First Interstate Q3 2026 profit falls 12.9% to $62.2M
Net interest margin reached 3.53%, alongside a $0.47 quarterly dividend and $76.3 million in third-quarter share repurchases.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
First Interstate BancSystem, Inc. reported third-quarter 2026 net income of $62.2 million, down 12.9% year over year from $71.4 million; diluted earnings were $0.65 per share, versus $0.69. Net interest income was $206.2 million, down 0.3% year over year, while net interest margin rose to 3.53% from 3.34%. Second-quarter net income of $83.9 million included a $19.5 million gain from the sale of eleven Nebraska branches.
Deposits were $21,388.5 million as of September 30, down 5.4% year over year; loans held for investment were $13,985.4 million, down 11.7%. Non-performing assets fell 16.5% to $155.0 million, while criticized loans declined 19.3% to $939.5 million. Net charge-offs were $9.9 million, compared with $2.3 million a year earlier.
The board declared a $0.47-per-share dividend, payable November 13 to holders of record November 3. The company repurchased approximately 2.04 million shares for $76.3 million; approximately $103.4 million remained under the $450.0 million authorization as of September 30. Jeff Lee became executive vice president and chief operations officer effective September 14. Preliminary full-year 2026 guidance anticipates reported net interest income of $814-$819 million and may be subject to change.
0 points · 0 major0 major · 1 point
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It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- None.
Negative
- Moderate pointNet income declined 12.9% year over year in third-quarter 2026.
Insights
Analyzing...
8-K Event Classification
4 items: 2.02, 7.01, 8.01, 9.01
4 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 8.01
Other Events
Other
Voluntary disclosure of events the company deems important to shareholders but not covered by other items.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net income: $62.2 million
Diluted earnings per share: $0.65 per diluted share
Net interest income: $206.2 million
+5 more
8 metrics
Net income
$62.2 million
Third quarter 2026; down 12.9% from $71.4 million in third-quarter 2025.
Diluted earnings per share
$0.65 per diluted share
Third quarter 2026; compared with $0.69 per diluted share in third-quarter 2025.
Net interest income
$206.2 million
Third quarter 2026; down 0.3% year over year.
Net interest margin
3.53%
Third quarter 2026; compared with 3.34% in third-quarter 2025.
Total deposits
$21,388.5 million
As of September 30, 2026; down 5.4% from $22,605.0 million as of September 30, 2025.
Non-performing assets
$155.0 million
As of September 30, 2026; down 16.5% year over year.
Third-quarter share repurchases
$76.3 million
Approximately 2.04 million shares repurchased during third-quarter 2026.
Declared dividend
$0.47 per common share
Payable November 13, 2026, to shareholders of record November 3, 2026.
Key Terms
Net interest margin ratio, Criticized loans, Non-performing assets, Net charge-offs, +1 more
5 terms
Net interest margin ratio financial
"Net interest margin ratio was 3.53%"
Net interest margin ratio measures the profit a bank earns from lending and investing by comparing the interest it receives on loans and securities to the interest it pays depositors and other creditors, expressed as a percentage of its interest-earning assets. Investors use it like a shop’s markup: higher margins mean a bank is turning borrowed money into income more efficiently (better profitability and resilience), while lower margins can signal pressure on future earnings or competitive and interest-rate challenges.
Criticized loans financial
"Criticized loans increased slightly by $2.1 million"
Criticized loans are bank loans that examiners or the bank itself have flagged as showing signs of weakness—such as higher risk of late payments, reduced collateral value, or borrower stress—but that are not yet officially defaulted. They matter to investors because a growing pile of such loans can signal deteriorating credit quality and higher future losses for a lender, much like small warning lights on a car dashboard that suggest a problem that, if ignored, could lead to a breakdown.
Non-performing assets financial
"Non-performing assets decreased $10.0 million"
Loans or other credit exposures that are not producing expected income because borrowers have stopped making scheduled payments for a significant period (commonly around 90 days). Think of it like a business lending money that has gone quiet — the cash flow stops while the lender still carries the debt on its books. High levels of non-performing assets matter to investors because they reduce a lender’s earnings, tie up capital that could be used for growth, and signal higher risk of future losses.
Net charge-offs financial
"Net charge-offs increased $0.2 million to $9.9 million"
Net charge-offs are the amount of loans or credit a lender removes from its books as uncollectible after subtracting any money later recovered from previously written-off accounts. Think of it like a store writing off unpaid tabs but getting back a few dollars later — the net figure shows the real loss. Investors watch this to judge a lender’s loan quality, future profits and how much capital may be needed to cover bad debts.
Common equity tier 1 capital ratio financial
"Common equity tier 1 capital ratio decreased 18 basis points"
A bank’s common equity tier 1 (CET1) capital ratio measures the size of its strongest loss-absorbing capital—mainly common shares and retained earnings—relative to the bank’s assets after adjusting those assets for how risky they are (riskier loans count more). Think of it as the safety cushion compared with the weight of risky business; investors use it to judge a bank’s ability to survive losses, meet rules, and sustain dividends or growth.
Earnings Snapshot
Net income: $62.2 million · Guidance included
Third quarter 2026
Net income
$62.2 million
-12.9% year over year
Diluted earnings per share
$0.65 per diluted share
-5.8% year over year
Net interest income
$206.2 million
-0.3% year over year
Net interest margin
3.53%
+19 basis points year over year
Guidance
Preliminary estimates and forward-looking statements may be subject to change. Full-year 2026 reported net interest income of $814-$819 million; noninterest income of $167-$170 million, excluding the $19.5 million Nebraska branch gain; and noninterest expense of $629-$635 million. The outlook assumes one additional rate increase.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were FIBK's third-quarter 2026 earnings?
First Interstate BancSystem reported net income of $62.2 million, or $0.65 per diluted share, for the quarter ended September 30, 2026. In third-quarter 2025, net income was $71.4 million and diluted earnings per share were $0.69. Net interest margin was 3.53% in third-quarter 2026.
When is FIBK's next dividend and who qualifies?
The $0.47-per-share dividend is payable November 13, 2026, to common stockholders of record as of November 3, 2026. The company stated that the dividend equates to a 5.0% annualized yield based on the $37.82 average closing price during third-quarter 2026.
What is FIBK's 2026 noninterest income and expense outlook?
The company anticipates 2026 noninterest income of $167-$170 million, excluding the $19.5 million gain from the Nebraska branch transaction, and noninterest expense of $629-$635 million. The outlook assumes reinvestment in the business, including relationship managers and increased advertising expense, as well as normalization in medical insurance expense; estimates may be subject to change.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
------------------------------
FORM 8-K
------------------------------
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (date of earliest event reported): October 22, 2026
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(Exact name of registrant as specified in its charter)
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| (State or other jurisdiction of incorporation or organization) | (Commission File No.) | (IRS Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (zip code) | |||||||||||||
| (Registrant’s telephone number, including area code) | ||||||||||||||
| Not Applicable | ||||||||||||||
| (Former name or former address, if changed since last report) | ||||||||||||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
* * * * *
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
* * * * *
Item 2.02 Results of Operations and Financial Condition.
On October 22, 2026 , First Interstate BancSystem, Inc. (the “Company”) issued a press release regarding its financial results for the quarter ended September 30, 2026. A copy of the press release is furnished herewith as Exhibit 99.1 and is incorporated by reference herein. Neither the information included or incorporated by reference under this Item 2.02, nor the press release furnished herewith, shall be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933 (the “Securities Act”) or the Exchange Act, except as expressly set forth by specific reference in such filing.
Item 7.01 Regulation FD Disclosure.
On October 22, 2026 , the Company posted a new corporate presentation (the “Presentation”) on the Events & Presentations page of the Company’s website at https://www.fibk.com. The Presentation, which is furnished with this Current Report as Exhibit 99.2 and incorporated herein by reference, updates previously furnished presentations and provides an overview of the Company and its operations. Neither the information included or incorporated by reference under this Item 7.01, nor the Presentation furnished herewith, shall be deemed to be “filed” for purposes of Section 18 of the Exchange Act or incorporated by reference into any filing under the Securities Act or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 8.01 Other Events.
On October 22, 2026 , the Company also announced that the Board of Directors of the Company declared, on October 21, 2026, a dividend of $0.47 per share, that is payable November 13, 2026 to shareholders of record of the Company as of November 3, 2026.
Item 9.01 Financial Statements and Exhibits.
| (d) | Exhibit Number | Description | |||||||||
99.1 | Press Release dated | ||||||||||
99.2 | Presentation | ||||||||||
| 104 | Cover Page Interactive Data File (embedded within Inline XBRL document). | ||||||||||
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: October 22, 2026
| FIRST INTERSTATE BANCSYSTEM, INC. | ||||||||
| By: | /s/ JAMES A. REUTER | |||||||
| James A. Reuter | ||||||||
| President and Chief Executive Officer | ||||||||
Exhibit 99.1
For Immediate Release
First Interstate BancSystem, Inc. Reports Third Quarter Earnings
Billings, MT - October 22, 2026 - First Interstate BancSystem, Inc. (NASDAQ: FIBK) (the “Company”) today reported financial results for the third quarter of 2026. For the quarter, the Company reported net income of $62.2 million, or $0.65 per diluted share, which compares to net income of $83.9 million, or $0.87 per diluted share, for the second quarter of 2026 and net income of $71.4 million, or $0.69 per diluted share, for the third quarter of 2025. The second quarter of 2026 includes a $19.5 million gain related to the sale of the eleven Nebraska branches.
HIGHLIGHTS
•Net interest margin increased to 3.53% for the third quarter of 2026, an 8-basis point increase from the second quarter of 2026 and a 19-basis point increase from the third quarter of 2025.
•Non-performing assets decreased $10.0 million, or 6.1%, to $155.0 million as of September 30, 2026, from $165.0 million as of June 30, 2026 and decreased $30.6 million, or 16.5%, from $185.6 million as of September 30, 2025.
•Criticized loans increased slightly by $2.1 million to $939.5 million as of September 30, 2026, compared to $937.4 million as of June 30, 2026, and decreased $224.6 million, compared to $1,164.1 million as of September 30, 2025.
•Net charge-offs increased $0.2 million to $9.9 million, or an annualized 0.28% of average loans outstanding, as of September 30, 2026, from $9.7 million, or an annualized 0.27% of average loans outstanding, as of June 30, 2026, and increased $7.6 million from $2.3 million, or an annualized 0.06% of average loans outstanding, as of September 30, 2025.
•Total deposits decreased $52.8 million, or 0.2%, to $21,388.5 million as of September 30, 2026, compared to $21,441.3 million as of June 30, 2026, across all interest bearing deposit categories during the third quarter of 2026, which were partially offset by an increase in noninterest bearing deposits. Total deposits decreased $1,216.5 million, or 5.4%, compared to $22,605.0 million as of September 30, 2025, across all deposit categories, primarily driven by the sale of the Arizona and Kansas branches during the fourth quarter of 2025, which included $641.6 million of deposits, as well as the sale of eleven Nebraska branches during the second quarter of 2026, which included $244.2 million of deposits.
•During the third quarter of 2026, the Company repurchased approximately 2.04 million shares of common stock for a total repurchase of $76.3 million. The Company has repurchased approximately 10.02 million shares of its common stock through September 30, 2026 for a total repurchase of $346.6 million since the board of directors authorized the repurchase program in August of 2025. As of September 30, 2026, approximately $103.4 million remained available for future purchases under the $450.0 million authorized since its adoption in August of 2025.
•Common equity tier 1 capital ratio decreased 18 basis points during the third quarter of 2026 to 14.36%, compared to the second quarter of 2026, primarily due to shares repurchased, partially offset by lower risk-weighted assets driven by lower loan balances during the third quarter of 2026.
•Appointed Jeff Lee as the Company’s Executive Vice President and Chief Operations Officer, effective September 14, 2026.
“We are pleased to see meaningful improvement in our net interest margin and an increase in non-interest bearing deposits, as we remain focused on strengthening the quality and earnings power of the franchise,” said James A. Reuter, President and Chief Executive Officer of the Company. “We also continued to execute on our previously announced share repurchase authorization, underscoring our commitment to shareholder returns. Through disciplined capital deployment, operating model optimization, and continued investment in relationship growth, we are building a more efficient organization and remain confident in our ability to deliver improving returns over time.”
DIVIDEND DECLARATION
On October 21, 2026, the Company’s board of directors declared a dividend of $0.47 per common share, payable on November 13, 2026, to common stockholders of record as of November 3, 2026. The dividend equates to a 5.0% annualized yield based on the $37.82 per share average closing price of the Company’s common stock as reported on NASDAQ during the third quarter of 2026.
1
NET INTEREST INCOME
Net interest income increased $4.0 million to $206.2 million during the third quarter of 2026, compared to net interest income of $202.2 million during the second quarter of 2026. Net interest income decreased $0.6 million, or 0.3%, during the third quarter of 2026 compared to the third quarter of 2025. The quarterly increase from the second quarter of 2026 was primarily driven by higher yields on interest earning assets and lower interest expense on time deposits, partially offset by lower interest income due to reduced loan balances and interest earning assets. Year-over-year lower interest earning assets and interest bearing liabilities were partially influenced by the reduction in loans and deposits related to the sale of the Arizona and Kansas branches during the fourth quarter of 2025 and the sale of eleven Nebraska branches during the second quarter of 2026, which resulted in a reduction of net interest income in the third quarter of 2026.
Interest accretion attributable to the fair value of acquired loans, related to prior acquisitions, contributed to net interest income during the third quarter of 2026, the second quarter of 2026, and the third quarter of 2025, in the amounts of $2.4 million, $3.5 million, and $3.5 million, respectively.
Net interest margin ratio was 3.53% for the third quarter of 2026, compared to 3.45% during the second quarter of 2026, and 3.34% during the third quarter of 2025. Net FTE (fully-taxable equivalent) interest margin ratio1 was 3.55% for the third quarter of 2026, compared to 3.48% during the second quarter of 2026, and 3.36% during the third quarter of 2025. Excluding interest accretion from the fair value of acquired loans, the adjusted net FTE interest margin ratio1 was 3.51%, an increase of 9 basis points from the prior quarter, primarily driven by higher yields on interest earning assets and lower rates on interest bearing time deposits, partially offset by lower average loan balances and higher security balances. Excluding interest accretion from the fair value of acquired loans, on a year-over-year basis, the adjusted net FTE interest margin ratio increased 21 basis points, primarily as a result of lower cost of deposits and an improved funding mix, partially offset by lower average loan balances.
PROVISION FOR CREDIT LOSSES
During the third quarter of 2026, the Company recorded a provision for credit losses of $10.5 million. This compares to a reduction of provision for credit losses of $3.2 million during the second quarter of 2026 and no provision during the third quarter of 2025.
For the third quarter of 2026, net loan charge-offs were $9.9 million, or an annualized 0.28% of average loans outstanding, compared to net loan charge-offs of $9.7 million, or an annualized 0.27% of average loans outstanding, for the second quarter of 2026 and net loan charge-offs of $2.3 million, or an annualized 0.06% of average loans outstanding, for the third quarter of 2025. Net loan charge-offs in the third quarter of 2026 were composed of charge-offs of $11.9 million offset by recoveries of $2.0 million. Net loan charge-offs in the second quarter of 2026 were composed of charge-offs of $14.0 million, which were offset by recoveries of $4.3 million. Net loan charge-offs in the third quarter of 2025 were composed of charge-offs of $6.7 million, which were offset by recoveries of $4.4 million.
The Company’s allowance for credit losses as a percentage of period-end loans held for investment was 1.30% at September 30, 2026, compared to 1.28% at June 30, 2026 and 1.30% at September 30, 2025. Coverage of non-performing loans increased to 120.1% at September 30, 2026, compared to 114.1% at June 30, 2026 and 113.0% at September 30, 2025.
NONINTEREST INCOME
| For the Quarter Ended | Sep 30, 2026 | Jun 30, 2026 | $ Change | % Change | Sep 30, 2025 | $ Change | % Change | ||||||||||||||||||||||||||||
| (Dollars in millions) | |||||||||||||||||||||||||||||||||||
| Payment services revenues | $ | 16.7 | $ | 16.8 | $ | (0.1) | (0.6) | % | $ | 16.8 | $ | (0.1) | (0.6) | % | |||||||||||||||||||||
| Mortgage banking revenues | 1.5 | 1.5 | — | — | 1.5 | — | — | ||||||||||||||||||||||||||||
| Wealth management revenues | 11.1 | 10.6 | 0.5 | 4.7 | 10.4 | 0.7 | 6.7 | ||||||||||||||||||||||||||||
| Service charges on deposit accounts | 6.4 | 6.6 | (0.2) | (3.0) | 7.0 | (0.6) | (8.6) | ||||||||||||||||||||||||||||
| Other service charges, commissions, and fees | 2.1 | 1.9 | 0.2 | 10.5 | 2.1 | — | — | ||||||||||||||||||||||||||||
| Other income | 5.5 | 24.3 | (18.8) | (77.4) | 5.9 | (0.4) | (6.8) | ||||||||||||||||||||||||||||
| Total noninterest income | $ | 43.3 | $ | 61.7 | $ | (18.4) | (29.8) | % | $ | 43.7 | $ | (0.4) | (0.9) | % | |||||||||||||||||||||
Noninterest income was $43.3 million for the third quarter of 2026, decreasing $18.4 million compared to the second quarter of 2026 and $0.4 million compared to the third quarter of 2025. The decrease from the second quarter of 2026 was primarily due to the $19.5 million gain recorded in other income related to the sale of the eleven Nebraska branches during the second quarter of 2026.
1 Represents a Non-GAAP financial measure. See “Non-GAAP Financial Measures” and the corresponding table captioned “Non-GAAP Financial Measures” included below for an explanation of the manner in which this measure is calculated and a reconciliation to this measure’s most directly comparable GAAP financial measure.
2
NONINTEREST EXPENSE
| For the Quarter Ended | Sep 30, 2026 | Jun 30, 2026 | $ Change | % Change | Sep 30, 2025 | $ Change | % Change | ||||||||||||||||||||||||||||
| (Dollars in millions) | |||||||||||||||||||||||||||||||||||
| Salaries and wages | $ | 65.9 | $ | 64.9 | $ | 1.0 | 1.5 | % | $ | 66.2 | $ | (0.3) | (0.5) | % | |||||||||||||||||||||
| Employee benefits | 19.5 | 19.0 | 0.5 | 2.6 | 18.2 | 1.3 | 7.1 | ||||||||||||||||||||||||||||
| Occupancy and equipment | 17.8 | 18.0 | (0.2) | (1.1) | 18.5 | (0.7) | (3.8) | ||||||||||||||||||||||||||||
| Other intangible amortization | 3.2 | 3.3 | (0.1) | (3.0) | 3.4 | (0.2) | (5.9) | ||||||||||||||||||||||||||||
| Other expenses | 50.8 | 53.1 | (2.3) | (4.3) | 51.6 | (0.8) | (1.6) | ||||||||||||||||||||||||||||
| Other real estate owned expense, net | (0.1) | 0.6 | (0.7) | NM | — | (0.1) | NM | ||||||||||||||||||||||||||||
| Total noninterest expense | $ | 157.1 | $ | 158.9 | $ | (1.8) | (1.1) | % | $ | 157.9 | $ | (0.8) | (0.5) | % | |||||||||||||||||||||
The Company’s noninterest expense was $157.1 million for the third quarter of 2026, a decrease of $1.8 million from the second quarter of 2026 and $0.8 million from the third quarter of 2025.
Salaries and wages expense increased $1.0 million to $65.9 million during the third quarter of 2026 compared to the second quarter of 2026, primarily due to higher base salary expense. Salaries and wages expense decreased $0.3 million from $66.2 million during the third quarter of 2025.
Employee benefit expenses increased $0.5 million to $19.5 million during the third quarter of 2026, compared to $19.0 million during the second quarter of 2026 and increased $1.3 million from $18.2 million during the third quarter of 2025. The year-over-year increase is primarily due to higher health insurance costs during the third quarter of 2026.
Other expenses decreased $2.3 million during the third quarter of 2026 compared to the second quarter of 2026, primarily due to a decrease of $1.0 million in professional fees, $0.5 million in donations, and various other expense categories. Other expenses decreased $0.8 million during the third quarter of 2026 compared to the third quarter of 2025.
BALANCE SHEET
Total assets decreased $115.4 million, or 0.4%, to $25,769.6 million as of September 30, 2026, from $25,885.0 million as of June 30, 2026, primarily due to a decrease of $296.0 million in loans held for investment as a result of payoffs and paydowns, which was partially offset by an increase in cash and cash equivalents and investment securities. Total assets decreased $1,563.3 million from $27,332.9 million as of September 30, 2025, primarily due to a decrease of $2,152.4 million in loans which were partially driven by the sale of the $291.5 million in loans related to the branch sales in Arizona and Kansas during the fourth quarter of 2025 and $64.1 million in loans from the sale of eleven branches in Nebraska during the second quarter of 2026. The loan declines were partially offset by an increase in investment securities of $739.4 million.
Investment securities increased $59.6 million to $8,045.2 million as of September 30, 2026, from $7,985.6 million as of June 30, 2026, primarily resulting from purchases of investment securities, partially offset by pay-downs, maturities, called securities, and a $147.6 million decrease in fair market values during the third quarter of 2026. Investment securities increased $739.4 million from $7,305.8 million as of September 30, 2025, primarily resulting from purchases of investment securities, partially offset by a $147.3 million decrease in fair market values during the period, pay-downs, maturities, and called securities.
3
The following table presents the composition and comparison of loans held for investment as of the quarters-ended:
| (Dollars in millions) | Sep 30, 2026 | Jun 30, 2026 | $ Change | % Change | Sep 30, 2025 | $ Change | % Change | ||||||||||||||||
| Real Estate: | |||||||||||||||||||||||
| Commercial | $ | 7,876.3 | $ | 7,947.9 | $ | (71.6) | (0.9) | % | $ | 8,496.4 | $ | (620.1) | (7.3) | % | |||||||||
| Construction | 541.7 | 576.1 | (34.4) | (6.0) | 960.8 | (419.1) | (43.6) | ||||||||||||||||
| Residential | 2,007.9 | 2,044.7 | (36.8) | (1.8) | 2,136.0 | (128.1) | (6.0) | ||||||||||||||||
| Agricultural | 553.5 | 592.1 | (38.6) | (6.5) | 623.0 | (69.5) | (11.2) | ||||||||||||||||
| Total real estate | 10,979.4 | 11,160.8 | (181.4) | (1.6) | 12,216.2 | (1,236.8) | (10.1) | ||||||||||||||||
| Consumer: | |||||||||||||||||||||||
| Indirect | 321.3 | 369.0 | (47.7) | (12.9) | 540.3 | (219.0) | (40.5) | ||||||||||||||||
| Direct and advance lines | 123.6 | 125.3 | (1.7) | (1.4) | 134.3 | (10.7) | (8.0) | ||||||||||||||||
| Total consumer | 444.9 | 494.3 | (49.4) | (10.0) | 674.6 | (229.7) | (34.0) | ||||||||||||||||
| Commercial | 2,223.5 | 2,275.6 | (52.1) | (2.3) | 2,447.4 | (223.9) | (9.1) | ||||||||||||||||
| Agricultural | 346.4 | 357.3 | (10.9) | (3.1) | 495.5 | (149.1) | (30.1) | ||||||||||||||||
| Other, including overdrafts | 0.3 | 1.4 | (1.1) | (78.6) | 10.2 | (9.9) | (97.1) | ||||||||||||||||
| Deferred loan fees and costs | (9.1) | (8.0) | (1.1) | 13.8 | (9.5) | 0.4 | (4.2) | ||||||||||||||||
| Loans held for investment, net of deferred loan fees and costs | $ | 13,985.4 | $ | 14,281.4 | $ | (296.0) | (2.1) | % | $ | 15,834.4 | $ | (1,849.0) | (11.7) | % | |||||||||
The quarter-over-quarter decline in loans was impacted by $47.7 million of continued amortization of the indirect portfolio for which the Company stopped originating loans during the first quarter of 2025, and loan payoffs and paydowns.
The ratio of loans held for investment to deposits was 65.4%, as of September 30, 2026, compared to 66.6% as of June 30, 2026 and 70.1% as of September 30, 2025.
Total deposits decreased $52.8 million, or 0.2%, to $21,388.5 million as of September 30, 2026, from $21,441.3 million as of June 30, 2026, across all interest bearing deposit categories during the third quarter of 2026, which were partially offset by an increase in noninterest bearing deposits. Total deposits decreased $1,216.5 million, or 5.4%, compared to $22,605.0 million as of September 30, 2025, across all deposit categories, primarily driven by the sale of the Arizona and Kansas branches during the fourth quarter of 2025 that included $641.6 million of deposits in addition to the $244.2 million of deposits sold with the eleven Nebraska branches in the second quarter of 2026.
Stockholders’ equity decreased $167.6 million, or 5.0%, to $3,155.0 million as of September 30, 2026, from $3,322.6 million as of June 30, 2026 driven by decreases in accumulated other comprehensive income, dividends, and the repurchase of approximately 2.0 million shares of common stock at a weighted-average price of $37.37 per share pursuant to the stock repurchase program, which were partially offset by an increase in retained earnings. Stockholders’ equity decreased $293.7 million, or 8.5%, from $3,448.7 million as of September 30, 2025 driven by decreases in accumulated other comprehensive income, dividends, and the repurchase of approximately 9.2 million shares of common stock at a weighted-average price of $34.78 per share pursuant to the stock repurchase program, which were partially offset by an increase in retained earnings.
The Company is considered to be “well-capitalized” as of September 30, 2026, having exceeded all regulatory capital adequacy requirements. During the third quarter of 2026, the Company paid regular common stock dividends of approximately $45.2 million, or $0.47 per share.
CREDIT QUALITY
As of September 30, 2026, non-performing assets decreased $10.0 million, or 6.1%, to $155.0 million, compared to $165.0 million as of June 30, 2026, primarily as a result of a decrease in non-accrual loans and a decrease of $1.4 million in OREO.
Criticized loans increased $2.1 million, or 0.2%, to $939.5 million as of September 30, 2026, from $937.4 million as of June 30, 2026.
4
NON-GAAP FINANCIAL MEASURES
In addition to results presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, this press release contains the following non-GAAP financial measures that management uses to evaluate our performance relative to our capital adequacy standards: (i) tangible common stockholders’ equity; (ii) tangible assets; (iii) tangible book value per common share; (iv) tangible common stockholders’ equity to tangible assets; (v) average tangible common stockholders’ equity; (vi) return on average tangible common stockholders’ equity; (vii) net FTE interest income; (viii) net FTE interest margin ratio; (ix) adjusted net FTE interest income; and (x) adjusted net FTE interest margin ratio. Tangible common stockholders’ equity is calculated as total common stockholders’ equity less goodwill and other intangible assets (excluding mortgage servicing rights). Tangible assets are calculated as total assets less goodwill and other intangible assets (excluding mortgage servicing rights). Tangible book value per common share is calculated as tangible common stockholders’ equity divided by common shares outstanding. Tangible common stockholders’ equity to tangible assets is calculated as tangible common stockholders’ equity divided by tangible assets. Average tangible common stockholders’ equity is calculated as average total stockholders’ equity less average goodwill and other intangible assets (excluding mortgage servicing rights). Return on average tangible common stockholders’ equity is calculated as annualized net income available to common shareholders divided by average tangible common stockholders’ equity. Net FTE interest income is calculated as net interest income, adjusted to include its FTE interest income. Net FTE interest margin ratio is calculated as net FTE interest income divided by average interest earning assets. Adjusted net FTE interest income is calculated as net FTE interest income less purchase accounting interest accretion on acquired loans. Adjusted net FTE interest margin ratio is calculated as annualized adjusted net FTE interest income divided by average interest earning assets. These non-GAAP financial measures may not be comparable to similarly titled measures reported by other companies because other companies may not calculate these non-GAAP measures in the same manner. They also should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP.
The Company adjusts the most directly comparable capital adequacy GAAP financial measures to the non-GAAP financial measures described in subclauses (i) through (vi) above to exclude goodwill and other intangible assets (except mortgage servicing rights), adjusts its GAAP net interest income to include fully taxable equivalent adjustments and further adjusts its net interest income on a fully taxable equivalent basis to exclude purchase accounting interest accretion. Management believes these non-GAAP financial measures, which are intended to complement the capital ratios defined by banking regulators and to present on a consistent basis our and our acquired companies’ organic continuing operations without regard to acquisition costs and other adjustments that we consider to be unpredictable and dependent on a significant number of factors that are outside our control, are useful to investors in evaluating the Company’s performance because, as a general matter, they either do not represent an actual cash expense and are inconsistent in amount and frequency depending upon the timing and size of our acquisitions (including the size, complexity and/or volume of past acquisitions, which may drive the magnitude of acquisition related costs, but may not be indicative of the size, complexity and/or volume of future acquisitions or related costs), or they cannot be anticipated or estimated in a particular period (in particular as it relates to unexpected recovery amounts). This impacts the ratios that are important to analysts and allows investors to compare certain aspects of the Company’s capitalization to other companies.
See the “Non-GAAP Financial Measures” table included herein and the textual discussion for a reconciliation of the above-described non-GAAP financial measures to their most directly comparable GAAP financial measures.
Cautionary Note Regarding Forward-Looking Statements and Factors that Could Affect Future Results
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, and Rule 3b-6 promulgated thereunder, that involve inherent risks and uncertainties. Any statements about our plans, objectives, expectations, strategies, beliefs, or future performance, financial condition, results of operations, investment portfolio, market position, or events constitute forward-looking statements. Such statements are generally identified by words or phrases such as “believes,” “expects,” “anticipates,” “plans,” “trends,” “objectives,” “continues”, “projected,” as well as the negative forms of those words or similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “may,” as well as the negative forms of those words or similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, assumptions, estimates and other important factors that could cause actual results to differ materially from any results, performance or events expressed or implied by such forward-looking statements. Furthermore, the following factors, among others, may cause actual results to differ materially from current expectations in the forward-looking statements, including those set forth in this press release:
•new or changes in existing governmental regulations or in the way such regulations are interpreted or enforced;
•negative developments in the banking industry and increased regulatory scrutiny;
•tax legislative initiatives or assessments;
•more stringent capital requirements, to the extent they may become applicable to us;
•changes in accounting standards;
•any failure to comply with applicable laws and regulations, including, but not limited to, the Community Reinvestment Act and fair lending laws, the USA PATRIOT ACT of 2001, the Office of Foreign Assets Control guidelines and requirements,
5
the Bank Secrecy Act, and the related Financial Crimes Enforcement Network and Federal Financial Institutions Examination Council Guidelines and regulations;
•federal deposit insurance assessment rate increases;
•lending risks and risks associated with loan portfolio concentrations;
•a decline in economic conditions that could reduce demand for our products and services and negatively impact the credit quality of loans;
•credit losses on loans exceeding estimates;
•potential effects on the U.S. economy resulting from the implementation of governmental policies, including tax regulations and changes to United States trade policies, including the imposition of tariffs and retaliatory tariffs and geopolitical uncertainty;
•the soundness of other financial institutions;
•the ability to meet cash flow needs and availability of financing sources for working capital and other needs;
•a loss of deposits or a change in product mix that increases the Company’s funding costs;
•inability to access funding or to monetize liquid assets;
•changes in interest rates;
•interest rate effect on the value of our investment securities;
•cybersecurity risks, including business disruptions from denial-of-service attacks, network intrusions, business e-mail compromise, and other malicious behavior that could result in the disclosure of confidential information;
•privacy, information security, and data protection laws, rules, and regulations that affect or limit how we collect and use personal information or otherwise have an adverse effect on us;
•the potential impairment of our goodwill and other intangible assets;
•our reliance on third parties that provide key components of our business infrastructure;
•events that may tarnish our reputation;
•mainstream and social media contagion;
•the loss of the services of key members of our management team and directors;
•our ability to attract and retain qualified employees to operate our business;
•costs associated with repossessed properties, including potential environmental remediation;
•the effectiveness of our operational processes, policies and procedures, and internal control over financial reporting;
•our ability to implement technology-facilitated products and services or be successful in marketing these products and services to our clients;
•the development and use of artificial intelligence ("AI");
•risks related to acquisitions, mergers, strategic partnerships, divestitures, and other transactions;
•competition from new or existing financial institutions and non-banks;
•investing in technology;
•incurrence of significant costs related to mergers and related integration activities;
•the volatility in the price and trading volume of our common stock;
•“anti-takeover” provisions in our certificate of incorporation and regulations, which may make it more difficult for a third party to acquire control of us even in circumstances that could be deemed beneficial to stockholders;
•changes in our dividend policy or our ability to pay dividends;
•the possibility that we may fail to realize the anticipated benefits of our stock repurchase program;
•our common stock not being an insured deposit;
•the potential dilutive effect of future equity issuances;
•the subordination of our common stock to our existing and future indebtedness;
•the effect of global conditions, earthquakes, volcanoes, tsunamis, floods, fires, drought, and other natural catastrophic events; and
•the impact of climate change and environmental sustainability matters.
The foregoing factors are not necessarily all of the factors that could cause our actual results, performance, or achievements to differ materially from expectations. Other unknown or unpredictable factors also could harm our results.
All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above and included and described in more detail in our periodic reports filed with the Securities and Exchange Commission, or SEC, under the Securities Exchange Act of 1934, as amended, under the caption “Risk Factors.” Interested parties are urged to read in their entirety such risk factors prior to making any investment decision with respect to the Company. Forward-looking statements speak only as of the date they are made, and we do not undertake or assume any obligation to update publicly any of these statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.
6
Third Quarter 2026 Conference Call for Investors
First Interstate BancSystem, Inc. will host a conference call to discuss the results for the third quarter of 2026 at 9:30 a.m. Eastern Time (7:30 a.m. Mountain Time) on Friday, October 23, 2026. The conference call will be accessible by telephone and through the Internet. Participants may join the call by dialing 1-833-461-5787; the access code is 160448756. To participate via the Internet, visit www.FIBK.com. The webcast call will be recorded and made available for replay on October 23, 2026, after 1:30 p.m. Eastern Time (11:30 a.m. Mountain Time), through October 22, 2027, prior to 9:00 a.m. Eastern Time (7:00 a.m. Mountain Time), by visiting http://events.q4inc.com/attendee/160448756. The call will also be archived on our website, www.FIBK.com, for one year.
About First Interstate BancSystem, Inc.
First Interstate BancSystem, Inc. is a financial and bank holding company focused on community banking. Incorporated in 1971 and headquartered in Billings, Montana, the Company operates banking offices, including detached drive-up facilities, in communities across Colorado, Idaho, Iowa, Missouri, Montana, Nebraska, Oregon, South Dakota, Washington, and Wyoming, in addition to offering online and mobile banking services. Through our bank subsidiary, First Interstate Bank, the Company delivers a comprehensive range of banking products and services to individuals, businesses, municipalities, and others throughout the Company’s market areas.
| Contact: | David P. Della Camera, CFA | NASDAQ: FIBK | ||||||||||||
| Chief Financial Officer First Interstate BancSystem, Inc. (406) 255-5363 investor.relations@fib.com | www.FIBK.com (FIBK-ER) | |||||||||||||
7
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Consolidated Statements of Income
(Unaudited)
| Quarter Ended | % Change | ||||||||||||||||||||||||||||
| (In millions, except % and per share data) | Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | 3Q26 vs 2Q26 | 3Q26 vs 3Q25 | ||||||||||||||||||||||
| Net interest income | $ | 206.2 | $ | 202.2 | $ | 200.7 | $ | 206.4 | $ | 206.8 | 2.0 | % | (0.3) | % | |||||||||||||||
| Net interest income on a fully-taxable equivalent ("FTE") basis | 207.3 | 203.6 | 202.0 | 207.7 | 208.2 | 1.8 | (0.4) | ||||||||||||||||||||||
| Provision for (reduction of) credit losses | 10.5 | (3.2) | 6.7 | 7.1 | — | NM | NM | ||||||||||||||||||||||
| Noninterest income: | |||||||||||||||||||||||||||||
| Payment services revenues | 16.7 | 16.8 | 15.6 | 16.2 | 16.8 | (0.6) | (0.6) | ||||||||||||||||||||||
| Mortgage banking revenues | 1.5 | 1.5 | 1.3 | 1.1 | 1.5 | — | — | ||||||||||||||||||||||
| Wealth management revenues | 11.1 | 10.6 | 10.5 | 10.7 | 10.4 | 4.7 | 6.7 | ||||||||||||||||||||||
| Service charges on deposit accounts | 6.4 | 6.6 | 6.5 | 6.5 | 7.0 | (3.0) | (8.6) | ||||||||||||||||||||||
| Other service charges, commissions, and fees | 2.1 | 1.9 | 2.1 | 2.3 | 2.1 | 10.5 | — | ||||||||||||||||||||||
| Total fee-based revenues | 37.8 | 37.4 | 36.0 | 36.8 | 37.8 | 1.1 | — | ||||||||||||||||||||||
| Other income | 5.5 | 24.3 | 5.1 | 69.8 | 5.9 | (77.4) | (6.8) | ||||||||||||||||||||||
| Total noninterest income | 43.3 | 61.7 | 41.1 | 106.6 | 43.7 | (29.8) | (0.9) | ||||||||||||||||||||||
| Noninterest expense: | |||||||||||||||||||||||||||||
| Salaries and wages | 65.9 | 64.9 | 68.5 | 74.8 | 66.2 | 1.5 | (0.5) | ||||||||||||||||||||||
| Employee benefits | 19.5 | 19.0 | 21.2 | 18.5 | 18.2 | 2.6 | 7.1 | ||||||||||||||||||||||
| Occupancy and equipment | 17.8 | 18.0 | 18.6 | 19.6 | 18.5 | (1.1) | (3.8) | ||||||||||||||||||||||
| Other intangible amortization | 3.2 | 3.3 | 3.3 | 3.4 | 3.4 | (3.0) | (5.9) | ||||||||||||||||||||||
| Other expenses | 50.8 | 53.1 | 47.1 | 50.4 | 51.6 | (4.3) | (1.6) | ||||||||||||||||||||||
| Other real estate owned expense, net | (0.1) | 0.6 | (1.1) | — | — | NM | NM | ||||||||||||||||||||||
| Total noninterest expense | 157.1 | 158.9 | 157.6 | 166.7 | 157.9 | (1.1) | (0.5) | ||||||||||||||||||||||
| Income before income tax | 81.9 | 108.2 | 77.5 | 139.2 | 92.6 | (24.3) | (11.6) | ||||||||||||||||||||||
| Provision for income tax | 19.7 | 24.3 | 17.3 | 30.4 | 21.2 | (18.9) | (7.1) | ||||||||||||||||||||||
| Net income | $ | 62.2 | $ | 83.9 | $ | 60.2 | $ | 108.8 | $ | 71.4 | (25.9) | % | (12.9) | % | |||||||||||||||
| Weighted-average basic shares outstanding | 94,805 | 96,583 | 98,881 | 100,791 | 103,154 | (1.8) | % | (8.1) | % | ||||||||||||||||||||
| Weighted-average diluted shares outstanding | 95,092 | 96,786 | 99,241 | 101,096 | 103,387 | (1.8) | (8.0) | ||||||||||||||||||||||
| Earnings per share - basic | $ | 0.66 | $ | 0.87 | $ | 0.61 | $ | 1.08 | $ | 0.69 | (24.1) | (4.3) | |||||||||||||||||
| Earnings per share - diluted | 0.65 | 0.87 | 0.61 | 1.08 | 0.69 | (25.3) | (5.8) | ||||||||||||||||||||||
| NM - not meaningful | |||||||||||||||||||||||||||||
8
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Consolidated Balance Sheets
(Unaudited)
| % Change | ||||||||||||||||||||||||||
| (In millions, except % and per share data) | Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | 3Q26 vs 2Q26 | 3Q26 vs 3Q25 | |||||||||||||||||||
| Assets: | ||||||||||||||||||||||||||
| Cash and due from banks | $ | 337.4 | $ | 344.2 | $ | 321.7 | $ | 358.2 | $ | 382.7 | (2.0) | % | (11.8) | % | ||||||||||||
| Interest bearing deposits in banks | 915.2 | 822.8 | 886.9 | 951.4 | 1,066.4 | 11.2 | (14.2) | |||||||||||||||||||
| Federal funds sold | — | 0.1 | 0.1 | 0.1 | 0.1 | — | — | |||||||||||||||||||
| Cash and cash equivalents | 1,252.6 | 1,167.1 | 1,208.7 | 1,309.7 | 1,449.2 | 7.3 | (13.6) | |||||||||||||||||||
| Investment securities, net | 8,045.2 | 7,985.6 | 8,010.0 | 7,630.2 | 7,305.8 | 0.7 | 10.1 | |||||||||||||||||||
| Investment in Federal Home Loan Bank and Federal Reserve Bank stock | 106.3 | 106.3 | 106.3 | 106.3 | 106.8 | — | (0.5) | |||||||||||||||||||
| Loans held for sale, at fair value | 2.2 | 2.1 | 70.8 | 73.6 | 305.6 | 4.8 | (99.3) | |||||||||||||||||||
| Loans held for investment | 13,985.4 | 14,281.4 | 14,728.4 | 15,201.6 | 15,834.4 | (2.1) | (11.7) | |||||||||||||||||||
| Allowance for credit losses | (181.4) | (182.2) | (195.8) | (191.4) | (205.8) | (0.4) | (11.9) | |||||||||||||||||||
| Net loans held for investment | 13,804.0 | 14,099.2 | 14,532.6 | 15,010.2 | 15,628.6 | (2.1) | (11.7) | |||||||||||||||||||
| Goodwill and intangible assets (excluding mortgage servicing rights) | 1,172.2 | 1,175.6 | 1,178.9 | 1,182.2 | 1,185.5 | (0.3) | (1.1) | |||||||||||||||||||
| Company-owned life insurance | 530.2 | 528.1 | 524.6 | 523.0 | 520.2 | 0.4 | 1.9 | |||||||||||||||||||
| Premises and equipment | 405.7 | 412.8 | 403.1 | 406.6 | 415.1 | (1.7) | (2.3) | |||||||||||||||||||
| Other real estate owned | 3.9 | 5.3 | 6.6 | 3.4 | 3.4 | (26.4) | 14.7 | |||||||||||||||||||
| Mortgage servicing rights | 21.5 | 22.0 | 22.5 | 23.1 | 23.8 | (2.3) | (9.7) | |||||||||||||||||||
| Other assets | 425.8 | 380.9 | 362.7 | 372.3 | 388.9 | 11.8 | 9.5 | |||||||||||||||||||
| Total assets | $ | 25,769.6 | $ | 25,885.0 | $ | 26,426.8 | $ | 26,640.6 | $ | 27,332.9 | (0.4) | (5.7) | ||||||||||||||
| Liabilities and stockholders' equity: | ||||||||||||||||||||||||||
| Deposits | $ | 21,388.5 | $ | 21,441.3 | $ | 21,883.0 | $ | 22,088.3 | $ | 22,605.0 | (0.2) | % | (5.4) | % | ||||||||||||
| Securities sold under repurchase agreements | 484.2 | 455.2 | 476.1 | 479.6 | 485.2 | 6.4 | (0.2) | |||||||||||||||||||
| Long-term debt | 146.8 | 146.8 | 146.7 | 146.3 | 146.2 | — | 0.4 | |||||||||||||||||||
| Subordinated debentures held by subsidiary trusts | 149.9 | 149.9 | 149.9 | 149.8 | 163.1 | — | (8.1) | |||||||||||||||||||
| Other liabilities | 445.2 | 369.2 | 412.6 | 329.6 | 484.7 | 20.6 | (8.1) | |||||||||||||||||||
| Total liabilities | 22,614.6 | 22,562.4 | 23,068.3 | 23,193.6 | 23,884.2 | 0.2 | (5.3) | |||||||||||||||||||
| Stockholders' equity: | ||||||||||||||||||||||||||
| Common stock | 2,125.5 | 2,199.5 | 2,265.5 | 2,350.9 | 2,439.3 | (3.4) | (12.9) | |||||||||||||||||||
| Retained earnings | 1,343.6 | 1,326.6 | 1,288.7 | 1,274.2 | 1,213.5 | 1.3 | 10.7 | |||||||||||||||||||
| Accumulated other comprehensive loss | (314.1) | (203.5) | (195.7) | (178.1) | (204.1) | 54.3 | 53.9 | |||||||||||||||||||
| Total stockholders' equity | 3,155.0 | 3,322.6 | 3,358.5 | 3,447.0 | 3,448.7 | (5.0) | (8.5) | |||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 25,769.6 | $ | 25,885.0 | $ | 26,426.8 | $ | 26,640.6 | $ | 27,332.9 | (0.4) | (5.7) | ||||||||||||||
| Common shares outstanding at period end | 93,515 | 95,548 | 97,446 | 101,106 | 103,967 | (2.1) | % | (10.1) | % | |||||||||||||||||
| Book value per common share at period end | $ | 33.74 | $ | 34.77 | $ | 34.47 | $ | 34.09 | $ | 33.17 | (3.0) | 1.7 | ||||||||||||||
| Tangible book value per common share at period end** | 21.20 | 22.47 | 22.37 | 22.40 | 21.77 | (5.7) | (2.6) | |||||||||||||||||||
| **Non-GAAP financial measure - see “Non-GAAP Financial Measures” included herein for a reconciliation of book value per common share (GAAP) at period end to tangible book value per common share (non-GAAP) at period end. | ||||||||||||||||||||||||||
| NM - not meaningful | ||||||||||||||||||||||||||
9
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Loans and Deposits
(Unaudited)
| % Change | ||||||||||||||||||||||||||
| (In millions, except %) | Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | 3Q26 vs 2Q26 | 3Q26 vs 3Q25 | |||||||||||||||||||
| Loans held for investment: | ||||||||||||||||||||||||||
| Real Estate: | ||||||||||||||||||||||||||
| Commercial | $ | 7,876.3 | $ | 7,947.9 | $ | 8,040.5 | $ | 8,144.4 | $ | 8,496.4 | (0.9) | % | (7.3) | % | ||||||||||||
| Construction | 541.7 | 576.1 | 669.1 | 837.2 | 960.8 | (6.0) | (43.6) | |||||||||||||||||||
| Residential | 2,007.9 | 2,044.7 | 2,084.3 | 2,108.8 | 2,136.0 | (1.8) | (6.0) | |||||||||||||||||||
| Agricultural | 553.5 | 592.1 | 619.2 | 629.0 | 623.0 | (6.5) | (11.2) | |||||||||||||||||||
| Total real estate | 10,979.4 | 11,160.8 | 11,413.1 | 11,719.4 | 12,216.2 | (1.6) | (10.1) | |||||||||||||||||||
| Consumer: | ||||||||||||||||||||||||||
| Indirect | 321.3 | 369.0 | 419.4 | 477.5 | 540.3 | (12.9) | (40.5) | |||||||||||||||||||
| Direct | 123.6 | 125.3 | 128.0 | 131.5 | 134.3 | (1.4) | (8.0) | |||||||||||||||||||
| Total consumer | 444.9 | 494.3 | 547.4 | 609.0 | 674.6 | (10.0) | (34.0) | |||||||||||||||||||
| Commercial | 2,223.5 | 2,275.6 | 2,342.9 | 2,359.6 | 2,447.4 | (2.3) | (9.1) | |||||||||||||||||||
| Agricultural | 346.4 | 357.3 | 426.8 | 520.2 | 495.5 | (3.1) | (30.1) | |||||||||||||||||||
| Other | 0.3 | 1.4 | 5.8 | 1.7 | 10.2 | (78.6) | (97.1) | |||||||||||||||||||
| Deferred loan fees and costs | (9.1) | (8.0) | (7.6) | (8.3) | (9.5) | 13.8 | (4.2) | |||||||||||||||||||
| Loans held for investment | $ | 13,985.4 | $ | 14,281.4 | $ | 14,728.4 | $ | 15,201.6 | $ | 15,834.4 | (2.1) | (11.7) | ||||||||||||||
| Deposits: | ||||||||||||||||||||||||||
| Noninterest bearing | $ | 5,446.4 | $ | 5,312.0 | $ | 5,229.0 | $ | 5,286.8 | $ | 5,555.7 | 2.5 | % | (2.0) | % | ||||||||||||
| Interest bearing: | ||||||||||||||||||||||||||
| Demand | 6,112.0 | 6,143.7 | 6,257.3 | 6,319.7 | 6,324.7 | (0.5) | (3.4) | |||||||||||||||||||
| Savings | 7,701.2 | 7,785.4 | 7,961.7 | 7,843.5 | 7,954.0 | (1.1) | (3.2) | |||||||||||||||||||
| Time, $250 thousand and over | 584.7 | 612.7 | 694.7 | 792.9 | 851.1 | (4.6) | (31.3) | |||||||||||||||||||
| Time, other | 1,544.2 | 1,587.5 | 1,740.3 | 1,845.4 | 1,919.5 | (2.7) | (19.6) | |||||||||||||||||||
| Total interest bearing | 15,942.1 | 16,129.3 | 16,654.0 | 16,801.5 | 17,049.3 | (1.2) | (6.5) | |||||||||||||||||||
| Total deposits | $ | 21,388.5 | $ | 21,441.3 | $ | 21,883.0 | $ | 22,088.3 | $ | 22,605.0 | (0.2) | (5.4) | ||||||||||||||
Total core deposits (1) | $ | 20,803.8 | $ | 20,828.6 | $ | 21,188.3 | $ | 21,295.4 | $ | 21,753.9 | (0.1) | % | (4.4) | % | ||||||||||||
(1) Core deposits are defined as total deposits less time deposits, $250 thousand and over, and brokered deposits. | ||||||||||||||||||||||||||
10
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Credit Quality
(Unaudited)
| % Change | ||||||||||||||||||||||||||
| (In millions, except %) | Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | 3Q26 vs 2Q26 | 3Q26 vs 3Q25 | |||||||||||||||||||
| Allowance for Credit Losses: | ||||||||||||||||||||||||||
| Allowance for credit losses | $ | 181.4 | $ | 182.2 | $ | 195.8 | $ | 191.4 | $ | 205.8 | (0.4) | % | (11.9) | % | ||||||||||||
| As a percentage of loans held for investment | 1.30 | % | 1.28 | % | 1.33 | % | 1.26 | % | 1.30 | % | ||||||||||||||||
| As a percentage of non-accrual loans | 120.85 | 115.03 | 126.49 | 143.37 | 113.33 | |||||||||||||||||||||
| Net loan charge-offs during quarter | $ | 9.9 | $ | 9.7 | $ | 2.4 | $ | 22.1 | $ | 2.3 | 2.1 | % | NM | |||||||||||||
| Annualized as a percentage of average loans | 0.28 | % | 0.27 | % | 0.06 | % | 0.56 | % | 0.06 | % | ||||||||||||||||
| Non-Performing Assets: | ||||||||||||||||||||||||||
| Non-accrual loans | $ | 150.1 | $ | 158.4 | $ | 154.8 | $ | 133.5 | $ | 181.6 | (5.2) | % | (17.3) | % | ||||||||||||
| Accruing loans past due 90 days or more | 1.0 | 1.3 | 1.1 | 1.4 | 0.6 | (23.1) | 66.7 | |||||||||||||||||||
| Total non-performing loans | 151.1 | 159.7 | 155.9 | 134.9 | 182.2 | (5.4) | (17.1) | |||||||||||||||||||
| Other real estate owned | 3.9 | 5.3 | 6.6 | 3.4 | 3.4 | (26.4) | 14.7 | |||||||||||||||||||
| Total non-performing assets | $ | 155.0 | $ | 165.0 | $ | 162.5 | $ | 138.3 | $ | 185.6 | (6.1) | % | (16.5) | % | ||||||||||||
| Non-performing assets as a percentage of: | ||||||||||||||||||||||||||
| Loans held for investment and OREO | 1.11 | % | 1.15 | % | 1.10 | % | 0.91 | % | 1.17 | % | ||||||||||||||||
| Total assets | 0.60 | 0.64 | 0.61 | 0.52 | 0.68 | |||||||||||||||||||||
| Non-accrual loans to loans held for investment | 1.07 | 1.11 | 1.05 | 0.88 | 1.15 | |||||||||||||||||||||
| Allowance for credit losses coverage of non-performing loans | 120.05 | 114.09 | 125.59 | 141.88 | 112.95 | |||||||||||||||||||||
| Accruing Loans 30-89 Days Past Due | $ | 36.2 | $ | 24.3 | $ | 71.9 | $ | 82.7 | $ | 28.5 | 49.0 | % | 27.0 | % | ||||||||||||
| Criticized Loans: | ||||||||||||||||||||||||||
| Special Mention | $ | 412.2 | $ | 421.0 | $ | 544.1 | $ | 566.3 | $ | 697.5 | (2.1) | % | (40.9) | % | ||||||||||||
| Substandard | 466.8 | 445.5 | 421.1 | 441.4 | 416.9 | 4.8 | 12.0 | |||||||||||||||||||
| Doubtful | 60.5 | 70.9 | 68.0 | 44.1 | 49.7 | (14.7) | 21.7 | |||||||||||||||||||
| Total | $ | 939.5 | $ | 937.4 | $ | 1,033.2 | $ | 1,051.8 | $ | 1,164.1 | 0.2 | % | (19.3) | % | ||||||||||||
11
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Selected Ratios - Annualized
(Unaudited)
| At or for the Quarter ended: | ||||||||||||||||||||||||||||||||
| Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | ||||||||||||||||||||||||||||
| Annualized Financial Ratios (GAAP) | ||||||||||||||||||||||||||||||||
| Return on average assets | 0.96 | % | 1.29 | % | 0.92 | % | 1.60 | % | 1.04 | % | ||||||||||||||||||||||
| Return on average common stockholders' equity | 7.54 | 10.02 | 7.08 | 12.40 | 8.22 | |||||||||||||||||||||||||||
| Yield on average earning assets | 4.68 | 4.65 | 4.63 | 4.67 | 4.73 | |||||||||||||||||||||||||||
| Cost of average interest bearing liabilities | 1.57 | 1.60 | 1.64 | 1.77 | 1.90 | |||||||||||||||||||||||||||
| Interest rate spread | 3.11 | 3.05 | 2.99 | 2.90 | 2.83 | |||||||||||||||||||||||||||
| Efficiency ratio | 61.68 | 58.96 | 63.81 | 52.17 | 61.68 | |||||||||||||||||||||||||||
| Loans held for investment to deposit ratio | 65.39 | 66.61 | 67.31 | 68.82 | 70.05 | |||||||||||||||||||||||||||
| Annualized Financial Ratios - Operating** (Non-GAAP) | ||||||||||||||||||||||||||||||||
| Net FTE interest margin ratio | 3.55 | % | 3.48 | % | 3.43 | % | 3.38 | % | 3.36 | % | ||||||||||||||||||||||
| Tangible book value per common share | $ | 21.20 | $ | 22.47 | $ | 22.37 | $ | 22.40 | $ | 21.77 | ||||||||||||||||||||||
| Tangible common stockholders' equity to tangible assets | 8.06 | % | 8.69 | % | 8.63 | % | 8.90 | % | 8.66 | % | ||||||||||||||||||||||
| Return on average tangible common stockholders' equity | 11.75 | 15.43 | 10.77 | 18.79 | 12.53 | |||||||||||||||||||||||||||
| Consolidated Capital Ratios | ||||||||||||||||||||||||||||||||
| Total risk-based capital to total risk-weighted assets | 17.16 | % | * | 17.30 | % | 17.07 | % | 17.06 | % | 16.62 | % | |||||||||||||||||||||
| Tier 1 risk-based capital to total risk-weighted assets | 14.36 | * | 14.54 | 14.30 | 14.38 | 13.90 | ||||||||||||||||||||||||||
| Tier 1 common capital to total risk-weighted assets | 14.36 | * | 14.54 | 14.30 | 14.38 | 13.90 | ||||||||||||||||||||||||||
| Leverage Ratio | 9.49 | * | 9.59 | 9.56 | 9.61 | 9.60 | ||||||||||||||||||||||||||
| *Preliminary estimate - may be subject to change. | ||||||||||||||||||||||||||||||||
| **Non-GAAP financial measures - see “Non-GAAP Financial Measures” included herein for a reconciliation of net interest margin (GAAP) to net FTE interest margin ratio (non-GAAP), book value per common share (GAAP) to tangible book value per common share (non-GAAP), average common stockholders’ equity to average assets (GAAP) to tangible common stockholders’ equity to tangible assets (non-GAAP), and return on average common stockholders’ equity (GAAP) to return on average tangible common stockholders’ equity. | ||||||||||||||||||||||||||||||||
12
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Average Balance Sheets
(Unaudited)
| Three Months Ended | |||||||||||||||||||||||||||||||||||
| September 30, 2026 | June 30, 2026 | September 30, 2025 | |||||||||||||||||||||||||||||||||
| (In millions, except %) | Average Balance | Interest(3) | Average Rate | Average Balance | Interest(3) | Average Rate | Average Balance | Interest(3) | Average Rate | ||||||||||||||||||||||||||
| Interest earning assets: | |||||||||||||||||||||||||||||||||||
Loans (1) | $ | 14,165.6 | $ | 202.3 | 5.67 | % | $ | 14,524.6 | $ | 203.5 | 5.62 | % | $ | 16,419.0 | $ | 235.0 | 5.68 | % | |||||||||||||||||
| Investment securities | |||||||||||||||||||||||||||||||||||
Taxable (2) | 7,879.4 | 61.0 | 3.07 | 7,873.5 | 58.8 | 3.00 | 7,144.7 | 47.8 | 2.65 | ||||||||||||||||||||||||||
| Tax-exempt | 173.8 | 0.7 | 1.60 | 175.1 | 0.9 | 2.06 | 180.0 | 0.9 | 1.98 | ||||||||||||||||||||||||||
| Investment in FHLB and FRB stock | 106.3 | 1.4 | 5.23 | 106.5 | 1.3 | 4.90 | 107.9 | 1.3 | 4.78 | ||||||||||||||||||||||||||
| Interest bearing deposits in banks | 857.3 | 8.2 | 3.79 | 805.1 | 7.5 | 3.74 | 737.8 | 8.4 | 4.52 | ||||||||||||||||||||||||||
| Federal funds sold | — | — | — | 0.1 | — | — | 0.1 | — | — | ||||||||||||||||||||||||||
| Total interest earning assets | $ | 23,182.4 | $ | 273.6 | 4.68 | % | $ | 23,484.9 | $ | 272.0 | 4.65 | % | $ | 24,589.5 | $ | 293.4 | 4.73 | % | |||||||||||||||||
| Noninterest earning assets | 2,642.2 | 2,622.5 | 2,702.9 | ||||||||||||||||||||||||||||||||
| Total assets | $ | 25,824.6 | $ | 26,107.4 | $ | 27,292.4 | |||||||||||||||||||||||||||||
| Interest bearing liabilities: | |||||||||||||||||||||||||||||||||||
| Demand deposits | $ | 6,152.3 | $ | 13.3 | 0.86 | % | $ | 6,252.5 | $ | 14.0 | 0.90 | % | $ | 6,326.4 | $ | 15.7 | 0.98 | % | |||||||||||||||||
| Savings deposits | 7,685.7 | 32.7 | 1.69 | 7,789.8 | 32.9 | 1.69 | 7,841.2 | 37.8 | 1.91 | ||||||||||||||||||||||||||
| Time deposits | 2,164.8 | 14.2 | 2.60 | 2,302.4 | 15.6 | 2.72 | 2,782.1 | 23.4 | 3.34 | ||||||||||||||||||||||||||
| Repurchase agreements | 476.1 | 1.0 | 0.83 | 460.1 | 0.9 | 0.78 | 490.8 | 1.2 | 0.97 | ||||||||||||||||||||||||||
| Other borrowed funds | — | — | — | 4.0 | — | NM | 23.0 | 0.4 | 6.90 | ||||||||||||||||||||||||||
| Long-term debt | 146.8 | 2.6 | 7.03 | 146.8 | 2.6 | 7.10 | 201.1 | 3.8 | 7.50 | ||||||||||||||||||||||||||
| Subordinated debentures held by subsidiary trusts | 149.9 | 2.5 | 6.62 | 149.9 | 2.4 | 6.42 | 163.1 | 2.9 | 7.05 | ||||||||||||||||||||||||||
| Total interest bearing liabilities | $ | 16,775.6 | $ | 66.3 | 1.57 | % | $ | 17,105.5 | $ | 68.4 | 1.60 | % | $ | 17,827.7 | $ | 85.2 | 1.90 | % | |||||||||||||||||
| Noninterest bearing deposits | 5,360.4 | 5,290.5 | 5,548.7 | ||||||||||||||||||||||||||||||||
| Other noninterest bearing liabilities | 414.8 | 353.7 | 468.2 | ||||||||||||||||||||||||||||||||
| Stockholders’ equity | 3,273.8 | 3,357.7 | 3,447.8 | ||||||||||||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 25,824.6 | $ | 26,107.4 | $ | 27,292.4 | |||||||||||||||||||||||||||||
Net FTE interest income (non-GAAP)(4) | $ | 207.3 | $ | 203.6 | $ | 208.2 | |||||||||||||||||||||||||||||
Less FTE adjustments (3) | (1.1) | (1.4) | (1.4) | ||||||||||||||||||||||||||||||||
| Net interest income from consolidated statements of income | $ | 206.2 | $ | 202.2 | $ | 206.8 | |||||||||||||||||||||||||||||
| Interest rate spread | 3.11 | % | 3.05 | % | 2.83 | % | |||||||||||||||||||||||||||||
| Net interest margin | 3.53 | 3.45 | 3.34 | ||||||||||||||||||||||||||||||||
Net FTE interest margin ratio (non-GAAP)(4) | 3.55 | 3.48 | 3.36 | ||||||||||||||||||||||||||||||||
Cost of funds, including noninterest bearing demand deposits (5) | 1.19 | 1.23 | 1.45 | ||||||||||||||||||||||||||||||||
(1) Average loan balances include loans held for sale and loans held for investment, net of deferred fees and costs, which include non-accrual loans. Interest income includes amortization of deferred loan fees net of deferred loan costs, which is not material for the periods presented. | |||||||||||||||||||||||||||||||||||
(2) Includes average balance of unsettled trades on investment securities. | |||||||||||||||||||||||||||||||||||
(3) Management believes fully taxable equivalent, or FTE, interest income is useful to investors in evaluating the Company’s performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts interest income and average rates for tax-exempt loans and securities to an FTE basis utilizing a 21% tax rate. | |||||||||||||||||||||||||||||||||||
(4) Non-GAAP financial measure - see “Non-GAAP Financial Measures” included herein for a reconciliation to GAAP measures. | |||||||||||||||||||||||||||||||||||
(5) Calculated by dividing total annualized interest on interest bearing liabilities by the sum of total interest bearing liabilities plus noninterest bearing deposits. | |||||||||||||||||||||||||||||||||||
13
FIRST INTERSTATE BANCSYSTEM, INC. AND SUBSIDIARIES
Non-GAAP Financial Measures
(Unaudited)
| As of or For the Quarter Ended | ||||||||||||||||||||
| (In millions, except % and per share data) | Sep 30, 2026 | Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | |||||||||||||||
| Total common stockholders' equity (GAAP) | (A) | $ | 3,155.0 | $ | 3,322.6 | $ | 3,358.5 | $ | 3,447.0 | $ | 3,448.7 | |||||||||
| Less goodwill and other intangible assets (excluding mortgage servicing rights) | 1,172.2 | 1,175.6 | 1,178.9 | 1,182.2 | 1,185.5 | |||||||||||||||
| Tangible common stockholders' equity (Non-GAAP) | (B) | $ | 1,982.8 | $ | 2,147.0 | $ | 2,179.6 | $ | 2,264.8 | $ | 2,263.2 | |||||||||
| Total assets (GAAP) | $ | 25,769.6 | $ | 25,885.0 | $ | 26,426.8 | $ | 26,640.6 | $ | 27,332.9 | ||||||||||
| Less goodwill and other intangible assets (excluding mortgage servicing rights) | 1,172.2 | 1,175.6 | 1,178.9 | 1,182.2 | 1,185.5 | |||||||||||||||
| Tangible assets (Non-GAAP) | (C) | $ | 24,597.4 | $ | 24,709.4 | $ | 25,247.9 | $ | 25,458.4 | $ | 26,147.4 | |||||||||
| Average Balances: | ||||||||||||||||||||
| Total common stockholders' equity (GAAP) | (D) | $ | 3,273.8 | $ | 3,357.7 | $ | 3,446.6 | $ | 3,481.3 | $ | 3,447.8 | |||||||||
| Less goodwill and other intangible assets (excluding mortgage servicing rights) | 1,173.8 | 1,177.0 | 1,180.3 | 1,183.7 | 1,187.1 | |||||||||||||||
| Average tangible common stockholders' equity (Non-GAAP) | (E) | $ | 2,100.0 | $ | 2,180.7 | $ | 2,266.3 | $ | 2,297.6 | $ | 2,260.7 | |||||||||
| Net interest income (GAAP) | (F) | $ | 206.2 | $ | 202.2 | $ | 200.7 | $ | 206.4 | $ | 206.8 | |||||||||
| FTE interest income | 1.1 | 1.4 | 1.3 | 1.3 | 1.4 | |||||||||||||||
| Net FTE interest income (Non-GAAP) | (G) | 207.3 | 203.6 | 202.0 | 207.7 | 208.2 | ||||||||||||||
| Less purchase accounting accretion on acquired loans | 2.4 | 3.5 | 3.1 | 2.6 | 3.5 | |||||||||||||||
| Adjusted net FTE interest income (Non-GAAP) | (H) | $ | 204.9 | $ | 200.1 | $ | 198.9 | $ | 205.1 | $ | 204.7 | |||||||||
| Average interest earning assets | (I) | $ | 23,182.4 | $ | 23,484.9 | $ | 23,868.3 | $ | 24,358.2 | $ | 24,589.5 | |||||||||
| Total quarterly average assets | (J) | 25,824.6 | 26,107.4 | 26,481.5 | 27,026.8 | 27,292.4 | ||||||||||||||
| Annualized net income available to common shareholders | (K) | 246.8 | 336.5 | 244.1 | 431.7 | 283.3 | ||||||||||||||
| Common shares outstanding | (L) | 93,515 | 95,548 | 97,446 | 101,106 | 103,967 | ||||||||||||||
| Return on average assets (GAAP) | (K) / (J) | 0.96 | % | 1.29 | % | 0.92 | % | 1.60 | % | 1.04 | % | |||||||||
| Return on average common stockholders' equity (GAAP) | (K) / (D) | 7.54 | 10.02 | 7.08 | 12.40 | 8.22 | ||||||||||||||
| Average common stockholders' equity to average assets (GAAP) | (D) / (J) | 12.68 | 12.86 | 13.02 | 12.88 | 12.63 | ||||||||||||||
| Book value per common share (GAAP) | (A) / (L) | $ | 33.74 | $ | 34.77 | $ | 34.47 | $ | 34.09 | $ | 33.17 | |||||||||
| Tangible book value per common share (Non-GAAP) | (B) / (L) | 21.20 | 22.47 | 22.37 | 22.40 | 21.77 | ||||||||||||||
| Tangible common stockholders' equity to tangible assets (Non-GAAP) | (B) / (C) | 8.06 | % | 8.69 | % | 8.63 | % | 8.90 | % | 8.66 | % | |||||||||
| Return on average tangible common stockholders' equity (Non-GAAP) | (K) / (E) | 11.75 | 15.43 | 10.77 | 18.79 | 12.53 | ||||||||||||||
| Net interest margin (GAAP) | (F*) / (I) | 3.53 | 3.45 | 3.41 | 3.36 | 3.34 | ||||||||||||||
| Net FTE interest margin ratio (Non-GAAP) | (G*) / (I) | 3.55 | 3.48 | 3.43 | 3.38 | 3.36 | ||||||||||||||
| Adjusted net FTE interest margin ratio (Non-GAAP) | (H*) / (I) | 3.51 | 3.42 | 3.38 | 3.34 | 3.30 | ||||||||||||||
| *Annualized | ||||||||||||||||||||
14
Q3 2026 Investor Presentation Exhibit 99.2 October 22, 2026
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder, that involve inherent risks and uncertainties. Any statements about our plans, objectives, expectations, strategies, beliefs, or future performance, financial condition, results of operations, investment portfolio or market position, or events constitute forward-looking statements. Such statements are generally identified by words or phrases such as “believes,” “expects,” “anticipates,” “plans,” “trends,” “objectives,” “continues”, “projected”, as well as the negative forms of those words or similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “seek,” “might,” “may”, as well as the negative forms of those words or similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, assumptions, estimates and other important factors that could cause actual results to differ materially from any results, performance or events expressed or implied by such forward-looking statements. The following factors, among others, may cause actual results to differ materially from current expectations in the forward-looking statements, including those set forth in this presentation: new or changes in existing governmental regulations or in the way such regulations are interpreted or enforced; negative developments in the banking industry and increased regulatory scrutiny; tax legislative initiatives or assessments; more stringent capital requirements, to the extent they may become applicable to us; changes in accounting standards; any failure to comply with applicable laws and regulations, including, but not limited to, the Community Reinvestment Act and fair lending laws, the USA PATRIOT ACT of 2001, the Office of Foreign Assets Control guidelines and requirements, the Bank Secrecy Act, and the related Financial Crimes Enforcement Network and Federal Financial Institutions Examination Council Guidelines and regulations; federal deposit insurance assessment rate increases; lending risks and risks associated with loan portfolio concentrations; a decline in economic conditions that could reduce demand for our products and services and negatively impact the credit quality of loans; credit losses on loans exceeding estimates; potential effects on the U.S. economy resulting from the implementation of governmental policies, including tax regulations and changes to United States trade policies, including the imposition of tariffs and retaliatory tariffs and geopolitical uncertainty; the soundness of other financial institutions; the ability to meet cash flow needs and availability of financing sources for working capital and other needs; a loss of deposits or a change in product mix that increases the Company’s funding costs; inability to access funding or to monetize liquid assets; changes in interest rates; interest rate effect on the value of our investment securities; cybersecurity risks, including business disruptions from denial-of-service attacks, network intrusions, business e-mail compromise, and other malicious behavior that could result in the disclosure of confidential information; privacy, information security, and data protection laws, rules, and regulations that affect or limit how we collect and use personal information or otherwise have an adverse effect on us; the potential impairment of our goodwill and other intangible assets; our reliance on third parties that provide key components of our business infrastructure; events that may tarnish our reputation; mainstream and social media contagion; the loss of the services of key members of our management team and directors; our ability to attract and retain qualified employees to operate our business; costs associated with repossessed properties, including potential environmental remediation; the effectiveness of our operational processes, policies and procedures, and internal control over financial reporting; our ability to implement technology-facilitated products and services or be successful in marketing these products and services to our clients; the development and use of artificial intelligence ("AI"); risks related to acquisitions, mergers, strategic partnerships, divestitures, and other transactions; competition from new or existing financial institutions and non-banks; investing in technology; incurrence of significant costs related to mergers and related integration activities; the volatility in the price and trading volume of our common stock; “anti-takeover” provisions in our certificate of incorporation and regulations, which may make it more difficult for a third party to acquire control of us even in circumstances that could be deemed beneficial to stockholders; changes in our dividend policy or our ability to pay dividends; the possibility that we may fail to realize the anticipated benefits of our stock repurchase program; our common stock not being an insured deposit; the potential dilutive effect of future equity issuances; the subordination of our common stock to our existing and future indebtedness; the effect of global conditions, earthquakes, volcanoes, tsunamis, floods, fires, drought, and other natural catastrophic events; and the impact of climate change and environmental sustainability matters. The foregoing factors are not necessarily all of the factors that could cause our actual results, performance or achievements to differ materially from those expressed in or implied by any of our forward- looking statements. Other unpredictable factors also could harm our results. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above and included in our periodic reports filed with the Securities and Exchange Commission, or SEC, under the Securities Exchange Act of 1934, as amended, under the caption “Risk Factors”. Interested parties are urged to read in their entirety such risk factors prior to making any investment decision with respect to the Company. Forward-looking statements speak only as of the date they are made and we do not undertake or assume any obligation to update publicly any of these statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements. 2
FIRST INTERSTATE BANCSYSTEM, INC. OVERVIEW Premier community banking institution in growing markets throughout the Rocky Mountains, Pacific Northwest, and Midwest Financial Highlights September 30, 2026 Balance Sheet Capital Assets $25.8 Billion Total RBC3*** 17.16% LHFI1 $14.0 Billion CET14*** 14.36% Deposits $21.4 Billion Leverage*** 9.49% ACL2/LHFI 1.30% TCE to TA ratio5**** 8.06% 1Loans held for investment (LHFI) 3Risk-based capital (RBC) 2Allowance for credit losses (ACL) 4Common equity tier-1 (CET1) 5Tangible common stockholders’ equity (TCE) to tangible assets (TA) ratio Corporate Overview September 30, 2026 Headquarters Billings, MT Exchange/Listing NASDAQ: FIBK Market Capitalization* $3.3 Billion Annualized Dividend Yield** 5.0% Branch Network***** 270 banking offices Sub Debt Rating Kroll BBB 3 * Calculated using closing stock price of $35.74 as of September 30, 2026 ** Calculated using average closing stock price of $37.82 for the quarter ended September 30, 2026 *** Preliminary estimates - may be subject to change **** Non-GAAP financial measure - See non-GAAP table in appendix for reconciliation ***** Reflects branch network as of October 22, 2026.
COMPANY HIGHLIGHTS 4
5 2026 GOALS AND FOCUS AREAS 1. IMPROVE CORE PROFITABILITY Favorable multi-year NII trajectory coupled with operational efficiencies ■ Repricing and reinvestment of maturing fixed rate loans and securities ■ Maintain granular, low-cost deposit base ■ Proactive approach to credit risk management ■ Continued focus on efficiency and branch network optimization ■ Banking organization redesign aligning teams around profitable organic expansion 2. FOCUSED CAPITAL INVESTMENT Allocating capital toward enhancing core franchise and deemphasizing peripheral opportunities ■ Shifting focus toward core geographies with dominant market share and / or strong growth potential ■ Ongoing utilization of buybacks as a disciplined capital management tool 3. OPTIMIZATION OF OUR BALANCE SHEET Continued emphasis on relationship banking ■ Ongoing focus on organic customer acquisition ■ Maintain strong liquidity profile ■ Maintain strong capital ratios while deploying excess capital • 10 consecutive quarters of net interest margin expansion (+17bps in adjusted FTE NIM* since the fourth quarter of 2025) • 1.12% cost of deposits as of September 30, 2026 • 2.41% annualized noninterest expense / average assets for the third quarter of 2026 • Completed the sale of 11 Nebraska branches in the second quarter of 2026. • Closed a total of 6 branches in Minnesota, Nebraska and North Dakota in the first quarter of 2026 and 3 additional branches in Iowa, Oregon and Washington in the third quarter of 2026; 3 additional branches expected to close in the fourth quarter of 2026. • Opened a branch in Montana and relocated a branch in Sheridan, Wyoming in 2026. • Since adoption of the $150 million stock repurchase program on August 28, 2025 and the additional authorizations of $150.0 million each on January 27, 2026 and July 22, 2026, repurchased approximately 10.0 million shares of common stock through September 30, 2026 for a total repurchase of approximately $346.6 million. • Loan-to-deposit ratio of 65% in the third quarter of 2026 • CET1 of 14.36% and Leverage Ratio of 9.49% as of September 30, 2026 * Non-GAAP financial measure – see non-GAAP table in the appendix for reconciliation ** Constitutes estimates and forward-looking statement Relationship-based loan and deposit growth Expand market share in markets with existing density and / or growth potential Optimize branch network through opening, closing and relocating branches Enhance profitability Prudently deploy capital ONGOING FOCUS**
6 Average Deposits Per Branch $75.0 $74.7 $77.2 $76.9 $79.2 $79.1 QTD Average Deposits per Branch ($MM) Q225 Q325 Q425 Q126 Q226 Q326 Net Interest Income Per Share* $2.00 $2.00 $2.04 $2.02 $2.09 $2.17 Net Interest Income per Share Q225 Q325 Q425 Q126 Q226 Q326 Average Deposits Per Share* $218.4 $217.6 $220.7 $220.1 $223.5 $224.7 QTD Deposits Per Share Q225 Q325 Q425 Q126 Q226 Q326 Net Interest Margin (FTE) (Non-GAAP)** 3.32 3.36 3.38 3.43 3.48 3.55 Net FTE interest margin (Non-GAAP) Q225 Q325 Q425 Q126 Q226 Q326 ENHANCING FRANCHISE PRODUCTIVITY * Calculated using QTD diluted weighted average common shares outstanding ** Non-GAAP financial measure - See non-GAAP table in appendix for reconciliation
Earnings • Net income of $62.2 million, or $0.65 per diluted share. • Net interest margin (NIM) of 3.53%, an increase of 8 basis points from the second quarter of 2026; NIM on a fully taxable equivalent (FTE) basis1 of 3.55%, an increase of 7 basis points from the second quarter of 2026; adjusted FTE NIM1 of 3.51%, an increase of 9 basis points from the second quarter of 2026. • Efficiency ratio2 of 61.7% for the third quarter of 2026. Balance Sheet • Loans held for investment (LHFI) decreased by $296.0 million from the second quarter of 2026 driven by continued amortization of the indirect portfolio for which the Company stopped originating loans during the first quarter of 2025, and loan payoffs and paydowns in the third quarter of 2026. • Total deposits decreased $52.8 million or 0.2%, at September 30, 2026 from June 30, 2026, across all interest-bearing deposit categories during the third quarter of 2026, partially offset by an increase in noninterest bearing deposits. Total deposits decreased $1,216.5 million, or 5.4% from September 30, 2025, across all deposit categories primarily driven by the sale of the Arizona and Kansas branches in the fourth quarter of 2025 that included $641.6 million of deposits in addition to the $244.2 million of deposits sold with the eleven Nebraska branches in the second quarter of 2026. • The Company’s balance sheet continues to maintain a strong liquidity position, with a loan-to-deposit ratio of 65% as of September 30, 2026. Asset Quality • Total provision for credit losses was $10.5 million; funded Allowance for Credit Losses coverage of 1.30% of LHFI during the third quarter of 2026 compared to 1.28% from the second quarter of 2026. • Net charge-offs (NCOs) were $9.9 million, or an annualized 28 basis points of average loans outstanding during the third quarter of 2026. • Non-performing loans of $151.1 million decreased 5.4% from the second quarter of 2026, reflecting 1.08% of LHFI as of September 30, 2026 compared to 1.12% of LHFI as of June 30, 2026. Non-performing assets of $155.0 million decreased 6.1% from the second quarter of 2026. • Criticized loans increased $2.1 million, or 0.2%, from the second quarter of 2026, to $939.5 million or 6.7% of LHFI as of September 30, 2026 compared to 6.6% of LHFI as of June 30, 2026. Criticized loans decreased $224.6 million, compared to $1,164.1 million as of September 30, 2025. Capital • Quarterly cash dividend of $0.47 per share, for an annualized yield of 5.0% for the third quarter of 2026. • During the third quarter of 2026, the Company repurchased 2.04 million shares of common stock for a total repurchase of approximately $76.3 million. The Company has repurchased approximately 10.02 million shares of common stock through September 30, 2026 for a total repurchase of approximately $346.6 million since the board of directors authorized the repurchase program in August of 2025. • CET13 of 14.36% and total RBC3 of 17.16% for the third quarter of 2026. • Common equity tier 1 capital ratio decreased 18 basis points during the third quarter of 2026 compared to the second quarter of 2026, primarily due to shares repurchased, partially offset by lower risk-weighted assets driven by lower loan balances during the third quarter of 2026. THIRD QUARTER 2026 HIGHLIGHTS 7 1 Non-GAAP financial measure - See non-GAAP table in appendix for reconciliation 2 The ratio of the bank’s noninterest expense less amortization of intangible assets divided by net interest income plus noninterest income (per FDIC definition) 3 Preliminary estimates - may be subject to change
EARNING ASSET YIELD 8 Fixed and Adjustable Rate Loans* Year Maturing or Repricing Balance ($MM)*** Roll-Off Coupon 2026 $412M 4.4 % 2027 $1,416M 4.6 % Total $1,828M 4.6 % Fixed and Adjustable Rate Securities Quarter Total Expected Cash Flow($MM)*** Roll-Off Coupon 12/31/2026 $262M 2.8 % 2027 $1,229M 2.8 % Total $1,491M 2.8 % Average Loans/Average Rate** $16.4 $15.5 $15.0 $14.5 $14.2 5.68% 5.67% 5.60% 5.62% 5.67% Average Loans ($B) Average Rate Q325 Q425 Q126 Q226 Q326 • Yields on loans increased 5 bps compared to the second quarter of 2026 and decreased 1 bps compared to the third quarter of 2025 • Through 2027 $1.8B of fixed and adjustable rate loans at a weighted average rate of 4.6% are expected to mature or reprice*** • Through 2027 $1.5B of fixed and adjustable rate securities cashflows are expected at a weighted average rate of 2.8%*** * Calculated using period to date loan balance; reflects pass rated loans ** Calculated using quarter-to-date average loan balance *** Constitute estimates and forward looking statements
DIVERSIFIED LOAN PORTFOLIO Loans Held for Investment Commercial RE, 56% Construction RE, 4% Residential RE, 14% Agriculture RE, 4% Consumer, 3% Commercial, 16% Agriculture, 3% Revolving Commitments ($B) $2.5 $2.3 $2.3 $2.3 $2.3 39.0% 40.4% 38.9% 37.0% 36.4% Unfunded Funded Q325 Q425 Q126 Q226 Q326 9 $14.0B Balances as of September 30, 2026 Loan Highlights: • Loans decreased $296.0 million during the third quarter of 2026 compared to the second quarter of 2026 driven by $47.7 million of continued amortization of the indirect portfolio for which the Company stopped originating loans during the first quarter of 2025, and loan payoffs and paydowns. • Commercial real estate balances are 32.7% owner-occupied as of the third quarter of 2026. • Diversified geographic loan portfolio with largest state concentration of 21% of total loans.
COMMERCIAL REAL ESTATE AND CONSTRUCTION PORTFOLIO Property Type Multifamily, 22% Medical, 12% Retail, 22% Industrial/Warehouse, 19% Office, 11%Hotel, 10%Land & Development, 2% Other CRE, 1% Residential 1-4 Family, 1% Market Type Metro, 5% Mid-Metro, 6% Non-Metro, 89% 10 Highlights: • $8.4 billion portfolio (60% of total loans), well diversified by property type and geography • Non-owner-occupied portfolio of $5.3 billion (38% of total loans) • $61.5 million of non-accrual loans (0.73% of commercial real estate and construction portfolios) • Montana has the largest state concentration representing 18% of portfolio Balances as of September 30, 2026 Market Definitions: • Metro defined as property located in Portland, Seattle, and Denver. • Mid-metro defined as Omaha, Des Moines, and Boise. • Non-metro defined as all other areas.
Deposits by State MT, 28% WY, 13% ID, 8% WA, 3% OR, 11% SD, 15% NE, 8% IA, 9% MO, 1% CO, 4% Mix of Consumer and Business Deposits* 52% 54% 54% 52% 53% 48% 46% 46% 48% 47% Total Consumer Deposits Total Business Deposits Q325 Q425 Q126 Q226 Q326 11 Average Deposit Balances 28% 28% 28% 29% 29% 35% 35% 36% 36% 36% 12% 12% 12% 11% 10% 25% 25% 24% 24% 25% 1.36% 1.29% 1.20% 1.16% 1.12% Demand Savings Time Non-interest bearing Total Cost of Deposits Q325 Q425 Q126 Q226 Q326 DIVERSE DEPOSIT BASE: BY TYPE OF ACCOUNT * Balances as of September 30, 2026 Deposit Highlights: • Total deposits decreased $52.8 million or 0.2%, at September 30, 2026 from June 30, 2026, across all interest-bearing deposit categories during the third quarter of 2026 which were partially offset by an increase in noninterest bearing deposits. Total deposits decreased $1,216.5 million, or 5.4% from September 30, 2025, across all deposit categories primarily driven by the Arizona and Kansas branch sales during the fourth quarter of 2025 that included $641.6 million of deposits in addition to the $244.2 million of deposits sold with the eleven Nebraska branches in the second quarter of 2026. • Total deposit costs declined 4 basis points from the prior quarter.
Total Risk-Based Capital Ratios 16.62% 17.06% 17.07% 17.30% 17.16% 13.90% 14.38% 14.30% 14.54% 14.36% 2.72% 2.68% 2.76% 2.76% 2.80% CET1 Total RBC 3Q25 4Q25 1Q26 2Q26 3Q26² CAPITAL AND LIQUIDITY Liquid and flexible balance sheet with strong capital position Common Equity (CE) and Tangible Common Stockholders' Equity (TCE) to Tangible Assets (TA)* $33.17 $34.09 $34.47 $34.77 $33.74 $21.77 $22.40 $22.37 $22.47 $21.20 8.66% 8.90% 8.63% 8.69% 8.06% 12.62% 12.94% 12.71% 12.84% 12.24% TBVPS BVPS TCE to TA Ratio CE Ratio 3Q25 4Q25 1Q26 2Q26 3Q26 12 LHFI to Deposit Ratio 70.1% 68.8% 67.3% 66.6% 65.4% 3Q25 4Q25 1Q26 2Q26 3Q26 * Non-GAAP financial measure - See non-GAAP table in appendix for reconciliation ** Preliminary estimates - may be subject to change Capital and Liquidity Highlights: • Annualized dividend yield of 5.0% based on an average share price of $37.82 for the third quarter of 2026. • Tangible book value per share (TBVPS)* decreased from $22.47 at June 30, 2026 to $21.20 at September 30, 2026 driven by a decline in stockholder’s equity partially offset by a reduction in common shares outstanding. Stockholders’ equity decreased from $3,323 million at June 30, 2026 to $3,155 million at September 30, 2026 driven by decreases in AOCI, share repurchases, and dividends partially offset by retained earnings. For the third quarter of 2026, the AOCI mark is equal to $3.36 of book value per share (BVPS). • Repurchased approximately 2.0 million shares of common stock at a weighted average price of $37.37 per share during the third quarter of 2026 through our stock repurchase program.
ACL Highlights: • Funded ACL as a percentage of LHFI increased to 1.30% of loans from 1.28% in the prior quarter. • Net charge-offs were $9.9 million which represented 28 basis points of average loans during the third quarter of 2026. ALLOWANCE FOR CREDIT LOSSES (ACL) ACL ($MM) and Funded ACL/LHFI Ratio $212.1 $197.3 $201.6 $189.1 $189.7$205.8 $191.4 $195.8 $182.2 $181.4 6.3 5.9 5.8 6.9 8.3 1.30% 1.26% 1.33% 1.28% 1.30% Funded ACL Unfunded ACL Funded ACL % of LHFI 3Q25 4Q25 1Q26 2Q26 3Q26 13 ACL Roll-forward ($MM) Funded Unfunded Investments Total ACL 6/30/26 $182.2 $6.9 $0.1 $189.2 ACL Provision (Reversal) 9.1 1.4 — 10.5 Net Charge-offs 9.9 — — 9.9 ACL 9/30/26 $181.4 $8.3 $0.1 $189.8
Asset Quality Highlights: • Net charge-offs totaled $9.9 million, or 28 basis points of average loans, during the third quarter of 2026. • Total non-performing loans (NPLs) decreased by $8.6 million, or 5.4% during the third quarter of 2026 compared to the second quarter of 2026 driven primarily by a decrease in non-accrual loans. • Total criticized loans increased $2.1 million during the third quarter of 2026 compared to the second quarter of 2026. ASSET QUALITY AND RESERVE TRENDS Net Charge-offs ($MM) and Net Charge-Offs Ratio $2.3 $22.1 $2.4 $9.7 $9.9 0.06% 0.56% 0.06% 0.27% 0.28% Net Charge-offs % of Average Loans 3Q25 4Q25 1Q26 2Q26 3Q26 Total non-performing loans ($MM) and ACL/NPL Ratios $182.2 $134.9 $155.9 $159.7 $151.1 113.0% 141.9% 125.6% 114.1% 120.1% NPLs ACL / NPL Ratio 3Q25 4Q25 1Q26 2Q26 3Q26 Total Criticized Loans ($MM) and Criticized Loan Ratio $1,164.1 $1,051.8 $1,033.2 $937.4 $939.5 7.4% 6.9% 7.0% 6.6% 6.7% Criticized Loans % of Total Loans 3Q25 4Q25 1Q26 2Q26 3Q26 14
Net Interest Income (NII) and Net Interest Margin (NIM) Highlights: • $2.4 million of loan purchase accounting accretion (PAA) for the third quarter of 2026, a decrease from $3.5 million in the prior quarter. • Total remaining PAA of $20.8 million as of September 30, 2026 ◦ Scheduled accretion of $1.5 million, $4.8 million, $4.0 million for the remainder of 2026, FY27, and FY28, respectively. • During the third quarter of 2026, FTE NIM1 increased by 7 basis points compared to the prior quarter. • Adjusted FTE NIM1 (which excludes the impact from PAA) increased by 9 basis points during the third quarter of 2026, primarily driven by higher yields on interest earning assets and lower rates on interest bearing time deposits, partially offset by lower average loan balances and higher security balances. NET INTEREST INCOME FTE NII¹ ($MM) and FTE NIM¹ $204.7 $205.1 $198.9 $200.1 $204.9 $3.5 $2.6 $3.1 $3.5 $2.4 $208.2² $207.7² $202.0² $203.6² $207.3² 3.36% 3.38% 3.43% 3.48% 3.55% 3.30% 3.34% 3.38% 3.42% 3.51% Adjusted FTE NII¹ Loan PAA FTE NIM¹ Adjusted FTE NIM¹ 3Q25 4Q25 1Q26 2Q26 3Q26 15 1 Non-GAAP financial measure - See non-GAAP table in appendix for reconciliation 2 FTE NII
16 Noninterest Income by Type * Payment Services, 38% Mortgage Banking, 3% Wealth Management, 26% Deposit Service Charges, 15% Other Service Charges & Fees, 5% Other Income, 13% Dollars in millions 3Q25 2Q26 3Q26 Payment services revenues $ 16.8 $ 16.8 $ 16.7 Mortgage banking revenues 1.5 1.5 1.5 Wealth management revenues 10.4 10.6 11.1 Service charges on deposit accounts 7.0 6.6 6.4 Other service charges, commissions and fees 2.1 1.9 2.1 Other income 5.9 24.3 5.5 Total Noninterest Income $ 43.7 $ 61.7 $ 43.3 % of Total Revenue 17.4 % 23.4 % 17.4 % NONINTEREST INCOME * Percentages calculated using balances as of September 30, 2026 Other Income Notes: • Q2 2026 results include a $19.5 million gain recorded in other income related to the sale of eleven Nebraska branches.
NONINTEREST EXPENSE 17 Dollars in millions 3Q25 2Q26 3Q26 Salaries and wages $ 66.2 $ 64.9 $ 65.9 Employee benefits 18.2 19.0 19.5 Occupancy and equipment 18.5 18.0 17.8 Other intangible amortization 3.4 3.3 3.2 Other expenses 51.6 53.1 50.8 Other real estate owned expense, net — 0.6 (0.1) Total Noninterest Expense $ 157.9 $ 158.9 $ 157.1 Noninterest Expense ($MM) and Efficiency Ratio 157.9 166.7 157.6 158.9 157.1 61.7% 52.2% 63.8% 59.0% 61.7% Total Non-interest Expenses Efficiency Ratio ¹ 3Q25 4Q25 1Q26 2Q26 3Q26 1 The ratio of the bank’s noninterest expense less amortization of intangible assets divided by net interest income plus noninterest income (per FDIC definition) Noninterest Expense Notes: • Q3 2025 results include $1.1 million associated with property valuation adjustment for a then pending Kansas branch sale, which closed on October 10, 2025 and $0.7 million of unamortized costs related to the payoff of $100 million of subordinated notes.
2026 GUIDANCE SUMMARY* 18 *Preliminary estimates and forward-looking statements - may be subject to change Balance Sheet • Anticipate ending deposits between $21.4-$21.8 billion with normal seasonality • Anticipate ending loans between $13.5-$13.8 billion. Assumes elevated payoffs and continued weakness in mortgage production, partially offset by improved commercial production Net Interest Income • Anticipate full-year reported net interest income between $814-$819 million. Assumes continued margin expansion in the fourth quarter • Outlook assumes one additional rate increase Noninterest Income • Anticipate 2026 noninterest income to total $167-$170 million; excluding the $19.5 million gain-on-sale related to the Nebraska branch transaction that occurred in Q2 2026 Noninterest Expense • Anticipate 2026 noninterest expense to total $629-$635 million. Assumes reinvestment into business including addition of relationship managers and increased advertising expense, as well as normalization in medical insurance expense Tax Rate • Anticipate effective tax rate to be 22.75%-23% for full-year 2026 Credit Quality • Continue to anticipate long-term annualized net charge-offs between 20 and 30 basis points of average loan balances
NON-GAAP FINANCIAL MEASURES 19 In addition to results presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, this presentation contains the following non- GAAP financial measures that management uses to evaluate our performance relative to our capital adequacy standards: (i) tangible common stockholders’ equity; (ii) tangible assets; (iii) tangible book value per common share; (iv) tangible common stockholders’ equity to tangible assets; (v) net interest income on a fully taxable equivalent basis; (vi) adjusted net interest income on a fully taxable equivalent basis; (vii) net interest margin on a fully taxable equivalent basis; and (viii) adjusted net interest margin on a fully taxable equivalent basis. Tangible common stockholders’ equity is calculated as total common stockholders’ equity less goodwill and other intangible assets (excluding mortgage servicing rights). Tangible assets are calculated as total assets less goodwill and other intangible assets (excluding mortgage servicing rights). Tangible book value per common share is calculated as tangible common stockholders’ equity divided by common shares outstanding. Tangible common stockholders’ equity to tangible assets is calculated as tangible common stockholders’ equity divided by tangible assets. Net interest income on a fully taxable equivalent basis is calculated as net interest income, adjusted to include its fully taxable equivalent interest income. Adjusted net interest income on a fully taxable equivalent basis is calculated as net interest income on a fully taxable equivalent basis less purchase accounting interest accretion on acquired loans. Net interest margin on a fully taxable equivalent basis is calculated as annualized net interest income on a fully taxable equivalent basis divided by average interest earning assets. Adjusted net interest margin on a fully taxable equivalent basis is calculated as annualized adjusted net interest income on a fully taxable equivalent basis divided by average interest earning assets. These non-GAAP financial measures are calculated on the reconciliation pages that follow. These non-GAAP financial measures may not be comparable to similarly titled measures reported by other companies because other companies may not calculate these non-GAAP measures in the same manner. They also should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP. The Company adjusts the most directly comparable capital adequacy GAAP financial measures to the non-GAAP financial measures described in subclauses (i) through (iv) above to exclude goodwill and other intangible assets (except mortgage servicing rights), adjusts its GAAP net interest income to include fully taxable equivalent adjustments and further adjusts its net interest income on a fully taxable equivalent basis to exclude purchase accounting interest accretion. Management believes these non-GAAP financial measures, which are intended to complement the capital ratios defined by banking regulators and are intended to present on a consistent basis our and our acquired companies’ organic continuing operations without regard to the acquisition costs and adjustments that we consider to be unpredictable and dependent on a significant number of factors that are outside our control, are useful to investors in evaluating the Company’s performance because, as a general matter, they either do not represent an actual cash expense and are inconsistent in amount and frequency depending upon the timing and size of our acquisitions (including the size, complexity and/or volume of past acquisitions, which may drive the magnitude of acquisition related costs, but may not be indicative of the size, complexity and/or volume of future acquisitions or related costs), or they cannot be anticipated or estimated in a particular period (in particular as it relates to unexpected recovery amounts). This impacts the ratios that are important to analysts and allows investors to compare certain aspects of the Company’s capitalization to other companies. See the Non-GAAP Financial Measures tables included below and the textual discussion above for a reconciliation of the above described non-GAAP financial measures to their most directly comparable GAAP financial measures.
3Q25 4Q25 1Q26 2Q26 3Q26 (Dollars in millions) Total common stockholders' equity (GAAP) (A) $ 3,448.7 $ 3,447.0 $ 3,358.5 $ 3,322.6 $ 3,155.0 Less goodwill and other intangible assets (excluding mortgage servicing rights) 1,185.5 1,182.2 1,178.9 1,175.6 1,172.2 Tangible common stockholders' equity (Non-GAAP) (B) $ 2,263.2 $ 2,264.8 $ 2,179.6 $ 2,147.0 $ 1,982.8 Total assets (GAAP) $ 27,332.9 $ 26,640.6 $ 26,426.8 $ 25,885.0 $ 25,769.6 Less goodwill and other intangible assets (excluding mortgage servicing rights) 1,185.5 1,182.2 1,178.9 1,175.6 1,172.2 Tangible assets (Non-GAAP) (C) $ 26,147.4 $ 25,458.4 $ 25,247.9 $ 24,709.4 $ 24,597.4 Common shares outstanding (L) 103,967 101,106 97,446 95,548 93,515 Book value per common share (GAAP) (A) / (L) $ 33.17 $ 34.09 $ 34.47 $ 34.77 $ 33.74 Tangible book value per common share (Non-GAAP) (B) / (L) 21.77 22.40 22.37 22.47 21.20 Tangible common stockholders' equity to tangible assets (Non-GAAP) (B) / (C) 8.66 % 8.90 % 8.63 % 8.69 % 8.06 % NON-GAAP RECONCILIATION 20 * Line items may not sum due to rounding
3Q25 4Q25 1Q26 2Q26 3Q26 (Dollars in millions) Net interest income (A) $ 206.8 $ 206.4 $ 200.7 $ 202.2 $ 206.2 FTE adjustments(1) 1.4 1.3 1.3 1.4 1.1 Net interest income on a FTE basis (Non-GAAP) (B) 208.2 207.7 202.0 203.6 207.3 Less purchase accounting accretion on acquired loans 3.5 2.6 3.1 3.5 2.4 Adjusted net interest income on a FTE basis (Non-GAAP) (C) $ 204.7 $ 205.1 $ 198.9 $ 200.1 $ 204.9 Average interest earning assets (D) $ 24,589.5 $ 24,358.2 $ 23,868.3 $ 23,484.9 $ 23,182.4 Net interest margin (A annualized)/(D) 3.34 % 3.36 % 3.41 % 3.45 % 3.53 % Net interest margin (FTE) (Non-GAAP) (B annualized)/(D) 3.36 3.38 3.43 3.48 3.55 Adjusted net interest margin (FTE) (Non-GAAP) (C annualized)/(D) 3.30 3.34 3.38 3.42 3.51 NON-GAAP RECONCILIATION 21 * Line items may not sum due to rounding 1 Management believes net interest income on a FTE basis is useful to investors in evaluating the Company’s performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts its net interest income for tax exempt loans and securities to what it would have received on taxable alternatives utilizing a 21.00% tax rate.