Bank OZK (OZK) investor relations material

Executive summary

• CIB (Corporate & Institutional Banking) is rapidly growing, with over seven diversified business lines, contributing to quarter-over-quarter and year-over-year growth and reducing CRE concentration.

• Net income for Q2 2026 was $163.3 million, down 8.7% year-over-year but up 2.5% sequentially from Q1 2026.

• EPS for Q2 2026 was $1.49, a 5.7% decrease year-over-year but a 3.5% increase from Q1 2026.

• Strategic diversification of the loan portfolio continued, with CIB and RESG expected to reach parity in size by 2027, supporting future positioning.

• RESG repayments were elevated in Q2, nearing $3 billion, with continued high repayments expected through 2027 as the 2022 origination cycle matures.

Financial highlights

• Net interest margin improved by 4 basis points in Q2 compared to Q1, reaching 4.24% in Q2 2026.

• Net interest income in Q2 exceeded Q1, aided by margin improvement and deposit cost management.

• Efficiency ratio for Q2 2026 was 39.2%.

• Book value and tangible book value per common share increased.

• Capital ratios showed meaningful improvement.

Outlook and guidance

• Mid-single-digit loan growth is reaffirmed for the full year, with expectations for improved loan growth in Q3 and Q4.

• Average earning assets are projected to increase in Q3 and Q4, supporting the loan growth outlook.

• Net interest income guidance is cautious, with the possibility of being slightly below last year's figure due to timing of repayments.

• Management expressed confidence in future positioning due to solid financial performance and strategic initiatives.

• Forward-looking statements caution that actual results may differ due to risks and uncertainties.