MICHIGAN CITY, Ind, April 22, 2026 (GLOBE NEWSWIRE) -- (NASDAQ GS: HBNC) -- Horizon Bancorp, Inc. (“Horizon” or the “Company”), the parent company of Horizon Bank (the “Bank”), announced its unaudited financial results for the three months ended March 31, 2026.
“Horizon’s first quarter results demonstrate the consistency of our profitability profile and the strength of Horizon’s high quality community banking model. Annualized returns on average assets again exceeded 1.60% and the net interest margin continued to be durable at 4.29%. Notably, our strategic focus on core deposit gathering yielded significant results during the quarter, delivering 11% annualized growth, led by 23% annualized growth in non-interest-bearing balances", President and CEO, Thomas Prame stated. "We are encouraged by the stability and predictability we see in our financial performance, driving significant value for our shareholders, despite what has become a volatile macro-economic environment. Our 2026 outlook is unchanged, which should yield solid balance sheet growth coupled with consistent, top-tier profitability metrics. The commercial loan engine continues to produce disciplined, high-quality growth, funded by relationship-based deposits across our attractive footprint. Within the quarter, credit quality remained excellent, expenses were well managed and capital generation continues to be a strength. Most importantly, our long-term shareholder value proposition remained steadfast, aimed at delivering a durable profitability profile, disciplined organic growth and peer leading capital generation".
Net income for the three months ended March 31, 2026 was $26.2 million, or $0.51 per diluted share, compared to net income of $26.9 million, or $0.53, for the fourth quarter of 2025 and net income of $23.9 million, or $0.54 per diluted share, for the first quarter of 2025, which included the $7.0 million pre-tax gain on the sale of the mortgage warehouse business.
First Quarter 2026 Highlights
- Durability of top-tier performance metrics are reflective of the strong performance of Horizon’s community banking model. The Company generated a return on average assets was 1.62%, consistent with the fourth quarter of 2025, and a return on average tangible common equity of 19.02%.
- Net interest income of $62.2 million was up 19.1% compared with $52.3 million in the year ago period. The net interest margin, on a fully taxable equivalent ("FTE") basis1, remained strong at 4.29%. These results were consistent with the three months ended December 31, 2025, and significantly higher than the 3.04% reported in the comparable year ago period.
- Excellent growth in total deposits, up $146.9 million, or 11.3% annualized, highlighted by an increase of $60.8 million in non-interest-bearing deposits, or 22.8% annualized. Additionally, total interest-bearing deposit costs declined by another 7 basis points from the prior quarter. The strong quarter in deposits provides ample funding for loan growth in subsequent quarters, but did result in elevated interest-earning cash balances during the first quarter. The elevated cash balance dampened the Q1 2026 net interest margin by about 4 basis points.
- Commercial loans increased $34.2 million, or 4.0% annualized, while total loans were stable from year end 2025. Management maintained disciplined pricing on new mortgage originations, electing to not leverage the balance sheet into lower yielding residential mortgages in Q1. Lending activity exiting the quarter provides confidence in future loan growth expectations and new production spreads.
- Credit quality remained strong, with annualized net charge offs of 0.05% of average loans during the first quarter. Non-performing assets remain well within expected and historical ranges, with non-performing assets to total assets of 0.67%.
- Expenses for the first quarter were well managed at $40.7 million, reflecting a disciplined approach to the continuous review of staffing models and variable expenses.
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1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
2025
2025
2025
2025
Income statement: Net interest income$62,240 $63,476 $58,386 $55,355 $52,267 Provision for credit losses 391 1,630 (3,572) 2,462 1,376 Non-interest income (loss) 11,243 11,463 (295,334) 10,920 16,499 Non-interest expense 40,747 40,615 52,952 39,417 39,306 Income tax expense (benefit) 6,177 5,773 (64,338) 3,752 4,141 Net Income (Loss)$26,168 $26,921 $(221,990) $20,644 $23,943 Per share data: Basic earnings (loss) per share$0.51 $0.53 $(4.69) $0.47 $0.55 Diluted earnings (loss) per share 0.51 0.53 (4.69) 0.47 0.54 Cash dividends declared per common share 0.16 0.16 0.16 0.16 0.16 Book value per common share 13.69 13.50 12.96 18.06 17.72 Market value - high 18.68 18.47 16.88 15.88 17.76 Market value - low 15.57 15.04 15.01 12.92 15.00 Weighted average shares outstanding - Basic 50,987,426 50,975,693 47,311,642 43,794,490 43,777,109 Weighted average shares outstanding - Diluted 51,243,002 51,277,134 47,311,642 44,034,663 43,954,164 Common shares outstanding (end of period) 51,056,888 50,978,030 50,970,530 43,801,507 43,785,932 Key ratios: Return on average assets 1.62% 1.63% (12.07)% 1.09% 1.25%Return on average stockholders' equity 14.99 15.71 (120.37) 10.49 12.44 Total equity to total assets 10.65 10.69 9.84 10.34 10.18 Total loans to deposit ratio 90.15 92.62 87.41 87.52 85.21 Allowance for credit losses to HFI loans 1.05 1.05 1.04 1.09 1.07 Annualized net charge-offs of average total loans(1) 0.05 0.08 0.07 0.02 0.07 Efficiency ratio 55.45 54.20 (22.35) 59.47 57.16 Key metrics (Non-GAAP)(2) Net FTE interest margin 4.29% 4.29% 3.52% 3.23% 3.04%Return on average tangible common equity 19.02 20.66 (155.03) 13.24 15.79 Tangible common equity to tangible assets 8.39 8.38 7.60 8.37 8.19 Tangible book value per common share$10.52 $10.32 $9.76 $14.32 $13.96 (1)Average total loans includes loans held for investment and held for sale.(2)Non-GAAP financial metrics. See non-GAAP reconciliation included herein for the most directly comparable GAAP measures.
Income Statement Highlights
Net Interest Income
Net interest income was $62.2 million in the first quarter of 2026, compared to $63.5 million in the fourth quarter of 2025, driven by the continued strength of the Company's net FTE interest margin1, which remained consistent at 4.29% for the first quarter of 2026 and the fourth quarter of 2025. The margin's resilience is reflective of continued disciplined loan and deposit pricing, a favorable cash reinvestment profile and strong core deposit growth during the quarter.
Provision for Credit Losses
During the first quarter of 2026, the Company recorded a provision for credit losses of $0.4 million. This compares to a recorded provision for credit losses of $1.6 million during the fourth quarter of 2025, and $1.4 million during the first quarter of 2025. The decrease in the provision for credit losses during the first quarter of 2026 when compared with the fourth quarter of 2025 was primarily due to modest net loan growth and slight changes in the baseline economic outlook.
For the first quarter of 2026, net charge-offs were $0.6 million, or an annualized 0.05% of average loans outstanding, compared to net charge-offs of $1.0 million, or an annualized 0.08% of average loans outstanding for the fourth quarter of 2025, and net charge-offs of $0.9 million, or an annualized 0.07% of average loans outstanding, in the first quarter of 2025.
The Company’s allowance for credit losses as a percentage of period-end loans HFI was 1.05% at March 31, 2026, consistent with December 31, 2025, and down from 1.07% at March 31, 2025.
Non-Interest Income
For the Quarter EndedMarch 31,December 31,
September 30, June 30,
March 31,(Dollars in Thousands)2026
2025
2025
2025
2025
Non-interest (Loss) Income Service charges on deposit accounts$3,524 $3,341 $3,474 $3,208 $3,208 Wire transfer fees 63 66 71 69 71 Interchange fees 3,373 3,445 3,510 3,403 3,241 Fiduciary activities 1,556 1,560 1,363 1,251 1,326 Gain (loss) on sale of investment securities — 1 (299,132) — (407)Gain on sale of mortgage loans 1,090 1,296 1,208 1,219 1,076 Mortgage servicing income net of impairment 337 352 351 375 385 Increase in cash value of bank owned life insurance 333 360 379 346 335 Other income (loss) 967 1,042 (6,558) 1,049 7,264 Total non-interest (loss) income$11,243 $11,463 $(295,334) $10,920 $16,499
Total non-interest income was $11.2 million in the first quarter of 2026, compared to non-interest income of $11.5 million in the fourth quarter of 2025. The decrease in non-interest income of $0.2 million is primarily attributable to a decrease in gains on the sale of mortgage loans, due to reduced loan origination and sales volumes. The decrease was partially offset by an increase in seasonal service charges on deposit accounts of $0.2 million. All other components of non-interest income remained relatively stable quarter over quarter.
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1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
Non-Interest Expense
For the Quarter EndedMarch 31,December 31,
September 30,
June 30,
March 31,
(Dollars in Thousands)2026
2025
2025
2025
2025
Non-interest Expense Salaries and employee benefits$23,187 $21,895 $22,698 $22,731 $22,414 Net occupancy expenses 4,197 3,718 3,321 3,127 3,702 Data processing 3,353 3,128 2,933 2,951 2,872 Professional fees 929 1,083 808 735 826 Outside services and consultants 2,764 3,035 3,844 3,278 3,265 Loan expense 1,219 1,183 1,237 1,231 689 FDIC insurance expense 1,023 1,251 1,345 1,216 1,288 Core deposit intangible amortization 675 706 706 816 816 Merger related expenses — — — — 305 Prepayment penalties — — 12,680 — — Other losses 192 732 131 245 228 Other expense 3,208 3,884 3,249 3,087 2,901 Total non-interest expense$40,747 $40,615 $52,952 $39,417 $39,306
Total non-interest expense was $40.7 million in the first quarter of 2026, compared to $40.6 million in the fourth quarter of 2025. The slight increase was primarily driven by higher salaries and employee benefits of $1.3 million, largely reflecting increased benefit-related costs at the beginning of the year, and a $0.5 million seasonal increase in occupancy expense. These increases were partially offset by a $0.7 million reduction in other expenses, primarily due to lower marketing cost and decreased outside services and consulting expense. In addition, other losses declined by $0.5 million, as the prior quarter included the write-off of unamortized issuance costs related to the early redemption of the Company's subordinated notes due 2030. All other components of non-interest expense remained relatively stable quarter over quarter.
Income Taxes
Horizon recorded a net tax expense of $6.2 million for the first quarter of 2026, resulting in an effective tax rate of 19.1%, which is consistent with the Company's estimated annual effective tax rate.
Balance Sheet Highlights
Total assets increased by $127.6 million, or 2.0%, to $6.6 billion as of March 31, 2026, compared to $6.4 billion as of December 31, 2025. Asset growth during the period was primarily driven by an increase in interest earning deposits of $118.1 million, reflecting strong liquidity positioning, and a $6.9 million increase in investment securities. Total loans were $4.9 billion at March 31, 2026, an increase of $2.0 million from December 31, 2025. Net loan growth in the quarter was modest, but expressed solid origination volumes and disciplined pricing in commercial loans that was largely offset by runoff within the consumer and residential loan portfolios.
Total deposits increased by $146.9 million, or 2.8%, to $5.4 billion as of March 31, 2026 compared to December 31, 2025. Deposit growth was driven by a $61.3 million increase in time deposits, a $60.8 million increase in non-interest-bearing demand deposits, and a $52.9 million increase in savings and money market balances, reflecting continued success in core deposit gathering efforts. These increases were partially offset by a $28.1 million decrease in interest-bearing deposits, consistent with management's previously communicated strategy to de-emphasize higher-cost, transactional deposit relationships.
Overall, balance sheet growth during the quarter reflected a combination of steady asset growth, proactive liquidity management, and ongoing efforts to grow and optimize the deposit base. Management continues to focus on maintaining a strong funding position while supporting measured, relationship-driven loan growth aligned with long-term strategic objectives.
Capital
The following table presents the Consolidated Regulatory Capital Ratios of the Company for the previous three quarters, and the Company’s preliminary estimate of its consolidated regulatory capital ratios for the quarter ended March 31, 2026:
For the Quarter Ended March 31, December 31, September 30, June 30, 2026* 20252025
2025
Consolidated Capital Ratios Total capital (to risk-weighted assets) 14.77% 14.36% 15.00% 14.44%Tier 1 capital (to risk-weighted assets) 11.91 11.51 11.27 12.48 Common equity tier 1 capital (to risk-weighted assets) 10.82 10.42 10.17 11.48 Tier 1 capital (to average assets) 9.84 9.55 8.22 9.59 *Preliminary estimate - may be subject to change
As of March 31, 2026, the ratio of total stockholders’ equity to total assets is 10.65%. Book value per common share was $13.69, increasing $0.19 during the first quarter of 2026, as growth in retained earnings was partially offset by modestly higher levels of other comprehensive losses.
Tangible common equity1 totaled $537.3 million at March 31, 2026, and the ratio of tangible common equity to tangible assets1 was 8.39% at March 31, 2026, up from 8.38% at December 31, 2025. Tangible book value, which excludes intangible assets from total equity, per common share1 was $10.52, increasing $0.20 during the first quarter of 2026.
Credit Quality
As of March 31, 2026, total non-accrual loans increased by $2.3 million from December 31, 2025, and represent 0.71% of total loans held for investment. Total non-performing assets increased $3.4 million, to $44.0 million, compared with $40.6 million at December 31, 2025. Non-performing assets are 0.67% of total assets at quarter end, up slightly from 0.63% at December 31, 2025.
For the quarter ended March 31, 2026, net charge-offs were $0.6 million, or 0.05% annualized of average loans, compared to $1.0 million as of December 31, 2025. Charge‑off levels during the quarter remained low and consistent with management’s expectations, reflecting a continued focus on discipline underwriting and proactive portfolio monitoring. Overall, credit metrics remain stable, and management continues to closely monitor portfolio performance in the current economic environment.
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1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
Earnings Conference Call
As previously announced, Horizon will host a conference call to review its first quarter financial results and operating performance.
Participants may access the live conference call on April 23, 2026 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 1-833-974-2379 from the United States and Canada or 1-412-317-5772 from international locations and requesting the “Horizon Bancorp, Inc. Call.” Participants are asked to dial in approximately 10 minutes prior to the call.
A telephone replay of the call will be available approximately one hour after the end of the conference through May 23, 2026. The replay may be accessed by dialing 1-855-669-9658 from the United States and Canada, or 1–412–317-0088 from other international locations, and entering the access code 2139263.
About Horizon Bancorp, Inc.
Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $6.6 billion-asset commercial bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon's retail offerings include prime residential and other secured consumer lending to in-market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in-market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana's Michigan City, is available at horizonbank.com and investor.horizonbank.com.
Use of Non-GAAP Financial Measures
Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre-provision net income, net interest margin, tangible stockholders’ equity and tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity, and return on average tangible equity. In each case, we have identified special circumstances that we consider to be non-recurring and have excluded them. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to one-time costs and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non-GAAP information identified herein and its most comparable GAAP measures.
Forward Looking Statements
This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance.
Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, changes within the domestic and international macroeconomic environment, including trade policy, monetary and fiscal policy, inflation levels, and conditions in the investment, credit, interest rate, and derivatives markets, and their impact on Horizon and its customers; current financial conditions within the banking industry; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, and the effects of foreign and military policies of the U.S. government; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.
Condensed Consolidated Statements of Income (Dollars in Thousands Except Per Share Data, Unaudited) Three Months Ended March 31,December 31,
September 30, June 30,
March 31, 2026
2025
2025
2025
2025
Interest Income Loans receivable$75,104 $77,238 $79,561 $78,618 $74,457 Investment securities - taxable 7,494 7,688 6,631 5,941 6,039 Investment securities - tax-exempt 2,544 2,498 4,581 6,088 6,192 Other 1,509 1,864 2,063 830 2,487 Total interest income 86,651 89,288 92,836 91,477 89,175 Interest Expense Deposits 19,944 21,228 25,726 26,052 25,601 Borrowed funds 1,654 1,749 5,924 8,171 9,188 Subordinated notes 1,830 1,811 1,731 829 829 Junior subordinated debentures issued to capital trusts 983 1,024 1,069 1,070 1,290 Total interest expense 24,411 25,812 34,450 36,122 36,908 Net Interest Income 62,240 63,476 58,386 55,355 52,267 Provision for credit losses 391 1,630 (3,572) 2,462 1,376 Net Interest Income after Provision for Credit Losses 61,849 61,846 61,958 52,893 50,891 Non-interest Income Service charges on deposit accounts 3,524 3,341 3,474 3,208 3,208 Wire transfer fees 63 66 71 69 71 Interchange fees 3,373 3,445 3,510 3,403 3,241 Fiduciary activities 1,556 1,560 1,363 1,251 1,326 Gain (loss) on sale of investment securities — 1 (299,132) — (407)Gain on sale of mortgage loans 1,090 1,296 1,208 1,219 1,076 Mortgage servicing income net of impairment 337 352 351 375 385 Increase in cash value of bank owned life insurance 333 360 379 346 335 Other income (loss) 967 1,042 (6,558) 1,049 7,264 Total non-interest income (loss) 11,243 11,463 (295,334) 10,920 16,499 Non-interest Expense Salaries and employee benefits 23,187 21,895 22,698 22,731 22,414 Net occupancy expenses 4,197 3,718 3,321 3,127 3,702 Data processing 3,353 3,128 2,933 2,951 2,872 Professional fees 929 1,083 808 735 826 Outside services and consultants 2,764 3,035 3,844 3,278 3,265 Loan expense 1,219 1,183 1,237 1,231 689 FDIC insurance expense 1,023 1,251 1,345 1,216 1,288 Core deposit intangible amortization 675 706 706 816 816 Merger related expenses — — — — 305 Prepayment penalties — — 12,680 — — Other losses 192 732 131 245 228 Other expense 3,208 3,884 3,249 3,087 2,901 Total non-interest expense 40,747 40,615 52,952 39,417 39,306 Income (Loss) Before Income Taxes 32,345 32,694 (286,328) 24,396 28,084 Income tax expense (benefit) 6,177 5,773 (64,338) 3,752 4,141 Net Income (Loss)$26,168 $26,921 $(221,990) $20,644 $23,943 Basic Earnings (Loss) Per Share$0.51 $0.53 $(4.69) $0.47 $0.55 Diluted Earnings (Loss) Per Share 0.51 0.53 (4.69) 0.47 0.54
2025
2025
2025
2025
Assets Interest earning assets Federal funds sold$— $— $— $2,024 $— Interest earning deposits 190,717 72,646 381,860 34,174 80,023 Federal Home Loan Bank stock 45,713 45,713 45,713 45,412 45,412 Investment securities, held for trading 3,983 3,883 598 — — Investment securities, available for sale 882,168 875,414 883,242 231,999 231,431 Investment securities, held to maturity — — — 1,819,087 1,843,851 Loans held for sale 9,821 9,778 1,921 2,994 3,253 Gross loans held for investment (HFI) 4,878,549 4,876,542 4,823,669 4,985,582 4,909,815 Total Interest earning assets 6,010,951 5,883,976 6,137,003 7,121,272 7,113,785 Non-interest earning assets Allowance for credit losses (51,297) (51,299) (50,178) (54,399) (52,654)Cash 68,354 66,813 76,395 101,719 89,643 Cash value of life insurance 37,065 36,732 37,762 37,755 37,409 Other assets 217,649 215,460 226,247 148,773 143,675 Goodwill 155,211 155,211 155,211 155,211 155,211 Other intangible assets 6,505 7,180 7,886 8,592 9,407 Premises and equipment, net 90,763 92,805 93,413 93,398 93,499 Interest receivable 29,015 29,733 28,758 39,730 38,663 Total non-interest earning assets 553,265 552,635 575,494 530,779 514,853 Total assets$6,564,216 $6,436,611 $6,712,497 $7,652,051 $7,628,638 Liabilities Savings and money market deposits$3,119,034 $3,094,231 $3,198,332 $3,385,413 $3,393,371 Time deposits 1,163,807 1,102,478 1,199,681 1,193,180 1,245,088 Borrowings 159,825 160,118 160,206 880,336 812,218 Repurchase agreements 66,004 88,468 86,966 95,089 87,851 Subordinated notes 98,262 98,215 154,011 55,807 55,772 Junior subordinated debentures issued to capital trusts 57,740 57,688 57,636 57,583 57,531 Total interest earning liabilities 4,664,672 4,601,198 4,856,832 5,667,408 5,651,831 Non-interest bearing deposits 1,139,466 1,078,708 1,122,888 1,121,163 1,127,324 Interest payable 8,537 12,892 12,395 14,007 11,441 Other liabilities 52,514 55,562 59,611 58,621 61,981 Total liabilities 5,865,189 5,748,360 6,051,726 6,861,199 6,852,577 Stockholders’ Equity Preferred stock — — — — — Common stock — — — — — Additional paid-in capital 459,799 459,243 458,734 360,758 360,522 Retained earnings 272,941 255,004 236,312 466,497 452,945 Accumulated other comprehensive (loss) (33,713) (25,996) (34,275) (36,403) (37,406)Total stockholders’ equity 699,027 688,251 660,771 790,852 776,061 Total liabilities and stockholders’ equity$6,564,216 $6,436,611 $6,712,497 $7,652,051 $7,628,638
2025
2025
2025
2025
Q1'26 vs Q4'25 Q1'26 vs Q1'25Loans: Commercial real estate$2,443,582 $2,421,863 $2,366,956 $2,321,951 $2,262,910 1% 8%Commercial & Industrial 1,023,068 1,010,545 989,609 976,740 918,541 1% 11%Total commercial 3,466,650 3,432,408 3,356,565 3,298,691 3,181,451 1% 9%Residential Real estate 750,108 772,427 783,850 786,026 801,726 (3)% (6)%Consumer 661,791 671,707 683,254 900,865 926,638 (1)% (29)%Total loans held for investment 4,878,549 4,876,542 4,823,669 4,985,582 4,909,815 —% (1)%Loans held for sale 9,821 9,778 1,921 2,994 3,253 —% 202%Total loans$4,888,370 $4,886,320 $4,825,590 $4,988,576 $4,913,068 —% (1)% Deposits: Interest bearing deposits$1,611,795 $1,639,857 $1,715,471 $1,713,058 $1,713,991 (2)% (6)%Savings and money market deposits 1,507,239 1,454,374 1,482,861 1,672,355 1,679,380 4% (10)%Time deposits 1,163,807 1,102,478 1,199,681 1,193,180 1,245,088 6% (7)%Total Interest bearing deposits 4,282,841 4,196,709 4,398,013 4,578,593 4,638,459 2% (8)%Non-interest bearing deposits Non-interest bearing deposits 1,139,466 1,078,708 1,122,888 1,121,164 1,127,324 6% 1%Total deposits$5,422,307 $5,275,417 $5,520,901 $5,699,757 $5,765,784 3% (6)%
Balance Interest(4)(6) Average
Rate(4) Average
Balance Interest(4)(6) Average
Rate(4) Average
Balance Interest(4)(6) Average
Rate(4)Assets Interest earning assets Interest earning deposits (incl. Fed Funds Sold)$165,084 $1,509 3.71% $182,017 $1,866 4.07% $223,148 $2,487 4.52%Federal Home Loan Bank stock 45,713 551 4.89% 45,713 616 5.35% 51,769 1,012 7.93%Investment securities - taxable (1) 581,146 6,944 4.85% 570,786 7,071 4.91% 974,109 5,027 2.09%Investment securities - non-taxable (1) 319,276 3,220 4.09% 312,988 3,162 4.01% 1,120,249 7,838 2.84%Total investment securities 900,422 10,164 4.58% 883,774 10,233 4.59% 2,094,358 12,865 2.49%Loans receivable (2) (3) 4,873,753 75,485 6.28% 4,855,824 77,628 6.34% 4,865,449 74,840 6.24%Total interest earning assets 5,984,972 87,709 5.94% 5,967,328 90,343 6.01% 7,234,724 91,204 5.11%Non-interest earning assets Cash and due from banks 68,007 74,102 88,624 Allowance for credit losses (51,217) (49,815) (51,863) Other assets 533,989 545,520 483,765 Total average assets$6,535,751 $6,537,135 $7,755,250 Liabilities and Stockholders' Equity Interest bearing liabilities Interest bearing demand deposits$1,638,208 $4,587 1.14% $1,686,435 $5,572 1.31% $1,750,446 $6,491 1.50%Saving and money market deposits 1,475,444 5,619 1.54% 1,445,144 5,587 1.53% 1,674,590 8,263 2.00%Time deposits 1,153,484 9,739 3.42% 1,134,417 10,071 3.52% 1,212,386 10,847 3.63%Total Deposits 4,267,136 19,945 1.90% 4,265,996 21,230 1.97% 4,637,422 25,601 2.24%Borrowings 150,229 1,421 3.84% 150,304 1,452 3.83% 971,496 8,772 3.66%Repurchase agreements 77,376 233 1.22% 87,160 295 1.34% 88,469 416 1.91%Subordinated notes 98,231 1,830 7.56% 98,185 1,812 7.32% 55,750 829 6.03%Junior subordinated debentures issued to capital trusts 57,706 983 6.91% 57,655 1,023 7.04% 57,497 1,290 9.10%Total interest bearing liabilities 4,650,678 24,412 2.13% 4,659,300 25,812 2.20% 5,810,634 36,908 2.58%Non-interest bearing liabilities Demand deposits 1,117,930 1,137,639 1,085,826 Accrued interest payable and other liabilities 59,227 60,375 78,521 Stockholders' equity 707,916 679,821 780,269 Total average liabilities and stockholders' equity$6,535,751 $6,537,135 $7,755,250 Net FTE interest income (non-GAAP) (5) $63,297 $64,531 $54,296 Less FTE adjustments (4) 1,057 1,055 2,029 Net Interest Income $62,240 $63,476 $52,267 Net FTE interest margin (Non-GAAP) (4)(5) 4.29% 4.29% 3.04%(1)Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities.(2)Includes fees on loans held for sale and held for investment. The inclusion of loan fees does not have a material effect on the average interest rate.(3)Non-accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees.(4)Management believes fully taxable equivalent, or FTE, interest income is useful to investors in evaluating the Company's performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts interest income and average rates for tax-exempt loans and securities to an FTE basis utilizing a 21% tax rate.(5)Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.(6)Includes dividend income on Federal Home Loan Bank stock
2025
2025
2025
2025
Q1'26 vs Q4'25 Q1'26 vs Q1'25Non-accrual loans Commercial$15,761 $14,549 $12,303 $7,547 $8,172 8% 93%Residential Real estate 10,607 10,087 9,256 9,525 12,763 5% (17)%Consumer 8,416 7,821 7,799 7,222 7,875 8% 7%Total non-accrual loans 34,784 32,457 29,358 24,294 28,810 7% 21%90 days and greater delinquent - accruing interest 2,211 2,489 1,608 2,113 1,582 (11)% 40%Total non-performing loans$36,995 $34,946 $30,966 $26,407 $30,392 6% 22% Other real estate owned Commercial$594 $539 $272 $176 $360 10% 65%Residential Real estate 631 672 769 463 641 (6)% (1)%Consumer 1,875 480 480 480 34 291% 5415%Total other real estate owned 3,100 1,691 1,521 1,119 1,035 83% 200% Other non-performing assets(1)$3,935 $3,991 $3,228 $2,937 $— (1)% —% Total non-performing assets$44,030 $40,628 $35,715 $30,463 $31,427 8% 40% Loan data: Accruing 30 to 89 days past due loans$19,379 $24,580 $24,784 $31,401 $19,034 (21)% 2%Substandard loans 63,419 59,365 63,236 64,100 66,714 7% (5)%Net charge-offs (recoveries) Commercial$339 $436 $294 $84 $(47) (22)% (821)%Residential Real estate 1 (25) 19 52 (47) (104)% (102)%Consumer 285 559 518 118 963 (49)% (70)%Total net charge-offs$625 $970 $831 $254 $869 (36)% (28)% Allowance for credit losses Commercial$34,997 $35,473 $34,390 $34,413 $32,640 (1)% 7%Residential Real estate 3,183 3,183 3,082 3,229 3,167 —% —%Consumer 13,117 12,643 12,706 16,757 16,847 4% (22)%Total allowance for credit losses$51,297 $51,299 $50,178 $54,399 $52,654 —% (3)% Credit quality ratios Non-accrual loans to HFI loans 0.71% 0.67% 0.61% 0.49% 0.59% Non-performing assets to total assets 0.67% 0.63% 0.53% 0.40% 0.41% Annualized net charge-offs of average total loans 0.05% 0.08% 0.07% 0.02% 0.07% Allowance for credit losses to HFI loans 1.05% 1.05% 1.04% 1.09% 1.07% (1)Other non-performing assets consist of a single available for sale debt security placed on non-accrual status.
2025
2025
2025
2025
Interest income (GAAP)(A)$86,651 $89,288 $92,836 $91,477 $89,175 Taxable-equivalent adjustment: Investment securities - tax exempt (1) 676 665 1,218 1,619 1,646 Loan receivable (2) 381 390 379 382 383 Interest income (non-GAAP)(B) 87,708 90,343 94,433 93,478 91,204 Interest expense (GAAP)(C) 24,411 25,812 34,450 36,122 36,908 Net interest income (GAAP)(D) =(A) - (C)$62,240 $63,476 $58,386 $55,355 $52,267 Net FTE interest income (non-GAAP)(E) = (B) - (C)$63,297 $64,531 $59,983 $57,356 $54,296 Average interest earning assets(F) 5,984,972 5,967,328 6,766,742 7,125,467 7,234,724 Net FTE interest margin (non-GAAP)(G) = (E*) / (F) 4.29% 4.29% 3.52% 3.23% 3.04% (1)The following represents municipal securities interest income for investment securities classified as available-for-sale and held-to-maturity(2)The following represents municipal loan interest income for loan receivables classified as held for sale and held for investment*Annualized
2025
2025
2025
2025
Net income (loss) (GAAP)(A)$26,168 $26,921 $(221,990) $20,644 $23,943 Average stockholders' equity(B)$707,916 $679,821 $731,657 $789,535 $780,269 Average intangible assets(C) 162,148 162,838 163,552 164,320 165,138 Average tangible equity (Non-GAAP)(D) = (B) - (C)$545,768 $516,983 $568,105 $625,215 $615,131 Return on average tangible common equity ("ROACE") (non-GAAP)(E) = (A*) / (D) 19.02% 20.66% (155.03)% 13.24% 15.79%*Annualized
2025
2025
2025
2025
Total stockholders' equity (GAAP)(A)$699,027 $688,251 $660,771 $790,852 $776,061 Intangible assets (end of period)(B) 161,716 162,391 163,097 163,803 164,618 Total tangible common equity (non-GAAP)(C) = (A) - (B)$537,311 $525,860 $497,674 $627,049 $611,443 Total assets (GAAP)(D)$6,564,216 $6,436,612 $6,712,497 $7,652,051 $7,628,636 Intangible assets (end of period)(B) 161,716 162,391 163,097 163,803 164,618 Total tangible assets (non-GAAP)(E) = (D) - (B)$6,402,500 $6,274,221 $6,549,400 $7,488,248 $7,464,018 Tangible common equity to tangible assets (Non-GAAP)(G) = (C) / (E) 8.39% 8.38% 7.60% 8.37% 8.19%
(Dollars in Thousands, Unaudited)
Three Months Ended
March 31,
December 31,
September 30,
June 30,
March 31,
2026
2025
2025
2025
2025
Total stockholders' equity (GAAP)(A)$699,027 $688,251 $660,771 $790,852 $776,061 Intangible assets (end of period)(B) 161,716 162,391 163,097 163,803 164,618 Total tangible common equity (non-GAAP)(C) = (A) - (B)$537,311 $525,860 $497,674 $627,049 $611,443 Common shares outstanding(D) 51,056,888 50,978,030 50,970,530 43,801,507 43,785,932 Tangible book value per common share (non-GAAP)(E) = (C) / (D)$10.52 $10.32 $9.76 $14.32 $13.96