Category: GlobeNewswire

Source: GlobeNewswire (MIL-OSI)

HONOLULU, April 23, 2025 (GLOBE NEWSWIRE) — First Hawaiian, Inc. (NASDAQ:FHB), (“First Hawaiian” or the “Company”) today reported financial results for its quarter ended March 31, 2025.

“I’m pleased to report that First Hawaiian Bank started 2025 with a solid quarter. Retail deposits continued to grow, net interest income rose from the prior quarter, expenses were well managed, and credit quality remained strong,” said Bob Harrison, Chairman, President, and CEO. “Despite the current economic uncertainty, our customers can be confident in the strength of our balance sheet, our solid capital position, and our deep roots in the community, which provide the stability and reliability that define us.”

On April 22, 2025, the Company’s Board of Directors declared a quarterly cash dividend of $0.26 per share. The dividend will be payable on May 30, 2025, to stockholders of record at the close of business on May 19, 2025.

First Quarter 2025 Highlights:

• Net income of $59.2 million, or $0.47 per diluted share
• Total loans and leases declined $115.2 million versus prior quarter
• Total deposits declined $106.4 million versus prior quarter
• Net interest margin increased 5 basis points to 3.08%
• Recorded a $10.5 million provision for credit losses
• Board of Directors declared a quarterly dividend of $0.26 per share

Balance Sheet

Total assets were $23.7 billion at March 31, 2025 versus $23.8 billion at December 31, 2024.

Gross loans and leases were $14.3 billion as of March 31, 2025, a decrease of $115.2 million, or 0.8%, from $14.4 billion as of December 31, 2024.

Total deposits were $20.2 billion as of March 31, 2025, a decrease of $106.4 million, or 0.5%, from $20.3 billion as of December 31, 2024.

Net Interest Income

Net interest income for the first quarter of 2025 was $160.5 million, an increase of $1.8 million, or 1.1%, compared to $158.8 million for the prior quarter.

The net interest margin was 3.08% in the first quarter of 2025, an increase of 5 basis points compared to 3.03% in the prior quarter.

Provision Expense

During the quarter ended March 31, 2025, we recorded a $10.5 million provision for credit losses. In the quarter ended December 31, 2024, we recorded a $0.8 million negative provision for credit losses.

Noninterest Income

Noninterest income was $50.5 million in the first quarter of 2025, an increase of $21.1 million compared to noninterest income of $29.4 million in the prior quarter. Noninterest income in the fourth quarter of 2024 included a $26.2 million loss on the sale of investment securities.

Noninterest Expense

Noninterest expense was $123.6 million in the first quarter of 2025, a decrease of $0.6 million compared to noninterest expense of $124.1 million in the prior quarter.

The efficiency ratio was 58.2% and 65.5% for the quarters ended March 31, 2025 and December 31, 2024, respectively.

Taxes

The effective tax rate was 23.0% and 18.9% for the quarters ended March 31, 2025 and December 31, 2024, respectively.

Asset Quality

The allowance for credit losses was $166.6 million, or 1.17% of total loans and leases, as of March 31, 2025, compared to $160.4 million, or 1.11% of total loans and leases, as of December 31, 2024. The reserve for unfunded commitments was $33.3 million as of March 31, 2025, compared to $32.8 million as of December 31, 2024. Net charge-offs were $3.8 million, or 0.11% of average loans and leases on an annualized basis, for the quarter ended March 31, 2025, compared to net charge-offs of $3.4 million, or 0.09% of average loans and leases on an annualized basis, for the quarter ended December 31, 2024. Total non-performing assets were $20.2 million, or 0.14% of total loans and leases and other real estate owned, on March 31, 2025, compared to total non-performing assets of $20.7 million, or 0.14% of total loans and leases and other real estate owned, on December 31, 2024.

Capital

Total stockholders’ equity was $2.6 billion on March 31, 2025 and December 31, 2024.

The tier 1 leverage, common equity tier 1 and total capital ratios were 9.01%, 12.93% and 14.17%, respectively, on March 31, 2025, compared with 9.14%, 12.80% and 13.99%, respectively, on December 31, 2024.

The Company repurchased 974 thousand shares of common stock at a total cost of $25.0 million under the stock repurchase program in the first quarter. The average cost was $25.66 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/BI13d3259b1b3b46188926f83e1bbe1316, 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.

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

Financial Highlights		Table 1
		For the Three Months Ended
		March 31,			December 31,				March 31,
(dollars in thousands, except per share data)		2025			2024				2024
Operating Results:
Net interest income		$	160,526		$	158,753			$	154,427
Provision (benefit) for credit losses			10,500			(750	)			6,300
Noninterest income			50,477			29,376				51,371
Noninterest expense			123,560			124,143				128,813
Net income			59,248			52,496				54,220
Basic earnings per share			0.47			0.41				0.42
Diluted earnings per share			0.47			0.41				0.42
Dividends declared per share			0.26			0.26				0.26
Dividend payout ratio			55.32	%		63.41		%		61.90	%
Performance Ratios(1):
Net interest margin			3.08	%		3.03		%		2.91	%
Efficiency ratio			58.22	%		65.51		%		62.15	%
Return on average total assets			1.01	%		0.88		%		0.90	%
Return on average tangible assets (non-GAAP)(2)			1.05	%		0.92		%		0.94	%
Return on average total stockholders’ equity			9.09	%		7.94		%		8.73	%
Return on average tangible stockholders’ equity (non-GAAP)(2)			14.59	%		12.78		%		14.53	%
Average Balances:
Average loans and leases		$	14,309,998		$	14,276,107			$	14,312,563
Average earning assets			21,169,194			21,079,951				21,481,890
Average assets			23,890,459			23,795,735				24,187,207
Average deposits			20,354,040			20,249,573				20,571,930
Average stockholders’ equity			2,641,978			2,629,600				2,496,840
Market Value Per Share:
Closing			24.44			25.95				21.96
High			28.28			28.80				23.12
Low			23.95			22.08				20.37

		As of			As of			As of
		March 31,			December 31,			March 31,
(dollars in thousands, except per share data)		2025			2024			2024
Balance Sheet Data:
Loans and leases		$	14,293,036		$	14,408,258		$	14,320,208
Total assets			23,744,958			23,828,186			24,279,186
Total deposits			20,215,816			20,322,216			20,669,481
Short-term borrowings			250,000			250,000			500,000
Total stockholders’ equity			2,648,852			2,617,486			2,513,761
Per Share of Common Stock:
Book value		$	21.07		$	20.70		$	19.66
Tangible book value (non-GAAP)(2)			13.15			12.83			11.88
Asset Quality Ratios:
Non-accrual loans and leases / total loans and leases			0.14	%		0.14	%		0.13	%
Allowance for credit losses for loans and leases / total loans and leases			1.17	%		1.11	%		1.12	%
Capital Ratios:
Common Equity Tier 1 Capital Ratio			12.93	%		12.80	%		12.55	%
Tier 1 Capital Ratio			12.93	%		12.80	%		12.55	%
Total Capital Ratio			14.17	%		13.99	%		13.75	%
Tier 1 Leverage Ratio			9.01	%		9.14	%		8.80	%
Total stockholders’ equity to total assets			11.16	%		10.98	%		10.35	%
Tangible stockholders’ equity to tangible assets (non-GAAP)(2)			7.27	%		7.10	%		6.52	%
Non-Financial Data:
Number of branches			48			48			50
Number of ATMs			273			273			275
Number of Full-Time Equivalent Employees			1,995			1,997			2,065

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⁽¹⁾ Except for the efficiency ratio, amounts are annualized for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024.

⁽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 12, GAAP to Non-GAAP Reconciliation.

Consolidated Statements of Income		Table 2
		For the Three Months Ended
		March 31,			December 31,				March 31,
(dollars in thousands, except per share amounts)		2025			2024				2024
Interest income
Loans and lease financing		$	192,102		$	198,347			$	199,844
Available-for-sale investment securities			13,150			12,767				14,546
Held-to-maturity investment securities			16,647			17,071				17,793
Other			13,251			11,977				12,769
Total interest income			235,150			240,162				244,952
Interest expense
Deposits			71,709			78,465				84,143
Short-term borrowings			2,599			2,685				5,953
Other			316			259				429
Total interest expense			74,624			81,409				90,525
Net interest income			160,526			158,753				154,427
Provision (benefit) for credit losses			10,500			(750	)			6,300
Net interest income after provision (benefit) for credit losses			150,026			159,503				148,127
Noninterest income
Service charges on deposit accounts			7,535			7,968				7,546
Credit and debit card fees			14,474			14,834				16,173
Other service charges and fees			12,167			13,132				9,904
Trust and investment services income			9,370			9,449				10,354
Bank-owned life insurance			4,371			5,713				4,286
Investment securities gains (losses), net			37			(26,171	)			—
Other			2,523			4,451				3,108
Total noninterest income			50,477			29,376				51,371
Noninterest expense
Salaries and employee benefits			60,104			59,003				59,262
Contracted services and professional fees			14,839			14,472				15,739
Occupancy			8,100			7,708				6,941
Equipment			13,871			14,215				13,413
Regulatory assessment and fees			3,823			3,745				8,120
Advertising and marketing			2,179			1,529				2,612
Card rewards program			7,919			7,926				8,508
Other			12,725			15,545				14,218
Total noninterest expense			123,560			124,143				128,813
Income before provision for income taxes			76,943			64,736				70,685
Provision for income taxes			17,695			12,240				16,465
Net income		$	59,248		$	52,496			$	54,220
Basic earnings per share		$	0.47		$	0.41			$	0.42
Diluted earnings per share		$	0.47		$	0.41			$	0.42
Basic weighted-average outstanding shares			126,281,802			127,350,626				127,707,354
Diluted weighted-average outstanding shares			127,166,932			128,167,502				128,217,689

Consolidated Balance Sheets		Table 3
(dollars in thousands, except share amount)		March 31, 2025				December 31, 2024				March 31, 2024
Assets
Cash and due from banks		$	240,738			$	258,057			$	202,121
Interest-bearing deposits in other banks			1,073,841				912,133				1,072,145
Investment securities:
Available-for-sale, at fair value (amortized cost: $2,091,034 as of March 31, 2025, $2,190,448 as of December 31, 2024 and $2,466,109 as of March 31, 2024)			1,858,428				1,926,516				2,159,338
Held-to-maturity, at amortized cost (fair value: $3,250,275 as of March 31, 2025, $3,262,509 as of December 31, 2024 and $3,470,710 as of March 31, 2024)			3,724,908				3,790,650				3,988,011
Loans held for sale			1,547				—				—
Loans and leases			14,293,036				14,408,258				14,320,208
Less: allowance for credit losses			166,612				160,393				159,836
Net loans and leases			14,126,424				14,247,865				14,160,372
Premises and equipment, net			292,576				288,530				281,181
Accrued interest receivable			78,973				79,979				85,715
Bank-owned life insurance			495,567				491,890				484,193
Goodwill			995,492				995,492				995,492
Mortgage servicing rights			4,926				5,078				5,533
Other assets			851,538				831,996				845,085
Total assets		$	23,744,958			$	23,828,186			$	24,279,186
Liabilities and Stockholders’ Equity
Deposits:
Interest-bearing		$	13,330,265			$	13,347,068			$	13,620,928
Noninterest-bearing			6,885,551				6,975,148				7,048,553
Total deposits			20,215,816				20,322,216				20,669,481
Short-term borrowings			250,000				250,000				500,000
Retirement benefits payable			96,241				97,135				102,242
Other liabilities			534,049				541,349				493,702
Total liabilities			21,096,106				21,210,700				21,765,425
Stockholders’ equity
Common stock ($0.01 par value; authorized 300,000,000 shares; issued/outstanding: 142,139,353 / 125,692,598 shares as of March 31, 2025, issued/outstanding: 141,748,847 / 126,422,898 shares as of December 31, 2024 and issued/outstanding: 141,687,612 / 127,841,908 shares as of March 31, 2024)			1,421				1,417				1,417
Additional paid-in capital			2,564,408				2,560,380				2,551,488
Retained earnings			960,337				934,048				858,494
Accumulated other comprehensive loss, net			(433,769	)			(463,994	)			(523,780	)
Treasury stock (16,446,755 shares as of March 31, 2025, 15,325,949 shares as of December 31, 2024 and 13,845,704 shares as of March 31, 2024)			(443,545	)			(414,365	)			(373,858	)
Total stockholders’ equity			2,648,852				2,617,486				2,513,761
Total liabilities and stockholders’ equity		$	23,744,958			$	23,828,186			$	24,279,186

Average Balances and Interest Rates																								Table 4
		Three Months Ended								Three Months Ended								Three Months Ended
		March 31, 2025								December 31, 2024								March 31, 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		$	1,171.1		$	12.8		4.44	%	$	948.9		$	11.3		4.75	%	$	858.6		$	11.6		5.45	%
Available-for-Sale Investment Securities
Taxable			1,891.4			13.2		2.79			1,987.7			12.7		2.56			2,210.6			14.5		2.63
Non-Taxable			1.4			—		5.52			1.4			—		5.30			1.8			—		5.61
Held-to-Maturity Investment Securities
Taxable			3,164.0			13.6		1.72			3,224.8			13.9		1.72			3,416.4			14.6		1.71
Non-Taxable			599.0			3.7		2.51			601.7			3.9		2.56			603.4			4.0		2.65
Total Investment Securities			5,655.8			30.5		2.16			5,815.6			30.5		2.10			6,232.2			33.1		2.13
Loans Held for Sale			0.3			—		6.28			1.3			—		5.75			0.7			—		6.92
Loans and Leases(1)
Commercial and industrial			2,196.8			33.6		6.20			2,157.8			35.2		6.50			2,164.9			37.2		6.92
Commercial real estate			4,420.1			66.5		6.10			4,333.1			68.9		6.33			4,323.5			70.1		6.53
Construction			937.0			15.4		6.67			990.7			17.4		6.99			924.7			17.4		7.55
Residential:
Residential mortgage			4,150.3			40.9		3.94			4,183.5			40.8		3.90			4,264.1			42.0		3.94
Home equity line			1,149.8			13.1		4.61			1,157.1			13.3		4.55			1,172.1			12.0		4.13
Consumer			1,019.5			18.9		7.53			1,033.2			19.0		7.29			1,083.5			18.1		6.71
Lease financing			436.5			4.3		3.99			420.7			4.4		4.18			379.8			3.7		3.91
Total Loans and Leases			14,310.0			192.7		5.44			14,276.1			199.0		5.55			14,312.6			200.5		5.63
Other Earning Assets			32.0			0.4		5.48			38.1			0.7		6.73			77.8			1.2		5.90
Total Earning Assets(2)			21,169.2			236.4		4.51			21,080.0			241.5		4.56			21,481.9			246.4		4.61
Cash and Due from Banks			235.9								226.2								244.3
Other Assets			2,485.4								2,489.5								2,461.0
Total Assets		$	23,890.5							$	23,795.7							$	24,187.2
Interest-Bearing Liabilities
Interest-Bearing Deposits
Savings		$	6,232.5		$	21.3		1.38	%	$	5,940.3		$	21.1		1.42	%	$	6,059.7		$	23.4		1.56	%
Money Market			3,922.2			23.0		2.38			4,053.6			26.6		2.61			3,944.9			28.8		2.94
Time			3,317.1			27.4		3.36			3,362.0			30.8		3.64			3,325.3			31.9		3.86
Total Interest-Bearing Deposits			13,471.8			71.7		2.16			13,355.9			78.5		2.34			13,329.9			84.1		2.54
Other Short-Term Borrowings			250.0			2.6		4.22			250.0			2.7		4.27			500.0			6.0		4.79
Other Interest-Bearing Liabilities			27.5			0.3		4.67			25.3			0.2		4.07			33.0			0.4		5.22
Total Interest-Bearing Liabilities			13,749.3			74.6		2.20			13,631.2			81.4		2.38			13,862.9			90.5		2.63
Net Interest Income					$	161.8							$	160.1							$	155.9
Interest Rate Spread(3)								2.31	%							2.18	%							1.98	%
Net Interest Margin(4)								3.08	%							3.03	%							2.91	%
Noninterest-Bearing Demand Deposits			6,882.2								6,893.7								7,242.0
Other Liabilities			617.0								641.2								585.5
Stockholders’ Equity			2,642.0								2,629.6								2,496.8
Total Liabilities and Stockholders’ Equity		$	23,890.5							$	23,795.7							$	24,187.2

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⁽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 $1.2 million, $1.4 million and $1.5 million for the three months ended March 31, 2025, December 31, 2024 and March 31, 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 March 31, 2025, December 31, 2024 and March 31, 2024, on a fully taxable-equivalent basis, divided by average total earning assets.

Analysis of Change in Net Interest Income											Table 5
		Three Months Ended March 31, 2025
		Compared to December 31, 2024
(dollars in millions)		Volume				Rate				Total (1)
Change in Interest Income:
Interest-Bearing Deposits in Other Banks		$	2.3			$	(0.8	)		$	1.5
Available-for-Sale Investment Securities
Taxable			(0.6	)			1.1				0.5
Held-to-Maturity Investment Securities
Taxable			(0.3	)			—				(0.3	)
Non-Taxable			—				(0.2	)			(0.2	)
Total Investment Securities			(0.9	)			0.9				—
Loans and Leases
Commercial and industrial			0.5				(2.1	)			(1.6	)
Commercial real estate			0.9				(3.3	)			(2.4	)
Construction			(1.1	)			(0.9	)			(2.0	)
Residential:
Residential mortgage			(0.3	)			0.4				0.1
Home equity line			(0.2	)			—				(0.2	)
Consumer			(0.4	)			0.3				(0.1	)
Lease financing			0.1				(0.2	)			(0.1	)
Total Loans and Leases			(0.5	)			(5.8	)			(6.3	)
Other Earning Assets			(0.1	)			(0.2	)			(0.3	)
Total Change in Interest Income			0.8				(5.9	)			(5.1	)
Change in Interest Expense:
Interest-Bearing Deposits
Savings			0.9				(0.7	)			0.2
Money Market			(1.0	)			(2.6	)			(3.6	)
Time			(0.5	)			(2.9	)			(3.4	)
Total Interest-Bearing Deposits			(0.6	)			(6.2	)			(6.8	)
Other Short-Term Borrowings			—				(0.1	)			(0.1	)
Other Interest-Bearing Liabilities			—				0.1				0.1
Total Change in Interest Expense			(0.6	)			(6.2	)			(6.8	)
Change in Net Interest Income		$	1.4			$	0.3			$	1.7

---

⁽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 6
		Three Months Ended March 31, 2025
		Compared to March 31, 2024
(dollars in millions)		Volume				Rate				Total (1)
Change in Interest Income:
Interest-Bearing Deposits in Other Banks		$	3.7			$	(2.5	)		$	1.2
Available-for-Sale Investment Securities
Taxable			(2.2	)			0.9				(1.3	)
Held-to-Maturity Investment Securities
Taxable			(1.1	)			0.1				(1.0	)
Non-Taxable			—				(0.3	)			(0.3	)
Total Investment Securities			(3.3	)			0.7				(2.6	)
Loans and Leases
Commercial and industrial			0.5				(4.1	)			(3.6	)
Commercial real estate			1.5				(5.1	)			(3.6	)
Construction			0.2				(2.2	)			(2.0	)
Residential:
Residential mortgage			(1.1	)			—				(1.1	)
Home equity line			(0.2	)			1.3				1.1
Consumer			(1.2	)			2.0				0.8
Lease financing			0.5				0.1				0.6
Total Loans and Leases			0.2				(8.0	)			(7.8	)
Other Earning Assets			(0.7	)			(0.1	)			(0.8	)
Total Change in Interest Income			(0.1	)			(9.9	)			(10.0	)
Change in Interest Expense:
Interest-Bearing Deposits
Savings			0.7				(2.8	)			(2.1	)
Money Market			(0.2	)			(5.6	)			(5.8	)
Time			(0.1	)			(4.4	)			(4.5	)
Total Interest-Bearing Deposits			0.4				(12.8	)			(12.4	)
Other Short-Term Borrowings			(2.7	)			(0.7	)			(3.4	)
Other Interest-Bearing Liabilities			(0.1	)			—				(0.1	)
Total Change in Interest Expense			(2.4	)			(13.5	)			(15.9	)
Change in Net Interest Income		$	2.3			$	3.6			$	5.9

---

⁽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 7
		March 31,			December 31,			March 31,
(dollars in thousands)		2025			2024			2024
Commercial and industrial		$	2,261,394		$	2,247,428		$	2,189,875
Commercial real estate			4,367,433			4,463,992			4,301,300
Construction			954,072			918,326			972,517
Residential:
Residential mortgage			4,129,518			4,168,154			4,242,502
Home equity line			1,144,895			1,151,739			1,165,778
Total residential			5,274,413			5,319,893			5,408,280
Consumer			998,325			1,023,969			1,054,227
Lease financing			437,399			434,650			394,009
Total loans and leases		$	14,293,036		$	14,408,258		$	14,320,208

Deposits									Table 8
		March 31,			December 31,			March 31,
(dollars in thousands)		2025			2024			2024
Demand		$	6,885,551		$	6,975,148		$	7,048,553
Savings			6,110,796			6,021,364			6,277,679
Money Market			3,865,203			4,027,334			4,059,204
Time			3,354,266			3,298,370			3,284,045
Total Deposits		$	20,215,816		$	20,322,216		$	20,669,481

Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More									Table 9
		March 31,			December 31,			March 31,
(dollars in thousands)		2025			2024			2024
Non-Performing Assets
Non-Accrual Loans and Leases
Commercial Loans:
Commercial and industrial		$	—		$	329		$	942
Commercial real estate			216			411			2,953
Construction			375			—			—
Total Commercial Loans			591			740			3,895
Residential Loans:
Residential mortgage			12,809			12,768			7,777
Home equity line			6,788			7,171			6,345
Total Residential Loans			19,597			19,939			14,122
Total Non-Accrual Loans and Leases			20,188			20,679			18,017
Total Non-Performing Assets		$	20,188		$	20,679		$	18,017
Accruing Loans and Leases Past Due 90 Days or More
Commercial Loans:
Commercial and industrial		$	740		$	1,432		$	529
Construction			—			536			606
Total Commercial Loans			740			1,968			1,135
Residential mortgage			1,008			1,317			359
Consumer			2,554			2,734			2,126
Total Accruing Loans and Leases Past Due 90 Days or More		$	4,302		$	6,019		$	3,620
Total Loans and Leases		$	14,293,036		$	14,408,258		$	14,320,208

Allowance for Credit Losses and Reserve for Unfunded Commitments		Table 10
		For the Three Months Ended
		March 31,				December 31,				March 31,
(dollars in thousands)		2025				2024				2024
Balance at Beginning of Period		$	193,240			$	197,397			$	192,138
Loans and Leases Charged-Off
Commercial and industrial			(1,459	)			(851	)			(909	)
Home equity line			(14	)			—				—
Consumer			(5,025	)			(4,774	)			(4,854	)
Total Loans and Leases Charged-Off			(6,498	)			(5,625	)			(5,763	)
Recoveries on Loans and Leases Previously Charged-Off
Commercial Loans:
Commercial and industrial			403				298				211
Commercial real estate			251				—				—
Total Commercial Loans			654				298				211
Residential Loans:
Residential mortgage			20				30				30
Home equity line			64				32				44
Total Residential Loans			84				62				74
Consumer			1,979				1,858				1,689
Total Recoveries on Loans and Leases Previously Charged-Off			2,717				2,218				1,974
Net Loans and Leases Charged-Off			(3,781	)			(3,407	)			(3,789	)
Provision (Benefit) for Credit Losses			10,500				(750	)			6,300
Balance at End of Period		$	199,959			$	193,240			$	194,649
Components:
Allowance for Credit Losses		$	166,612			$	160,393			$	159,836
Reserve for Unfunded Commitments			33,347				32,847				34,813
Total Allowance for Credit Losses and Reserve for Unfunded Commitments		$	199,959			$	193,240			$	194,649
Average Loans and Leases Outstanding		$	14,309,998			$	14,276,107			$	14,312,563
Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding(1)			0.11		%		0.09		%		0.11		%
Ratio of Allowance for Credit Losses for Loans and Leases to Loans and Leases Outstanding			1.17		%		1.11		%		1.12		%
Ratio of Allowance for Credit Losses for Loans and Leases to Non-accrual Loans and Leases			8.25x				7.76x				8.87x

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⁽¹⁾ Annualized for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024.

Loans and Leases by Year of Origination and Credit Quality Indicator																											Table 11
																							Revolving
																							Loans
																							Converted
		Term Loans																		Revolving			to Term
		Amortized Cost Basis by Origination Year																		Loans			Loans
																				Amortized			Amortized
(dollars in thousands)		2025			2024			2023			2022			2021			Prior			Cost Basis			Cost Basis			Total
Commercial Lending
Commercial and Industrial
Risk rating:
Pass		$	19,578		$	173,435		$	68,842		$	172,494		$	220,547		$	268,053		$	1,148,880		$	20,009		$	2,091,838
Special Mention			364			916			2,250			3,353			58			1,229			41,972			—			50,142
Substandard			—			—			—			7,948			26			1,238			24,836			—			34,048
Other (1)			8,099			12,828			7,983			6,045			2,255			2,105			46,051			—			85,366
Total Commercial and Industrial			28,041			187,179			79,075			189,840			222,886			272,625			1,261,739			20,009			2,261,394
Current period gross charge-offs			—			43			95			179			356			779			7			—			1,459
Commercial Real Estate
Risk rating:
Pass			105,358			291,863			384,491			796,202			632,631			1,889,571			100,071			7,645			4,207,832
Special Mention			—			8,979			2,235			7,483			41,397			22,702			11,747			—			94,543
Substandard			—			—			—			54,918			1,007			9,003			—			—			64,928
Other (1)			—			—			—			—			—			130			—			—			130
Total Commercial Real Estate			105,358			300,842			386,726			858,603			675,035			1,921,406			111,818			7,645			4,367,433
Current period gross charge-offs			—			—			—			—			—			—			—			—			—
Construction
Risk rating:
Pass			4,610			122,410			198,780			353,108			162,361			52,233			22,934			—			916,436
Special Mention			—			—			—			—			—			147			—			—			147
Other (1)			522			14,134			8,910			8,500			1,553			3,177			693			—			37,489
Total Construction			5,132			136,544			207,690			361,608			163,914			55,557			23,627			—			954,072
Current period gross charge-offs			—			—			—			—			—			—			—			—			—
Lease Financing
Risk rating:
Pass			69,731			94,965			99,259			56,228			13,304			98,262			—			—			431,749
Special Mention			—			—			226			—			195			—			—			—			421
Substandard			—			4,411			526			292			—			—			—			—			5,229
Total Lease Financing			69,731			99,376			100,011			56,520			13,499			98,262			—			—			437,399
Current period gross charge-offs			—			—			—			—			—			—			—			—			—
Total Commercial Lending		$	208,262		$	723,941		$	773,502		$	1,466,571		$	1,075,334		$	2,347,850		$	1,397,184		$	27,654		$	8,020,298
Current period gross charge-offs		$	—		$	43		$	95		$	179		$	356		$	779		$	7		$	—		$	1,459

(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		$	41,949		$	161,436		$	183,292		$	482,310		$	933,384		$	1,578,605		$	—		$	—		$	3,380,976
680 – 739			4,088			18,218			34,761			65,347			101,230			192,602			—			—			416,246
620 – 679			734			1,714			3,922			23,196			18,793			51,826			—			—			100,185
550 – 619			—			—			817			6,495			7,696			17,224			—			—			32,232
Less than 550			—			—			731			771			2,253			7,503			—			—			11,258
No Score (3)			—			13,199			6,330			16,757			9,837			50,065			—			—			96,188
Other (2)			759			8,020			11,914			16,416			14,182			37,781			3,361			—			92,433
Total Residential Mortgage			47,530			202,587			241,767			611,292			1,087,375			1,935,606			3,361			—			4,129,518
Current period gross charge-offs			—			—			—			—			—			—			—			—			—
Home Equity Line
FICO:
740 and greater			—			—			—			—			—			—			911,857			1,404			913,261
680 – 739			—			—			—			—			—			—			169,131			1,684			170,815
620 – 679			—			—			—			—			—			—			39,262			592			39,854
550 – 619			—			—			—			—			—			—			12,077			485			12,562
Less than 550			—			—			—			—			—			—			6,645			486			7,131
No Score (3)			—			—			—			—			—			—			1,272			—			1,272
Total Home Equity Line			—			—			—			—			—			—			1,140,244			4,651			1,144,895
Current period gross charge-offs			—			—			—			—			—			—			14			—			14
Total Residential Lending		$	47,530		$	202,587		$	241,767		$	611,292		$	1,087,375		$	1,935,606		$	1,143,605		$	4,651		$	5,274,413
Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	—		$	14		$	—		$	14
Consumer Lending
FICO:
740 and greater			32,634			80,861			58,623			73,919			37,183			15,253			93,415			112			392,000
680 – 739			19,668			66,839			41,621			38,860			18,814			9,295			84,783			515			280,395
620 – 679			6,692			31,051			16,155			17,379			8,533			6,406			50,655			793			137,664
550 – 619			596			9,333			6,584			9,663			5,434			4,471			16,458			849			53,388
Less than 550			280			3,004			4,421			5,131			3,263			2,741			5,399			508			24,747
No Score (3)			750			821			95			30			—			18			35,238			194			37,146
Other (2)			201			—			—			257			600			1,044			70,883			—			72,985
Total Consumer Lending		$	60,821		$	191,909		$	127,499		$	145,239		$	73,827		$	39,228		$	356,831		$	2,971		$	998,325
Current period gross charge-offs		$	—		$	660		$	481		$	585		$	270		$	809		$	1,883		$	337		$	5,025
Total Loans and Leases		$	316,613		$	1,118,437		$	1,142,768		$	2,223,102		$	2,236,536		$	4,322,684		$	2,897,620		$	35,276		$	14,293,036
Current period gross charge-offs		$	—		$	703		$	576		$	764		$	626		$	1,588		$	1,904		$	337		$	6,498

---

⁽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 March 31, 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 March 31, 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 12
		For the Three Months Ended
		March 31,			December 31,			March 31,
(dollars in thousands)		2025			2024			2024
Income Statement Data:
Net income		$	59,248		$	52,496		$	54,220
Average total stockholders’ equity		$	2,641,978		$	2,629,600		$	2,496,840
Less: average goodwill			995,492			995,492			995,492
Average tangible stockholders’ equity		$	1,646,486		$	1,634,108		$	1,501,348
Average total assets		$	23,890,459		$	23,795,735		$	24,187,207
Less: average goodwill			995,492			995,492			995,492
Average tangible assets		$	22,894,967		$	22,800,243		$	23,191,715
Return on average total stockholders’ equity(1)			9.09	%		7.94	%		8.73	%
Return on average tangible stockholders’ equity (non-GAAP)(1)			14.59	%		12.78	%		14.53	%
Return on average total assets(1)			1.01	%		0.88	%		0.90	%
Return on average tangible assets (non-GAAP)(1)			1.05	%		0.92	%		0.94	%

		As of			As of			As of
		March 31,			December 31,			March 31,
(dollars in thousands, except per share amounts)		2025			2024			2024
Balance Sheet Data:
Total stockholders’ equity		$	2,648,852		$	2,617,486		$	2,513,761
Less: goodwill			995,492			995,492			995,492
Tangible stockholders’ equity		$	1,653,360		$	1,621,994		$	1,518,269
Total assets		$	23,744,958		$	23,828,186		$	24,279,186
Less: goodwill			995,492			995,492			995,492
Tangible assets		$	22,749,466		$	22,832,694		$	23,283,694
Shares outstanding			125,692,598			126,422,898			127,841,908
Total stockholders’ equity to total assets			11.16	%		10.98	%		10.35	%
Tangible stockholders’ equity to tangible assets (non-GAAP)			7.27	%		7.10	%		6.52	%
Book value per share		$	21.07		$	20.70		$	19.66
Tangible book value per share (non-GAAP)		$	13.15		$	12.83		$	11.88

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⁽¹⁾ Annualized for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024.

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