EX-99.1 2 exh_991.htm EXHIBIT 99.1

Exhibit 99.1

October 25, 2022

Simmons First National Corporation Reports Third Quarter 2022 Earnings of $80.6 million, Earnings Per Diluted Share of $0.63

Positive operating leverage driven by strong total revenue and adjusted pre-provision net revenue growth

George A. Makris, Jr., Simmons’ Chairman and CEO, commented on the third quarter

Our financial performance in the quarter demonstrates the diversity of our franchise and our ability to navigate the current economic environment. Total revenue growth was strong and well balanced, increasing 5 percent from the previous quarter. Noninterest expense was well contained, decreasing 11 percent on a reported basis and 1 percent on an adjusted basis. As a result of the positive operating leverage we generated in the quarter, pre-provision net revenue was the highest in our history and we delivered a return on equity of 10 percent and a ROTE of 18 percent.

As we enter the final quarter of the year with positive momentum, we also recognize the backdrop of economic uncertainty that persists. Inflation levels remain elevated and market expectations are that interest rates will continue to rise, which will most likely have an impact on future economic growth and activity. As such, we are intently focused on targeted balance sheet growth that optimizes capital, prudently managing spreads, and maintaining disciplined loan and deposit pricing strategies. We believe our conservative credit culture and emphasis on effective risk management has served, and will continue to serve, us well during periods of economic unrest.

Importantly, the unwavering commitment of our associates provides us with pride and confidence in the future. It is through their efforts that we will be well-positioned to continue our tradition of prospering in competitive markets and challenging times.

Financial Highlights | 3Q22 |  | 2Q22 |  | 3Q21 |  |  | Third Quarter Highlights
Financial Results (in millions) |  |  |  |  |  |  |  | Comparisons reflect 3Q22 vs 2Q22 · Diluted EPS of $0.63 and adjusted diluted EPS (1) of $0.64 · Revenue increased 5%, fueled by a 5% increase in net interest income and a 7% increase in noninterest income · Noninterest expense decreased 11%. Excluding merger related costs and certain other items, adjusted noninterest expense (1) decreased 1% · Positive operating leverage drives 13% increase in adjusted pre-provision net revenue and 308 bp improvement in efficiency ratio · Solid balance sheet growth led by a 3% increase in total loans while total deposits increased 1% · Asset quality metrics remain at historically low-levels and reflect conservative credit culture and strategic decision in 2019 to de-risk certain elements of acquired loan portfolios · $45 million of common stock repurchased during the 3Q22
Revenue | $236.6 |  | $225.3 |  | $193.8 |  |
Revenue, excluding securities gain (loss) (1) | 236.6 |  | 225.4 |  | 188.5 |  |
Noninterest expense | 138.9 |  | 156.8 |  | 114.3 |  |
Pre-provision net revenue (1) | 97.7 |  | 68.6 |  | 74.2 |  |
Merger related costs | 1.4 |  | 19.1 |  | 1.4 |  |
Adjusted pre-provision net revenue (1) | 100.0 |  | 88.1 |  | 72.6 |  |
Provision for credit losses | 0.1 |  | 33.9 |  | (19.9 | ) |
Net income | 80.6 |  | 27.5 |  | 80.6 |  |
Per Share Data |  |  |  |  |  |  |
Diluted earnings | $ 0.63 |  | $ 0.21 |  | $ 0.74 |  |
Adjusted diluted earnings (1) | 0.64 |  | 0.52 |  | 0.73 |  |
Book value | 24.87 |  | 25.31 |  | 28.42 |  |
Tangible book value (1) | 13.51 |  | 14.07 |  | 17.39 |  |
Balance Sheet (in millions) |  |  |  |  |  |  |
Total loans | $15,607 |  | $15,110 |  | $10,825 |  |
Total deposits | 22,149 |  | 22,036 |  | 18,072 |  |
Total shareholders’ equity | 3,157 |  | 3,260 |  | 3,031 |  |
Asset Quality |  |  |  |  |  |  |
Net charge-off ratio | — | % | 0.02 | % | 0.17 | % |
Nonperforming loan ratio | 0.37 |  | 0.42 |  | 0.55 |  |
Nonperforming assets to total assets | 0.23 |  | 0.26 |  | 0.31 |  |
Allowance for credit losses to total loans | 1.27 |  | 1.41 |  | 1.87 |  |
Nonperforming loan coverage ratio | 342 |  | 334 |  | 341 |  |
Select Ratios |  |  |  |  |  |  |
Net interest margin (FTE) (2) | 3.34 | % | 3.24 | % | 2.85 | % |
Efficiency ratio (1) | 54.41 |  | 57.49 |  | 58.10 |  |
Loan to deposit ratio | 70.47 |  | 68.57 |  | 59.90 |  |
Common equity tier 1 (CET1) ratio | 11.73 |  | 12.10 |  | 14.27 |  |
Total risk-based capital ratio | 14.08 |  | 14.83 |  | 17.42 |  |

P.O. BOX 7009 501 MAIN STREET PINE BLUFF, ARKANSAS 71611-7009 (870) 541-1000 www.simmonsbank.com

Simmons First National Corporation (NASDAQ: SFNC) (Simmons or Company) today reported net income of $80.6 million for the third quarter of 2022, compared to $27.5 million for the second quarter of 2022 and $80.6 million in the third quarter of 2021. Diluted earnings per share were $0.63 for the third quarter of 2022, compared to $0.21 in the second quarter of 2022 and $0.74 in the third quarter of 2021. As shown in the table below, certain items, consisting primarily of merger-related expenses and branch right sizing costs, totaled $1.7 million (after-tax) in the third quarter of 2022. In the second quarter of 2022, certain items as shown in the table below totaled $39.4 million (after-tax) and included Day 2 accounting provision required for loans and unfunded commitments acquired in connection with an acquisition. Certain items for the third quarter of 2021 as shown in the table below totaled $(1.2) million (after-tax). Excluding these items, adjusted diluted earnings per share(1) were $0.64 for the third quarter of 2022, $0.52 for the second quarter of 2022 and $0.73 for the third quarter of 2021.

Total revenue for the third quarter of 2022 was $236.6 million, up 5 percent compared to the second quarter of 2022, and up 22 percent compared to the third quarter of 2021. Pre-provision net revenue(1) totaled $97.7 million during the third quarter of 2022, compared to $68.6 million in the second quarter of 2022 and $74.2 million in the third quarter of 2021. Adjusted pre-provision net revenue(1) totaled $100.0 million in the third quarter of 2022, up 13 percent from second quarter 2022 levels and 38 percent from third quarter 2021 levels. As a result of the positive operating leverage delivered in the quarter, the efficiency ratio(1) for the third quarter of 2022 was 54.41 percent, an improvement of 308 basis points from second quarter 2022 levels and 369 basis points from third quarter 2021 levels.

Impact of Certain Items on Earnings and Diluted EPS

$ in millions, except per share data |  | Q3 22 |  |  | Q2 22 |  |  | Q3 21 |
Net income |  | $ | 80.6 |  |  | $ | 27.5 |  |  | $ | 80.6 |
Day 2 accounting provision |  |  | - |  |  |  | 33.8 |  |  |  | - |
Merger related expenses |  |  | 1.4 |  |  |  | 19.1 |  |  |  | 1.4 |
Branch right sizing costs, net |  |  | 1.3 |  |  |  | 0.4 |  |  |  | (3.0 | )
Loss from early retirement of TruPS |  |  | 0.4 |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (0.8 | ) |  |  | - |  |  |  | - |
Total pre-tax impact |  |  | 2.3 |  |  |  | 53.3 |  |  |  | (1.6 | )
Tax effect (3) |  |  | (0.6 | ) |  |  | (14.0 | ) |  |  | 0.4 |
Total impact on earnings |  |  | 1.7 |  |  |  | 39.3 |  |  |  | (1.2 | )
Adjusted earnings (1) |  | $ | 82.3 |  |  | $ | 66.8 |  |  | $ | 79.4 |
Diluted EPS |  | $ | 0.63 |  |  | $ | 0.21 |  |  | $ | 0.74 |
Day 2 accounting provision |  |  | - |  |  |  | 0.27 |  |  |  | - |
Merger related expenses |  |  | 0.01 |  |  |  | 0.15 |  |  |  | 0.01 |
Branch right sizing costs |  |  | 0.01 |  |  |  | - |  |  |  | (0.03 | )
Loss from early retirement of TruPS |  |  | - |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (0.01 | ) |  |  | - |  |  |  | - |
Total pre-tax impact |  |  | 0.01 |  |  |  | 0.41 |  |  |  | (0.02 | )
Tax effect (3) |  |  | - |  |  |  | (0.11 | ) |  |  | 0.01 |
Total impact on earnings |  |  | 0.01 |  |  |  | 0.31 |  |  |  | (0.01 | )
Adjusted Diluted EPS (1) |  | $ | 0.64 |  |  | $ | 0.52 |  |  | $ | 0.73 |
Average diluted shares outstanding |  |  | 128,336,422 |  |  |  | 128,720,078 |  |  |  | 108,359,890 |

Net Interest Income

Net interest income for the third quarter of 2022 totaled $193.6 million, up 5 percent compared to the second quarter of 2022, and up 33 percent compared to the third quarter of 2021. Included in net interest income is accretion recognized on assets acquired, which totaled $5.8 million in the third quarter of 2022, $9.9 million in the second quarter of 2022 and $4.1 million in the third quarter of 2021. Also included in net interest income is income from Paycheck Protection Program (PPP) loans totaling $0.2 million in the third quarter of 2022, $1.6 million in the second quarter of 2022 and $9.6 million in the third quarter of 2021. The increase in net interest income on a linked quarter basis was driven by a $25.8 million increase in interest income, reflecting higher average loan balances (up $843 million), increased interest income from the securities portfolio and the benefit of higher interest rates. These items more than offset the $17.3 million increase in interest expense that also reflects higher interest rates, as well as a shift in consumer sentiment given the attractiveness of higher yielding time deposits in the current interest rate environment.

The yield on loans for the third quarter of 2022 was 4.86 percent, compared to 4.54 percent in the second quarter of 2022 and 4.76 percent in the third quarter of 2021. The yield on investment securities for the third quarter of 2022 was 2.29 percent, compared to 2.08 percent in the second quarter of 2022 and 1.77 percent in the third quarter of 2021. Cost of deposits for the third quarter of 2022 were 47 basis points, compared to 18 basis points in the second quarter of 2022 and 20 basis points in the third quarter of 2021. Net interest margin on a fully taxable equivalent basis for the third quarter of 2022 was 3.34 percent, compared to 3.24 percent in the second quarter of 2022 and 2.85 percent in the third quarter of 2021. While PPP loan interest income had no impact on the net interest margin in the third quarter of 2022, it positively impacted the net interest margin by 3 basis points in the second quarter of 2022 and 14 basis points in the third quarter of 2021.

|  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Loan yield (FTE) (2) |  |  | 4.86 | % |  |  | 4.54 | % |  |  | 4.34 | % |  |  | 4.58 | % |  |  | 4.76 | %
Security yield (FTE) (2) |  |  | 2.29 |  |  |  | 2.08 |  |  |  | 1.86 |  |  |  | 1.74 |  |  |  | 1.77 |
Cost of interest bearing deposits |  |  | 0.65 |  |  |  | 0.25 |  |  |  | 0.19 |  |  |  | 0.23 |  |  |  | 0.27 |
Cost of deposits |  |  | 0.47 |  |  |  | 0.18 |  |  |  | 0.14 |  |  |  | 0.17 |  |  |  | 0.20 |
Cost of borrowed funds |  |  | 2.66 |  |  |  | 2.13 |  |  |  | 1.94 |  |  |  | 1.95 |  |  |  | 1.96 |
Net interest spread (FTE) (2) |  |  | 3.11 |  |  |  | 3.11 |  |  |  | 2.66 |  |  |  | 2.74 |  |  |  | 2.72 |
Net interest margin (FTE) (2) |  |  | 3.34 |  |  |  | 3.24 |  |  |  | 2.76 |  |  |  | 2.86 |  |  |  | 2.85 |
Net interest margin (FTE) excluding PPP (1) (2) |  |  | 3.34 |  |  |  | 3.21 |  |  |  | 2.74 |  |  |  | 2.79 |  |  |  | 2.71 |

Noninterest Income

Noninterest income for the third quarter of 2022 was $43.0 million, compared to $40.2 million in the second quarter of 2022 and $48.6 million in the third quarter of 2021. Gains (losses) on the sales of investment securities totaled $(22) thousand in the third quarter of 2022, $(150) thousand in the second quarter of 2022 and $5.2 million in the third quarter of 2021. The $2.8 million increase in noninterest income on a linked quarter basis was primarily attributable to an increase in wealth management fees (up $1.3 million) and service charges on deposit accounts (up $1.2 million), offset in part by a decline in debit and credit card interchange fees (down $0.5 million).

Noninterest Income $ in millions |  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Service charges on deposit accounts |  | $ | 12.6 |  |  | $ | 11.4 |  |  | $ | 10.7 |  |  | $ | 11.9 |  |  | $ | 11.6 |
Wealth management fees |  |  | 8.6 |  |  |  | 7.2 |  |  |  | 8.0 |  |  |  | 8.0 |  |  |  | 7.9 |
Debit and credit card fees |  |  | 7.7 |  |  |  | 8.2 |  |  |  | 7.4 |  |  |  | 7.5 |  |  |  | 7.1 |
Mortgage lending income |  |  | 2.6 |  |  |  | 2.2 |  |  |  | 4.6 |  |  |  | 5.0 |  |  |  | 5.8 |
Other service charges and fees |  |  | 2.1 |  |  |  | 1.9 |  |  |  | 1.6 |  |  |  | 1.8 |  |  |  | 2.0 |
Bank owned life insurance |  |  | 2.9 |  |  |  | 2.6 |  |  |  | 2.7 |  |  |  | 2.8 |  |  |  | 2.6 |
Gain (loss) on sale of securities |  |  | - |  |  |  | (0.2 | ) |  |  | (0.1 | ) |  |  | (0.3 | ) |  |  | 5.2 |
Other income |  |  | 6.7 |  |  |  | 6.8 |  |  |  | 7.3 |  |  |  | 10.0 |  |  |  | 6.4 |
Adjusted other income (1) |  |  | 6.4 |  |  |  | 6.9 |  |  |  | 7.3 |  |  |  | 10.0 |  |  |  | 6.7 |

Noninterest Expense

Noninterest expense for the third quarter of 2022 was $138.9 million, compared to $156.8 million in the second quarter of 2022 and $114.3 million in the third quarter of 2021. Included in noninterest expense are certain items, primarily comprised of merger related and branch right sizing costs, totaling $2.6 million in the third quarter of 2022, $19.4 million in the second quarter of 2022 and a $1.9 million credit in the third quarter of 2021. Excluding these certain items (which are described in the “Reconciliation of non-GAAP Financial Measures” table below), adjusted noninterest expense(1) was $136.4 million for the third quarter of 2022, $137.4 million in the second quarter of 2022 and $116.2 million in the third quarter of 2021. The decrease in adjusted noninterest expense on a linked quarter basis was primarily due to a decline in salaries and employee benefits (down $2.2 million) and a $1.6 million contribution to the Simmons First Foundation recorded in the second quarter of 2022 that was not repeated in the third quarter, reflecting a portion of paper statement fees collected as part of an effort to encourage customers to enroll in eStatements. These decreases were offset in part by increases in occupancy expense (up $0.8 million) and deposit insurance (up $0.5 million). The decrease in noninterest expense, coupled with the growth in revenue, resulted in an efficiency ratio(1) of 54.41 percent during the third quarter of 2022, down 308 basis points from second quarter 2022 levels.

Noninterest Expense $ in millions |  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Salaries and employee benefits |  | $ | 71.9 |  |  | $ | 74.1 |  |  | $ | 67.9 |  |  | $ | 63.9 |  |  | $ | 61.9 |
Occupancy expense, net |  |  | 11.7 |  |  |  | 11.0 |  |  |  | 10.0 |  |  |  | 11.0 |  |  |  | 9.4 |
Furniture and equipment |  |  | 5.4 |  |  |  | 5.1 |  |  |  | 4.8 |  |  |  | 4.7 |  |  |  | 4.9 |
Deposit insurance |  |  | 3.3 |  |  |  | 2.8 |  |  |  | 1.8 |  |  |  | 2.1 |  |  |  | 1.9 |
Other real estate and foreclosure expense |  |  | 0.2 |  |  |  | 0.1 |  |  |  | 0.3 |  |  |  | 0.6 |  |  |  | 0.3 |
Merger related costs |  |  | 1.4 |  |  |  | 19.1 |  |  |  | 1.9 |  |  |  | 13.6 |  |  |  | 1.4 |
Other operating expenses |  |  | 45.1 |  |  |  | 44.5 |  |  |  | 41.6 |  |  |  | 45.7 |  |  |  | 34.6 |
Adjusted salaries and employee benefits (1) |  |  | 71.9 |  |  |  | 74.1 |  |  |  | 67.9 |  |  |  | 63.8 |  |  |  | 61.8 |
Adjusted other operating expenses (1) |  |  | 44.1 |  |  |  | 44.5 |  |  |  | 40.9 |  |  |  | 45.8 |  |  |  | 38.3 |
Efficiency ratio (1) |  |  | 54.41 | % |  |  | 57.49 | % |  |  | 62.95 | % |  |  | 59.48 | % |  |  | 58.10 | %

Loans and Unfunded Loan Commitments

Total loans at the end of the third quarter of 2022 were $15.6 billion, up $497 million, or 3 percent, compared to $15.1 billion at the end of the second quarter of 2022. Loan growth was widespread throughout our geographic markets, and each of our core banking units posted positive loan growth on a linked quarter basis, including Metro Banking (+2 percent), Community Banking (+3 percent) and Corporate Banking (+9 percent). At the same time, growth was generally broad-based by loan type and more than offset continued market-driven weakness in mortgage warehouse lending. Commercial loan line utilization rates have remained relatively stable and below pre-pandemic levels. Additionally, loan growth was weighted toward the latter half of the quarter as period-end loans exceeded average total loans of $15.3 billion for the third quarter of 2022.

Unfunded commitments increased for the sixth consecutive quarter to $5.1 billion, up $665 million or 15 percent on a linked quarter basis. At the same time, activity within our commercial loan pipeline slowed, as expected, given the impact of the rapidly rising interest rates, and our emphasis on maintaining prudent underwriting standards and pricing discipline. Commercial loans approved and ready to close at the end of the third quarter of 2022 totaled $552 million and the rate on ready to close commercial loans was 5.84 percent, up 139 basis points from the rate on ready to close commercial loans at the end of the second quarter of 2022.

$ in millions |  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Total loans |  | $ | 15,607 |  |  | $ | 15,110 |  |  | $ | 12,029 |  |  | $ | 12,013 |  |  | $ | 10,825 |
PPP loans |  | $ | 12 |  |  | $ | 19 |  |  | $ | 62 |  |  | $ | 117 |  |  | $ | 212 |
Mortgage warehouse loans |  |  | 129 |  |  |  | 168 |  |  |  | 166 |  |  |  | 230 |  |  |  | 275 |
Energy loans |  |  | 55 |  |  |  | 55 |  |  |  | 48 |  |  |  | 105 |  |  |  | 128 |
Unfunded loan commitments |  | $ | 5,138 |  |  | $ | 4,473 |  |  | $ | 3,428 |  |  | $ | 2,943 |  |  | $ | 2,254 |
Linked quarter change in unfunded commitments |  |  | 15 | % |  |  | 30 | % |  |  | 16 | % |  |  | 31 | % |  |  | 6 | %

Deposits

Total deposits at the end of the third quarter of 2022 were $22.1 billion, compared to $22.0 billion at the end of the second quarter of 2022 and $18.1 billion at the end of the third quarter of 2021. Noninterest bearing deposits totaled $6.2 billion, up 3 percent from second quarter 2022, and represent 28.1 percent of total deposits, compared to 27.5 percent at the end of the second quarter of 2022. Interest bearing deposits (checking, savings and money market accounts) totaled $12.1 billion at the end of the third quarter of 2022, compared to $12.8 billion at the end of the second quarter of 2022. The decline in interest bearing deposits was offset by an increase in time deposits, which totaled $3.8 billion at the end of the third quarter of 2022, compared to $3.2 billion at the end of the second quarter of 2022. The change in mix of deposits on a linked quarter basis was primarily attributable to the attractiveness of higher rate deposits, principally certificates of deposits, given the rapid increase in interest rates that has occurred during 2022. The loan to deposit ratio ended the third quarter of 2022 at 70 percent, compared to 69 percent at the end of the second quarter of 2022 and 60 percent at the end of the third quarter of 2021.

$ in millions |  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Noninterest bearing deposits |  | $ | 6,218 |  |  | $ | 6,057 |  |  | $ | 5,224 |  |  | $ | 5,325 |  |  | $ | 4,919 |
Interest bearing deposits |  |  | 12,104 |  |  |  | 12,816 |  |  |  | 12,106 |  |  |  | 11,589 |  |  |  | 10,697 |
Time deposits |  |  | 3,827 |  |  |  | 3,163 |  |  |  | 2,062 |  |  |  | 2,453 |  |  |  | 2,456 |
Total deposits |  | $ | 22,149 |  |  | $ | 22,036 |  |  | $ | 19,392 |  |  | $ | 19,367 |  |  | $ | 18,072 |
Noninterest bearing deposits to total deposits |  |  | 28.1 | % |  |  | 27.5 | % |  |  | 26.9 | % |  |  | 27.5 | % |  |  | 27.2 | %
Total loans to total deposits |  |  | 70.5 |  |  |  | 68.6 |  |  |  | 62.0 |  |  |  | 62.0 |  |  |  | 59.9 |

Asset Quality

While the quality of our loan portfolio remains strong, and credit quality metrics remain at historical lows, we continue to carefully monitor our various geographies and segments for signs of stress or weakness. Total nonperforming loans at the end of the third quarter of 2022 were $57.8 million, down $5.8 million compared to $63.6 million at the end of the second quarter of 2022 and down $1.6 million compared to $59.4 million at the end of the third quarter of 2021. Total nonperforming assets as a percentage of total assets were 0.23 percent at the end of the third quarter of 2022, compared to 0.26 percent at the end of the second quarter of 2022 and 0.31 percent at the end of the third quarter of 2021. Loan charge-offs were offset by recoveries in the quarter, resulting in a net charge-off ratio of less than 1 basis point, compared to 2 basis points in the second quarter of 2022 and 17 basis points in the third quarter of 2021.

During the third quarter of 2022, provision for credit losses was $0.1 million, compared to $33.9 million in the second quarter of 2022 and provision recapture of $19.9 million in the third quarter of 2021. The allowance for credit losses on loans at the end of the third quarter of 2022 was $197.6 million, compared to $212.6 million at the end of the second quarter of 2022 and $202.5 million at the end of the third quarter of 2021. The allowance for credit losses on loans to total loans ended the quarter at 1.27 percent, compared to 1.41 percent at the end of the second quarter of 2022 and 1.87 percent at the end of the third quarter of 2021. The nonperforming loan coverage ratio ended the quarter at 342 percent, compared to 334 percent at the end of the second quarter of 2022 and 341 percent at the end of the third quarter of 2021. The reserve for unfunded commitments totaled $41.9 million at the end of the third quarter of 2022, compared to $25.9 million at the end of the third quarter of 2021 and $22.4 million at the end of the third quarter of 2021.

$ in millions |  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Allowance for credit losses on loans to total loans |  |  | 1.27 | % |  |  | 1.41 | % |  |  | 1.49 | % |  |  | 1.71 | % |  |  | 1.87 | %
Allowance for credit losses on loans to nonperforming loans |  |  | 342 |  |  |  | 334 |  |  |  | 278 |  |  |  | 300 |  |  |  | 341 |
Nonperforming loans to total loans |  |  | 0.37 |  |  |  | 0.42 |  |  |  | 0.53 |  |  |  | 0.57 |  |  |  | 0.55 |
Net charge-off ratio (annualized) |  |  | — |  |  |  | 0.02 |  |  |  | 0.22 |  |  |  | 0.31 |  |  |  | 0.17 |
Net charge-off ratio YTD (annualized) |  |  | 0.07 |  |  |  | 0.11 |  |  |  | 0.22 |  |  |  | 0.13 |  |  |  | 0.06 |
Total nonperforming loans |  | $ | 57.8 |  |  | $ | 63.6 |  |  | $ | 64.3 |  |  | $ | 68.6 |  |  | $ | 59.4 |
Total other nonperforming assets |  |  | 4.7 |  |  |  | 6.4 |  |  |  | 6.6 |  |  |  | 7.7 |  |  |  | 13.5 |
Total nonperforming assets |  | $ | 62.5 |  |  | $ | 70.0 |  |  | $ | 70.9 |  |  | $ | 76.3 |  |  | $ | 72.9 |
Reserve for unfunded commitments |  | $ | 41.9 |  |  | $ | 25.9 |  |  | $ | 22.4 |  |  | $ | 22.4 |  |  | $ | 22.4 |

Capital

Total common stockholders’ equity at the end of the third quarter of 2022 was $3.2 billion, compared to $3.3 billion at the end of the second quarter of 2022 and $3.0 billion at the end of the third quarter of 2021. The decrease in common stockholders’ equity on a linked quarter basis reflected an increase in retained earnings, offset by the return of capital to shareholders through share repurchases and the payment of a cash dividend, and an increase in unrealized losses associated with investment securities classified as available-for-sale. Book value per share at the end of the third quarter of 2022 was $24.87, compared to $25.31 at the end of the second quarter of 2022 and $28.42 at the end of the third quarter of 2021. Tangible book value per share(1) was $13.51 at the end of the third quarter of 2022, compared to $14.07 at the end of the second quarter of 2022 and $17.39 at the end of the third quarter of 2021. Stockholders’ equity to total assets at September 30, 2022, was 11.7 percent, and tangible common equity to tangible assets(1) was 6.7 percent. All of Simmons’ regulatory capital ratios continue to significantly exceed “well-capitalized” guidelines.

|  | Q3 22 |  |  | Q2 22 |  |  | Q1 22 |  |  | Q4 21 |  |  | Q3 21 |
Stockholders’ equity to total assets |  |  | 11.7 | % |  |  | 12.0 | % |  |  | 12.1 | % |  |  | 13.1 | % |  |  | 13.1 | %
Tangible common equity to tangible assets (1) |  |  | 6.7 |  |  |  | 7.0 |  |  |  | 7.4 |  |  |  | 8.5 |  |  |  | 8.4 |
Regulatory common equity tier 1 ratio |  |  | 11.7 |  |  |  | 12.1 |  |  |  | 13.5 |  |  |  | 13.8 |  |  |  | 14.3 |
Regulatory tier 1 leverage ratio |  |  | 9.2 |  |  |  | 9.2 |  |  |  | 9.0 |  |  |  | 9.1 |  |  |  | 9.1 |
Regulatory tier 1 risk-based capital ratio |  |  | 11.7 |  |  |  | 12.1 |  |  |  | 13.5 |  |  |  | 13.8 |  |  |  | 14.3 |
Regulatory total risk-based capital ratio |  |  | 14.1 |  |  |  | 14.8 |  |  |  | 16.4 |  |  |  | 16.8 |  |  |  | 17.4 |

Share Repurchase Program and Cash Dividend

Simmons has a strong record of returning excess capital to shareholders through a strategic combination of cash dividends and share repurchases. As announced on October 20, 2022, as a result of Simmons’ strong capital position and ability to organically generate capital, the board of directors declared a quarterly cash dividend on Simmons’ Class A common stock of $0.19 per share, which is payable on January 3, 2023, to shareholders of record as of December 15, 2022. The cash dividend represents an increase of $0.01 per share, or 6 percent, from the dividend paid for the same time period last year. The annual cash dividend rate of $0.76 for 2022 represents a ten-year compound annual growth rate of 7 percent, and 2022 represents the 113th consecutive year that Simmons has paid cash dividends. According to research performed by Dividend Power, Simmons is one of only 23 U.S. publicly traded companies that have paid dividends for 100+ uninterrupted years.

During the third quarter of 2022, Simmons repurchased approximately 1.9 million shares of its Class A common stock at an average price of $23.91 under its 2022 stock repurchase program that was announced in January 2022 (2022 Program). Under the 2022 Program, Simmons is authorized to repurchase up to $175,000,000 of its issued and outstanding Class A common stock. Market conditions and our capital needs will drive the decisions regarding future stock repurchases; the timing, pricing and amount of any repurchases under the 2022 Program will be determined by Simmons’ management at its discretion; and the 2022 Program does not obligate Simmons to repurchase any common stock and may be modified, discontinued or suspended at any time without prior notice.

__________________________________________________

(1) Non-GAAP measurement. See “Non-GAAP Financial Measures” and “Reconciliation of Non-GAAP Financial Measures” below

(2) FTE – fully taxable equivalent using an effective tax rate of 26.135%

(3) Effective tax rate of 26.135%

Conference Call

Management will conduct a live conference call to review this information beginning at 9:00 a.m. Central Time today, Tuesday, October 25, 2022. Interested persons can listen to this call by dialing toll-free 1-877-270-2148 (North America only) and asking for the Simmons First National Corporation conference call, conference ID 10171429. In addition, the call will be available live or in recorded version on the Simmons’ website at simmonsbank.com for at least 60 days following the date of the call.

Simmons First National Corporation

Simmons First National Corporation (NASDAQ: SFNC) is a Mid-South based financial holding company that has paid cash dividends to its shareholders for 113 consecutive years. Its principal subsidiary, Simmons Bank, operates 230 branches in Arkansas, Kansas, Missouri, Oklahoma, Tennessee and Texas. Founded in 1903, Simmons Bank offers comprehensive financial solutions delivered with a client-centric approach. In 2022, Simmons Bank was named to Forbes list of “America’s Best Banks” for the second consecutive year and was named to Forbes list of “World’s Best Banks” for the third consecutive year. Additional information about Simmons Bank can be found on our website at simmonsbank.com, by following @Simmons_Bank on Twitter or by visiting our newsroom.

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (GAAP). The Company’s management uses these non-GAAP financial measures in their analysis of the Company’s performance. These measures adjust GAAP performance measures to, among other things, include the tax benefit associated with revenue items that are tax-exempt, as well as exclude from net income (including on a per share diluted basis), pre-tax, pre-provision earnings, net charge-offs, income available to common shareholders, non-interest income, and non-interest expense certain income and expense items attributable to merger activity (primarily including merger-related expenses), gains and/or losses on sale of branches, net branch right-sizing initiatives, loss on redemption of trust preferred securities and gain on sale of intellectual property. In addition, the Company also presents certain figures based on tangible common stockholders’ equity, tangible assets and tangible book value, which exclude goodwill and other intangible assets. The Company further presents certain figures that are exclusive of the impact of PPP loans, deposits and/or loans acquired through the Spirit acquisition, mortgage warehouse loans, and/or energy loans, or gains and/or losses on the sale of securities. The Company’s management believes that these non-GAAP financial measures are useful to investors because they, among other things, present the results of the Company’s ongoing operations without the effect of mergers or other items not central to the Company’s ongoing business, as well as normalize for tax effects, the effects of the PPP, and certain other effects. Management, therefore, believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company’s ongoing businesses, and management uses these non-GAAP financial measures to assess the performance of the Company’s ongoing businesses as related to prior financial periods. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release.

Forward-Looking Statements

Certain statements in this news release may not be based on historical facts and should be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including, without limitation, statements made in Mr. Makris’s quotes, may be identified by reference to future periods or by the use of forward-looking terminology, such as “believe,” “budget,” “expect,” “foresee,” “anticipate,” “intend,” “indicate,” “target,” “estimate,” “plan,” “project,” “continue,” “contemplate,” “positions,” “prospects,” “predict,” or “potential,” by future conditional verbs such as “will,” “would,” “should,” “could,” “might” or “may,” or by variations of such words or by similar expressions. These forward-looking statements include, without limitation, statements relating to Simmons’ future growth, business strategies, lending capacity and lending activity, loan demand, revenue, assets, asset quality, profitability, dividends, net interest margin, non-interest revenue, share repurchase program, acquisition strategy, digital banking initiatives, the Company’s ability to recruit and retain key employees, the adequacy of the allowance for credit losses, and future economic conditions and interest rates. Any forward-looking statement speaks only as of the date of this news release, and Simmons undertakes no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date of this news release. By nature, forward-looking statements are based on various assumptions and involve inherent risk and uncertainties. Various factors, including, but not limited to, changes in economic conditions, credit quality, interest rates and related governmental policies, loan demand, deposit flows, real estate values, the assumptions used in making the forward-looking statements, the securities markets generally or the price of Simmons’ common stock specifically, and information technology affecting the financial industry; the effect of steps the Company takes and has taken in response to the COVID-19 pandemic; the severity and duration of the COVID-19 pandemic and the heightened impact it has on many of the risks described herein; the effects of the COVID-19 pandemic on, among other things, the Company’s operations, liquidity, and credit quality; general economic and market conditions; market disruptions including pandemics or significant health hazards, severe weather conditions, natural disasters, terrorist activities, financial crises, political crises, war and other military conflicts (including the ongoing military conflict between Russia and Ukraine) or other major events, or the prospect of these events; increased competition in the markets in which the Company operates; increased unemployment; labor shortages; claims, damages, and fines related to litigation or government actions; changes in accounting principles relating to loan loss recognition (current expected credit losses); the Company’s ability to manage and successfully integrate its mergers and acquisitions and to fully realize cost savings and other benefits associated with those transactions; cyber threats, attacks or events; reliance on third parties for key services; government legislation; and other factors, many of which are beyond the control of the Company, could cause actual results to differ materially from those projected in or contemplated by the forward-looking statements. Additional information on factors that might affect the Company’s financial results is included in the Company’s Form 10-K for the year ended December 31, 2021, and other reports that the Company has filed with or furnished to the U.S. Securities and Exchange Commission (the SEC), all of which are available from the SEC on its website, www.sec.gov.

FOR MORE INFORMATION CONTACT:

Ed Bilek, EVP, Director of Investor and Media Relations

ed.bilek@simmonsbank.com

205.612.3378 (cell)

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated End of Period Balance Sheets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
ASSETS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and noninterest bearing balances due from banks |  | $ | 175,547 |  |  | $ | 193,473 |  |  | $ | 195,510 |  |  | $ | 209,190 |  |  | $ | 225,500 |
Interest bearing balances due from banks and federal funds sold |  |  | 503,863 |  |  |  | 771,374 |  |  |  | 1,491,507 |  |  |  | 1,441,463 |  |  |  | 1,555,913 |
Cash and cash equivalents |  |  | 679,410 |  |  |  | 964,847 |  |  |  | 1,687,017 |  |  |  | 1,650,653 |  |  |  | 1,781,413 |
Interest bearing balances due from banks - time |  |  | 1,290 |  |  |  | 1,535 |  |  |  | 1,857 |  |  |  | 1,882 |  |  |  | 1,780 |
Investment securities - held-to-maturity |  |  | 3,787,076 |  |  |  | 3,819,682 |  |  |  | 1,556,825 |  |  |  | 1,529,221 |  |  |  | 1,516,797 |
Investment securities - available-for-sale |  |  | 3,937,543 |  |  |  | 4,341,647 |  |  |  | 6,640,069 |  |  |  | 7,113,545 |  |  |  | 6,822,203 |
Mortgage loans held for sale |  |  | 12,759 |  |  |  | 14,437 |  |  |  | 18,206 |  |  |  | 36,356 |  |  |  | 34,628 |
Other loans held for sale |  |  | 2,292 |  |  |  | 16,375 |  |  |  | - |  |  |  | 100 |  |  |  | 100 |
Loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans |  |  | 15,607,135 |  |  |  | 15,110,344 |  |  |  | 12,028,593 |  |  |  | 12,012,503 |  |  |  | 10,825,227 |
Allowance for credit losses on loans |  |  | (197,589 | ) |  |  | (212,611 | ) |  |  | (178,924 | ) |  |  | (205,332 | ) |  |  | (202,508 | )
Net loans |  |  | 15,409,546 |  |  |  | 14,897,733 |  |  |  | 11,849,669 |  |  |  | 11,807,171 |  |  |  | 10,622,719 |
Premises and equipment |  |  | 549,932 |  |  |  | 553,062 |  |  |  | 486,531 |  |  |  | 483,469 |  |  |  | 463,924 |
Foreclosed assets and other real estate owned |  |  | 3,612 |  |  |  | 4,084 |  |  |  | 5,118 |  |  |  | 6,032 |  |  |  | 11,759 |
Interest receivable |  |  | 86,637 |  |  |  | 82,332 |  |  |  | 69,357 |  |  |  | 72,990 |  |  |  | 68,405 |
Bank owned life insurance |  |  | 488,364 |  |  |  | 486,355 |  |  |  | 448,011 |  |  |  | 445,305 |  |  |  | 421,762 |
Goodwill |  |  | 1,309,000 |  |  |  | 1,310,528 |  |  |  | 1,147,007 |  |  |  | 1,146,007 |  |  |  | 1,075,305 |
Other intangible assets |  |  | 133,059 |  |  |  | 137,285 |  |  |  | 102,748 |  |  |  | 106,235 |  |  |  | 100,428 |
Other assets |  |  | 675,554 |  |  |  | 588,707 |  |  |  | 469,853 |  |  |  | 325,793 |  |  |  | 304,707 |
Total assets |  | $ | 27,076,074 |  |  | $ | 27,218,609 |  |  | $ | 24,482,268 |  |  | $ | 24,724,759 |  |  | $ | 23,225,930 |
LIABILITIES AND STOCKHOLDERS' EQUITY |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest bearing transaction accounts |  | $ | 6,218,283 |  |  | $ | 6,057,186 |  |  | $ | 5,223,862 |  |  | $ | 5,325,318 |  |  | $ | 4,918,845 |
Interest bearing transaction accounts and savings deposits |  |  | 12,103,994 |  |  |  | 12,816,198 |  |  |  | 12,105,948 |  |  |  | 11,588,770 |  |  |  | 10,697,451 |
Time deposits |  |  | 3,826,415 |  |  |  | 3,162,479 |  |  |  | 2,062,612 |  |  |  | 2,452,460 |  |  |  | 2,455,774 |
Total deposits |  |  | 22,148,692 |  |  |  | 22,035,863 |  |  |  | 19,392,422 |  |  |  | 19,366,548 |  |  |  | 18,072,070 |
Federal funds purchased and securities sold |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
under agreements to repurchase |  |  | 168,513 |  |  |  | 155,101 |  |  |  | 196,828 |  |  |  | 185,403 |  |  |  | 217,276 |
Other borrowings |  |  | 964,772 |  |  |  | 1,060,244 |  |  |  | 1,337,243 |  |  |  | 1,337,973 |  |  |  | 1,338,585 |
Subordinated notes and debentures |  |  | 365,951 |  |  |  | 421,693 |  |  |  | 384,242 |  |  |  | 384,131 |  |  |  | 383,278 |
Accrued interest and other liabilities |  |  | 270,995 |  |  |  | 285,813 |  |  |  | 209,926 |  |  |  | 201,863 |  |  |  | 184,190 |
Total liabilities |  |  | 23,918,923 |  |  |  | 23,958,714 |  |  |  | 21,520,661 |  |  |  | 21,475,918 |  |  |  | 20,195,399 |
Stockholders' equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Preferred stock |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 767 |
Common stock |  |  | 1,269 |  |  |  | 1,288 |  |  |  | 1,125 |  |  |  | 1,127 |  |  |  | 1,066 |
Surplus |  |  | 2,527,153 |  |  |  | 2,569,060 |  |  |  | 2,150,453 |  |  |  | 2,164,989 |  |  |  | 1,974,561 |
Undivided profits |  |  | 1,196,459 |  |  |  | 1,139,975 |  |  |  | 1,136,990 |  |  |  | 1,093,270 |  |  |  | 1,065,566 |
Accumulated other comprehensive (loss) income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unrealized (depreciation) appreciation on AFS securities |  |  | (567,730 | ) |  |  | (450,428 | ) |  |  | (326,961 | ) |  |  | (10,545 | ) |  |  | (11,429 | )
Total stockholders' equity |  |  | 3,157,151 |  |  |  | 3,259,895 |  |  |  | 2,961,607 |  |  |  | 3,248,841 |  |  |  | 3,030,531 |
Total liabilities and stockholders' equity |  | $ | 27,076,074 |  |  | $ | 27,218,609 |  |  | $ | 24,482,268 |  |  | $ | 24,724,759 |  |  | $ | 23,225,930 |

| Page 1 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated Statements of Income - Quarter-to-Date |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  |  | Sep 30 |  |  |  | Jun 30 |  |  |  | Mar 31 |  |  |  | Dec 31 |  |  |  | Sep 30 |
(Unaudited) |  |  | 2022 |  |  |  | 2022 |  |  |  | 2022 |  |  |  | 2021 |  |  |  | 2021 |
($ in thousands, except per share data) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
INTEREST INCOME |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans (including fees) |  | $ | 187,347 |  |  | $ | 163,578 |  |  | $ | 127,176 |  |  | $ | 137,564 |  |  | $ | 132,216 |
Interest bearing balances due from banks and federal funds sold |  |  | 1,141 |  |  |  | 1,117 |  |  |  | 649 |  |  |  | 583 |  |  |  | 763 |
Investment securities |  |  | 40,954 |  |  |  | 37,848 |  |  |  | 33,712 |  |  |  | 32,275 |  |  |  | 30,717 |
Mortgage loans held for sale |  |  | 178 |  |  |  | 200 |  |  |  | 190 |  |  |  | 310 |  |  |  | 230 |
Other loans held for sale |  |  | 998 |  |  |  | 2,063 |  |  |  | - |  |  |  | - |  |  |  | - |
TOTAL INTEREST INCOME |  |  | 230,618 |  |  |  | 204,806 |  |  |  | 161,727 |  |  |  | 170,732 |  |  |  | 163,926 |
INTEREST EXPENSE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Time deposits |  |  | 8,204 |  |  |  | 2,875 |  |  |  | 2,503 |  |  |  | 3,705 |  |  |  | 4,747 |
Other deposits |  |  | 17,225 |  |  |  | 6,879 |  |  |  | 4,314 |  |  |  | 4,390 |  |  |  | 4,369 |
Federal funds purchased and securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
sold under agreements to repurchase |  |  | 305 |  |  |  | 119 |  |  |  | 68 |  |  |  | 72 |  |  |  | 70 |
Other borrowings |  |  | 6,048 |  |  |  | 4,844 |  |  |  | 4,779 |  |  |  | 4,903 |  |  |  | 4,893 |
Subordinated notes and debentures |  |  | 5,251 |  |  |  | 4,990 |  |  |  | 4,457 |  |  |  | 4,581 |  |  |  | 4,610 |
TOTAL INTEREST EXPENSE |  |  | 37,033 |  |  |  | 19,707 |  |  |  | 16,121 |  |  |  | 17,651 |  |  |  | 18,689 |
NET INTEREST INCOME |  |  | 193,585 |  |  |  | 185,099 |  |  |  | 145,606 |  |  |  | 153,081 |  |  |  | 145,237 |
Provision for credit losses |  |  | 103 |  |  |  | 33,859 |  |  |  | (19,914 | ) |  |  | (1,308 | ) |  |  | (19,890 | )
NET INTEREST INCOME AFTER PROVISION |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
FOR CREDIT LOSSES |  |  | 193,482 |  |  |  | 151,240 |  |  |  | 165,520 |  |  |  | 154,389 |  |  |  | 165,127 |
NONINTEREST INCOME |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Service charges on deposit accounts |  |  | 12,560 |  |  |  | 11,379 |  |  |  | 10,696 |  |  |  | 11,909 |  |  |  | 11,557 |
Debit and credit card fees |  |  | 7,685 |  |  |  | 8,224 |  |  |  | 7,449 |  |  |  | 7,460 |  |  |  | 7,102 |
Wealth management fees |  |  | 8,562 |  |  |  | 7,214 |  |  |  | 7,968 |  |  |  | 8,042 |  |  |  | 7,877 |
Mortgage lending income |  |  | 2,593 |  |  |  | 2,240 |  |  |  | 4,550 |  |  |  | 5,043 |  |  |  | 5,818 |
Bank owned life insurance income |  |  | 2,902 |  |  |  | 2,563 |  |  |  | 2,706 |  |  |  | 2,768 |  |  |  | 2,573 |
Other service charges and fees (includes insurance income) |  |  | 2,085 |  |  |  | 1,871 |  |  |  | 1,637 |  |  |  | 1,762 |  |  |  | 1,964 |
Gain (loss) on sale of securities |  |  | (22 | ) |  |  | (150 | ) |  |  | (54 | ) |  |  | (348 | ) |  |  | 5,248 |
Other income |  |  | 6,658 |  |  |  | 6,837 |  |  |  | 7,266 |  |  |  | 9,965 |  |  |  | 6,411 |
TOTAL NONINTEREST INCOME |  |  | 43,023 |  |  |  | 40,178 |  |  |  | 42,218 |  |  |  | 46,601 |  |  |  | 48,550 |
NONINTEREST EXPENSE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits |  |  | 71,923 |  |  |  | 74,135 |  |  |  | 67,906 |  |  |  | 63,832 |  |  |  | 61,902 |
Occupancy expense, net |  |  | 11,674 |  |  |  | 11,004 |  |  |  | 10,023 |  |  |  | 11,033 |  |  |  | 9,361 |
Furniture and equipment expense |  |  | 5,394 |  |  |  | 5,104 |  |  |  | 4,775 |  |  |  | 4,721 |  |  |  | 4,895 |
Other real estate and foreclosure expense |  |  | 168 |  |  |  | 142 |  |  |  | 343 |  |  |  | 576 |  |  |  | 339 |
Deposit insurance |  |  | 3,278 |  |  |  | 2,812 |  |  |  | 1,838 |  |  |  | 2,108 |  |  |  | 1,870 |
Merger-related costs |  |  | 1,422 |  |  |  | 19,133 |  |  |  | 1,886 |  |  |  | 13,591 |  |  |  | 1,401 |
Other operating expenses |  |  | 45,084 |  |  |  | 44,483 |  |  |  | 41,646 |  |  |  | 45,736 |  |  |  | 34,565 |
TOTAL NONINTEREST EXPENSE |  |  | 138,943 |  |  |  | 156,813 |  |  |  | 128,417 |  |  |  | 141,597 |  |  |  | 114,333 |
NET INCOME BEFORE INCOME TAXES |  |  | 97,562 |  |  |  | 34,605 |  |  |  | 79,321 |  |  |  | 59,393 |  |  |  | 99,344 |
Provision for income taxes |  |  | 16,959 |  |  |  | 7,151 |  |  |  | 14,226 |  |  |  | 11,155 |  |  |  | 18,770 |
NET INCOME |  |  | 80,603 |  |  |  | 27,454 |  |  |  | 65,095 |  |  |  | 48,238 |  |  |  | 80,574 |
Preferred stock dividends |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 8 |  |  |  | 13 |
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS |  | $ | 80,603 |  |  | $ | 27,454 |  |  | $ | 65,095 |  |  | $ | 48,230 |  |  | $ | 80,561 |
BASIC EARNINGS PER SHARE |  | $ | 0.63 |  |  | $ | 0.21 |  |  | $ | 0.58 |  |  | $ | 0.42 |  |  | $ | 0.75 |
DILUTED EARNINGS PER SHARE |  | $ | 0.63 |  |  | $ | 0.21 |  |  | $ | 0.58 |  |  | $ | 0.42 |  |  | $ | 0.74 |

| Page 2 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated Risk-Based Capital |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Tier 1 capital |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Stockholders' equity |  | $ | 3,157,151 |  |  | $ | 3,259,895 |  |  | $ | 2,961,607 |  |  | $ | 3,248,841 |  |  | $ | 3,030,531 |
CECL transition provision (1) |  |  | 92,619 |  |  |  | 92,619 |  |  |  | 92,619 |  |  |  | 114,458 |  |  |  | 122,787 |
Disallowed intangible assets, net of deferred tax |  |  | (1,416,453 | ) |  |  | (1,423,323 | ) |  |  | (1,224,691 | ) |  |  | (1,226,686 | ) |  |  | (1,152,688 | )
Unrealized loss (gain) on AFS securities |  |  | 567,730 |  |  |  | 450,428 |  |  |  | 326,961 |  |  |  | 10,545 |  |  |  | 11,429 |
Total Tier 1 capital |  |  | 2,401,047 |  |  |  | 2,379,619 |  |  |  | 2,156,496 |  |  |  | 2,147,158 |  |  |  | 2,012,059 |
Tier 2 capital |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Subordinated notes and debentures |  |  | 365,951 |  |  |  | 421,693 |  |  |  | 384,242 |  |  |  | 384,131 |  |  |  | 383,278 |
Qualifying allowance for loan losses and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
reserve for unfunded commitments |  |  | 116,257 |  |  |  | 114,733 |  |  |  | 78,057 |  |  |  | 71,853 |  |  |  | 60,700 |
Total Tier 2 capital |  |  | 482,208 |  |  |  | 536,426 |  |  |  | 462,299 |  |  |  | 455,984 |  |  |  | 443,978 |
Total risk-based capital |  | $ | 2,883,255 |  |  | $ | 2,916,045 |  |  | $ | 2,618,795 |  |  | $ | 2,603,142 |  |  | $ | 2,456,037 |
Risk weighted assets |  | $ | 20,470,918 |  |  | $ | 19,669,149 |  |  | $ | 15,953,622 |  |  | $ | 15,538,967 |  |  | $ | 14,098,320 |
Adjusted average assets for leverage ratio |  | $ | 25,986,938 |  |  | $ | 25,807,113 |  |  | $ | 23,966,206 |  |  | $ | 23,647,901 |  |  | $ | 22,189,921 |
Ratios at end of quarter |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity to assets |  |  | 11.66 | % |  |  | 11.98 | % |  |  | 12.10 | % |  |  | 13.14 | % |  |  | 13.05 | %
Tangible common equity to tangible assets (2) |  |  | 6.69 | % |  |  | 7.03 | % |  |  | 7.37 | % |  |  | 8.51 | % |  |  | 8.41 | %
Common equity Tier 1 ratio (CET1) |  |  | 11.73 | % |  |  | 12.10 | % |  |  | 13.52 | % |  |  | 13.82 | % |  |  | 14.27 | %
Tier 1 leverage ratio |  |  | 9.24 | % |  |  | 9.22 | % |  |  | 9.00 | % |  |  | 9.08 | % |  |  | 9.07 | %
Tier 1 risk-based capital ratio |  |  | 11.73 | % |  |  | 12.10 | % |  |  | 13.52 | % |  |  | 13.82 | % |  |  | 14.27 | %
Total risk-based capital ratio |  |  | 14.08 | % |  |  | 14.83 | % |  |  | 16.42 | % |  |  | 16.75 | % |  |  | 17.42 | %

(1) The Company has elected to use the CECL transition provision allowed for in the year of adopting ASC 326.

(2) Calculations of tangible common equity to tangible assets and the reconciliations to GAAP are included in the schedules accompanying this release.

| Page 3 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated Investment Securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investment Securities - End of Period |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Held-to-Maturity |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government agencies |  | $ | 447,400 |  |  | $ | 446,789 |  |  | $ | 232,670 |  |  | $ | 232,609 |  |  | $ | 232,549 |
Mortgage-backed securities |  |  | 1,214,882 |  |  |  | 1,244,713 |  |  |  | 112,496 |  |  |  | 70,342 |  |  |  | 57,930 |
State and political subdivisions |  |  | 1,865,203 |  |  |  | 1,868,924 |  |  |  | 1,194,459 |  |  |  | 1,209,051 |  |  |  | 1,209,091 |
Other securities |  |  | 259,591 |  |  |  | 259,256 |  |  |  | 17,200 |  |  |  | 17,219 |  |  |  | 17,227 |
Total held-to-maturity (net of credit losses) |  |  | 3,787,076 |  |  |  | 3,819,682 |  |  |  | 1,556,825 |  |  |  | 1,529,221 |  |  |  | 1,516,797 |
Available-for-Sale |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Treasury |  | $ | 2,191 |  |  | $ | 1,441 |  |  | $ | - |  |  | $ | 300 |  |  | $ | 300 |
U.S. Government agencies |  |  | 188,060 |  |  |  | 198,333 |  |  |  | 333,231 |  |  |  | 364,641 |  |  |  | 354,382 |
Mortgage-backed securities |  |  | 2,670,348 |  |  |  | 2,963,934 |  |  |  | 4,166,108 |  |  |  | 4,448,616 |  |  |  | 4,421,620 |
State and political subdivisions |  |  | 822,509 |  |  |  | 915,255 |  |  |  | 1,653,694 |  |  |  | 1,819,658 |  |  |  | 1,575,208 |
Other securities |  |  | 254,435 |  |  |  | 262,684 |  |  |  | 487,036 |  |  |  | 480,330 |  |  |  | 470,693 |
Total available-for-sale (net of credit losses) |  |  | 3,937,543 |  |  |  | 4,341,647 |  |  |  | 6,640,069 |  |  |  | 7,113,545 |  |  |  | 6,822,203 |
Total investment securities (net of credit losses) |  | $ | 7,724,619 |  |  | $ | 8,161,329 |  |  | $ | 8,196,894 |  |  | $ | 8,642,766 |  |  | $ | 8,339,000 |
Fair value - HTM investment securities |  | $ | 2,984,040 |  |  | $ | 3,278,962 |  |  | $ | 1,307,058 |  |  | $ | 1,517,378 |  |  | $ | 1,487,916 |

| Page 4 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated Loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loan Portfolio - End of Period |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consumer: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Credit cards |  | $ | 192,559 |  |  | $ | 189,684 |  |  | $ | 184,372 |  |  | $ | 187,052 |  |  | $ | 175,884 |
Other consumer |  |  | 180,604 |  |  |  | 204,692 |  |  |  | 180,602 |  |  |  | 168,318 |  |  |  | 182,492 |
Total consumer |  |  | 373,163 |  |  |  | 394,376 |  |  |  | 364,974 |  |  |  | 355,370 |  |  |  | 358,376 |
Real Estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Construction |  |  | 2,372,294 |  |  |  | 2,082,688 |  |  |  | 1,423,445 |  |  |  | 1,326,371 |  |  |  | 1,229,740 |
Single-family residential |  |  | 2,467,008 |  |  |  | 2,357,942 |  |  |  | 2,042,978 |  |  |  | 2,101,975 |  |  |  | 1,540,701 |
Other commercial real estate |  |  | 7,249,891 |  |  |  | 7,082,055 |  |  |  | 5,762,567 |  |  |  | 5,738,904 |  |  |  | 5,308,902 |
Total real estate |  |  | 12,089,193 |  |  |  | 11,522,685 |  |  |  | 9,228,990 |  |  |  | 9,167,250 |  |  |  | 8,079,343 |
Commercial: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 2,525,218 |  |  |  | 2,612,256 |  |  |  | 2,016,405 |  |  |  | 1,992,043 |  |  |  | 1,821,905 |
Agricultural |  |  | 263,539 |  |  |  | 218,743 |  |  |  | 150,465 |  |  |  | 168,717 |  |  |  | 216,735 |
Total commercial |  |  | 2,788,757 |  |  |  | 2,830,999 |  |  |  | 2,166,870 |  |  |  | 2,160,760 |  |  |  | 2,038,640 |
Other |  |  | 356,022 |  |  |  | 362,284 |  |  |  | 267,759 |  |  |  | 329,123 |  |  |  | 348,868 |
Total loans |  | $ | 15,607,135 |  |  | $ | 15,110,344 |  |  | $ | 12,028,593 |  |  | $ | 12,012,503 |  |  | $ | 10,825,227 |

| Page 5 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated Allowance and Asset Quality |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for Credit Losses on Loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 212,611 |  |  | $ | 178,924 |  |  | $ | 205,332 |  |  | $ | 202,508 |  |  | $ | 227,239 |
Day 1 PCD allowance from acquisitions: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Landmark (10/08/2021) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 2,359 |  |  |  | - |
Triumph (10/08/2021) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 11,092 |  |  |  | - |
Spirit of Texas (04/08/2022) |  |  | 1,057 |  |  |  | 4,043 |  |  |  | - |  |  |  | - |  |  |  | - |
Total Day 1 PCD allowance |  |  | 1,057 |  |  |  | 4,043 |  |  |  | - |  |  |  | 13,451 |  |  |  | - |
Loans charged off: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Credit cards |  |  | 903 |  |  |  | 1,004 |  |  |  | 920 |  |  |  | 865 |  |  |  | 711 |
Other consumer |  |  | 505 |  |  |  | 518 |  |  |  | 414 |  |  |  | 477 |  |  |  | 463 |
Real estate |  |  | 130 |  |  |  | 115 |  |  |  | 485 |  |  |  | 2,624 |  |  |  | 5,941 |
Commercial |  |  | 1,874 |  |  |  | 688 |  |  |  | 6,319 |  |  |  | 8,513 |  |  |  | 932 |
Total loans charged off |  |  | 3,412 |  |  |  | 2,325 |  |  |  | 8,138 |  |  |  | 12,479 |  |  |  | 8,047 |
Recoveries of loans previously charged off: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Credit cards |  |  | 250 |  |  |  | 249 |  |  |  | 274 |  |  |  | 247 |  |  |  | 267 |
Other consumer |  |  | 278 |  |  |  | 302 |  |  |  | 387 |  |  |  | 267 |  |  |  | 408 |
Real estate |  |  | 1,982 |  |  |  | 391 |  |  |  | 426 |  |  |  | 916 |  |  |  | 2,068 |
Commercial |  |  | 720 |  |  |  | 621 |  |  |  | 557 |  |  |  | 1,730 |  |  |  | 463 |
Total recoveries |  |  | 3,230 |  |  |  | 1,563 |  |  |  | 1,644 |  |  |  | 3,160 |  |  |  | 3,206 |
Net loans charged off |  |  | 182 |  |  |  | 762 |  |  |  | 6,494 |  |  |  | 9,319 |  |  |  | 4,841 |
Provision for credit losses on loans |  |  | (15,897 | ) |  |  | 30,406 |  |  |  | (19,914 | ) |  |  | (1,308 | ) |  |  | (19,890 | )
Balance, end of quarter |  | $ | 197,589 |  |  | $ | 212,611 |  |  | $ | 178,924 |  |  | $ | 205,332 |  |  | $ | 202,508 |
Nonperforming assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Nonperforming loans: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Nonaccrual loans |  | $ | 57,534 |  |  | $ | 62,670 |  |  | $ | 64,096 |  |  | $ | 68,204 |  |  | $ | 59,054 |
Loans past due 90 days or more |  |  | 242 |  |  |  | 904 |  |  |  | 240 |  |  |  | 349 |  |  |  | 334 |
Total nonperforming loans |  |  | 57,776 |  |  |  | 63,574 |  |  |  | 64,336 |  |  |  | 68,553 |  |  |  | 59,388 |
Other nonperforming assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreclosed assets and other real estate owned |  |  | 3,612 |  |  |  | 4,084 |  |  |  | 5,118 |  |  |  | 6,032 |  |  |  | 11,759 |
Other nonperforming assets |  |  | 1,146 |  |  |  | 2,314 |  |  |  | 1,479 |  |  |  | 1,667 |  |  |  | 1,724 |
Total other nonperforming assets |  |  | 4,758 |  |  |  | 6,398 |  |  |  | 6,597 |  |  |  | 7,699 |  |  |  | 13,483 |
Total nonperforming assets |  | $ | 62,534 |  |  | $ | 69,972 |  |  | $ | 70,933 |  |  | $ | 76,252 |  |  | $ | 72,871 |
Performing TDRs (troubled debt restructurings) |  | $ | 1,869 |  |  | $ | 2,655 |  |  | $ | 3,424 |  |  | $ | 4,289 |  |  | $ | 4,251 |
Ratios |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses on loans to total loans |  |  | 1.27 | % |  |  | 1.41 | % |  |  | 1.49 | % |  |  | 1.71 | % |  |  | 1.87 | %
Allowance for credit losses to nonperforming loans |  |  | 342 | % |  |  | 334 | % |  |  | 278 | % |  |  | 300 | % |  |  | 341 | %
Nonperforming loans to total loans |  |  | 0.37 | % |  |  | 0.42 | % |  |  | 0.53 | % |  |  | 0.57 | % |  |  | 0.55 | %
Nonperforming assets (including performing TDRs) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
to total assets |  |  | 0.24 | % |  |  | 0.27 | % |  |  | 0.30 | % |  |  | 0.33 | % |  |  | 0.33 | %
Nonperforming assets to total assets |  |  | 0.23 | % |  |  | 0.26 | % |  |  | 0.29 | % |  |  | 0.31 | % |  |  | 0.31 | %
Annualized net charge offs to average loans (QTD) |  |  | 0.00 | % |  |  | 0.02 | % |  |  | 0.22 | % |  |  | 0.31 | % |  |  | 0.17 | %
Annualized net charge offs to average loans (YTD) |  |  | 0.07 | % |  |  | 0.11 | % |  |  | 0.22 | % |  |  | 0.13 | % |  |  | 0.06 | %
Annualized net credit card charge offs to |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
average credit card loans |  |  | 1.30 | % |  |  | 1.55 | % |  |  | 1.39 | % |  |  | 1.29 | % |  |  | 0.96 | %

| Page 6 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated - Average Balance Sheet and Net Interest Income Analysis |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(Unaudited) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Three Months Ended Sep 2022 |  |  | Three Months Ended Jun 2022 |  |  | Three Months Ended Sep 2021 |
($ in thousands) |  | Average Balance |  |  | Income/ Expense |  |  | Yield/ Rate |  |  | Average Balance |  |  | Income/ Expense |  |  | Yield/ Rate |  |  | Average Balance |  |  | Income/ Expense |  |  | Yield/ Rate |
ASSETS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Earning assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest bearing balances due from banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
and federal funds sold |  | $ | 327,841 |  |  | $ | 1,141 |  |  |  | 1.38 | % |  | $ | 777,098 |  |  | $ | 1,117 |  |  |  | 0.58 | % |  | $ | 1,866,530 |  |  | $ | 763 |  |  |  | 0.16 | %
Investment securities - taxable |  |  | 5,408,189 |  |  |  | 24,848 |  |  |  | 1.82 | % |  |  | 5,674,470 |  |  |  | 21,794 |  |  |  | 1.54 | % |  |  | 5,475,932 |  |  |  | 17,076 |  |  |  | 1.24 | %
Investment securities - non-taxable (FTE) |  |  | 2,665,515 |  |  |  | 21,805 |  |  |  | 3.25 | % |  |  | 2,725,610 |  |  |  | 21,733 |  |  |  | 3.20 | % |  |  | 2,496,958 |  |  |  | 18,399 |  |  |  | 2.92 | %
Mortgage loans held for sale |  |  | 13,280 |  |  |  | 178 |  |  |  | 5.32 | % |  |  | 17,173 |  |  |  | 200 |  |  |  | 4.67 | % |  |  | 32,134 |  |  |  | 230 |  |  |  | 2.84 | %
Other loans held for sale |  |  | 9,439 |  |  |  | 998 |  |  |  | 41.95 | % |  |  | 22,114 |  |  |  | 2,063 |  |  |  | 37.42 | % |  |  | - |  |  |  | - |  |  |  | 0.00 | %
Loans - including fees (FTE) |  |  | 15,320,833 |  |  |  | 187,851 |  |  |  | 4.86 | % |  |  | 14,478,183 |  |  |  | 163,995 |  |  |  | 4.54 | % |  |  | 11,030,438 |  |  |  | 132,399 |  |  |  | 4.76 | %
Total interest earning assets (FTE) |  |  | 23,745,097 |  |  |  | 236,821 |  |  |  | 3.96 | % |  |  | 23,694,648 |  |  |  | 210,902 |  |  |  | 3.57 | % |  |  | 20,901,992 |  |  |  | 168,867 |  |  |  | 3.21 | %
Non-earning assets |  |  | 3,123,634 |  |  |  |  |  |  |  |  |  |  |  | 3,074,384 |  |  |  |  |  |  |  |  |  |  |  | 2,353,549 |  |  |  |  |  |  |  |  |
Total assets |  | $ | 26,868,731 |  |  |  |  |  |  |  |  |  |  | $ | 26,769,032 |  |  |  |  |  |  |  |  |  |  | $ | 23,255,541 |  |  |  |  |  |  |  |  |
LIABILITIES AND STOCKHOLDERS' EQUITY |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest bearing liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest bearing transaction and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
savings accounts |  | $ | 12,264,655 |  |  | $ | 17,225 |  |  |  | 0.56 | % |  | $ | 12,807,502 |  |  | $ | 6,879 |  |  |  | 0.22 | % |  | $ | 10,629,142 |  |  | $ | 4,369 |  |  |  | 0.16 | %
Time deposits |  |  | 3,314,948 |  |  |  | 8,204 |  |  |  | 0.98 | % |  |  | 2,586,567 |  |  |  | 2,875 |  |  |  | 0.45 | % |  |  | 2,645,896 |  |  |  | 4,747 |  |  |  | 0.71 | %
Total interest bearing deposits |  |  | 15,579,603 |  |  |  | 25,429 |  |  |  | 0.65 | % |  |  | 15,394,069 |  |  |  | 9,754 |  |  |  | 0.25 | % |  |  | 13,275,038 |  |  |  | 9,116 |  |  |  | 0.27 | %
Federal funds purchased and securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
sold under agreement to repurchase |  |  | 196,047 |  |  |  | 305 |  |  |  | 0.62 | % |  |  | 210,280 |  |  |  | 119 |  |  |  | 0.23 | % |  |  | 219,604 |  |  |  | 70 |  |  |  | 0.13 | %
Other borrowings |  |  | 1,123,797 |  |  |  | 6,048 |  |  |  | 2.14 | % |  |  | 1,241,501 |  |  |  | 4,844 |  |  |  | 1.56 | % |  |  | 1,338,866 |  |  |  | 4,893 |  |  |  | 1.45 | %
Subordinated notes and debentures |  |  | 411,018 |  |  |  | 5,251 |  |  |  | 5.07 | % |  |  | 418,327 |  |  |  | 4,990 |  |  |  | 4.78 | % |  |  | 383,213 |  |  |  | 4,610 |  |  |  | 4.77 | %
Total interest bearing liabilities |  |  | 17,310,465 |  |  |  | 37,033 |  |  |  | 0.85 | % |  |  | 17,264,177 |  |  |  | 19,707 |  |  |  | 0.46 | % |  |  | 15,216,721 |  |  |  | 18,689 |  |  |  | 0.49 | %
Non-interest bearing liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Non-interest bearing deposits |  |  | 6,022,899 |  |  |  |  |  |  |  |  |  |  |  | 5,926,304 |  |  |  |  |  |  |  |  |  |  |  | 4,803,171 |  |  |  |  |  |  |  |  |
Other liabilities |  |  | 243,296 |  |  |  |  |  |  |  |  |  |  |  | 216,848 |  |  |  |  |  |  |  |  |  |  |  | 167,677 |  |  |  |  |  |  |  |  |
Total liabilities |  |  | 23,576,660 |  |  |  |  |  |  |  |  |  |  |  | 23,407,329 |  |  |  |  |  |  |  |  |  |  |  | 20,187,569 |  |  |  |  |  |  |  |  |
Stockholders' equity |  |  | 3,292,071 |  |  |  |  |  |  |  |  |  |  |  | 3,361,703 |  |  |  |  |  |  |  |  |  |  |  | 3,067,972 |  |  |  |  |  |  |  |  |
Total liabilities and stockholders' equity |  | $ | 26,868,731 |  |  |  |  |  |  |  |  |  |  | $ | 26,769,032 |  |  |  |  |  |  |  |  |  |  | $ | 23,255,541 |  |  |  |  |  |  |  |  |
Net interest income (FTE) |  |  |  |  |  | $ | 199,788 |  |  |  |  |  |  |  |  |  |  | $ | 191,195 |  |  |  |  |  |  |  |  |  |  | $ | 150,178 |  |  |  |  |
Net interest spread (FTE) |  |  |  |  |  |  |  |  |  |  | 3.11 | % |  |  |  |  |  |  |  |  |  |  | 3.11 | % |  |  |  |  |  |  |  |  |  |  | 2.72 | %
Net interest margin (FTE) |  |  |  |  |  |  |  |  |  |  | 3.34 | % |  |  |  |  |  |  |  |  |  |  | 3.24 | % |  |  |  |  |  |  |  |  |  |  | 2.85 | %

| Page 7 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Consolidated - Selected Financial Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands, except share data) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
QUARTER-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Highlights - As Reported |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income |  | $ | 80,603 |  |  | $ | 27,454 |  |  | $ | 65,095 |  |  | $ | 48,230 |  |  | $ | 80,561 |
Diluted earnings per share |  |  | 0.63 |  |  |  | 0.21 |  |  |  | 0.58 |  |  |  | 0.42 |  |  |  | 0.74 |
Return on average assets |  |  | 1.19 | % |  |  | 0.41 | % |  |  | 1.06 | % |  |  | 0.77 | % |  |  | 1.37 | %
Return on average common equity |  |  | 9.71 | % |  |  | 3.28 | % |  |  | 8.33 | % |  |  | 5.87 | % |  |  | 10.42 | %
Return on tangible common equity (non-GAAP) (1) |  |  | 17.99 | % |  |  | 6.28 | % |  |  | 14.31 | % |  |  | 9.98 | % |  |  | 17.43 | %
Net interest margin (FTE) |  |  | 3.34 | % |  |  | 3.24 | % |  |  | 2.76 | % |  |  | 2.86 | % |  |  | 2.85 | %
FTE adjustment |  |  | 6,203 |  |  |  | 6,096 |  |  |  | 5,602 |  |  |  | 5,579 |  |  |  | 4,941 |
Average diluted shares outstanding |  |  | 128,336,422 |  |  |  | 128,720,078 |  |  |  | 113,026,911 |  |  |  | 114,491,119 |  |  |  | 108,359,890 |
Shares repurchased under plan |  |  | 1,883,713 |  |  |  | 2,035,324 |  |  |  | 513,725 |  |  |  | 2,625,348 |  |  |  | 1,806,205 |
Average price of shares repurchased |  |  | 23.91 |  |  |  | 24.59 |  |  |  | 31.25 |  |  |  | 29.69 |  |  |  | 28.48 |
Cash dividends declared per common share |  |  | 0.190 |  |  |  | 0.190 |  |  |  | 0.190 |  |  |  | 0.180 |  |  |  | 0.180 |
Accretable yield on acquired loans |  |  | 5,834 |  |  |  | 9,898 |  |  |  | 3,703 |  |  |  | 5,758 |  |  |  | 4,122 |
Financial Highlights - Adjusted (non-GAAP) (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted earnings |  | $ | 82,281 |  |  | $ | 66,818 |  |  | $ | 67,159 |  |  | $ | 76,244 |  |  | $ | 79,350 |
Adjusted diluted earnings per share |  |  | 0.64 |  |  |  | 0.52 |  |  |  | 0.59 |  |  |  | 0.67 |  |  |  | 0.73 |
Adjusted return on average assets |  |  | 1.21 | % |  |  | 1.00 | % |  |  | 1.10 | % |  |  | 1.22 | % |  |  | 1.35 | %
Adjusted return on average common equity |  |  | 9.92 | % |  |  | 7.97 | % |  |  | 8.59 | % |  |  | 9.27 | % |  |  | 10.26 | %
Adjusted return on tangible common equity |  |  | 18.35 | % |  |  | 14.38 | % |  |  | 14.74 | % |  |  | 15.49 | % |  |  | 17.18 | %
Efficiency ratio (2) |  |  | 54.41 | % |  |  | 57.49 | % |  |  | 62.95 | % |  |  | 59.48 | % |  |  | 58.10 | %
YEAR-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Highlights - GAAP |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income |  | $ | 173,152 |  |  | $ | 92,549 |  |  | $ | 65,095 |  |  | $ | 271,109 |  |  | $ | 222,879 |
Diluted earnings per share |  |  | 1.40 |  |  |  | 0.77 |  |  |  | 0.58 |  |  |  | 2.46 |  |  |  | 2.05 |
Return on average assets |  |  | 0.88 | % |  |  | 0.72 | % |  |  | 1.06 | % |  |  | 1.15 | % |  |  | 1.29 | %
Return on average common equity |  |  | 7.07 | % |  |  | 5.71 | % |  |  | 8.33 | % |  |  | 8.83 | % |  |  | 9.91 | %
Return on tangible common equity (non-GAAP) (1) |  |  | 12.77 | % |  |  | 10.24 | % |  |  | 14.31 | % |  |  | 14.99 | % |  |  | 16.86 | %
Net interest margin (FTE) |  |  | 3.12 | % |  |  | 3.01 | % |  |  | 2.76 | % |  |  | 2.89 | % |  |  | 2.91 | %
FTE adjustment |  |  | 17,901 |  |  |  | 11,698 |  |  |  | 5,602 |  |  |  | 19,231 |  |  |  | 13,652 |
Average diluted shares outstanding |  |  | 123,387,503 |  |  |  | 120,826,798 |  |  |  | 113,026,911 |  |  |  | 110,198,094 |  |  |  | 108,667,928 |
Cash dividends declared per common share |  |  | 0.570 |  |  |  | 0.380 |  |  |  | 0.190 |  |  |  | 0.720 |  |  |  | 0.540 |
Financial Highlights - Adjusted (non-GAAP) (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted earnings |  | $ | 216,258 |  |  | $ | 133,977 |  |  | $ | 67,159 |  |  | $ | 295,024 |  |  | $ | 218,780 |
Adjusted diluted earnings per share |  |  | 1.75 |  |  |  | 1.11 |  |  |  | 0.59 |  |  |  | 2.68 |  |  |  | 2.01 |
Adjusted return on average assets |  |  | 1.11 | % |  |  | 1.05 | % |  |  | 1.10 | % |  |  | 1.26 | % |  |  | 1.27 | %
Adjusted return on average common equity |  |  | 8.83 | % |  |  | 8.27 | % |  |  | 8.59 | % |  |  | 9.61 | % |  |  | 9.73 | %
Adjusted return on tangible common equity |  |  | 15.80 | % |  |  | 14.56 | % |  |  | 14.74 | % |  |  | 16.27 | % |  |  | 16.56 | %
Efficiency ratio (2) |  |  | 57.95 | % |  |  | 59.97 | % |  |  | 62.95 | % |  |  | 57.92 | % |  |  | 57.37 | %
END OF PERIOD |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Book value per share |  | $ | 24.87 |  |  | $ | 25.31 |  |  | $ | 26.32 |  |  | $ | 28.82 |  |  | $ | 28.42 |
Tangible book value per share |  |  | 13.51 |  |  |  | 14.07 |  |  |  | 15.22 |  |  |  | 17.71 |  |  |  | 17.39 |
Shares outstanding |  |  | 126,943,467 |  |  |  | 128,787,764 |  |  |  | 112,505,555 |  |  |  | 112,715,444 |  |  |  | 106,603,231 |
Full-time equivalent employees |  |  | 3,206 |  |  |  | 3,233 |  |  |  | 2,893 |  |  |  | 2,877 |  |  |  | 2,740 |
Total number of financial centers |  |  | 230 |  |  |  | 233 |  |  |  | 197 |  |  |  | 199 |  |  |  | 185 |

(1) Non-GAAP measurement that management believes aids in the understanding and discussion of results. Reconciliations to GAAP are included in the schedules accompanying this release.

(2) Efficiency ratio is adjusted noninterest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully taxable equivalent) and noninterest revenues, excluding gains and losses from securities transactions and certain adjusting items, and is a non-GAAP measurement.

| Page 8 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - Adjusted Earnings - Quarter-to-Date |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
(in thousands, except per share data) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
QUARTER-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income |  | $ | 80,603 |  |  | $ | 27,454 |  |  | $ | 65,095 |  |  | $ | 48,230 |  |  | $ | 80,561 |
Certain items: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(Gain) loss from early retirement of TruPS |  |  | 365 |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (750 | ) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Merger related costs |  |  | 1,422 |  |  |  | 19,133 |  |  |  | 1,886 |  |  |  | 13,591 |  |  |  | 1,401 |
Branch right sizing (net) |  |  | 1,235 |  |  |  | 380 |  |  |  | 909 |  |  |  | 1,648 |  |  |  | (3,041 | )
Day 2 CECL provision |  |  | - |  |  |  | 33,779 |  |  |  | - |  |  |  | 22,688 |  |  |  | - |
Tax effect (1) |  |  | (594 | ) |  |  | (13,928 | ) |  |  | (731 | ) |  |  | (9,913 | ) |  |  | 429 |
Certain items, net of tax |  |  | 1,678 |  |  |  | 39,364 |  |  |  | 2,064 |  |  |  | 28,014 |  |  |  | (1,211 | )
Adjusted earnings (non-GAAP) |  | $ | 82,281 |  |  | $ | 66,818 |  |  | $ | 67,159 |  |  | $ | 76,244 |  |  | $ | 79,350 |
Diluted earnings per share |  | $ | 0.63 |  |  | $ | 0.21 |  |  | $ | 0.58 |  |  | $ | 0.42 |  |  | $ | 0.74 |
Certain items: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(Gain) loss from early retirement of TruPS |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (0.01 | ) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Merger related costs |  |  | 0.01 |  |  |  | 0.15 |  |  |  | 0.01 |  |  |  | 0.12 |  |  |  | 0.01 |
Branch right sizing (net) |  |  | 0.01 |  |  |  | - |  |  |  | 0.01 |  |  |  | 0.01 |  |  |  | (0.03 | )
Day 2 CECL provision |  |  | - |  |  |  | 0.27 |  |  |  | - |  |  |  | 0.20 |  |  |  | - |
Tax effect (1) |  |  | - |  |  |  | (0.11 | ) |  |  | (0.01 | ) |  |  | (0.08 | ) |  |  | 0.01 |
Certain items, net of tax |  |  | 0.01 |  |  |  | 0.31 |  |  |  | 0.01 |  |  |  | 0.25 |  |  |  | (0.01 | )
Adjusted diluted earnings per share (non-GAAP) |  | $ | 0.64 |  |  | $ | 0.52 |  |  | $ | 0.59 |  |  | $ | 0.67 |  |  | $ | 0.73 |
(1) Effective tax rate of 26.135%. |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Reconciliation of Certain Noninterest Income and Expense Items (non-GAAP) |  |  |  |  |  |  |  |  |  |
QUARTER-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other income |  | $ | 6,658 |  |  | $ | 6,837 |  |  | $ | 7,266 |  |  | $ | 9,965 |  |  | $ | 6,411 |
Certain items (1) |  |  | (320 | ) |  |  | 88 |  |  |  | - |  |  |  | (2 | ) |  |  | 239 |
Adjusted other income (non-GAAP) |  | $ | 6,338 |  |  | $ | 6,925 |  |  | $ | 7,266 |  |  | $ | 9,963 |  |  | $ | 6,650 |
Noninterest expense |  | $ | 138,943 |  |  | $ | 156,813 |  |  | $ | 128,417 |  |  | $ | 141,597 |  |  | $ | 114,333 |
Certain items (1) |  |  | (2,592 | ) |  |  | (19,425 | ) |  |  | (2,795 | ) |  |  | (15,241 | ) |  |  | 1,879 |
Adjusted noninterest expense (non-GAAP) |  | $ | 136,351 |  |  | $ | 137,388 |  |  | $ | 125,622 |  |  | $ | 126,356 |  |  | $ | 116,212 |
Salaries and employee benefits |  | $ | 71,923 |  |  | $ | 74,135 |  |  | $ | 67,906 |  |  | $ | 63,832 |  |  | $ | 61,902 |
Certain items (1) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (66 | )
Adjusted salaries and employee benefits (non-GAAP) |  | $ | 71,923 |  |  | $ | 74,135 |  |  | $ | 67,906 |  |  | $ | 63,832 |  |  | $ | 61,836 |
Other operating expenses |  | $ | 45,084 |  |  | $ | 44,483 |  |  | $ | 41,646 |  |  | $ | 45,736 |  |  | $ | 34,565 |
Certain items (1) |  |  | (973 | ) |  |  | (7 | ) |  |  | (717 | ) |  |  | 96 |  |  |  | 3,759 |
Adjusted other operating expenses (non-GAAP) |  | $ | 44,111 |  |  | $ | 44,476 |  |  | $ | 40,929 |  |  | $ | 45,832 |  |  | $ | 38,324 |

(1) Certain items include loss from early retirement of trust preferred securities, gain on sale of intellectual property, merger related costs, branch right sizing costs and Day 2 CECL provision.

| Page 9 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - Adjusted Earnings - Year-to-Date |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
(in thousands, except per share data) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
YEAR-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income |  | $ | 173,152 |  |  | $ | 92,549 |  |  | $ | 65,095 |  |  | $ | 271,109 |  |  | $ | 222,879 |
Certain items: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Gain on sale of branches |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (5,316 | ) |  |  | (5,316 | )
(Gain) loss from early retirement of TruPS |  |  | 365 |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (750 | ) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Merger related costs |  |  | 22,441 |  |  |  | 21,019 |  |  |  | 1,886 |  |  |  | 15,911 |  |  |  | 2,320 |
Branch right sizing (net) |  |  | 2,524 |  |  |  | 1,289 |  |  |  | 909 |  |  |  | (906 | ) |  |  | (2,554 | )
Day 2 CECL provision |  |  | 33,779 |  |  |  | 33,779 |  |  |  | - |  |  |  | 22,688 |  |  |  | - |
Tax effect (1) |  |  | (15,253 | ) |  |  | (14,659 | ) |  |  | (731 | ) |  |  | (8,462 | ) |  |  | 1,451 |
Certain items, net of tax |  |  | 43,106 |  |  |  | 41,428 |  |  |  | 2,064 |  |  |  | 23,915 |  |  |  | (4,099 | )
Adjusted earnings (non-GAAP) |  | $ | 216,258 |  |  | $ | 133,977 |  |  | $ | 67,159 |  |  | $ | 295,024 |  |  | $ | 218,780 |
Diluted earnings per share |  | $ | 1.40 |  |  | $ | 0.77 |  |  | $ | 0.58 |  |  | $ | 2.46 |  |  | $ | 2.05 |
Certain items: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Gain on sale of branches |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (0.05 | ) |  |  | (0.05 | )
(Gain) loss from early retirement of TruPS |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Gain on sale of intellectual property |  |  | (0.01 | ) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Merger related costs |  |  | 0.18 |  |  |  | 0.17 |  |  |  | 0.01 |  |  |  | 0.15 |  |  |  | 0.02 |
Branch right sizing (net) |  |  | 0.02 |  |  |  | 0.01 |  |  |  | 0.01 |  |  |  | (0.01 | ) |  |  | (0.02 | )
Day 2 CECL provision |  |  | 0.28 |  |  |  | 0.28 |  |  |  | - |  |  |  | 0.21 |  |  |  | - |
Tax effect (1) |  |  | (0.12 | ) |  |  | (0.12 | ) |  |  | (0.01 | ) |  |  | (0.08 | ) |  |  | 0.01 |
Certain items, net of tax |  |  | 0.35 |  |  |  | 0.34 |  |  |  | 0.01 |  |  |  | 0.22 |  |  |  | (0.04 | )
Adjusted earnings (non-GAAP) |  | $ | 1.75 |  |  | $ | 1.11 |  |  | $ | 0.59 |  |  | $ | 2.68 |  |  | $ | 2.01 |
(1) Effective tax rate of 26.135%. |  |  |  |  |  |  |  |  |  |  |  |  |  |
Reconciliation of Certain Noninterest Income and Expense Items (non-GAAP) |  |  |  |  |  |  |  |  |  |
YEAR-TO-DATE |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other income |  | $ | 20,761 |  |  | $ | 14,103 |  |  | $ | 7,266 |  |  | $ | 35,273 |  |  | $ | 25,308 |
Certain items (1) |  |  | (232 | ) |  |  | 88 |  |  |  | - |  |  |  | (5,685 | ) |  |  | (5,683 | )
Adjusted other income (non-GAAP) |  | $ | 20,529 |  |  | $ | 14,191 |  |  | $ | 7,266 |  |  | $ | 29,588 |  |  | $ | 19,625 |
Noninterest expense |  | $ | 424,173 |  |  | $ | 285,230 |  |  | $ | 128,417 |  |  | $ | 483,589 |  |  | $ | 341,992 |
Certain items (1) |  |  | (24,812 | ) |  |  | (22,220 | ) |  |  | (2,795 | ) |  |  | (15,374 | ) |  |  | (133 | )
Adjusted noninterest expense (non-GAAP) |  | $ | 399,361 |  |  | $ | 263,010 |  |  | $ | 125,622 |  |  | $ | 468,215 |  |  | $ | 341,859 |
Salaries and employee benefits |  | $ | 213,964 |  |  | $ | 142,041 |  |  | $ | 67,906 |  |  | $ | 246,335 |  |  | $ | 182,503 |
Certain items (1) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (66 | ) |  |  | (66 | )
Adjusted salaries and employee benefits (non-GAAP) |  | $ | 213,964 |  |  | $ | 142,041 |  |  | $ | 67,906 |  |  | $ | 246,269 |  |  | $ | 182,437 |
Other operating expenses |  | $ | 131,213 |  |  | $ | 86,129 |  |  | $ | 41,646 |  |  | $ | 153,562 |  |  | $ | 107,826 |
Certain items (1) |  |  | (1,697 | ) |  |  | (724 | ) |  |  | (717 | ) |  |  | 3,558 |  |  |  | 3,462 |
Adjusted other operating expenses (non-GAAP) |  | $ | 129,516 |  |  | $ | 85,405 |  |  | $ | 40,929 |  |  | $ | 157,120 |  |  | $ | 111,288 |

(1) Certain items include loss from early retirement of trust preferred securities, gain on sale of intellectual property, gain on sale of branches, merger related costs, branch right sizing costs and Day 2 CECL provision.

| Page 10 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - End of Period |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands, except per share data) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Calculation of Tangible Common Equity and the Ratio of Tangible Common Equity to Tangible Assets |  |  |  |  |  |  |  |  |
Total common stockholders' equity |  | $ | 3,157,151 |  |  | $ | 3,259,895 |  |  | $ | 2,961,607 |  |  | $ | 3,248,841 |  |  | $ | 3,029,764 |
Intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill |  |  | (1,309,000 | ) |  |  | (1,310,528 | ) |  |  | (1,147,007 | ) |  |  | (1,146,007 | ) |  |  | (1,075,305 | )
Other intangible assets |  |  | (133,059 | ) |  |  | (137,285 | ) |  |  | (102,748 | ) |  |  | (106,235 | ) |  |  | (100,428 | )
Total intangibles |  |  | (1,442,059 | ) |  |  | (1,447,813 | ) |  |  | (1,249,755 | ) |  |  | (1,252,242 | ) |  |  | (1,175,733 | )
Tangible common stockholders' equity |  | $ | 1,715,092 |  |  | $ | 1,812,082 |  |  | $ | 1,711,852 |  |  | $ | 1,996,599 |  |  | $ | 1,854,031 |
Total assets |  | $ | 27,076,074 |  |  | $ | 27,218,609 |  |  | $ | 24,482,268 |  |  | $ | 24,724,759 |  |  | $ | 23,225,930 |
Intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill |  |  | (1,309,000 | ) |  |  | (1,310,528 | ) |  |  | (1,147,007 | ) |  |  | (1,146,007 | ) |  |  | (1,075,305 | )
Other intangible assets |  |  | (133,059 | ) |  |  | (137,285 | ) |  |  | (102,748 | ) |  |  | (106,235 | ) |  |  | (100,428 | )
Total intangibles |  |  | (1,442,059 | ) |  |  | (1,447,813 | ) |  |  | (1,249,755 | ) |  |  | (1,252,242 | ) |  |  | (1,175,733 | )
Tangible assets |  | $ | 25,634,015 |  |  | $ | 25,770,796 |  |  | $ | 23,232,513 |  |  | $ | 23,472,517 |  |  | $ | 22,050,197 |
Paycheck protection program ("PPP") loans |  |  | (12,143 | ) |  |  | (19,476 | ) |  |  | (61,887 | ) |  |  | (116,659 | ) |  |  | (212,087 | )
Total assets excluding PPP loans |  | $ | 27,063,931 |  |  | $ | 27,199,133 |  |  | $ | 24,420,381 |  |  | $ | 24,608,100 |  |  | $ | 23,013,843 |
Tangible assets excluding PPP loans |  | $ | 25,621,872 |  |  | $ | 25,751,320 |  |  | $ | 23,170,626 |  |  | $ | 23,355,858 |  |  | $ | 21,838,110 |
Ratio of common equity to assets |  |  | 11.66 | % |  |  | 11.98 | % |  |  | 12.10 | % |  |  | 13.14 | % |  |  | 13.04 | %
Ratio of common equity to assets excluding PPP loans |  |  | 11.67 | % |  |  | 11.99 | % |  |  | 12.13 | % |  |  | 13.20 | % |  |  | 13.16 | %
Ratio of tangible common equity to tangible assets |  |  | 6.69 | % |  |  | 7.03 | % |  |  | 7.37 | % |  |  | 8.51 | % |  |  | 8.41 | %
Ratio of tangible common equity to tangible assets excluding PPP loans |  |  | 6.69 | % |  |  | 7.04 | % |  |  | 7.39 | % |  |  | 8.55 | % |  |  | 8.49 | %
Calculation of Tangible Book Value per Share |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total common stockholders' equity |  | $ | 3,157,151 |  |  | $ | 3,259,895 |  |  | $ | 2,961,607 |  |  | $ | 3,248,841 |  |  | $ | 3,029,764 |
Intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill |  |  | (1,309,000 | ) |  |  | (1,310,528 | ) |  |  | (1,147,007 | ) |  |  | (1,146,007 | ) |  |  | (1,075,305 | )
Other intangible assets |  |  | (133,059 | ) |  |  | (137,285 | ) |  |  | (102,748 | ) |  |  | (106,235 | ) |  |  | (100,428 | )
Total intangibles |  |  | (1,442,059 | ) |  |  | (1,447,813 | ) |  |  | (1,249,755 | ) |  |  | (1,252,242 | ) |  |  | (1,175,733 | )
Tangible common stockholders' equity |  | $ | 1,715,092 |  |  | $ | 1,812,082 |  |  | $ | 1,711,852 |  |  | $ | 1,996,599 |  |  | $ | 1,854,031 |
Shares of common stock outstanding |  |  | 126,943,467 |  |  |  | 128,787,764 |  |  |  | 112,505,555 |  |  |  | 112,715,444 |  |  |  | 106,603,231 |
Book value per common share |  | $ | 24.87 |  |  | $ | 25.31 |  |  | $ | 26.32 |  |  | $ | 28.82 |  |  | $ | 28.42 |
Tangible book value per common share |  | $ | 13.51 |  |  | $ | 14.07 |  |  | $ | 15.22 |  |  | $ | 17.71 |  |  | $ | 17.39 |

| Page 11 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - Quarter-to-Date |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Calculation of Adjusted Return on Average Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income |  | $ | 80,603 |  |  | $ | 27,454 |  |  | $ | 65,095 |  |  | $ | 48,230 |  |  | $ | 80,561 |
Certain items, net of tax (non-GAAP) |  |  | 1,678 |  |  |  | 39,364 |  |  |  | 2,064 |  |  |  | 28,014 |  |  |  | (1,211 | )
Adjusted earnings (non-GAAP) |  | $ | 82,281 |  |  | $ | 66,818 |  |  | $ | 67,159 |  |  | $ | 76,244 |  |  | $ | 79,350 |
Average total assets |  | $ | 26,868,731 |  |  | $ | 26,769,032 |  |  | $ | 24,826,199 |  |  | $ | 24,698,022 |  |  | $ | 23,255,541 |
Return on average assets |  |  | 1.19 | % |  |  | 0.41 | % |  |  | 1.06 | % |  |  | 0.77 | % |  |  | 1.37 | %
Adjusted return on average assets (non-GAAP) |  |  | 1.21 | % |  |  | 1.00 | % |  |  | 1.10 | % |  |  | 1.22 | % |  |  | 1.35 | %
Calculation of Return on Tangible Common Equity |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income |  | $ | 80,603 |  |  | $ | 27,454 |  |  | $ | 65,095 |  |  | $ | 48,230 |  |  | $ | 80,561 |
Amortization of intangibles, net of taxes |  |  | 3,121 |  |  |  | 3,025 |  |  |  | 2,575 |  |  |  | 2,575 |  |  |  | 2,460 |
Total income available to common stockholders |  | $ | 83,724 |  |  | $ | 30,479 |  |  | $ | 67,670 |  |  | $ | 50,805 |  |  | $ | 83,021 |
Certain items, net of tax (non-GAAP) |  |  | 1,678 |  |  |  | 39,364 |  |  |  | 2,064 |  |  |  | 28,014 |  |  |  | (1,211 | )
Adjusted earnings (non-GAAP) |  |  | 82,281 |  |  |  | 66,818 |  |  |  | 67,159 |  |  |  | 76,244 |  |  |  | 79,350 |
Amortization of intangibles, net of taxes |  |  | 3,121 |  |  |  | 3,025 |  |  |  | 2,575 |  |  |  | 2,575 |  |  |  | 2,460 |
Total adjusted earnings available to common stockholders (non-GAAP) |  | $ | 85,402 |  |  | $ | 69,843 |  |  | $ | 69,734 |  |  | $ | 78,819 |  |  | $ | 81,810 |
Average common stockholders' equity |  | $ | 3,292,071 |  |  | $ | 3,361,703 |  |  | $ | 3,169,108 |  |  | $ | 3,261,627 |  |  | $ | 3,067,205 |
Average intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill |  |  | (1,309,804 | ) |  |  | (1,299,821 | ) |  |  | (1,146,034 | ) |  |  | (1,137,441 | ) |  |  | (1,075,305 | )
Other intangibles |  |  | (135,718 | ) |  |  | (114,195 | ) |  |  | (104,905 | ) |  |  | (105,155 | ) |  |  | (102,576 | )
Total average intangibles |  |  | (1,445,522 | ) |  |  | (1,414,016 | ) |  |  | (1,250,939 | ) |  |  | (1,242,596 | ) |  |  | (1,177,881 | )
Average tangible common stockholders' equity (non-GAAP) |  | $ | 1,846,549 |  |  | $ | 1,947,687 |  |  | $ | 1,918,169 |  |  | $ | 2,019,031 |  |  | $ | 1,889,324 |
Return on average common equity |  |  | 9.71 | % |  |  | 3.28 | % |  |  | 8.33 | % |  |  | 5.87 | % |  |  | 10.42 | %
Return on tangible common equity |  |  | 17.99 | % |  |  | 6.28 | % |  |  | 14.31 | % |  |  | 9.98 | % |  |  | 17.43 | %
Adjusted return on average common equity (non-GAAP) |  |  | 9.92 | % |  |  | 7.97 | % |  |  | 8.59 | % |  |  | 9.27 | % |  |  | 10.26 | %
Adjusted return on tangible common equity (non-GAAP) |  |  | 18.35 | % |  |  | 14.38 | % |  |  | 14.74 | % |  |  | 15.49 | % |  |  | 17.18 | %
Calculation of Efficiency Ratio (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest expense |  | $ | 138,943 |  |  | $ | 156,813 |  |  | $ | 128,417 |  |  | $ | 141,597 |  |  | $ | 114,333 |
Certain items (non-GAAP) |  |  | (2,592 | ) |  |  | (19,425 | ) |  |  | (2,795 | ) |  |  | (15,241 | ) |  |  | 1,879 |
Other real estate and foreclosure expense adjustment |  |  | (168 | ) |  |  | (142 | ) |  |  | (343 | ) |  |  | (576 | ) |  |  | (339 | )
Amortization of intangibles adjustment |  |  | (4,225 | ) |  |  | (4,096 | ) |  |  | (3,486 | ) |  |  | (3,486 | ) |  |  | (3,331 | )
Efficiency ratio numerator |  | $ | 131,958 |  |  | $ | 133,150 |  |  | $ | 121,793 |  |  | $ | 122,294 |  |  | $ | 112,542 |
Net interest income |  | $ | 193,585 |  |  | $ | 185,099 |  |  | $ | 145,606 |  |  | $ | 153,081 |  |  | $ | 145,237 |
Noninterest income |  |  | 43,023 |  |  |  | 40,178 |  |  |  | 42,218 |  |  |  | 46,601 |  |  |  | 48,550 |
Certain items (non-GAAP) |  |  | (320 | ) |  |  | 88 |  |  |  | - |  |  |  | (2 | ) |  |  | 239 |
Fully tax-equivalent adjustment (effective tax rate of 26.135%) |  |  | 6,203 |  |  |  | 6,096 |  |  |  | 5,602 |  |  |  | 5,579 |  |  |  | 4,941 |
(Gain) loss on sale of securities |  |  | 22 |  |  |  | 150 |  |  |  | 54 |  |  |  | 348 |  |  |  | (5,248 | )
Efficiency ratio denominator |  | $ | 242,513 |  |  | $ | 231,611 |  |  | $ | 193,480 |  |  | $ | 205,607 |  |  | $ | 193,719 |
Efficiency ratio (1) |  |  | 54.41 | % |  |  | 57.49 | % |  |  | 62.95 | % |  |  | 59.48 | % |  |  | 58.10 | %

(1) Efficiency ratio is adjusted noninterest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully taxable equivalent) and noninterest revenues, excluding gains and losses from securities transactions and certain items, and is a non-GAAP measurement.

| Page 12 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - Quarter-to-Date (continued) |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Calculation of Adjusted Net Interest Margin |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income |  | $ | 193,585 |  |  | $ | 185,099 |  |  | $ | 145,606 |  |  | $ | 153,081 |  |  | $ | 145,237 |
Fully tax-equivalent adjustment (effective tax rate of 26.135%) |  |  | 6,203 |  |  |  | 6,096 |  |  |  | 5,602 |  |  |  | 5,579 |  |  |  | 4,941 |
Fully tax-equivalent net interest income |  |  | 199,788 |  |  |  | 191,195 |  |  |  | 151,208 |  |  |  | 158,660 |  |  |  | 150,178 |
Total accretable yield |  |  | (5,834 | ) |  |  | (9,898 | ) |  |  | (3,703 | ) |  |  | (5,758 | ) |  |  | (4,122 | )
Adjusted net interest income |  | $ | 193,954 |  |  | $ | 181,297 |  |  | $ | 147,505 |  |  | $ | 152,902 |  |  | $ | 146,056 |
PPP loan interest income |  |  | (191 | ) |  | $ | (1,648 | ) |  | $ | (2,113 | ) |  | $ | (5,107 | ) |  | $ | (9,614 | )
Net interest income adjusted for PPP loans |  | $ | 199,597 |  |  | $ | 189,547 |  |  | $ | 149,095 |  |  | $ | 153,553 |  |  | $ | 140,564 |
Average earning assets |  | $ | 23,745,097 |  |  | $ | 23,694,648 |  |  | $ | 22,185,215 |  |  | $ | 22,029,792 |  |  | $ | 20,901,992 |
Average PPP loan balance |  |  | (18,179 | ) |  |  | (43,329 | ) |  |  | (89,757 | ) |  |  | (172,130 | ) |  |  | (359,828 | )
Average earning assets adjusted for PPP loans |  | $ | 23,726,918 |  |  | $ | 23,651,319 |  |  | $ | 22,095,458 |  |  | $ | 21,857,662 |  |  | $ | 20,542,164 |
Net interest margin |  |  | 3.34 | % |  |  | 3.24 | % |  |  | 2.76 | % |  |  | 2.86 | % |  |  | 2.85 | %
Net interest margin adjusted for PPP loans |  |  | 3.34 | % |  |  | 3.21 | % |  |  | 2.74 | % |  |  | 2.79 | % |  |  | 2.71 | %
Calculation of Pre-Provision Net Revenue (PPNR) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income |  | $ | 193,585 |  |  | $ | 185,099 |  |  | $ | 145,606 |  |  | $ | 153,081 |  |  | $ | 145,237 |
Noninterest income |  |  | 43,023 |  |  |  | 40,178 |  |  |  | 42,218 |  |  |  | 46,601 |  |  |  | 48,550 |
Less: Gain (loss) on sale of securities |  |  | (22 | ) |  |  | (150 | ) |  |  | (54 | ) |  |  | (348 | ) |  |  | 5,248 |
Less: Noninterest expense |  |  | 138,943 |  |  |  | 156,813 |  |  |  | 128,417 |  |  |  | 141,597 |  |  |  | 114,333 |
Pre-Provision Net Revenue (PPNR) |  | $ | 97,687 |  |  | $ | 68,614 |  |  | $ | 59,461 |  |  | $ | 58,433 |  |  | $ | 74,206 |
Calculation of Adjusted Pre-Provision Net Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Pre-Provision Net Revenue (PPNR) |  | $ | 97,687 |  |  | $ | 68,614 |  |  | $ | 59,461 |  |  | $ | 58,433 |  |  | $ | 74,206 |
Plus: Loss from early retirement of TruPS |  |  | 365 |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Less: Gain on sale of intellectual property |  |  | (750 | ) |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Plus: Merger related costs |  |  | 1,422 |  |  |  | 19,133 |  |  |  | 1,886 |  |  |  | 13,591 |  |  |  | 1,401 |
Plus: Branch right sizing costs |  |  | 1,235 |  |  |  | 380 |  |  |  | 909 |  |  |  | 1,648 |  |  |  | (3,041 | )
Adjusted Pre-Provision Net Revenue |  | $ | 99,959 |  |  | $ | 88,127 |  |  | $ | 62,256 |  |  | $ | 73,672 |  |  | $ | 72,566 |

| Page 13 |

Simmons First National Corporation |  |  |  |  |  |  |  |  |  |  |  |  |  | SFNC |
Reconciliation Of Non-GAAP Financial Measures - Year-to-Date |  |  |  |  |  |  |  |  |  |  |  |
For the Quarters Ended |  | Sep 30 |  |  | Jun 30 |  |  | Mar 31 |  |  | Dec 31 |  |  | Sep 30 |
(Unaudited) |  | 2022 |  |  | 2022 |  |  | 2022 |  |  | 2021 |  |  | 2021 |
($ in thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Calculation of Adjusted Return on Average Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income |  | $ | 173,152 |  |  | $ | 92,549 |  |  | $ | 65,095 |  |  | $ | 271,109 |  |  | $ | 222,879 |
Certain items, net of tax (non-GAAP) |  |  | 43,106 |  |  |  | 41,428 |  |  |  | 2,064 |  |  |  | 7,157 |  |  |  | (4,099 | )
Adjusted earnings (non-GAAP) |  | $ | 216,258 |  |  | $ | 133,977 |  |  | $ | 67,159 |  |  | $ | 278,266 |  |  | $ | 218,780 |
Average total assets |  | $ | 26,162,136 |  |  | $ | 25,802,982 |  |  | $ | 24,826,199 |  |  | $ | 23,492,308 |  |  | $ | 23,085,987 |
Return on average assets |  |  | 0.88 | % |  |  | 0.72 | % |  |  | 1.06 | % |  |  | 1.15 | % |  |  | 1.29 | %
Adjusted return on average assets (non-GAAP) |  |  | 1.11 | % |  |  | 1.05 | % |  |  | 1.10 | % |  |  | 1.18 | % |  |  | 1.27 | %
Calculation of Return on Tangible Common Equity |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income |  | $ | 173,152 |  |  | $ | 92,549 |  |  | $ | 65,095 |  |  | $ | 271,109 |  |  | $ | 222,879 |
Amortization of intangibles, net of taxes |  |  | 8,721 |  |  |  | 5,600 |  |  |  | 2,575 |  |  |  | 9,967 |  |  |  | 7,392 |
Total income available to common stockholders |  | $ | 181,873 |  |  | $ | 98,149 |  |  | $ | 67,670 |  |  | $ | 281,076 |  |  | $ | 230,271 |
Certain items, net of tax (non-GAAP) |  |  | 43,106 |  |  |  | 41,428 |  |  |  | 2,064 |  |  |  | 7,157 |  |  |  | (4,099 | )
Adjusted earnings (non-GAAP) |  |  | 216,258 |  |  |  | 133,977 |  |  |  | 67,159 |  |  |  | 278,266 |  |  |  | 218,780 |
Amortization of intangibles, net of taxes |  |  | 8,721 |  |  |  | 5,600 |  |  |  | 2,575 |  |  |  | 9,967 |  |  |  | 7,392 |
Total adjusted earnings available to common stockholders (non-GAAP) |  | $ | 224,979 |  |  | $ | 139,577 |  |  | $ | 69,734 |  |  | $ | 288,233 |  |  | $ | 226,172 |
Average common stockholders' equity |  | $ | 3,274,743 |  |  | $ | 3,265,935 |  |  | $ | 3,169,108 |  |  | $ | 3,071,313 |  |  | $ | 3,007,181 |
Average intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill |  |  | (1,252,486 | ) |  |  | (1,223,352 | ) |  |  | (1,146,034 | ) |  |  | (1,090,967 | ) |  |  | (1,075,305 | )
Other intangibles |  |  | (118,385 | ) |  |  | (109,575 | ) |  |  | (104,905 | ) |  |  | (105,820 | ) |  |  | (106,043 | )
Total average intangibles |  |  | (1,370,871 | ) |  |  | (1,332,927 | ) |  |  | (1,250,939 | ) |  |  | (1,196,787 | ) |  |  | (1,181,348 | )
Average tangible common stockholders' equity (non-GAAP) |  | $ | 1,903,872 |  |  | $ | 1,933,008 |  |  | $ | 1,918,169 |  |  | $ | 1,874,526 |  |  | $ | 1,825,833 |
Return on average common equity |  |  | 7.07 | % |  |  | 5.71 | % |  |  | 8.33 | % |  |  | 8.83 | % |  |  | 9.91 | %
Return on tangible common equity |  |  | 12.77 | % |  |  | 10.24 | % |  |  | 14.31 | % |  |  | 14.99 | % |  |  | 16.86 | %
Adjusted return on average common equity (non-GAAP) |  |  | 8.83 | % |  |  | 8.27 | % |  |  | 8.59 | % |  |  | 9.06 | % |  |  | 9.73 | %
Adjusted return on tangible common equity (non-GAAP) |  |  | 15.80 | % |  |  | 14.56 | % |  |  | 14.74 | % |  |  | 15.38 | % |  |  | 16.56 | %
Calculation of Efficiency Ratio (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest expense |  | $ | 424,173 |  |  | $ | 285,230 |  |  | $ | 128,417 |  |  | $ | 483,589 |  |  | $ | 341,992 |
Certain items (non-GAAP) |  |  | (24,812 | ) |  |  | (22,220 | ) |  |  | (2,795 | ) |  |  | (15,374 | ) |  |  | (133 | )
Other real estate and foreclosure expense adjustment |  |  | (653 | ) |  |  | (485 | ) |  |  | (343 | ) |  |  | (2,121 | ) |  |  | (1,545 | )
Amortization of intangibles adjustment |  |  | (11,807 | ) |  |  | (7,582 | ) |  |  | (3,486 | ) |  |  | (13,494 | ) |  |  | (10,008 | )
Efficiency ratio numerator |  | $ | 386,901 |  |  | $ | 254,943 |  |  | $ | 121,793 |  |  | $ | 452,600 |  |  | $ | 330,306 |
Net interest income |  | $ | 524,290 |  |  | $ | 330,705 |  |  | $ | 145,606 |  |  | $ | 591,532 |  |  | $ | 438,451 |
Noninterest income |  |  | 125,419 |  |  |  | 82,396 |  |  |  | 42,218 |  |  |  | 191,815 |  |  |  | 145,214 |
Certain items (non-GAAP) |  |  | (232 | ) |  |  | 88 |  |  |  | - |  |  |  | (5,685 | ) |  |  | (5,683 | )
Fully tax-equivalent adjustment (effective tax rate of 26.135%) |  |  | 17,901 |  |  |  | 11,698 |  |  |  | 5,602 |  |  |  | 19,231 |  |  |  | 13,652 |
(Gain) loss on sale of securities |  |  | 226 |  |  |  | 204 |  |  |  | 54 |  |  |  | (15,498 | ) |  |  | (15,846 | )
Efficiency ratio denominator |  | $ | 667,604 |  |  | $ | 425,091 |  |  | $ | 193,480 |  |  | $ | 781,395 |  |  | $ | 575,788 |
Efficiency ratio (1) |  |  | 57.95 | % |  |  | 59.97 | % |  |  | 62.95 | % |  |  | 57.92 | % |  |  | 57.37 | %

(1) Efficiency ratio is adjusted noninterest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully taxable equivalent) and noninterest revenues, excluding gains and losses from securities transactions and certain items, and is a non-GAAP measurement.

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