dakota Wesleyan University. FMB: 18 Yrs Banking: 37 Yrs Mike Stewart President Mike Stewart currently serves as President for First Merchants Corporation and First Merchants Bank overseeing the Commercial, Private Wealth, and Consumer Lines of Business for the Bank. Mike joined the bank in 2008 as Chief Banking Officer. Prior to joining First Merchants, Mike spent 18 years with National City Bank in various commercial sales and credit roles. Mike has a Master of Business Administration from Butler University and a Bachelor’s degree in Finance from Millikin University. FMB: 18 Yrs Banking: 36 Yrs John Martin Chief Credit Officer John Martin currently serves as Executive Vice President and Chief Credit Officer of First Merchants Corporation overseeing the Commercial, Small Business and Consumer Credit functions, as well as Bank Operations and the Mortgage Line of Business. Prior to joining First Merchants, John spent 18 years with National City Bank in various sales and senior credit roles. John is a graduate of Indiana University where he earned a Bachelor of Arts in Economics. He also holds a Master of Business Administration in Finance from Case Western Reserve University. Mark Hardwick – 11/03/1997 Mike Stewart - 02/01/2008 1988 Banking Start John Martin – 12/31/2007 Michele Kawiecki – 03/02/2015
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First Merchants Corporation (NASDAQ: FRME) Financial Highlights as of 12/31/2025 $19.0 Billion $13.8 Billion $15.3 Billion $6.1 Billion Assets Under Advisement* Total Assets Total Loans Total Deposits TCE/TA: YTD Return on TCE YTD ROAA: Dividend Yield: Price / Tangible Book: Price / LTM EPS: 1.21% 9.38% 14.08% 3.82% 1.24x 9.6x Market Cap $2.1B Largest financial services holding company headquartered in Central Indiana 111 Banking Centers 4 *Includes $4.2 billion in assets under management; excludes $0.3 billion in custody assets 4
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Highlights 5 ▪ Reported EPS of $0.99 compared to $1.10 in 4Q24; EPS of $0.981,2 when adjusted for non-core items compared to core EPS of $1.001,2 in 4Q24 ▪ Loan growth of $197.4 million, or 5.8% annualized ▪ Efficiency ratio of 54.52% ▪ Robust capital position with tangible common equity ratio of 9.38% ▪ Repurchased 271,953 shares totaling $10.4 million 9.23% ROE 13.57% ROTCE2 ROE & ROTCE (Annualized) $56.6 Million $0.99 Per Share Net Income & EPS1 1.20% ROA 1.52% PTPP ROA2 ROA (Annualized) 1Net Income and EPS reported on a diluted basis and for common stockholders 2See “Non-GAAP Financial Information” for reconciliation Fourth Quarter
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▪ 13.8% EPS growth over prior year ▪ Reported EPS of $3.88 compared to $3.41 in prior year; EPS of $3.891,2 when adjusted for non-core items compared to core EPS of $3.471,2 in prior year ▪ Strong loan growth of $938.8 million, or 7.3% ▪ Delivered PPNR growth and positive operating leverage over prior year ▪ Efficiency ratio of 54.54% ▪ Repurchased 1,211,224 shares totaling $46.9 million ▪ $30 million of sub debt redeemed in 1Q25 ▪ Received regulatory approval of the acquisition of First Savings Financial Group, Inc. adding approximately $2.4 billion in assets and expanding the Corporation’s presence into Southern Indiana and the Louisville MSA. Closing is expected on February 1, 2026. Highlights 6 1Net Income and EPS reported on a diluted basis and for common stockholders 2See “Non-GAAP Financial Information” for reconciliation Note: MSA and County ranking per FDIC. Map includes all FRME locations including branches, LPOs and administrative centers. 9.43% ROE 14.08% ROTCE2 ROE & ROTCE (Annualized) $224.1 Million $3.88 Per Share Net Income & EPS1 1.21% ROA 1.51% PTPP ROA2 ROA (Annualized) Year to Date FRME Locations FSFG Locations
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Business Strategy 7 Commercial Banking Private Wealth Advisors Consumer Banking Mortgage Banking Strategy: Advantages: We deliver flexible solutions through a high-touch, client-centric banking model supported by experienced teams and accessible leadership, focusing on in- footprint relationships with Whole Bank potential. • Community Engagement • Client-Centric Relationship Banking • Experienced, Aligned Teams • Accessible Leadership • Speed & Flexibility Strategy: We help personal banking clients and small business owners prosper through a relationship-driven approach supported by strong digital capabilities and local market connectivity. • Client Centric Strategy • Community Engagement • Career Development • Performance and Culture Advantages: Strategy: We partner with individuals, families and organizations to provide comprehensive solutions and personal service in pursuit of a secure financial future • Delivering a comprehensive and coordinated client experience • Proactive service and client advocacy leveraging experience • Scalable technology and relationship data integration • Consistent client and partner experience • Connected and empowered resources in our Communities Advantages: Strategy: Differentiate First Merchants in the Mortgage Market through a rewarding experience that attracts loyal clients and high-performing talent, while driving net contribution and expanding household relationships across the bank. • Resilient through every economic cycles • Proven capability to attract & retain top-performing talent • Leveraging self-sourced & internal referrals to unlock new opportunities • Products tailored to meet the needs of diverse customer needs • Industry-leading technology with robust digital solutions Advantages:
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▪ Strong Commercial growth during the quarter of ~$153 million, or 5.9% ▪ C&I growth of ~$135 million ▪ IRE growth of ~$50 million ▪ Strong Commercial growth year to date of ~$852 million, or 8.8% ▪ C&I growth of ~$699 million ▪ IRE balances increased by ~$78 million ▪ Public Finance growth of ~$48 million ▪ Commercial pipelines remained strong at quarter end for both C&I and IRE Loan Growth Summary1,2 Business Highlights - Loans 8 MSA and County ranking data per FDIC Commercial Consumer 1Commercial includes Public Finance, Consumer includes Private Wealth and Mortgage 2Annualized Indianapolis Indianapolis MSA Rank:7 Deposits: $4.0B Loans: $5.1B Columbus Columbus MSA Rank: 15 Deposits: $0.7B Loans: $1.4B Northwest Indiana Lake County Rank: 5 Lafayette MSA Rank: 2 Deposits: $3.0B Loans: $2.3B Northeast Indiana Muncie MSA Rank: 1 Ft Wayne MSA Rank: 5 Deposits: $5.1B Loans: $2.0B Michigan Monroe MSA Rank: 1 Detroit MSA Rank: 11 Deposits: $2.5B Loans: $3.0B ▪ Consumer growth during the quarter of ~$44 million, or 5.5% ▪ Home Equity balances increased ~$24 million ▪ Other Consumer balances increased ~$16 million ▪ Consumer balances increased year to date by ~$87 million, or 2.7% ▪ Residential Mortgage balances increased ~$51 million ▪ Home Equity balances increased ~$51 million ▪ Consumer and Mortgage pipelines remain consistent with prior quarter ending period 4Q25 Balance ($B) Growth Commercial 10.5 5.9% Consumer 3.3 5.5% Total Loan Growth QTD 5.8% Total Loan Growth YTD 7.3%
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Deposit Growth Summary1,2 Business Highlights - Deposits 9 MSA and County ranking data per FDIC 1Commercial includes Public Funds deposits and Consumer includes Private Wealth and Mortgage 2Annualized ▪ Commercial deposits increased during the quarter by ~$22 million ▪ Core relationship balances decreased ~$39 million ▪ Public Funds balances increased ~$61 million ▪ Commercial deposits increased year to date by ~$118 million ▪ Core relationship balances decreased ~$129 million ▪ Public Funds balances increased ~$247 million Commercial Consumer ▪ Consumer deposits increased during the quarter by ~$155 million ▪ Non-maturity balances increased ~$225 million ▪ Maturity balances decreased ~$70 million ▪ Consumer deposits increased year to date by ~$135 million ▪ Non-maturity balances increased ~$403 million ▪ Maturity balances declined ~$268 million 4Q25 Balance ($B) Growth Commercial 7.4 1.2% Consumer 5.9 10.9% Total Deposit Growth QTD 11.4% Total Deposit Growth YTD 5.3% Indianapolis Indianapolis MSA Rank:7 Deposits: $4.0B Loans: $5.1B Columbus Columbus MSA Rank: 15 Deposits: $0.7B Loans: $1.4B Northwest Indiana Lake County Rank: 5 Lafayette MSA Rank: 2 Deposits: $3.0B Loans: $2.3B Northeast Indiana Muncie MSA Rank: 1 Ft Wayne MSA Rank: 5 Deposits: $5.1B Loans: $2.0B Michigan Monroe MSA Rank: 1 Detroit MSA Rank: 11 Deposits: $2.5B Loans: $3.0B
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Fourth Quarter Financial Results 10 ▪ 54.52% Efficiency Ratio ▪ Net interest income increased $5.4 million due to higher earning asset income and lower funding costs ▪ Net interest margin - FTE of 3.29% increased 5 basis points over prior quarter ▪ Noninterest income increased $0.6 million due to higher customer-related fees ▪ $30.18 Tangible Book Value per share, an increase of $1.10, or 4% from prior quarter 4Q25 Highlights 1See “Non-GAAP Financial Information” for reconciliation ($M except per share data) 12/31/24 3/31/25 6/30/25 9/30/25 12/31/25 Variance Linked Quarter % Variance Linked QTR- Annualized Balance Sheet & Asset Quality 1. Total Assets $18,312.0 $18,439.8 $18,592.8 $18,811.6 $19,025.1 $213.5 4.5% 2. Total Loans 12,873.0 13,027.9 13,325.5 13,614.4 13,811.8 197.4 5.8% 3. Investments 3,460.7 3,427.1 3,381.0 3,382.4 3,378.6 (3.8) -0.4% 4. Deposits 14,521.6 14,462.0 14,797.6 14,870.0 15,294.9 424.9 11.4% 5. Total Equity 2,305.0 2,332.2 2,348.0 2,412.4 2,466.7 54.3 9.0% 6. TCE Ratio 8.81% 8.90% 8.92% 9.18% 9.38% 0.20% 7. Total RBC Ratio 13.31 13.22 13.06 13.04 13.41 0.37 8. ACL / Loans 1.50 1.47 1.47 1.43 1.42 -0.01 9. NCOs / Avg Loans 0.02 0.15 0.07 0.15 0.18 0.03 10. NPAs + 90PD / Assets 0.46 0.49 0.39 0.37 0.39 0.02 Summary Income Statement 11. Net Interest Income $134.4 $130.3 $133.0 $133.7 $139.1 $5.4 4.0% 12. Provision for Credit Losses 4.2 4.2 5.6 4.3 7.2 2.9 13. Noninterest Income 42.7 30.0 31.3 32.5 33.1 0.6 1.8% 14. Noninterest Expense 96.3 92.9 93.6 96.6 99.5 2.9 3.0% 15. Pre-tax Income 76.6 63.2 65.1 65.3 65.5 0.2 0.3% 16. Provision for Taxes 12.2 7.8 8.3 8.5 8.4 (0.1) -1.2% 17. Net Income 64.4 55.4 56.8 56.8 57.1 0.3 0.5% 18. Preferred Stock Dividends 0.5 0.5 0.5 0.5 0.5 0.0 19. Net Income Available to Common Stockholders 63.9 54.9 56.4 56.3 56.6 0.3 0.5% 20. ROAA 1.39% 1.21% 1.23% 1.22% 1.20% -0.02% 21. ROAE 11.05 9.38 9.63 9.51 9.23 -0.28 22. ROTCE1 16.75 14.12 14.49 14.21 13.57 -0.64 23. Net Interest Margin - FTE 3.28 3.22 3.25 3.24 3.29 0.05 24. Efficiency Ratio 48.48 54.54 53.99 55.09 54.52 -0.57 Per Share 25. Earnings per Diluted Share $1.10 $0.94 $0.98 $0.98 $0.99 $0.01 26. Tangible Book Value per Share 1 26.78 27.34 27.90 29.08 30.18 1.10 27. Dividend per Share 0.35 0.35 0.36 0.36 0.36 0.00 28. Dividend Payout Ratio 31.8% 37.2% 36.7% 36.7% 36.4% -0.4% For the Three Months Ended,
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Year to Date Financial Results 11 ▪ 54.54% Efficiency Ratio ▪ Net interest income increased $14.9 million as reductions in funding costs outpaced asset repricing ▪ Net interest margin – FTE of 3.25% was six basis points higher than prior year margin of 3.19% ▪ Noninterest income increased $1.3 million as customer related fees increased $4.1 million over prior year ▪ Tangible Book Value per share totaled $30.18, an increase of $3.40, or 12.7% from prior year Year to Date Highlights 1See “Non-GAAP Financial Information” for reconciliation ($M except per share data) 2023 2024 2025 Variance YOY % Variance YOY Balance Sheet & Asset Quality 1. Total Assets $18,405.9 $18,312.0 $19,025.1 $713.1 3.9% 2. Total Loans 12,505.0 12,873.0 13,811.8 938.8 7.3% 3. Investments 3,811.4 3,460.7 3,378.6 (82.1) -2.4% 4. Deposits 14,821.5 14,521.6 15,294.9 773.3 5.3% 5. Total Equity 2,247.7 2,305.0 2,466.7 161.7 7.0% 6. TCE Ratio 8.40% 8.81% 9.38% 0.57% 7. Total RBC Ratio 13.67 13.31 13.41% 0.10 8. ALLL / Loans 1.64 1.50 1.42 -0.08 9. NCOs / Avg Loans 0.21 0.39 0.14 -0.25 10. NPAs + 90PD / Assets 0.32 0.46 0.39 -0.07 Summary Income Statement 11. Net Interest Income $545.4 $521.1 $536.0 $14.9 2.9% 12. Provision for Credit Losses 3.5 35.7 21.3 (14.4) 13. Noninterest Income 105.6 125.6 126.9 1.3 1.0% 14. Noninterest Expense 388.3 379.3 382.5 3.2 0.8% 15. Pre-tax Income 259.2 231.7 259.1 27.4 11.8% 16. Provision for Taxes 35.4 30.3 33.1 2.8 9.2% 17. Net Income 223.8 201.4 226.0 24.6 12.2% 18. Preferred Stock Dividends 1.9 1.9 1.9 0.0 19. Net Income Available to Common Stockholders 221.9 199.5 224.1 24.6 12.3% 20. ROAA 1.23% 1.09% 1.21% 0.12% 21. ROAE 10.43 8.86 9.43 0.57 22. ROTCE 16.76 13.71 14.08 0.37 23. Net Interest Margin - FTE 3.35 3.19 3.25 0.06 24. Efficiency Ratio 55.17 53.55 54.54 0.99 Per Share 25. Earnings per Diluted Share $3.73 $3.41 $3.88 $0.47 26. Tangible Book Value per Share 25.06 26.78 30.18 3.40 27. Dividend per Share 1.34 1.39 1.43 0.04 28. Dividend Payout Ratio 35.9% 40.8% 36.9% -3.9% For the Year Ended December 31,
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▪ Net unrealized AFS loss of $166.9 million ($196.9 M prior Q) ▪ Net unrealized HTM loss of $253.5 million ($288.7 M prior Q) Investment Portfolio Highlights 12 4Q25 Investment Portfolio Composition Yield on Investments (%) / Total Investments ($B) $3.4B Total Investment Portfolio Gains / LossesHighlights Realized Gains/Losses ▪ 4Q 2024 $11.6 million loss ▪ 1Q 2025 none ▪ 2Q 2025 none ▪ 3Q 2025 none ▪ 4Q 2025 none Unrealized Losses▪ Effective duration of 5.6 years ▪ Cash flow of $282 million in the next 12 months / ~2.09% yield ▪ AA rated municipal bond portfolio ▪ ~55% of portfolio classified as Held-to-Maturity ▪ Allowance for Credit Losses for Investments of $245,000 $3.5 $3.4 $3.4 $3.4 $3.4 2.67% 2.63% 2.64% 2.67% 2.63% 4Q24 1Q25 2Q25 3Q25 4Q25 Investments ($B) Yield on Investments (%) Municipal Bonds 57% Mortgage- Backed Securities 25% Collateralized Mortgage Obligations 5% U.S. Agencies 11% Corporate Obligations 2%
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Commercial & Industrial 32.4% Commercial Real Estate Owner-Occupied 9.0% Commercial Real Estate Non-Owner Occupied 17.0% Construction Land & Land Development 5.8% Agricultural Land & Production 2.1% Public Finance/Other Commercial 9.9% Residential Mortgage 17.5% Home Equity 5.2% Other Consumer 1.1% Loan Portfolio Highlights 13 4Q25 Loan Composition Yield on Loans (%) / Total Loans ($B) $13.8B Total 4Q25 Portfolio by Yield Type Highlights Total loan rate mix as of 4Q25 • $9.8 billion variable rate • $4.0 billion fixed rate ▪ Portfolio composition is ~76% Commercial oriented ▪ Total loan yield of 6.32% ▪ New/renewed loan yields averaged 6.51% for the quarter $0.9 $0.7 $0.7$0.4$0.7$0.7 $12.9 $13.0 $13.3 $13.6 $13.8 6.55% 6.21% 6.32% 6.40% 6.32% 4Q24 1Q25 2Q25 3Q25 4Q25 Total Loans ($B) Yield on Loans (%) Fixed Rate 30% Prime-Based 12% Other Variable Rates 7% SOFR-Based 51%
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$204,934 $192,757 $195,597 $37,200 $21,250 $49,377 $18,410 ACL - Loans 12/31/2023 Net Charge-offs 2024 Provision 2024 ACL - Loans 12/31/2024 Net Charge-offs 2025 YTD Provision 2025 YTD ACL - Loans 12/31/2025 Increase Decrease Allowance for Credit Losses - Loans 14 4Q25 Allowance for Credit Losses - Loans Highlights Change in ACL – Loans ▪ $7.2 million Q4 provision ▪ The reserve for unfunded commitments totals $18.0 million and is recorded in Other Liabilities ▪ The remaining fair value accretion on acquired loans is $13.4 million inclusive of credit and interest rate marks $192.8 $192.0 $195.3 $194.5 $195.6 1.50% 1.47% 1.47% 1.43% 1.42% 4Q24 1Q25 2Q25 3Q25 4Q25 Allowance Allowance to Loans
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Demand Deposits 51%Savings Deposits 36% Certificates & Time Deposits > $100k 6% Certificates & Time Deposits < $100k 4% Brokered Certificates of Deposits 3% Deposit Portfolio Highlights 15 4Q25 Deposit Composition Highlights $15.3B Total 1Total brokered deposits of $1.5 billion, which includes brokered CDs of $524 million 2Defined as total deposits less time deposits > $100k Cost of Total Deposits (%) / Total Deposits ($B) ▪ Strong core deposit base • 91% core deposits2 • 14% noninterest bearing • 33% of total deposits yield 0 to 5 bps ▪ Insured 71.4% / Uninsured 28.6% ▪ Average deposit account balance of $38,000 1 $14.5 $14.5 $14.8 $14.9 $15.3 2.43% 2.23% 2.30% 2.44% 2.32% 4Q24 1Q25 2Q25 3Q25 4Q25 Total Deposits ($B) Cost of Total Deposits (%)
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Net Interest Margin 16 $105.1$97.1 $97.3 $105.1 $107.0$97.8 $107.0 $97.3 $105.1 $110.0$109.2$107.0 $105.1 $109.2 $110.0 $106.9 1Adjusted for Fair Value Accretion 4Q24 1Q25 2Q25 3Q25 4Q25 1. Net Interest Income - FTE ($millions) 140.2$ 136.4$ 139.2$ 139.9$ 145.3$ 2. Fair Value Accretion 1.4$ 1.1$ 1.0$ 0.9$ 1.0$ 3. Adjusted Net Interest Income - FTE 1 138.8$ 135.3$ 138.2$ 139.0$ 144.3$ 4. Tax Equivalent Yield on Earning Assets 5.63% 5.39% 5.50% 5.58% 5.52% 5. Interest Expense/Average Earning Assets 2.35% 2.17% 2.25% 2.34% 2.23% 6. Net Interest Margin - FTE 3.28% 3.22% 3.25% 3.24% 3.29% 7. Fair Value Accretion Effect 0.03% 0.03% 0.03% 0.02% 0.02% 8. Adjusted Net Interest Margin 1 3.25% 3.19% 3.22% 3.22% 3.27% $140.2 $136.4 $139.2 $139.9 $145.3 3.28% 3.22% 3.25% 3.24% 3.29% 4Q24 1Q25 2Q25 3Q25 4Q25 Net Interest Income - FTE ($millions) Net Interest Margin - FTE
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Noninterest Income Highlights 17 4Q25 Noninterest Income Detail ($M) $33.1M Total Noninterest Income Trends Fee Income / Revenue Highlights ▪ Customer-related fees totaling $30.0 million for 4Q25 increased $0.7 million on a linked quarter basis Customer-Related Fees ($M) $8.7 $8.7 $8.8 $8.9 $9.2 $5.7 $5.0 $5.9 $5.0 $5.4 $8.1 $8.1 $8.6 $8.9 $8.7 $5.0 $4.5 $4.9 $5.0 $5.3 $1.9 $0.8 $1.2 $1.5 $1.4 $29.4 $27.1 $29.4 $29.3 $30.0 4Q24 1Q25 2Q25 3Q25 4Q25 Wealth Management Gain on Sale of Loans Service Charges Card Payment Fees Other Customer Fees 23.4% 18.0% 18.4% 18.9% 18.6% Wealth Management $9.2 28% Gain on Sale of Loans $5.4 16% Service Charges $8.7 26% Card Payment Fees $5.3 16% Derivative Hedge Fees $1.1 3% BOLI $1.9 6% Other Customer Fees $0.3 1% Other $1.2 4%
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Salary & Benefits $58.3 59% Net Occupancy & Equipment $14.9 15% Outside Data Processing $7.5 7% Professional & Other Outside Services $3.8 4% Intangible Asset Amortization $1.5 1%Marketing $2.3 2% FDIC Expense $2.7 3% Other $8.5 9% Noninterest Expense Highlights 18 4Q25 Noninterest Expense Detail $99.5M Total Noninterest Expense Trends ($M) Efficiency Ratio Highlights ▪ Increase from 3Q25 of $3.0 million due to higher employee health insurance, software and credit costs 14Q24, 3Q25, and 4Q25 Efficiency Ratios excluding non-core expenses and IL branch sale, see “Non-GAAP Financial Information” for reconciliation 53.60%1 54.56%1 $55.4 $55.0 $54.5 $57.3 $58.3 $14.4 $14.2 $13.8 $14.1 $14.9 $6.0 $5.9 $7.1 $7.0 $7.5 $20.5 $17.8 $18.2 $18.2 $18.8 $96.3M $92.9M $93.6M $96.6M $99.5M 4Q24 1Q25 2Q25 3Q25 4Q25 Salary & Benefits Net Occupancy & Equipment Outside Data Processing Other 54.65%1 48.48% 54.54% 53.99% 55.09% 54.52%
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Capital Ratios 19 Tangible Common Equity Ratio Common Equity Tier 1 Ratio Total Risk-Based Capital Ratio 9.31%9.31% 9.57% 9.31% 9.65%9.57%9.31% 9.57% 9.65% ▪ Repurchased 1,211,224 shares totaling $46.9 million during the year ▪ 271,953 shares repurchased during the fourth quarter totaling $10.4 million ▪ $30 million of sub debt redeemed in 1Q25 Highlights 8.81% 8.90% 8.92% 9.18% 9.38% 4Q24 1Q25 2Q25 3Q25 4Q25 TCE Ratio Target TCE (8.00%) 11.43% 11.50% 11.35% 11.34% 11.70% 4Q24 1Q25 2Q25 3Q25 4Q25 CET 1 Ratio Target CET1 Ratio (10.00%) 13.31% 13.22% 13.06% 13.04% 13.41% 4Q24 1Q25 2Q25 3Q25 4Q25 TRBC Ratio Target TRBC Ratio (12.50%)
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4Q25 Highlights Loan Portfolio 20 Geography Loan Portfolio Trends ($M) Year End 2025 Highlights ▪ Total loan growth of $939 million or 7.3% • Commercial Loans grew $852 million or 8.8% • Led by C&I lending totaling $699 million or 13.3% ▪ CRE concentration levels leave capacity for growth opportunities: CRE Construction: 38.8% / 100%1 CRE Total: 151.7% / 300%1 82.5% of borrowers within four state Midwest geography 1Measures loans as a percentage of the Bank's total regulatory capital which is used by regulators to assess CRE exposure. ▪ Balanced Commercial loan growth of $153 million or 5.9% annualized 4Q24 1Q25 2Q25 3Q25 4Q25 1. C&I - Regional Banking 3,349$ 3,482$ 3,574$ 3,694$ 3,837$ 2. C&I - Sponsor Finance 766 824 867 911 898 3. CRE Owner Occupied 1,158 1,215 1,227 1,232 1,237 4. Total C&I Loans 5,273 5,521 5,668 5,837 5,972 5. Construction/Land/Land Dev. 792 793 836 789 805 6. CRE Non-Owner Occupied 2,274 2,178 2,171 2,305 2,339 7. Total CRE NOO Loans 3,066 2,971 3,007 3,094 3,144 8. Agricultural 256 244 265 276 283 9. Public Finance/Other Commercial 1,059 1,087 1,145 1,146 1,107 10. Total Commercial Loans 9,654 9,823 10,085 10,353 10,506 11. Residential Mortgage 2,389 2,413 2,426 2,436 2,440 12. Home Equity 660 651 674 687 711 13. Other Consumer 170 141 141 139 155 14. Total Resi Mortgage & Consumer 3,219 3,205 3,241 3,262 3,306 15. Total Loans 12,873$ 13,028$ 13,326$ 13,615$ 13,812$
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▪ $897.5 million in loans to 97 companies in a diversity of industries ▪ Senior Debt/Adj. EBITDA < 3.0X ~83% ▪ Total Debt/Adj. EBITDA < 4.0X ~75% ▪ FCCR > 1.50X ~70% ▪ ~4.4% Classified (as a % of portfolio) ▪ Excellent credit history with ~$19.3 million in total losses on ~$2.05 billion of funded loans over 10-year history of groupC&I includes commercial and industrial, sponsor and owner- occupied real estate loans C&I - Sponsor Finance ▪ Line utilization 4Q25 at 49.8% from 50.0% 3Q25 ▪ Shared National Credits: • $1.0 billion to 91 borrowers, $10.8 million average balance • Top borrowers in Manufacturing, Agriculture, Equipment Rental and RE Rental and Leasing ▪ $35.4 million of SBA guaranteed loans Loan Portfolio Insights 21 C&I ▪ $153.8 million Resi. Real Estate Construction ▪ $650.9 million CRE Construction3 Construction Finance Home Equity / Other Consumer Residential Mortgage ▪ > 95.7% of $774.8 million in consumer loans had a credit score exceeding 669 at origination1 ▪ $249.0 million residential mortgage secured, related to commercial loan relationships ▪ ~$2.1 billion residential mortgage loans • > 91.4% of $1.9 billion in residential portfolio loans had a credit score at origination exceeding 6692 Commercial Mortgage & Consumer 1Excludes ~11% of loans where origination data is unavailable 2Excludes ~12% of residential loans where origination data is unavailable 3Includes Construction, Land, & Land Development
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Office - Maturities Loan Portfolio Insights (continued) 22 Total Loans $13.8 Billion Commercial Real Estate (Non-Owner Occupied) ($M) Office (Non-Owner Occupied) ($M) ▪ Top 10 loans are ~52% of total office with WALTV of ~59.3% at origination ▪ Largest NOO Office $25.0 million, single tenant office mixed use, 67.2% LTV ▪ 2nd largest $24.2 million, single tenant medical Office Maturities $261.2 Million Office % Total Loans Multi- Family Industrial Warehouse / Storage Retail Office Other Total CRE (NOO) Balance: 748.1$ 431.7$ 324.3$ 305.4$ 261.2$ 268.0$ 2,338.7$ Commitment: 765.9$ 443.4$ 332.4$ 309.5$ 264.0$ 292.4$ 2,407.6$ # of loans: 446 468 94 264 163 122 1,557 % of Total Loans: 5.4% 3.1% 2.3% 2.2% 1.9% 1.9% 16.9% Average Loan Balance: 1.7$ 0.9$ 3.5$ 1.2$ 1.6$ 2.2$ 1.5$ Top 10 - Avg. Loan Com: 17.5$ 12.9$ 19.9$ 8.1$ 13.6$ 16.0$ 25.8$
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Asset Quality 23 Asset Quality Trends ($M) 4Q25 Highlights Asset Quality: ▪ Largest Non-Accruals: • $12.9 million – IRE Multi-family Construction o Paid-off January 8, 2026 o Adjusted for payoff, NPA + 90PD/Loans and ORE ratio declines to 0.45% • $9.6 million – IRE Multi-family Construction • $4.3 million – C&I Contractor 4Q24 1Q25 2Q25 3Q25 4Q25 1. Non-Accrual Loans 73.8$ 81.9$ 67.4$ 65.7$ 71.8$ 2. Other Real Estate 4.9 5.0 0.2 1.3 0.7 3. 90PD Loans 5.9 4.3 4.4 1.9 2.0 4. NPAs + 90PD 84.6$ 91.2$ 72.0$ 68.9$ 74.5$ 5. NPAs + 90PD/Loans and ORE 0.66% 0.70% 0.54% 0.51% 0.54% 6. Classified Loans 372.8$ 362.3$ 373.5$ 344.3$ 353.0$ 7. Classified Loans/Loans 2.90% 2.78% 2.80% 2.53% 2.56% 8. Net Charge-offs (QTD) 0.8$ 4.9$ 2.3$ 5.2$ 6.0$ 9. QTD NCO/Avg. Loans (Annualized) 0.02% 0.15% 0.07% 0.15% 0.18%
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Nonperforming Assets 24 Nonperforming Assets Roll Forward ($M) 4Q25 Highlights Nonperforming Migration: ▪ New $9.6 million non-accrual IRE Multi-family Construction relationship ▪ Payoff of $5.7 million non-accrual IRE Nursing Facility 4Q24 1Q25 2Q25 3Q25 4Q25 1. Beginning Balance NPAs + 90PD 78.4$ 84.6$ 91.2$ 72.0$ 68.9$ Non-Accrual 2. Add: New Non-Accruals 42.9 19.6 21.9 15.5 22.8 3. Less: To Accrual or Payoff (25.5) (5.0) (32.0) (9.4) (9.1) 4. Less: To OREO (0.1) (0.3) (0.2) (1.3) (0.3) 5. Less: Charge-offs (2.6) (6.2) (4.2) (6.5) (7.3) 6. Non-Accrual Loans Change 14.7 8.1 (14.5) (1.7) 6.1 Other Real Estate Owned (ORE) 7. Add: New ORE Properties 0.1 0.3 0.2 1.3 0.3 8. Less: ORE Sold (0.4) (0.2) (5.0) (0.2) (0.9) 9. Less: ORE Losses (write-downs) - - - - - 10. ORE Change (0.3) 0.1 (4.8) 1.1 (0.6) 11. 90PD Change (8.2) (1.6) 0.1 (2.5) 0.1 12. NPAs + 90PD Change 6.2 6.6 (19.2) (3.1) 5.6 13. Ending Balance NPAs + 90PD 84.6$ 91.2$ 72.0$ 68.9$ 74.5$
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$14.68 $15.85 $16.96 $19.12 $21.94 $24.27 $25.21 $21.45 $25.06 $26.78 $30.18 $14.38 $15.83 $16.78 $19.24 $21.24 $22.64 $24.09 $25.42 $27.98 $30.02 $32.49 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 TBVPS TBVPS Without AFS OCI Track Record of Shareholder Value 25 Diluted Earnings per ShareTangible Book Value per Share Dividends per Share CAGR 2015-2025: 8.5% Return on Tangible Common Equity 1Tangible book value per share excluding unrealized gain/loss in available for sale securities. CAGR 2015-2025: 13.3% 1 CAGR 2015-2025: 7.5% Adjusted CAGR1 8.5% $1.72 $1.98 $2.12 $3.22 $3.19 $2.74 $3.81 $3.81 $3.73 $3.41 $3.88 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 $0.41 $0.54 $0.69 $0.84 $1.00 $1.04 $1.13 $1.25 $1.34 $1.39 $1.43 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 12.47% 13.26% 13.29% 18.77% 15.81% 12.21% 16.17% 18.12% 16.76% 13.71% 14.08% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
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History of Organic and Whole Bank Acquisition Growth 26 Total Assets ($B) Growth Through Acquisition ✓ Experienced Acquirer ✓ Expanded in Current High-Growth Markets ✓ Added to Franchise with Stable Deposit Gathering Markets 2015 Cooper State Bank Ameriana Bank 2017 Arlington Bank iAB Financial Bank 2019 Monroe Bank & Trust 2022 ($309 M) ($138 M) ($2.5 B) ($1.3 B) ($483 M) ($1.1 B) 2026 (Pending) $6.8 $7.2 $9.4 $9.9 $12.5 $14.1 $15.5 $17.9 $18.3 $18.3 $19.0 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
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Vision for the Future 27 Our Vision: To enhance the financial wellness of the diverse communities we serve. To be the most attentive, knowledgeable, and high-performing bank for our clients, teammates, and shareholders. ▪ Drive engagement through inclusivity, teamwork, performance management, career development, rewards, and work-life balance ▪ Produce organic growth across all lines of business and markets through focused, data- driven, industry-leading client acquisition, expansion, and retention activities ▪ Continued investment in the digitization of our delivery channels to simplify the client experience ▪ Maintain top-quartile financial results supported by industry-leading governance, risk, and compliance practices to ensure long-term sustainability ▪ Continue to leverage our core competency in acquisitions to enhance growth, efficiency, and high performance ▪ Cultivate a high-quality shareholder base that values our stakeholder-centric business model Strategic Imperatives: Our Mission:
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APPENDIX
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Deposits Mkt. Share Rank Institution (ST) Branches ($000) (%) 1 JPMorgan Chase & Co. (NY) 118 25,043,492 11.8 2 The PNC Finl Svcs Grp (PA) 80 16,858,818 7.9 3 Old National Bancorp (IN) 93 13,820,604 6.5 Pro Forma 90 13,414,896 6.3 4 Fifth Third Bancorp (OH) 96 13,079,511 6.2 5 Merchants Bancorp (IN) 7 12,751,155 6.0 6 First Merchants Corp. (IN) 74 11,674,284 5.5 7 First Bancshares Inc. (IN) 60 7,960,250 3.8 8 1st Source Corp. (IN) 73 7,099,121 3.3 9 Huntington Bancshares Inc. (OH) 39 6,508,001 3.1 10 First Financial Bancorp. (OH) 61 6,200,918 2.9 24 First Savings Financial Group (IN) 16 1,740,612 0.8 Expansion into Southern Indiana Bolsters Indiana State Presence 29 Deposits Mkt. Share Rank Institution (ST) Branches ($000) (%) 1 First Savings Financial Group (IN) 16 1,740,612 19.4 2 The PNC Finl Svcs Grp (PA) 6 1,715,164 19.1 3 JPMorgan Chase & Co. (NY) 7 951,033 10.6 4 First Capital Inc. (IN) 12 816,722 9.1 5 German American Bancorp Inc. (IN) 7 692,287 7.7 6 WesBanco Inc. (WV) 7 556,175 6.2 7 New Independent Bcshs Inc. (IN) 9 542,600 6.0 8 Stock Yards Bancorp Inc. (KY) 3 329,623 3.7 9 Truist Financial Corp. (NC) 1 387,920 4.3 10 Fifth Third Bancorp (OH) 2 258,673 2.9 FSFG Southern Indiana Deposit Market SharePro Forma Indiana Deposit Market Share Pro Forma Business Mix by Market Region 30.7% 19.0%14.4% 13.7% 13.1% 9.2% Indianapolis (30.7%) Michigan (19.0%) Northwest Indiana (14.4%) Northeast Indiana (13.7%) Southern Indiana (13.1%) Columbus (9.2%) 29.1% 23.6%17.6% 15.2% 10.3% 4.2% Northeast Indiana (29.1%) Indianapolis (23.6%) Northwest Indiana (17.6%) Michigan (15.2%) Southern Indiana (10.3%) Columbus (4.2%) $15.3B $16.5B 1 2 Loans Deposits Note: Southern IN Includes the IN counties in which FSFG operates: Clark, Crawford, Daviess, Floyd, Harrison and Washington. 1Includes the Lafayette, IN MSA and Lake County, IN. 2Includes the Muncie, IN MSA and Fort Wayne, IN MSA. Source: FDIC Summary of Deposits as of June 30, 2025.
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Non-GAAP 30 1Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 2Non-core expenses in 3Q25 included $0.6 million of severance costs 3Non-core expenses in 4Q24 included $0.8 million of costs directly related to the branch sale 4Non-core expenses in 2024 included $2.4 million from digital platform conversion costs, $1.1 million from the FDIC special assessment, and $0.8 million of costs directly related to the branch sale 5Non-core expenses in 2023 included $6.3 million from early retirement and severance costs, $4.3 million from the FDIC special assessment, and $2.1 million from a lease termination ADJUSTED NET INCOME AND DILUTED EARNINGS PER COMMON SHARE 4Q24 1Q25 2Q25 3Q25 4Q25 2023 2024 2025 (Dollars and Shares Outstanding in Thousands, Except Per Share Amounts) Net Income Available to Common Stockholders - GAAP 63,880$ 54,870$ 56,363$ 56,297$ 56,596$ 221,911$ 199,527$ 224,126$ Adjustments: PPP loan income - - - - - (49) - - Net realized losses on sales of available for sale securities 11,592 7 1 - - 6,930 20,757 8 Gain on branch sale (19,983) - - - - - (19,983) - Acquisition-related expenses - - - 276 524 - - 800 Non-core expenses 1,2,3,4,5 762 - - 633 (743) 12,682 4,243 (110) Tax on adjustments 1,851 (2) - (220) 53 (4,767) (1,229) (169) Adjusted Net Income Available to Common Stockholders - NON-GAAP 58,102$ 54,875$ 56,364$ 56,986$ 56,430$ 236,707$ 203,315$ 224,655$ Average Diluted Common Shares Outstanding 58,247 58,242 57,773 57,448 57,442 59,489 58,533 57,726 Diluted Earnings Per Common Share - GAAP 1.10$ 0.94$ 0.98$ 0.98$ 0.99$ 3.73$ 3.41$ 3.88$ Adjustments: PPP loan income - - - - - - - - Net realized losses on sales of available for sale securities 0.20 - - - - 0.12 0.35 - Gain on branch sale (0.34) - - - - - (0.34) - Acquisition-related expenses - - - - - - - 0.01 Non-core expenses 1,2,3,4,5 0.01 - - 0.01 (0.01) 0.21 0.07 - Tax on adjustments 0.03 - - - - (0.08) (0.02) - Adjusted Diluted Earnings Per Common Share - NON-GAAP 1.00$ 0.94$ 0.98$ 0.99$ 0.98$ 3.98$ 3.47$ 3.89$
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Non-GAAP 31 PRE-TAX, PRE-PROVISION ("PTPP") EARNINGS, AS ADJUSTED 4Q24 1Q25 2Q25 3Q25 4Q25 2023 2024 2025 (Dollars in Thousands, Except Per Share Amounts) Net Interest Income (GAAP) 134,370$ 130,270$ 133,014$ 133,665$ 139,064$ 545,401$ 521,114$ 536,013$ Other Income (GAAP) 42,742 30,047 31,303 32,477 33,106 105,601 125,580 126,934 Total Revenue 177,112 160,317 164,317 166,142 172,170 651,002 646,694 662,947 Less: Other Expenses (GAAP) (96,289) (92,901) (93,598) (96,561) (99,522) (388,270) (379,266) (382,583) Add: Net Realized Losses on Sales of Available for Sale Securities 11,592 7 1 - - 6,930 20,757 8 Add: Gain on Branch Sale (19,983) - - - - - (19,983) - Add: Acquisition-Related Expenses (GAAP) - - - 276 524 - - 800 Add: Non-core Expenses 1,2,3,4,5 (non-GAAP) 762 - - 633 (743) 12,682 4,243 (110) Pre-Tax, Pre-Provision Earnings (non-GAAP) 73,194$ 67,423$ 70,720$ 70,490$ 72,429$ 282,344$ 272,445$ 281,062$ Average Assets (GAAP) 18,478,303$ 18,341,738$ 18,508,785$ 18,637,581$ 19,039,989$ 18,186,507$ 18,400,495$ 18,633,952$ Average Equity (GAAP) 2,312,270$ 2,340,874$ 2,340,010$ 2,367,971$ 2,452,005$ 2,127,262$ 2,252,491$ 2,375,500$ PTPP/Average Assets (PTPP ROA) 1.58% 1.47% 1.53% 1.51% 1.52% 1.55% 1.48% 1.51% PTPP/Average Equity (PTPP ROE) 12.66% 11.52% 12.09% 11.91% 11.82% 13.27% 12.10% 11.83% 1Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 2Non-core expenses in 3Q25 included $0.6 million of severance costs 3Non-core expenses in 4Q24 included $0.8 million of costs directly related to the branch sale 4Non-core expenses in 2024 included $2.4 million from digital platform conversion costs, $1.1 million from the FDIC special assessment, and $0.8 million of costs directly related to the branch sale 5Non-core expenses in 2023 included $6.3 million from early retirement and severance costs, $4.3 million from the FDIC special assessment, and $2.1 million from a lease termination
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Non-GAAP 32 NET INTEREST MARGIN ("NIM"), ADJUSTED 4Q24 1Q25 2Q25 3Q25 4Q25 2023 2024 2025 (Dollars in Thousands) Net Interest Income (GAAP) 134,370$ 130,270$ 133,014$ 133,665$ 139,064$ 545,400$ 521,114$ 536,013$ Fully Taxable Equivalent ("FTE") Adjustment 5,788 6,127 6,199 6,209 6,185 23,943 23,326 24,720 Net Interest Income (FTE) (non-GAAP) 140,158 136,397 139,213 139,874 145,249 569,343 544,440 560,733 Average Earning Assets (GAAP) 17,089,198$ 16,960,475$ 17,158,984$ 17,282,901$ 17,648,233$ 16,991,787$ 17,054,267$ 17,264,588$ Net Interest Margin (GAAP) 3.15% 3.07% 3.10% 3.09% 3.15% 3.21% 3.06% 3.10% FTE Adjustment 0.13% 0.15% 0.15% 0.15% 0.14% 0.14% 0.13% 0.15% Net Interest Margin (FTE) (non-GAAP) 3.28% 3.22% 3.25% 3.24% 3.29% 3.35% 3.19% 3.25%
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Non-GAAP 33 EFFICIENCY RATIO (dollars in thousands): 4Q24 1Q25 2Q25 3Q25 4Q25 2023 2024 2025 EFFICIENCY RATIO (dollars in thousands): Noninterest Expense (GAAP) 96,289$ 92,902$ 93,598$ 96,561$ 99,522$ 388,270$ 379,266$ 382,583$ Less: Intangible Asset Amortization (1,771) (1,526) (1,505) (1,499) (1,498) (8,743) (7,271) (6,028) Less: OREO and Foreclosure Expenses (227) (600) (29) (121) (775) (3,318) (2,076) (1,525) Adjusted Noninterest Expense (non-GAAP) 94,291 90,776 92,064 94,941 97,249 376,209 369,919 375,030 Net Interest Income (GAAP) 134,370 130,270 133,014 133,665 139,064 545,400 521,114 536,013 Plus: Fully Taxable Equivalent Adjustment 5,788 6,127 6,199 6,209 6,185 23,943 23,326 24,720 Net Interest Income on a Fully Taxable Equivalent Basis (non-GAAP) 140,158 136,397 139,213 139,874 145,249 569,343 544,440 560,733 Noninterest Income (GAAP) 42,742 30,048 31,303 32,477 33,106 105,602 125,580 126,934 Less: Investment Securities (Gains) Losses 11,592 7 1 - - 6,930 20,757 8 Adjusted Noninterest Income (non-GAAP) 54,334 30,055 31,304 32,477 33,106 112,532 146,337 126,942 Adjusted Revenue (non-GAAP) 194,492 166,452 170,517 172,351 178,355 681,875 690,777 687,675 Efficiency Ratio (non-GAAP) 48.48% 54.54% 53.99% 55.09% 54.52% 55.17% 53.55% 54.54% Adjusted Noninterest Expense (non-GAAP) 94,291 90,776 92,064 94,941 97,249 376,209 369,919 375,030 Acquisition-related expenses - - - (276) (524) - - (800) Non-core expenses 1,2,3,4,5 (762) - - (633) 743 (12,682) (4,243) 110 Adjusted Noninterest Expense Excluding Non-Core Expenses (non-GAAP) 93,529 90,776 92,064 94,032 97,468 363,527 365,676 374,340 Adjusted Revenue (non-GAAP) 194,492 166,452 170,517 172,351 178,355 681,875 690,777 687,675 Less: Gain on Branch Sale (19,983) - - - - - (19,983) - Adjusted Revenue Excluding Gain on Branch Sale (non-GAAP) 174,509 166,452 170,517 172,351 178,355 681,875 670,794 687,675 Adjusted Efficiency Ratio (non-GAAP) 53.60% 54.54% 53.99% 54.56% 54.65% 53.31% 54.51% 54.44% 1Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 2Non-core expenses in 3Q25 included $0.6 million of severance costs 3Non-core expenses in 4Q24 included $0.8 million of costs directly related to the branch sale 4Non-core expenses in 2024 included $2.4 million from digital platform conversion costs, $1.1 million from the FDIC special assessment, and $0.8 million of costs directly related to the branch sale 5Non-core expenses in 2023 included $6.3 million from early retirement and severance costs, $4.3 million from the FDIC special assessment, and $2.1 million from a lease termination
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Non-GAAP 34 1 Includes net unrealized gains or losses on securities available for sale, net gains or losses on cash flow hedges, and amounts resulting from the application of the applicable accounting guidance for defined benefit and other postretirement plans. CAPITAL RATIOS (dollars in thousands): 4Q23 4Q24 1Q25 2Q25 3Q25 4Q25 Total Risk-Based Capital Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) 2,247,713 2,304,983 2,332,214 2,347,952 2,412,402 2,466,667 Adjust for Accumulated Other Comprehensive Loss 1 175,970 188,685 190,311 189,975 155,864 130,135 Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Add: Qualifying Capital Securities 25,000 25,000 25,000 25,000 25,000 25,000 Less: Disallowed Goodwill and Intangible Assets (731,315) (725,504) (724,275) (723,067) (721,865) (720,688) Less: Disallowed Deferred Tax Assets (131) (571) (573) (473) (418) (97) Total Tier 1 Capital (Regulatory) 1,703,626$ 1,767,468$ 1,797,552$ 1,814,262$ 1,845,858$ 1,875,892$ Qualifying Subordinated Debentures 132,174 72,040 47,380 47,439 47,499 47,559 Allowance for Loan Losses includible in Tier 2 Capital 185,324 190,854 192,814 197,336 200,885 197,837 Total Risk-Based Capital (Regulatory) 2,021,124$ 2,030,362$ 2,037,746$ 2,059,037$ 2,094,242$ 2,121,288$ Net Risk-Weighted Assets (Regulatory) 14,787,474$ 15,249,287$ 15,408,760$ 15,771,275$ 16,059,891$ 15,813,198$ Total Risk-Based Capital Ratio (Regulatory) 13.67% 13.31% 13.22% 13.06% 13.04% 13.41% Common Equity Tier 1 Capital Ratio Total Tier 1 Capital (Regulatory) 1,703,626$ 1,767,468$ 1,797,552$ 1,814,262$ 1,845,858$ 1,875,892$ Less: Qualified Capital Securities (25,000) (25,000) (25,000) (25,000) (25,000) (25,000) Common Equity Tier 1 Capital (Regulatory) 1,678,626$ 1,742,468$ 1,772,552$ 1,789,262$ 1,820,858$ 1,850,892$ Net Risk-Weighted Assets (Regulatory) 14,787,474$ 15,249,287$ 15,408,760$ 15,771,275$ 16,059,891$ 15,813,198$ Common Equity Tier 1 Capital Ratio (Regulatory) 11.35% 11.43% 11.50% 11.35% 11.34% 11.70%
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Non-GAAP 35 TANGIBLE COMMON EQUITY RATIO (dollars in thousands): 4Q23 4Q24 1Q25 2Q25 3Q25 4Q25 Tangible Common Equity Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) 2,247,713$ 2,304,983$ 2,332,214$ 2,347,952$ 2,412,402$ 2,466,667$ Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Intangible Assets (739,101) (731,830) (730,304) (728,799) (727,300) (725,802) Tangible Common Equity (non-GAAP) 1,483,487$ 1,548,028$ 1,576,785$ 1,594,028$ 1,659,977$ 1,715,740$ Total Assets (GAAP) 18,405,887$ 18,311,969$ 18,439,787$ 18,592,777$ 18,811,629$ 19,025,101$ Less: Intangible Assets (739,101) (731,830) (730,304) (728,799) (727,300) (725,802) Tangible Assets (non-GAAP) 17,666,786$ 17,580,139$ 17,709,483$ 17,863,978$ 18,084,329$ 18,299,299$ Tangible Common Equity Ratio (non-GAAP) 8.40% 8.81% 8.90% 8.92% 9.18% 9.38% TANGIBLE COMMON EQUITY PER SHARE (dollars in thousands): 4Q15 4Q16 4Q17 4Q18 4Q19 4Q20 4Q21 Tangible Common Equity Per Share Total Stockholders' Equity (GAAP) 850,509$ 901,657$ 1,303,463$ 1,408,260$ 1,786,437$ 1,875,645$ 1,912,571$ Less: Preferred Stock (125) (125) (125) (125) (125) (125) (125) Less: Intangible Assets (259,764) (258,866) (476,503) (469,784) (578,881) (572,893) (570,860) Tax Benefit 6,278 5,930 6,788 5,017 7,257 5,989 4,875 Tangible Common Equity, Net of Tax (non-GAAP) 596,898$ 648,596$ 833,623$ 943,368$ 1,214,688$ 1,308,616$ 1,346,461$ Common Shares Outstanding 40,664,258 40,912,697 49,158,238 49,349,800 55,368,482 53,922,359 53,410,411 Tangible Common Equity per Share (non-GAAP) 14.68$ 15.85$ 16.96$ 19.12$ 21.94$ 24.27$ 25.21$ 4Q22 4Q23 4Q24 1Q25 2Q25 3Q25 4Q25 Tangible Common Equity Per Share Total Stockholders' Equity (GAAP) 2,034,770$ 2,247,713$ 2,304,983$ 2,332,214$ 2,347,952$ 2,412,402$ 2,466,667$ Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Intangible Assets (747,844) (739,101) (731,830) (730,304) (728,799) (727,300) (725,802) Tax Benefit 7,702 5,819 4,263 3,939 3,614 3,290 2,966 Tangible Common Equity, Net of Tax (non-GAAP) 1,269,503$ 1,489,306$ 1,552,291$ 1,580,724$ 1,597,642$ 1,663,267$ 1,718,706$ Common Shares Outstanding 59,170,583 59,424,122 57,974,535 57,810,232 57,272,433 57,192,497 56,951,939 Tangible Common Equity per Share (non-GAAP) 21.45$ 25.06$ 26.78$ 27.34$ 27.90$ 29.08$ 30.18$
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Non-GAAP 36 2023 4Q24 2024 1Q25 2Q25 3Q25 4Q25 2025 Return on Tangible Common Equity Total Average Stockholders' Equity (GAAP) 2,127,262$ 2,312,270$ 2,252,491$ 2,340,874$ 2,340,010$ 2,367,971$ 2,452,005$ 2,375,500$ Less: Average Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Average Intangible Assets, Net of Tax (736,601) (728,218) (730,295) (726,917) (725,813) (724,619) (723,466) (725,193) Average Tangible Common Equity, Net of Tax (non-GAAP) 1,365,536$ 1,558,927$ 1,497,071$ 1,588,832$ 1,589,072$ 1,618,227$ 1,703,414$ 1,625,182$ Net Income Available to Common Stockholders (GAAP) 221,911$ 63,880$ 199,527$ 54,870$ 56,363$ 56,297$ 56,596$ 224,126$ Plus: Intangible Asset Amortization, Net of Tax 6,906 1,399 5,744 1,206 1,188 1,185 1,183 4,762 Tangible Net Income (non-GAAP) 228,817$ 65,279$ 205,271$ 56,076$ 57,551$ 57,482$ 57,779$ 228,888$ Return on Tangible Common Equity (non-GAAP) 16.76% 16.75% 13.71% 14.12% 14.49% 14.21% 13.57% 14.08% RETURN ON TANGIBLE COMMON EQUITY (dollars in thousands): 2015 2016 2017 2018 2019 2020 2021 2022 Return on Tangible Common Equity Total Average Stockholders' Equity (GAAP) 753,724$ 884,664$ 1,110,524$ 1,343,861$ 1,569,615$ 1,825,135$ 1,866,632$ 1,972,445$ Less: Average Preferred Stock (125) (125) (125) (125) (125) (125) (125) (18,875) Less: Average Intangible Assets, Net of Tax (215,281) (254,332) (360,005) (467,421) (499,622) (569,377) (567,512) (699,803) Average Tangible Common Equity, Net of Tax (non-GAAP) 538,318$ 630,207$ 750,394$ 876,315$ 1,069,868$ 1,255,633$ 1,298,995$ 1,253,767$ Net Income Available to Common Stockholders (GAAP) 65,384$ 81,051$ 96,070$ 159,139$ 164,460$ 148,600$ 205,531$ 220,683$ Plus: Intangible Asset Amortization, Net of Tax 1,720 2,542 3,670 5,307 4,736 4,730 4,540 6,537 Tangible Net Income (non-GAAP) 67,104$ 83,593$ 99,740$ 164,446$ 169,196$ 153,330$ 210,071$ 227,220$ Return on Tangible Common Equity (non-GAAP) 12.47% 13.26% 13.29% 18.77% 15.81% 12.21% 16.17% 18.12%