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RESULTSPRESENTATION
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Certain statements contained herein are “forward-looking statements” within the meaning of the Private Securities Litigation ReformAct of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, asamended. Such forward-looking statements may be identified by reference to a future period or periods, or by the use of forward-looking terminology, such as “may,” “will,” “believe,” “expect,” “estimate,” "project," "intend," “anticipate,” “continue,” or similarterms or variations on those terms, or the negative of those terms. Forward-looking statements are subject to numerous risks anduncertainties, including, but not limited to, those set forth in Item 1A of the Company's Annual Report on Form 10-K, as supplementedby its Quarterly Reports on Form 10-Q, and those related to the economic environment, particularly in the market areas in which theCompany operates, inflation and unemployment, competitive products and pricing, real estate values, fiscal and monetary policies of theU.S. Government, tariffs, changes in accounting policies and practices that may be adopted by the regulatory agencies and theaccounting standards setters, changes in government regulations affecting financial institutions, including regulatory fees and capitalrequirements, changes in prevailing interest rates, potential goodwill impairment, acquisitions and the integration of acquired businesses,credit risk management, asset-liability management, the financial and securities markets and the availability of and costs associated withsources of liquidity.The Company cautions readers not to place undue reliance on any such forward-looking statements which speak only as of the date theyare made. The Company advises readers that the factors listed above could affect the Company's financial performance and could causethe Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to futureperiods in any current statements. The Company does not assume any duty, and does not undertake, to update any forward-lookingstatements to reflect events or circumstances after the date of this statement. Forward Looking Statements 2
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Provident Bank; Building a Premier Banking Franchise Total Assets$25.8BTotal Loans$20.2BTotal Deposits$19.8BPPNR ROAA1.85%ROATCE16.57%Wealth AUM$4.4BQ3 Insurance Rev$5.1MM Company OverviewGeographic Overview•Founded in 1839, longest tenured bank headquartered in New Jersey •135 branches serving New Jersey, eastern Pennsylvania, and Orange, Queens, and Nassau Counties, New York•Full-service commercial & consumer bank•Strong capital, high asset quality, consistent results•Diversified revenue stream from wealth management and insurance•Quality earnings driven by earning asset growth, expanding margin, operational efficiency and strong credit quality•Lakeland merger fully integrated and cost saves fully realized•Continued focus on evolving digital channels and technology infrastructureTCE8.40% (1) See Appendix for a reconciliation of GAAP and non-GAAP financial measures.3
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Q3 2026 Core Financial Highlights$0.65Core Diluted EPS1.30%Core ROAA1.85%Core PPNR ROAA16.57%Core ROATCE(1) See Appendix for a reconciliation of GAAP and non-GAAP financial measures.4 Key MetricsHighlightsExpanding profitability metrics year-over-year, achieving a 1.30% core ROAA and 16.57% core ROATCE.PPNR growth of $10.8 million,or 10.0% compared to the prior year quarter, resulting in a 1.85% core PPNR ROAA which expanded 9 bps compared to the prior year quarter . Growth in record net interest income and non-interest income drove revenues of $239 million, average interest-earning assets increased $341 million, or 5.8% annualizedStrong loan growth activity continued, with total commercial loans increasing 3.4% QoQ annualized and our total loan pipeline remaining strong at $3.03 billion with a weighted average rate approaching 6.50%.Total deposits grew over 5% QoQ annualized, driven primarily by expanding non-interest bearing, core business and municipal balances.Capital ratios remain strong; TBV declined slightly to $16.16 QoQ and grew 6.8% YoY. Approximately 2.2 million shares remained eligible for repurchase.
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Expanding Core Net Interest Margin•Net interest income growth of 7% year-over-year benefitedfrom higher net interest margin and earning assets.•Favorable repricing of maturing loans contributed to corenet interest margin expansion in Q3.•We continue to manage deposit costs as we grow.52.10%2.19%2.10%1.94%1.92%2.02%4.50%4.46%4.02%3.75% 3.75%3.79%0%1%2%3%4%5%2Q25 3Q25 4Q25 1Q26 2Q26 3Q26Deposit Cost vs Fed FundsCost of Total DepositsAvg Fed Funds Rate (Upper Bound)$194 $197 $194 $203 $208 3.43%3.44%3.40%3.48%3.50%2.94%3.01%3.04%3.09%3.16%1.00%1.20%1.40%1.60%1.80%2.00%2.20%2.40%2.60%2.80%3.00%3.20%3.40%3.60% $177 $182 $187 $192 $197 $2023Q25 4Q25 1Q26 2Q26 3Q26Net Interest Income ($mm) and Core MarginNet interest incomeNIMNIM (core)
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Sustained, Diverse Loan Growth 6•The commercial lending team originated $546.6 million of new production in the third quarter of 2026,resulting in 3.3% net commercial annualized loan growth for the quarter . Pay-offs for the third quarter were$268.4 million, which compared to $348.5 million for the same period last year and $342.9 million in theprior quarter .•C&I line utilization was 43.46% as of September 30, 2026, compared to 47.28% in the prior quarter.•Total loan pipeline of $3.03 billion as of September 30, 2026, with a weighted average interest rateapproaching 6.50%, compared to a total loan pipeline of $3.09 billion for the prior quarter .2,870 2,745 3,115 3,173 3,030 884 1,071 664 868 759 1,844 2,006 1,754 1,991 1,801 - 500 1,000 1,500 2,000 2,500 3,000 3,5003Q25 4Q25 1Q26 2Q26 3Q26Pipeline vs Originations($ in millions)PipelineOriginationsLOC($ in millions) 3Q26 2Q26QoQ $ GrowthAnnualized % GrowthC&I loans5,237$ 5,251$ (14)$ -1.06%CRE loans7,605 7,502 103 5.45%Construction loans695 639 56 34.77%Multi-Family loans3,842 3,807 35 3.65%Mortgage Warehouse lines283 314 (31) -39.17%Total Commercial Loans17,662$ 17,513$ 149$ 3.38%Residential Mortgage1,911 1,939 (28) -5.73%Consumer Loans611 607 4 2.61%Total Gross Loans 20,184$ 20,059$ 125$ 2.47%EOP HFI Loans– YoY
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Granular and Relationship Focused Funding Model•The average cost of deposits, including non-interest-bearing deposits, increased 10basis points to 2.02% for the quarter ended September 30, 2026 compared to June30, 2026.•Total core business deposits increased $212.0 million or 13.73% annualized for thequarter ended September 30, 2026.•Wholesale deposits increased $247 million and municipal deposits increased $141million.7*Includes Brokered Deposits and Swap Collateral ($ in millions) 3Q26 2Q26QoQ $ GrowthAnnualized % GrowthNon-interest bearing3,831$ 3,777$ 54$ 5.68%Interest bearing core8,187 8,146 41 1.98%Municipal3,419 3,566 (147) -16.39%CDs3,015 2,688 327 48.30%Wholesale deposits*1,355 1,368 (13) -3.77%Total deposits19,807$ 19,545$ 262 5.31%EOP Deposits by Product– YoY20%19%19%19% 19%42%41%42%42%41%20%21%21%20%18%14%14%14%14%14%4%6%4%5%8%0%10%20%30%40%50%60%70%80%90%100%3Q25 4Q25 1Q26 2Q26 3Q26Average Total Client Deposit MixNon-interest bearingInterest bearing coreMunicipalCDsWholesale deposits
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Emphasis on Growing Fee Income 8•Beacon Trust remains highly focused on growth and retention.•Insurance agency income grew $803,000 this quarter compared to the prior year quarter, due to strong retention and new business activity.•The bank continues to have a strong pipeline for additional SBA loan sales for the remainder of 2026.*Excludes net gains on securities QTDQoQ $ Growth3Q25QoQ $ Growth2Q263Q26($ in thousands)$ (1,050)$ 11,336 $ (1,973)$ 12,259 $ 10,286 Fees476 7,349 308 7,517 7,825 Wealth management803 3,934 (935)5,672 4,737 Insurance3,817 2,662 2,681 3,798 6,479 Bank-owned life insurance(897)1,559 (1,429)2,091 662 Other income(62)512 (495)945 450 Gain on sale of SBA loans$ 3,087 $ 27,352 $ (1,843)$ 32,282 $ 30,439 Total non-int. income*35%24%19%15%5%2%FeesWealth managementInsuranceBank-owned lifeinsuranceOther incomeGain on sale of SBA loansFY26 $94,17539%27%18%9%5%2%FY25 $81,371
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Focus on Sustained Positive Operating Leverage 9•Total non-interest expense increased $21.4 million to $140.7 million for the three months ended September 30, 2026, which was primarily attributable to:•A $17.5 million one-time loss on extinguishment of debt due to the accelerated amortization of purchase accounting adjustments •a $2.2 million QoQ increase related to costs associated with our ongoing core system conversion•We remain focused on driving positive operating leverage, and optimizing our non-interest expense alongside investments for future growth Non-interest expense3Q262Q261Q264Q253Q25($ in thousands)$ 67,958 $ 67,289 $ 66,196 $ 64,316 $ 63,202 Compensation and employee benefits13,160 12,464 14,985 13,078 12,773 Net occupancy expense10,369 9,388 9,646 9,110 9,102 Data processing expense8,563 8,559 8,563 8,578 9,497 Amortization of intangibles3,661 1,508 ---Core systems conversion expense17,501 ----Loss on extinguishment of debt19,469 20,050 17,751 19,608 18,518 Other non-interest expense$ 140,681 $ 119,258 $ 117,141 $ 114,690 $ 113,092 Total non-interest expense51%51%52%50%50%47%47%48%46%46%42%44%46%48%50%52%54%3Q25 4Q25 1Q26 2Q26 3Q26Efficiency RatioEfficiency RatioEfficiency Ratio-excl amort expense
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Maintaining Strong Balance Sheet•Stable insured deposit base, brokered deposits only 6.1% of total deposits as of September 30, 2026•Total insured and collateralized deposits as of 09/30/26, totaled $13.7B or 69.4% of our total deposit portfolio•Strong regulatory capital ratios at bank and holding company, comfortably above well-capitalized ratios•Additional 3Q26 ratios:•399.4% Adjusted CRE Concentration Ratio•26% Construction Concentration Ratio•Payout ratio of 45.0% QTD, inclusive of dividends and buybacks10* TCE Ratio is calculated at holding company level6.5 % well-capitalized5 % well-capitalized$8.8 B available liquid funds and borrowing capacityFHLB, $4.8 BFRB Discount Window, $3.0 BUnencumbered Securities, $0.3 BCash, $0.1 BLiquidity DiversificationFHLBFRB Discount WindowUnencumbered SecuritiesCash 12.5%10.6%13.4%8.40%0.0%2.0%4.0%6.0%8.0%10.0%12.0%14.0%16.0%CET 1 Leverage Total Risk Based TCE Ratio *Well Above Capital Minimums5% well-capitalized6.5 well-capitalized10% well-capitalized
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Managing CRE Concentration Lower 11 ($ in thousands) *Excludes purchase accounting amounts 433.4%432.2%428.6%427.8%425.5%403.0%399.5%398.5%399.7%399.4% $- $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,0003Q25 4Q25 1Q26 2Q26 3Q26Managing CRE ConcentrationLandCREMultifamilyConstruction & Land DevelopmentConstruction 1-4CRE Concentration RatioAdj. CRE Concentration Ratio*
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Consistently Strong Credit Metrics0.97%0.95%0.90%0.92%0.94%Total allowance to total loans0.52%0.40%0.73%0.68%0.69%Total non-performing loans tototal loans0.41%0.32%0.58%0.54%0.55%Total non-performing assets as apercentage of total assets3Q25 2Q26 3Q264Q25 1Q260.11%0.09%0.06%0.04%0.05%Net charge-off ratio•Non-performing loans increased $3.2 million to $140.1 million compared to the prior quarter, while total accruing past-due loansincreased $900,000 to $22.4 million. Within past-due loans, total commercial past-due loan decreased $3.8 million to $2.4 million.•Total net charge-offs of $2.4 million for the quarter represented an annualized 0.05% of loans.12
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Favorable Core Performance Trends (1) See Appendix for a reconciliation of GAAP and non-GAAP financial measures.131.16%1.34%1.29%1.27%1.30%1.05%1.10%1.15%1.20%1.25%1.30%1.35%1.40%3Q25 4Q25 1Q26 2Q26 3Q26Adjusted ROAA (1)(Annualized Core /average assets)1.76%1.78%1.75%1.87%1.85%1.65%1.70%1.75%1.80%1.85%1.90%3Q25 4Q25 1Q26 2Q26 3Q26Core PPNR ROAA (1)(Annualized Core PPNR /average assets)16.01%17.54%16.54%16.18%16.57%15.00%15.50%16.00%16.50%17.00%17.50%18.00%3Q25 4Q25 1Q26 2Q26 3Q26Core ROATCE (1)(Annualized Core net income /average tangible stockholders' equity)
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2026 Guidance•2026: 5-6% annualized loan growth Loans•2026: 5-6% annualized deposit growthDeposits•2026: Balances expected to fluctuate based on loan, deposit and securities cash flowsBorrowings•2026: 3.45-3.50% reported and 1-2 bps of core margin expansion in the 4thquarterNet Interest Margin•Current strong asset quality metrics, provision driven by growth and economic forecast with expected charge-off ratio of 5 to 10 bps for 2026Asset Quality•2026: $29 million in the 4thquarterNon-interest Income•2026: operating expense between $118 and $120 Million* for the 4thquarter, operating expense ratio target ~1.85% and efficiency ratio ~50.0%Non-interest Expense14* This excludes non-recurring systems conversion costs.
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APPENDIX15
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Net Interest Margin Analysis3.80%3.89%3.87%3.80%3.99%4.18%6.01%6.09%5.98%5.85%5.90%5.94%5.68%5.76%5.66%5.53%5.61%5.68%2Q25 3Q25 4Q25 1Q26 2Q26 3Q26Asset YieldsSecuritiesNet LoansTotal interest-earning assets2.62%2.67%2.60%2.39%2.37%2.50%3.94%3.96%3.94%3.90%3.91%4.01%2.94%2.96%2.83%2.71% 2.71%2.79%2Q253Q254Q251Q262Q263Q26Interest-Bearing LiabilitiesTotal DepositsTotal BorrowingsTotal Interest-Bearing Liabilities3.36%3.43%3.44%3.40%3.48%3.50%2Q25 3Q25 4Q25 1Q26 2Q26 3Q26Net Interest Margin3.16%3.43%3.52%3.50%2.90%3.00%3.10%3.20%3.30%3.40%3.50%3.60%Core Margin +Loans +Securities -Liabilities16
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Focus on Growing Wealth Management BusinessAdvisory78%Trust & Estate9%Tax10%Private Banking3%$4.4 Billion AUMFor 1,039 family relationships* Represents interest on lines of credit to Beacon clients, whose investment accounts are pledged as collateral.17 145 Provident Bank households are also Beacon clients AVERAGECLIENT SIZE $4,300,000 AVERAGE FEE 70 bpsEBITDA & NET INCOME (in thousands)EBITDA (FQ2026)$ 8,517Net Income (FQ2026)$ 2,9812026 Q3 Total Revenue Advisory18,371,000$ Trust & Estate2,032,000$ Mutual Fund2,349,000$ Interest Income *743,000$ Total 23,495,000$
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Provident Protection Plus, Inc.•Provident Protection Plus, Inc. provides insurance agency services including business, personal and employee benefits insurance products.•The insurance agency’s primary source of revenue is commission income earned from the sale of business and personal property and casualty insurance coverage for its customers with various insurance companies. •The insurance agency places property and casualty, life and health, and other coverage with about 40 different insurance carriers licensed in 43 states.•Insurance agency total revenue grew 20% current quarter versus prior year quarter .$782 $2,878 $1,950 $952 $614 $3,302 $2,080 $1,225 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26Insurance Services Net Income Before Tax($ in thousands) 18
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CRE Type Composition 19 Portfolio Characteristics3.85% of CRE Investment Portfolio10 Largest CRE Loans2.14% of Total Loan Portfolio10 Largest CRE Loans$2.53 MillionAverage Loan Size OutstandingTotal CRE Investment Portfolio = $11.3 Billion**Excludes Purchase Accounting Adjustments and Construction Loans As of 9/30/2026MULTI-FAMILY33.79%RETAIL23.87%INDUSTRIAL19.05%MIXED USE7.75%OFFICE6.57%SPECIAL USE4.44%RESIDENTIAL2.63%HOTEL1.14%LAND0.76%
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CRE Office Composition•Medical Office: approx. 35% of total office portfolio. Maturity or Reprice by Year$52.32026$109.12027$123.92028$60.12029$93.22030$306.62031 AND BEYOND$745.2MTotalNo significant central business district exposure Total CRE Office Portfolio = $745.7 million* *Excludes Purchase Accounting and Construction Loans20NEW JERSEY71%MANHATTAN2%NY NONURBAN3%Other NY Boroughs9%PA10%Out of Market5%
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CRE Investment Portfolio by Property Type*As of 9/30/26($ in thousands) *Excludes Purchase Accounting and Construction Loans21 WARR% OUTSTANDING$ OUTSTANDINGCOUNT PROPERTY TYPE3.5033.79%3,833,660 1,051 MULTI3.4523.87%2,708,143 879 RET3.5919.05%2,160,871 568 INDUS3.647.75%879,297 677 MIXED3.706.57%745,198 394OFF3.654.44%503,265 194 SUP3.672.63%298,357 679 RESID3.811.14%129,383 26 HTL4.210.76%85,813 21 LAND3.55100.00%11,343,9894,489TOTAL PORTFOLIO
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Multi-family Composition (NY and Rent Stabilized sectors)Total NY Multi-family Loans = $642.4 Million *Excludes Purchase Accounting Loans22 Total multi-family loan portfolio: $3.84 Billion•Of the total, 102 Loans on multi-family properties in the five boroughs of NYC, aggregate outstanding $373.1 million, with an average loan size of $3.7 million.Rent stabilized loan portfolio: <0.93% of total loan portfolio •All performing•Largest loan: $40.7 million with 62% LTV and 1.49x DSCRMulti-family balances by origination Year:•NY 2026 loans: $80.4 MM•NY 2025 loans: $140.0 MM•NY 2024 loans: $37.2 MM•NY 2023 loans: $112.4 MM•NY 2022 loans: $93.6 MM•NY 2021 and prior loans: $191.2 MM•All Multi-family 2026 loans: $255.1 MM•All Multi-family 2025 loans: $528.2 MM•All Multi-family 2024 loans: $260.5 MM•All Multi-family 2023 loans: $477.5 MM•All Multi-family 2022 loans: $569.9 MM•All Multi-family 2021 and prior loans: $1.75BOTHER NY BOROUGHS50%OTHER NY STATE42%MANHATTAN8%
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Investment Portfolio 23 Total Investment Portfolio = $3.54 BillionAs of September 30, 2026, the portfolio had a modified duration of 4.2 years and weighted average life of 5.3 yearsAs of September 30, 2026, the allowance for credit losses on held to maturity securities totaled $22,000U.S. Treasury Notes 5%Corporate Notes 3%Agency MBS 40%Agency CMO 31%Non Agency CMBS 6%Municipal Bonds 10%Student Loan Pools 1%Agency CMBS 4%
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Commitment You Can Count On.Guiding Principles Act with Integrity Be Accountable Promote Teamwork Pursue Excellence Build for the FutureOur Pillars.Employee ExperienceCustomer ExperienceGuiding PrinciplesOur Mission.Commit ever day to deepen our emotional connections with our employees, customers, and the communities we serve by placing them at the center of all we do.Our Vision.A consistently high performing bank, committed to creating advocates for life. 24
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Reconciliation of GAAP to Non-GAAP Financial Measures 25 ($ in thousands, except per share data) Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety.Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety. Reconciliation of GAAP to Non-GAAP Financial Measures($ in thousands, except per share data)Annualized Core Return on Average Assets, Equity and Tangible EquityThree Months Ended3Q252Q263Q26$ 71,720 $ 78,147 $ 69,159 Net Income--17,501 Loss on extinguishment of debt-864 -Executive severance expense-1,508 3,661 Core system conversion expense--465 Loss on discontinued operations-(714)(6,508)Less: income tax expense$ 71,720 $ 79,805 $ 84,278 Core net income6,639 5,984 5,986 Add: Amortization of intangibles (net of tax)$ 78,359 $ 85,789 $ 90,264 Core net income, net of intangibles$ 24,518,290 $ 25,297,616 $ 25,646,047 Average assets$ 2,738,414 $ 2,897,547 $ 2,923,086 Average stockholders' equity$ 1,941,625 $ 2,126,974 $ 2,160,972 Average tangible stockholders' equity1.16%1.27%1.30%Core Adjusted ROAA10.39%11.05%11.44%Core Adjusted ROAE16.01%16.18%16.57%Core Adjusted ROATCE
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Reconciliation of GAAP to Non-GAAP Financial Measures 26 ($ in thousands, except per share data) Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety.Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety. Reconciliation of GAAP to Non-GAAP Financial MeasuresCore Pre-provision-net-revenue: 3Q25 4Q25 1Q26 2Q26 3Q26Net Income71,720$ 83,431$ 79,417$ 78,147$ 69,159$ Add: provision for credit losses7,044 (1,213) (2,116) 9,334 5,240 Add: loss on extinguishment of debt- - - - 17,501 Add: Executive severance expense- - - 864 - Add: Core system conversion expense- - - 1,508 3,661 Add: Loss on discontinued operations- - - - 465 Add: income tax expense29,895 28,814 30,754 27,914 23,454 Core PPNR108,659$ 111,032$ 108,055$ 117,767$ 119,480$ Annualized Core PPNR 431,093$ 440,507$ 438,223$ 472,362$ 474,024$ Average assets24,518,290$ 24,775,214$ 25,026,414$ 25,297,616$ 25,646,047$ Core PPNR ROAA 1.76% 1.78% 1.75% 1.87% 1.85%Core PPNR ROAE 15.74% 15.68% 15.25% 16.30% 16.22%Core PPNR ROATCE 22.20% 21.78% 20.93% 22.21% 21.94%Core Return on avg tangible equityNet income71,720$ 83,431$ 79,417$ 78,147$ 69,159$ Add: amort of intangibles, net of tax6,639 5,997 5,986 5,984 5,986 Add: loss on extinguishment of debt- - - - 17,501 Add: Executive severance expense- - - 864 - Add: Core system conversion expense- - - 1,508 3,661 Add: Loss on discontinued operations- - - - 465 Less: income tax expense- - - (714) (6,508) Total adjusted net income (loss)78,359$ 89,428$ 85,403$ 85,789$ 90,264$ Average stockholders' equity2,738,145$ 2,810,166$ 2,873,113$ 2,897,562$ 2,923,086$ Less: avg intangible assets796,789 787,715 779,138 770,573 762,114 Average tangible stockholders' equity1,941,356$ 2,022,451$ 2,093,975$ 2,126,989$ 2,160,972$ ROATCE 16.01% 17.54% 16.54% 16.18% 16.57%Tangible book value per share:Stockholder's equity2,766,766$ 2,833,212$ 2,862,869$ 2,906,985$ 2,864,491$ Less: intangible assets790,729 782,152 773,585 765,019 756,453 Tangible stockholder's equity1,976,037$ 2,051,060$ 2,089,284$ 2,141,966$ 2,108,038$ Shares outstanding130,621,757 130,619,949 130,311,569 130,423,051 130,420,025 Tangible BV per share15.13$ 15.70$ 16.03$ 16.42$ 16.16$
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Reconciliation of GAAP to Non-GAAP Financial Measures 27Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety.Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety. ($ in thousands, except per share data)Annualized Adjusted Non-Interest Expense to Average AssetsThree Months Ended3Q26Reported non-interest expense140,681$ Adjustments to non-interest expense:Loss on extinguishment of debt17,501 Core system conversion expense3,661 Loss on discontinued operations465 Adjusted non-interest expense119,054$ Annualized adjusted non-interest expense472,334$ Average Assets25,646,047 Annualized adjusted non-interest expense/average assets 1.84%Three Months EndedEfficiency Ratio Calculation 3Q26Net Interest income208,008$ Non-interest income30,526 Adjustment to non-interest income:Loss on bond sale(87) Adjusted non-interest income30,439 Total income238,447$ Adjusted non-interest expense119,054$ Efficiency ratio 49.93%Less: Amortization of intangibles expense(8,563)$ Net Interest expense-adjusted 110,491$ Adjusted Efficiency ratio 46.34%
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Reconciliation of GAAP to Non-GAAP Financial Measures 28Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety.Note:The Company has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends inthe Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measuresare frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAPfinancial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company stronglyencourages a review of its consolidated financial statements in their entirety. ($ in thousands, except per share data)Annualized Adjusted Non-Interest Expense to Average AssetsThree Months Ended3Q254Q251Q262Q263Q26$ 113,092 $ 114,690 $ 117,141 $ 119,258 $ 140,681 Reported non-interest expenseAdjustments to non-interest expense:----17,501 Loss on extinguishment of debt---1,508 3,661 Core system conversion expense---864 -Executive severance expense----465 Loss on discontinued operations$ 113,092 $ 114,690 $ 117,141 $ 116,886 $ 119,054 Adjusted non-interest expense$ 448,680 $ 455,019 $ 475,072 $ 468,828 $ 472,334 Annualized adjusted non-interest expense24,518,290 24,775,214 25,026,414 25,297,616 25,646,047 Average Assets1.83%1.84%1.90%1.85%1.84%Annualized adjusted non-interest expense/average assets$ (9,497)$ (8,578)$ (8,563)$ (8,559)$ (8,563)Less Amortization of Intangible expense$ 103,595 $ 106,112 $ 108,578 $ 108,327 $ 110,491 Adjusted non-interest expense less amortization of intangible expense$ 411,002 $ 420,987 $ 440,344 $ 434,498 $ 438,361 Annualized adjusted non-interest expense less amortization of intangible expense$ 23,720,501 $ 23,987,499 $ 24,247,326 $ 24,527,043 $ 24,883,933 Average Assets less amortization of intangible assets1.73%1.76%1.82%1.77%1.76%Annualized adjusted non-interest expense/average assets less intangible assetsThree Months Ended3Q254Q251Q262Q263Q26Efficiency Ratio Calculation$ 194,332 $ 197,411 $ 193,743 $ 202,680 $ 208,008 Net Interest income27,419 28,311 31,453 31,973 30,526 Non-interest incomeAdjustment to non-interest income(67)(690)-309 (87)Net gain on securities transactions27,352 27,621 31,453 32,282 30,439 Adjusted non-interest income$ 221,684 $ 225,032 $ 225,196 $ 234,962 $ 238,447 Total income$ 113,092 $ 114,690 $ 117,141 $ 116,886 $ 119,054 Adjusted non-interest expense51.01%50.97%52.02%49.75%49.93%Efficiency ratio (adjusted non-interest expense/income)$ (9,497)$ (8,578)$ (8,563)$ (8,559)$ (8,563)Less: Amortization of intangible expense$ 103,595 $ 106,112 $ 108,578 $ 108,327 $ 110,491 Adjusted non-interest expense less amortization of intangible expense46.73%47.15%48.21%46.10%46.34%Efficiency ratio (adjusted non-interest expense less amortization expense/income)
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Q3 2026RESULTSPRESENTATION