Independent Bank Corp. Reports First Quarter Net Income of $79.9 Million

Published: 2026-04-16 16:16:04 ET INDB

Published on 04/16/2026 at 04:16 pm EDT

Independent Bank Corp. (Nasdaq Global Select Market: INDB), parent of Rockland Trust Company, today announced 2026 first quarter net income of $79.9 million, or $1.63 per diluted share, as compared to 2025 fourth quarter net income of $75.3 million, or $1.52 per diluted share. Excluding merger-related costs associated with the Company’s third quarter 2025 acquisition of Enterprise Bancorp, Inc. (“Enterprise”) and its subsidiary, Enterprise Bank, and their related tax effects, operating net income was $82.1 million, or $1.68 per diluted share for the first quarter of 2026, compared to operating net income of $84.4 million, or $1.70 per diluted share for the fourth quarter of 2025(1).

CEO STATEMENT

“Our first quarter results represent another step forward in driving improved profitability while remaining disciplined in our strategies during these uncertain times,” said Jeffrey Tengel, the Chief Executive Officer of Independent Bank Corp. and Rockland Trust Company. “We are prioritizing our long-term relationship banking model while prudently investing in our future and returning capital to our shareholders.”

FINANCIAL HIGHLIGHTS

BALANCE SHEET

Total assets of $24.8 billion at March 31, 2026 decreased $129.3 million, or 0.5%, compared to the prior quarter, driven primarily by decreased loan and cash balances.

Total loans of $18.4 billion at March 31, 2026 decreased $78.3 million, or 0.4%, compared to the prior quarter:

Total deposits decreased by $29.3 million, or 0.1%, to $20.1 billion at March 31, 2026, as compared to the prior quarter:

Total period end borrowings decreased by $49.6 million, or 6.0%, during the first quarter of 2026, reflecting approximately $100 million in net paydowns on Federal Home Loan Bank borrowings, partially offset by $50 million advanced on a working capital line of credit.

The Company’s total securities portfolio of $3.4 billion increased by $62.4 million, or 1.9% (7.6% annualized), from the prior quarter:

Stockholders’ equity at March 31, 2026 decreased $23.7 million, or 0.7%, compared to December 31, 2025, as strong earnings were offset by the impact of share repurchases, dividends, and unrealized losses on available for sale securities recognized in other comprehensive income during the quarter:

NET INTEREST INCOME

Net interest income of $212.5 million for the first quarter of 2026 was flat compared to the prior quarter:

NONINTEREST INCOME

Noninterest income of $40.3 million for the first quarter of 2026 represented a decrease of $1.2 million, or 2.9%, as compared to the prior quarter. Significant changes in noninterest income for the first quarter of 2026 compared to the prior quarter included the following:

NONINTEREST EXPENSE

Noninterest expense of $142.9 million for the first quarter of 2026 represented a decrease of $11.5 million, or 7.4%, as compared to the prior quarter. Significant changes in noninterest expense for the first quarter of 2026 compared to the prior quarter included the following:

TAX RATE

The Company’s quarterly effective tax rate increased to 23.38% for the first quarter of 2026 from 20.54% for the prior quarter, due to one-time discrete adjustments combined with revised estimates based on full year results in the prior quarter.

ASSET QUALITY

During the first quarter, the Company’s key asset quality activity and metrics were as follows:

(1)

Represents a non-GAAP measure. See Appendices A through C for reconciliation of the corresponding GAAP measures.

CONFERENCE CALL INFORMATION

Jeffrey Tengel, Chief Executive Officer, and Mark Ruggiero, Chief Financial Officer and Executive Vice President of Consumer Lending, will host a conference call to discuss first quarter earnings at 10:00 a.m. Eastern Time on Friday, April 17, 2026.

Participants may join the webcast by registering prior to the call via this link: https://events.q4inc.com/attendee/279877279. A replay of the webcast will be made available on the Company’s website at https://indb.rocklandtrust.com by selecting First Quarter 2026 Earnings Call. The webcast replay will be available until April 17, 2027.

ABOUT INDEPENDENT BANK CORP.

Independent Bank Corp. (Nasdaq Global Select Market: INDB) is the holding company for Rockland Trust Company, a full-service commercial bank headquartered in Massachusetts. With retail branches in Eastern Massachusetts, Worcester County, and Southern New Hampshire, as well as commercial banking and investment management offices in Massachusetts, New Hampshire, and Rhode Island, Rockland Trust offers a wide range of banking, investment, and insurance services to individuals, families, and businesses. Rockland Trust also offers a full suite of mobile, online, and telephone banking services. Rockland Trust is an FDIC member and an Equal Housing Lender.

This press release contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations and business of the Company. These statements may be identified by such forward-looking terminology as “expect,” “achieve,” “plan,” “believe,” “future,” “positioned,” “continued,” “will,” “would,” “potential,” or similar statements or variations of such terms. Actual results may differ from those contemplated by these forward-looking statements.

Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, but are not limited to:

The Company cautions readers not to place undue reliance on any forward-looking statements as the Company’s business and its forward-looking statements involve substantial known and unknown risks and uncertainties described above and in the Company’s most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q (“Risk Factors”). Except as required by law, the Company disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise. Any public statements or disclosures by the Company following this release which modify or impact any of the forward-looking statements contained in this release will be deemed to modify or supersede such statements in this release. In addition to the information set forth in this press release, you should carefully consider the Risk Factors.

This press release and the appendices attached to it contain financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). This information may include operating net income and operating earnings per share (“EPS”), operating return on average assets, operating return on average common equity, operating return on average tangible common equity, adjusted net interest margin (“adjusted margin”), tangible book value per share and the tangible common equity ratio.

Operating net income, operating EPS, operating return on average assets, and operating return on average common equity exclude items that management believes are unrelated to the Company’s core banking business such as merger and acquisition expenses, and other items, if applicable. Management uses operating net income and related ratios and operating EPS to measure the strength of the Company’s core banking business and to identify trends that may to some extent be obscured by such items. Management reviews its adjusted margin to determine any items that may impact the net interest margin that may be one-time in nature or not reflective of its core operating environment, such as significant purchase accounting adjustments or other adjustments such as nonaccrual interest reversals/recoveries and prepayment penalties. Management believes that adjusting for these items to arrive at an adjusted margin provides additional insight into the operating environment and how management decisions impact the net interest margin.

Management also supplements its evaluation of financial performance with analysis of tangible book value per share (which is computed by dividing stockholders’ equity less goodwill and identifiable intangible assets, or “tangible common equity,” by common shares outstanding), the tangible common equity ratio (which is computed by dividing tangible common equity by “tangible assets,” defined as total assets less goodwill and other intangibles), and return on average tangible common equity (which is computed by dividing net income by average tangible common equity). The Company has included information on tangible book value per share, the tangible common equity ratio and return on average tangible common equity because management believes that investors may find it useful to have access to the same analytical tools used by management. As a result of merger and acquisition activity, the Company has recognized goodwill and other intangible assets in conjunction with business combination accounting principles. Excluding the impact of goodwill and other intangibles in measuring asset and capital values for the ratios provided, along with other bank standard capital ratios, provides a framework to compare the capital adequacy of the Company to other companies in the financial services industry.

These non-GAAP measures should not be viewed as a substitute for operating results and other financial measures determined in accordance with GAAP. An item which management excludes when computing these non-GAAP measures can be of substantial importance to the Company’s results for any particular quarter or year. The Company’s non-GAAP performance measures, including operating net income, operating EPS, operating return on average assets, operating return on average common equity, adjusted margin, tangible book value per share and the tangible common equity ratio, are not necessarily comparable to non-GAAP performance measures which may be presented by other companies.

Category: Earnings Releases

INDEPENDENT BANK CORP. FINANCIAL SUMMARY

CONSOLIDATED BALANCE SHEETS

(Unaudited, dollars in thousands)

% Change

March 31 2026

December 31 2025

March 31 2025

Mar 2026 vs.

Dec 2025

Mar 2025

Assets

Cash and due from banks

223,291

229,770

214,616

(2.82

4.04

Interest-earning deposits with banks

505,687

542,132

502,228

(6.72

0.69

Securities

Trading

5,525

4,720

4,816

17.06

14.72

Equities

21,518

21,581

21,250

(0.29

1.26

Available for sale

2,088,365

2,004,247

1,283,767

4.20

62.67

Held to maturity

1,256,566

1,279,027

1,409,959

(1.76

(10.88

Total securities

3,371,974

3,309,575

2,719,792

1.89

23.98

Loans held for sale

16,758

35,909

8,524

(53.33

96.60

Loans

Commercial and industrial

4,651,453

4,611,789

3,315,081

0.86

40.31

Commercial real estate

8,181,340

8,275,408

6,735,974

(1.14

21.46

Commercial construction

1,403,613

1,399,193

796,162

0.32

76.30

Total commercial

14,236,406

14,286,390

10,847,217

(0.35

31.24

Residential real estate

2,842,144

2,873,443

2,465,731

(1.09

15.27

Home equity

1,307,746

1,297,662

1,143,966

0.78

14.32

Total consumer real estate

4,149,890

4,171,105

3,609,697

(0.51

14.97

Other consumer

39,182

46,282

35,055

(15.34

11.77

Total loans

18,425,478

18,503,777

14,491,969

(0.42

27.14

Less: allowance for credit losses

(190,560

)

(189,877

)

(144,092

)

0.36

32.25

Net loans

18,234,918

18,313,900

14,347,877

(0.43

27.09

Federal Home Loan Bank stock

17,752

21,835

25,804

(18.70

(31.20

Bank premises and equipment, net

217,695

218,190

190,007

(0.23

14.57

Goodwill

1,090,610

985,072

—

10.71

Other intangible assets

126,687

133,576

10,941

(5.16

1,057.91

Cash surrender value of life insurance policies

380,423

378,576

306,077

0.49

24.29

Other assets

597,785

638,823

577,271

(6.42

3.55

Total assets

24,783,580

24,912,896

19,888,209

(0.52

24.61

Liabilities and Stockholders’ Equity

Deposits

Noninterest-bearing demand deposits

5,633,079

5,600,955

4,409,878

0.57

27.74

Savings and interest checking

6,310,870

6,482,970

5,279,549

(2.65

19.53

Money market

4,898,267

4,774,645

3,277,078

2.59

49.47

Time certificates of deposit

3,255,294

3,268,220

2,709,512

(0.40

20.14

Total deposits

20,097,510

20,126,790

15,676,017

(0.15

28.21

Borrowings

Federal Home Loan Bank and other borrowings

316,734

416,549

500,506

(23.96

(36.72

Line of credit, net

99,969

49,953

—

100.13

100.00

Junior subordinated debentures, net

62,863

62,862

62,861

—

Subordinated debentures, net

296,690

296,483

296,507

0.07

0.06

Total borrowings

776,256

825,847

859,874

(6.00

(9.72

Total deposits and borrowings

20,873,766

20,952,637

16,535,891

(0.38

26.23

Other liabilities

367,773

394,531

318,926

(6.78

15.32

Total liabilities

21,241,539

21,347,168

16,854,817

(0.49

26.03

Stockholders’ equity

Common stock

483

490

424

(1.43

13.92

Additional paid in capital

2,272,910

2,335,879

1,911,162

(2.70

18.93

Retained earnings

1,317,946

1,269,113

1,192,008

3.85

10.57

Accumulated other comprehensive loss, net of tax

(49,298

)

(39,754

)

(70,202

)

24.01

(29.78

Total stockholders' equity

3,542,041

3,565,728

3,033,392

(0.66

16.77

Total liabilities and stockholders’ equity

24,783,580

24,912,896

19,888,209

(0.52

24.61

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited, dollars in thousands, except per share data)

Three Months Ended

% Change

March 31 2026

December 31 2025

March 31 2025

Mar 2026 vs.

Dec 2025

Mar 2025

Interest income

Interest on federal funds sold and short-term investments

3,657

6,690

1,438

(45.34

154.31

Interest and dividends on securities

25,374

24,924

15,297

1.81

65.88

Interest and fees on loans

260,982

265,582

195,093

(1.73

33.77

Interest on loans held for sale

252

339

(25.66

173.91

Total interest income

290,265

297,535

211,920

(2.44

36.97

Interest expense

Interest on deposits

66,935

74,378

59,436

(10.01

12.62

Interest on borrowings

10,871

10,671

6,979

1.87

55.77

Total interest expense

77,806

85,049

66,415

(8.52

17.15

Net interest income

212,459

212,486

145,505

(0.01

46.01

Provision for credit losses

5,500

4,750

15,000

15.79

(63.33

Net interest income after provision for credit losses

206,959

207,736

130,505

(0.37

58.58

Noninterest income

Deposit account fees

9,249

9,100

7,053

1.64

31.14

Interchange and ATM fees

5,018

5,381

4,622

(6.75

8.57

Investment management and advisory

14,165

13,793

11,220

2.70

26.25

Mortgage banking income

1,270

1,274

741

(0.31

71.39

Increase in cash surrender value of life insurance policies

2,712

2,702

2,065

0.37

31.33

Gain on life insurance benefits

346

315

—

9.84

100.00

Loan level derivative income

910

1,232

1,042

(26.14

(12.67

Other noninterest income

6,592

7,648

5,796

(13.81

13.73

Total noninterest income

40,262

41,445

32,539

(2.85

23.73

Noninterest expenses

Salaries and employee benefits

80,737

81,580

61,931

(1.03

30.37

Occupancy and equipment expenses

17,306

15,604

13,859

10.91

24.87

Data processing and facilities management

3,259

2,967

2,642

9.84

23.35

FDIC assessment

3,328

4,059

2,988

(18.01

11.38

Amortization of intangible assets

6,890

7,054

1,344

(2.32

412.65

Merger and acquisition expense

3,024

12,348

1,155

(75.51

161.82

Other noninterest expenses

28,374

30,758

21,959

(7.75

29.21

Total noninterest expenses

142,918

154,370

105,878

(7.42

34.98

Income before income taxes

104,303

94,811

57,166

10.01

82.46

Provision for income taxes

24,384

19,476

12,742

25.20

91.37

Net Income

79,919

75,335

44,424

6.08

79.90

Weighted average common shares (basic)

48,970,060

49,452,717

42,550,274

Common share equivalents

29,685

23,623

22,353

Weighted average common shares (diluted)

48,999,745

49,476,340

42,572,627

Basic earnings per share

1.63

1.52

1.04

7.24

56.73

Diluted earnings per share

1.63

1.52

1.04

7.24

56.73

Reconciliation of Net Income (GAAP) to Operating Net Income (Non-GAAP):

Net income

79,919

75,335

44,424

Noninterest expense components

Add - merger and acquisition expenses

3,024

12,348

1,155

Noncore increases to income before taxes

3,024

12,348

1,155

Net taxes associated with noncore items (1)

(830

)

(3,326

)

(325

)

Noncore increases to net income

2,194

9,022

830

Operating net income (Non-GAAP)

82,113

84,357

45,254

(2.66

81.45

Diluted earnings per share, on an operating basis (Non-GAAP)

1.68

1.70

1.06

(1.18

58.49

(1) The net taxes associated with noncore items is determined by assessing whether each noncore item is included or excluded from net taxable income and applying the Company’s combined marginal tax rate to only those items included in net taxable income.

Performance ratios

Net interest margin (FTE)

3.90

3.77

3.42

Return on average assets (calculated by dividing annualized net income by average assets) (GAAP)

1.31

1.20

0.93

Return on average assets on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average assets)

1.35

1.34

0.94

Return on average common equity (calculated by dividing annualized net income by average common equity) (GAAP)

9.02

8.38

5.94

Return on average common equity on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average common equity)

9.27

9.38

6.05

Return on average tangible common equity (Non-GAAP) (calculated by dividing annualized net income by average tangible common equity)

13.67

12.77

8.85

Return on average tangible common equity on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average tangible common equity)

14.05

14.30

9.01

Noninterest income as a % of total revenue (GAAP) (calculated by dividing total noninterest income by net interest income plus total noninterest income)

15.93

16.32

18.28

Noninterest income as a % of total revenue on an operating basis (Non-GAAP) (calculated by dividing total noninterest income on an operating basis by net interest income plus total noninterest income)

15.93

16.32

18.28

Efficiency ratio (GAAP) (calculated by dividing total noninterest expense by total revenue)

56.55

60.79

59.47

Efficiency ratio on an operating basis (Non-GAAP) (calculated by dividing total noninterest expense on an operating basis by total revenue)

55.36

55.93

58.82

ASSET QUALITY

(Unaudited, dollars in thousands)

Nonperforming Assets At

March 31 2026

December 31 2025

March 31 2025

Nonperforming loans

Commercial & industrial loans

9,160

9,839

Commercial real estate loans

50,515

65,840

Commercial construction loans

698

3,693

—

Residential real estate loans

15,593

15,043

10,966

Home equity

7,011

5,102

2,840

Other consumer

Total nonperforming loans

96,643

83,557

89,493

Other real estate owned

2,100

—

Total nonperforming assets

98,743

85,657

89,493

Nonperforming loans/gross loans

0.52

0.45

0.62

Nonperforming assets/total assets

0.40

0.34

0.45

Allowance for credit losses/nonperforming loans

197.18

227.24

161.01

Allowance for credit losses/total loans

1.03

0.99

Delinquent loans/total loans

0.41

0.32

0.47

Nonperforming Assets Reconciliation for the Three Months Ended

March 31 2026

December 31 2025

March 31 2025

Nonperforming assets beginning balance

85,657

88,697

101,529

New to nonperforming

24,714

29,374

41,777

Loans charged-off

(5,776

)

(5,768

)

(41,400

)

Loans paid-off

(5,272

)

(20,098

)

(10,932

)

Loans restored to performing status

(608

)

(4,350

)

(1,356

)

Other

(2,198

)

(125

)

Nonperforming assets ending balance

98,743

85,657

89,493

Net Charge-Offs (Recoveries)

Three Months Ended

March 31 2026

December 31 2025

March 31 2025

Net charge-offs (recoveries)

Commercial and industrial loans

311

4,555

152

Commercial real estate loans

4,034

39,996

Home equity

(12

)

(15

)

Other consumer

484

781

666

Total net charge-offs

4,817

5,349

40,892

Net charge-offs to average loans (annualized)

0.11

0.12

1.14

BALANCE SHEET AND CAPITAL RATIOS

March 31 2026

December 31 2025

March 31 2025

Gross loans/total deposits

91.68

91.94

92.45

Common equity tier 1 capital ratio (1)

12.87

12.86

14.52

Tier 1 leverage capital ratio (1)

10.23

10.15

11.43

Common equity to assets ratio GAAP

14.29

14.31

15.25

Tangible common equity to tangible assets ratio (2)

9.86

9.88

10.78

Book value per share GAAP

72.92

72.41

71.19

Tangible book value per share (2)

47.86

47.55

47.81

(1) Estimated number for March 31, 2026.

(2) See Appendix A for detailed reconciliation from GAAP to Non-GAAP ratios.

INDEPENDENT BANK CORP. SUPPLEMENTAL FINANCIAL INFORMATION

(Unaudited, dollars in thousands)

Three Months Ended

March 31, 2026

December 31, 2025

March 31, 2025

Interest

Average

Earned/

Yield/

Average

Earned/

Yield/

Average

Earned/

Yield/

Balance

Paid (1)

Rate

Balance

Paid (1)

Rate

Balance

Paid (1)

Rate

Interest-earning assets

Interest-earning deposits with banks, federal funds sold, and short term investments

415,532

3,657

3.57

673,878

6,690

3.94

141,410

1,438

4.12

Securities

Securities - trading

5,108

—

4,644

—

4,513

—

Securities - taxable investments

3,325,253

25,260

3.08

3,323,714

24,790

2.96

2,747,039

15,296

2.26

Securities - nontaxable investments (1)

11,634

144

5.02

14,047

169

4.77

195

2.08

Total securities

3,341,995

25,404

3.08

3,342,405

24,959

2.96

2,751,747

15,297

2.25

Loans held for sale

19,495

252

5.24

24,680

339

5.45

6,396

5.83

Loans

Commercial and industrial (1)

4,605,582

70,426

6.20

4,556,277

70,467

6.14

3,250,960

50,895

6.35

Commercial real estate (1)

8,240,241

112,466

5.54

8,263,339

115,746

5.56

6,804,605

86,086

5.13

Commercial construction (1)

1,404,278

23,926

6.91

1,397,668

24,618

6.99

785,312

13,167

6.80

Total commercial

14,250,101

206,818

5.89

14,217,284

210,831

5.88

10,840,877

150,147

5.62

Residential real estate

2,856,572

35,503

5.04

2,895,216

34,847

4.78

2,464,464

27,716

4.56

Home equity

1,300,202

19,429

6.06

1,288,744

20,498

6.31

1,140,190

17,774

6.32

Total consumer real estate

4,156,774

54,932

5.36

4,183,960

55,345

5.25

3,604,654

45,490

5.12

Other consumer

43,789

664

6.15

41,897

741

7.02

38,618

593

6.23

Total loans

18,450,664

262,414

5.77

18,443,141

266,917

5.74

14,484,149

196,230

5.49

Total interest-earning assets

22,227,686

291,727

5.32

22,484,104

298,905

5.27

17,383,702

213,057

4.97

Cash and due from banks

228,015

228,939

197,536

Federal Home Loan Bank stock

20,474

21,835

27,646

Other assets

2,226,216

2,230,165

1,852,073

Total assets

24,702,391

24,965,043

19,460,957

Interest-bearing liabilities

Deposits

Savings and interest checking accounts (4)

6,333,509

15,883

1.02

6,355,726

18,078

1.13

5,222,353

16,162

1.26

Money market (4)

4,862,134

24,672

2.06

4,829,717

26,989

2.22

3,178,879

17,710

2.26

Time deposits

3,269,232

26,380

3.27

3,336,280

29,311

3.49

2,723,975

25,564

3.81

Total interest-bearing deposits

14,464,875

66,935

1.88

14,521,723

74,378

2.03

11,125,207

59,436

2.17

Borrowings

Federal Home Loan Bank and other borrowings

380,062

3,596

3.84

416,368

3,973

3.79

547,713

5,566

4.12

Line of Credit

54,404

755

5.63

7,559

116

6.09

—

Junior subordinated debentures

62,863

874

5.64

62,862

936

5.91

62,860

974

6.28

Subordinated debentures

296,573

5,646

7.72

296,372

5,646

7.56

23,070

439

7.72

Total borrowings

793,902

10,871

5.55

783,161

10,671

5.41

633,643

6,979

4.47

Total interest-bearing liabilities

15,258,777

77,806

2.07

15,304,884

85,049

2.20

11,758,850

66,415

2.29

Noninterest-bearing demand deposits

5,498,339

5,751,348

4,345,631

Other liabilities

353,886

340,775

323,728

Total liabilities

21,111,002

21,397,007

16,428,209

Stockholders’ equity

3,591,389

3,568,036

3,032,748

Total liabilities and stockholders’ equity

24,702,391

24,965,043

19,460,957

Net interest income

213,921

213,856

146,642

Interest rate spread (2)

3.25

3.07

2.68

Net interest margin (3)

3.90

3.77

3.42

Supplemental Information

Total deposits, including demand deposits

19,963,214

66,935

20,273,071

74,378

15,470,838

59,436

Cost of total deposits

1.36

1.46

1.56

Total funding liabilities, including demand deposits

20,757,116

77,806

21,056,232

85,049

16,104,481

66,415

Cost of total funding liabilities

1.52

1.60

1.67

(1) The total amount of adjustment to present interest income and yield on a fully tax-equivalent basis was $1.5 million, $1.4 million, and $1.1 million for the three months ended March 31, 2026, December 31, 2025, and March 31, 2025, respectively, determined by applying the Company’s marginal tax rates in effect during each respective quarter.

(2) Interest rate spread represents the difference between weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.

(3) Net interest margin represents annualized net interest income as a percentage of average interest-earning assets.

(4) Interest paid amounts within the savings and interest checking and money market categories for the three months ended December 31, 2025 vary from amounts previously reported in the Company’s fourth quarter 2025 earnings release. These reported amounts reflect a reclassification of approximately $3.0 million in interest paid from the money market category to the savings and interest checking category. The corresponding yields presented above have also been revised to reflect this reclassification.

APPENDIX A: NON-GAAP Reconciliation of Balance Sheet Metrics (Unaudited, dollars in thousands, except per share data)

The following table summarizes the calculation of the Company’s tangible common equity to tangible assets ratio and tangible book value per share, at the dates indicated:

March 31 2026

December 31 2025

March 31 2025

Tangible common equity

(Dollars in thousands, except per share data)

Stockholders’ equity (GAAP)

3,542,041

3,565,728

3,033,392

(a)

Less: Goodwill and other intangibles

1,217,297

1,224,186

996,013

Tangible common equity (Non-GAAP)

2,324,744

2,341,542

2,037,379

(b)

Tangible assets

Assets (GAAP)

24,783,580

24,912,896

19,888,209

(c)

Less: Goodwill and other intangibles

1,217,297

1,224,186

996,013

Tangible assets (Non-GAAP)

23,566,283

23,688,710

18,892,196

(d)

Common Shares

48,572,237

49,243,813

42,610,271

(e)

Common equity to assets ratio (GAAP)

14.29

14.31

15.25

(a/c)

Tangible common equity to tangible assets ratio (Non-GAAP)

9.86

9.88

10.78

(b/d)

Book value per share (GAAP)

72.92

72.41

71.19

(a/e)

Tangible book value per share (Non-GAAP)

47.86

47.55

47.81

(b/e)

APPENDIX B: Non-GAAP Reconciliation of Earnings Metrics

The following table summarizes the impact of noncore items on the Company’s calculation of noninterest income and noninterest expense, the impact of noncore items on noninterest income as a percentage of total revenue and the efficiency ratio, as well as the average tangible common equity used to calculate return on average tangible common equity and operating return on tangible common equity for the periods indicated, and the average assets used to calculate return on average assets and operating return on average assets:

(Unaudited, dollars in thousands)

Three Months Ended

March 31 2026

December 31 2025

March 31 2025

Net interest income (GAAP)

212,459

212,486

145,505

Noninterest income (GAAP)

40,262

41,445

32,539

Total revenue (GAAP)

252,721

253,931

178,044

Noninterest expense (GAAP)

142,918

154,370

105,878

Less:

Merger and acquisition expense

3,024

12,348

1,155

Noninterest expense on an operating basis (Non-GAAP)

139,894

142,022

104,723

Average assets

24,702,391

24,965,043

19,460,957

Average common equity (GAAP)

3,591,389

3,568,036

3,032,748

Less: Average goodwill and other intangibles

1,221,201

1,227,889

996,762

Average tangible common equity (Non-GAAP)

2,370,188

2,340,147

2,035,986

Reconciliation of Net Income (GAAP) to Operating Net Income (Non-GAAP)

Net income (GAAP)

79,919

75,335

44,424

Noninterest expense components

Add - merger and acquisition expenses

3,024

12,348

1,155

Noncore increases to income before taxes

3,024

12,348

1,155

Net taxes associated with noncore items (1)

(830

)

(3,326

)

(325

)

Noncore increases to net income

2,194

9,022

830

Operating net income (Non-GAAP)

82,113

84,357

45,254

Ratios

Return on average assets (GAAP) (calculated by dividing annualized net income by average assets)

1.31

1.20

0.93

Return on average assets on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average assets)

1.35

1.34

0.94

Return on average common equity (GAAP) (calculated by dividing annualized net income by average common equity)

9.02

8.38

5.94

Return on average common equity on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average common equity)

9.27

9.38

6.05

Return on average tangible common equity (Non-GAAP) (calculated by dividing annualized net income by average tangible common equity)

13.67

12.77

8.85

Return on average tangible common equity on an operating basis (Non-GAAP) (calculated by dividing annualized operating net income by average tangible common equity)

14.05

14.30

9.01

Noninterest income as a % of total revenue (GAAP) (calculated by dividing total noninterest income by total revenue)

15.93

16.32

18.28

Noninterest income as a % of total revenue on an operating basis (Non-GAAP) (calculated by dividing total noninterest income on an operating basis by total revenue)

15.93

16.32

18.28

Efficiency ratio (GAAP) (calculated by dividing total noninterest expense by total revenue)

56.55

60.79

59.47

Efficiency ratio on an operating basis (Non-GAAP) (calculated by dividing total noninterest expense on an operating basis by total revenue)

55.36

55.93

58.82

APPENDIX C: Net Interest Margin Analysis & Non-GAAP Reconciliation of Adjusted Margin

(Unaudited, dollars in thousands)

Three Months Ended

March 31, 2026

December 31, 2025

Volume

Interest

Margin Impact

Volume

Interest

Margin Impact

Reported total interest earning assets

22,227,686

213,921

3.90

22,484,104

213,856

3.77

Acquisition fair value marks:

Loan accretion

(9,186

)

(0.17

(6,275

)

(0.11

Nonaccrual interest, net

(54

)

—

(1,117

)

(0.02

Other adjustments

(1,626

)

(667

)

(0.01

(1,842

)

(407

)

—

Adjusted margin (Non-GAAP)

22,226,060

204,014

3.72

22,482,262

206,057

3.64

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