Zions Bancorporation (ZION) investor relations material

Business model and market positioning

• Operates as a collection of community banks with local decision-making and a focus on commercial banking and superior credit performance.

• Two-thirds of revenue comes from commercial customers, with best-in-class credit quality and low net charge-off ratios.

• Recognized nationally for service, earning multiple Greenwich Excellence Awards and strong customer satisfaction scores.

• Geographic footprint spans 11 western states, contributing to a diverse and resilient portfolio.

Financial performance and key metrics

• First quarter 2026 net earnings were $232 million ($1.56 per share), up 37% year-over-year but down 11% from the prior quarter due to seasonal expenses.

• Net interest margin was 3.27%, up 17 bps year-over-year but down 4 bps sequentially; net interest income rose 6% year-over-year.

• Adjusted pre-provision net revenue increased 13% year-over-year and declined 9% sequentially.

• Average loans grew 2.5% year-over-year; average customer deposits increased 2.3% year-over-year.

• Efficiency ratio was 65.0%, reflecting higher seasonal compensation expenses.

Balance sheet, liquidity, and capital

• Total assets were $88.0 billion, with $61.3 billion in loans and $76.9 billion in deposits as of 1Q26.

• Common Equity Tier 1 capital ratio stood at 11.5%, above peer median and regulatory thresholds.

• Investment securities and money market investments comprised 25% of earning assets, with 95% in U.S. government-related securities.

• Strong on-balance sheet liquidity, with principal and prepayment cash flows partially reinvested.

• AOCI projected to improve by $270 million in 2026, aided by hedging strategies.