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First Merchants Corporation (NASDAQ: FRME) Q2 2026 EPS falls to $0.70

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

First Merchants Corporation reported second-quarter 2026 net income available to common stockholders of $43.5 million, or $0.70 per diluted share, compared with $56.4 million, or $0.98, a year earlier. Adjusted net income was $46.4 million, or $0.74 per diluted share, excluding $3.8 million of acquisition-related expenses. Net interest income rose to $158.9 million and the fully taxable equivalent net interest margin improved to 3.38%. Noninterest income was $37.2 million, helped by higher gains on loan sales and derivative fees.

Provision for credit losses increased to $33.0 million, largely to build $29.7 million of reserves for two commercial lending relationships totaling $41.8 million that were placed on nonaccrual status. The allowance for credit losses on loans reached $241.6 million, or 1.56% of loans, and nonperforming assets were 0.56% of total assets. Total loans were $15.5 billion and deposits $16.8 billion at June 30, 2026, with a loan-to-deposit ratio of 92.7%. Capital remained strong, with a common equity tier 1 ratio of 11.16% and tangible common equity ratio of 8.99%, and 336,145 shares were repurchased for $13.4 million in the quarter.

Positive

  • None.

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Filing Explained

The First Savings acquisition legally closed February first, and systems integration was completed in mid-May.

This Form 8-K furnishes First Merchants Corporation’s second-quarter results and reports a completed First Savings systems integration; it also records two commercial credits placed on nonaccrual, with associated reserves recorded.

As an Item 2.02 results disclosure, the filing reports that the First Savings acquisition legally closed on February 1, 2026, and that systems integration was completed in mid-May, so the disclosed acquisition transition is at the integration-completed stage.

The company says information obtained after quarter-end about conditions existing at June 30, 2026 led to two commercial relationships totaling $41.8 million being placed on nonaccrual, with $29.7 million of associated reserves.

The two credits were a $28.1 million participation in a shared national credit to an authorized wireless retailer and a $13.7 million credit to a commercial and residential roofing contractor.

The company also completed the sale of $271.1 million of mortgage loans; it says the proceeds funded loan growth and paid down high-cost funding.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Net income available to common stockholders $43.5 million For the quarter ended June 30, 2026
Diluted EPS $0.70 Second quarter 2026, compared with $0.98 in second quarter 2025
Adjusted diluted EPS (non-GAAP) $0.74 Excludes $3.8 million of acquisition-related expenses in Q2 2026
Net interest income $158.9 million Second quarter 2026 consolidated results
Net interest margin (FTE) 3.38% Quarter ended June 30, 2026; up 3 basis points from prior quarter
Provision for credit losses $33.0 million Second quarter 2026, driven by two commercial nonaccrual credits
Allowance for credit losses on loans $241.6 million As of June 30, 2026, equal to 1.56% of loans
Total loans and deposits $15.5 billion loans; $16.8 billion deposits Balances at June 30, 2026; loan-to-deposit ratio 92.7%
pre-tax, pre-provision earnings financial
"Strong PTPP earnings of $84.6 million, with PTPP ROA of 1.59%"
A banking metric that shows a firm’s operating profit before subtracting income taxes and the amount set aside for potential loan losses. It isolates core earnings power by excluding the cushion banks build for bad loans and tax costs, so investors can compare underlying performance across periods or peers without those timing or accounting effects. Think of it like a retailer’s profit before setting aside money for expected returns and paying taxes.
Net Interest Margin (FTE) financial
"Net interest margin on a fully taxable equivalent basis of 3.38%"
Net interest margin (FTE) measures the difference between interest earned on a lender’s assets (like loans and investments) and interest paid on liabilities (like deposits), expressed as a percentage of earning assets, with income from tax-exempt sources converted to a taxable-equivalent basis. Think of it as a loan business’s profit margin on money it lends, adjusted so tax-free income is reported on the same footing as taxable income; investors use it to compare how effectively a firm is generating interest income.
Allowance for Credit Losses financial
"The Corporation’s Allowance for Credit Losses – Loans totaled $241.6 million"
Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.
nonaccrual status financial
"Two commercial lending relationships were placed in nonaccrual status"
Nonaccrual status is when a lender stops recording interest income on a loan because payments are late or the borrower’s ability to pay is in serious doubt. For investors this is a red flag: it signals deteriorating loan quality, can reduce reported earnings and may require the lender to set aside more reserves, much like marking a damaged product off the books until its value is clear.
tangible common equity ratio financial
"the tangible common equity ratio totaled 8.99%"
Tangible common equity ratio measures how much real, loss-absorbing capital common shareholders have relative to a company's tangible assets—calculated by removing intangible items (like goodwill) and preferred equity from total equity and comparing that net amount to tangible assets. Think of it as the thickness of a safety cushion made of solid, visible value rather than accounting entries; investors use it to judge how well a company could withstand losses and protect common shareholders' claims.
Net income available to common stockholders $43.5 million Down from $56.4 million in the second quarter of 2025
Diluted EPS $0.70 Down from $0.98 in the second quarter of 2025
Adjusted diluted EPS (non-GAAP) $0.74 Down from $0.98 in the second quarter of 2025 and from $1.03 in the first quarter of 2026
Net interest income $158.9 million Up from $151.3 million in the first quarter of 2026 and $133.0 million a year earlier
Net interest margin (FTE) 3.38% Up 3 basis points from 3.35% in the first quarter of 2026 and 13 basis points from 3.25% a year earlier
Pre-tax, pre-provision earnings (non-GAAP) $84.6 million Up from $78.7 million in the first quarter of 2026 and $70.7 million in the second quarter of 2025

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FAQ

What were First Merchants (FRME) earnings and EPS for Q2 2026?
First Merchants reported net income available to common stockholders of $43.5 million, or $0.70 diluted EPS, for the quarter ended June 30, 2026, compared with $56.4 million, or $0.98 per diluted share, in the second quarter of 2025.

How did FRME’s net interest income and margin perform in Q2 2026?
Net interest income was $158.9 million in Q2 2026, and the fully taxable equivalent net interest margin was 3.38%, up 3 basis points from the prior quarter and up 13 basis points from 3.25% in the second quarter of 2025.

What drove credit provisions and asset quality changes for FRME in Q2 2026?
Provision for credit losses rose to $33.0 million, mainly to establish $29.7 million of reserves for two commercial lending relationships totaling $41.8 million placed on nonaccrual. Nonperforming assets were 0.56% of total assets, and the loan allowance was 1.56% of loans.

How large were First Merchants’ (FRME) loans and deposits at June 30, 2026?
At June 30, 2026, total loans were $15.5 billion and total deposits were $16.8 billion. Loans increased $2.2 billion over twelve months, deposits increased $2.0 billion, and the loan-to-deposit ratio was 92.7% at period end.

What are FRME’s key regulatory capital ratios after Q2 2026?
As of June 30, 2026, First Merchants reported a common equity tier 1 capital ratio of 11.16%, a total risk-based capital ratio of 12.98%, and a tangible common equity ratio of 8.99%, indicating a robust capital position.

Did First Merchants (FRME) repurchase shares during 2026?
Yes. First Merchants repurchased 336,145 shares of common stock for $13.4 million in the second quarter of 2026, and 976,631 shares totaling $38.3 million year-to-date through June 30, 2026.

What was FRME’s pre-tax, pre-provision earnings in Q2 2026?
Pre-tax, pre-provision earnings were $84.6 million in the second quarter of 2026, up from $78.7 million in the first quarter of 2026 and $70.7 million in the second quarter of 2025, reflecting stronger underlying earnings before credit costs.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 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): July 22, 2026

FIRST MERCHANTS CORPORATION
(Exact name of registrant as specified in its charter)
Indiana
(State or other jurisdiction of incorporation)
001-4134235-1544218
(Commission File Number)(IRS Employer Identification No.)

200 East Jackson Street
P.O. Box 792
Muncie, IN 47305-2814
(Address of principal executive offices, including zip code)
 
(765) 747-1500
(Registrant's telephone number, including area code)
 
Not Applicable
(Former name or former address, if changed since last report)
Title of Each ClassTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.125 stated value per shareFRMEThe Nasdaq Stock Market LLC
Depositary Shares, each representing a 1/100th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series AFRMEPThe Nasdaq Stock Market LLC

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:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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 July 22, 2026, First Merchants Corporation issued a press release to report its financial results for the second quarter ended June 30, 2026. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

On July 23, 2026, First Merchants Corporation will conduct a second quarter 2026 earnings conference call and webcast at 9:00 a.m. (ET). A copy of the slide presentation utilized on the conference call is furnished as Exhibit 99.2 to this Current Report on Form 8-K.

The information in this Current Report on Form 8-K, including Exhibit 99.1 and Exhibit 99.2 hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liability of that section. The information in this Current Report shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing or document.

ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.

(a)    Not applicable.

(b)    Not applicable.

(c)    Not applicable.

(d)    Exhibits.

Exhibit 99.1
Press Release, dated July 22, 2026, issued by First Merchants Corporation
Exhibit 99.2
Slide Presentation, utilized on July 23, 2026 during conference call and webcast by First Merchants Corporation
Exhibit 104Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


First Merchants Corporation
(Registrant)
By: /s/ Michele M. Kawiecki
                        
Michele M. Kawiecki

Executive Vice President, Chief Financial Officer
(Principal Financial and Accounting Officer)
Dated: July 22, 2026



EXHIBIT INDEX

Exhibit No.Description
99.1
Press Release, dated July 22, 2026 issued by First Merchants Corporation
99.2
Slide Presentation, utilized on July 23, 2026 during conference call and webcast by First Merchants Corporation
104Cover Page Interactive Data File (embedded within the Inline XBRL document)





N / E / W / S R / E / L / E / A / S / E
    
July 22, 2026

FOR IMMEDIATE RELEASE
For more information, contact:
Nicole M. Weaver, First Vice President and Director of Corporate Administration
765-521-7619
http://www.firstmerchants.com

SOURCE: First Merchants Corporation, Muncie, Indiana

FIRST MERCHANTS CORPORATION ANNOUNCES SECOND QUARTER 2026 RESULTS

First Merchants Corporation (NASDAQ - FRME) (the "Corporation" or "First Merchants")

Second Quarter 2026 Highlights:

•Net income available to common stockholders was $43.5 million, or $0.70 per diluted common share, compared to $27.7 million, or $0.45 per diluted common share, in the first quarter of 2026. On an adjusted basis1, net income totaled $46.4 million, or $0.74 per diluted common share, compared to $63.1 million, or $1.03 per diluted common share in the prior quarter.
•Adjusted pre-tax, pre-provision income1 of $84.6 million, compared to $78.7 million in the prior quarter and $70.7 million in the second quarter of 2025.
•Net interest margin on a fully taxable equivalent basis1 of 3.38%, up 3 basis points from the prior quarter and up 13 basis points from the second quarter of 2025.
•Loan growth of $221.7 million, or 5.8% annualized, on a linked quarter basis2.
•Sold $271.1 million of mortgage loans with a weighted average rate of 3.43% during the current quarter and deployed proceeds to fund loan growth and pay down high-cost funding. The loans had been moved to held-for-sale and marked to fair value in the first quarter.
•Deposit growth of $267.8 million, or 6.5% annualized, on a linked quarter basis.
•Robust capital position with Common Equity Tier 1 Capital Ratio of 11.16%.
•Repurchased 976,631 shares of common stock totaling $38.3 million year-to-date, including 336,145 shares totaling $13.4 million in the second quarter.
•Nonperforming assets to total assets were 56 basis points compared to 43 basis points on a linked quarter basis. Two commercial lending relationships with outstanding balances totaling $41.8 million were placed in nonaccrual status and associated reserves of $29.7 million were recorded.
•Adjusted efficiency ratio1 totaled 53.22% for the quarter.
•Successfully completed systems conversion of First Savings Financial Group, Inc. (“First Savings”) in mid-May.

"First Merchants continued to build momentum during the second quarter with expanding net interest margin, solid loan and deposit growth, and another quarter of strong commercial loan production," said Mark Hardwick, Chief Executive Officer. "While we identified two commercial lending relationships that were placed on nonaccrual, we acted promptly to recognize the associated reserves and believe our balance sheet remains well positioned. We successfully completed the integration of First Savings, further strengthening our statewide Indiana franchise and enhancing our ability to serve clients across Indiana, Ohio and Michigan. Our capital, liquidity and credit quality remain very strong and position us well to execute our long-term growth strategy and continue creating shareholder value."





Second Quarter Financial Results:

The Corporation reported second quarter 2026 net income available to common stockholders of $43.5 million compared to $56.4 million during the same period in 2025. Diluted earnings per common share for the period totaled $0.70 compared to $0.98 in the second quarter of 2025. Current quarter results included acquisition-related costs of $3.8 million that consist primarily of employee salaries, equipment, and professional fees. Excluding these non-core charges, adjusted earnings per common share1 for the second quarter of 2026 totaled $0.74 compared to $0.98 in the prior year period. Subsequent to quarter-end, based on additional information obtained regarding conditions that existed at June 30, 2026, two commercial lending relationships were placed on nonaccrual status and reserve levels were increased, resulting in elevated provision expense for the second quarter. The first was a $28.1 million participation in a shared national credit to a commercial authorized wireless retailer. The second was a credit to a commercial and residential roofing contractor with an outstanding balance of $13.7 million. Associated reserves for these credits totaled $29.7 million.

Total assets of the Corporation equaled $21.3 billion as of quarter-end and loans totaled $15.5 billion. Loans increased $2.2 billion during the last twelve months and $268.8 million on a linked quarter basis. During the second quarter, the Corporation completed the previously announced sale of $271.1 million of mortgage loans that had been transferred to held-for-sale during the first quarter. Additionally, mortgage loans totaling $47.1 million were returned to held-for-investment during the second quarter. Excluding loans acquired through First Savings and the impact of mortgage loan sale activity, the Corporation generated organic loan growth of $697.9 million, or 5.2% during the past twelve months. On a linked quarter basis, organic loan growth totaled $221.7 million, or 5.8% annualized.

Investment securities, totaling $3.3 billion, decreased $88.9 million, or 2.6% during the last twelve months and decreased $17.8 million, or 2.2% annualized on a linked quarter basis. Investment securities declined during the quarter due to principal paydowns and maturities, offset by an increase in the securities portfolio valuation.

Total deposits equaled $16.8 billion as of quarter-end and increased by $2.0 billion over the past twelve months. The acquisition of First Savings contributed $1.7 billion in deposits. Total deposits increased $267.8 million, or 6.5% annualized, on a linked quarter basis. The loan to deposit ratio of 92.7% at period end remained stable on a linked quarter basis.

The Corporation’s Allowance for Credit Losses – Loans (ACL) totaled $241.6 million as of quarter-end, or 1.56% of loans, an increase of $29.1 million from the prior quarter. Net charge-offs totaled $3.9 million and provision for credit losses of $33.0 million was recorded during the quarter. Reserves for unfunded commitments totaling $18.5 million remained unchanged from the previous quarter. Nonperforming assets to total assets were 0.56% for the second quarter of 2026, an increase of 13 basis points compared to 0.43% in the prior quarter. The increase in nonperforming assets and provision for credit losses reflects the impact of the two commercial lending relationships placed in nonaccrual status.

Net interest income, totaling $158.9 million for the quarter, increased $7.6 million, or 5.0%, compared to prior quarter and increased $25.9 million, or 19.5%, compared to the second quarter of 2025. Fully taxable equivalent net interest margin was 3.38%, an increase of three basis points compared to the prior quarter and an increase of 13 basis points compared to the second quarter of 2025.

Noninterest income totaled $37.2 million for the quarter, an increase of $31.3 million, compared to the prior quarter and an increase of $5.9 million compared to the second quarter of 2025. The linked quarter increase primarily reflects the negative valuation adjustment of $29.8 million recorded in the first quarter on mortgage loans sold in the second quarter. Also contributing to the increase were higher gains on sales of loans and derivative hedge fees.

Noninterest expense totaled $115.3 million for the quarter, a decrease of $9.8 million from the prior quarter and an increase of $21.7 million from the second quarter of 2025. Acquisition-related costs totaling $3.8 million were incurred during the quarter, including $1.4 million in professional and other outside services and $1.0 million in equipment costs. Acquisition-related costs recorded in the prior quarter totaled $17.0 million.

The Corporation’s total risk-based capital ratio equaled 12.98%, the common equity tier 1 capital ratio equaled 11.16%, and the tangible common equity ratio totaled 8.99%. These ratios continue to reflect the Corporation’s strong capital position.



1 See “Non-GAAP Financial Information” for reconciliation
2 Excludes $47.1 million of loans returned to held-for-investment from held-for-sale






CONFERENCE CALL

First Merchants Corporation will conduct an earnings conference call and webcast at 9:00 a.m. (ET) on Thursday, July 23, 2026.

To access via phone, participants will need to register using the following link where they will be provided a phone number and access code: (https://register-conf.media-server.com/register/BIc1f6f98686534d529e7f3d66c4d50b16)

To view the webcast and presentation slides, please go to (https://edge.media-server.com/mmc/p/hqyvbr3q) during the time of the call. A replay of the webcast will be available until July 23, 2027.

Detailed financial results are reported on the attached pages.

About First Merchants Corporation

First Merchants Corporation is a financial holding company headquartered in Muncie, Indiana. The Corporation has one full-service bank charter, First Merchants Bank. The Bank also operates as First Merchants Private Wealth Advisors (as a division of First Merchants Bank).

First Merchants Corporation’s common stock is traded on the NASDAQ Global Select Market System under the symbol FRME. Quotations are carried in daily newspapers and can be found on the company’s Internet web page (http://www.firstmerchants.com).

FIRST MERCHANTS and the Shield Logo are federally registered trademarks of First Merchants Corporation.

Forward-Looking Statements

This news release contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can often, but not always, be identified by the use of words like “believe”, “continue”, “pattern”, “estimate”, “project”, “intend”, “anticipate”, “expect” and similar expressions or future or conditional verbs such as “will”, “would”, “should”, “could”, “might”, “can”, “may”, or similar expressions. These forward-looking statements include, but are not limited to, statements relating to the expected benefits of the merger between First Merchants and First Savings, including future financial and operating results, cost savings, enhanced revenues, and accretion/dilution to reported earnings that may be realized from the merger, as well as other statements of expectations regarding the merger, and other statements of First Merchants’ goals, intentions and expectations; statements regarding the First Merchants’ business plan and growth strategies; statements regarding the asset quality of First Merchants’ loan and investment portfolios; and estimates of First Merchants’ risks and future costs and benefits, whether with respect to the merger or otherwise. These forward-looking statements are subject to significant risks, assumptions and uncertainties that may cause results to differ materially from those set forth in forward-looking statements, including, among other things: the risk that the businesses of First Merchants and First Savings will not be integrated successfully or such integration may be more difficult, time-consuming or costly than expected; expected revenue synergies and cost savings from the merger may not be fully realized or realized within the expected time frame; revenues following the merger may be lower than expected; customer and employee relationships and business operations may be disrupted by the merger; possible changes in monetary and fiscal policies, and laws and regulations; the effects of easing restrictions on participants in the financial services industry; the cost and other effects of legal and administrative cases; possible changes in the credit-worthiness of customers and the possible impairment of collectability of loans; fluctuations in market rates of interest; competitive factors in the banking industry; changes in the banking legislation or regulatory requirements of federal and state agencies applicable to bank holding companies and banks like First Merchants’ affiliate bank; continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; changes in market, economic, operational, liquidity (including the ability to grow and maintain core deposits and retain large uninsured deposits), credit and interest rate risks associated with First Merchants’ business; the impacts of epidemics, pandemics or other infectious disease outbreaks; and other risks and factors identified in each of First Merchants’ filings with the SEC. First Merchants undertakes no obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this news release. In addition, First Merchants’ past results of operations do not necessarily indicate their anticipated future results.




Non-GAAP Financial Measures

This news release contains non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of the registrant’s historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows (or equivalent statements) of the issuer; or includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented. In this regard, GAAP refers to generally accepted accounting principles in the United States. Pursuant to the requirements of Regulation G, First Merchants Corporation has provided reconciliations within this news release, as necessary, of the non-GAAP financial measure to the most directly comparable GAAP financial measure.

* * * *








CONSOLIDATED BALANCE SHEETS (Unaudited)
(Dollars In Thousands, Except Per Share Amounts)June 30,
20262025
ASSETS
Cash and due from banks$86,665 $81,567 
Interest-bearing deposits529,432 223,343 
Investment securities available for sale1,384,392 1,358,130 
Investment securities held to maturity, net of allowance for credit losses of $245 in 2026 and 20251,907,684 2,022,826 
Loans held for sale77,880 28,783 
Loans15,530,737 13,296,759 
Less: Allowance for credit losses - loans(241,615)(195,316)
Net loans15,289,122 13,101,443 
Premises and equipment148,164 122,808 
Federal Home Loan Bank stock70,818 47,290 
Interest receivable101,927 93,258 
Goodwill788,186 712,002 
Other intangibles38,972 16,797 
Cash surrender value of life insurance373,242 305,695 
Other real estate owned1,562 177 
Tax asset, deferred and receivable113,975 97,749 
Other assets436,744 380,909 
TOTAL ASSETS$21,348,765 $18,592,777 
LIABILITIES
Deposits:
Noninterest-bearing$3,831,836 $2,197,416 
Interest-bearing12,921,545 12,600,162 
Total Deposits16,753,381 14,797,578 
Borrowings:
Federal funds purchased— 85,000 
Securities sold under repurchase agreements103,340 114,758 
Federal Home Loan Bank advances1,414,059 898,702 
Subordinated debentures and other borrowings86,350 62,617 
Total Borrowings1,603,749 1,161,077 
Interest payable17,491 16,174 
Other liabilities276,967 269,996 
Total Liabilities18,651,588 16,244,825 
STOCKHOLDERS' EQUITY
Preferred Stock, $1,000 par value, $1,000 liquidation value:
Authorized -- 600 cumulative shares
Issued and outstanding - 125 cumulative shares125 125 
Preferred Stock, Series A, no par value, $2,500 liquidation preference:
Authorized -- 10,000 non-cumulative perpetual shares
Issued and outstanding - 10,000 non-cumulative perpetual shares25,000 25,000 
Common Stock, $0.125 stated value:
Authorized -- 100,000,000 shares
Issued and outstanding - 62,205,528 and 57,272,433 shares7,776 7,159 
Additional paid-in capital1,358,975 1,163,170 
Retained earnings1,438,894 1,342,473 
Accumulated other comprehensive loss(133,593)(189,975)
Total Stockholders' Equity2,697,177 2,347,952 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY$21,348,765 $18,592,777 













CONSOLIDATED STATEMENTS OF INCOME (Unaudited)Three Months EndedSix Months Ended
(Dollars In Thousands, Except Per Share Amounts)June 30,June 30,
2026202520262025
INTEREST INCOME
Loans:
Taxable$226,531 $195,173 $440,158 $382,901 
Tax-exempt11,823 10,805 23,412 21,337 
Investment securities:
Taxable7,355 8,266 14,902 16,638 
Tax-exempt12,458 12,516 25,055 25,033 
Deposits with financial institutions1,147 1,892 2,391 4,264 
Federal Home Loan Bank stock1,525 1,083 3,490 2,080 
Total Interest Income260,839 229,735 509,408 452,253 
INTEREST EXPENSE
Deposits86,254 84,241 170,347 164,788 
Federal funds purchased717 965 1,307 1,777 
Securities sold under repurchase agreements419 663 751 1,405 
Federal Home Loan Bank advances13,190 9,714 24,238 19,078 
Subordinated debentures and other borrowings1,318 1,138 2,521 1,921 
Total Interest Expense101,898 96,721 199,164 188,969 
NET INTEREST INCOME158,941 133,014 310,244 263,284 
Provision for credit losses33,000 5,600 37,900 9,800 
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES125,941 127,414 272,344 253,484 
NONINTEREST INCOME
Service charges on deposit accounts9,372 8,566 18,409 16,638 
Fiduciary and wealth management fees9,638 8,831 19,406 17,475 
Card payment fees5,505 4,932 10,780 9,458 
Net gains and fees on sales of loans7,742 5,849 14,253 10,871 
Derivative hedge fees1,117 831 1,681 1,235 
Other customer fees880 401 1,473 816 
Earnings on bank-owned life insurance2,325 1,913 5,771 4,092 
Net realized losses on sales of available for sale securities— (1)— (8)
Net loss on mortgage loans reclassified to held for sale— — (29,755)— 
Other income (loss)577 (19)967 774 
Total Noninterest Income37,156 31,303 42,985 61,351 
NONINTEREST EXPENSE
Salaries and employee benefits65,774 54,527 135,217 109,509 
Net occupancy8,227 6,845 16,528 14,061 
Equipment8,603 6,927 16,421 13,935 
Marketing2,370 1,997 3,971 3,350 
Outside data processing fees8,045 7,107 15,235 13,036 
Printing and office supplies491 272 868 619 
Intangible asset amortization2,706 1,505 5,008 3,031 
FDIC assessments4,390 3,552 8,283 7,200 
Other real estate owned and foreclosure expenses1,052 29 2,152 629 
Professional and other outside services4,979 3,741 19,572 7,002 
Other expenses8,710 7,096 17,237 14,128 
Total Noninterest Expense115,347 93,598 240,492 186,500 
Income Before Income Taxes47,750 65,119 74,837 128,335 
Income tax expense3,770 8,287 2,701 16,164 
NET INCOME43,980 56,832 72,136 112,171 
Preferred stock dividends469 469 938 938 
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS$43,511 $56,363 $71,198 $111,233 
PER SHARE DATA:
Basic Net Income Available to Common Stockholders$0.70 $0.98 $1.16 $1.93 
Diluted Net Income Available to Common Stockholders$0.70 $0.98 $1.15 $1.92 
Cash Dividends Paid to Common Stockholders$0.37 $0.36 $0.73 $0.71 
Tangible Common Book Value Per Share1
$29.80 $27.90 $29.80 $27.90 
Average Diluted Common Shares Outstanding (in thousands)62,574 57,773 61,795 58,005 





FINANCIAL HIGHLIGHTS
(Dollars In Thousands)Three Months EndedSix Months Ended
June 30,June 30,
2026202520262025
NET CHARGE-OFFS$3,905 $2,315 $14,161 $7,241 
AVERAGE BALANCES:
Assets$21,253,171 $18,508,785 $20,832,683 $18,425,723 
Loans15,423,286 13,211,729 15,175,407 13,077,288 
Earning Assets19,583,204 17,158,984 19,215,138 17,060,278 
Deposits16,638,273 14,632,113 16,360,912 14,526,314 
Stockholders' Equity2,702,249 2,340,010 2,679,131 2,340,440 
FINANCIAL RATIOS:
Return on Average Assets0.83 %1.23 %0.69 %1.22 %
Return on Average Stockholders' Equity6.44 9.63 5.32 9.51 
Return on Tangible Common Stockholders' Equity1
9.80 14.49 8.10 14.30 
Average Earning Assets to Average Assets92.14 92.71 92.24 92.59 
Allowance for Credit Losses - Loans as % of Loans1.56 1.47 1.56 1.47 
Net Charge-offs as % of Average Loans (Annualized)0.10 0.07 0.19 0.11 
Average Stockholders' Equity to Average Assets12.71 12.64 12.86 12.70 
Fully Taxable Equivalent (FTE) Yield on Average Earning Assets5.46 5.50 5.43 5.45 
Interest Expense/Average Earning Assets2.08 2.25 2.07 2.22 
Net Interest Margin FTE1
3.38 3.25 3.36 3.23 
Efficiency Ratio1
55.11 53.99 63.75 54.26 

ASSET QUALITY
(Dollars In Thousands)June 30,March 31,December 31,September 30,June 30,
20262026202520252025
Nonaccrual Loans$118,203 $89,592 $71,773 $65,740 $67,358 
Other Real Estate Owned and Repossessions1,562 1,264 658 1,270 177 
Nonperforming Assets (NPA)119,765 90,856 72,431 67,010 67,535 
Accruing Loans 90+ Days Delinquent9,738 4,078 2,042 1,925 4,443 
NPAs & 90+ Days Delinquent$129,503 $94,934 $74,473 $68,935 $71,978 
Allowance for Credit Losses - Loans$241,615 $212,520 $195,597 $194,468 $195,316 
Quarterly Net Charge-offs3,905 10,256 6,021 5,148 2,315 
NPAs / Assets %0.56 %0.43 %0.38 %0.36 %0.36 %
NPAs & 90 Day / Assets %0.61 %0.45 %0.39 %0.37 %0.39 %
NPAs / Loans and OREO %0.77 %0.60 %0.52 %0.49 %0.51 %
Allowance for Credit Losses - Loans as % of Loans1.56 %1.39 %1.42 %1.43 %1.47 %
Quarterly Net Charge-offs as % of Average Loans (Annualized)0.10 %0.27 %0.18 %0.15 %0.07 %





CONSOLIDATED BALANCE SHEETS (Unaudited)
(Dollars In Thousands, Except Per Share Amounts)June 30,March 31,December 31,September 30,June 30,
20262026202520252025
ASSETS
Cash and due from banks$86,665 $98,083 $84,158 $88,079 $81,567 
Interest-bearing deposits529,432 175,354 196,300 168,706 223,343 
Investment securities available for sale1,384,392 1,372,417 1,407,102 1,386,903 1,358,130 
Investment securities held to maturity, net of allowance for credit losses1,907,684 1,937,485 1,971,539 1,995,488 2,022,826 
Loans held for sale77,880 401,839 20,079 23,190 28,783 
Loans15,530,737 15,261,889 13,791,707 13,591,174 13,296,759 
Less: Allowance for credit losses - loans(241,615)(212,520)(195,597)(194,468)(195,316)
Net loans15,289,122 15,049,369 13,596,110 13,396,706 13,101,443 
Premises and equipment148,164 146,013 121,058 121,771 122,808 
Federal Home Loan Bank stock70,818 70,835 47,245 47,264 47,290 
Interest receivable101,927 97,026 93,374 89,102 93,258 
Goodwill788,186 782,789 712,002 712,002 712,002 
Other intangibles38,972 41,678 13,800 15,298 16,797 
Cash surrender value of life insurance373,242 371,238 308,438 306,583 305,695 
Other real estate owned1,562 1,264 658 1,270 177 
Tax asset, deferred and receivable113,975 116,814 78,664 89,758 97,749 
Other assets436,744 410,317 374,574 369,509 380,909 
TOTAL ASSETS$21,348,765 $21,072,521 $19,025,101 $18,811,629 $18,592,777 
LIABILITIES
Deposits:
Noninterest-bearing$3,831,836 $3,748,279 $2,137,262 $2,100,570 $2,197,416 
Interest-bearing12,921,545 12,737,338 13,157,593 12,769,409 12,600,162 
Total Deposits16,753,381 16,485,617 15,294,855 14,869,979 14,797,578 
Borrowings:
Federal funds purchased— 170,000 40,000 199,370 85,000 
Securities sold under repurchase agreements103,340 89,458 103,755 122,226 114,758 
Federal Home Loan Bank advances1,414,059 1,299,192 798,549 798,626 898,702 
Subordinated debentures and other borrowings86,350 86,345 57,630 57,632 62,617 
Total Borrowings1,603,749 1,644,995 999,934 1,177,854 1,161,077 
Interest payable17,491 18,890 18,235 18,240 16,174 
Other liabilities276,967 250,454 245,410 333,154 269,996 
Total Liabilities18,651,588 18,399,956 16,558,434 16,399,227 16,244,825 
STOCKHOLDERS' EQUITY
Preferred Stock, $1,000 par value, $1,000 liquidation value:
Authorized -- 600 cumulative shares
Issued and outstanding - 125 cumulative shares125 125 125 125 125 
Preferred Stock, Series A, no par value, $2,500 liquidation preference:
Authorized -- 10,000 non-cumulative perpetual shares
Issued and outstanding - 10,000 non-cumulative perpetual shares25,000 25,000 25,000 25,000 25,000 
Common Stock, $0.125 stated value:
Authorized -- 100,000,000 shares
Issued and outstanding7,776 7,813 7,119 7,149 7,159 
Additional paid-in capital1,358,975 1,369,879 1,150,816 1,158,026 1,163,170 
Retained earnings1,438,894 1,418,609 1,413,742 1,377,966 1,342,473 
Accumulated other comprehensive loss(133,593)(148,861)(130,135)(155,864)(189,975)
Total Stockholders' Equity2,697,177 2,672,565 2,466,667 2,412,402 2,347,952 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY$21,348,765 $21,072,521 $19,025,101 $18,811,629 $18,592,777 









CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
(Dollars In Thousands, Except Per Share Amounts)June 30,March 31,December 31,September 30,June 30,
20262026202520252025
INTEREST INCOME
Loans:
Taxable$226,531 $213,627 $203,120 $200,406 $195,173 
Tax-exempt11,823 11,589 10,905 11,173 10,805 
Investment securities:
Taxable7,355 7,547 7,736 8,288 8,266 
Tax-exempt12,458 12,597 12,459 12,460 12,516 
Deposits with financial institutions1,147 1,244 2,187 1,676 1,892 
Federal Home Loan Bank stock1,525 1,965 1,037 1,092 1,083 
Total Interest Income260,839 248,569 237,444 235,095 229,735 
INTEREST EXPENSE
Deposits86,254 84,093 88,670 90,821 84,241 
Federal funds purchased717 590 218 224 965 
Securities sold under repurchase agreements419 332 405 654 663 
Federal Home Loan Bank advances13,190 11,048 8,047 8,638 9,714 
Subordinated debentures and other borrowings1,318 1,203 1,040 1,093 1,138 
Total Interest Expense101,898 97,266 98,380 101,430 96,721 
NET INTEREST INCOME158,941 151,303 139,064 133,665 133,014 
Provision for credit losses33,000 4,900 7,150 4,300 5,600 
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES125,941 146,403 131,914 129,365 127,414 
NONINTEREST INCOME
Service charges on deposit accounts9,372 9,037 8,704 8,921 8,566 
Fiduciary and wealth management fees9,638 9,768 9,175 8,842 8,831 
Card payment fees5,505 5,275 5,325 5,007 4,932 
Net gains and fees on sales of loans7,742 6,511 5,421 4,983 5,849 
Derivative hedge fees1,117 564 1,053 1,097 831 
Other customer fees880 593 315 414 401 
Earnings on bank-owned life insurance2,325 3,446 1,854 1,667 1,913 
Net realized losses on sales of available for sale securities— — — — (1)
Net loss on mortgage loans reclassified to held for sale— (29,755)— — — 
Other income (loss)577 390 1,259 1,546 (19)
Total Noninterest Income37,156 5,829 33,106 32,477 31,303 
NONINTEREST EXPENSE
Salaries and employee benefits65,774 69,443 58,254 57,317 54,527 
Net occupancy8,227 8,301 7,283 7,057 6,845 
Equipment8,603 7,818 7,681 6,998 6,927 
Marketing2,370 1,601 2,324 2,120 1,997 
Outside data processing fees8,045 7,190 7,509 6,943 7,107 
Printing and office supplies491 377 450 311 272 
Intangible asset amortization2,706 2,302 1,498 1,499 1,505 
FDIC assessments4,390 3,893 2,684 3,526 3,552 
Other real estate owned and foreclosure expenses1,052 1,100 775 121 29 
Professional and other outside services4,979 14,593 3,774 3,718 3,741 
Other expenses8,710 8,527 7,290 6,951 7,096 
Total Noninterest Expense115,347 125,145 99,522 96,561 93,598 
Income Before Income Taxes47,750 27,087 65,498 65,281 65,119 
Income tax expense (benefit)3,770 (1,069)8,433 8,516 8,287 
NET INCOME43,980 28,156 57,065 56,765 56,832 
Preferred stock dividends469 469 469 468 469 
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS$43,511 $27,687 $56,596 $56,297 $56,363 
PER SHARE DATA:
Basic Net Income Available to Common Stockholders$0.70 $0.46 $0.99 $0.98 $0.98 
Diluted Net Income Available to Common Stockholders$0.70 $0.45 $0.99 $0.98 $0.98 
Cash Dividends Paid to Common Stockholders$0.37 $0.36 $0.36 $0.36 $0.36 
Tangible Common Book Value Per Share1
$29.80 $29.34 $30.18 $29.08 $27.90 
Average Diluted Common Shares Outstanding (in thousands)62,574 61,008 57,442 57,448 57,773 
FINANCIAL RATIOS:
Return on Average Assets0.83 %0.55 %1.20 %1.22 %1.23 %
Return on Average Stockholders' Equity6.44 4.17 9.23 9.51 9.63 
Return on Tangible Common Stockholders' Equity1
9.80 6.39 13.57 14.21 14.49 
Average Earning Assets to Average Assets92.14 92.33 92.69 92.73 92.71 
Allowance for Credit Losses - Loans as % of Total Loans1.56 1.39 1.42 1.43 1.47 
Net Charge-offs as % of Average Loans (Annualized)0.10 0.27 0.18 0.15 0.07 
Average Stockholders' Equity to Average Assets12.71 13.01 12.88 12.71 12.64 
Fully Taxable Equivalent (FTE) Yield on Average Earning Assets5.46 5.41 5.52 5.58 5.50 
Interest Expense/Average Earning Assets2.08 2.06 2.23 2.34 2.25 
Net Interest Margin FTE1
3.38 3.35 3.29 3.24 3.25 
Efficiency Ratio1
55.11 74.45 54.52 55.09 53.99 





LOANS
(Dollars In Thousands)June 30,March 31,December 31,September 30,June 30,
20262026202520252025
Commercial and industrial loans$4,720,441 $4,611,596 $4,478,282 $4,604,895 $4,440,924 
Agricultural land, production and other loans to farmers323,348 310,788 283,125 275,817 265,172 
Real estate loans:
Construction874,419 899,895 804,775 789,021 836,033 
Commercial real estate, non-owner occupied3,271,620 3,192,337 2,338,666 2,304,889 2,171,092 
Commercial real estate, owner occupied1,368,627 1,334,959 1,237,100 1,232,117 1,226,797 
Residential2,361,480 2,273,860 2,420,310 2,412,783 2,397,094 
Home equity1,118,662 1,104,739 710,980 687,021 673,961 
Individuals' loans for household and other personal expenditures149,878 153,283 155,436 138,703 141,045 
Public finance and other commercial loans1,342,262 1,380,432 1,363,033 1,145,928 1,144,641 
Loans15,530,737 15,261,889 13,791,707 13,591,174 13,296,759 
Allowance for credit losses - loans(241,615)(212,520)(195,597)(194,468)(195,316)
NET LOANS$15,289,122 $15,049,369 $13,596,110 $13,396,706 $13,101,443 

DEPOSITS
(Dollars In Thousands)June 30,March 31,December 31,September 30,June 30,
20262026202520252025
Demand deposits$8,570,517 $8,009,548 $7,770,473 $7,645,698 $7,798,695 
Savings deposits6,043,560 6,204,526 5,481,785 5,164,707 4,984,659 
Certificates and other time deposits of $100,000 or less666,369 665,639 603,690 627,828 617,857 
Certificates and other time deposits of $100,000 or more1,054,075 1,012,922 915,293 910,337 891,139 
Brokered certificates of deposits (1)
418,860 592,982 523,614 521,409 505,228 
TOTAL DEPOSITS$16,753,381 $16,485,617 $15,294,855 $14,869,979 $14,797,578 

(1) Total brokered deposits of $1.3 billion, which includes brokered CD's of $418.9 million at June 30, 2026.








CONSOLIDATED AVERAGE BALANCE SHEET AND NET INTEREST MARGIN ANALYSIS
(Dollars In Thousands)
Three Months Ended
June 30, 2026June 30, 2025
Average BalanceInterest
 Income /
Expense		Average
Rate		Average BalanceInterest
 Income /
Expense		Average
Rate
ASSETS
Interest-bearing deposits$228,468 $1,147 2.01 %$252,613 $1,892 3.00 %
Federal Home Loan Bank stock70,826 1,525 8.61 46,598 1,083 9.30 
Investment Securities: (1)
Taxable1,457,179 7,355 2.02 1,605,718 8,266 2.06 
Tax-exempt (2)
2,024,323 15,769 3.12 2,042,326 15,843 3.10 
Total Investment Securities3,481,502 23,124 2.66 3,648,044 24,109 2.64 
Loans held for sale379,122 4,541 4.79 25,411 389 6.12 
Loans: (3)
Commercial10,809,590 172,562 6.39 9,006,650 154,108 6.84 
Real estate mortgage2,133,638 26,859 5.04 2,200,521 25,062 4.56 
HELOC and installment1,281,529 22,569 7.04 834,901 15,614 7.48 
Tax-exempt (2)
1,198,529 14,903 4.97 1,144,246 13,677 4.78 
Total Loans, including loans held for sale15,802,408 241,434 6.11 13,211,729 208,850 6.32 
Total Earning Assets19,583,204 267,230 5.46 %17,158,984 235,934 5.50 %
Total Non-Earning Assets1,669,967 1,349,801 
TOTAL ASSETS$21,253,171 $18,508,785 
LIABILITIES
Interest-Bearing Deposits:
Interest-bearing deposits$4,515,106 $31,239 2.77 %$5,545,158 $35,303 2.55 %
Money market deposits4,731,251 33,269 2.81 3,613,952 28,714 3.18 
Savings deposits1,424,566 2,279 0.64 1,282,951 2,513 0.78 
Certificates and other time deposits2,241,647 19,467 3.47 2,003,682 17,711 3.54 
Total Interest-Bearing Deposits12,912,570 86,254 2.67 12,445,743 84,241 2.71 
Borrowings1,640,431 15,644 3.81 1,250,519 12,480 3.99 
Total Interest-Bearing Liabilities14,553,001 101,898 2.80 13,696,262 96,721 2.82 
Noninterest-bearing deposits3,725,703 2,186,370 
Other liabilities272,218 286,143 
Total Liabilities18,550,922 16,168,775 
STOCKHOLDERS' EQUITY2,702,249 2,340,010 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY$21,253,171 $18,508,785 
Net Interest Income (FTE)$165,332 $139,213 
Net Interest Spread (FTE) (4)
2.66 %2.68 %
Net Interest Margin (FTE):
Interest Income (FTE) / Average Earning Assets5.46 %5.50 %
Interest Expense / Average Earning Assets2.08 %2.25 %
Net Interest Margin (FTE) (5)
3.38 %3.25 %
(1) Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments. Annualized amounts are computed using a 30/360 day basis.
(2) Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2026 and 2025. These totals equal $6.4 million and $6.2 million for the three months ended June 30, 2026 and 2025, respectively.
(3) Non accruing loans have been included in the average balances.
(4) Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.
(5) Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.






CONSOLIDATED AVERAGE BALANCE SHEET AND NET INTEREST MARGIN ANALYSIS
(Dollars In Thousands)
Six Months Ended
June 30, 2026June 30, 2025
Average BalanceInterest
 Income /
Expense		Average
Rate		Average BalanceInterest
 Income /
Expense		Average
Rate
ASSETS
Federal Funds Sold
Interest-bearing deposits$220,361 $2,391 2.17 %$273,200 $4,264 3.12 %
Federal Home Loan Bank stock66,795 3,490 10.45 45,296 2,080 9.18 
Investment Securities: (1)
Taxable1,483,615 14,902 2.01 1,620,005 16,638 2.05 
Tax-exempt (2)
2,043,092 31,715 3.10 2,044,489 31,687 3.10 
Total Investment Securities3,526,707 46,617 2.64 3,664,494 48,325 2.64 
Loans held for sale225,868 5,968 5.28 23,190 708 6.11 
Loans: (3)
Commercial10,523,765 337,327 6.41 8,889,119 301,880 6.79 
Real estate mortgage2,250,726 54,774 4.87 2,195,988 49,508 4.51 
HELOC and installment1,203,122 42,089 7.00 831,904 30,805 7.41 
Tax-exempt (2)
1,197,794 29,537 4.93 1,137,087 27,009 4.75 
Total Loans, including loans held for sale15,401,275 469,695 6.10 13,077,288 409,910 6.27 
Total Earning Assets19,215,138 522,193 5.43 %17,060,278 464,579 5.45 %
Total Non-Earning Assets1,617,545 1,365,445 
TOTAL ASSETS$20,832,683 $18,425,723 
LIABILITIES
Interest-Bearing deposits:
Interest-bearing deposits$4,970,120 $61,020 2.46 %$5,533,858 $69,909 2.53 %
Money market deposits4,649,219 65,317 2.81 3,526,461 54,666 3.10 
Savings deposits1,398,327 4,512 0.65 1,291,133 4,958 0.77 
Certificates and other time deposits2,242,527 39,498 3.52 1,975,923 35,255 3.57 
Total Interest-Bearing Deposits13,260,193 170,347 2.57 12,327,375 164,788 2.67 
Borrowings1,524,974 28,817 3.78 1,256,688 24,181 3.85 
Total Interest-Bearing Liabilities14,785,167 199,164 2.69 13,584,063 188,969 2.78 
Noninterest-bearing deposits3,100,719 2,198,939 
Other liabilities267,666 302,281 
Total Liabilities18,153,552 16,085,283 
STOCKHOLDERS' EQUITY2,679,131 2,340,440 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY$20,832,683 $18,425,723 
Net Interest Income (FTE)$323,029 $275,610 
Net Interest Spread (FTE) (4)
2.74 %2.67 %
Net Interest Margin (FTE):
Interest Income (FTE) / Average Earning Assets5.43 %5.45 %
Interest Expense / Average Earning Assets2.07 %2.22 %
Net Interest Margin (FTE) (5)
3.36 %3.23 %
(1) Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments. Annualized amounts are computed using a 30/360 day basis.
(2) Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2026 and 2025. These totals equal $12.8 million and $12.3 million for the six months ended June 30, 2026 and 2025, respectively.
(3) Non accruing loans have been included in the average balances.
(4) Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.
(5) Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.










ADJUSTED NET INCOME AND DILUTED EARNINGS PER COMMON SHARE (NON-GAAP)
(Dollars In Thousands, Except Per Share Amounts)Three Months EndedSix Months Ended
June 30,March 31,December 31,September 30,June 30,June 30,June 30,
2026202620252025202520262025
Net Income Available to Common Stockholders (GAAP)$43,511 $27,687 $56,596 $56,297 $56,363 $71,198 $111,233 
Adjustments:
Net realized losses on sales of available for sale securities— — — — 1 — 8 
Net loss on mortgage loans reclassified to held for sale— 29,755 — — — 29,755 — 
Acquisition-related expenses3,830 16,968 524 276 — 20,798 — 
Non-core expenses (1)(2)
— — (743)633 — — — 
Tax on adjustments(925)(11,279)53 (220)— (12,204)(2)
Adjusted Net Income Available to Common Stockholders (non-GAAP)$46,416 $63,131 $56,430 $56,986 $56,364 $109,547 $111,239 
Average Diluted Common Shares Outstanding (in thousands)62,574 61,008 57,442 57,448 57,773 61,795 58,005 
Diluted Earnings Per Common Share (GAAP)$0.70 $0.45 $0.99 $0.98 $0.98 $1.15 $1.92 
Adjustments:
Net realized losses on sales of available for sale securities— — — — — — — 
Net loss on mortgage loans reclassified to held for sale— 0.49 — — — 0.48 — 
Acquisition-related expenses0.06 0.28 — — — 0.34 — 
Non-core expenses (1)(2)
— — (0.01)0.01 — — — 
Tax on adjustments(0.02)(0.19)— — — (0.20)— 
Adjusted Diluted Earnings Per Common Share (non-GAAP)$0.74 $1.03 $0.98 $0.99 $0.98 $1.77 $1.92 
(1) Non-core expenses in the Three Months Ended December 31, 2025 included a $0.7 million reduction in the FDIC special assessment
(2) Non-core expenses in the Three Months Ended September 30, 2025 included $0.6 million of severance costs




PRE-TAX, PRE-PROVISION ("PTPP") EARNINGS, AS ADJUSTED (NON-GAAP)
(Dollars In Thousands)Three Months EndedSix Months Ended
June 30,March 31,December 31,September 30,June 30,June 30,June 30,
2026202620252025202520262025
Net Interest Income (GAAP)$158,941 $151,303 $139,064 $133,665 $133,014 $310,244 $263,284 
Noninterest Income (GAAP)37,156 5,829 33,106 32,477 31,303 42,985 61,351 
Total Revenue196,097 157,132 172,170 166,142 164,317 353,229 324,635 
Less: Noninterest Expense (GAAP)(115,347)(125,145)(99,522)(96,561)(93,598)(240,492)(186,500)
Add: Net Realized Losses on Sales of Available for Sale Securities— — — — 1 — 8 
Add: Net loss on mortgage loans reclassified to held for sale— 29,755 — — — 29,755 — 
Add: Acquisition-Related Expenses (non-GAAP)3,830 16,968 524 276 — 20,798 — 
Add: Non-core Expenses (1)(2) (non-GAAP)
— — (743)633 — — — 
Pre-Tax, Pre-Provision Earnings (non-GAAP)$84,580 $78,710 $72,429 $70,490 $70,720 $163,290 $138,143 
Average Assets (GAAP)$21,253,171 $20,407,523 $19,039,989 $18,637,581 $18,508,785 $20,832,683 $18,425,723 
Average Equity (GAAP)$2,702,249 $2,655,756 $2,452,005 $2,367,971 $2,340,010 $2,679,131 $2,340,440 
PTPP/Average Assets (PTPP ROA)1.59 %1.54 %1.52 %1.51 %1.53 %1.57 %1.50 %
PTPP/Average Equity (PTPP ROE)12.52 %11.86 %11.82 %11.91 %12.09 %12.19 %11.80 %

(1) Non-core expenses in the Three Months Ended December 31, 2025 included a $0.7 million reduction in the FDIC special assessment
(2) Non-core expenses in the Three Months Ended September 30, 2025 included $0.6 million of severance costs




NET INTEREST MARGIN (FTE) (NON-GAAP)
(Dollars in Thousands)
Three Months EndedSix Months Ended
June 30,March 31,December 31,September 30,June 30,June 30,June 30,
2026202620252025202520262025
Net Interest Income (GAAP)$158,941 $151,303 $139,064 $133,665 $133,014 $310,244 $263,284 
Fully Taxable Equivalent ("FTE") Adjustment6,391 6,394 6,185 6,209 6,199 12,785 12,326 
Net Interest Income (FTE) (Non-GAAP)$165,332 $157,697 $145,249 $139,874 $139,213 $323,029 $275,610 
Average Earning Assets (GAAP)$19,583,204 $18,842,984 $17,648,233 $17,282,901 $17,158,984 $19,215,138 $17,060,278 
Net Interest Margin (GAAP)3.25 %3.21 %3.15 %3.09 %3.10 %3.23 %3.09 %
FTE Adjustment0.13 %0.14 %0.14 %0.15 %0.15 %0.13 %0.14 %
Net Interest Margin (FTE) (Non-GAAP)3.38 %3.35 %3.29 %3.24 %3.25 %3.36 %3.23 %



RETURN ON TANGIBLE COMMON EQUITY (NON-GAAP)
(Dollars In Thousands)Three Months EndedSix Months Ended
June 30,March 31,December 31,September 30,June 30,June 30,June 30,
2026202620252025202520262025
Total Average Stockholders' Equity (GAAP)$2,702,249 $2,655,756 $2,452,005 $2,367,971 $2,340,010 $2,679,131 $2,340,440 
Less: Average Preferred Stock(25,125)(25,125)(25,125)(25,125)(25,125)(25,125)(25,125)
Less: Average Intangible Assets, Net of Tax(813,608)(784,490)(723,466)(724,619)(725,813)(799,129)(726,362)
Average Tangible Common Equity, Net of Tax (non-GAAP)$1,863,516 $1,846,141 $1,703,414 $1,618,227 $1,589,072 $1,854,877 $1,588,953 
Net Income Available to Common Stockholders (GAAP)$43,511 $27,687 $56,596 $56,297 $56,363 $71,198 $111,233 
Plus: Intangible Asset Amortization, Net of Tax2,137 1,819 1,183 1,185 1,188 3,956 2,394 
Tangible Net Income (Non-GAAP)$45,648 $29,506 $57,779 $57,482 $57,551 $75,154 $113,627 
Return on Tangible Common Equity (non-GAAP)9.80 %6.39 %13.57 %14.21 %14.49 %8.10 %14.30 %







EFFICIENCY RATIO (NON-GAAP)
(Dollars In Thousands)Three Months EndedSix Months Ended
June 30,March 31,December 31,September 30,June 30,June 30,June 30,
2026202620252025202520262025
Noninterest Expense (GAAP)$115,347 $125,145 $99,522 $96,561 $93,598 $240,492 $186,500 
Less: Intangible Asset Amortization(2,706)(2,302)(1,498)(1,499)(1,505)(5,008)(3,031)
Less: OREO and Foreclosure Expenses(1,052)(1,100)(775)(121)(29)(2,152)(629)
Adjusted Noninterest Expense (non-GAAP)$111,589 $121,743 $97,249 $94,941 $92,064 $233,332 $182,840 
Net Interest Income (GAAP)$158,941 $151,303 $139,064 $133,665 $133,014 $310,244 $263,284 
Plus: Fully Taxable Equivalent Adjustment6,391 6,394 6,185 6,209 6,199 12,785 12,326 
Net Interest Income on a Fully Taxable Equivalent Basis (non-GAAP)$165,332 $157,697 $145,249 $139,874 $139,213 $323,029 $275,610 
Noninterest Income (GAAP)$37,156 $5,829 $33,106 $32,477 $31,303 $42,985 $61,351 
Less: Investment Securities (Gains) Losses— — — — 1 — 8 
Adjusted Noninterest Income (non-GAAP)$37,156 $5,829 $33,106 $32,477 $31,304 $42,985 $61,359 
Adjusted Revenue (non-GAAP)$202,488 $163,526 $178,355 $172,351 $170,517 $366,014 $336,969 
Efficiency Ratio (non-GAAP)55.11 %74.45 %54.52 %55.09 %53.99 %63.75 %54.26 %
Adjusted Noninterest Expense (non-GAAP)$111,589 $121,743 $97,249 $94,941 $92,064 $233,332 $182,840 
Less: Acquisition-related Expenses(3,830)(16,968)(524)(276)— (20,798)— 
Less: Non-core Expenses (1)(2)
— — 743 (633)— — — 
Adjusted Noninterest Expense Excluding Non-core Expenses (non-GAAP)$107,759 $104,775 $97,468 $94,032 $92,064 $212,534 $182,840 
Adjusted Revenue (non-GAAP)$202,488 $163,526 $178,355 $172,351 $170,517 $366,014 $336,969 
Add: Net loss on mortgage loans reclassified to held for sale— 29,755 — — — 29,755 — 
Adjusted Revenue Excluding Net loss on mortgage loans reclassified to held for sale (non-GAAP)$202,488 $193,281 $178,355 $172,351 $170,517 $395,769 $336,969 
Adjusted Efficiency Ratio (non-GAAP)53.22 %54.21 %54.65 %54.56 %53.99 %53.70 %54.26 %

(1) Non-core expenses in the Three Months Ended December 31, 2025 included a $0.7 million reduction in the FDIC special assessment
(2) Non-core expenses in the Three Months Ended September 30, 2025 included $0.6 million of severance costs



Investor Update Second Quarter 2026

 

Forward Looking Statements This presentation contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can often, but not always, be identified by the use of words like “believe”, “continue”, “pattern”, “estimate”, “project”, “intend”, “anticipate”, “expect” and similar expressions or future or conditional verbs such as “will”, “would”, “should”, “could”, “might”, “can”, “may”, or similar expressions. These forward- looking statements include, but are not limited to, statements relating to the expected benefits of the merger (the “Merger”) between First Merchants Corporation (“First Merchants”) and First Savings Financial Group, Inc. (“First Savings”), including future financial and operating results, cost savings, enhanced revenues, and accretion/dilution to reported earnings that may be realized from the Merger, as well as other statements of expectations regarding the Merger, and other statements of First Merchants’ goals, intentions and expectations; statements regarding the First Merchants’ business plan and growth strategies; statements regarding the asset quality of First Merchants’ loan and investment portfolios; and estimates of First Merchants’ risks and future costs and benefits whether with respect to the Merger or otherwise. These forward-looking statements are subject to significant risks, assumptions and uncertainties that may cause results to differ materially from those set forth in forward-looking statements, including, among other things: the risk that the businesses of First Merchants and First Savings will not be integrated successfully or such integration may be more difficult, time-consuming or costly than expected; expected revenue synergies and cost savings from the Merger may not be fully realized or realized within the expected time frame; revenues following the Merger may be lower than expected; customer and employee relationships and business operations may be disrupted by the Merger; possible changes in monetary and fiscal policies, and laws and regulations; the effects of easing restrictions on participants in the financial services industry; the cost and other effects of legal and administrative cases; possible changes in the credit worthiness of customers and the possible impairment of collectability of loans; fluctuations in market rates of interest; competitive factors in the banking industry; changes in the banking legislation or regulatory requirements of federal and state agencies applicable to bank holding companies and banks like First Merchants’ affiliate bank; continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; changes in market, economic, operational, liquidity (including the ability to grow and maintain core deposits and retain large uninsured deposits), credit and interest rate risks associated with First Merchants’ business; the impacts of epidemics, pandemics or other infectious disease outbreaks; and other risks and factors identified in each of First Merchants’ filings with the Securities and Exchange Commission (“SEC”). First Merchants undertakes no obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this presentation or press release. In addition, First Merchants’ past results of operations do not necessarily indicate its anticipated future results. NON-GAAP FINANCIAL MEASURES These slides contain non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of the registrant’s historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows (or equivalent statements) of the issuer; or includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented. In this regard, GAAP refers to generally accepted accounting principles in the United States. Pursuant to the requirements of Regulation G, First Merchants Corporation has provided reconciliations within the slides, as necessary, of the non-GAAP financial measure to the most directly comparable GAAP financial measure. 2

 

Executive Management Team 3 Mark Hardwick Chief Executive Officer Mark K. Hardwick currently serves as the Chief Executive Officer of First Merchants Corporation and First Merchants Bank. Mark joined First Merchants in November of 1997 as Corporate Controller and was promoted to Chief Financial Officer in April of 2002. In 2016, Mark’s title expanded to include Chief Operating Officer, overseeing the leadership responsibilities for finance, operations, technology, risk, legal, and facilities for the corporation. Prior to joining First Merchants Corporation, Mark served as a senior accountant with BKD, LLP in Indianapolis. Mark is a graduate of Ball State University with a Master of Business Administration and Bachelor’s degree in Accounting. He is also a certified public accountant and a graduate of the Stonier School of Banking. FMB: 28 Yrs Banking: 28 Yrs FMB: 11 Yrs Banking: 23 Yrs Michele Kawiecki Chief Financial Officer Michele Kawiecki currently serves as Executive Vice President and Chief Financial Officer for First Merchants Corporation and First Merchants Bank. Michele joined First Merchants in 2015 as Director of Finance. Prior to joining First Merchants, Michele spent 12 years with UMB Financial Corporation in Kansas City, Missouri having served as Senior Vice President of Capital Management and Assistant Treasurer; Director of Corporate Development and the Enterprise Project Management Office; and Chief Risk Officer. Prior to UMB, she worked for PriceWaterhouseCoopers LLP as an Audit Manager. Michele earned both a Master of Science in Accounting and an Executive Master of Business Administration from the University of Missouri-Kansas City and a Bachelor’s degree in Accounting from Dakota Wesleyan University. FMB: 18 Yrs Banking: 37 Yrs Mike Stewart President Mike Stewart currently serves as President for First Merchants Corporation and First Merchants Bank overseeing the Commercial, Private Wealth, and Consumer Lines of Business for the Bank. Mike joined the bank in 2008 as Chief Banking Officer. Prior to joining First Merchants, Mike spent 18 years with National City Bank in various commercial sales and credit roles. Mike has a Master of Business Administration from Butler University and a Bachelor’s degree in Finance from Millikin University. FMB: 18 Yrs Banking: 36 Yrs John Martin Chief Credit Officer John Martin currently serves as Executive Vice President and Chief Credit Officer of First Merchants Corporation overseeing the Commercial, Small Business and Consumer Credit functions, as well as Bank Operations and the Mortgage Line of Business. Prior to joining First Merchants, John spent 18 years with National City Bank in various sales and senior credit roles. John is a graduate of Indiana University where he earned a Bachelor of Arts in Economics. He also holds a Master of Business Administration in Finance from Case Western Reserve University. Mark Hardwick – 11/03/1997 Mike Stewart - 02/01/2008 1988 Banking Start John Martin – 12/31/2007 Michele Kawiecki – 03/02/2015

 

First Merchants Corporation (NASDAQ: FRME) Financial Highlights as of 6/30/20261 $21.3 Billion $15.5 Billion $16.8 Billion $6.7 Billion Assets Under Advisement2 Total Assets Total Loans Total Deposits TCE/TA YTD Return on TCE YTD ROAA Dividend Yield Price / Tangible Book Price / LTM EPS 0.69% 8.99% 8.10% 3.32% 1.47x 14.0x Market Cap $2.7B Largest financial services holding company headquartered in Central Indiana 126 Banking Centers 1Reported values impacted by acquisition-related expenses and net loss on mortgage loan sale 2Includes $4.4 billion in assets under management; excludes $0.3 billion in custody assets 4 1.06% 12.23% Reported Adjusted

 

Second Quarter Highlights 5 ▪ Reported EPS of $0.70 compared to $0.98 in 2Q25; excluding acquisition-related expenses ($3.8 million), adjusted EPS of $0.741,2 compared to EPS of $0.981,2 in 2Q25 ▪ Earnings impacted by elevated provision of $33.0 million driven by two non-accrual commercial credits ▪ Strong PTPP earnings of $84.6 million, with PTPP ROA of 1.59% and PTPP ROE of 12.52%2 ▪ PTPP growth of $5.9 million, or 7.5% linked quarter2 ▪ Strong organic loan growth of $221.7 million, or 5.8% annualized ▪ Completed sale of mortgage loans with fair value of $271.1 million and weighted average rate of 3.43% ▪ Efficiency ratio of 55.11%; adjusted efficiency ratio of 53.22% when excluding acquisition-related expenses ▪ System integration of First Savings completed during the quarter ▪ Repurchased 336,145 shares totaling $13.4 million during the quarter ▪ Maintained a strong capital position with tangible common equity ratio of 8.99% 6.44% ROE 9.80% ROTCE2 ROE & ROTCE (Annualized) $43.5 Million $0.70 Per Share Net Income & EPS1 1Net Income and EPS reported on a diluted basis and for common stockholders 2See “Non-GAAP Financial Information” for reconciliation 0.83% ROA 1.59% PTPP ROA2 ROA (Annualized)

 

Year to Date Highlights 6 5.32% ROE 8.10% ROTCE2 Reported ROE & ROTCE (Annualized) $71.2 Million $1.15 Per Share Reported Net Income & EPS1 0.69% ROA 1.57% PTPP ROA2 Reported ROA (Annualized) ▪ Reported EPS of $1.15 compared to $1.92 in prior year; excluding acquisition-related expenses ($20.8 million) and the net loss on mortgage loans sold ($29.8 million), adjusted EPS of $1.771,2 compared to EPS of $1.921,2 in prior year ▪ Strong PTPP earnings of $163.3 million, with PTPP ROA of 1.57% and PTPP ROE of 12.19%2 ▪ PTPP growth of $25.1 million, or 18.2% year to date2 ▪ Efficiency ratio of 63.75%; adjusted efficiency ratio of 53.70% when excluding acquisition-related expenses and the mortgage loan reclassification ▪ Legal close of the acquisition of First Savings in Jeffersonville, Indiana on February 1, 2026 ▪ System integration completed in the second quarter 2026 ▪ Repurchased 976,631 shares totaling $38.3 million year to date $109.5 Million $1.77 Per Share Adjusted Net Income & EPS1,2 8.18% ROE 12.23% ROTCE Adjusted ROE & ROTCE2 (Annualized) 1.06% ROA Adjusted ROA2 (Annualized) 1Net Income and EPS reported on a diluted basis and for common stockholders 2See “Non-GAAP Financial Information” for reconciliation

 

Business Strategy 7 Commercial Banking Private Wealth Advisors Consumer Banking Mortgage Banking Strategy: Advantages: We deliver flexible solutions through a high-touch, client-centric banking model supported by experienced teams and accessible leadership, focusing on in- footprint relationships with Whole Bank potential. • Client-Centric Relationship Banking • Experienced, Aligned Teams • Accessible Leadership • Speed & Flexibility Strategy: We help personal banking clients and small business owners prosper through a relationship-driven approach supported by strong digital capabilities and local market connectivity. • Client-Centric Strategy • Community Engagement • Career Development • Performance and Culture Advantages: Strategy: We partner with individuals, families and organizations to provide comprehensive solutions and personal service in pursuit of a secure financial future • Scalable technology and relationship data integration • Proactive service and client advocacy leveraging experience • Delivering a comprehensive and coordinated client experience • Connected and empowered resources in our Communities Advantages: Strategy: Differentiate First Merchants in the Mortgage Market through a rewarding experience that attracts loyal clients and high-performing talent, while driving net contribution and expanding household relationships across the bank. • Industry-leading technology with robust digital solutions • Leveraging self-sourced & internal referrals to unlock new opportunities • Resilient through every economic cycles • Products tailored to meet the needs of diverse customer needs Advantages: Our strategy is to build on our Midwestern strength – grow organically through more and deeper relationships enhanced through smarter use of technology and customer-centric products.

 

Loan Growth Summary1,2 Business Highlights - Loans 8 MSA and County ranking data per FDIC 1Commercial includes Public Finance, Consumer includes Private Wealth and Mortgage. Growth annualized. 2Growth excluding loans acquired from First Savings and the mortgage loan sale 3Southern Indiana includes Indiana counties in which First Merchants operates: Clark, Crawford, Daviess, Floyd, Harrison, and Washington Indianapolis Indianapolis MSA Rank:7 Deposits: $4.2B Loans: $5.0B Columbus Columbus MSA Rank: 15 Deposits: $0.7B Loans: $1.5B Northwest Indiana Lake County Rank: 5 Lafayette MSA Rank: 2 Deposits: $3.3B Loans: $2.2B Northeast Indiana Muncie MSA Rank: 1 Ft Wayne MSA Rank: 5 Deposits: $4.7B Loans: $2.1B Michigan Monroe MSA Rank: 1 Detroit MSA Rank: 11 Deposits: $2.5B Loans: $2.8B Southern Indiana Southern Indiana3 Rank: 1 Deposits: $1.4B Loans: $1.9B ▪ Strong Commercial growth during the quarter of ~$171 million, or 5.8% annualized growth ▪ C&I growth of ~$113 million ▪ Regional Banking growth of ~$66 million ▪ CRE Owner Occupied growth of ~$34 million ▪ IRE growth of ~$54 million ▪ CRE Non-Owner Occupied growth of ~$80 million ▪ Construction decline of ~$26 million ▪ Commercial pipelines remained strong at quarter end ▪ Consumer growth during the quarter of ~$51 million, or 5.8% annualized ▪ Residential Mortgage growth of ~$40 million, excluding loan sale ▪ Home Equity growth of ~$14 million ▪ Consumer pipelines remained strong at quarter end Commercial Consumer 2Q26 Balance ($B) Growth Commercial 11.9 5.8% Consumer 3.6 5.8% Total Loan Growth QTD 5.8% Total Loan Growth YTD 2.9%

 

Deposit Growth Summary1 Business Highlights - Deposits 9 MSA and County ranking data per FDIC 1Commercial includes Public Funds deposits and Consumer includes Private Wealth and Mortgage. Growth annualized. 2Growth excludes deposits acquired from First Savings 3Southern Indiana includes Indiana counties in which First Merchants operates: Clark, Crawford, Daviess, Floyd, Harrison, and Washington ▪ Commercial deposit drivers were: ▪ Core relationship balances increased ~$10 million ▪ A client company sale resulted in large, temporary deposit of ~$355 million. ▪ Public Funds balances had seasonal increases of ~$343 million ▪ Consumer deposit drivers were: ▪ Consumer non-maturity balances had seasonal declines of ~$208 million ▪ Maturity balance declined ~$12 million ▪ Private Wealth deposit declined ~$27 million Indianapolis Indianapolis MSA Rank:7 Deposits: $4.2B Loans: $5.0B Columbus Columbus MSA Rank: 15 Deposits: $0.7B Loans: $1.5B Northwest Indiana Lake County Rank: 5 Lafayette MSA Rank: 2 Deposits: $3.3B Loans: $2.2B Northeast Indiana Muncie MSA Rank: 1 Ft Wayne MSA Rank: 5 Deposits: $4.7B Loans: $2.1B Michigan Monroe MSA Rank: 1 Detroit MSA Rank: 11 Deposits: $2.5B Loans: $2.8B Southern Indiana Southern Indiana3 Rank: 1 Deposits: $1.4B Loans: $1.9B 2Q26 Balance ($B) Growth Commercial 8.7 35.6% Consumer 6.5 -12.5% Total Deposit Growth QTD 6.5% Total Deposit Growth YTD -3.0% Commercial Consumer

 

Second Quarter Financial Results 10 ▪ Net interest income increased $7.6 million, or 5.0%, benefiting from higher earning asset income ▪ Net interest margin - FTE of 3.38% increased 3 basis points over prior quarter ▪ Noninterest income increased $1.6 million, or 4.4%, excluding the $29.8 million loss on mortgage loans sold ▪ Noninterest expense increased $3.3 million or 3.1%, excluding acquisition costs ▪ $29.80 Tangible Book Value per share, or 1.6% over prior quarter 2Q26 Highlights 1See “Non-GAAP Financial Information” for reconciliation ($M except per share data) 6/30/25 9/30/25 12/31/25 3/31/26 6/30/26 Variance Linked Quarter % Variance Linked QTR- Annualized Balance Sheet & Asset Quality 1. Total Assets $18,592.8 $18,811.6 $19,025.1 $21,072.5 $21,348.8 $276.3 5.2% 2. Loans 13,325.5 13,614.4 13,811.8 15,261.9 15,530.7 268.8 7.0% 3. Investments 3,381.0 3,382.4 3,378.6 3,309.9 3,292.1 (17.8) -2.2% 4. Deposits 14,797.6 14,870.0 15,294.9 16,485.6 16,753.4 267.8 6.5% 5. Total Equity 2,348.0 2,412.4 2,466.7 2,672.6 2,697.2 24.6 3.7% 6. TCE Ratio 8.92% 9.18% 9.38% 9.00% 8.99% -0.01% 7. Total RBC Ratio 13.06 13.04 13.41 13.05 12.98 -0.07 8. ACL / Loans 1.47 1.43 1.42 1.39 1.56 0.17 9. NCOs / Avg Loans 0.07 0.15 0.18 0.27 0.10 -0.17 10. NPAs + 90PD / Assets 0.39 0.37 0.39 0.45 0.61 0.16 Summary Income Statement 11. Net Interest Income $133.0 $133.7 $139.1 $151.3 $158.9 $7.6 5.0% 12. Provision for Credit Losses 5.6 4.3 7.2 4.9 33.0 28.1 13. Noninterest Income 31.3 32.5 33.1 5.8 37.2 31.4 541.4% 14. Noninterest Expense 93.6 96.6 99.5 125.1 115.3 (9.8) -7.8% 15. Pre-tax Income 65.1 65.3 65.5 27.1 47.8 20.7 76.4% 16. Provision for Taxes 8.3 8.5 8.4 (1.1) 3.8 4.9 -445.5% 17. Net Income 56.8 56.8 57.1 28.2 44.0 15.8 56.0% 18. Preferred Stock Dividends 0.5 0.5 0.5 0.5 0.5 0.0 19. Net Income Available to Common Stockholders 56.3 56.4 56.6 27.7 43.5 15.8 57.0% 20. ROAA 1.23% 1.22% 1.20% 0.55% 0.83% 0.28% 21. ROAE 9.63 9.51 9.23 4.17 6.44 2.27 22. ROTCE1 14.49 14.21 13.57 6.39 9.80 3.41 23. Net Interest Margin - FTE 3.25 3.24 3.29 3.35 3.38 0.03 24. Efficiency Ratio1 53.99 55.09 54.52 74.45 55.11 -19.34 Per Share 25. Earnings per Diluted Share $0.98 $0.98 $0.99 $0.45 $0.70 $0.25 26. Tangible Book Value per Share1 27.90 29.08 30.18 29.34 29.80 0.46 27. Dividend per Share 0.36 0.36 0.36 0.36 0.37 0.01 28. Dividend Payout Ratio 36.7% 36.7% 36.4% 80.0% 52.9% -27.1% For the Three Months Ended,

 

Year to Date Financial Results 11 ▪ YTD results include First Savings operations since close on February 1 with system integration mid-May ▪ 53.70% Adjusted Efficiency Ratio1 ▪ Net interest income increase $46.9 million benefiting from growth and lower deposit pricing ▪ Net interest margin of 3.36% was 13 basis points higher than prior YTD margin of 3.23% ▪ Noninterest income increased $11.4 million, excluding the $29.8 million loss on mortgage loans sold ▪ Tangible Book Value per share totaled $29.80, or 6.8% over prior year Year to Date Highlights 1See “Non-GAAP Financial Information” for reconciliation ($M except per share data) 2024 2025 2026 Variance YOY % Variance YOY Balance Sheet & Asset Quality 1. Total Assets $18,303.4 $18,592.8 $21,348.8 $2,756.0 14.8% 2. Total Loans 12,671.9 13,325.5 15,530.7 2,205.2 16.5% 3. Investments 3,753.1 3,381.0 3,292.1 (88.9) -2.6% 4. Deposits 14,569.1 14,797.6 16,753.4 1,955.8 13.2% 5. Total Equity 2,212.5 2,348.0 2,697.2 349.2 14.9% 6. TCE Ratio 8.27% 8.92% 8.99% 0.07% 7. Total RBC Ratio 12.95 13.06 12.98% -0.08 8. ACL / Loans 1.50 1.47 1.56 0.09 9. NCOs / Avg Loans 0.67 0.11 0.19 0.08 10. NPAs + 90PD / Assets 0.37 0.39 0.61 0.22 Summary Income Statement 11. Net Interest Income $255.6 $263.3 $310.2 $46.9 17.8% 12. Provision for Credit Losses 26.5 9.8 37.9 28.1 13. Noninterest Income 58.0 61.4 43.0 (18.4) -30.0% 14. Noninterest Expense 188.3 186.5 240.4 53.9 28.9% 15. Pre-tax Income 98.8 128.4 74.9 (53.5) -41.7% 16. Provision for Taxes 10.9 16.2 2.7 (13.5) -83.3% 17. Net Income 87.9 112.2 72.2 (40.0) -35.7% 18. Preferred Stock Dividends 1.0 1.0 1.0 0.0 19. Net Income Available to Common Stockholders 86.9 111.2 71.2 (40.0) -36.0% 20. ROAA 0.96% 1.22% 0.69% -0.53% 21. ROAE 7.82 9.51 5.32 -4.19 22. ROTCE1 12.26 14.30 8.10 -6.20 23. Net Interest Margin - FTE 3.13 3.23 3.36 0.13 24. Efficiency Ratio1 56.47 54.26 63.75 9.49 Per Share 25. Earnings per Diluted Share $1.48 $1.92 $1.15 ($0.77) 26. Tangible Book Value per Share1 25.10 27.90 29.80 1.90 27. Dividend per Share 0.69 0.71 0.73 0.02 28. Dividend Payout Ratio 46.6% 37.0% 63.5% 26.5% For the Six Months Ended June 30,

 

▪ Net unrealized AFS loss of $171.3 million ($190.6 M prior Q) ▪ Net unrealized HTM loss of $254.0 million ($276.8 M prior Q) Investment Portfolio Highlights 12 2Q26 Investment Portfolio Composition Yield on Investments (%) / Total Investments ($B) $3.3B Total Investment Portfolio Gains / LossesHighlights ▪ Effective duration of 5.6 years ▪ Cash flow of $156.2 million through remainder of 2026 with a yield of ~2.69% ▪ AA rated municipal bond portfolio ▪ ~54% of portfolio classified as Held-to-Maturity Municipal Bonds 58% Mortgage- Backed Securities 24% Collateralized Mortgage Obligations 5% U.S. Agencies 11% Corporate Obligations 2% $3.4 $3.4 $3.4 $3.3 $3.3 2.64% 2.67% 2.63% 2.63% 2.66% 2Q25 3Q25 4Q25 1Q26 2Q26 Investments ($B) Yield on Investments (%)

 

Loan Portfolio Highlights 13 2Q26 Loan Composition Yield on Loans (%) / Total Loans ($B) $15.5B Total 2Q26 Portfolio by Yield Type Highlights Total loan rate mix as of 2Q26 • $10.8 billion variable rate • $4.7 billion fixed rate ▪ Portfolio composition is ~77% Commercial oriented ▪ Total loan yield of 6.11% ▪ New/renewed loan yields averaged 6.28% for the quarter $0.9 $0.7 $0.7$0.4$0.7$0.7 Commercial & Industrial 30.4% Commercial Real Estate Owner-Occupied 8.8% Commercial Real Estate Non-Owner Occupied 21.1% Construction Land & Land Development 5.6% Agricultural Land & Production 2.1% Public Finance/Other Commercial 8.6% Residential Mortgage 15.2% Home Equity 7.2% Other Consumer 1.0% $13.3 $13.6 $13.8 $15.3 $15.5 6.32% 6.40% 6.32% 6.09% 6.11% 2Q25 3Q25 4Q25 1Q26 2Q26 Total Loans ($B) Yield on Loans (%) Fixed Rate 31% Prime-Based 11% Other Variable Rates 12% SOFR-Based 46%

 

$192,757 $195,597 $241,615 $21,250 $22,279 $37,900 $18,410 $14,161 ACL - Loans 12/31/2024 Net Charge- offs 2025 Provision 2025 ACL - Loans 12/31/2025 First Savings Credit Discount Net Charge- offs 2026 YTD Provision 2026 YTD ACL - Loans 6/30/2026 Increase Decrease Allowance for Credit Losses - Loans 14 2Q26 Allowance for Credit Losses – Loans ($M) Highlights Change in ACL – Loans ($ Thousands) ▪ $33.0 million Q2 Provision; includes $29.7 million of specific reserves for two commercial credits ▪ The reserve for unfunded commitments totals $18.5 million and is recorded in Other Liabilities $195.3 $194.5 $195.6 $212.5 $241.6 1.47% 1.43% 1.42% 1.39% 1.56% 2Q25 3Q25 4Q25 1Q26 2Q26 Allowance Allowance to Loans

 

Demand Deposits 51% Savings Deposits 36% Certificates & Time Deposits > $100k 6% Certificates & Time Deposits < $100k 4% Brokered Certificates of Deposit 3% Deposit Portfolio Highlights 15 2Q26 Deposit Composition Highlights $16.8B Total 1Total brokered deposits of $1.3 billion, which includes brokered CDs of $419 million 2Defined as total deposits less time deposits > $100k Cost of Total Deposits (%) / Total Deposits ($B) ▪ Strong core deposit base • 91% core deposits2 • 23% noninterest bearing ▪ Insured 70.5% / Uninsured 29.5% ▪ Average deposit account balance of $39,000 1 $14.8 $14.9 $15.3 $16.5 $16.8 2.30% 2.44% 2.32% 2.09% 2.07% 2Q25 3Q25 4Q25 1Q26 2Q26 Total Deposits ($B) Cost of Total Deposits (%)

 

2Q25 3Q25 4Q25 1Q26 2Q26 1. Net Interest Income - FTE ($millions) 139.2$ 139.9$ 145.3$ 157.7$ 165.3$ 2. Fair Value Accretion 1.0$ 0.9$ 1.0$ 2.8$ 3.7$ 3. Adjusted Net Interest Income - FTE1 138.2$ 139.0$ 144.3$ 154.9$ 161.6$ 4. Tax Equivalent Yield on Earning Assets 5.50% 5.58% 5.52% 5.41% 5.46% 5. Interest Expense/Average Earning Assets 2.25% 2.34% 2.23% 2.06% 2.08% 6. Net Interest Margin - FTE 3.25% 3.24% 3.29% 3.35% 3.38% 7. Fair Value Accretion Effect 0.03% 0.02% 0.02% 0.06% 0.08% 8. Adjusted Net Interest Margin1 3.22% 3.22% 3.27% 3.29% 3.30% Net Interest Margin 16 $105.1$97.1 $97.3 $105.1 $107.0$97.8 $107.0 $97.3 $105.1 $110.0$109.2 $107.0 $105.1 $109.2 $110.0 $106.9 1Adjusted for Fair Value Accretion $139.2 $139.9 $145.3 $157.7 $165.3 3.25% 3.24% 3.29% 3.35% 3.38% 2Q25 3Q25 4Q25 1Q26 2Q26 Net Interest Income - FTE ($millions) Net Interest Margin - FTE

 

18.7% 18.9% 19.1% 18.4% 18.4% Wealth Management $9.6 26% Gain on Sale of Loans $7.8 21% Service Charges $9.4 25% Card Payment Fees $5.5 15% Derivative Hedge Fees $1.1 3%BOLI $2.3 6% Other Customer Fees $0.9 2%Other $0.6 2% Noninterest Income Highlights 17 2Q26 Noninterest Income Detail ($M) $37.2M Total Noninterest Income Trends1 Fee Income / Revenue Highlights ▪ Noninterest income increased $1.6 million when excluding the $29.8 million loss on mortgage loans recorded in prior quarter. ▪ Customer-related fees increased $2.6 million driven by higher gain on sales of loans and derivative hedge fees, which was offset by a $1.1 million decline in BOLI income. Customer-Related Fees ($M) 1Excludes $29.8 million net loss on mortgage loans reclassified to held for sale in 1Q26 $8.8 $8.9 $9.2 $9.8 $9.6 $5.9 $5.0 $5.4 $6.5 $7.8 $8.6 $8.9 $8.7 $9.0 $9.4 $4.9 $5.0 $5.3 $5.3 $5.5 $1.2 $1.5 $1.4 $1.1 $2.0 $29.4 $29.3 $30.0 $31.7 $34.3 2Q25 3Q25 4Q25 1Q26 2Q26 Wealth Management Gain on Sale of Loans Service Charges Card Payment Fees Other Customer Fees

 

53.99% 55.09% 54.52% 74.45% 55.11% Noninterest Expense Highlights 18 2Q26 Noninterest Expense Detail $115.3M Total Noninterest Expense Trends ($M) Efficiency Ratio Highlights ▪ 2Q26 included acquisition costs of $3.8 million. Adjusted noninterest expense increased $3.3 million over prior quarter driven by higher salaries and benefits, marketing expense and processing fees. 13Q25, 4Q25, 1Q26, and 2Q26 Efficiency Ratios excluding non-core expenses and mortgage loan sale, see “Non-GAAP Financial Information” for reconciliation 2Includes acquisition-related expenses of $17.0 million in 1Q26 and $3.8 million in 2Q26 3Excludes acquisition-related expenses of $3.8 million in 2Q26 54.21%154.56%1 54.65%1 Salary & Benefits $65.8 57% Net Occupancy & Equipment $16.8 15% Outside Data Processing $8.0 7% Professional & Other Outside Services $5.0 4% Intangible Asset Amortization $2.7 2%Marketing $2.4 2% FDIC Expense $4.4 4% Other $10.2 9% 53.22%1 $54.5 $57.3 $58.3 $69.4 $65.8 $65.2 $13.8 $14.1 $14.9 $16.1 $16.8 $15.8 $7.1 $7.0 $7.5 $7.2 $8.0 $7.9 $18.2 $18.2 $18.8 $32.4 $24.7 $22.6 $93.6M $96.6M $99.5M $125.1M $115.3M $111.5M 2Q25 3Q25 4Q25 1Q26 2Q26 2Q26 Adjusted Salary & Benefits Net Occupancy & Equipment Outside Data Processing Other 2 2 3

 

Capital Ratios 19 Tangible Common Equity Ratio Common Equity Tier 1 Ratio Total Risk-Based Capital Ratio 9.31% 9.31% 9.57% 9.31% 9.65%9.57%9.31% 9.57% 9.65% ▪ Repurchased 336,145 shares totaling $13.4 million during the quarter ▪ Repurchased 976,631 shares totaling $38.3 million year to date Highlights 8.92% 9.18% 9.38% 9.00% 8.99% 2Q25 3Q25 4Q25 1Q26 2Q26 TCE Ratio Target TCE (8.00%) 13.06% 13.04% 13.41% 13.05% 12.98% 2Q25 3Q25 4Q25 1Q26 2Q26 TRBC Ratio Target TRBC Ratio (12.50%) 11.35% 11.34% 11.70% 11.22% 11.16% 2Q25 3Q25 4Q25 1Q26 2Q26 CET 1 Ratio Target CET1 Ratio (10.00%)

 

▪ Largest CRE Property Type is Retail $933 million ▪ Construction Finance: ▪ $709.5 million CRE Construction1 ▪ $164.9 million Resi. Real Estate Construction ▪ CRE concentration levels leave capacity for growth opportunities: CRE Construction: 38.2% / 100%2 CRE Total: 181.1% / 300%2 C&I includes commercial and industrial, sponsor and owner- occupied real estate loans CRE ▪ Line utilization 49.7% from 51.0% 1Q26 ▪ Shared National Credits: • $1.1 billion to 92 borrowers, $11.5 million average balance ▪ Sponsor Finance: • $844.8 million to 96 companies in diverse industries • Senior Debt/Adj. EBITDA < 3.0X ~84% • Total Debt/Adj. EBITDA < 4.0X ~66% • FCCR > 1.50X ~70% ▪ NDFI Exposure:​ • $236.7 million majority comprised of in-market finance companies Loan Portfolio Insights 20 C&I Commercial CRE & Construction to Total Loans: 1Includes Construction, Land, & Land Development 2Measures loans as a percentage of the Bank's total regulatory capital which is used by regulators to assess CRE exposure. $15.5B Total Loans

 

Asset Quality 21 Asset Quality Trends ($M) 2Q26 Highlights Asset Quality: ▪ Impacted by two new non-accruals: • $28.1 million – Authorized Wireless Retailer • $13.7 million – Commercial & Residential Roofing Contractor • Associated reserves of $29.7 million 2Q25 3Q25 4Q25 1Q26 2Q26 1. Non-Accrual Loans 67.4$ 65.7$ 71.8$ 89.6$ 118.2$ 2. Other Real Estate 0.2 1.3 0.7 1.3 1.6 3. 90PD Loans 4.4 1.9 2.0 4.0 9.7 4. NPAs + 90PD 72.0$ 68.9$ 74.5$ 94.9$ 129.5$ 5. NPAs + 90PD / Loans and ORE 0.54% 0.51% 0.54% 0.62% 0.83% 6. Classified Loans 373.5$ 344.3$ 353.0$ 357.1$ 393.3$ 7. Classified Loans / Loans 2.80% 2.53% 2.56% 2.34% 2.53% 8. Net Charge-offs (QTD) 2.3$ 5.2$ 6.0$ 10.3$ 3.9$ 9. QTD NCO / Avg. Loans (Annualized) 0.07% 0.15% 0.18% 0.27% 0.10%

 

Nonperforming Assets 22 Nonperforming Assets Roll Forward ($M) 2Q26 Highlights Nonperforming Migration: ▪ New non-accruals primarily driven by two additions. ▪ Non-accruals to accrual or pay-off totaled $17.7 million. 2Q25 3Q25 4Q25 1Q26 2Q26 1. Beginning Balance NPAs + 90PD 91.2$ 72.0$ 68.9$ 74.5$ 94.9$ Non-Accrual 2. Add: New Non-Accruals 21.9 15.5 22.8 46.1 53.6 3. Less: To Accrual or Payoff (32.0) (9.4) (9.1) (16.6) (17.7) 4. Less: To OREO (0.2) (1.3) (0.3) (0.5) (1.1) 5. Less: Charge-offs (4.2) (6.5) (7.3) (11.2) (6.2) 6. Non-Accrual Loans Change (14.5) (1.7) 6.1 17.8 28.6 Other Real Estate Owned (ORE) 7. Add: New ORE Properties 0.2 1.3 0.3 1.3 1.1 8. Less: ORE Sold (5.0) (0.2) (0.9) (0.7) (0.8) 9. Less: ORE Losses (write-downs) - - - - - 10. ORE Change (4.8) 1.1 (0.6) 0.6 0.3 11. 90PD Change 0.1 (2.5) 0.1 2.0 5.7 12. NPAs + 90PD Change (19.2) (3.1) 5.6 20.4 34.6 13. Ending Balance NPAs + 90PD 72.0$ 68.9$ 74.5$ 94.9$ 129.5$

 

$14.68 $15.85 $16.96 $19.12 $21.94 $24.27 $25.21 $21.45 $25.06 $26.78 $30.18 $29.80 $14.38 $15.83 $16.78 $19.24 $21.24 $22.64 $24.09 $25.42 $27.98 $30.02 $32.49 $31.98 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD'26 TBVPS TBVPS Without AFS OCI $0.41 $0.54 $0.69 $0.84 $1.00 $1.04 $1.13 $1.25 $1.34 $1.39 $1.43 $0.73 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD'26 12.47% 13.26% 13.29% 18.77% 15.81% 12.21% 16.17% 18.12% 16.76% 13.71% 14.08% 8.10% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD'26 $1.72 $1.98 $2.12 $3.22 $3.19 $2.74 $3.81 $3.81 $3.73 $3.41 $3.88 $1.15 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD'26 Track Record of Shareholder Value 23 Diluted Earnings per Share1Tangible Book Value per Share1 Dividends per Share CAGR 2015-2025: 8.5% Return on Tangible Common Equity1 1See “Non-GAAP Financial Information” for reconciliation 2Tangible book value per share excluding unrealized gain/loss in available for sale securities. 3Adjusted for acquisition-related expenses and loss on mortgage loan sale CAGR 2015-2025: 13.3% 2 CAGR 2015-2025: 7.5% Adjusted CAGR1 8.5% 12.23%3 $1.773

 

$6.8 $7.2 $9.4 $9.9 $12.5 $14.1 $15.5 $17.9 $18.3 $18.3 $19.0 $21.3 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2Q26 History of Organic and Whole Bank Acquisition Growth 24 Total Assets ($B) Growth Through Acquisition ✓ Experienced Acquirer ✓ Expanded in Current High-Growth Markets ✓ Added to Franchise with Stable Deposit Gathering Markets 2015 Cooper State Bank Ameriana Bank 2017 Arlington Bank iAB Financial Bank 2019 Monroe Bank & Trust 2022 ($309 M) ($138 M) ($2.5 B) ($1.3 B) ($483 M) ($1.1 B) 2026 ($2.5 B)

 

Vision for the Future 25 Mission: To be the most attentive, knowledgeable, and high-performing bank for our clients, teammates, and shareholders. Strategic Imperatives Vision: To enhance the financial wellness of the diverse communities we serve. PEOPLE CLIENTS PRODUCTS TECHNOLOGY Businesses Sharpening their Advantage through Focus on: Accelerated Growth through Targeted Acquisitions Organic Growth Maintain top-quartile financial results supported by leading governance, risk and compliance practices to ensure long-term sustainability Financial Objective Corporate Strategy: Our strategy is to build on our Midwestern strength—growing organically through more and deeper relationships enhanced through smarter use of technology and customer-centric products, while pursuing targeted acquisitions that expand our reach and impact.

 

APPENDIX

 

Loan Portfolio 27 Loan Portfolio Trends ($M) Year End Trends 2Q25 3Q25 4Q25 1Q26 2Q26 2023 2024 2025 1. C&I - Regional Banking 3,574$ 3,694$ 3,837$ 4,046$ 4,112$ 2,876$ 3,349$ 3,837$ 2. C&I - Sponsor Finance 867 911 898 832 845 795 766 898 3. CRE Owner Occupied 1,227 1,232 1,237 1,335 1,369 1,162 1,158 1,237 4. Total C&I Loans 5,668 5,837 5,972 6,213 6,326 4,833 5,273 5,972 5. Construction/Land/Land Dev. 836 789 805 900 874 958 792 805 6. CRE Non-Owner Occupied 2,171 2,305 2,339 3,192 3,272 2,401 2,274 2,339 7. Total CRE NOO Loans 3,007 3,094 3,144 4,092 4,146 3,359 3,066 3,144 8. Agricultural 265 276 283 311 323 263 256 283 9. Public Finance/Other Commercial 1,145 1,146 1,107 1,114 1,106 956 1,059 1,107 10. Total Commercial Loans 10,085 10,353 10,506 11,730 11,901 9,411 9,654 10,506 11. Residential Mortgage 2,426 2,436 2,440 2,274 2,361 2,304 2,389 2,440 12. Home Equity 674 687 711 1,105 1,119 618 660 711 13. Other Consumer 141 139 155 153 150 172 170 155 14. Total Resi Mortgage & Consumer 3,241 3,262 3,306 3,532 3,630 3,094 3,219 3,306 15. Total Loans 13,326$ 13,615$ 13,812$ 15,262$ 15,531$ 12,505$ 12,873$ 13,812$

 

Non-GAAP 28 1Non-core expenses in 3Q25 included $0.6 million of severance costs 2Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 3Non-core expenses in 6/30/24 YTD includes $1.1 million from the FDIC special assessment and $2.4 million from the digital platform conversion costs ADJUSTED NET INCOME AND DILUTED EARNINGS PER COMMON SHARE 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars and Shares Outstanding in Thousands, Except Per Share Amounts) Net Income Available to Common Stockholders (GAAP) 56,363$ 56,297$ 56,596$ 27,687$ 43,511$ 86,928$ 111,233$ 71,198$ Adjustments: Net realized losses on sales of available for sale securities 1 - - - - 51 8 - Net loss on mortgage loans reclassified to held for sale - - - 29,755 - 29,755 Acquisition-related expenses - 276 524 16,968 3,830 - - 20,798 Non-core expenses1,2,3 - 633 (743) - - 3,481 - - Tax on adjustments - (220) 53 (11,279) (925) (860) (2) (12,204) Adjusted Net Income Available to Common Stockholders (non-GAAP) 56,364$ 56,986$ 56,430$ 63,131$ 46,416$ 89,600$ 111,239$ 109,547$ Average Diluted Common Shares Outstanding 57,773 57,448 57,442 61,008 62,574 58,800 58,005 61,795 Diluted Earnings Per Common Share (GAAP) 0.98$ 0.98$ 0.99$ 0.45$ 0.70$ 1.48$ 1.92$ 1.15$ Adjustments: Net realized losses on sales of available for sale securities - - - - - - - - Net loss on mortgage loans reclassified to held for sale - - - 0.49 - - - 0.48 Acquisition-related expenses - - - 0.28 0.06 - - 0.34 Non-core expenses1,2,3 - 0.01 (0.01) - - 0.06 - - Tax on adjustments - - - (0.19) (0.02) (0.01) - (0.20) Adjusted Diluted Earnings Per Common Share (non-GAAP) 0.98$ 0.99$ 0.98$ 1.03$ 0.74$ 1.53$ 1.92$ 1.77$

 

Non-GAAP 29 1Non-core expenses in 3Q25 included $0.6 million of severance costs 2Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 3Non-core expenses in 6/30/24 YTD includes $1.1 million from the FDIC special assessment and $2.4 million from the digital platform conversion costs PRE-TAX, PRE-PROVISION ("PTPP") EARNINGS, AS ADJUSTED 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands, Except Per Share Amounts) Net Interest Income (GAAP) 133,014$ 133,665$ 139,064$ 151,303$ 158,941$ 255,634$ 263,284$ 310,244$ Noninterest Income (GAAP) 31,303 32,477 33,106 5,829 37,156 57,972 61,351 42,985 Total Revenue 164,317 166,142 172,170 157,132 196,097 313,606 324,635 353,229 Less: Noninterest Expense (GAAP) (93,598) (96,561) (99,522) (125,145) (115,347) (188,347) (186,500) (240,492) Add: Net Realized Losses on Sales of Available for Sale Securities 1 - - - - 51 8 - Add: Net loss on mortgage loans reclassified to held for sale - - - 29,755 - - - 29,755 Add: Acquisition-Related Expenses (non-GAAP) - 276 524 16,968 3,830 - - 20,798 Add: Non-core Expenses1,2,3 (non-GAAP) - 633 (743) - - 3,481 - - Pre-Tax, Pre-Provision Earnings (non-GAAP) 70,720$ 70,490$ 72,429$ 78,710$ 84,580$ 128,791$ 138,143$ 163,290$ Average Assets (GAAP) 18,508,785$ 18,637,581$ 19,039,989$ 20,407,523$ 21,253,171$ 18,381,340$ 18,425,723$ 20,832,683$ Average Equity (GAAP) 2,340,010$ 2,367,971$ 2,452,005$ 2,655,756$ 2,702,249$ 2,222,750$ 2,340,440$ 2,679,131$ PTPP/Average Assets (PTPP ROA) 1.53% 1.51% 1.52% 1.54% 1.59% 1.40% 1.50% 1.57% PTPP/Average Equity (PTPP ROE) 12.09% 11.91% 11.82% 11.86% 12.52% 11.59% 11.80% 12.19%

 

Non-GAAP 30 NET INTEREST MARGIN ("NIM"), ADJUSTED 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands) Net Interest Income (GAAP) 133,014$ 133,665$ 139,064$ 151,303$ 158,941$ 255,634$ 263,284$ 310,244$ Fully Taxable Equivalent ("FTE") Adjustment 6,199 6,209 6,185 6,394 6,391 11,655 12,326 12,785 Net Interest Income (FTE) (non-GAAP) 139,213 139,874 145,249 157,697 165,332 267,289 275,610 323,029 Average Earning Assets (GAAP) 17,158,984$ 17,282,901$ 17,648,233$ 18,842,984$ 19,583,204$ 17,068,917$ 17,060,278$ 19,215,138$ Net Interest Margin (GAAP) 3.10% 3.09% 3.15% 3.21% 3.25% 3.00% 3.09% 3.23% FTE Adjustment 0.15% 0.15% 0.14% 0.14% 0.13% 0.13% 0.14% 0.13% Net Interest Margin (FTE) (non-GAAP) 3.25% 3.24% 3.29% 3.35% 3.38% 3.13% 3.23% 3.36%

 

Non-GAAP 31 1Non-core expenses in 3Q25 included $0.6 million of severance costs 2Non-core expenses in 4Q25 included a $0.7 million reduction in the FDIC special assessment 3Non-core expenses in 6/30/24 YTD includes $1.1 million from the FDIC special assessment and $2.4 million from the digital platform conversion costs EFFICIENCY RATIO 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands) Noninterest Expense (GAAP) 93,598$ 96,561$ 99,522$ 125,145$ 115,347$ 188,348$ 186,500 240,492 Less: Intangible Asset Amortization (1,505) (1,499) (1,498) (2,302) (2,706) (3,728) (3,031) (5,008) Less: OREO and Foreclosure Expenses (29) (121) (775) (1,100) (1,052) (907) (629) (2,152) Adjusted Noninterest Expense (non-GAAP) 92,064 94,941 97,249 121,743 111,589 183,713 182,840 233,332 Net Interest Income (GAAP) 133,014 133,665 139,064 151,303 158,941 255,634 263,284 310,244 Plus: Fully Taxable Equivalent Adjustment 6,199 6,209 6,185 6,394 6,391 11,655 12,326 12,785 Net Interest Income on a Fully Taxable Equivalent Basis (non-GAAP) 139,213 139,874 145,249 157,697 165,332 267,289 275,610 323,029 Noninterest Income (GAAP) 31,303 32,477 33,106 5,829 37,156 57,972 61,351 42,985 Less: Investment Securities (Gains) Losses 1 - - - - 51 8 - Adjusted Noninterest Income (non-GAAP) 31,304 32,477 33,106 5,829 37,156 58,023 61,359 42,985 Adjusted Revenue (non-GAAP) 170,517 172,351 178,355 163,526 202,488 325,312 336,969 366,014 Efficiency Ratio (non-GAAP) 53.99% 55.09% 54.52% 74.45% 55.11% 56.47% 54.26% 63.75% Adjusted Noninterest Expense (non-GAAP) 92,064 94,941 97,249 121,743 111,589 183,713 182,840 233,332 Acquisition-related expenses - (276) (524) (16,968) (3,830) - - (20,798) Non-core expenses1,2,3 - (633) 743 - - (3,481) - - Adjusted Noninterest Expense Excluding Non-Core Expenses (non-GAAP) 92,064 94,032 97,468 104,775 107,759 180,232 182,840 212,534 Adjusted Revenue (non-GAAP) 170,517 172,351 178,355 163,526 202,488 325,312 336,969 366,014 Add: Net loss on mortgage loans reclassified to held for sale - - - 29,755 - - - 29,755 Adjusted Revenue Excluding Net loss on mortgage loans reclassified to held for sale (non-GAAP) 170,517 172,351 178,355 193,281 202,488 325,312 336,969 395,769 Adjusted Efficiency Ratio (non-GAAP) 53.99% 54.56% 54.65% 54.21% 53.22% 55.40% 54.26% 53.70%

 

Non-GAAP 32 1 Includes net unrealized gains or losses on securities available for sale and amounts resulting from the application of the applicable accounting guidance for defined benefit and other postretirement plans. 2Q24 2Q25 3Q25 4Q25 1Q26 2Q26 Total Risk-Based Capital Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) 2,212,525 2,347,952 2,412,402 2,466,667 2,672,565 2,697,177 Adjust for Accumulated Other Comprehensive Loss 1 211,979 189,975 155,864 130,135 148,861 133,593 Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Add: Qualifying Capital Securities 25,000 25,000 25,000 25,000 25,000 25,000 Less: Disallowed Goodwill and Intangible Assets (728,321) (723,067) (721,865) (720,688) (812,321) (815,322) Less: Disallowed Deferred Tax Assets (282) (473) (418) (97) (4,208) (3,743) Total Tier 1 Capital (Regulatory) 1,695,776$ 1,814,262$ 1,845,858$ 1,875,892$ 2,004,772$ 2,011,580$ Qualifying Subordinated Debentures 78,236 47,439 47,499 47,559 76,338 76,409 Allowance for Loan Losses includible in Tier 2 Capital 189,697 197,336 200,885 197,837 220,636 222,951 Total Risk-Based Capital (Regulatory) 1,963,709$ 2,059,037$ 2,094,242$ 2,121,288$ 2,301,746$ 2,310,940$ Net Risk-Weighted Assets (Regulatory) 15,161,104$ 15,771,275$ 16,059,891$ 15,813,198$ 17,640,901$ 17,804,188$ Total Risk-Based Capital Ratio (Regulatory) 12.95% 13.06% 13.04% 13.41% 13.05% 12.98% Common Equity Tier 1 Capital Ratio Total Tier 1 Capital (Regulatory) 1,695,776$ 1,814,262$ 1,845,858$ 1,875,892$ 2,004,772$ 2,011,580$ Less: Qualified Capital Securities (25,000) (25,000) (25,000) (25,000) (25,000) (25,000) Common Equity Tier 1 Capital (Regulatory) 1,670,776$ 1,789,262$ 1,820,858$ 1,850,892$ 1,979,772$ 1,986,580$ Net Risk-Weighted Assets (Regulatory) 15,161,104$ 15,771,275$ 16,059,891$ 15,813,198$ 17,640,901$ 17,804,188$ Common Equity Tier 1 Capital Ratio (Regulatory) 11.02% 11.35% 11.34% 11.70% 11.22% 11.16%

 

Non-GAAP 33 TANGIBLE COMMON EQUITY RATIO 2Q24 2Q25 3Q25 4Q25 1Q26 2Q26 Tangible Common Equity Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) 2,212,525$ 2,347,952$ 2,412,402$ 2,466,667$ 2,672,565$ 2,697,177$ Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Intangible Assets (735,373) (728,799) (727,300) (725,802) (824,467) (827,158) Tangible Common Equity (non-GAAP) 1,452,027$ 1,594,028$ 1,659,977$ 1,715,740$ 1,822,973$ 1,844,894$ Total Assets (GAAP) 18,303,423$ 18,592,777$ 18,811,629$ 19,025,101$ 21,072,521$ 21,348,765$ Less: Intangible Assets (735,373) (728,799) (727,300) (725,802) (824,467) (827,158) Tangible Assets (non-GAAP) 17,568,050$ 17,863,978$ 18,084,329$ 18,299,299$ 20,248,054$ 20,521,607$ Tangible Common Equity Ratio (non-GAAP) 8.27% 8.92% 9.18% 9.38% 9.00% 8.99% TANGIBLE COMMON EQUITY PER SHARE 4Q15 4Q16 4Q17 4Q18 4Q19 4Q20 4Q21 4Q22 Tangible Common Equity Per Share (dollars in thousands) Total Stockholders' Equity (GAAP) 850,509$ 901,657$ 1,303,463$ 1,408,260$ 1,786,437$ 1,875,645$ 1,912,571$ 2,034,770$ Less: Preferred Stock (125) (125) (125) (125) (125) (125) (125) (25,125) Less: Intangible Assets (259,764) (258,866) (476,503) (469,784) (578,881) (572,893) (570,860) (747,844) Tax Benefit 6,278 5,930 6,788 5,017 7,257 5,989 4,875 7,702 Tangible Common Equity, Net of Tax (non-GAAP) 596,898$ 648,596$ 833,623$ 943,368$ 1,214,688$ 1,308,616$ 1,346,461$ 1,269,503$ Common Shares Outstanding 40,664,258 40,912,697 49,158,238 49,349,800 55,368,482 53,922,359 53,410,411 59,170,583 Tangible Common Equity per Share (non-GAAP) 14.68$ 15.85$ 16.96$ 19.12$ 21.94$ 24.27$ 25.21$ 21.45$ 4Q23 4Q24 2Q25 3Q25 4Q25 1Q26 2Q26 Tangible Common Equity Per Share (dollars in thousands) Total Stockholders' Equity (GAAP) 2,247,713$ 2,304,983$ 2,347,952$ 2,412,402$ 2,466,667$ 2,672,565$ 2,697,177$ Less: Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Intangible Assets (739,101) (731,830) (728,799) (727,300) (725,802) (824,467) (827,158) Tax Benefit 5,819 4,263 3,614 3,290 2,966 11,069 9,084 Tangible Common Equity, Net of Tax (non-GAAP) 1,489,306$ 1,552,291$ 1,597,642$ 1,663,267$ 1,718,706$ 1,834,042$ 1,853,978$ Common Shares Outstanding 59,424,122 57,974,535 57,272,433 57,192,497 56,951,939 62,508,055 62,205,528 Tangible Common Equity per Share (non-GAAP) 25.06$ 26.78$ 27.90$ 29.08$ 30.18$ 29.34$ 29.80$

 

Non-GAAP 34 RETURN ON TANGIBLE COMMON EQUITY 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Return on Tangible Common Equity (dollars in thousands) Total Average Stockholders' Equity (GAAP) 753,724$ 884,664$ 1,110,524$ 1,343,861$ 1,569,615$ 1,825,135$ 1,866,632$ 1,972,445$ 2,127,262$ 2,222,750$ Less: Average Preferred Stock (125) (125) (125) (125) (125) (125) (125) (18,875) (25,125) (25,125) Less: Average Intangible Assets, Net of Tax (215,281) (254,332) (360,005) (467,421) (499,622) (569,377) (567,512) (699,803) (736,601) (731,706) Average Tangible Common Equity, Net of Tax (non-GAAP) 538,318$ 630,207$ 750,394$ 876,315$ 1,069,868$ 1,255,633$ 1,298,995$ 1,253,767$ 1,365,536$ 1,465,919$ Net Income Available to Common Stockholders (GAAP) 65,384$ 81,051$ 96,070$ 159,139$ 164,460$ 148,600$ 205,531$ 220,683$ 221,911$ 86,928$ Plus: Intangible Asset Amortization, Net of Tax 1,720 2,542 3,670 5,307 4,736 4,730 4,540 6,537 6,906 2,945 Tangible Net Income (non-GAAP) 67,104$ 83,593$ 99,740$ 164,446$ 169,196$ 153,330$ 210,071$ 227,220$ 228,817$ 89,873$ Return on Tangible Common Equity (non-GAAP) 12.47% 13.26% 13.29% 18.77% 15.81% 12.21% 16.17% 18.12% 16.76% 12.26% 4Q24 2024 2Q25 2025 YTD 3Q25 4Q25 2025 1Q26 2Q26 2Q26 YTD Return on Tangible Common Equity (dollars in thousands) Total Average Stockholders' Equity (GAAP) 2,312,270$ 2,252,491$ 2,340,010$ 2,340,440$ 2,367,971$ 2,452,005$ 2,375,500$ 2,655,756$ 2,702,249$ 2,679,131$ Less: Average Preferred Stock (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) (25,125) Less: Average Intangible Assets, Net of Tax (728,218) (730,295) (725,813) (726,362) (724,619) (723,466) (725,193) (784,490) (813,608) (799,129) Average Tangible Common Equity, Net of Tax (non-GAAP) 1,558,927$ 1,497,071$ 1,589,072$ 1,588,953$ 1,618,227$ 1,703,414$ 1,625,182$ 1,846,141$ 1,863,516$ 1,854,877$ Net Income Available to Common Stockholders (GAAP) 63,880$ 199,527$ 56,363$ 111,233$ 56,297$ 56,596$ 224,126$ 27,687$ 43,511$ 71,198$ Plus: Intangible Asset Amortization, Net of Tax 1,399 5,744 1,188 2,394 1,185 1,183 4,762 1,819 2,137 3,956 Tangible Net Income (non-GAAP) 65,279$ 205,271$ 57,551$ 113,627$ 57,482$ 57,779$ 228,888$ 29,506$ 45,648$ 75,154$ Return on Tangible Common Equity (non-GAAP) 16.75% 13.71% 14.49% 14.30% 14.21% 13.57% 14.08% 6.39% 9.80% 8.10%

 

Non-GAAP 35 ADJUSTED RETURNS ON AVERAGE ASSETS, AVERAGE STOCKHOLDERS' EQUITY, AND TANGIBLE COMMON EQUITY 1Q26 2Q26 6/30/26 YTD Return on Average Assets (GAAP) Reported (GAAP) 0.55% 0.83% 0.69% Effect of net loss on mortgage loans reclassified to held for sale 0.59% 0.00% 0.29% Effect of acquisition-related expenses 0.33% 0.07% 0.20% Effect of tax on adjustments (0.22%) (0.02%) (0.12%) Adjusted Return on Average Assets (non-GAAP) 1.25% 0.88% 1.06% Return on Average Stockholders' Equity (GAAP) Reported (GAAP) 4.17% 6.44% 5.32% Effect of net loss on mortgage loans reclassified to held for sale 4.48% 0.00% 2.22% Effect of acquisition-related expenses 2.56% 0.57% 1.55% Effect of tax on adjustments (1.70%) (0.14%) (0.91%) Adjusted Return on Average Stockholders' Equity (non-GAAP) 9.51% 6.87% 8.18% Return on Tangible Common Equity (GAAP) Reported (non-GAAP) 6.39% 9.80% 8.10% Effect of net loss on mortgage loans reclassified to held for sale 6.45% 0.00% 3.21% Effect of acquisition-related expenses 3.68% 0.83% 2.24% Effect of tax on adjustments (2.45%) (0.21%) (1.32%) Adjusted Return on Tangible Common Equity (non-GAAP) 14.07% 10.42% 12.23%

 

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