EX-99.1 2 a3q22earningsrelease-fin.htm EX-99.1
NEWS RELEASE For Immediate Release Contact: Deanna Hart Barbara Thompson October 27, 2022 Investor Relations Corporate Communications 919-716-2137 919-716-2716 FIRST CITIZENS BANCSHARES REPORTS THIRD QUARTER 2022 EARNINGS RALEIGH, N.C. -- First Citizens BancShares, Inc. (“BancShares”) (Nasdaq: FCNCA) reported earnings for the third quarter and year-to-date period ended September 30, 2022. Chairman and CEO Frank B. Holding, Jr. on third quarter results, "We are pleased with our financial performance during the third quarter and reported net income of $315 million, a 23.5% increase over the prior quarter. We remain focused on merger optimization efforts and achieving our cost savings target. In July, we announced a share repurchase plan that authorized repurchases of up to 1.5 million shares of our Class A common stock. I am pleased to report that as of October 25, 2022, we have repurchased 98.5% of the 1.5 million shares authorized under that share repurchase plan. "Contributing to higher net income during the quarter was solid top line growth led by continued momentum in loans, net interest margin expansion and solid performance in our fee income producing lines of business. Core revenues outpaced expense growth contributing to a 23.5% increase in sequential quarter pre-provision net revenue. We are pleased that credit quality remained strong as the net charge-off and nonperforming loan ratios both declined during the quarter.” FINANCIAL HIGHLIGHTS For the third quarter, net income available to common stockholders was $303 million, or $19.25 per common share, compared to $238 million, or $14.86 per common share in the second quarter of 2022. Third quarter adjusted net income available to common stockholders was $326 million, or $20.77 per common share, up from $270 million, or $16.86 per common share in the second quarter. The following bullets highlight significant changes in the components of net income and adjusted net income between the second and third quarters: • Pre-provision net revenue totaled $468 million compared to $379 million in the second quarter. Adjusted pre-provision net revenue totaled $506 million, an increase of $89 million or 21.3% compared to the second quarter due to core net revenue growth exceeding core noninterest expense growth. • Net revenue growth was led by a $95 million, or a 13.6% increase in net interest income over the second quarter primarily due to loan growth and higher yields on loans and overnight investments, partially offset by higher funding costs. • Net interest margin was 3.40%, an increase of 36 basis points over the second quarter, as the rising interest rate environment increased yields on our earning assets and BancShares had another quarter of strong loan growth, only partially offset by higher rates paid on interest-bearing deposits and higher borrowings. • Noninterest income totaled $433 million compared to $424 million in the second quarter. Adjusted noninterest income totaled $288 million compared to $283 million in the second quarter, an increase of $5 million. The increase was primarily due to higher capital markets fees, rental income on operating leases, net and other operating income, partially offset by lower service charges on deposit accounts. 1

• Noninterest expense totaled $760 million compared to $745 million in the second quarter. Adjusted noninterest expense totaled $577 million compared to $566 million in the second quarter, an increase of $11 million. The increase was driven primarily by higher personnel costs and higher marketing expenses in the Direct Bank, partially offset by lower FDIC insurance expense and professional fees. • Provision for credit losses totaled $60 million compared to $42 million in the second quarter, an increase of $18 million. The increase was primarily due to deterioration in CECL macroeconomic forecasts and loan growth, partially offset by improved credit quality and portfolio mix. Net charge-offs totaled $18 million or a ratio of 0.10% of average loans compared to $22 million or a ratio of 0.13% of average loans during the second quarter. • Loans totaled $69.8 billion, an increase of $2.1 billion, or 12.0% on an annualized basis due to strong growth in our branch network and Mortgage as well as in our commercial bank from areas such as Commercial Finance and Business Capital. • Deposits totaled $87.6 billion, a decrease of $1.8 billion, or 7.9% on an annualized basis. The main component of the decline was a $1.8 billion reduction in interest-bearing deposits as we saw our more sensitive customers move funds in response to continued rate increases. The reductions were primarily concentrated in acquired branches and commercial banking, partially offset by growth in our Direct Bank. • Borrowings increased $3.9 billion during the quarter to support loan growth and offset declines in interest- bearing deposits. EARNINGS CALL DETAILS BancShares will host a conference call to discuss the company's financial results on Thursday, October 27, 2022, at 8:30 a.m. Eastern time. To access this call, dial: United States: 1-833-927-1758 Canada: 1-833-950-0062 All other locations: 1-929-526-1599 Access code: 355751 The third quarter 2022 earnings presentation and this news release are available on the company’s website at www.firstcitizens.com/investor-relations. After the conference call, you may access a replay of the call through November 17, 2022, by dialing 1-866-813-9403 (United States), 1-226-828-7578 (Canada) or +44 204-525-0658 (all other locations) using the access code 319469. ABOUT FIRST CITIZENS BANCSHARES First Citizens BancShares, Inc. is the financial holding company for First-Citizens Bank & Trust Company (“First Citizens Bank”). In January 2022, First Citizens BancShares and CIT Group Inc. merged, creating one of the top 20 U.S. financial institutions, with more than $100 billion in assets. First Citizens Bank helps personal, business, commercial and wealth clients build financial strength that lasts. As the largest family-controlled bank in the United States, First Citizens is continuing a unique legacy of strength, stability and long-term thinking that has spanned generations. Its commercial banking segment brings a wide array of best-in-class lending, leasing and banking services to middle-market companies and small businesses from coast to coast. Founded in 1898 and headquartered in Raleigh, N.C., First Citizens also operates a nationwide direct bank and a network of more than 550 branches in 22 states, many in high-growth markets. Visit firstcitizens.com. First Citizens Bank. Forever First® 2

FORWARD-LOOKING STATEMENTS This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the financial condition, results of operations, business plans and future performance of BancShares. Words such as “anticipates,” “believes,” “estimates,” “expects,” “predicts,” “forecasts,” “intends,” “plans,” “projects,” “targets,” “designed,” “could,” “may,” “should,” “will,” “potential,” “continue”, “aims” or other similar words and expressions are intended to identify these forward-looking statements. These forward-looking statements are based on BancShares’ current expectations and assumptions regarding BancShares’ business, the economy, and other future conditions. Because forward-looking statements relate to future results and occurrences, they are subject to inherent risks, uncertainties, changes in circumstances and other risk factors that are difficult to predict. Many possible events or factors could affect BancShares’ future financial results and performance and could cause the actual results, performance or achievements of BancShares to differ materially from any anticipated results expressed or implied by such forward-looking statements. Such risks and uncertainties include, among others, general competitive, economic, political, geopolitical events (including the military conflict between Russia and Ukraine) and market conditions, the impacts of the global COVID-19 pandemic on BancShares’ business and customers, the financial success or changing conditions or strategies of BancShares’ customers or vendors, fluctuations in interest rates, actions of government regulators, including the recent and projected interest rate hikes by the Board of Governors of the Federal Reserve Board (the “Federal Reserve”), the potential impact of decisions by the Federal Reserve on BancShares’ capital plans, adverse developments with respect to U.S. or global economic conditions, including the significant turbulence in the capital or financial markets, the impact of the current inflationary environment, the impact of implementation and compliance with current or proposed laws, regulations and regulatory interpretations, the availability of capital and personnel, and the failure to realize the anticipated benefits of BancShares’ previous acquisition transaction(s), including the recently completed transaction with CIT, which acquisition risks include (1) disruption from the transaction, or recently completed mergers, with customer, supplier or employee relationships, (2) the possibility that the amount of the costs, fees, expenses and charges related to the transaction may be greater than anticipated, including as a result of unexpected or unknown factors, events or liabilities, (3) reputational risk and the reaction of the parties’ customers to the transaction, (4) the risk that the cost savings and any revenue synergies from the transaction may not be realized or take longer than anticipated to be realized and (5) difficulties experienced in the integration of the businesses. Except to the extent required by applicable laws or regulations, BancShares disclaims any obligation to update forward-looking statements or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. Additional factors which could affect the forward-looking statements can be found in BancShares’ Annual Report on Form 10-K for the fiscal year ended December 31, 2021, and its other filings with the Securities and Exchange Commission (the “SEC”). NON-GAAP MEASURES Certain measures in this release and supporting tables, including those referenced as “Adjusted” are "Non-GAAP”, meaning they are not presented in accordance with generally accepted accounting principles in the U.S. and also are not codified in U.S. banking regulations currently applicable to BancShares. BancShares believes that Non-GAAP financial measures, when reviewed in conjunction with GAAP financial information, can provide transparency about or an alternative means of assessing its operating results and financial position to its investors, analysts and management. The Non-GAAP measures are reconciled to the most comparable GAAP measure, in the Non-GAAP reconciliation table(s) and notable items are summarized in a separate table. 3

Dollars in millions, except per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Summary Financial Data & Key Metrics 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Results of Operations: Net interest income $ 795 700 347 2,144 1,033 Provision (benefit) for credit losses 60 42 (1) 566 (32) Net interest income after provision for credit losses 735 658 348 1,578 1,065 Noninterest income 433 424 124 1,707 394 Noninterest expense 760 745 314 2,315 911 Income before income taxes 408 337 158 970 548 Income tax expense 93 82 34 129 124 Net income 315 255 124 841 424 Preferred stock dividends 12 17 5 36 14 Net income available to common stockholders 303 238 119 805 410 Adjusted net income available to common stockholders(1) 326 270 118 895 383 Pre-tax, pre-provision net revenue (PPNR)(1) 468 379 157 1,536 516 Per Share Information: Diluted earnings per common share (EPS) $ 19.25 14.86 12.17 50.70 41.79 Adjusted diluted earnings per common share (EPS)(1) 20.77 16.86 12.04 56.41 39.03 Book value per common share 597.75 609.95 432.07 597.75 432.07 Tangible book value per common share (TBV)(1) 564.97 578.92 394.15 564.97 394.15 Key Performance Metrics: Return on average assets (ROA) 1.16 % 0.95 % 0.88 % 1.03 % 1.05 % Adjusted ROA(1) 1.24 1.07 0.87 1.15 0.98 PPNR ROA(1) 1.72 1.41 1.11 1.89 1.28 Adjusted PPNR ROA(1) 1.86 1.56 1.10 1.58 1.19 Return on average common equity (ROE) 12.49 9.87 11.29 11.18 13.50 Adjusted ROE(1) 13.47 11.19 11.18 12.44 12.61 Return on average tangible common equity (ROTCE)(1) 13.17 10.40 12.39 11.80 14.88 Adjusted ROTCE(1) 14.20 11.80 12.27 13.13 13.89 Efficiency ratio(1) 53.32 57.55 66.09 57.25 64.69 Net interest margin (NIM)(2) 3.40 3.04 2.61 3.06 2.69 Select Balance Sheet Items at Period End: Total investment securities $ 18,841 19,136 10,875 18,841 10,875 Total loans and leases 69,790 67,735 32,516 69,790 32,516 Total operating lease equipment, net 7,984 7,971 — 7,984 — Total deposits 87,553 89,329 50,065 87,553 50,065 Total borrowings 8,343 4,459 1,883 8,343 1,883 Loan to deposit ratio 79.71 % 75.83 % 64.95 % 79.71 % 64.95 % Noninterest-bearing deposits to total deposits 30.37 % 29.75 % 42.97 % 30.37 % 42.97 % Capital Ratios at Period End: (3) Total risk-based capital ratio 13.46 % 14.46 % 14.30 % 13.46 % 14.30 % Tier 1 risk-based capital ratio 11.36 12.37 12.32 11.36 12.32 Common equity Tier 1 ratio 10.37 11.34 11.34 10.37 11.34 Tier 1 leverage capital ratio 9.31 9.85 7.68 9.31 7.68 Asset Quality at Period End: Nonaccrual loans to total loans and leases 0.65 % 0.76 % 0.50 % 0.65 % 0.50 % Allowance for credit losses (ACL) to loans and leases 1.26 1.26 0.56 1.26 0.56 Net charge-off ratio 0.10 0.13 0.06 0.11 0.04 (1) Denotes a non-GAAP measure. Refer to the non-GAAP reconciliation subsequently included in these materials for a reconciliation to the most directly comparable GAAP measure. “Adjusted” items exclude the impact of Notable Items. (2) Calculated net of average credit balances of factoring clients. (3) Capital ratios for the current quarter are preliminary pending completion of quarterly regulatory filings. 4

Dollars in millions, except share and per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Income Statement (unaudited) 0 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Interest income Interest and fees on loans $ 785 655 320 2,061 967 Interest on investment securities 90 89 40 262 106 Interest on deposits at banks 31 13 3 50 7 Total interest income 906 757 363 2,373 1,080 Interest expense Deposits 78 42 8 159 25 Borrowings 33 15 8 70 22 Total interest expense 111 57 16 229 47 Net interest income 795 700 347 2,144 1,033 Provision (benefit) for credit losses 60 42 (1) 566 (32) Net interest income after provision for credit losses 735 658 348 1,578 1,065 Noninterest income Rental income on operating leases 219 213 — 640 — Fee income and other service charges 44 39 10 118 31 Wealth management services 35 37 32 107 96 Service charges on deposit accounts 21 28 26 77 69 Factoring commissions 24 27 — 78 — Cardholder services, net 25 26 23 76 65 Merchant services, net 8 9 9 27 26 Insurance commissions 11 11 4 34 12 Realized gain on sale of investment securities available for sale, net — — 8 — 33 Fair value adjustment on marketable equity securities, net (2) (6) 3 (5) 31 Bank-owned life insurance 8 9 1 25 2 Gain on sale of leasing equipment, net 2 5 — 13 — Gain on acquisition — — — 431 — Gain on extinguishment of debt 1 — — 7 — Other noninterest income 37 26 8 79 29 Total noninterest income 433 424 124 1,707 394 Noninterest expense Depreciation on operating lease equipment 87 89 — 257 — Maintenance and other operating lease expenses 52 47 — 142 — Salaries and benefits 351 341 194 1,044 566 Net occupancy expense 47 48 29 144 87 Equipment expense 55 54 30 161 89 Professional fees 13 15 5 44 13 Third-party processing fees 27 26 16 77 44 FDIC insurance expense 5 9 3 26 10 Marketing 15 9 3 32 7 Merger-related expenses 33 34 7 202 20 Intangible asset amortization 5 6 3 17 9 Other noninterest expense 70 67 24 169 66 Total noninterest expense 760 745 314 2,315 911 Income before income taxes 408 337 158 970 548 Income tax expense 93 82 34 129 124 Net income $ 315 255 124 841 424 Preferred stock dividends 12 17 5 36 14 Net income available to common stockholders $ 303 238 119 805 410 Basic earnings per common share $ 19.27 14.87 12.17 50.76 41.79 Diluted earnings per common share $ 19.25 14.86 12.17 50.70 41.79 Weighted average common shares outstanding (basic) 15,711,976 16,023,613 9,816,405 15,851,385 9,816,405 Weighted average common shares outstanding (diluted) 15,727,993 16,035,090 9,816,405 15,870,233 9,816,405 5

Dollars in millions BancShares BancShares BancShares Balance Sheet (unaudited) 9/30/22 6/30/22 9/30/21 Assets Cash and due from banks $ 481 583 337 Interest-earning deposits at banks 6,172 6,476 9,875 Investments in marketable equity securities 92 94 123 Investment securities available for sale 9,088 9,210 7,371 Investment securities held to maturity 9,661 9,832 3,381 Assets held for sale 21 38 98 Loans and leases 69,790 67,735 32,516 Allowance for credit losses (882) (850) (183) Loans and leases, net of allowance for credit losses 68,908 66,885 32,333 Operating lease equipment, net 7,984 7,971 — Premises and equipment, net 1,410 1,415 1,231 Bank-owned life insurance 1,342 1,334 116 Goodwill 346 346 350 Other intangible assets 145 150 22 Other assets 3,660 3,339 1,665 Total assets $ 109,310 107,673 56,902 Liabilities Deposits: Noninterest-bearing $ 26,587 26,576 21,514 Interest-bearing 60,966 62,753 28,551 Total deposits 87,553 89,329 50,065 Credit balances of factoring clients 1,147 1,070 — Borrowings: Short-term borrowings 3,128 646 664 Long-term borrowings 5,215 3,813 1,219 Total borrowings 8,343 4,459 1,883 Other liabilities 2,434 2,173 372 Total liabilities $ 99,477 97,031 52,320 Stockholders’ equity Preferred stock 881 881 340 Common stock: Class A - $1 par value 14 15 9 Class B - $1 par value 1 1 1 Additional paid in capital 4,506 5,345 — Retained earnings 5,160 4,865 4,264 Accumulated other comprehensive loss (729) (465) (32) Total stockholders’ equity 9,833 10,642 4,582 Total liabilities and stockholders’ equity $ 109,310 107,673 56,902 6

Dollars in millions, except share per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Notable Items (1) 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Noninterest income Rental income on operating leases, net(2) $ (139) (136) — (399) — Realized gain on sale of investment securities available for sale, net — — (8) — (33) Fair value adjustment on marketable equity securities, net 2 6 (3) 5 (31) Gain on sale of leasing equipment, net (2) (5) — (13) — Gain on acquisition — — — (431) — Gain on extinguishment of debt (1) — — (7) — Gain on other loan and asset sales (5) (6) — (11) — Noninterest income - total adjustments $ (145) (141) (11) (856) (64) Noninterest expense Depreciation on operating lease equipment (2) (87) (89) — (257) — Maintenance and other operating lease equipment expense (2) (52) (47) — (142) — Merger-related expenses (33) (34) (7) (202) (20) Intangible asset amortization (5) (6) (3) (17) (9) Other noninterest expense (6) (3) — 18 — Noninterest expense - total adjustments $ (183) (179) (10) (600) (29) Day 2 provision, including provision for unfunded commitments — — — (513) — Provision for credit losses - total adjustments $ — — — (513) — Impact of notable items on pre-tax income $ 38 38 (1) 257 (35) Income tax impact (3) 15 6 — 167 (8) Impact of notable items on net income $ 23 32 (1) 90 (27) Impact of notable items on basic and diluted EPS 1.52 2.00 (0.13) 5.71 (2.76) (1) The notable items above reconcile the GAAP net income to adjusted net income, which is a non-GAAP measure. (2) Rental income on operating leases is net of depreciation and maintenance expense. (3) Includes the impact of tax discrete items and changes in the estimated annualized effective tax rate. Dollars in millions, except share and per share data Condensed Income Statement (unaudited) - Adjusted for Notable Items (1) BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD 0 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Interest income $ 906 757 363 2,373 1,080 Interest expense 111 57 16 229 47 Net interest income 795 700 347 2,144 1,033 Provision (benefit) for credit losses 60 42 (1) 53 (32) Net interest income after provision for credit losses 735 658 348 2,091 1,065 Noninterest income 288 283 113 851 330 Noninterest expense 577 566 304 1,715 882 Income before income taxes 446 375 157 1,227 513 Income tax expense 108 88 34 296 116 Net income $ 338 287 123 931 397 Preferred stock dividends 12 17 5 36 14 Net income available to common stockholders $ 326 270 118 895 383 Basic earnings per common share $ 20.79 16.87 12.04 56.47 39.03 Diluted earnings per common share $ 20.77 16.86 12.04 56.41 39.03 Weighted average common shares outstanding (basic) 15,711,976 16,023,613 9,816,405 15,851,385 9,816,405 Weighted average common shares outstanding (diluted) 15,727,993 16,035,090 9,816,405 15,870,233 9,816,405 (1) The GAAP income statements are included previously in these materials. The adjusted income statements above reflect non-GAAP items (including core adjusted noninterest income and expense) as the impacts of the notable items are excluded. The notable items included previously in this release reconcile the GAAP net income to adjusted net income, which is a non-GAAP measure. 7

Dollars in millions BancShares BancShares BancShares Loans & Leases by Class (end of period) 9/30/22 6/30/22 9/30/21 Loans & Leases by Class Commercial Commercial construction $ 2,752 2,783 1,370 Owner-occupied commercial mortgages 14,053 13,795 11,745 Non-owner-occupied commercial mortgages 9,683 9,167 3,077 Commercial and industrial 24,288 23,554 6,068 Leases 2,184 2,178 287 Total commercial $ 52,960 51,477 22,547 Consumer Residential mortgage $ 12,910 12,441 6,122 Revolving mortgage 1,923 1,893 1,861 Consumer auto 1,385 1,338 1,350 Consumer other 612 586 636 Total consumer $ 16,830 16,258 9,969 Total loans and leases $ 69,790 67,735 32,516 Less: Allowance for credit losses 882 850 183 Total loans and leases, net of allowance for credit losses $ 68,908 66,885 32,333 BancShares BancShares BancShares Deposits by Type (end of period) 9/30/22 6/30/22 9/30/21 Demand $ 26,587 26,645 21,514 Checking with interest 16,118 16,285 11,769 Money market 21,818 24,699 10,146 Savings 14,722 13,319 4,063 Time 8,308 8,381 2,573 Total deposits $ 87,553 89,329 50,065 Dollars in millions BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Credit Quality & Allowance 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Nonaccrual loans $ 454 513 164 454 164 Ratio of nonaccrual loans to total loans 0.65 % 0.76 % 0.50 % 0.65 % 0.50 % Charge-offs $ (33) (41) (11) (107) (27) Recoveries 15 19 6 52 17 Net charge-offs $ (18) (22) (5) (55) (10) Net charge-off ratio 0.10 % 0.13 % 0.06 % 0.11 % 0.04 % Allowance for credit losses to loans ratio 1.26 % 1.26 % 0.56 % 1.26 % 0.56 % Allowance for credit losses - beginning $ 850 848 189 178 225 Initial PCD ACL — (12) — 272 — Day 2 provision, excluding provision for unfunded commitments — — — 454 — Provision (benefit) for credit losses 50 36 (1) 33 (32) Net charge-offs (18) (22) (5) (55) (10) Allowance for credit losses - ending $ 882 850 183 882 183 8

Dollars in millions Average Balance Sheet BancShares QTD 9/30/22 BancShares QTD 6/30/22 BancShares QTD 9/30/21 Avg Balance Income/ Expense Yield/ Rate Avg Balance Income/ Expense Yield/ Rate Avg Balance Income/ Expense Yield/ Rate Loans and leases (1) (2) $ 67,733 $ 785 4.58 % $ 65,298 $ 655 4.01 % $ 32,708 $ 320 3.85 % Total investment securities 19,119 90 1.88 19,185 89 1.85 10,708 40 1.47 Interest-earning deposits at banks 5,685 31 2.17 7,629 13 0.72 8,956 3 0.15 Total interest-earning assets (2) $ 92,537 $ 906 3.87 % $ 92,112 $ 757 3.28 % $ 52,372 $ 363 2.73 % Operating lease equipment, net (including held for sale) $ 7,981 $ 7,973 $ — Cash and due from banks 489 524 365 Allowance for credit losses (851) (849) (190) All other non-interest-earning assets 7,831 7,815 3,377 Total assets $ 107,987 $ 107,575 $ 55,924 Interest-bearing deposits: Checking with interest $ 16,160 $ 7 0.17 % $ 16,503 $ 4 0.12 % $ 11,324 $ 1 0.05 % Money market 22,993 32 0.55 25,468 18 0.28 9,866 2 0.09 Savings 13,956 28 0.78 13,303 11 0.34 3,979 1 0.03 Time deposits 8,436 11 0.54 8,796 9 0.38 2,599 4 0.61 Total interest-bearing deposits 61,545 78 0.50 64,070 42 0.26 27,768 8 0.12 Borrowings: Securities sold under customer repurchase agreements 617 1 0.16 627 — 0.16 672 — 0.21 Short-term FHLB borrowings 1,188 8 2.57 — — — — — — Short-term borrowings 1,805 9 1.74 627 — 0.16 672 — 0.21 Federal Home Loan Bank borrowings 1,784 11 2.45 386 2 1.64 646 4 1.28 Senior unsecured borrowings 898 5 2.00 894 4 2.05 — — — Subordinated debt 1,054 8 3.21 1,057 8 3.06 497 3 3.35 Other borrowings 67 — 4.51 83 1 2.46 79 1 1.24 Long-term borrowings 3,803 24 2.59 2,420 15 2.43 1,222 8 2.12 Total borrowings 5,608 33 2.32 3,047 15 1.96 1,894 8 1.44 Total interest-bearing liabilities $ 67,153 $ 111 0.65 % $ 67,117 $ 57 0.34 % $ 29,662 $ 16 0.20 % Noninterest-bearing deposits $ 26,877 $ 26,551 $ 21,339 Credit balances of factoring clients 1,089 1,189 — Other noninterest-bearing liabilities 2,369 2,151 362 Stockholders' equity 10,499 10,567 4,561 Total liabilities and stockholders' equity $ 107,987 $ 107,575 $ 55,924 Net interest income $ 795 $ 700 $ 347 Net interest spread (2) 3.22 % 2.94 % 2.53 % Net interest margin (2) 3.40 % 3.04 % 2.61 % (1) Loans and leases include non-PCD and PCD loans, nonaccrual loans and held for sale. Interest income on loans and leases includes accretion income and loan fees. (2) The balance and rate presented is calculated net of average credit balances of factoring clients. 9

Dollars in millions Average Balance Sheet BancShares YTD 9/30/22 BancShares YTD 9/30/21 Avg Balance Income/ Expense Yield/Rate Avg Balance Income/ Expense Yield/Rate Loans and leases (1) (2) $ 65,739 $ 2,061 4.17 % $ 32,985 $ 967 3.89 % Total investment securities 19,264 262 1.81 10,337 106 1.36 Interest-earning deposits at banks 8,242 50 0.81 7,560 7 0.12 Total interest-earning assets(2) $ 93,245 $ 2,373 3.39 % $ 50,882 $ 1,080 2.81 % Operating lease equipment, net (including held for sale) $ 7,960 $ — Cash and due from banks 517 354 Allowance for credit losses (871) (208) All other non-interest-earning assets 7,792 2,899 Total assets $ 108,643 $ 53,927 Interest-bearing deposits: Checking with interest $ 16,437 $ 16 0.14 % $ 11,010 $ 4 0.05 % Money market 24,875 65 0.35 9,489 7 0.11 Savings 13,640 48 0.47 3,748 1 0.03 Time deposits 9,004 30 0.45 2,692 13 0.63 Total interest-bearing deposits 63,956 159 0.33 26,939 25 0.13 Borrowings: Securities sold under customer repurchase agreements 615 1 0.16 664 1 0.21 Short-term FHLB borrowings 400 8 2.57 — — — Short-term borrowings 1,015 9 1.11 664 1 0.21 Federal Home Loan Bank borrowings 941 15 2.07 649 7 1.28 Senior unsecured borrowings 1,497 21 1.83 — — — Subordinated debt 1,057 24 3.07 497 10 3.36 Other borrowings 79 1 2.86 83 4 1.22 Long-term borrowings 3,574 61 2.29 1,229 21 2.12 Total borrowings 4,589 70 2.03 1,893 22 1.45 Total interest-bearing liabilities $ 68,545 $ 229 0.45 % $ 28,832 $ 47 0.21 % Noninterest-bearing deposits $ 26,253 $ 20,316 Credit balances of factoring clients 1,146 — Other noninterest-bearing liabilities 2,202 352 Stockholders' equity 10,497 4,427 Total liabilities and stockholders' equity $ 108,643 $ 53,927 Net interest income $ 2,144 $ 1,033 Net interest spread (2) 2.94 % 2.60 % Net interest margin (2) 3.06 % 2.69 % (1) Loans and leases include non-PCD and PCD loans, nonaccrual loans and held for sale. Interest income on loans and leases includes accretion income and loan fees. (2) The balance and rate presented is calculated net of average credit balances of factoring clients. 10

Dollars in millions, except share and per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Non-GAAP Reconciliations 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Net income and EPS Net income (GAAP) a $ 315 255 124 841 424 Preferred stock dividends 12 17 5 36 14 Net income available to common stockholders (GAAP) b 303 238 119 805 410 Total notable items, after income tax c 23 32 (1) 90 (27) Adjusted net income (non-GAAP) d = (a+c) 338 287 123 931 397 Adjusted net income available to common stockholders (non-GAAP) e = (b+c) $ 326 270 118 895 383 Weighted average common shares outstanding Basic f 15,711,976 16,023,613 9,816,405 15,851,385 9,816,405 Diluted g 15,727,993 16,035,090 9,816,405 15,870,233 9,816,405 EPS (GAAP) Basic b/f $ 19.27 14.87 12.17 50.76 41.79 Diluted b/g 19.25 14.86 12.17 50.70 41.79 Adjusted EPS (non-GAAP) Basic e/f $ 20.79 16.87 12.04 56.47 39.03 Diluted e/g 20.77 16.86 12.04 56.41 39.03 Noninterest income and expense Noninterest income h $ 433 424 124 1,707 394 Impact of notable items, before income tax (145) (141) (11) (856) (64) Adjusted or core noninterest income i $ 288 283 113 851 330 Noninterest expense j $ 760 745 314 2,315 911 Impact of notable items, before income tax (183) (179) (10) (600) (29) Adjusted or core noninterest expense k $ 577 566 304 1,715 882 Provision (benefit) for credit losses Provision (benefit) for credit losses $ 60 42 (1) 566 (32) Plus: Day 2 provision for credit losses — — — (513) — Adjusted provision (benefit) for credit losses $ 60 42 (1) 53 (32) PPNR Net income (GAAP) a $ 315 255 124 841 424 Plus: Provision (benefit) for credit losses 60 42 (1) 566 (32) Income tax expense (benefit) 93 82 34 129 124 PPNR (non-GAAP) l $ 468 379 157 1,536 516 Plus: total notable items, before income tax 38 38 (1) (256) (35) Adjusted PPNR (non-GAAP) m $ 506 417 156 1,280 481 Note: Certain items above do not precisely recalculate as presented due to rounding. 11

Dollars in millions, except share and per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Non-GAAP Reconciliations (continued) 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 ROA Net income (GAAP) a $ 315 255 124 841 424 Annualized net income n = a annualized 1,250 1,023 492 1,124 567 Adjusted net income (non-GAAP) d 338 287 123 931 397 Annualized adjusted net income p = d annualized 1,341 1,151 488 1,245 531 Average assets o 107,987 107,575 55,924 108,643 53,927 ROA n/o 1.16 % 0.95 % 0.88 % 1.03 % 1.05 % Adjusted ROA p/o 1.24 % 1.07 % 0.87 % 1.15 % 0.98 % PPNR ROA PPNR (non-GAAP) l $ 468 379 157 1,536 516 Annualized PPNR q = l annualized 1,858 1,519 623 2,054 690 Adjusted PPNR (non-GAAP) m 506 417 156 1,280 481 Annualized PPNR r = m annualized 2,009 1,672 621 1,712 643 PPNR ROA q/o 1.72 % 1.41 % 1.11 % 1.89 % 1.28 % Adjusted PPNR ROA r/o 1.86 % 1.56 % 1.10 % 1.58 % 1.19 % ROE and ROTCE Annualized net income available to common shareholders s = b annualized $ 1,202 955 472 1,076 548 Annualized adjusted net income available to common shareholders t = e annualized $ 1,293 1,083 468 1,197 512 Average stockholders' equity (GAAP) $ 10,499 10,567 4,561 10,497 4,427 Less: average preferred stock 881 881 340 877 340 Average common stockholders' equity (non-GAAP) u $ 9,618 9,686 4,221 9,620 4,087 Less: average goodwill 346 346 350 346 350 Less: average other intangible assets 148 153 24 161 26 Average tangible common equity (non-GAAP) v $ 9,124 9,186 3,847 9,113 3,711 ROE s/u 12.49 % 9.87 % 11.29 % 11.18 % 13.50 % Adjusted ROE t/u 13.47 % 11.19 % 11.18 % 12.44 % 12.61 % ROTCE s/v 13.17 % 10.40 % 12.39 % 11.80 % 14.88 % Adjusted ROTCE t/v 14.20 % 11.80 % 12.27 % 13.13 % 13.89 % Tangible common equity to tangible assets Stockholders' equity (GAAP) w $ 9,833 10,642 4,582 9,833 4,582 Less: preferred stock 881 881 340 881 340 Common equity (non-GAAP) x $ 8,952 9,761 4,242 8,952 4,242 Less: goodwill 346 346 350 346 350 Less: other intangible assets 145 150 22 145 22 Tangible common equity (non-GAAP) y $ 8,461 9,265 3,870 8,461 3,870 Total assets (GAAP) z 109,310 107,673 56,902 109,310 56,902 Tangible assets (non-GAAP) aa 108,819 107,177 56,530 108,819 56,530 Total equity to total assets w/z 9.00 % 9.88 % 8.05 % 9.00 % 8.05 % Tangible common equity to tangible assets (non-GAAP) y/aa 7.78 % 8.64 % 6.84 % 7.78 % 6.84 % Note: Certain items above do not precisely recalculate as presented due to rounding. 12

Dollars in millions, except share and per share data BancShares BancShares BancShares BancShares BancShares QTD QTD QTD YTD YTD Non-GAAP Reconciliations (continued) 9/30/22 6/30/22 9/30/21 9/30/22 9/30/21 Book value and tangible book value per common share Common shares outstanding at period end bb 14,976,127 16,002,385 9,816,405 14,976,127 9,816,405 Book value per share x/bb $ 597.75 609.95 432.07 597.75 432.07 Tangible book value per share y/bb $ 564.97 578.92 394.15 564.97 394.15 Efficiency ratio Net interest income cc $ 795 700 347 2,144 1,033 Efficiency ratio (GAAP) j / (h + cc) 61.91 % 66.34 % 66.58 % 60.11 % 63.81 % Adjusted efficiency ratio (non-GAAP)(1) k / (i + cc) 53.32 % 57.55 % 66.09 % 57.25 % 64.69 % Note: Certain items above do not precisely recalculate as presented due to rounding. 13