EX-99.1 2 a2q25earningsreleaseex991.htm EX-99.1
N / E / W / S R / E / L / E / A / S / E
July 23, 2025
FOR IMMEDIATE RELEASE
For more information, contact:
Nicole M. Weaver, First Vice President and Director of Corporate Administration
765-521-7619
http://www.firstmerchants.com
SOURCE: First Merchants Corporation, Muncie, Indiana
FIRST MERCHANTS CORPORATION ANNOUNCES SECOND QUARTER 2025 EARNINGS PER SHARE
First Merchants Corporation (NASDAQ - FRME)
Second Quarter 2025 Highlights:
• Net income available to common stockholders was $56.4 million and diluted earnings per common share totaled $0.98 in the second quarter of 2025, compared to $39.5 million and $0.68 in the second quarter of 2024, and $54.9 million and $0.94 in the first quarter of 2025.
•Robust capital position with Common Equity Tier 1 Capital Ratio of 11.35%.
•Repurchased 818,480 shares totaling $31.7 million year-to-date; Repurchased 582,486 shares totaling $22.1 million during the second quarter.
•Total loans grew $297.6 million, or 9.1% annualized, on a linked quarter basis, and $653.6 million, or 5.2%, during the last twelve months.
•Total deposits increased $335.6 million, or 9.3% annualized, on a linked quarter basis.
•Nonperforming assets to total assets were 36 basis points compared to 47 basis points on a linked quarter basis.
•The efficiency ratio totaled 53.99% for the quarter.
"Our strong balance sheet and earnings growth in the first half of the year underscore the strength and resilience of our business model," said Mark Hardwick, Chief Executive Officer of First Merchants Bank. "With continued momentum in loan and deposit growth, expanding margins, disciplined expense management, and a robust capital position, we are well-positioned to deliver long-term value for our shareholders. We remain committed to supporting our clients and communities while navigating a dynamic economic environment with confidence and clarity."
Second Quarter Financial Results:
First Merchants Corporation (the “Corporation) reported second quarter 2025 net income available to common stockholders of $56.4 million compared to $39.5 million during the same period in 2024. Diluted earnings per common share for the period totaled $0.98 per share compared to the second quarter of 2024 result of $0.68 per share.
Total assets equaled $18.6 billion as of quarter-end and loans totaled $13.3 billion. During the past twelve months, total loans grew by $653.6 million, or 5.2%. On a linked quarter basis, loans grew $297.6 million, or 9.1% with growth primarily in Commercial & Industrial loans.
Investments, totaling $3.4 billion, decreased $372.1 million, or 9.9%, during the last twelve months and decreased $46.2 million, or 5.4% annualized, on a linked quarter basis. The decline in the last twelve months reflected sales of available for sale securities in 2024 totaling $268.5 million.
Total deposits equaled $14.8 billion as of quarter-end and increased by $228.5 million, or 1.6%, over the past twelve months. Total deposits increased $335.6 million, or 9.3% annualized, on a linked quarter basis. The loan to deposit ratio of 90.1% at period end remained stable on a linked quarter basis.

The Corporation’s Allowance for Credit Losses – Loans (ACL) totaled $195.3 million as of quarter-end, or 1.47% of total loans. Net charge-offs totaled $2.3 million and provision for credit losses of $5.6 million was recorded during the quarter. Reserves for unfunded commitments totaling $18.0 million remain unchanged from the previous quarter. Non-performing assets to total assets were 0.36% for the second quarter of 2025, a decrease of 11 basis points compared to 0.47% in the linked quarter.
Net interest income, totaling $133.0 million for the quarter, increased $2.7 million, or 2.1%, compared to prior quarter and increased $4.4 million, or 3.5% compared to the second quarter of 2024. Fully taxable equivalent net interest margin was 3.25%, an increase of three basis points compared to the first quarter of 2025 and an increase of nine basis points compared to the second quarter of 2024. During the quarter, higher yields on earnings assets outpaced increased yields on interest bearing liabilities resulting in margin expansion.
Noninterest income totaled $31.3 million for the quarter, an increase of $1.3 million, compared to the first quarter of 2025 and was stable compared to the second quarter of 2024. The increase over first quarter of 2025 was driven primarily by higher gains on the sales of loans, treasury management fees, derivative hedge fees, and card payment fees offset by a decrease in other income associated with CRA investments.
Noninterest expense totaled $93.6 million for the quarter, an increase of $0.7 million from the first quarter of 2025. The increase was from higher marketing and data processing costs.
The Corporation’s total risk-based capital ratio equaled 13.06%, the common equity tier 1 capital ratio equaled 11.35%, and the tangible common equity ratio totaled 8.92%. These ratios continue to reflect the Corporation’s strong liquidity and capital positions.

CONFERENCE CALL
First Merchants Corporation will conduct a second quarter earnings conference call and web cast at 9:00 a.m. (ET) on Thursday, July 24, 2025.
To access via phone, participants will need to register using the following link where they will be provided a phone number and access code: (https://register-conf.media-server.com/register/BI605c2e360ce04cfc9c4221bda7f67a49)
To view the webcast and presentation slides, please go to (https://edge.media-server.com/mmc/p/ced58zg3) during the time of the call. A replay of the webcast will be available until July 24, 2026.
Detailed financial results are reported on the attached pages.
About First Merchants Corporation
First Merchants Corporation is a financial holding company headquartered in Muncie, Indiana. The Corporation has one full-service bank charter, First Merchants Bank. The Bank also operates as First Merchants Private Wealth Advisors (as a division of First Merchants Bank).
First Merchants Corporation’s common stock is traded on the NASDAQ Global Select Market System under the symbol FRME. Quotations are carried in daily newspapers and can be found on the company’s Internet web page (http://www.firstmerchants.com).
FIRST MERCHANTS and the Shield Logo are federally registered trademarks of First Merchants Corporation.
Forward-Looking Statements
This release contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can often, but not always, be identified by the use of words like “believe”, “continue”, “pattern”, “estimate”, “project”, “intend”, “anticipate”, “expect” and similar expressions or future or conditional verbs such as “will”, “would”, “should”, “could”, “might”, “can”, “may”, or similar expressions. These statements include statements about First Merchants’ goals, intentions and expectations; statements regarding the First Merchants’ business plan and growth strategies; statements regarding the asset quality of First Merchants’ loan and investment portfolios; and estimates of First Merchants’ risks and future costs and benefits. These forward-looking statements are subject to significant risks, assumptions and uncertainties that may cause results to differ materially from those set forth in forward-looking statements, including, among other things: possible changes in monetary and fiscal policies, and laws and regulations; the effects of easing restrictions on participants in the financial services industry; the cost and other effects of legal and administrative cases; possible changes in the credit worthiness of customers and the possible impairment of collectability of loans; fluctuations in market rates of interest; competitive factors in the banking industry; changes in the banking legislation or regulatory requirements of federal and state agencies applicable to bank holding companies and banks like First Merchants’ affiliate bank; continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; changes in market, economic, operational, liquidity (including the ability to grow and maintain core deposits and retain large, uninsured deposits), credit and interest rate risks associated with the First Merchants’ business; and other risks and factors identified in each of First Merchants’ filings with the Securities and Exchange Commission. First Merchants does not undertake any obligation to update any forward-looking statements, whether written or oral, relating to the matters discussed in this press release. In addition, First Merchants’ past results of operations do not necessarily indicate its anticipated future results.
* * * *

CONSOLIDATED BALANCE SHEETS |  |  |
(Dollars In Thousands) | June 30,
| 2025 |  | 2024
ASSETS |  |  |
Cash and due from banks | $ | 81,567 |  |  | $ | 105,372 |
Interest-bearing deposits | 223,343 |  |  | 168,528 |
Investment securities available for sale | 1,358,130 |  |  | 1,618,893 |
Investment securities held to maturity, net of allowance for credit losses | 2,022,826 |  |  | 2,134,195 |
Loans held for sale | 28,783 |  |  | 32,292 |
Loans | 13,296,759 |  |  | 12,639,650 |
Less: Allowance for credit losses - loans | (195,316) |  |  | (189,537) |
Net loans | 13,101,443 |  |  | 12,450,113 |
Premises and equipment | 122,808 |  |  | 133,245 |
Federal Home Loan Bank stock | 47,290 |  |  | 41,738 |
Interest receivable | 93,258 |  |  | 97,546 |
Goodwill | 712,002 |  |  | 712,002 |
Other intangibles | 16,797 |  |  | 23,371 |
Cash surrender value of life insurance | 305,695 |  |  | 306,379 |
Other real estate owned | 177 |  |  | 4,824 |
Tax asset, deferred and receivable | 97,749 |  |  | 107,080 |
Other assets | 380,909 |  |  | 367,845 |
TOTAL ASSETS | $ | 18,592,777 |  |  | $ | 18,303,423 |
LIABILITIES |  |  |
Deposits: |  |  |
Noninterest-bearing | $ | 2,197,416 |  |  | $ | 2,303,313 |
Interest-bearing | 12,600,162 |  |  | 12,265,757 |
Total Deposits | 14,797,578 |  |  | 14,569,070 |
Borrowings: |  |  |
Federal funds purchased | 85,000 |  |  | 147,229 |
Securities sold under repurchase agreements | 114,758 |  |  | 100,451 |
Federal Home Loan Bank advances | 898,702 |  |  | 832,703 |
Subordinated debentures and other borrowings | 62,617 |  |  | 93,589 |
Total Borrowings | 1,161,077 |  |  | 1,173,972 |
Interest payable | 16,174 |  |  | 18,554 |
Other liabilities | 269,996 |  |  | 329,302 |
Total Liabilities | 16,244,825 |  |  | 16,090,898 |
STOCKHOLDERS' EQUITY |  |  |
Preferred Stock, $1,000 par value, $1,000 liquidation value: |  |  |
Authorized -- 600 cumulative shares |  |  |
Issued and outstanding - 125 cumulative shares | 125 |  |  | 125 |
Preferred Stock, Series A, no par value, $2,500 liquidation preference: |  |  |
Authorized -- 10,000 non-cumulative perpetual shares |  |  |
Issued and outstanding - 10,000 non-cumulative perpetual shares | 25,000 |  |  | 25,000 |
Common Stock, $.125 stated value: |  |  |
Authorized -- 100,000,000 shares |  |  |
Issued and outstanding - 57,272,433 and 58,045,653 shares | 7,159 |  |  | 7,256 |
Additional paid-in capital | 1,163,170 |  |  | 1,191,193 |
Retained earnings | 1,342,473 |  |  | 1,200,930 |
Accumulated other comprehensive loss | (189,975) |  |  | (211,979) |
Total Stockholders' Equity | 2,347,952 |  |  | 2,212,525 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 18,592,777 |  |  | $ | 18,303,423 |

CONSOLIDATED STATEMENTS OF INCOME | Three Months Ended |  | Six Months Ended
(Dollars In Thousands, Except Per Share Amounts) | June 30, |  | June 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
INTEREST INCOME |  |  |  |  |  |  |
Loans: |  |  |  |  |  |  |
Taxable | $ | 195,173 |  |  | $ | 201,413 |  |  | $ | 382,901 |  |  | $ | 399,436 |
Tax-exempt | 10,805 |  |  | 8,430 |  |  | 21,337 |  |  | 16,620 |
Investment securities: |  |  |  |  |  |  |
Taxable | 8,266 |  |  | 9,051 |  |  | 16,638 |  |  | 17,799 |
Tax-exempt | 12,516 |  |  | 13,613 |  |  | 25,033 |  |  | 27,224 |
Deposits with financial institutions | 1,892 |  |  | 2,995 |  |  | 4,264 |  |  | 9,488 |
Federal Home Loan Bank stock | 1,083 |  |  | 879 |  |  | 2,080 |  |  | 1,714 |
Total Interest Income | 229,735 |  |  | 236,381 |  |  | 452,253 |  |  | 472,281 |
INTEREST EXPENSE |  |  |  |  |  |  |
Deposits | 84,241 |  |  | 99,151 |  |  | 164,788 |  |  | 197,436 |
Federal funds purchased | 965 |  |  | 126 |  |  | 1,777 |  |  | 126 |
Securities sold under repurchase agreements | 663 |  |  | 645 |  |  | 1,405 |  |  | 1,677 |
Federal Home Loan Bank advances | 9,714 |  |  | 6,398 |  |  | 19,078 |  |  | 13,171 |
Subordinated debentures and other borrowings | 1,138 |  |  | 1,490 |  |  | 1,921 |  |  | 4,237 |
Total Interest Expense | 96,721 |  |  | 107,810 |  |  | 188,969 |  |  | 216,647 |
NET INTEREST INCOME | 133,014 |  |  | 128,571 |  |  | 263,284 |  |  | 255,634 |
Provision for credit losses | 5,600 |  |  | 24,500 |  |  | 9,800 |  |  | 26,500 |
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES | 127,414 |  |  | 104,071 |  |  | 253,484 |  |  | 229,134 |
NONINTEREST INCOME |  |  |  |  |  |  |
Service charges on deposit accounts | 8,566 |  |  | 8,214 |  |  | 16,638 |  |  | 16,121 |
Fiduciary and wealth management fees | 8,831 |  |  | 8,825 |  |  | 17,475 |  |  | 17,025 |
Card payment fees | 4,932 |  |  | 4,739 |  |  | 9,458 |  |  | 9,239 |
Net gains and fees on sales of loans | 5,849 |  |  | 5,141 |  |  | 10,871 |  |  | 8,395 |
Derivative hedge fees | 831 |  |  | 489 |  |  | 1,235 |  |  | 752 |
Other customer fees | 401 |  |  | 460 |  |  | 816 |  |  | 887 |
Earnings on cash surrender value of life insurance | 1,913 |  |  | 1,929 |  |  | 4,092 |  |  | 3,521 |
Net realized losses on sales of available for sale securities | (1) |  |  | (49) |  |  | (8) |  |  | (51) |
Other income (loss) | (19) |  |  | 1,586 |  |  | 774 |  |  | 2,083 |
Total Noninterest Income | 31,303 |  |  | 31,334 |  |  | 61,351 |  |  | 57,972 |
NONINTEREST EXPENSES |  |  |  |  |  |  |
Salaries and employee benefits | 54,527 |  |  | 52,214 |  |  | 109,509 |  |  | 110,507 |
Net occupancy | 6,845 |  |  | 6,746 |  |  | 14,061 |  |  | 14,058 |
Equipment | 6,927 |  |  | 6,599 |  |  | 13,935 |  |  | 12,825 |
Marketing | 1,997 |  |  | 1,773 |  |  | 3,350 |  |  | 2,971 |
Outside data processing fees | 7,107 |  |  | 7,072 |  |  | 13,036 |  |  | 13,961 |
Printing and office supplies | 272 |  |  | 354 |  |  | 619 |  |  | 707 |
Intangible asset amortization | 1,505 |  |  | 1,771 |  |  | 3,031 |  |  | 3,728 |
FDIC assessments | 3,552 |  |  | 3,278 |  |  | 7,200 |  |  | 7,565 |
Other real estate owned and foreclosure expenses | 29 |  |  | 373 |  |  | 629 |  |  | 907 |
Professional and other outside services | 3,741 |  |  | 3,822 |  |  | 7,002 |  |  | 7,774 |
Other expenses | 7,096 |  |  | 7,411 |  |  | 14,128 |  |  | 13,345 |
Total Noninterest Expenses | 93,598 |  |  | 91,413 |  |  | 186,500 |  |  | 188,348 |
INCOME BEFORE INCOME TAX | 65,119 |  |  | 43,992 |  |  | 128,335 |  |  | 98,758 |
Income tax expense | 8,287 |  |  | 4,067 |  |  | 16,164 |  |  | 10,892 |
NET INCOME | 56,832 |  |  | 39,925 |  |  | 112,171 |  |  | 87,866 |
Preferred stock dividends | 469 |  |  | 469 |  |  | 938 |  |  | 938 |
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS | $ | 56,363 |  |  | $ | 39,456 |  |  | $ | 111,233 |  |  | $ | 86,928 |
PER SHARE DATA: |  |  |  |  |  |  |
Basic Net Income Available to Common Stockholders | $ | 0.98 |  |  | $ | 0.68 |  |  | $ | 1.93 |  |  | $ | 1.48 |
Diluted Net Income Available to Common Stockholders | $ | 0.98 |  |  | $ | 0.68 |  |  | $ | 1.92 |  |  | $ | 1.48 |
Cash Dividends Paid to Common Stockholders | $ | 0.36 |  |  | $ | 0.35 |  |  | $ | 0.71 |  |  | $ | 0.69 |
Tangible Common Book Value Per Share | $ | 27.90 |  |  | $ | 25.10 |  |  | $ | 27.90 |  |  | $ | 25.10 |
Average Diluted Common Shares Outstanding (in thousands) | 57,773 |  |  | 58,328 |  |  | 58,005 |  |  | 58,800 |

FINANCIAL HIGHLIGHTS |  |  |  |  |  |  |
(Dollars In Thousands) | Three Months Ended |  | Six Months Ended
| June 30, |  | June 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
NET CHARGE-OFFS | $ | 2,315 |  |  | $ | 39,644 |  |  | $ | 7,241 |  |  | $ | 41,897 |
AVERAGE BALANCES: |  |  |  |  |  |  |
Total Assets | $ | 18,508,785 |  |  | $ | 18,332,159 |  |  | $ | 18,425,723 |  |  | $ | 18,381,340 |
Total Loans | 13,211,729 |  |  | 12,620,530 |  |  | 13,077,288 |  |  | 12,548,798 |
Total Earning Assets | 17,158,984 |  |  | 17,013,984 |  |  | 17,060,278 |  |  | 17,068,917 |
Total Deposits | 14,632,113 |  |  | 14,895,867 |  |  | 14,526,314 |  |  | 14,888,536 |
Total Stockholders' Equity | 2,340,010 |  |  | 2,203,361 |  |  | 2,340,440 |  |  | 2,222,750 |
FINANCIAL RATIOS: |  |  |  |  |  |  |
Return on Average Assets | 1.23 | % |  | 0.87 | % |  | 1.22 | % |  | 0.96 | %
Return on Average Stockholders' Equity | 9.63 |  |  | 7.16 |  |  | 9.51 |  |  | 7.82 |
Return on Tangible Common Stockholders' Equity | 14.49 |  |  | 11.29 |  |  | 14.30 |  |  | 12.26 |
Average Earning Assets to Average Assets | 92.71 |  |  | 92.81 |  |  | 92.59 |  |  | 92.86 |
Allowance for Credit Losses - Loans as % of Total Loans | 1.47 |  |  | 1.50 |  |  | 1.47 |  |  | 1.50 |
Net Charge-offs as % of Average Loans (Annualized) | 0.07 |  |  | 1.26 |  |  | 0.11 |  |  | 0.67 |
Average Stockholders' Equity to Average Assets | 12.64 |  |  | 12.02 |  |  | 12.70 |  |  | 12.09 |
Tax Equivalent Yield on Average Earning Assets | 5.50 |  |  | 5.69 |  |  | 5.45 |  |  | 5.67 |
Interest Expense/Average Earning Assets | 2.25 |  |  | 2.53 |  |  | 2.22 |  |  | 2.54 |
Net Interest Margin (FTE) on Average Earning Assets | 3.25 |  |  | 3.16 |  |  | 3.23 |  |  | 3.13 |
Efficiency Ratio | 53.99 |  |  | 53.84 |  |  | 54.26 |  |  | 56.47 |

ASSET QUALITY |  |  |  |  |  |  |  |  |
(Dollars In Thousands) | June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024
Nonaccrual Loans | $ | 67,358 |  |  | $ | 81,922 |  |  | $ | 73,773 |  |  | $ | 59,088 |  |  | $ | 61,906 |
Other Real Estate Owned and Repossessions | 177 |  |  | 4,966 |  |  | 4,948 |  |  | 5,247 |  |  | 4,824 |
Nonperforming Assets (NPA) | 67,535 |  |  | 86,888 |  |  | 78,721 |  |  | 64,335 |  |  | 66,730 |
90+ Days Delinquent | 4,443 |  |  | 4,280 |  |  | 5,902 |  |  | 14,105 |  |  | 1,686 |
NPAs & 90 Day Delinquent | $ | 71,978 |  |  | $ | 91,168 |  |  | $ | 84,623 |  |  | $ | 78,440 |  |  | $ | 68,416 |
Allowance for Credit Losses - Loans | $ | 195,316 |  |  | $ | 192,031 |  |  | $ | 192,757 |  |  | $ | 187,828 |  |  | $ | 189,537 |
Quarterly Net Charge-offs | 2,315 |  |  | 4,926 |  |  | 771 |  |  | 6,709 |  |  | 39,644 |
NPAs / Actual Assets % | 0.36 | % |  | 0.47 | % |  | 0.43 | % |  | 0.35 | % |  | 0.36 | %
NPAs & 90 Day / Actual Assets % | 0.39 | % |  | 0.49 | % |  | 0.46 | % |  | 0.43 | % |  | 0.37 | %
NPAs / Actual Loans and OREO % | 0.51 | % |  | 0.67 | % |  | 0.61 | % |  | 0.51 | % |  | 0.53 | %
Allowance for Credit Losses - Loans / Actual Loans (%) | 1.47 | % |  | 1.47 | % |  | 1.50 | % |  | 1.48 | % |  | 1.50 | %
Quarterly Net Charge-offs as % of Average Loans (Annualized) | 0.07 | % |  | 0.15 | % |  | 0.02 | % |  | 0.21 | % |  | 1.26 | %

CONSOLIDATED BALANCE SHEETS |  |  |  |  |  |  |  |  |
(Dollars In Thousands) | June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024
ASSETS |  |  |  |  |  |  |  |  |
Cash and due from banks | $ | 81,567 |  |  | $ | 86,113 |  |  | $ | 87,616 |  |  | $ | 84,719 |  |  | $ | 105,372 |
Interest-bearing deposits | 223,343 |  |  | 331,534 |  |  | 298,891 |  |  | 359,126 |  |  | 168,528 |
Investment securities available for sale | 1,358,130 |  |  | 1,378,489 |  |  | 1,386,475 |  |  | 1,553,496 |  |  | 1,618,893 |
Investment securities held to maturity, net of allowance for credit losses | 2,022,826 |  |  | 2,048,632 |  |  | 2,074,220 |  |  | 2,108,649 |  |  | 2,134,195 |
Loans held for sale | 28,783 |  |  | 23,004 |  |  | 18,663 |  |  | 40,652 |  |  | 32,292 |
Loans | 13,296,759 |  |  | 13,004,905 |  |  | 12,854,359 |  |  | 12,646,808 |  |  | 12,639,650 |
Less: Allowance for credit losses - loans | (195,316) |  |  | (192,031) |  |  | (192,757) |  |  | (187,828) |  |  | (189,537) |
Net loans | 13,101,443 |  |  | 12,812,874 |  |  | 12,661,602 |  |  | 12,458,980 |  |  | 12,450,113 |
Premises and equipment | 122,808 |  |  | 128,749 |  |  | 129,743 |  |  | 129,582 |  |  | 133,245 |
Federal Home Loan Bank stock | 47,290 |  |  | 45,006 |  |  | 41,690 |  |  | 41,716 |  |  | 41,738 |
Interest receivable | 93,258 |  |  | 88,352 |  |  | 91,829 |  |  | 92,055 |  |  | 97,546 |
Goodwill | 712,002 |  |  | 712,002 |  |  | 712,002 |  |  | 712,002 |  |  | 712,002 |
Other intangibles | 16,797 |  |  | 18,302 |  |  | 19,828 |  |  | 21,599 |  |  | 23,371 |
Cash surrender value of life insurance | 305,695 |  |  | 304,918 |  |  | 304,906 |  |  | 304,613 |  |  | 306,379 |
Other real estate owned | 177 |  |  | 4,966 |  |  | 4,948 |  |  | 5,247 |  |  | 4,824 |
Tax asset, deferred and receivable | 97,749 |  |  | 87,665 |  |  | 92,387 |  |  | 86,732 |  |  | 107,080 |
Other assets | 380,909 |  |  | 369,181 |  |  | 387,169 |  |  | 348,384 |  |  | 367,845 |
TOTAL ASSETS | $ | 18,592,777 |  |  | $ | 18,439,787 |  |  | $ | 18,311,969 |  |  | $ | 18,347,552 |  |  | $ | 18,303,423 |
LIABILITIES |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |
Noninterest-bearing | $ | 2,197,416 |  |  | $ | 2,185,057 |  |  | $ | 2,325,579 |  |  | $ | 2,334,197 |  |  | $ | 2,303,313 |
Interest-bearing | 12,600,162 |  |  | 12,276,921 |  |  | 12,196,047 |  |  | 12,030,903 |  |  | 12,265,757 |
Total Deposits | 14,797,578 |  |  | 14,461,978 |  |  | 14,521,626 |  |  | 14,365,100 |  |  | 14,569,070 |
Borrowings: |  |  |  |  |  |  |  |  |
Federal funds purchased | 85,000 |  |  | 185,000 |  |  | 99,226 |  |  | 30,000 |  |  | 147,229 |
Securities sold under repurchase agreements | 114,758 |  |  | 122,947 |  |  | 142,876 |  |  | 124,894 |  |  | 100,451 |
Federal Home Loan Bank advances | 898,702 |  |  | 972,478 |  |  | 822,554 |  |  | 832,629 |  |  | 832,703 |
Subordinated debentures and other borrowings | 62,617 |  |  | 62,619 |  |  | 93,529 |  |  | 93,562 |  |  | 93,589 |
Total Borrowings | 1,161,077 |  |  | 1,343,044 |  |  | 1,158,185 |  |  | 1,081,085 |  |  | 1,173,972 |
Deposits and other liabilities held for sale | — |  |  | — |  |  | — |  |  | 288,476 |  |  | — |
Interest payable | 16,174 |  |  | 13,304 |  |  | 16,102 |  |  | 18,089 |  |  | 18,554 |
Other liabilities | 269,996 |  |  | 289,247 |  |  | 311,073 |  |  | 292,429 |  |  | 329,302 |
Total Liabilities | 16,244,825 |  |  | 16,107,573 |  |  | 16,006,986 |  |  | 16,045,179 |  |  | 16,090,898 |
STOCKHOLDERS' EQUITY |  |  |  |  |  |  |  |  |
Preferred Stock, $1,000 par value, $1,000 liquidation value: |  |  |  |  |  |  |  |  |
Authorized -- 600 cumulative shares |  |  |  |  |  |  |  |  |
Issued and outstanding - 125 cumulative shares | 125 |  |  | 125 |  |  | 125 |  |  | 125 |  |  | 125 |
Preferred Stock, Series A, no par value, $2,500 liquidation preference: |  |  |  |  |  |  |  |  |
Authorized -- 10,000 non-cumulative perpetual shares |  |  |  |  |  |  |  |  |
Issued and outstanding - 10,000 non-cumulative perpetual shares | 25,000 |  |  | 25,000 |  |  | 25,000 |  |  | 25,000 |  |  | 25,000 |
Common Stock, $.125 stated value: |  |  |  |  |  |  |  |  |
Authorized -- 100,000,000 shares |  |  |  |  |  |  |  |  |
Issued and outstanding | 7,159 |  |  | 7,226 |  |  | 7,247 |  |  | 7,265 |  |  | 7,256 |
Additional paid-in capital | 1,163,170 |  |  | 1,183,263 |  |  | 1,188,768 |  |  | 1,192,683 |  |  | 1,191,193 |
Retained earnings | 1,342,473 |  |  | 1,306,911 |  |  | 1,272,528 |  |  | 1,229,125 |  |  | 1,200,930 |
Accumulated other comprehensive loss | (189,975) |  |  | (190,311) |  |  | (188,685) |  |  | (151,825) |  |  | (211,979) |
Total Stockholders' Equity | 2,347,952 |  |  | 2,332,214 |  |  | 2,304,983 |  |  | 2,302,373 |  |  | 2,212,525 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 18,592,777 |  |  | $ | 18,439,787 |  |  | $ | 18,311,969 |  |  | $ | 18,347,552 |  |  | $ | 18,303,423 |

CONSOLIDATED STATEMENTS OF INCOME |  |  |  |  |  |  |  |  |
(Dollars In Thousands, Except Per Share Amounts) | June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024
INTEREST INCOME |  |  |  |  |  |  |  |  |
Loans: |  |  |  |  |  |  |  |  |
Taxable | $ | 195,173 |  |  | $ | 187,728 |  |  | $ | 197,536 |  |  | $ | 206,680 |  |  | $ | 201,413 |
Tax-exempt | 10,805 |  |  | 10,532 |  |  | 9,020 |  |  | 8,622 |  |  | 8,430 |
Investment securities: |  |  |  |  |  |  |  |  |
Taxable | 8,266 |  |  | 8,372 |  |  | 9,024 |  |  | 9,263 |  |  | 9,051 |
Tax-exempt | 12,516 |  |  | 12,517 |  |  | 12,754 |  |  | 13,509 |  |  | 13,613 |
Deposits with financial institutions | 1,892 |  |  | 2,372 |  |  | 5,350 |  |  | 2,154 |  |  | 2,995 |
Federal Home Loan Bank stock | 1,083 |  |  | 997 |  |  | 958 |  |  | 855 |  |  | 879 |
Total Interest Income | 229,735 |  |  | 222,518 |  |  | 234,642 |  |  | 241,083 |  |  | 236,381 |
INTEREST EXPENSE |  |  |  |  |  |  |  |  |
Deposits | 84,241 |  |  | 80,547 |  |  | 89,835 |  |  | 98,856 |  |  | 99,151 |
Federal funds purchased | 965 |  |  | 812 |  |  | 26 |  |  | 329 |  |  | 126 |
Securities sold under repurchase agreements | 663 |  |  | 742 |  |  | 680 |  |  | 700 |  |  | 645 |
Federal Home Loan Bank advances | 9,714 |  |  | 9,364 |  |  | 8,171 |  |  | 8,544 |  |  | 6,398 |
Subordinated debentures and other borrowings | 1,138 |  |  | 783 |  |  | 1,560 |  |  | 1,544 |  |  | 1,490 |
Total Interest Expense | 96,721 |  |  | 92,248 |  |  | 100,272 |  |  | 109,973 |  |  | 107,810 |
NET INTEREST INCOME | 133,014 |  |  | 130,270 |  |  | 134,370 |  |  | 131,110 |  |  | 128,571 |
Provision for credit losses | 5,600 |  |  | 4,200 |  |  | 4,200 |  |  | 5,000 |  |  | 24,500 |
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES | 127,414 |  |  | 126,070 |  |  | 130,170 |  |  | 126,110 |  |  | 104,071 |
NONINTEREST INCOME |  |  |  |  |  |  |  |  |
Service charges on deposit accounts | 8,566 |  |  | 8,072 |  |  | 8,124 |  |  | 8,361 |  |  | 8,214 |
Fiduciary and wealth management fees | 8,831 |  |  | 8,644 |  |  | 8,665 |  |  | 8,525 |  |  | 8,825 |
Card payment fees | 4,932 |  |  | 4,526 |  |  | 4,957 |  |  | 5,121 |  |  | 4,739 |
Net gains and fees on sales of loans | 5,849 |  |  | 5,022 |  |  | 5,681 |  |  | 6,764 |  |  | 5,141 |
Derivative hedge fees | 831 |  |  | 404 |  |  | 1,594 |  |  | 736 |  |  | 489 |
Other customer fees | 401 |  |  | 415 |  |  | 316 |  |  | 344 |  |  | 460 |
Earnings on cash surrender value of life insurance | 1,913 |  |  | 2,179 |  |  | 2,188 |  |  | 2,755 |  |  | 1,929 |
Net realized losses on sales of available for sale securities | (1) |  |  | (7) |  |  | (11,592) |  |  | (9,114) |  |  | (49) |
Gain on branch sale | — |  |  | — |  |  | 19,983 |  |  | — |  |  | — |
Other income (loss) | (19) |  |  | 793 |  |  | 2,826 |  |  | 1,374 |  |  | 1,586 |
Total Noninterest Income | 31,303 |  |  | 30,048 |  |  | 42,742 |  |  | 24,866 |  |  | 31,334 |
NONINTEREST EXPENSES |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 54,527 |  |  | 54,982 |  |  | 55,437 |  |  | 55,223 |  |  | 52,214 |
Net occupancy | 6,845 |  |  | 7,216 |  |  | 7,335 |  |  | 6,994 |  |  | 6,746 |
Equipment | 6,927 |  |  | 7,008 |  |  | 7,028 |  |  | 6,949 |  |  | 6,599 |
Marketing | 1,997 |  |  | 1,353 |  |  | 2,582 |  |  | 1,836 |  |  | 1,773 |
Outside data processing fees | 7,107 |  |  | 5,929 |  |  | 6,029 |  |  | 7,150 |  |  | 7,072 |
Printing and office supplies | 272 |  |  | 347 |  |  | 377 |  |  | 378 |  |  | 354 |
Intangible asset amortization | 1,505 |  |  | 1,526 |  |  | 1,771 |  |  | 1,772 |  |  | 1,771 |
FDIC assessments | 3,552 |  |  | 3,648 |  |  | 3,744 |  |  | 3,720 |  |  | 3,278 |
Other real estate owned and foreclosure expenses | 29 |  |  | 600 |  |  | 227 |  |  | 942 |  |  | 373 |
Professional and other outside services | 3,741 |  |  | 3,261 |  |  | 3,777 |  |  | 3,035 |  |  | 3,822 |
Other expenses | 7,096 |  |  | 7,032 |  |  | 7,982 |  |  | 6,630 |  |  | 7,411 |
Total Noninterest Expenses | 93,598 |  |  | 92,902 |  |  | 96,289 |  |  | 94,629 |  |  | 91,413 |
INCOME BEFORE INCOME TAX | 65,119 |  |  | 63,216 |  |  | 76,623 |  |  | 56,347 |  |  | 43,992 |
Income tax expense | 8,287 |  |  | 7,877 |  |  | 12,274 |  |  | 7,160 |  |  | 4,067 |
NET INCOME | 56,832 |  |  | 55,339 |  |  | 64,349 |  |  | 49,187 |  |  | 39,925 |
Preferred stock dividends | 469 |  |  | 469 |  |  | 469 |  |  | 468 |  |  | 469 |
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS | $ | 56,363 |  |  | $ | 54,870 |  |  | $ | 63,880 |  |  | $ | 48,719 |  |  | $ | 39,456 |
PER SHARE DATA: |  |  |  |  |  |  |  |  |
Basic Net Income Available to Common Stockholders | $ | 0.98 |  |  | $ | 0.95 |  |  | $ | 1.10 |  |  | $ | 0.84 |  |  | $ | 0.68 |
Diluted Net Income Available to Common Stockholders | $ | 0.98 |  |  | $ | 0.94 |  |  | $ | 1.10 |  |  | $ | 0.84 |  |  | $ | 0.68 |
Cash Dividends Paid to Common Stockholders | $ | 0.36 |  |  | $ | 0.35 |  |  | $ | 0.35 |  |  | $ | 0.35 |  |  | $ | 0.35 |
Tangible Common Book Value Per Share | $ | 27.90 |  |  | $ | 27.34 |  |  | $ | 26.78 |  |  | $ | 26.64 |  |  | $ | 25.10 |
Average Diluted Common Shares Outstanding (in thousands) | 57,773 |  |  | 58,242 |  |  | 58,247 |  |  | 58,289 |  |  | 58,328 |
FINANCIAL RATIOS: |  |  |  |  |  |  |  |  |
Return on Average Assets | 1.23 | % |  | 1.21 | % |  | 1.39 | % |  | 1.07 | % |  | 0.87 | %
Return on Average Stockholders' Equity | 9.63 |  |  | 9.38 |  |  | 11.05 |  |  | 8.66 |  |  | 7.16 |
Return on Tangible Common Stockholders' Equity | 14.49 |  |  | 14.12 |  |  | 16.75 |  |  | 13.39 |  |  | 11.29 |
Average Earning Assets to Average Assets | 92.71 |  |  | 92.47 |  |  | 92.48 |  |  | 92.54 |  |  | 92.81 |
Allowance for Credit Losses - Loans as % of Total Loans | 1.47 |  |  | 1.47 |  |  | 1.50 |  |  | 1.48 |  |  | 1.50 |
Net Charge-offs as % of Average Loans (Annualized) | 0.07 |  |  | 0.15 |  |  | 0.02 |  |  | 0.21 |  |  | 1.26 |
Average Stockholders' Equity to Average Assets | 12.64 |  |  | 12.76 |  |  | 12.51 |  |  | 12.26 |  |  | 12.02 |
Tax Equivalent Yield on Average Earning Assets | 5.50 |  |  | 5.39 |  |  | 5.63 |  |  | 5.82 |  |  | 5.69 |
Interest Expense/Average Earning Assets | 2.25 |  |  | 2.17 |  |  | 2.35 |  |  | 2.59 |  |  | 2.53 |
Net Interest Margin (FTE) on Average Earning Assets | 3.25 |  |  | 3.22 |  |  | 3.28 |  |  | 3.23 |  |  | 3.16 |
Efficiency Ratio | 53.99 |  |  | 54.54 |  |  | 48.48 |  |  | 53.76 |  |  | 53.84 |

LOANS |  |  |  |  |  |  |  |  |
(Dollars In Thousands) | June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024
Commercial and industrial loans | $ | 4,440,924 |  |  | $ | 4,306,597 |  |  | $ | 4,114,292 |  |  | $ | 4,041,217 |  |  | $ | 3,949,817 |
Agricultural land, production and other loans to farmers | 265,172 |  |  | 243,864 |  |  | 256,312 |  |  | 238,743 |  |  | 239,926 |
Real estate loans: |  |  |  |  |  |  |  |  |
Construction | 836,033 |  |  | 793,175 |  |  | 792,144 |  |  | 814,704 |  |  | 823,267 |
Commercial real estate, non-owner occupied | 2,171,092 |  |  | 2,177,869 |  |  | 2,274,016 |  |  | 2,251,351 |  |  | 2,323,533 |
Commercial real estate, owner occupied | 1,226,797 |  |  | 1,214,739 |  |  | 1,157,944 |  |  | 1,152,751 |  |  | 1,174,195 |
Residential | 2,397,094 |  |  | 2,389,852 |  |  | 2,374,729 |  |  | 2,366,943 |  |  | 2,370,905 |
Home equity | 673,961 |  |  | 650,499 |  |  | 659,811 |  |  | 641,188 |  |  | 631,104 |
Individuals' loans for household and other personal expenditures | 141,045 |  |  | 140,954 |  |  | 166,028 |  |  | 158,480 |  |  | 162,089 |
Public finance and other commercial loans | 1,144,641 |  |  | 1,087,356 |  |  | 1,059,083 |  |  | 981,431 |  |  | 964,814 |
Loans | 13,296,759 |  |  | 13,004,905 |  |  | 12,854,359 |  |  | 12,646,808 |  |  | 12,639,650 |
Allowance for credit losses - loans | (195,316) |  |  | (192,031) |  |  | (192,757) |  |  | (187,828) |  |  | (189,537) |
NET LOANS | $ | 13,101,443 |  |  | $ | 12,812,874 |  |  | $ | 12,661,602 |  |  | $ | 12,458,980 |  |  | $ | 12,450,113 |

DEPOSITS |  |  |  |  |  |  |  |  |
(Dollars In Thousands) | June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024
Demand deposits | $ | 7,798,695 |  |  | $ | 7,786,554 |  |  | $ | 7,980,061 |  |  | $ | 7,678,510 |  |  | $ | 7,757,679 |
Savings deposits | 4,984,659 |  |  | 4,791,874 |  |  | 4,522,758 |  |  | 4,302,236 |  |  | 4,339,161 |
Certificates and other time deposits of $100,000 or less | 617,857 |  |  | 625,203 |  |  | 692,068 |  |  | 802,949 |  |  | 889,949 |
Certificates and other time deposits of $100,000 or more | 891,139 |  |  | 896,143 |  |  | 1,043,068 |  |  | 1,277,833 |  |  | 1,415,131 |
Brokered certificates of deposits 1 | 505,228 |  |  | 362,204 |  |  | 283,671 |  |  | 303,572 |  |  | 167,150 |
TOTAL DEPOSITS | $ | 14,797,578 |  |  | $ | 14,461,978 |  |  | $ | 14,521,626 |  |  | $ | 14,365,100 |  |  | $ | 14,569,070 |

1 - Total brokered deposits of $1.2 billion, which includes brokered CD's of $505.2 million at June 30, 2025.

CONSOLIDATED AVERAGE BALANCE SHEET AND NET INTEREST MARGIN ANALYSIS |  |  |  |  |  |
(Dollars In Thousands) |  |  |  |  |  |  |  |  |  |  |
| Three Months Ended
| June 30, 2025 |  | June 30, 2024
| Average Balance |  | Interest Income / Expense |  | Average Rate |  | Average Balance |  | Interest Income / Expense |  | Average Rate
ASSETS |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits | $ | 252,613 |  |  | $ | 1,892 |  |  | 3.00 | % |  | $ | 322,647 |  |  | $ | 2,995 |  |  | 3.71 | %
Federal Home Loan Bank stock | 46,598 |  |  | 1,083 |  |  | 9.30 |  |  | 41,749 |  |  | 879 |  |  | 8.42 |
Investment Securities: (1) |  |  |  |  |  |  |  |  |  |  |
Taxable | 1,605,718 |  |  | 8,266 |  |  | 2.06 |  |  | 1,788,749 |  |  | 9,051 |  |  | 2.02 |
Tax-exempt (2) | 2,042,326 |  |  | 15,843 |  |  | 3.10 |  |  | 2,240,309 |  |  | 17,232 |  |  | 3.08 |
Total Investment Securities | 3,648,044 |  |  | 24,109 |  |  | 2.64 |  |  | 4,029,058 |  |  | 26,283 |  |  | 2.61 |
Loans held for sale | 25,411 |  |  | 389 |  |  | 6.12 |  |  | 28,585 |  |  | 431 |  |  | 6.03 |
Loans: (3) |  |  |  |  |  |  |  |  |  |  |
Commercial | 9,006,650 |  |  | 154,108 |  |  | 6.84 |  |  | 8,691,746 |  |  | 160,848 |  |  | 7.40 |
Real estate mortgage | 2,200,521 |  |  | 25,062 |  |  | 4.56 |  |  | 2,150,591 |  |  | 23,799 |  |  | 4.43 |
HELOC and installment | 834,901 |  |  | 15,614 |  |  | 7.48 |  |  | 823,417 |  |  | 16,335 |  |  | 7.94 |
Tax-exempt (2) | 1,144,246 |  |  | 13,677 |  |  | 4.78 |  |  | 926,191 |  |  | 10,670 |  |  | 4.61 |
Total Loans | 13,211,729 |  |  | 208,850 |  |  | 6.32 |  |  | 12,620,530 |  |  | 212,083 |  |  | 6.72 |
Total Earning Assets | 17,158,984 |  |  | 235,934 |  |  | 5.50 | % |  | 17,013,984 |  |  | 242,240 |  |  | 5.69 | %
Total Non-Earning Assets | 1,349,801 |  |  |  |  |  |  | 1,318,175 |  |  |  |  |
TOTAL ASSETS | $ | 18,508,785 |  |  |  |  |  |  | $ | 18,332,159 |  |  |  |  |
LIABILITIES |  |  |  |  |  |  |  |  |  |  |
Interest-Bearing Deposits: |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits | $ | 5,545,158 |  |  | $ | 35,303 |  |  | 2.55 | % |  | $ | 5,586,549 |  |  | $ | 40,994 |  |  | 2.94 | %
Money market deposits | 3,613,952 |  |  | 28,714 |  |  | 3.18 |  |  | 3,036,398 |  |  | 27,230 |  |  | 3.59 |
Savings deposits | 1,282,951 |  |  | 2,513 |  |  | 0.78 |  |  | 1,508,734 |  |  | 3,476 |  |  | 0.92 |
Certificates and other time deposits | 2,003,682 |  |  | 17,711 |  |  | 3.54 |  |  | 2,414,967 |  |  | 27,451 |  |  | 4.55 |
Total Interest-Bearing Deposits | 12,445,743 |  |  | 84,241 |  |  | 2.71 |  |  | 12,546,648 |  |  | 99,151 |  |  | 3.16 |
Borrowings | 1,250,519 |  |  | 12,480 |  |  | 3.99 |  |  | 885,919 |  |  | 8,659 |  |  | 3.91 |
Total Interest-Bearing Liabilities | 13,696,262 |  |  | 96,721 |  |  | 2.82 |  |  | 13,432,567 |  |  | 107,810 |  |  | 3.21 |
Noninterest-bearing deposits | 2,186,370 |  |  |  |  |  |  | 2,349,219 |  |  |  |  |
Other liabilities | 286,143 |  |  |  |  |  |  | 347,012 |  |  |  |  |
Total Liabilities | 16,168,775 |  |  |  |  |  |  | 16,128,798 |  |  |  |  |
STOCKHOLDERS' EQUITY | 2,340,010 |  |  |  |  |  |  | 2,203,361 |  |  |  |  |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 18,508,785 |  |  |  |  |  |  | $ | 18,332,159 |  |  |  |  |
Net Interest Income (FTE) |  |  | $ | 139,213 |  |  |  |  |  |  | $ | 134,430 |  |  |
Net Interest Spread (FTE) (4) |  |  |  |  | 2.68 | % |  |  |  |  |  | 2.48 | %
Net Interest Margin (FTE): |  |  |  |  |  |  |  |  |  |  |
Interest Income (FTE) / Average Earning Assets |  |  |  |  | 5.50 | % |  |  |  |  |  | 5.69 | %
Interest Expense / Average Earning Assets |  |  |  |  | 2.25 | % |  |  |  |  |  | 2.53 | %
Net Interest Margin (FTE) (5) |  |  |  |  | 3.25 | % |  |  |  |  |  | 3.16 | %
(1) Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments. Annualized amounts are computed using a 30/360 day basis.
(2) Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2025 and 2024. These totals e qual $6,199 and $5,859 for the three months ended June 30, 2025 and 2024, respectively.
(3) Non accruing loans have been included in the average balances.
(4) Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.
(5) Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.

CONSOLIDATED AVERAGE BALANCE SHEET AND NET INTEREST MARGIN ANALYSIS |  |  |  |  |  |
(Dollars In Thousands) |  |  |  |  |  |  |  |  |  |  |
| Six Months Ended
| June 30, 2025 |  | June 30, 2024
| Average Balance |  | Interest Income / Expense |  | Average Rate |  | Average Balance |  | Interest Income / Expense |  | Average Rate
ASSETS |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits | $ | 273,200 |  |  | $ | 4,264 |  |  | 3.12 | % |  | $ | 449,173 |  |  | $ | 9,488 |  |  | 4.22 | %
Federal Home Loan Bank stock | 45,296 |  |  | 2,080 |  |  | 9.18 |  |  | 41,757 |  |  | 1,714 |  |  | 8.21 |
Investment Securities: (1) |  |  |  |  |  |  |  |  |  |  |
Taxable | 1,620,005 |  |  | 16,638 |  |  | 2.05 |  |  | 1,785,903 |  |  | 17,799 |  |  | 1.99 |
Tax-exempt (2) | 2,044,489 |  |  | 31,687 |  |  | 3.10 |  |  | 2,243,286 |  |  | 34,461 |  |  | 3.07 |
Total Investment Securities | 3,664,494 |  |  | 48,325 |  |  | 2.64 |  |  | 4,029,189 |  |  | 52,260 |  |  | 2.59 |
Loans held for sale | 23,190 |  |  | 708 |  |  | 6.11 |  |  | 25,184 |  |  | 759 |  |  | 6.03 |
Loans: (3) |  |  |  |  |  |  |  |  |  |  |
Commercial | 8,889,119 |  |  | 301,880 |  |  | 6.79 |  |  | 8,644,927 |  |  | 320,057 |  |  | 7.40 |
Real estate mortgage | 2,195,988 |  |  | 49,508 |  |  | 4.51 |  |  | 2,140,769 |  |  | 46,156 |  |  | 4.31 |
HELOC and installment | 831,904 |  |  | 30,805 |  |  | 7.41 |  |  | 822,616 |  |  | 32,464 |  |  | 7.89 |
Tax-exempt (2) | 1,137,087 |  |  | 27,009 |  |  | 4.75 |  |  | 915,302 |  |  | 21,038 |  |  | 4.60 |
Total Loans | 13,077,288 |  |  | 409,910 |  |  | 6.27 |  |  | 12,548,798 |  |  | 420,474 |  |  | 6.70 |
Total Earning Assets | 17,060,278 |  |  | 464,579 |  |  | 5.45 | % |  | 17,068,917 |  |  | 483,936 |  |  | 5.67 | %
Total Non-Earning Assets | 1,365,445 |  |  |  |  |  |  | 1,312,423 |  |  |  |  |
TOTAL ASSETS | $ | 18,425,723 |  |  |  |  |  |  | $ | 18,381,340 |  |  |  |  |
LIABILITIES |  |  |  |  |  |  |  |  |  |  |
Interest-Bearing deposits: |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits | $ | 5,533,858 |  |  | $ | 69,909 |  |  | 2.53 | % |  | $ | 5,503,185 |  |  | $ | 80,484 |  |  | 2.92 | %
Money market deposits | 3,526,461 |  |  | 54,666 |  |  | 3.10 |  |  | 3,040,938 |  |  | 54,613 |  |  | 3.59 |
Savings deposits | 1,291,133 |  |  | 4,958 |  |  | 0.77 |  |  | 1,534,305 |  |  | 7,277 |  |  | 0.95 |
Certificates and other time deposits | 1,975,923 |  |  | 35,255 |  |  | 3.57 |  |  | 2,421,413 |  |  | 55,062 |  |  | 4.55 |
Total Interest-Bearing Deposits | 12,327,375 |  |  | 164,788 |  |  | 2.67 |  |  | 12,499,841 |  |  | 197,436 |  |  | 3.16 |
Borrowings | 1,256,688 |  |  | 24,181 |  |  | 3.85 |  |  | 948,866 |  |  | 19,211 |  |  | 4.05 |
Total Interest-Bearing Liabilities | 13,584,063 |  |  | 188,969 |  |  | 2.78 |  |  | 13,448,707 |  |  | 216,647 |  |  | 3.22 |
Noninterest-bearing deposits | 2,198,939 |  |  |  |  |  |  | 2,388,695 |  |  |  |  |
Other liabilities | 302,281 |  |  |  |  |  |  | 321,188 |  |  |  |  |
Total Liabilities | 16,085,283 |  |  |  |  |  |  | 16,158,590 |  |  |  |  |
STOCKHOLDERS' EQUITY | 2,340,440 |  |  |  |  |  |  | 2,222,750 |  |  |  |  |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 18,425,723 |  |  |  |  |  |  | $ | 18,381,340 |  |  |  |  |
Net Interest Income (FTE) |  |  | $ | 275,610 |  |  |  |  |  |  | $ | 267,289 |  |  |
Net Interest Spread (FTE) (4) |  |  |  |  | 2.67 | % |  |  |  |  |  | 2.45 | %
Net Interest Margin (FTE): |  |  |  |  |  |  |  |  |  |  |
Interest Income (FTE) / Average Earning Assets |  |  |  |  | 5.45 | % |  |  |  |  |  | 5.67 | %
Interest Expense / Average Earning Assets |  |  |  |  | 2.22 | % |  |  |  |  |  | 2.54 | %
Net Interest Margin (FTE) (5) |  |  |  |  | 3.23 | % |  |  |  |  |  | 3.13 | %
(1) Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments. Annualized amounts are computed using a 30/360 day basis.
(2) Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2025 and 2024. These totals equal $12,326 and $11,655 for the six months ended June 30, 2025 and 2024, respectively.
(3) Non accruing loans have been included in the average balances. |  |  |  |  |  |  |  |  |  |  |
(4) Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.
(5) Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.

ADJUSTED NET INCOME AND DILUTED EARNINGS PER COMMON SHARE - NON-GAAP
(Dollars In Thousands, Except Per Share Amounts) | Three Months Ended |  | Six Months Ended
| June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30, |  | June 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024 |  | 2025 |  | 2024
Net Income Available to Common Stockholders - GAAP | $ | 56,363 |  |  | $ | 54,870 |  |  | $ | 63,880 |  |  | $ | 48,719 |  |  | $ | 39,456 |  |  | $ | 111,233 |  |  | $ | 86,928 |
Adjustments: |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized losses on sales of available for sale securities | 1 |  |  | 7 |  |  | 11,592 |  |  | 9,114 |  |  | 49 |  |  | 8 |  |  | 51 |
Gain on branch sale | — |  |  | — |  |  | (19,983) |  |  | — |  |  | — |  |  | — |  |  | — |
Non-core expenses 1,2 | — |  |  | — |  |  | 762 |  |  | — |  |  | — |  |  | — |  |  | 3,481 |
Tax on adjustments | — |  |  | (2) |  |  | 1,851 |  |  | (2,220) |  |  | (12) |  |  | (2) |  |  | (860) |
Adjusted Net Income Available to Common Stockholders - Non-GAAP | $ | 56,364 |  |  | $ | 54,875 |  |  | $ | 58,102 |  |  | $ | 55,613 |  |  | $ | 39,493 |  |  | $ | 111,239 |  |  | $ | 89,600 |
Average Diluted Common Shares Outstanding (in thousands) | 57,773 |  |  | 58,242 |  |  | 58,247 |  |  | 58,289 |  |  | 58,328 |  |  | 58,005 |  |  | 58,800 |
Diluted Earnings Per Common Share - GAAP | $ | 0.98 |  |  | $ | 0.94 |  |  | $ | 1.10 |  |  | $ | 0.84 |  |  | $ | 0.68 |  |  | $ | 1.92 |  |  | $ | 1.48 |
Adjustments: |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized losses on sales of available for sale securities | — |  |  | — |  |  | 0.20 |  |  | 0.15 |  |  | — |  |  | — |  |  | — |
Gain on branch sale | — |  |  | — |  |  | (0.34) |  |  | — |  |  | — |  |  | — |  |  | — |
Non-core expenses 1,2 | — |  |  | — |  |  | 0.01 |  |  | — |  |  | — |  |  | — |  |  | 0.06 |
Tax on adjustments | — |  |  | — |  |  | 0.03 |  |  | (0.04) |  |  | — |  |  | — |  |  | (0.01) |
Adjusted Diluted Earnings Per Common Share - Non-GAAP | $ | 0.98 |  |  | $ | 0.94 |  |  | $ | 1.00 |  |  | $ | 0.95 |  |  | $ | 0.68 |  |  | $ | 1.92 |  |  | $ | 1.53 |

1 - Non-core expenses in the Three Months Ended December 31, 2024 included $0.8 million of costs directly related to the branch sale.
2 - Non-core expenses in the Six Months Ended June 30, 2024 included $2.4 million from duplicative online banking conversion costs and $1.1 million from the FDIC special assessment.

NET INTEREST MARGIN ("NIM"), ADJUSTED |  |  |  |  |  |  |  |
(Dollars in Thousands) |  |  |  |  |  |  |  |
| Three Months Ended |  | Six Months Ended
| June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30, |  | June 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024 |  | 2025 |  | 2024
Net Interest Income (GAAP) | $ | 133,014 |  |  | $ | 130,270 |  |  | $ | 134,370 |  |  | $ | 131,110 |  |  | $ | 128,571 |  |  | $ | 263,284 |  |  | $ | 255,634 |
Fully Taxable Equivalent ("FTE") Adjustment | 6,199 |  |  | 6,127 |  |  | 5,788 |  |  | 5,883 |  |  | 5,859 |  |  | 12,326 |  |  | 11,655 |
Net Interest Income (FTE) (non-GAAP) | $ | 139,213 |  |  | $ | 136,397 |  |  | $ | 140,158 |  |  | $ | 136,993 |  |  | $ | 134,430 |  |  | $ | 275,610 |  |  | $ | 267,289 |
Average Earning Assets (GAAP) | $ | 17,158,984 |  |  | $ | 16,960,475 |  |  | $ | 17,089,198 |  |  | $ | 16,990,358 |  |  | $ | 17,013,984 |  |  | $ | 17,060,278 |  |  | $ | 17,068,917 |
Net Interest Margin (GAAP) | 3.10 | % |  | 3.07 | % |  | 3.15 | % |  | 3.09 | % |  | 3.02 | % |  | 3.09 | % |  | 3.00 | %
FTE Adjustment | 0.15 | % |  | 0.15 | % |  | 0.13 | % |  | 0.14 | % |  | 0.14 | % |  | 0.14 | % |  | 0.13 | %
Net Interest Margin (FTE) (non-GAAP) | 3.25 | % |  | 3.22 | % |  | 3.28 | % |  | 3.23 | % |  | 3.16 | % |  | 3.23 | % |  | 3.13 | %

RETURN ON TANGIBLE COMMON EQUITY - NON-GAAP
(Dollars In Thousands) | Three Months Ended |  | Six Months Ended
| June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30, |  | June 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024 |  | 2025 |  | 2024
Total Average Stockholders' Equity (GAAP) | $ | 2,340,010 |  |  | $ | 2,340,874 |  |  | $ | 2,312,270 |  |  | $ | 2,251,547 |  |  | $ | 2,203,361 |  |  | $ | 2,340,440 |  |  | $ | 2,222,750 |
Less: Average Preferred Stock | (25,125) |  |  | (25,125) |  |  | (25,125) |  |  | (25,125) |  |  | (25,125) |  |  | (25,125) |  |  | (25,125) |
Less: Average Intangible Assets, Net of Tax | (725,813) |  |  | (726,917) |  |  | (728,218) |  |  | (729,581) |  |  | (730,980) |  |  | (726,362) |  |  | (731,706) |
Average Tangible Common Equity, Net of Tax (Non-GAAP) | $ | 1,589,072 |  |  | $ | 1,588,832 |  |  | $ | 1,558,927 |  |  | $ | 1,496,841 |  |  | $ | 1,447,256 |  |  | $ | 1,588,953 |  |  | $ | 1,465,919 |
Net Income Available to Common Stockholders (GAAP) | $ | 56,363 |  |  | $ | 54,870 |  |  | $ | 63,880 |  |  | $ | 48,719 |  |  | $ | 39,456 |  |  | $ | 111,233 |  |  | $ | 86,928 |
Plus: Intangible Asset Amortization, Net of Tax | 1,188 |  |  | 1,206 |  |  | 1,399 |  |  | 1,399 |  |  | 1,399 |  |  | 2,394 |  |  | 2,945 |
Tangible Net Income (Non-GAAP) | $ | 57,551 |  |  | $ | 56,076 |  |  | $ | 65,279 |  |  | $ | 50,118 |  |  | $ | 40,855 |  |  | $ | 113,627 |  |  | $ | 89,873 |
Return on Tangible Common Equity (Non-GAAP) | 14.49 | % |  | 14.12 | % |  | 16.75 | % |  | 13.39 | % |  | 11.29 | % |  | 14.30 | % |  | 12.26 | %

EFFICIENCY RATIO - NON-GAAP |  |  |  |  |  |  |  |  |  |  |  |  |
(Dollars In Thousands) | Three Months Ended |  | Six Months Ended
| June 30, |  | March 31, |  | December 31, |  | September 30, |  | June 30, |  | June 30, |  | June 30,
| 2025 |  | 2025 |  | 2024 |  | 2024 |  | 2024 |  | 2025 |  | 2024
Noninterest Expense (GAAP) | $ | 93,598 |  |  | $ | 92,902 |  |  | $ | 96,289 |  |  | $ | 94,629 |  |  | $ | 91,413 |  |  | $ | 186,500 |  |  | $ | 188,348 |
Less: Intangible Asset Amortization | (1,505) |  |  | (1,526) |  |  | (1,771) |  |  | (1,772) |  |  | (1,771) |  |  | (3,031) |  |  | (3,728) |
Less: OREO and Foreclosure Expenses | (29) |  |  | (600) |  |  | (227) |  |  | (942) |  |  | (373) |  |  | (629) |  |  | (907) |
Adjusted Noninterest Expense (Non-GAAP) | $ | 92,064 |  |  | $ | 90,776 |  |  | $ | 94,291 |  |  | $ | 91,915 |  |  | $ | 89,269 |  |  | $ | 182,840 |  |  | $ | 183,713 |
Net Interest Income (GAAP) | $ | 133,014 |  |  | $ | 130,270 |  |  | $ | 134,370 |  |  | $ | 131,110 |  |  | $ | 128,571 |  |  | $ | 263,284 |  |  | $ | 255,634 |
Plus: Fully Taxable Equivalent Adjustment | 6,199 |  |  | 6,127 |  |  | 5,788 |  |  | 5,883 |  |  | 5,859 |  |  | 12,326 |  |  | 11,655 |
Net Interest Income on a Fully Taxable Equivalent Basis (Non-GAAP) | $ | 139,213 |  |  | $ | 136,397 |  |  | $ | 140,158 |  |  | $ | 136,993 |  |  | $ | 134,430 |  |  | $ | 275,610 |  |  | $ | 267,289 |
Noninterest Income (GAAP) | $ | 31,303 |  |  | $ | 30,048 |  |  | $ | 42,742 |  |  | $ | 24,866 |  |  | $ | 31,334 |  |  | $ | 61,351 |  |  | $ | 57,972 |
Less: Investment Securities (Gains) Losses | 1 |  |  | 7 |  |  | 11,592 |  |  | 9,114 |  |  | 49 |  |  | 8 |  |  | 51 |
Adjusted Noninterest Income (Non-GAAP) | $ | 31,304 |  |  | $ | 30,055 |  |  | $ | 54,334 |  |  | $ | 33,980 |  |  | $ | 31,383 |  |  | $ | 61,359 |  |  | $ | 58,023 |
Adjusted Revenue (Non-GAAP) | $ | 170,517 |  |  | $ | 166,452 |  |  | $ | 194,492 |  |  | $ | 170,973 |  |  | $ | 165,813 |  |  | $ | 336,969 |  |  | $ | 325,312 |
Efficiency Ratio (Non-GAAP) | 53.99 | % |  | 54.54 | % |  | 48.48 | % |  | 53.76 | % |  | 53.84 | % |  | 54.26 | % |  | 56.47 | %
Adjusted Noninterest Expense (Non-GAAP) | $ | 92,064 |  |  | $ | 90,776 |  |  | $ | 94,291 |  |  | $ | 91,915 |  |  | $ | 89,269 |  |  | $ | 182,840 |  |  | $ | 183,713 |
Less: Non-core Expenses 1,2 | — |  |  | — |  |  | (762) |  |  | — |  |  | — |  |  | — |  |  | (3,481) |
Adjusted Noninterest Expense Excluding Non-core Expenses (Non-GAAP) | $ | 92,064 |  |  | $ | 90,776 |  |  | $ | 93,529 |  |  | $ | 91,915 |  |  | $ | 89,269 |  |  | $ | 182,840 |  |  | $ | 180,232 |
Adjusted Revenue (Non-GAAP) | $ | 170,517 |  |  | $ | 166,452 |  |  | $ | 194,492 |  |  | $ | 170,973 |  |  | $ | 165,813 |  |  | $ | 336,969 |  |  | $ | 325,312 |
Less: Gain on Branch Sale | — |  |  | — |  |  | (19,983) |  |  | — |  |  | — |  |  | — |  |  | — |
Adjusted Revenue Excluding Gain on Branch Sale (Non-GAAP) | $ | 170,517 |  |  | $ | 166,452 |  |  | $ | 174,509 |  |  | $ | 170,973 |  |  | $ | 165,813 |  |  | $ | 336,969 |  |  | $ | 325,312 |
Adjusted Efficiency Ratio (Non-GAAP) | 53.99 | % |  | 54.54 | % |  | 53.60 | % |  | 53.76 | % |  | 53.84 | % |  | 54.26 | % |  | 55.40 | %

1 - Non-core expenses in the Three Months Ended December 31, 2024 included $0.8 million of costs directly related to the branch sale.
2 - Non-core expenses in the Six Months Ended June 30, 2024 included $2.4 million from duplicative online banking conversion costs and $1.1 million from the FDIC special assessment.