First Financial Bancorp (FFBC) investor relations material

Executive summary

• Achieved record adjusted earnings per share of $0.80, up 8% year-over-year, and reported GAAP EPS of $0.73 for Q2 2026, with net income of $76.5 million and return on average assets at 1.37%.

• Announced agreement to acquire Finward Bancorp in an all-stock transaction, expanding presence in northwest Indiana and Chicago, expected to add $2.0 billion in assets and be 5% accretive to EPS.

• Completed integration of Westfield and BankFinancial acquisitions, with cost synergies largely realized and BankFinancial adding $1.4 billion in assets and $1.2 billion in deposits.

• Total assets reached $22.4 billion at June 30, 2026, up from $21.1 billion at year-end 2025, driven by acquisitions and organic growth.

• Quarterly dividend increased to $0.26 per share, payable in Q3 2026.

Financial highlights

• Net interest margin (FTE) was 3.98% for Q2 2026, stable sequentially, with net interest income of $190.4 million and total loans growing by $240 million (7.1% annualized).

• Noninterest income for the first six months was $155.7 million, up 30.7% year-over-year, including a $12.1 million gain on bargain purchase from the BankFinancial acquisition.

• Noninterest expenses were $161.5 million, or $149.1 million as adjusted, down 3.7% from the prior quarter.

• Tangible book value per share was $16.64, up 3% sequentially.

• Deposits increased to $17.6 billion, up $1.2 billion from December 2025, mainly from the BankFinancial acquisition.

Outlook and guidance

• Net interest margin expected to remain stable near 4.00% if interest rates do not change significantly.

• Loan production pipelines remain strong, with healthy growth anticipated in Q3 2026.

• Fee income expected to rebound in Q3 after a softer Q2; cost synergies from recent acquisitions to be fully realized by quarter-end.

• The pending Finward Bancorp acquisition is expected to close in Q4 2026 or Q1 2027, further strengthening the deposit base and market presence.

• The company remains focused on disciplined capital deployment, risk management, and maintaining strong credit quality.