First Hawaiian, Inc. Reports Third Quarter 2025 Financial Results and Declares Dividend

10/24/25 8:00:00 AM ET

Major Banks

Finance

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HONOLULU, Hawaii, Oct. 24, 2025 (GLOBE NEWSWIRE) -- First Hawaiian, Inc. (NASDAQ:FHB), ("First Hawaiian" or the "Company") today reported financial results for its quarter ended September 30, 2025.

"I'm pleased to report that the third quarter was another period of market-leading performance for First Hawaiian Bank," said Bob Harrison, Chairman, President, and CEO. "These strong results reflect how well our teams and operations work together to deliver outstanding financial performance and the personalized service our customers expect and deserve."

On October 22, 2025, the Company's Board of Directors declared a quarterly cash dividend of $0.26 per share. The dividend will be payable on November 28, 2025, to stockholders of record at the close of business on November 17, 2025.

Third Quarter 2025 Highlights:

Net income of $73.8 million, or $0.59 per diluted share
Total loans and leases decreased $222.5 million versus prior quarter
Total deposits increased $498.1 million versus prior quarter
Net interest margin increased 8 basis points to 3.19%
Recorded a $4.5 million provision for credit losses
Board of Directors declared a quarterly dividend of $0.26 per share

Balance Sheet

Total assets were $24.1 billion at September 30, 2025 versus $23.8 billion at June 30, 2025.

Gross loans and leases were $14.1 billion as of September 30, 2025, a decrease of $222.5 million from $14.4 billion as of June 30, 2025.

Total deposits were $20.7 billion as of September 30, 2025, an increase of $498.1 million from June 30, 2025.

Net Interest Income

Net interest income for the third quarter of 2025 was $169.3 million, an increase of $5.7 million, or 3.5%, compared to $163.6 million for the prior quarter.

The net interest margin was 3.19% in the third quarter of 2025, an increase of 8 basis points compared to 3.11% in the prior quarter.

Provision Expense

During both the quarters ended September 30, 2025 and June 30, 2025, we recorded a $4.5 million provision for credit losses.

Noninterest Income

Noninterest income was $57.1 million in the third quarter of 2025, an increase of $3.1 million compared to noninterest income of $54.0 million in the prior quarter.

Noninterest Expense

Noninterest expense was $125.7 million in the third quarter of 2025, an increase of $0.8 million compared to noninterest expense of $124.9 million in the prior quarter.

The efficiency ratio was 55.3% and 57.2% for the quarters ended September 30, 2025 and June 30, 2025, respectively.

Taxes

The effective tax rate was 23.2% and 16.9% for the quarters ended September 30, 2025 and June 30, 2025, respectively. The lower effective tax rate in the quarter ended June 30, 2025 was primarily due to the remeasurement of the California deferred tax assets as of the beginning of the year, reflecting the enactment of a recent change in the California tax code.

Asset Quality

The allowance for credit losses was $165.3 million, or 1.17% of total loans and leases, as of September 30, 2025, compared to $167.8 million, or 1.17% of total loans and leases, as of June 30, 2025. The reserve for unfunded commitments was $36.2 million as of September 30, 2025 and $33.3 million as of June 30, 2025. Net charge-offs were $4.2 million, or 0.12% of average loans and leases on an annualized basis, for the quarter ended September 30, 2025, compared to net charge-offs of $3.3 million, or 0.09% of average loans and leases on an annualized basis, for the quarter ended June 30, 2025. Total non-performing assets were $30.9 million, or 0.22% of total loans and leases and other real estate owned, on September 30, 2025, compared to total non-performing assets of $28.6 million, or 0.20% of total loans and leases and other real estate owned, on June 30, 2025.

Capital

Total stockholders' equity was $2.7 billion on September 30, 2025 and June 30, 2025.

The tier 1 leverage, common equity tier 1 and total capital ratios were 9.16%, 13.24% and 14.49%, respectively, on September 30, 2025, compared with 9.12%, 13.03% and 14.28%, respectively, on June 30, 2025.

The Company repurchased 964 thousand shares of common stock at a total cost of $24.0 million under the stock repurchase program in the third quarter. The average cost was $24.94 per share repurchased.

First Hawaiian, Inc.

First Hawaiian, Inc. (NASDAQ:FHB) is a bank holding company headquartered in Honolulu, Hawaii. Its principal subsidiary, First Hawaiian Bank, founded in 1858 under the name Bishop & Company, is Hawaii's oldest and largest financial institution with branch locations throughout Hawaii, Guam and Saipan. The company offers a comprehensive suite of banking services to consumer and commercial customers including deposit products, loans, wealth management, insurance, trust, retirement planning, credit card and merchant processing services. Customers may also access their accounts through ATMs, online and mobile banking channels. For more information about First Hawaiian, Inc., visit the Company's website, www.fhb.com.

Conference Call Information

First Hawaiian will host a conference call to discuss the Company's results today at 1:00 p.m. Eastern Time, 7:00 a.m. Hawaii Time.

To access the call by phone, please register via the following link:

https://register-conf.media-server.com/register/BI72bbd4f6b30c462799fbb2d8bde29739, and you will be provided with dial in details. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time.

A live webcast of the conference call, including a slide presentation, will be available at the following link: www.fhb.com/earnings. The archive of the webcast will be available at the same location.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as "may", "might", "should", "could", "predict", "potential", "believe", "expect", "continue", "will", "anticipate", "seek", "estimate", "intend", "plan", "projection", "would", "annualized" and "outlook", or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about our industry, management's beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions, estimates and uncertainties that are difficult to predict. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, there can be no assurance that actual results will not prove to be materially different from the results expressed or implied by the forward-looking statements. A number of important factors could cause actual results or performance to differ materially from the forward-looking statements, including (without limitation) the risks and uncertainties associated with the domestic and global economic environment and capital market conditions and other risk factors. For a discussion of some of these risks and important factors that could affect our future results and financial condition, see our U.S. Securities and Exchange Commission ("SEC") filings, including, but not limited to, our Annual Report on Form 10-K for the year ended December 31, 2024 and our Quarterly Report on Form 10-Q for the quarters ended March 31, 2025 and June 30, 2025.

Use of Non-GAAP Financial Measures

Return on average tangible assets, return on average tangible stockholders' equity, tangible book value per share and tangible stockholders' equity to tangible assets are non-GAAP financial measures. We believe that these measurements are useful for investors, regulators, management and others to evaluate financial performance and capital adequacy relative to other financial institutions. Although these non-GAAP financial measures are frequently used by stakeholders in the evaluation of a company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our results or financial condition as reported under GAAP. Investors should consider our performance and capital adequacy as reported under GAAP and all other relevant information when assessing our performance and capital adequacy.

Table 14 at the end of this document provides a reconciliation of these non-GAAP financial measures with their most directly comparable GAAP measures.

Investor Relations Contact:

Kevin Haseyama, CFA

(808) 525-6268

[email protected]

Media Contact:

Lindsay Chambers

(808) 525-6254

[email protected]


Financial Highlights	Table 1
	For the Three Months Ended									For the Nine Months Ended
	September 30,			June 30,			September 30,			September 30,
(dollars in thousands, except per share data)	2025			2025			2024			2025			2024
Operating Results:
Net interest income	$	169,331		$	163,583		$	156,707		$	493,440		$	463,985
Provision for credit losses		4,500			4,500			7,400			19,500			15,500
Noninterest income		57,060			53,958			53,288			161,495			156,427
Noninterest expense		125,744			124,939			126,147			374,243			377,046
Net income		73,840			73,247			61,492			206,335			177,633
Basic earnings per share		0.59			0.58			0.48			1.65			1.39
Diluted earnings per share		0.59			0.58			0.48			1.64			1.38
Dividends declared per share		0.26			0.26			0.26			0.78			0.78
Dividend payout ratio		44.07	%		44.83	%		54.17	%		47.56	%		56.52	%
Performance Ratios⁽¹⁾:
Net interest margin		3.19	%		3.11	%		2.95	%		3.13	%		2.93	%
Efficiency ratio		55.29	%		57.23	%		59.77	%		56.88	%		60.38	%
Return on average total assets		1.22	%		1.23	%		1.02	%		1.15	%		0.99	%
Return on average tangible assets (non-GAAP)⁽²⁾		1.27	%		1.28	%		1.06	%		1.20	%		1.03	%
Return on average total stockholders' equity		10.81	%		11.03	%		9.45	%		10.32	%		9.37	%
Return on average tangible stockholders' equity (non-GAAP)⁽²⁾		17.08	%		17.61	%		15.35	%		16.45	%		15.43	%
Average Balances:
Average loans and leases	$	14,209,282		$	14,288,918		$	14,304,806		$	14,269,030		$	14,325,065
Average earning assets		21,271,827			21,167,588			21,328,882			21,203,245			21,352,739
Average assets		23,993,685			23,859,410			24,046,696			23,914,896			24,064,208
Average deposits		20,411,117			20,280,042			20,367,805			20,348,609			20,415,746
Average stockholders' equity		2,710,273			2,663,850			2,588,806			2,672,284			2,532,911
Market Value Per Share:
Closing		24.83			24.96			23.15			24.83			23.15
High		26.72			25.09			26.18			28.28			26.18
Low		23.48			20.32			20.28			20.32			19.48


	As of			As of			As of			As of
	September 30,			June 30,			December 31,			September 30,
(dollars in thousands, except per share data)	2025			2025			2024			2024
Balance Sheet Data:
Loans and leases	$	14,129,383		$	14,351,869		$	14,408,258		$	14,241,370
Total assets		24,098,728			23,837,147			23,828,186			23,780,285
Total deposits		20,729,557			20,231,419			20,322,216			20,227,702
Short-term borrowings		—			250,000			250,000			250,000
Total stockholders' equity		2,733,921			2,694,545			2,617,486			2,648,034

Per Share of Common Stock:
Book value	$	22.10		$	21.61		$	20.70		$	20.71
Tangible book value (non-GAAP)⁽²⁾		14.05			13.63			12.83			12.92

Asset Quality Ratios:
Non-accrual loans and leases / total loans and leases		0.22	%		0.20	%		0.14	%		0.13	%
Allowance for credit losses for loans and leases / total loans and leases		1.17	%		1.17	%		1.11	%		1.15	%

Capital Ratios:
Common Equity Tier 1 Capital Ratio		13.24	%		13.03	%		12.80	%		13.03	%
Tier 1 Capital Ratio		13.24	%		13.03	%		12.80	%		13.03	%
Total Capital Ratio		14.49	%		14.28	%		13.99	%		14.25	%
Tier 1 Leverage Ratio		9.16	%		9.12	%		9.14	%		9.14	%
Total stockholders' equity to total assets		11.34	%		11.30	%		10.98	%		11.14	%
Tangible stockholders' equity to tangible assets (non-GAAP)⁽²⁾		7.52	%		7.44	%		7.10	%		7.25	%

Non-Financial Data:
Number of branches		49			48			48			48
Number of ATMs		275			274			273			273
Number of Full-Time Equivalent Employees		2,001			2,006			1,997			2,022

⁽¹⁾Except for the efficiency ratio, amounts are annualized for the three and nine months ended September 30, 2025 and 2024 and three months ended June 30, 2025.

⁽²⁾Return on average tangible assets, return on average tangible stockholders' equity, tangible book value per share and tangible stockholders' equity to tangible assets are non-GAAP financial measures. We compute our return on average tangible assets as the ratio of net income to average tangible assets, which is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our average total assets. We compute our return on average tangible stockholders' equity as the ratio of net income to average tangible stockholders' equity, which is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our average total stockholders' equity. We compute our tangible book value per share as the ratio of tangible stockholders' equity to outstanding shares. Tangible stockholders' equity is calculated by subtracting (and thereby effectively excluding) amounts related to the effect of goodwill from our total stockholders' equity. We compute our tangible stockholders' equity to tangible assets as the ratio of tangible stockholders' equity to tangible assets, each of which we calculate by subtracting (and thereby effectively excluding) the value of our goodwill. For a reconciliation to the most directly comparable GAAP financial measure, see Table 14, GAAP to Non-GAAP Reconciliation.


Consolidated Statements of Income	Table 2
	For the Three Months Ended						For the Nine Months Ended
	September 30,		June 30,		September 30,		September 30,
(dollars in thousands, except per share amounts)	2025		2025		2024		2025		2024
Interest income
Loans and lease financing	$	196,441	$	193,393	$	205,682	$	581,936	$	607,594
Available-for-sale investment securities		13,470		12,469		12,850		39,089		41,539
Held-to-maturity investment securities		15,920		16,299		16,937		48,866		52,305
Other		16,744		14,578		14,527		44,573		38,444
Total interest income		242,575		236,739		249,996		714,464		739,882
Interest expense
Deposits		70,851		70,289		87,500		212,849		257,252
Short-term borrowings		2,195		2,627		5,397		7,421		17,303
Other		198		240		392		754		1,342
Total interest expense		73,244		73,156		93,289		221,024		275,897
Net interest income		169,331		163,583		156,707		493,440		463,985
Provision for credit losses		4,500		4,500		7,400		19,500		15,500
Net interest income after provision for credit losses		164,831		159,083		149,307		473,940		448,485
Noninterest income
Service charges on deposit accounts		8,096		7,830		7,783		23,461		23,122
Credit and debit card fees		15,850		15,913		17,533		46,237		49,567
Other service charges and fees		13,807		13,350		11,790		39,324		32,730
Trust and investment services income		9,212		9,154		9,077		27,736		28,857
Bank-owned life insurance		6,314		4,724		4,502		15,409		12,148
Investment securities gains, net		—		—		—		37		—
Other		3,781		2,987		2,603		9,291		10,003
Total noninterest income		57,060		53,958		53,288		161,495		156,427
Noninterest expense
Salaries and employee benefits		61,533		59,501		59,563		181,138		176,562
Contracted services and professional fees		15,785		15,997		14,634		46,621		46,440
Occupancy		7,098		7,934		6,945		23,132		21,263
Equipment		13,834		14,037		13,078		41,742		39,687
Regulatory assessment and fees		3,294		3,759		3,412		10,876		15,346
Advertising and marketing		2,033		2,035		1,813		6,247		6,190
Card rewards program		8,694		8,406		8,678		25,019		25,905
Other		13,473		13,270		18,024		39,468		45,653
Total noninterest expense		125,744		124,939		126,147		374,243		377,046
Income before provision for income taxes		96,147		88,102		76,448		261,192		227,866
Provision for income taxes		22,307		14,855		14,956		54,857		50,233
Net income	$	73,840	$	73,247	$	61,492	$	206,335	$	177,633
Basic earnings per share	$	0.59	$	0.58	$	0.48	$	1.65	$	1.39
Diluted earnings per share	$	0.59	$	0.58	$	0.48	$	1.64	$	1.38
Basic weighted-average outstanding shares		124,267,090		125,321,837		127,886,167		125,282,792		127,820,737
Diluted weighted-average outstanding shares		124,970,898		125,833,064		128,504,035		125,977,271		128,362,433


Consolidated Balance Sheets	Table 3
	September 30,			June 30,			December 31,			September 30,
(dollars in thousands, except share amount)	2025			2025			2024			2024
Assets
Cash and due from banks	$	249,563		$	304,624		$	258,057		$	252,209
Interest-bearing deposits in other banks		1,606,080			1,094,411			912,133			820,603
Investment securities:
Available-for-sale, at fair value (amortized cost: $2,178,092 as of September 30, 2025, $2,097,906 as of June 30, 2025, $2,190,448 as of December 31, 2024 and $2,290,781 as of September 30, 2024)		1,986,717			1,891,654			1,926,516			2,055,959
Held-to-maturity, at amortized cost (fair value: $3,209,883 as of September 30, 2025, $3,230,698 as of June 30, 2025, $3,262,509 as of December 31, 2024 and $3,475,143 as of September 30, 2024)		3,594,188			3,658,814			3,790,650			3,853,697
Loans held for sale		468			—			—			—
Loans and leases		14,129,383			14,351,869			14,408,258			14,241,370
Less: allowance for credit losses		165,269			167,825			160,393			163,700
Net loans and leases		13,964,114			14,184,044			14,247,865			14,077,670

Premises and equipment, net		302,983			299,149			288,530			287,036
Accrued interest receivable		77,878			77,943			79,979			81,875
Bank-owned life insurance		507,950			502,419			491,890			490,135
Goodwill		995,492			995,492			995,492			995,492
Mortgage servicing rights		4,728			4,828			5,078			5,236
Other assets		808,567			823,769			831,996			860,373
Total assets	$	24,098,728		$	23,837,147		$	23,828,186		$	23,780,285
Liabilities and Stockholders' Equity
Deposits:
Interest-bearing	$	13,947,385		$	13,386,987		$	13,347,068		$	13,427,674
Noninterest-bearing		6,782,172			6,844,432			6,975,148			6,800,028
Total deposits		20,729,557			20,231,419			20,322,216			20,227,702
Short-term borrowings		—			250,000			250,000			250,000
Retirement benefits payable		94,504			95,357			97,135			100,448
Other liabilities		540,746			565,826			541,349			554,101
Total liabilities		21,364,807			21,142,602			21,210,700			21,132,251

Stockholders' equity
Common stock ($0.01 par value; authorized 300,000,000 shares; issued/outstanding: 142,173,027 / 123,719,585 shares as of September 30, 2025, issued/outstanding: 142,173,027 / 124,683,544 shares as of June 30, 2025, issued/outstanding: 141,748,847 / 126,422,898 shares as of December 31, 2024 and issued/outstanding: 141,735,601 / 127,886,167 shares as of September 30, 2024)		1,422			1,422			1,417			1,417
Additional paid-in capital		2,572,156			2,567,936			2,560,380			2,558,158
Retained earnings		1,041,573			1,000,997			934,048			915,062
Accumulated other comprehensive loss, net		(388,149	)		(407,008	)		(463,994	)		(452,658	)
Treasury stock (18,453,442 shares as of September 30, 2025, 17,489,483 shares as of June 30, 2025, 15,325,949 shares as of December 31, 2024 and 13,849,434 shares as of September 30, 2024)		(493,081	)		(468,802	)		(414,365	)		(373,945	)
Total stockholders' equity		2,733,921			2,694,545			2,617,486			2,648,034
Total liabilities and stockholders' equity	$	24,098,728		$	23,837,147		$	23,828,186		$	23,780,285


Average Balances and Interest Rates																	Table 4
	Three Months Ended						Three Months Ended						Three Months Ended
	September 30, 2025						June 30, 2025						September 30, 2024
	Average		Income/		Yield/		Average		Income/		Yield/		Average		Income/		Yield/
(dollars in millions)	Balance		Expense		Rate		Balance		Expense		Rate		Balance		Expense		Rate
Earning Assets
Interest-Bearing Deposits in Other Banks	$	1,471.0	$	16.3	4.40	%	$	1,276.8	$	14.1	4.45	%	$	1,020.4	$	13.9	5.40	%
Available-for-Sale Investment Securities
Taxable		1,921.2		13.5	2.80			1,869.3		12.5	2.67			2,062.6		12.8	2.48
Non-Taxable		1.2		—	5.07			1.3		—	5.27			1.5		—	5.06
Held-to-Maturity Investment Securities
Taxable		3,036.1		12.8	1.68			3,099.9		13.2	1.70			3,288.2		13.8	1.67
Non-Taxable		595.5		3.6	2.39			596.5		3.3	2.21			602.3		3.7	2.46
Total Investment Securities		5,554.0		29.9	2.15			5,567.0		29.0	2.08			5,954.6		30.3	2.03
Loans Held for Sale		0.9		—	5.71			0.3		—	6.86			2.2		—	5.64
Loans and Leases⁽¹⁾
Commercial and industrial		2,144.0		33.6	6.22			2,291.5		35.2	6.16			2,165.3		38.0	6.98
Commercial real estate		4,481.5		69.9	6.18			4,392.5		66.9	6.11			4,278.3		71.6	6.67
Construction		891.9		15.2	6.78			900.4		14.9	6.66			1,040.7		20.3	7.74
Residential:
Residential mortgage		4,077.1		40.4	3.96			4,104.1		40.2	3.92			4,204.5		40.4	3.84
Home equity line		1,167.0		14.0	4.76			1,154.4		13.4	4.64			1,158.5		13.2	4.52
Consumer		1,018.4		19.6	7.63			1,013.9		19.2	7.58			1,035.3		18.7	7.19
Lease financing		429.4		4.3	3.98			432.1		4.2	3.90			422.2		4.0	3.72
Total Loans and Leases		14,209.3		197.0	5.51			14,288.9		194.0	5.44			14,304.8		206.2	5.74
Other Earning Assets		36.6		0.4	4.72			34.6		0.4	4.94			46.9		0.7	5.83
Total Earning Assets⁽²⁾		21,271.8		243.6	4.55			21,167.6		237.5	4.50			21,328.9		251.1	4.69
Cash and Due from Banks		243.3						222.3						242.3
Other Assets		2,478.6						2,469.5						2,475.5
Total Assets	$	23,993.7					$	23,859.4					$	24,046.7

Interest-Bearing Liabilities
Interest-Bearing Deposits
Savings	$	6,331.6	$	21.9	1.37	%	$	6,247.5	$	21.0	1.35	%	$	5,963.1	$	23.6	1.57	%
Money Market		3,837.6		23.4	2.42			3,822.1		22.8	2.39			4,179.5		31.9	3.04
Time		3,353.9		25.5	3.02			3,389.4		26.5	3.14			3,327.3		32.0	3.83
Total Interest-Bearing Deposits		13,523.1		70.8	2.08			13,459.0		70.3	2.09			13,469.9		87.5	2.58
Other Short-Term Borrowings		206.5		2.2	4.22			250.0		2.6	4.22			451.1		5.4	4.76
Other Interest-Bearing Liabilities		14.4		0.2	5.46			20.8		0.2	4.62			22.4		0.4	6.97
Total Interest-Bearing Liabilities		13,744.0		73.2	2.11			13,729.8		73.1	2.14			13,943.4		93.3	2.66
Net Interest Income			$	170.4					$	164.4					$	157.8
Interest Rate Spread⁽³⁾					2.44	%					2.36	%					2.03	%
Net Interest Margin⁽⁴⁾					3.19	%					3.11	%					2.95	%
Noninterest-Bearing Demand Deposits		6,888.0						6,821.0						6,897.9
Other Liabilities		651.4						644.7						616.6
Stockholders' Equity		2,710.3						2,663.9						2,588.8
Total Liabilities and Stockholders' Equity	$	23,993.7					$	23,859.4					$	24,046.7

⁽¹⁾Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.

⁽²⁾Interest income includes taxable-equivalent basis adjustments of $1.0 million, $0.8 million and $1.1 million for the three months ended September 30, 2025, June 30, 2025 and September 30, 2024, respectively.

⁽³⁾Interest rate spread is the difference between the average yield on earning assets and the average rate paid on interest-bearing liabilities, on a fully taxable-equivalent basis.

⁽⁴⁾Net interest margin is net interest income annualized for the three months ended September 30, 2025, June 30, 2025 and September 30, 2024, on a fully taxable-equivalent basis, divided by average total earning assets.


Average Balances and Interest Rates											Table 5
	Nine Months Ended						Nine Months Ended
	September 30, 2025						September 30, 2024
	Average		Income/		Yield/		Average		Income/		Yield/
(dollars in millions)	Balance		Expense		Rate		Balance		Expense		Rate
Earning Assets
Interest-Bearing Deposits in Other Banks	$	1,307.4	$	43.3	4.43	%	$	884.6	$	35.9	5.43	%
Available-for-Sale Investment Securities
Taxable		1,894.1		39.0	2.75			2,124.4		41.5	2.61
Non-Taxable		1.3		0.1	5.31			1.6		0.1	5.49
Held-to-Maturity Investment Securities
Taxable		3,099.5		39.6	1.70			3,354.0		42.7	1.70
Non-Taxable		597.0		10.5	2.37			602.9		11.7	2.58
Total Investment Securities		5,591.9		89.2	2.13			6,082.9		96.0	2.10
Loans Held for Sale		0.5		—	6.03			1.3		0.1	6.11
Loans and Leases⁽¹⁾
Commercial and industrial		2,210.6		102.5	6.20			2,177.2		113.3	6.95
Commercial real estate		4,431.6		203.2	6.13			4,302.4		213.4	6.62
Construction		909.6		45.6	6.71			983.6		56.2	7.63
Residential:
Residential mortgage		4,110.2		121.5	3.94			4,232.6		122.5	3.86
Home equity line		1,157.2		40.4	4.67			1,164.9		37.8	4.34
Consumer		1,017.2		57.7	7.58			1,057.6		54.4	6.87
Lease financing		432.6		12.8	3.96			406.8		11.9	3.90
Total Loans and Leases		14,269.0		583.7	5.47			14,325.1		609.5	5.68
Other Earning Assets		34.4		1.3	5.03			58.8		2.5	5.69
Total Earning Assets⁽²⁾		21,203.2		717.5	4.52			21,352.7		744.0	4.65
Cash and Due from Banks		233.9						242.4
Other Assets		2,477.8						2,469.1
Total Assets	$	23,914.9					$	24,064.2

Interest-Bearing Liabilities
Interest-Bearing Deposits
Savings	$	6,270.9	$	64.1	1.37	%	$	6,007.6	$	70.5	1.57	%
Money Market		3,860.3		69.2	2.40			4,067.5		91.3	3.00
Time		3,353.6		79.5	3.17			3,312.3		95.5	3.85
Total Interest-Bearing Deposits		13,484.8		212.8	2.11			13,387.4		257.3	2.57
Other Short-Term Borrowings		235.3		7.4	4.22			483.6		17.3	4.78
Other Interest-Bearing Liabilities		20.9		0.8	4.84			31.1		1.3	5.75
Total Interest-Bearing Liabilities		13,741.0		221.0	2.15			13,902.1		275.9	2.65
Net Interest Income			$	496.5					$	468.1
Interest Rate Spread⁽³⁾					2.37	%					2.00	%
Net Interest Margin⁽⁴⁾					3.13	%					2.93	%
Noninterest-Bearing Demand Deposits		6,863.8						7,028.4
Other Liabilities		637.8						600.8
Stockholders' Equity		2,672.3						2,532.9
Total Liabilities and Stockholders' Equity	$	23,914.9					$	24,064.2

⁽¹⁾Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.

⁽²⁾Interest income includes taxable-equivalent basis adjustments of $3.1 million and $4.1 million for the nine months ended September 30, 2025 and 2024, respectively.

⁽³⁾Interest rate spread is the difference between the average yield on earning assets and the average rate paid on interest-bearing liabilities, on a fully taxable-equivalent basis.

⁽⁴⁾Net interest margin is net interest income annualized for the nine months ended September 30, 2025 and 2024, on a fully taxable-equivalent basis, divided by average total earning assets.

Analysis of Change in Net Interest Income

Table 6

Three Months Ended September 30, 2025

Compared to June 30, 2025

(dollars in millions)

Volume

Rate

Total⁽¹⁾

Change in Interest Income:

Interest-Bearing Deposits in Other Banks

2.3

(0.1

)

2.2

Available-for-Sale Investment Securities

Taxable

0.4

0.6

1.0

Held-to-Maturity Investment Securities

Taxable

(0.3

)

(0.1

)

(0.4

)

Non-Taxable

—

0.3

Total Investment Securities

0.1

0.8

0.9

Loans and Leases

Commercial and industrial

(2.0

)

0.4

(1.6

)

Commercial real estate

1.9

1.1

3.0

Construction

(0.1

)

0.4

0.3

Residential:

Residential mortgage

(0.2

)

0.4

0.2

Home equity line

0.2

0.4

0.6

Consumer

0.2

0.4

Lease financing

—

0.1

Total Loans and Leases

—

3.0

Total Change in Interest Income

2.4

3.7

6.1

Change in Interest Expense:

Interest-Bearing Deposits

Savings

0.4

0.5

0.9

Money Market

0.1

0.5

0.6

Time

(0.2

)

(0.8

)

(1.0

)

Total Interest-Bearing Deposits

0.3

0.2

0.5

Other Short-Term Borrowings

(0.4

)

—

(0.4

)

Total Change in Interest Expense

(0.1

)

0.2

0.1

Change in Net Interest Income

2.5

3.5

6.0

⁽¹⁾The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.

Analysis of Change in Net Interest Income

Table 7

Three Months Ended September 30, 2025

Compared to September 30, 2024

(dollars in millions)

Volume

Rate

Total⁽¹⁾

Change in Interest Income:

Interest-Bearing Deposits in Other Banks

5.3

(2.9

)

2.4

Available-for-Sale Investment Securities

Taxable

(0.9

)

1.6

0.7

Held-to-Maturity Investment Securities

Taxable

(1.1

)

0.1

(1.0

)

Non-Taxable

—

(0.1

)

(0.1

)

Total Investment Securities

(2.0

)

1.6

(0.4

)

Loans and Leases

Commercial and industrial

(0.4

)

(4.0

)

(4.4

)

Commercial real estate

3.5

(5.2

)

(1.7

)

Construction

(2.7

)

(2.4

)

(5.1

)

Residential:

Residential mortgage

(1.2

)

1.2

—

Home equity line

0.1

0.7

0.8

Consumer

(0.3

)

1.2

0.9

Lease financing

—

0.3

Total Loans and Leases

(1.0

)

(8.2

)

(9.2

)

Other Earning Assets

(0.2

)

(0.1

)

(0.3

)

Total Change in Interest Income

2.1

(9.6

)

(7.5

)

Change in Interest Expense:

Interest-Bearing Deposits

Savings

1.4

(3.1

)

(1.7

)

Money Market

(2.4

)

(6.1

)

(8.5

)

Time

0.2

(6.7

)

(6.5

)

Total Interest-Bearing Deposits

(0.8

)

(15.9

)

(16.7

)

Other Short-Term Borrowings

(2.6

)

(0.6

)

(3.2

)

Other Interest-Bearing Liabilities

(0.1

)

(0.1

)

(0.2

)

Total Change in Interest Expense

(3.5

)

(16.6

)

(20.1

)

Change in Net Interest Income

5.6

7.0

12.6

⁽¹⁾The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.

Analysis of Change in Net Interest Income

Table 8

Nine Months Ended September 30, 2025

Compared to September 30, 2024

(dollars in millions)

Volume

Rate

Total⁽¹⁾

Change in Interest Income:

Interest-Bearing Deposits in Other Banks

14.9

(7.5

)

7.4

Available-for-Sale Investment Securities

Taxable

(4.7

)

2.2

(2.5

)

Held-to-Maturity Investment Securities

Taxable

(3.1

)

—

(3.1

)

Non-Taxable

(0.2

)

(1.0

)

(1.2

)

Total Investment Securities

(8.0

)

1.2

(6.8

)

Loans Held for Sale

(0.1

)

—

(0.1

)

Loans and Leases

Commercial and industrial

1.7

(12.5

)

(10.8

)

Commercial real estate

6.2

(16.4

)

(10.2

)

Construction

(4.1

)

(6.5

)

(10.6

)

Residential:

Residential mortgage

(3.5

)

2.5

(1.0

)

Home equity line

(0.3

)

2.9

2.6

Consumer

(2.1

)

5.4

3.3

Lease financing

0.7

0.2

0.9

Total Loans and Leases

(1.4

)

(24.4

)

(25.8

)

Other Earning Assets

(0.9

)

(0.3

)

(1.2

)

Total Change in Interest Income

4.5

(31.0

)

(26.5

)

Change in Interest Expense:

Interest-Bearing Deposits

Savings

2.9

(9.3

)

(6.4

)

Money Market

(4.5

)

(17.6

)

(22.1

)

Time

1.2

(17.2

)

(16.0

)

Total Interest-Bearing Deposits

(0.4

)

(44.1

)

(44.5

)

Other Short-Term Borrowings

(8.0

)

(1.9

)

(9.9

)

Other Interest-Bearing Liabilities

(0.4

)

(0.1

)

(0.5

)

Total Change in Interest Expense

(8.8

)

(46.1

)

(54.9

)

Change in Net Interest Income

13.3

15.1

28.4

⁽¹⁾The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.


Loans and Leases								Table 9
	September 30,		June 30,		December 31,		September 30,
(dollars in thousands)	2025		2025		2024		2024
Commercial and industrial	$	2,027,504	$	2,370,210	$	2,247,428	$	2,110,077
Commercial real estate		4,513,706		4,411,585		4,463,992		4,265,289
Construction		881,462		884,306		918,326		1,056,249
Residential:
Residential mortgage		4,077,946		4,085,827		4,168,154		4,187,060
Home equity line		1,170,822		1,161,876		1,151,739		1,159,823
Total residential		5,248,768		5,247,703		5,319,893		5,346,883
Consumer		1,013,663		1,011,125		1,023,969		1,030,044
Lease financing		444,280		426,940		434,650		432,828
Total loans and leases	$	14,129,383	$	14,351,869	$	14,408,258	$	14,241,370


Deposits								Table 10
	September 30,		June 30,		December 31,		September 30,
(dollars in thousands)	2025		2025		2024		2024
Demand	$	6,782,172	$	6,844,432	$	6,975,148	$	6,800,028
Savings		6,691,136		6,219,801		6,021,364		5,896,029
Money Market		3,874,614		3,777,681		4,027,334		4,129,381
Time		3,381,635		3,389,505		3,298,370		3,402,264
Total Deposits	$	20,729,557	$	20,231,419	$	20,322,216	$	20,227,702


Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More								Table 11
	September 30,		June 30,		December 31,		September 30,
(dollars in thousands)	2025		2025		2024		2024
Non-Performing Assets
Non-Accrual Loans and Leases
Commercial Loans:
Commercial and industrial	$	1,084	$	1,184	$	329	$	934
Commercial real estate		3,089		3,185		411		152
Construction		904		904		—		—
Lease financing		169		—		—		—
Total Commercial Loans		5,246		5,273		740		1,086
Residential Loans:
Residential mortgage		16,702		15,032		12,768		9,103
Home equity line		8,385		8,286		7,171		7,645
Total Residential Loans		25,087		23,318		19,939		16,748
Consumer		600		—		—		—
Total Non-Accrual Loans and Leases		30,933		28,591		20,679		17,834
Total Non-Performing Assets	$	30,933	$	28,591	$	20,679	$	17,834

Accruing Loans and Leases Past Due 90 Days or More
Commercial Loans:
Commercial and industrial	$	633	$	942	$	1,432	$	529
Commercial real estate		—		—		—		568
Construction		2,063		—		536		—
Total Commercial Loans		2,696		942		1,968		1,097
Residential mortgage		627		309		1,317		931
Consumer		2,566		3,187		2,734		2,515
Total Accruing Loans and Leases Past Due 90 Days or More	$	5,889	$	4,438	$	6,019	$	4,543

Total Loans and Leases	$	14,129,383	$	14,351,869	$	14,408,258	$	14,241,370


Allowance for Credit Losses and Reserve for Unfunded Commitments	Table 12
	For the Three Months Ended												For the Nine Months Ended
	September 30,				June 30,				September 30,				September 30,				September 30,
(dollars in thousands)	2025				2025				2024				2025				2024
Balance at Beginning of Period	$	201,172			$	199,959			$	193,930			$	193,240			$	192,138
Loans and Leases Charged-Off
Commercial Loans:
Commercial and industrial		(1,106	)			(688	)			(1,178	)			(3,253	)			(2,764	)
Commercial real estate		—				—				(400	)			—				(400	)
Lease financing		(580	)			(82	)			—				(662	)			—
Total Commercial Loans		(1,686	)			(770	)			(1,578	)			(3,915	)			(3,164	)
Home equity line		—				(16	)			—				(30	)			—
Consumer		(4,719	)			(4,543	)			(4,192	)			(14,287	)			(13,228	)
Total Loans and Leases Charged-Off		(6,405	)			(5,329	)			(5,770	)			(18,232	)			(16,392	)
Recoveries on Loans and Leases Previously Charged-Off
Commercial Loans:
Commercial and industrial		410				196				160				1,009				621
Commercial real estate		—				—				—				251				—
Total Commercial Loans		410				196				160				1,260				621
Residential Loans:
Residential mortgage		14				109				31				143				89
Home equity line		26				32				86				122				242
Total Residential Loans		40				141				117				265				331
Consumer		1,749				1,705				1,560				5,433				5,199
Total Recoveries on Loans and Leases Previously Charged-Off		2,199				2,042				1,837				6,958				6,151
Net Loans and Leases Charged-Off		(4,206	)			(3,287	)			(3,933	)			(11,274	)			(10,241	)
Provision for Credit Losses		4,500				4,500				7,400				19,500				15,500
Balance at End of Period	$	201,466			$	201,172			$	197,397			$	201,466			$	197,397
Components:
Allowance for Credit Losses	$	165,269			$	167,825			$	163,700			$	165,269			$	163,700
Reserve for Unfunded Commitments		36,197				33,347				33,697				36,197				33,697
Total Allowance for Credit Losses and Reserve for Unfunded Commitments	$	201,466			$	201,172			$	197,397			$	201,466			$	197,397
Average Loans and Leases Outstanding	$	14,209,282			$	14,288,918			$	14,304,806			$	14,269,030			$	14,325,065
Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding⁽¹⁾		0.12		%		0.09		%		0.11		%		0.11		%		0.10		%
Ratio of Allowance for Credit Losses for Loans and Leases to Loans and Leases Outstanding		1.17		%		1.17		%		1.15		%		1.17		%		1.15		%
Ratio of Allowance for Credit Losses for Loans and Leases to Non-accrual Loans and Leases		5.34x				5.87x				9.18x				5.34x				9.18x

⁽¹⁾Annualized for the three and nine months ended September 30, 2025 and 2024 and three months ended June 30, 2025.

Loans and Leases by Year of Origination and Credit Quality Indicator

Table 13

Revolving

Loans

Converted

Term Loans

Revolving

to Term

Amortized Cost Basis by Origination Year

Loans

Amortized

(dollars in thousands)

2025

2024

2023

2022

2021

Prior

Cost Basis

Total

Commercial Lending

Commercial and Industrial

Risk rating:

Pass

164,270

126,437

58,184

113,813

154,746

235,902

986,942

13,454

1,853,748

Special Mention

369

873

1,975

1,552

460

951

4,901

—

11,081

Substandard

522

—

553

10,315

21,031

46,247

—

78,697

Other⁽¹⁾

14,325

10,217

5,859

4,180

1,493

1,370

46,534

—

83,978

Total Commercial and Industrial

179,486

137,527

66,571

129,860

156,728

259,254

1,084,624

13,454

2,027,504

Current period gross charge-offs

224

528

356

2,054

—

3,253

Commercial Real Estate

Risk rating:

Pass

487,374

289,898

374,448

768,901

680,910

1,622,149

77,525

7,513

4,308,718

Special Mention

—

3,336

1,675

45,579

41,394

20,943

11,007

—

123,934

Substandard

—

5,581

535

57,334

999

15,776

704

—

80,929

Other⁽¹⁾

—

125

—

125

Total Commercial Real Estate

487,374

298,815

376,658

871,814

723,303

1,658,993

89,236

7,513

4,513,706

Current period gross charge-offs

—

Construction

Risk rating:

Pass

40,387

174,819

211,886

234,984

88,827

47,257

23,417

—

821,577

Special Mention

—

27,965

—

130

—

28,095

Substandard

—

904

—

904

Other⁽¹⁾

4,934

12,062

5,738

4,712

948

1,801

691

—

30,886

Total Construction

45,321

186,881

217,624

267,661

89,775

50,092

24,108

—

881,462

Current period gross charge-offs

—

Lease Financing

Risk rating:

Pass

106,920

83,244

94,376

47,063

11,403

95,610

—

438,616

Special Mention

—

191

—

143

—

334

Substandard

—

4,643

448

239

—

5,330

Total Lease Financing

106,920

87,887

95,015

47,302

11,546

95,610

—

444,280

Current period gross charge-offs

—

662

—

662

Total Commercial Lending

819,101

711,110

755,868

1,316,637

981,352

2,063,949

1,197,968

20,967

7,866,952

Current period gross charge-offs

722

224

528

356

2,054

—

3,915

(continued)


															Revolving
															Loans
															Converted
	Term Loans												Revolving		to Term
	Amortized Cost Basis by Origination Year												Loans		Loans
(continued)													Amortized		Amortized
(dollars in thousands)	2025		2024		2023		2022		2021		Prior		Cost Basis		Cost Basis		Total
Residential Lending
Residential Mortgage
FICO:
740 and greater	$	118,602	$	153,379	$	183,019	$	464,813	$	890,038	$	1,508,771	$	—	$	—	$	3,318,622
680 - 739		14,318		17,797		23,479		59,890		110,055		185,858		—		—		411,397
620 - 679		3,292		4,078		4,988		23,155		17,763		45,190		—		—		98,466
550 - 619		—		289		443		3,898		7,554		17,861		—		—		30,045
Less than 550		—		156		1,151		3,606		4,591		8,836		—		—		18,340
No Score⁽³⁾		6,473		5,108		5,734		16,590		9,678		45,548		—		—		89,131
Other⁽²⁾		17,616		7,820		11,721		15,836		13,834		33,405		11,713		—		111,945
Total Residential Mortgage		160,301		188,627		230,535		587,788		1,053,513		1,845,469		11,713		—		4,077,946
Current period gross charge-offs		—		—		—		—		—		—		—		—		—

Home Equity Line
FICO:
740 and greater		—		—		—		—		—		—		932,699		1,276		933,975
680 - 739		—		—		—		—		—		—		173,826		1,405		175,231
620 - 679		—		—		—		—		—		—		36,242		643		36,885
550 - 619		—		—		—		—		—		—		14,408		538		14,946
Less than 550		—		—		—		—		—		—		8,653		391		9,044
No Score⁽³⁾		—		—		—		—		—		—		741		—		741
Total Home Equity Line		—		—		—		—		—		—		1,166,569		4,253		1,170,822
Current period gross charge-offs		—		—		—		—		—		—		30		—		30

Total Residential Lending	$	160,301	$	188,627	$	230,535	$	587,788	$	1,053,513	$	1,845,469	$	1,178,282	$	4,253	$	5,248,768
Current period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	30	$	—	$	30

Consumer Lending
FICO:
740 and greater		84,749		70,671		47,226		57,234		25,525		6,915		97,360		110		389,790
680 - 739		65,723		53,325		32,726		28,693		12,675		4,404		84,865		509		282,920
620 - 679		33,601		22,847		12,376		13,283		6,706		3,470		49,756		874		142,913
550 - 619		6,331		9,720		6,752		8,322		4,309		2,776		16,575		798		55,583
Less than 550		1,409		4,204		3,925		4,272		2,226		1,571		5,203		574		23,384
No Score⁽³⁾		842		13		47		12		—		23		37,625		170		38,732
Other⁽²⁾		3,552		—		600		—		565		1,020		74,604		—		80,341
Total Consumer Lending	$	196,207	$	160,780	$	103,652	$	111,816	$	52,006	$	20,179	$	365,988	$	3,035	$	1,013,663
Current period gross charge-offs	$	389	$	1,922	$	1,392	$	1,272	$	674	$	1,804	$	6,223	$	611	$	14,287

Total Loans and Leases	$	1,175,609	$	1,060,517	$	1,090,055	$	2,016,241	$	2,086,871	$	3,929,597	$	2,742,238	$	28,255	$	14,129,383
Current period gross charge-offs	$	390	$	2,644	$	1,616	$	1,800	$	1,030	$	3,858	$	6,283	$	611	$	18,232

⁽¹⁾Other credit quality indicators used for monitoring purposes are primarily FICO scores. The majority of the loans in this population were originated to borrowers with a prime FICO score (680 and above). As of September 30, 2025, the majority of the loans in this population were current.

⁽²⁾Other credit quality indicators used for monitoring purposes are primarily internal risk ratings. The majority of the loans in this population were graded with a "Pass" rating. As of September 30, 2025, the majority of the loans in this population were current.

⁽³⁾No FICO scores are primarily related to loans and leases extended to non-residents. Loans and leases of this nature are primarily secured by collateral and/or are closely monitored for performance.


GAAP to Non-GAAP Reconciliation	Table 14
	For the Three Months Ended									For the Nine Months Ended
	September 30,			June 30,			September 30,			September 30,
(dollars in thousands)	2025			2025			2024			2025			2024
Income Statement Data:
Net income	$	73,840		$	73,247		$	61,492		$	206,335		$	177,633

Average total stockholders' equity	$	2,710,273		$	2,663,850		$	2,588,806		$	2,672,284		$	2,532,911
Less: average goodwill		995,492			995,492			995,492			995,492			995,492
Average tangible stockholders' equity	$	1,714,781		$	1,668,358		$	1,593,314		$	1,676,792		$	1,537,419

Average total assets	$	23,993,685		$	23,859,410		$	24,046,696		$	23,914,896		$	24,064,208
Less: average goodwill		995,492			995,492			995,492			995,492			995,492
Average tangible assets	$	22,998,193		$	22,863,918		$	23,051,204		$	22,919,404		$	23,068,716

Return on average total stockholders' equity⁽¹⁾		10.81	%		11.03	%		9.45	%		10.32	%		9.37	%
Return on average tangible stockholders' equity (non-GAAP)⁽¹⁾		17.08	%		17.61	%		15.35	%		16.45	%		15.43	%

Return on average total assets⁽¹⁾		1.22	%		1.23	%		1.02	%		1.15	%		0.99	%
Return on average tangible assets (non-GAAP)⁽¹⁾		1.27	%		1.28	%		1.06	%		1.20	%		1.03	%



	As of			As of			As of			As of
	September 30,			June 30,			December 31,			September 30,
(dollars in thousands, except per share amounts)	2025			2025			2024			2024
Balance Sheet Data:
Total stockholders' equity	$	2,733,921		$	2,694,545		$	2,617,486		$	2,648,034
Less: goodwill		995,492			995,492			995,492			995,492
Tangible stockholders' equity	$	1,738,429		$	1,699,053		$	1,621,994		$	1,652,542

Total assets	$	24,098,728		$	23,837,147		$	23,828,186		$	23,780,285
Less: goodwill		995,492			995,492			995,492			995,492
Tangible assets	$	23,103,236		$	22,841,655		$	22,832,694		$	22,784,793

Shares outstanding		123,719,585			124,683,544			126,422,898			127,886,167

Total stockholders' equity to total assets		11.34	%		11.30	%		10.98	%		11.14	%
Tangible stockholders' equity to tangible assets (non-GAAP)		7.52	%		7.44	%		7.10	%		7.25	%

Book value per share	$	22.10		$	21.61		$	20.70		$	20.71
Tangible book value per share (non-GAAP)	$	14.05		$	13.63		$	12.83		$	12.92

⁽¹⁾Annualized for the three and nine months ended September 30, 2025 and 2024 and three months ended June 30, 2025.

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Date	Price Target	Rating	Analyst
9/25/2025	$27.00	Hold	TD Cowen
8/21/2025	$26.00	Neutral	Piper Sandler
7/8/2025	$298.00	Equal Weight → Underweight	Barclays
11/27/2024	$30.00	Equal-Weight	Stephens
7/29/2024	$24.00	Neutral → Underweight	JP Morgan
3/8/2024	$25.00	Equal Weight	Barclays
1/5/2024	$18.00	Equal Weight → Underweight	Wells Fargo
12/13/2022	$26.00	Underweight → Neutral	JP Morgan

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