SAN RAFAEL, Calif., Oct. 16, 2025 (GLOBE NEWSWIRE) -- Westamerica Bancorporation (NASDAQ:WABC), parent company of Westamerica Bank, generated net income for the third quarter 2025 of $28.3 million and diluted earnings per common share ("EPS") of $1.12. Third quarter 2025 results compare to second quarter 2025 net income of $29.1 million and EPS of $1.12.

"Westamerica's third quarter 2025 results benefited from the Company's low-cost operating principles. The annualized cost of funding interest-earning loans, bonds and cash was 0.26 percent for the third quarter 2025. The Company recognized no provision for credit losses in the third quarter 2025. At September 30, 2025, nonperforming assets were $2.6 million and the allowance for credit losses on loans was $11.9 million. Westamerica operated efficiently, spending 40 percent of its revenue on operating costs in the third quarter 2025," said Chairman, President and CEO David Payne. "Third quarter 2025 results generated an annualized 10.9 percent return on average common equity. Westamerica paid a $0.46 per common share dividend during the third quarter 2025, and retired 488 thousand common shares using its share repurchase plan. Westamerica's capital ratios remain at historically high levels exceeding the highest regulatory guidelines," concluded Payne.

Net interest income on a fully-taxable equivalent (FTE) basis was $53.8 million for the third quarter 2025, compared to $54.6 million for the second quarter 2025. The annualized yield earned on loans, bonds and cash for the third quarter 2025 was 4.06 percent compared to 4.07 percent for the second quarter 2025. The annualized cost of funding interest-earning loans, bonds and cash was 0.26 percent for the third quarter 2025 compared to 0.22 percent for the second quarter 2025.

Noninterest income for the third quarter 2025 totaled $10.2 million compared to $10.3 million for the second quarter 2025.

Noninterest expense was $25.8 million for the third quarter 2025 compared to $25.5 million for the second quarter 2025. The increase in noninterest expense is primarily due to higher salaries and benefits expense due to one more business day in the third quarter 2025 compared to the second quarter 2025, higher occupancy and equipment expense and professional fees.

The income tax provision (FTE) for the third quarter 2025 was $10.0 million compared to $10.3 million for the second quarter 2025.

Westamerica Bancorporation's wholly owned subsidiary Westamerica Bank, operates commercial banking and trust offices throughout Northern and Central California.

Westamerica Bancorporation Web Address: www.westamerica.com

For additional information contact:

Westamerica Bancorporation

1108 Fifth Avenue, San Rafael, CA 94901

Anela Jonas – Investor Relations Contact

707-863-6019

investments@westamerica.com

FORWARD-LOOKING INFORMATION:

The following appears in accordance with the Private Securities Litigation Reform Act of 1995:

This press release may contain forward-looking statements about the Company, including descriptions of plans or objectives of its management for future operations, products or services, and forecasts of its revenues, earnings or other measures of economic performance. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may."

Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors — many of which are beyond the Company's control — could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. The Company's most recent reports filed with the Securities and Exchange Commission, including the annual report for the year ended December 31, 2024 filed on Form 10-K and quarterly report for the quarter ended June 30, 2025 filed on Form 10-Q, describe some of these factors, including certain credit, interest rate, operational, liquidity and market risks associated with the Company's business and operations. Other factors described in these reports include changes in business and economic conditions, competition, fiscal and monetary policies, disintermediation, cyber security risks, legislation including the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the Sarbanes-Oxley Act of 2002 and the Gramm-Leach-Bliley Act of 1999, and mergers and acquisitions.

Forward-looking statements speak only as of the date they are made. The Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date forward looking statements are made.

Public Information October 16, 2025

WESTAMERICA BANCORPORATION

FINANCIAL HIGHLIGHTS

September 30, 2025

1. Net Income Summary.

(in thousands except per-share amounts)

Q3'2025

Q3'2024

Change

Q2'2025

Net Interest and Loan Fee

Income (FTE)

$53,846

$62,465

-13.8

$54,562

Provision

for Credit Losses

n/m

Noninterest Income

10,151

11,925

-14.9

10,315

Noninterest Expense

25,800

26,309

-1.9

25,529

Income Before Taxes (FTE)

38,197

48,081

-20.6

39,348

Income Tax Provision (FTE)

9,934

13,024

-23.7

10,282

Net Income

$28,263

$35,057

-19.4

$29,066

Average Common Shares

Outstanding

25,341

26,685

-5.0

25,889

Diluted Average Common

Shares Outstanding

25,341

26,686

-5.0

25,889

Operating Ratios:

Basic Earnings Per Common

Share

$1.12

$1.31

-14.5

$1.12

Diluted Earnings Per

Common Share

1.12

1.31

-14.5

1.12

Return On Assets (a)

1.86

2.16

1.93

Return On Common

Equity (a)

10.9

13.7

11.2

Net Interest Margin (FTE) (a)

3.80

4.08

3.85

Efficiency Ratio (FTE)

40.3

35.4

39.3

Dividends Paid Per Common

Share

$0.46

$0.44

4.5

$0.46

Common Dividend Payout

Ratio

9/30'25YTD

9/30'24YTD

Change

Net Interest and Loan Fee

Income (FTE)

$164,798

$192,659

-14.5

(Reversal of) Provision

for Credit Losses

(550

)

300

n/m

Noninterest Income

30,787

32,522

-5.3

Noninterest Expense

76,456

78,538

-2.7

Income Before Taxes (FTE)

119,679

146,343

-18.2

Income Tax Provision (FTE)

31,313

39,407

-20.5

Net Income

$88,366

$106,936

-17.4

Average Common Shares

Outstanding

25,953

26,680

-2.7

Diluted Average Common

Shares Outstanding

25,953

26,681

-2.7

Operating Ratios:

Basic Earnings Per Common

Share

$3.40

$4.01

-15.2

Diluted Earnings Per

Common Share

3.40

4.01

-15.2

Return On Assets (a)

1.94

2.19

Return On Common

Equity (a)

11.4

14.4

Net Interest Margin (FTE) (a)

3.85

4.18

Efficiency Ratio (FTE)

39.1

34.9

Dividends Paid Per Common

Share

$1.36

$1.32

3.0

Common Dividend Payout

Ratio

2. Net Interest Income.

(dollars in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Interest and Loan Fee

Income (FTE)

$57,491

$68,110

-15.6

$57,751

Interest Expense

3,645

5,645

-35.4

3,189

Net Interest and Loan Fee

Income (FTE)

$53,846

$62,465

-13.8

$54,562

Average Earning Assets

$5,621,797

$6,062,174

-7.3

$5,652,443

Average Interest-Bearing

Liabilities

2,724,510

2,950,093

-7.6

2,693,505

Yield on Earning Assets

(FTE) (a)

4.06

4.45

4.07

Cost of Funds (a)

0.26

0.37

0.22

Net Interest Margin (FTE) (a)

3.80

4.08

3.85

Interest Expense /

Interest-Bearing

Liabilities (a)

0.53

0.76

0.48

Net Interest Spread (FTE) (a)

3.53

3.69

3.59

9/30'25YTD

9/30'24YTD

Change

Interest and Loan Fee

Income (FTE)

$175,028

$206,612

-15.3

Interest Expense

10,230

13,953

-26.7

Net Interest and Loan Fee

Income (FTE)

$164,798

$192,659

-14.5

Average Earning Assets

$5,689,058

$6,108,885

-6.9

Average Interest-Bearing

Liabilities

2,729,204

2,969,078

-8.1

Yield on Earning Assets

(FTE) (a)

4.09

4.48

Cost of Funds (a)

0.24

0.30

Net Interest Margin (FTE) (a)

3.85

4.18

Interest Expense /

Interest-Bearing

Liabilities (a)

0.50

0.63

Net Interest Spread (FTE) (a)

3.59

3.85

3. Loans & Other Earning Assets.

(average volume, dollars in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Total Assets

$6,018,937

$6,461,843

-6.9

$6,042,100

Total Earning Assets

5,621,797

6,062,174

-7.3

5,652,443

Total Loans

744,046

831,418

-10.5

762,216

Commercial Loans

113,215

136,160

-16.9

115,943

Commercial Real Estate

Loans

486,751

493,272

-1.3

488,960

Consumer Loans

144,080

201,986

-28.7

157,313

Total Investment Securities

4,175,230

4,736,024

-11.8

4,236,303

Debt Securities Available for

Sale

3,331,315

3,867,451

-13.9

3,385,972

Debt Securities Held to

Maturity

829,341

854,346

-2.9

836,104

Equity Securities

14,574

14,227

2.4

14,227

Total Interest-Bearing Cash

702,521

494,732

42.0

653,924

Loans / Deposits

15.5

16.3

15.7

9/30'25YTD

9/30'24YTD

Change

Total Assets

$6,082,169

$6,512,138

-6.6

Total Earning Assets

5,689,058

6,108,885

-6.9

Total Loans

765,231

840,961

-9.0

Commercial Loans

116,423

134,402

-13.4

Commercial Real Estate

Loans

490,991

489,836

0.2

Consumer Loans

157,817

216,723

-27.2

Total Investment Securities

4,268,226

4,925,557

-13.3

Debt Securities Available for

Sale

3,418,176

4,047,131

-15.5

Debt Securities Held to

Maturity

835,706

864,199

-3.3

Equity Securities

14,344

14,227

0.8

Total Interest-Bearing Cash

655,601

342,367

91.5

Loans / Deposits

15.7

16.1

4. Deposits, Other Interest-Bearing Liabilities & Equity.

(average volume, dollars in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Total Deposits

$4,806,568

$5,092,244

-5.6

$4,841,803

Noninterest Demand

2,201,644

2,425,646

-9.2

2,245,077

Interest-Bearing Transaction

895,504

937,694

-4.5

908,367

Savings

1,636,259

1,639,997

-0.2

1,611,845

Time greater than $100K

25,671

32,815

-21.8

27,306

Time less than $100K

47,490

56,092

-15.3

49,208

Total Short-Term Borrowings

119,586

283,495

-57.8

96,779

Bank Term Funding Program

Borrowings

167,391

n/m

Securities Sold under

Repurchase Agreements

119,586

116,104

3.0

96,779

Shareholders' Equity

1,026,618

1,016,642

1.0

1,037,185

Demand Deposits /

Total Deposits

45.8

47.6

46.4

Transaction & Savings

Deposits / Total Deposits

98.5

98.3

98.4

9/30'25YTD

9/30'24YTD

Change

Total Deposits

$4,868,418

$5,224,158

-6.8

Noninterest Demand

2,246,259

2,480,815

-9.5

Interest-Bearing Transaction

912,830

992,363

-8.0

Savings

1,632,529

1,658,106

-1.5

Time greater than $100K

27,465

34,550

-20.5

Time less than $100K

49,335

58,324

-15.4

Total Short-Term Borrowings

107,045

225,735

-52.6

Bank Term Funding Program

Borrowings

143,412

n/m

Securities Sold under

Repurchase Agreements

107,045

82,323

30.0

Shareholders' Equity

1,039,802

991,229

4.9

Demand Deposits /

Total Deposits

46.1

47.5

Transaction & Savings

Deposits / Total Deposits

98.4

98.2

5. Interest Yields Earned & Rates Paid.

(dollars in thousands)

Q3'2025

Average

Income/

Yield (a) /

Volume

Expense

Rate (a)

Interest & Loan Fee Income Earned:

Total Earning Assets (FTE)

$5,621,797

$57,491

4.06

Total Loans (FTE)

744,046

10,321

5.51

Commercial Loans (FTE)

113,215

1,713

6.01

Commercial Real Estate

Loans

486,751

6,438

5.25

Consumer Loans

144,080

2,170

5.98

Total Investment Securities (FTE)

4,175,230

39,330

3.75

Total Debt Securities

Available for Sale (FTE)

3,331,315

30,449

3.63

Corporate Securities

1,919,304

12,784

2.66

Collateralized Loan

Obligations

658,786

10,505

6.24

Agency Mortgage Backed

Securities

384,703

3,945

4.10

Securities of U.S.

Government Sponsored

Entities

312,563

2,777

3.55

Obligations of States and

Political Subdivisions

(FTE)

55,959

438

3.13

Total Debt Securities Held to

Maturity (FTE)

829,341

8,446

4.07

Agency Mortgage Backed

Securities

48,296

264

2.19

Corporate Securities

739,492

7,815

4.23

Obligations of States and

Political Subdivisions

(FTE)

41,553

367

3.53

Equity Securities (FTE)

14,574

435

11.92

Total Interest-Bearing Cash

702,521

7,840

4.37

Interest Expense Paid:

Total Earning Assets

5,621,797

3,645

0.26

Total Interest-Bearing

Liabilities

2,724,510

3,645

0.53

Total Interest-Bearing

Deposits

2,604,924

3,453

0.53

Interest-Bearing Transaction

895,504

0.02

Savings

1,636,259

3,361

0.81

Time less than $100K

47,490

0.29

Time greater than $100K

25,671

0.19

Total Short-Term Borrowings

119,586

192

0.64

Securities Sold under

Repurchase Agreements

119,586

192

0.64

Net Interest Income and

Margin (FTE)

$53,846

3.80

Q3'2024

Average

Income/

Yield (a) /

Volume

Expense

Rate (a)

Interest & Loan Fee Income Earned:

Total Earning Assets (FTE)

$6,062,174

$68,110

4.45

Total Loans (FTE)

831,418

11,526

5.52

Commercial Loans (FTE)

136,160

2,393

7.00

Commercial Real Estate

Loans

493,272

6,308

5.09

Consumer Loans

201,986

2,825

5.57

Total Investment Securities (FTE)

4,736,024

49,822

4.17

Total Debt Securities

Available for Sale (FTE)

3,867,451

40,722

4.16

Corporate Securities

2,074,145

14,268

2.75

Collateralized Loan

Obligations

1,166,189

21,459

7.20

Agency Mortgage Backed

Securities

244,994

1,638

2.68

Securities of U.S.

Government sponsored

entities

310,138

2,777

3.58

Obligations of States and

Political Subdivisions

(FTE)

67,141

518

3.08

U.S. Treasury Securities

4,844

5.13

Total Debt Securities Held to

Maturity (FTE)

854,346

8,689

4.07

Agency Mortgage Backed

Securities

65,545

376

2.29

Corporate Securities

732,689

7,815

4.27

Obligations of States and

Political Subdivisions

(FTE)

56,112

498

3.55

Equity Securities

14,227

411

11.55

Total Interest-Bearing Cash

494,732

6,762

5.35

Interest Expense Paid:

Total Earning Assets

6,062,174

5,645

0.37

Total Interest-Bearing

Liabilities

2,950,093

5,645

0.76

Total Interest-Bearing

Deposits

2,666,598

3,113

0.46

Interest-Bearing Transaction

937,694

0.02

Savings

1,639,997

2,990

0.73

Time less than $100K

56,092

0.33

Time greater than $100K

32,815

0.36

Total Short-Term Borrowings

283,495

2,532

3.54

Bank Term Funding Program

Borrowings

167,391

2,278

5.40

Securities Sold under

Repurchase Agreements

116,104

254

0.87

Net Interest Income and

Margin (FTE)

$62,465

4.08

6. Noninterest Income.

(dollars in thousands except per-share amounts)

Q3'2025

Q3'2024

Change

Q2'2025

Service Charges on Deposit

Accounts

$3,317

$3,585

-7.5

$3,368

Merchant Processing

Services

2,860

2,474

15.6

2,687

Debit Card Fees

1,603

1,702

-5.8

1,664

Trust Fees

895

846

5.8

867

ATM Processing Fees

483

533

-9.4

482

Other Service Fees

448

454

-1.3

450

Bank Owned

Life Insurance Gains

202

n/m

106

Unrealized Losses on

Equity Securities

(90

)

n/m

Other Noninterest Income

635

2,129

-70.2

691

Total Noninterest Income

$10,151

$11,925

-14.9

$10,315

Operating Ratios:

Total Revenue (FTE)

$63,997

$74,390

-14.0

$64,877

Noninterest Income /

Revenue (FTE)

15.9

16.0

15.9

Service Charges /

Avg. Deposits (a)

0.27

0.28

Total Revenue (FTE) Per

Avg. Common Share (a)

$10.02

$11.09

-9.7

$10.05

9/30'25YTD

9/30'24YTD

Change

Service Charges on Deposit

Accounts

$10,066

$10,524

-4.4

Merchant Processing

Services

8,280

7,714

7.3

Debit Card Fees

4,848

4,951

-2.1

Trust Fees

2,661

2,451

8.6

ATM Processing Fees

1,428

1,664

-14.2

Other Service Fees

1,327

1,342

-1.1

Bank Owned

Life Insurance Gains

208

202

n/m

Unrealized Losses on

Equity Securities

(90

)

n/m

Other Noninterest Income

2,059

3,674

-44.0

Total Noninterest Income

$30,787

$32,522

-5.3

Operating Ratios:

Total Revenue (FTE)

$195,585

$225,181

-13.1

Noninterest Income /

Revenue (FTE)

15.7

14.4

Service Charges /

Avg. Deposits (a)

0.28

0.27

Total Revenue (FTE) Per

Avg. Common Share (a)

$10.08

$11.27

-10.6

7. Noninterest Expense.

(dollars in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Salaries and Related Benefits

$12,387

$12,762

-2.9

$12,303

Occupancy and Equipment

5,253

5,256

-0.1

5,154

Outsourced Data Processing

2,722

2,614

4.1

2,709

Limited Partnership

Operating Losses

915

1,210

-24.4

915

Professional Fees

643

337

90.8

386

Courier Service

738

682

8.2

687

Other Noninterest Expense

3,142

3,448

-8.9

3,375

Total Noninterest Expense

$25,800

$26,309

-1.9

$25,529

Operating Ratios:

Noninterest Expense /

Avg. Earning Assets (a)

1.82

1.73

1.81

Noninterest Expense /

Revenues (FTE)

40.3

35.4

39.3

9/30'25YTD

9/30'24YTD

Change

Salaries and Related Benefits

$36,816

$37,831

-2.7

Occupancy and Equipment

15,445

15,454

-0.1

Outsourced Data Processing

8,128

7,661

6.1

Limited Partnership

Operating Losses

2,745

4,090

-32.9

Professional Fees

1,424

1,101

29.3

Courier Service

2,113

2,017

4.8

Other Noninterest Expense

9,785

10,384

-5.8

Total Noninterest Expense

$76,456

$78,538

-2.7

Operating Ratios:

Noninterest Expense /

Avg. Earning Assets (a)

1.80

1.72

Noninterest Expense /

Revenues (FTE)

39.1

34.9

8. Allowance for Credit Losses.

(dollars in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Average Total Loans

$744,046

$831,418

-10.5

$762,216

Beginning of Period

Allowance for Credit

Losses on Loans (ACLL)

$13,787

$15,952

-13.6

$13,914

Provision for

Credit Losses

n/m

Net ACLL Losses

(1,928

)

(634

)

n/m

(127

)

End of Period ACLL

$11,859

$15,318

-22.6

$13,787

Gross ACLL Recoveries /

Gross ACLL Losses

Net ACLL Losses /

Avg. Total Loans (a)

-1.03

-0.30

-0.07

9/30'25YTD

9/30'24YTD

Change

Average Total Loans

$765,231

$840,961

-9.0

Beginning of Period ACLL

$14,780

$16,867

-12.4

(Reversal of) Provision for

Credit Losses

(550

)

300

n/m

Net ACLL Losses

(2,371

)

(1,849

)

n/m

End of Period ACLL

$11,859

$15,318

-22.6

Gross ACLL Recoveries /

Gross ACLL Losses

Net ACLL Losses /

Avg. Total Loans (a)

-0.41

-0.29

(dollars in thousands)

9/30/25

9/30/24

Change

6/30/25

Allowance for Credit Losses

on Loans

$11,859

$15,318

-22.6

$13,787

Allowance for Credit Losses

on Held to Maturity

Securities

0.0

Total Allowance for Credit

Losses

$11,860

$15,319

-22.6

$13,788

Allowance for Unfunded

Credit Commitments

$201

0.0

$201

9. Credit Quality.

(dollars in thousands)

9/30/25

9/30/24

Change

6/30/25

Nonperforming Loans:

Nonperforming Nonaccrual

Loans

$1,619

$252

542.5

$ -

Performing Nonaccrual

Loans

728

n/m

4,553

Total Nonaccrual Loans

2,347

252

831.3

4,553

Accruing Loans 90+ Days

Past Due

297

667

-55.5

411

Total Nonperforming Loans

$2,644

$919

187.7

$4,964

Total Loans Outstanding

$741,579

$833,967

-11.1

$748,264

Total Assets

5,914,438

6,161,143

-4.0

5,825,069

Loans:

Allowance for Credit Losses

on Loans

$11,859

$15,318

-22.6

$13,787

Allowance for Credit Losses

on Loans / Loans

1.60

1.84

Nonperforming Loans /

Total Loans

0.36

0.11

0.66

10. Liquidity.

At September 30, 2025, the Company had $659,268 thousand in cash balances. During the twelve months ending September 30, 2026, the Company expects to receive $338,000 thousand in principal payments from its debt securities. If additional operational liquidity is required, the Company can pledge debt securities as collateral for borrowing purposes; at September 30, 2025, the Company's debt securities which qualify as collateral for borrowing totaled $3,752,853 thousand. In the ordinary course of business, the Company pledges debt securities as collateral for certain depository customers; at September 30, 2025, the Company had pledged $713,200 thousand in debt securities for depository customers. In the ordinary course of business, the Company pledges debt securities as collateral for borrowing from the Federal Reserve Bank; at September 30, 2025, the Company had pledged $647,776 thousand in debt securities at the Federal Reserve Bank. During the nine months ended September 30, 2025, the Company's average borrowings from the Federal Reserve Bank and correspondent banks were $-0- thousand and $-0- thousand, respectively, and at September 30, 2025, the Company had no borrowings from the Federal Reserve Bank or other correspondent banks. At September 30, 2025, the Company had access to borrowing from the Federal Reserve up to $647,776 thousand based on collateral pledged at September 30, 2025. At September 30, 2025, the Company's estimated unpledged collateral qualifying debt securities totaled $1,970,022 thousand. Debt securities eligible as collateral are shown at market value.

(in thousands)

9/30/25

Debt Securities Eligible as

Collateral:

Corporate Securities

$2,531,359

Collateralized Loan

Obligations rated AAA

190,368

Obligations of States and

Political Subdivisions

91,351

Agency Mortgage Backed

Securities

634,583

Securities of U.S. Government

Sponsored Entities

305,192

Total Debt Securities Eligible

as Collateral

$3,752,853

Debt Securities Pledged

as Collateral:

Debt Securities Pledged

at the Federal Reserve Bank

($647,776

)

Deposits by Public Entities

(713,200

)

Securities Sold under

Repurchase Agreements

(415,475

)

Other

(6,380

)

Total Debt Securities Pledged

as Collateral

($1,782,831

)

Estimated Debt Securities

Available to Pledge

$1,970,022

11. Capital.

(in thousands, except per-share amounts)

9/30/25

9/30/24

Change

6/30/25

Shareholders' Equity

$931,646

$909,040

2.5

$921,783

Total Assets

5,914,438

6,161,143

-4.0

5,825,069

Shareholders' Equity/

Total Assets

15.75

14.75

15.82

Shareholders' Equity/

Total Loans

125.63

109.00

123.19

Tangible Common Equity

Ratio

13.98

13.03

14.03

Common Shares Outstanding

25,107

26,686

-5.9

25,587

Common Equity Per Share

$37.11

$34.06

8.9

$36.03

Market Value Per Common

Share

49.99

49.42

1.2

48.44

(shares in thousands)

Q3'2025

Q3'2024

Change

Q2'2025

Share Retirements (Issuances):

Total Shares Retired

488

n/m

773

Average Retirement Price

$48.96

$ -

n/m

$49.61

Net Shares Retired (Issued)

480

)

n/m

773

9/30'25YTD

9/30'24YTD

Change

Total Shares Retired

1,622

n/m

Average Retirement Price

$49.60

$45.58

n/m

Net Shares Retired (Issued)

1,601

(15

)

n/m

12. Period-End Balance Sheets.

(unaudited, dollars in thousands)

9/30/25

9/30/24

Change

6/30/25

Assets:

Cash and Due from Banks

$659,268

$502,945

31.1

$626,437

Debt Securities Available for

Sale:

Corporate Securities

1,797,562

1,901,617

-5.5

1,792,021

Collateralized Loan

Obligations

561,063

1,078,920

-48.0

780,147

Agency Mortgage Backed

Securities

589,654

227,565

159.1

291,543

Securities of U.S.

Government Sponsored

Entities

305,192

303,609

0.5

301,903

Obligations of States and

Political Subdivisions

51,853

63,876

-18.8

60,835

U.S. Treasury Securities

4,899

n/m

Total Debt Securities

Available for Sale

3,305,324

3,580,486

-7.7

3,226,449

Debt Securities Held to

Maturity:

Agency Mortgage Backed

Securities

46,433

62,745

-26.0

49,878

Corporate Securities

740,545

733,748

0.9

738,846

Obligations of States and

Political Subdivisions (1)

39,527

53,768

-26.5

45,715

Total Debt Securities

Held to Maturity (1)

826,505

850,261

-2.8

834,439

Loans

741,579

833,967

-11.1

748,264

Allowance For Credit Losses

on Loans

(11,859

)

(15,318

)

-22.6

(13,787

)

Total Loans, net

729,720

818,649

-10.9

734,477

Premises and Equipment, net

25,874

26,129

-1.0

25,850

Identifiable Intangibles, net

178

n/m

Goodwill

121,673

0.0

121,673

Other Assets

246,074

260,822

-5.7

255,725

Total Assets

$5,914,438

$6,161,143

-4.0

$5,825,069

Liabilities and Shareholders'

Equity:

Deposits:

Noninterest-Bearing

$2,214,100

$2,375,958

-6.8

$2,175,841

Interest-Bearing Transaction

881,367

925,455

-4.8

894,774

Savings

1,626,474

1,677,332

-3.0

1,603,974

Time

71,238

86,305

-17.5

72,946

Total Deposits

4,793,179

5,065,050

-5.4

4,747,535

Securities Sold under

Repurchase Agreements

133,651

132,487

0.9

101,210

Total Short-Term

Borrowed Funds

133,651

132,487

0.9

101,210

Other Liabilities

55,962

54,566

2.6

54,541

Total Liabilities

4,982,792

5,252,103

-5.1

4,903,286

Shareholders' Equity:

Common Equity:

Paid-In Capital

448,600

475,096

-5.6

456,964

Accumulated Other

Comprehensive Loss

(99,913

)

(127,653

)

-21.7

(116,747

)

Retained Earnings

582,959

561,597

3.8

581,566

Total Shareholders' Equity

931,646

909,040

2.5

921,783

Total Liabilities and

Shareholders' Equity

$5,914,438

$6,161,143

-4.0

$5,825,069

13. Income Statements.

(unaudited, in thousands except per-share amounts)

Q3'2025

Q3'2024

Change

Q2'2025

Interest and Loan Fee Income:

Loans

$10,257

$11,441

-10.3

$10,523

Equity Securities

409

388

5.4

408

Debt Securities Available

for Sale

30,358

40,616

-25.3

30,815

Debt Securities Held to

Maturity

8,370

8,587

-2.5

8,448

Interest-Bearing Cash

7,840

6,762

15.9

7,273

Total Interest and Loan

Fee Income

57,234

67,794

-15.6

57,467

Interest Expense:

Transaction Deposits

-4.3

Savings Deposits

3,361

2,990

12.4

2,950

Time Deposits

-38.2

Bank Term Funding Program

Borrowings

2,278

n/m

Securities Sold under

Repurchase Agreements

192

254

-24.5

144

Total Interest Expense

3,645

5,645

-35.4

3,189

Net Interest and Loan

Fee Income

53,589

62,149

-13.8

54,278

Provision for

Credit Losses

n/m

Noninterest Income:

Service Charges on Deposit

Accounts

3,317

3,585

-7.5

3,368

Merchant Processing

Services

2,860

2,474

15.6

2,687

Debit Card Fees

1,603

1,702

-5.8

1,664

Trust Fees

895

846

5.8

867

ATM Processing Fees

483

533

-9.4

482

Other Service Fees

448

454

-1.3

450

Bank Owned

Life Insurance Gains

202

n/m

106

Other Noninterest Income

545

2,129

-74.4

691

Total Noninterest Income

10,151

11,925

-14.9

10,315

Noninterest Expense:

Salaries and Related Benefits

12,387

12,762

-2.9

12,303

Occupancy and Equipment

5,253

5,256

-0.1

5,154

Outsourced Data Processing

2,722

2,614

4.1

2,709

Limited Partnership

Operating Losses

915

1,210

-24.4

915

Professional Fees

643

337

90.8

386

Courier Service

738

682

8.2

687

Other Noninterest Expense

3,142

3,448

-8.9

3,375

Total Noninterest Expense

25,800

26,309

-1.9

25,529

Income Before Income Taxes

37,940

47,765

-20.6

39,064

Income Tax Provision

9,677

12,708

-23.9

9,998

Net Income

$28,263

$35,057

-19.4

$29,066

Average Common Shares

Outstanding

25,341

26,685

-5.0

25,889

Diluted Average Common

Shares Outstanding

25,341

26,686

-5.0

25,889

Per Common Share Data:

Basic Earnings

$1.12

$1.31

-14.5

$1.12

Diluted Earnings

1.12

1.31

-14.5

1.12

Dividends Paid

0.46

0.44

4.5

0.46

9/30'25YTD

9/30'24YTD

Change

Interest and Loan Fee Income:

Loans

$31,449

$34,119

-7.8

Equity Securities

1,239

1,178

5.2

Debt Securities Available

for Sale

94,376

130,345

-27.6

Debt Securities Held to

Maturity

25,312

25,964

-2.5

Interest-Bearing Cash

21,816

14,006

55.8

Total Interest and Loan

Fee Income

174,192

205,612

-15.3

Interest Expense:

Transaction Deposits

135

235

-42.6

Savings Deposits

9,439

7,229

30.6

Time Deposits

153

215

-28.8

Bank Term Funding Program

Borrowings

5,813

n/m

Securities Sold under

Repurchase Agreements

503

461

9.1

Total Interest Expense

10,230

13,953

-26.7

Net Interest and Loan

Fee Income

163,962

191,659

-14.5

(Reversal of) Provision

for Credit Losses

(550

)

300

n/m

Noninterest Income:

Service Charges on Deposit

10,066

10,524

-4.4

Accounts

Merchant Processing

Services

8,280

7,714

7.3

Debit Card Fees

4,848

4,951

-2.1

Trust Fees

2,661

2,451

8.6

ATM Processing Fees

1,428

1,664

-14.2

Other Service Fees

1,327

1,342

-1.1

Bank Owned

Life Insurance Gains

208

202

n/m

Other Noninterest Income

1,969

3,674

-46.4

Total Noninterest Income

30,787

32,522

-5.3

Noninterest Expense:

Salaries and Related Benefits

36,816

37,831

-2.7

Occupancy and Equipment

15,445

15,454

-0.1

Outsourced Data Processing

8,128

7,661

6.1

Limited Partnership

Operating Losses

2,745

4,090

-32.9

Professional Fees

1,424

1,101

29.3

Courier Service

2,113

2,017

4.8

Other Noninterest Expense

9,785

10,384

-5.8

Total Noninterest Expense

76,456

78,538

-2.7

Income Before Income Taxes

118,843

145,343

-18.2

Income Tax Provision

30,477

38,407

-20.6

Net Income

$88,366

$106,936

-17.4

Average Common Shares

Outstanding

25,953

26,680

-2.7

Diluted Average Common

Shares Outstanding

25,953

26,681

-2.7

Per Common Share Data:

Basic Earnings

$3.40

$4.01

-15.2

Diluted Earnings

3.40

4.01

-15.2

Dividends Paid

1.36

1.32

3.0

Footnotes and Abbreviations:

(1) Debt Securities Held To Maturity and Obligations of States and Political Subdivisions are net of related reserve for expected credit losses of $1 thousand at September 30, 2025, June 30, 2025 and September 30, 2024.

(FTE) Fully Taxable Equivalent. The Company presents its net interest margin and net interest income on a FTE basis using the current statutory federal tax rate. Management believes the FTE basis is valuable to the reader because the Company's loan and investment securities portfolios contain a portion of municipal loans and securities that are federally tax exempt. The Company's tax exempt loans and securities composition may not be similar to that of other banks, therefore in order to reflect the impact of the federally tax exempt loans and securities on the net interest margin and net interest income for comparability with other banks, the Company presents its net interest margin and net interest income on a FTE basis.

Westamerica Bancorporation Reports Third Quarter 2025 Financial Results