Wintrust Financial Corporation Reports Record First Quarter 2025 Net Income

Source: Nasdaq GlobeNewswire / 21 Apr 2025 17:10:08 America/New_York

ROSEMONT, Ill., April 21, 2025 (GLOBE NEWSWIRE) -- Wintrust Financial Corporation (“Wintrust”, “the Company”, “we” or “our”) (Nasdaq: WTFC) announced record quarterly net income of $189.0 million, or $2.69 per diluted common share, for the first quarter of 2025, compared to net income of $185.4 million, or $2.63 per diluted common share in the fourth quarter of 2024. Pre-tax, pre-provision income (non-GAAP) totaled a record $277.0 million, compared to $270.1 million for the fourth quarter of 2024.

Timothy S. Crane, President and Chief Executive Officer, commented, “Building on our record results in 2024, we are pleased with our strong start to the year. Our balanced business model supported disciplined loan growth, which was funded by robust deposit growth in the first quarter of 2025.”

Additionally, Mr. Crane noted, “Net interest margin in the first quarter increased by five basis points to 3.56% compared to the fourth quarter of 2024. The improvement in net interest margin was primarily attributed to decreased funding costs. The higher net interest margin and balance sheet growth supported record net interest income levels in the first quarter of 2025.”

Highlights of the first quarter of 2025:
Comparative information to the fourth quarter of 2024, unless otherwise noted

Total loans increased by $653 million, or 6% annualized.
Total deposits increased by approximately $1.1 billion, or 8% annualized.
Total assets increased by $1.0 billion, or 6% annualized.
Net interest income increased to $526.5 million in the first quarter of 2025, compared to $525.1 million in the fourth quarter of 2024, supported by improvement in net interest margin and balance sheet growth.
- Net interest margin increased to 3.54% (3.56% on a fully taxable-equivalent basis, non-GAAP) during the first quarter of 2025.
Non-interest income and non-interest expense were relatively stable in the first quarter of 2025. Notable impacts were:
- Net gains on investment securities totaled $3.2 million.
- Macatawa Bank acquisition-related costs were $2.7 million.
Provision for credit losses totaled $24.0 million in the first quarter of 2025, as compared to a provision for credit losses of $17.0 million in the fourth quarter of 2024.
Net charge-offs totaled $12.6 million, or 11 basis points of average total loans on an annualized basis, in the first quarter of 2025 compared to $15.9 million, or 13 basis points of average total loans on an annualized basis, in the fourth quarter of 2024.

Mr. Crane noted, “The Company exhibited disciplined and consistent loan growth, as loans increased by $653 million compared to the prior quarter, or 6% on an annualized basis. Loan pipelines are strong and we remain prudent in our review of credit opportunities, ensuring our loan growth adheres to our conservative credit standards. Strong deposit growth of $1.1 billion, or 8% on an annualized basis, in the first quarter of 2025 outpaced loan growth, which resulted in our loans-to-deposits ratio ending the quarter at 90.9%. Non-interest bearing deposits totaled $11.2 billion and comprised 21% of total deposits at the end of the first quarter of 2025. We continue to leverage our enviable market positioning to generate deposits, grow loans and expand our franchise value.”

Commenting on credit quality, Mr. Crane stated, “Prudent credit management, involving in-depth reviews of the portfolio, has led to positive outcomes by proactively identifying and resolving problem credits in a timely fashion. We continue to be conservative, diversified, and maintain our consistently strong credit standards. We believe the Company’s reserves are appropriate and we remain committed to maintaining credit quality as evidenced by our improved net charge-offs, stable levels of non-performing loans and our core loan allowance for credit losses of 1.37%.”

In summary, Mr. Crane concluded, “Overall, we are proud of our first quarter results and believe we are well-positioned to continue our strong momentum as we navigate the macroeconomic uncertainty in 2025. The first quarter results highlighted the quality of our core deposit franchise and multifaceted nature of our business model, which uniquely positions us to be successful. Anticipated solid loan growth in the second quarter, combined with a stable net interest margin should result in higher levels of net interest income in the second quarter of 2025. Increasing our long-term franchise value and net interest income, coupled with disciplined expense control and maintaining our conservative credit standards, remain our focus in 2025.”

The graphs shown on pages 3-7 illustrate certain financial highlights of the first quarter of 2025 as well as historical financial performance. See “Supplemental Non-GAAP Financial Measures/Ratios” at Table 17 for additional information with respect to non-GAAP financial measures/ratios, including the reconciliations to the corresponding GAAP financial measures/ratios.

Graphs available at the following link: http://ml.globenewswire.com/Resource/Download/cdbdc506-1b5a-4776-ae2e-e0b14106e712

SUMMARY OF RESULTS:

BALANCE SHEET

Total assets increased $1.0 billion in the first quarter of 2025 as compared to the fourth quarter of 2024. Total loans increased by $653.4 million as compared to the fourth quarter of 2024. The increase in loans was primarily driven by growth in the commercial and premium finance life insurance loan portfolios.

Total liabilities increased by $734.2 million in the first quarter of 2025 as compared to the fourth quarter of 2024, driven by a $1.1 billion increase in total deposits. Robust organic deposit growth in the first quarter of 2025 was driven by our diverse deposit product offerings. Non-interest bearing deposits as a percentage of total deposits were 21% at March 31, 2025, relatively stable compared to recent quarters. The Company's loans-to-deposits ratio ended the quarter at 90.9%.

For more information regarding changes in the Company’s balance sheet, see Consolidated Statements of Condition and Table 1 through Table 3 in this report.

NET INTEREST INCOME

For the first quarter of 2025, net interest income totaled $526.5 million, an increase of $1.3 million as compared to the fourth quarter of 2024, primarily due to improvement in net interest margin and growth in the balance sheet, partially offset by two fewer calendar days in the quarter.

Net interest margin increased to 3.54% (3.56% on a fully taxable-equivalent basis, non-GAAP) during the first quarter of 2025, up five basis points compared to the fourth quarter of 2024. The yield on earning assets declined 11 basis points during the first quarter of 2025 primarily due to a 15 basis point decrease in loan yields. The net free funds contribution declined six basis points compared to the fourth quarter of 2024. These declines were more than offset by a 22 basis point reduction in funding cost, primarily due to a 23 basis point decline in the rate paid on interest-bearing deposits, compared to the fourth quarter of 2024.

For more information regarding net interest income, see Table 4 through Table 7 in this report.

ASSET QUALITY

The allowance for credit losses totaled $448.4 million as of March 31, 2025, an increase from $437.1 million as of December 31, 2024. A provision for credit losses totaling $24.0 million was recorded for the first quarter of 2025 as compared to $17.0 million recorded in the fourth quarter of 2024. The higher provision for credit losses recognized in the first quarter of 2025 is primarily attributable to impacts related to the macroeconomic outlook. Future economic performance remains uncertain, thus downside risks to the baseline scenario, including widening credit spreads and lower valuations in financial markets, were considered to derive a qualitative addition to the provision for the first quarter of 2025. For more information regarding the allowance for credit losses and provision for credit losses, see Table 10 in this report.

Management believes the allowance for credit losses is appropriate to account for expected credit losses. The Company is required to estimate expected credit losses over the life of the Company’s financial assets as of the reporting date. There can be no assurances, however, that future losses will not significantly exceed the amounts provided for, thereby affecting future results of operations. A summary of the allowance for credit losses calculated for the loan components in each portfolio as of March 31, 2025, December 31, 2024, and September 30, 2024 is shown on Table 11 of this report.

Net charge-offs totaled $12.6 million in the first quarter of 2025, a decrease of $3.3 million as compared to $15.9 million of net charge-offs in the fourth quarter of 2024. Net charge-offs as a percentage of average total loans were 11 basis points in the first quarter of 2025 on an annualized basis, compared to 13 basis points on an annualized basis in the fourth quarter of 2024. For more information regarding net charge-offs, see Table 9 in this report.

The Company’s delinquency rates remain low and manageable. For more information regarding past due loans, see Table 12 in this report.

Non-performing assets and non-performing loans have remained relatively stable compared to prior quarters. Non-performing assets totaled $195.0 million and comprised 0.30% of total assets as of March 31, 2025, as compared to $193.9 million, or 0.30% of total assets, as of December 31, 2024. Non-performing loans totaled $172.4 million and comprised 0.35% of total loans at March 31, 2025, as compared to $170.8 million and 0.36% of total loans at December 31, 2024. For more information regarding non-performing assets, see Table 13 in this report.

NON-INTEREST INCOME

Non-interest income totaled $116.6 million in the first quarter of 2025, increasing $3.2 million, as compared to $113.5 million in the fourth quarter of 2024.

Wealth management revenue decreased by $4.7 million in the first quarter of 2025, as compared to the fourth quarter of 2024. Revenue in the first quarter of 2025 was impacted by the transition of systems and support for brokerage and certain private client business to a new third party in the current quarter, as well as lower assets under management due to lower market valuations. The reduction in revenue was driven by anticipated slowdown in activity from the transition, market conditions, and certain offsets to expenses. Wealth management revenue is comprised of the trust and asset management revenue of Wintrust Private Trust Company and Great Lakes Advisors, the brokerage commissions, managed money fees and insurance product commissions at Wintrust Investments and fees from tax-deferred like-kind exchange services provided by the Chicago Deferred Exchange Company.

Mortgage banking revenue totaling $20.5 million in the first quarter of 2025 was essentially unchanged compared to the fourth quarter of 2024. For more information regarding mortgage banking revenue, see Table 15 in this report.

The Company recognized $19.4 million in service charges on deposit accounts in the first quarter of 2025, as compared to $18.9 million in the fourth quarter of 2024. The $0.5 million increase in the first quarter of 2025 was primarily due to increased commercial account fees.

The Company recognized $3.2 million in net gains on investment securities in the first quarter of 2025 as compared to $2.8 million in net losses in the fourth quarter of 2024. The net gains in the first quarter of 2025 were primarily the result of unrealized gains on the Company’s equity investment securities with a readily determinable fair value.

For more information regarding non-interest income, see Table 14 in this report.

NON-INTEREST EXPENSE

Non-interest expenses totaled $366.1 million in the first quarter of 2025, decreasing $2.4 million as compared to $368.5 million in the fourth quarter of 2024.

Salaries and employee benefits expense decreased by $0.6 million in the first quarter of 2025 as compared to the fourth quarter of 2024. This was primarily driven by decreased commissions and incentives compensation expense related to lower mortgage originations and wealth management revenue in the quarter partially offset by higher salaries expense which can be attributed to annual merit increases taking effect in the first quarter of the year.

Advertising and marketing expenses in the first quarter of 2025 totaled $12.3 million, which was a $0.8 million decrease as compared to the fourth quarter of 2024. The reduction in the first quarter is primarily due to timing of marketing campaigns, sponsorship arrangements and other investments.

Professional fees expense totaled $9.0 million in the first quarter of 2025, resulting in a decrease of $2.3 million as compared to the fourth quarter of 2024. The decrease in the current quarter relates primarily to decreased fees on consulting services. Professional fees include legal, audit, and tax fees, external loan review costs, consulting arrangements and normal regulatory exam assessments.

Travel and entertainment expense totaled $5.3 million in the first quarter of 2025 which decreased $2.9 million as compared to the fourth quarter of 2024. The decrease is primarily due to seasonal corporate events that occur during the fourth quarter.

The Macatawa Bank acquisition related costs were $2.7 million in the first quarter of 2025, primarily driven by consulting expenses, employee retention and severance costs, and contracted resource costs.

For more information regarding non-interest expense, see Table 16 in this report.

INCOME TAXES

The Company recorded income tax expense of $64.0 million in the first quarter compared to $67.7 million in the fourth quarter of 2024. The effective tax rates were 25.30% in the first quarter of 2025 compared to 26.76% in the fourth quarter of 2024. The effective tax rates were partially impacted by the tax effects related to share-based compensation, which fluctuate based on the Company’s stock price and timing of employee stock option exercises and vesting of other share-based awards. The Company recorded net excess tax benefits of $3.7 million in the first quarter of 2025, compared to excess tax benefits of $50,000 in the fourth quarter of 2024 related to share-based compensation.

BUSINESS SUMMARY

Community Banking

Through community banking, the Company provides banking and financial services primarily to individuals, small to mid-sized businesses, local governmental units and institutional clients residing primarily in the local areas the Company services. In the first quarter of 2025, community banking increased its commercial, commercial real estate and residential real estate loan portfolios.

Mortgage banking revenue was $20.5 million for both the first quarter of 2025, and the fourth quarter of 2024. See Table 15 for more detail. Service charges on deposit accounts totaled $19.4 million in the first quarter of 2025 as compared to $18.9 million in the fourth quarter of 2024. The Company’s gross commercial and commercial real estate loan pipelines remained solid as of March 31, 2025 indicating momentum for expected continued loan growth in the second quarter of 2025.

Specialty Finance

Through specialty finance, the Company offers financing of insurance premiums for businesses and individuals, equipment financing through structured loans and lease products to customers in a variety of industries, accounts receivable financing and value-added, out-sourced administrative services and other services. Originations within the insurance premium financing receivables portfolios were $4.8 billion during the first quarter of 2025. Average balances increased by $213.4 million, as compared to the fourth quarter of 2024. The Company’s leasing divisions’ portfolio balances increased in the first quarter of 2025, with capital leases, loans, and equipment on operating leases of $2.7 billion, $1.1 billion, and $280.5 million as of March 31, 2025 respectively, as compared to $2.5 billion, $1.1 billion, and $278.3 million as of December 31, 2024, respectively. Revenues from the Company’s out-sourced administrative services business were $1.4 million in the first quarter of 2025, which was relatively stable compared to the fourth quarter of 2024.

Wealth Management

Through wealth management, the Company offers a full range of wealth management services, including trust and investment services, tax-deferred like-kind exchange services, asset management, and securities brokerage services. See “Items Impacting Comparative Results,” regarding the sale of the Company’s Retirement Benefits Advisors (“RBA”) division during the first quarter of 2024. Wealth management revenue totaled $34.0 million in the first quarter of 2025, down slightly as compared to the fourth quarter of 2024. At March 31, 2025, the Company’s wealth management subsidiaries had approximately $51.1 billion of assets under administration, which included $8.4 billion of assets owned by the Company and its subsidiary banks.

ITEMS IMPACTING COMPARATIVE FINANCIAL RESULTS

Business Combination

On August 1, 2024, the Company completed its previously announced acquisition of Macatawa, the parent company of Macatawa Bank. In conjunction with the completed acquisition, the Company issued approximately 4.7 million shares of common stock. Macatawa operates 26 full-service branches located throughout communities in Kent, Ottawa and northern Allegan counties in the state of Michigan. Macatawa offers a full range of banking, retail and commercial lending, wealth management and ecommerce services to individuals, businesses and governmental entities. As of August 1, 2024, Macatawa had fair values of approximately $2.9 billion in assets, $2.3 billion in deposits and $1.3 billion in loans. As of March 31, 2025, the Company recorded goodwill of approximately $142.1 million on the purchase.

Division Sale

In the first quarter of 2024, the Company sold its RBA division and recorded a net gain of approximately $19.3 million ($20.0 million in other non-interest income from the sale, offset by $0.7 million in commissions/incentive compensation expense).

WINTRUST FINANCIAL CORPORATION
Key Operating Measures

Wintrust’s key operating measures and growth rates for the first quarter of 2025, as compared to the fourth quarter of 2024 (sequential quarter) and first quarter of 2024 (linked quarter), are shown in the table below:

										% or ⁽¹⁾basis point (bp) change from 4th Quarter 2024			% or basis point (bp) change from 1st Quarter 2024
	Three Months Ended
(Dollars in thousands, except per share data)	Mar 31, 2025			Dec 31, 2024			Mar 31, 2024
Net income	$	189,039		$	185,362		$	187,294		2		%	1		%
Pre-tax income, excluding provision for credit losses (non-GAAP) ⁽²⁾		277,018			270,060			271,629		3			2
Net income per common share – Diluted		2.69			2.63			2.89		2			(7	)
Cash dividends declared per common share		0.50			0.45			0.45		11			11
Net revenue ⁽³⁾		643,108			638,599			604,774		1			6
Net interest income		526,474			525,148			464,194		0			13
Net interest margin		3.54	%		3.49	%		3.57	%	5		bps	(3	)	bps
Net interest margin – fully taxable-equivalent (non-GAAP) ⁽²⁾		3.56			3.51			3.59		5			(3	)
Net overhead ratio ⁽⁴⁾		1.58			1.60			1.39		(2	)		19
Return on average assets		1.20			1.16			1.35		4			(15	)
Return on average common equity		12.21			11.82			14.42		39			(221	)
Return on average tangible common equity (non-GAAP) ⁽²⁾		14.72			14.29			16.75		43			(203	)
At end of period
Total assets	$	65,870,066		$	64,879,668		$	57,576,933		6		%	14		%
Total loans ⁽⁵⁾		48,708,390			48,055,037			43,230,706		6			13
Total deposits		53,570,038			52,512,349			46,448,858		8			15
Total shareholders’ equity		6,600,537			6,344,297			5,436,400		16			21

^{(1)   Period-end balance sheet percentage changes are annualized.
(2)   See Table 17: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.
(3)   Net revenue is net interest income plus non-interest income.
(4)   The net overhead ratio is calculated by netting total non-interest expense and total non-interest income, annualizing this amount, and dividing by that period’s average total assets. A lower ratio indicates a higher degree of efficiency.
(5)   Excludes mortgage loans held-for-sale.}

Certain returns, yields, performance ratios, or quarterly growth rates are “annualized” in this presentation to represent an annual time period. This is done for analytical purposes to better discern, for decision-making purposes, underlying performance trends when compared to full-year or year-over-year amounts. For example, a 5% growth rate for a quarter would represent an annualized 20% growth rate. Additional supplemental financial information showing quarterly trends can be found on the Company’s website at www.wintrust.com by choosing “Financial Reports” under the “Investor Relations” heading, and then choosing “Financial Highlights.”

WINTRUST FINANCIAL CORPORATION
Selected Financial Highlights

	Three Months Ended
(Dollars in thousands, except per share data)	Mar 31, 2025			Dec 31, 2024			Sep 30, 2024			Jun 30, 2024			Mar 31, 2024
Selected Financial Condition Data (at end of period):
Total assets	$	65,870,066		$	64,879,668		$	63,788,424		$	59,781,516		$	57,576,933
Total loans ⁽¹⁾		48,708,390			48,055,037			47,067,447			44,675,531			43,230,706
Total deposits		53,570,038			52,512,349			51,404,966			48,049,026			46,448,858
Total shareholders’ equity		6,600,537			6,344,297			6,399,714			5,536,628			5,436,400
Selected Statements of Income Data:
Net interest income	$	526,474		$	525,148		$	502,583		$	470,610		$	464,194
Net revenue ⁽²⁾		643,108			638,599			615,730			591,757			604,774
Net income		189,039			185,362			170,001			152,388			187,294
Pre-tax income, excluding provision for credit losses (non-GAAP) ⁽³⁾		277,018			270,060			255,043			251,404			271,629
Net income per common share – Basic		2.73			2.68			2.51			2.35			2.93
Net income per common share – Diluted		2.69			2.63			2.47			2.32			2.89
Cash dividends declared per common share		0.50			0.45			0.45			0.45			0.45
Selected Financial Ratios and Other Data:
Performance Ratios:
Net interest margin		3.54	%		3.49	%		3.49	%		3.50	%		3.57	%
Net interest margin – fully taxable-equivalent (non-GAAP) ⁽³⁾		3.56			3.51			3.51			3.52			3.59
Non-interest income to average assets		0.74			0.71			0.74			0.85			1.02
Non-interest expense to average assets		2.32			2.31			2.36			2.38			2.41
Net overhead ratio ⁽⁴⁾		1.58			1.60			1.62			1.53			1.39
Return on average assets		1.20			1.16			1.11			1.07			1.35
Return on average common equity		12.21			11.82			11.63			11.61			14.42
Return on average tangible common equity (non-GAAP) ⁽³⁾		14.72			14.29			13.92			13.49			16.75
Average total assets	$	64,107,042		$	63,594,105		$	60,915,283		$	57,493,184		$	55,602,695
Average total shareholders’ equity		6,460,941			6,418,403			5,990,429			5,450,173			5,440,457
Average loans to average deposits ratio		92.3	%		91.9	%		93.8	%		95.1	%		94.5	%
Period-end loans to deposits ratio		90.9			91.5			91.6			93.0			93.1
Common Share Data at end of period:
Market price per common share	$	112.46		$	124.71		$	108.53		$	98.56		$	104.39
Book value per common share		92.47			89.21			90.06			82.97			81.38
Tangible book value per common share (non-GAAP) ⁽³⁾		78.83			75.39			76.15			72.01			70.40
Common shares outstanding		66,919,325			66,495,227			66,481,543			61,760,139			61,736,715
Other Data at end of period:
Common equity to assets ratio		9.4	%		9.1	%		9.4	%		8.6	%		8.7	%
Tangible common equity ratio (non-GAAP) ⁽³⁾		8.1			7.8			8.1			7.5			7.6
Tier 1 leverage ratio ⁽⁵⁾		9.6			9.4			9.6			9.3			9.4
Risk-based capital ratios:
Tier 1 capital ratio ⁽⁵⁾		10.8			10.7			10.6			10.3			10.3
Common equity tier 1 capital ratio ⁽⁵⁾		10.1			9.9			9.8			9.5			9.5
Total capital ratio ⁽⁵⁾		12.5			12.3			12.2			12.1			12.2
Allowance for credit losses ⁽⁶⁾	$	448,387		$	437,060		$	436,193		$	437,560		$	427,504
Allowance for loan and unfunded lending-related commitment losses to total loans		0.92	%		0.91	%		0.93	%		0.98	%		0.99	%
Number of:
Bank subsidiaries		16			16			16			15			15
Banking offices		208			205			203			177			176

^{(1)   Excludes mortgage loans held-for-sale.}
^{(2)   Net revenue is net interest income plus non-interest income.}
^{(3)   See Table 17: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.}
^{(4)   The net overhead ratio is calculated by netting total non-interest expense and total non-interest income, annualizing this amount, and dividing by that period’s average total assets. A lower ratio indicates a higher degree of efficiency.}
^{(5)   Capital ratios for current quarter-end are estimated.}
^{(6)   The allowance for credit losses includes the allowance for loan losses, the allowance for unfunded lending-related commitments and the allowance for held-to-maturity securities losses.}

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CONDITION

	(Unaudited)						(Unaudited)			(Unaudited)			(Unaudited)
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024
Assets
Cash and due from banks	$	616,216		$	452,017		$	725,465		$	415,462		$	379,825
Federal funds sold and securities purchased under resale agreements		63			6,519			5,663			62			61
Interest-bearing deposits with banks		4,238,237			4,409,753			3,648,117			2,824,314			2,131,077
Available-for-sale securities, at fair value		4,220,305			4,141,482			3,912,232			4,329,957			4,387,598
Held-to-maturity securities, at amortized cost		3,564,490			3,613,263			3,677,420			3,755,924			3,810,015
Trading account securities		—			4,072			3,472			4,134			2,184
Equity securities with readily determinable fair value		270,442			215,412			125,310			112,173			119,777
Federal Home Loan Bank and Federal Reserve Bank stock		281,893			281,407			266,908			256,495			224,657
Brokerage customer receivables		—			18,102			16,662			13,682			13,382
Mortgage loans held-for-sale, at fair value		316,804			331,261			461,067			411,851			339,884
Loans, net of unearned income		48,708,390			48,055,037			47,067,447			44,675,531			43,230,706
Allowance for loan losses		(378,207	)		(364,017	)		(360,279	)		(363,719	)		(348,612	)
Net loans		48,330,183			47,691,020			46,707,168			44,311,812			42,882,094
Premises, software and equipment, net		776,679			779,130			772,002			722,295			744,769
Lease investments, net		280,472			278,264			270,171			275,459			283,557
Accrued interest receivable and other assets		1,598,255			1,739,334			1,721,090			1,671,334			1,580,142
Trade date securities receivable		463,023			—			551,031			—			—
Goodwill		796,932			796,942			800,780			655,955			656,181
Other acquisition-related intangible assets		116,072			121,690			123,866			20,607			21,730
Total assets	$	65,870,066		$	64,879,668		$	63,788,424		$	59,781,516		$	57,576,933
Liabilities and Shareholders’ Equity
Deposits:
Non-interest-bearing	$	11,201,859		$	11,410,018		$	10,739,132		$	10,031,440		$	9,908,183
Interest-bearing		42,368,179			41,102,331			40,665,834			38,017,586			36,540,675
Total deposits		53,570,038			52,512,349			51,404,966			48,049,026			46,448,858
Federal Home Loan Bank advances		3,151,309			3,151,309			3,171,309			3,176,309			2,676,751
Other borrowings		529,269			534,803			647,043			606,579			575,408
Subordinated notes		298,360			298,283			298,188			298,113			437,965
Junior subordinated debentures		253,566			253,566			253,566			253,566			253,566
Accrued interest payable and other liabilities		1,466,987			1,785,061			1,613,638			1,861,295			1,747,985
Total liabilities		59,269,529			58,535,371			57,388,710			54,244,888			52,140,533
Shareholders’ Equity:
Preferred stock		412,500			412,500			412,500			412,500			412,500
Common stock		67,007			66,560			66,546			61,825			61,798
Surplus		2,494,347			2,482,561			2,470,228			1,964,645			1,954,532
Treasury stock		(9,156	)		(6,153	)		(6,098	)		(5,760	)		(5,757	)
Retained earnings		4,045,854			3,897,164			3,748,715			3,615,616			3,498,475
Accumulated other comprehensive loss		(410,015	)		(508,335	)		(292,177	)		(512,198	)		(485,148	)
Total shareholders’ equity		6,600,537			6,344,297			6,399,714			5,536,628			5,436,400
Total liabilities and shareholders’ equity	$	65,870,066		$	64,879,668		$	63,788,424		$	59,781,516		$	57,576,933

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

	Three Months Ended
(Dollars in thousands, except per share data)	Mar 31, 2025			Dec 31, 2024			Sep 30, 2024			Jun 30, 2024			Mar 31, 2024
Interest income
Interest and fees on loans	$	768,362		$	789,038		$	794,163		$	749,812		$	710,341
Mortgage loans held-for-sale		4,246			5,623			6,233			5,434			4,146
Interest-bearing deposits with banks		36,766			46,256			32,608			19,731			16,658
Federal funds sold and securities purchased under resale agreements		179			53			277			17			19
Investment securities		72,016			67,066			69,592			69,779			69,678
Trading account securities		11			6			11			13			18
Federal Home Loan Bank and Federal Reserve Bank stock		5,307			5,157			5,451			4,974			4,478
Brokerage customer receivables		78			302			269			219			175
Total interest income		886,965			913,501			908,604			849,979			805,513
Interest expense
Interest on deposits		320,233			346,388			362,019			335,703			299,532
Interest on Federal Home Loan Bank advances		25,441			26,050			26,254			24,797			22,048
Interest on other borrowings		6,792			7,519			9,013			8,700			9,248
Interest on subordinated notes		3,714			3,733			3,712			5,185			5,487
Interest on junior subordinated debentures		4,311			4,663			5,023			4,984			5,004
Total interest expense		360,491			388,353			406,021			379,369			341,319
Net interest income		526,474			525,148			502,583			470,610			464,194
Provision for credit losses		23,963			16,979			22,334			40,061			21,673
Net interest income after provision for credit losses		502,511			508,169			480,249			430,549			442,521
Non-interest income
Wealth management		34,042			38,775			37,224			35,413			34,815
Mortgage banking		20,529			20,452			15,974			29,124			27,663
Service charges on deposit accounts		19,362			18,864			16,430			15,546			14,811
Gains (losses) on investment securities, net		3,196			(2,835	)		3,189			(4,282	)		1,326
Fees from covered call options		3,446			2,305			988			2,056			4,847
Trading (losses) gains, net		(64	)		(113	)		(130	)		70			677
Operating lease income, net		15,287			15,327			15,335			13,938			14,110
Other		20,836			20,676			24,137			29,282			42,331
Total non-interest income		116,634			113,451			113,147			121,147			140,580
Non-interest expense
Salaries and employee benefits		211,526			212,133			211,261			198,541			195,173
Software and equipment		34,717			34,258			31,574			29,231			27,731
Operating lease equipment		10,471			10,263			10,518			10,834			10,683
Occupancy, net		20,778			20,597			19,945			19,585			19,086
Data processing		11,274			10,957			9,984			9,503			9,292
Advertising and marketing		12,272			13,097			18,239			17,436			13,040
Professional fees		9,044			11,334			9,783			9,967			9,553
Amortization of other acquisition-related intangible assets		5,618			5,773			4,042			1,122			1,158
FDIC insurance		10,926			10,640			10,512			10,429			14,537
OREO expenses, net		643			397			(938	)		(259	)		392
Other		38,821			39,090			35,767			33,964			32,500
Total non-interest expense		366,090			368,539			360,687			340,353			333,145
Income before taxes		253,055			253,081			232,709			211,343			249,956
Income tax expense		64,016			67,719			62,708			58,955			62,662
Net income	$	189,039		$	185,362		$	170,001		$	152,388		$	187,294
Preferred stock dividends		6,991			6,991			6,991			6,991			6,991
Net income applicable to common shares	$	182,048		$	178,371		$	163,010		$	145,397		$	180,303
Net income per common share - Basic	$	2.73		$	2.68		$	2.51		$	2.35		$	2.93
Net income per common share - Diluted	$	2.69		$	2.63		$	2.47		$	2.32		$	2.89
Cash dividends declared per common share	$	0.50		$	0.45		$	0.45		$	0.45		$	0.45
Weighted average common shares outstanding		66,726			66,491			64,888			61,839			61,481
Dilutive potential common shares		923			1,233			1,053			926			928
Average common shares and dilutive common shares		67,649			67,724			65,941			62,765			62,409

TABLE 1: LOAN PORTFOLIO MIX AND GROWTH RATES

											% Growth From
(Dollars in thousands)	Mar 31, 2025		Dec 31, 2024		Sep 30, 2024		Jun 30, 2024		Mar 31, 2024		Dec 31, 2024 ⁽¹⁾		Mar 31, 2024
Balance:
Mortgage loans held-for-sale, excluding early buy-out exercised loans guaranteed by U.S. government agencies	$	181,580	$	189,774	$	314,693	$	281,103	$	193,064	(18	)%	(6	)%
Mortgage loans held-for-sale, early buy-out exercised loans guaranteed by U.S. government agencies		135,224		141,487		146,374		130,748		146,820	(18	)	(8	)
Total mortgage loans held-for-sale	$	316,804	$	331,261	$	461,067	$	411,851	$	339,884	(18	)%	(7	)%

Core loans:
Commercial
Commercial and industrial	$	6,871,206	$	6,867,422	$	6,774,683	$	6,236,290	$	6,117,004	0	%	12	%
Asset-based lending		1,701,962		1,611,001		1,709,685		1,465,867		1,355,255	23		26
Municipal		798,646		826,653		827,125		747,357		721,526	(14	)	11
Leases		2,680,943		2,537,325		2,443,721		2,439,128		2,344,295	23		14
Commercial real estate
Residential construction		55,849		48,617		73,088		55,019		57,558	60		(3	)
Commercial construction		2,086,797		2,065,775		1,984,240		1,866,701		1,748,607	4		19
Land		306,235		319,689		346,362		338,831		344,149	(17	)	(11	)
Office		1,641,555		1,656,109		1,675,286		1,585,312		1,566,748	(4	)	5
Industrial		2,677,555		2,628,576		2,527,932		2,307,455		2,190,200	8		22
Retail		1,402,837		1,374,655		1,404,586		1,365,753		1,366,415	8		3
Multi-family		3,091,314		3,125,505		3,193,339		2,988,940		2,922,432	(4	)	6
Mixed use and other		1,652,759		1,685,018		1,588,584		1,439,186		1,437,328	(8	)	15
Home equity		455,683		445,028		427,043		356,313		340,349	10		34
Residential real estate
Residential real estate loans for investment		3,561,417		3,456,009		3,252,649		2,933,157		2,746,916	12		30
Residential mortgage loans, early buy-out eligible loans guaranteed by U.S. government agencies		86,952		114,985		92,355		88,503		90,911	(99	)	(4	)
Residential mortgage loans, early buy-out exercised loans guaranteed by U.S. government agencies		36,790		41,771		43,034		45,675		52,439	(48	)	(30	)
Total core loans	$	29,108,500	$	28,804,138	$	28,363,712	$	26,259,487	$	25,402,132	4	%	15	%

Niche loans:
Commercial
Franchise	$	1,262,555	$	1,268,521	$	1,191,686	$	1,150,460	$	1,122,302	(2	)%	12	%
Mortgage warehouse lines of credit		1,019,543		893,854		750,462		593,519		403,245	57		NM
Community Advantage - homeowners association		525,492		525,446		501,645		491,722		475,832	0		10
Insurance agency lending		1,070,979		1,044,329		1,048,686		1,030,119		964,022	10		11
Premium Finance receivables
U.S. property & casualty insurance		6,486,663		6,447,625		6,253,271		6,142,654		6,113,993	2		6
Canada property & casualty insurance		753,199		824,417		878,410		958,099		826,026	(35	)	(9	)
Life insurance		8,365,140		8,147,145		7,996,899		7,962,115		7,872,033	11		6
Consumer and other		116,319		99,562		82,676		87,356		51,121	68		NM
Total niche loans	$	19,599,890	$	19,250,899	$	18,703,735	$	18,416,044	$	17,828,574	7	%	10	%

Total loans, net of unearned income	$	48,708,390	$	48,055,037	$	47,067,447	$	44,675,531	$	43,230,706	6	%	13	%

^{(1) Annualized.}

TABLE 2: DEPOSIT PORTFOLIO MIX AND GROWTH RATES

																% Growth From
(Dollars in thousands)	Mar 31, 2025			Dec 31, 2024			Sep 30, 2024			Jun 30, 2024			Mar 31, 2024			Dec 31, 2024⁽¹⁾		Mar 31, 2024
Balance:
Non-interest-bearing	$	11,201,859		$	11,410,018		$	10,739,132		$	10,031,440		$	9,908,183		(7	)%	13	%
NOW and interest-bearing demand deposits		6,340,168			5,865,546			5,466,932			5,053,909			5,720,947		33		11
Wealth management deposits ⁽²⁾		1,408,790			1,469,064			1,303,354			1,490,711			1,347,817		(17	)	5
Money market		18,074,733			17,975,191			17,713,726			16,320,017			15,617,717		2		16
Savings		6,576,251			6,372,499			6,183,249			5,882,179			5,959,774		13		10
Time certificates of deposit		9,968,237			9,420,031			9,998,573			9,270,770			7,894,420		24		26
Total deposits	$	53,570,038		$	52,512,349		$	51,404,966		$	48,049,026		$	46,448,858		8	%	15	%
Mix:
Non-interest-bearing		21	%		22	%		21	%		21	%		21	%
NOW and interest-bearing demand deposits		12			11			11			11			12
Wealth management deposits ⁽²⁾		3			3			3			3			3
Money market		34			34			34			34			34
Savings		12			12			12			12			13
Time certificates of deposit		18			18			19			19			17
Total deposits		100	%		100	%		100	%		100	%		100	%

^{(1) Annualized.
(2) Represents deposit balances of the Company’s subsidiary banks from brokerage customers of Wintrust Investments, Chicago Deferred Exchange Company, LLC (“CDEC”), and trust and asset management customers of the Company.}

TABLE 3: TIME CERTIFICATES OF DEPOSIT MATURITY/RE-PRICING ANALYSIS
As of March 31, 2025

(Dollars in thousands)	Total Time Certificates of Deposit		Weighted-Average Rate of Maturing Time Certificates of Deposit
1-3 months	$	3,845,120	4.34	%
4-6 months		2,345,184	3.81
7-9 months		2,694,739	3.72
10-12 months		711,206	3.62
13-18 months		210,063	3.03
19-24 months		87,336	2.72
24+ months		74,589	2.47
Total	$	9,968,237	3.94	%

TABLE 4: QUARTERLY AVERAGE BALANCES

	Average Balance for three months ended,
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents ⁽¹⁾	$	3,520,048		$	3,934,016		$	2,413,728		$	1,485,481		$	1,254,332
Investment securities ⁽²⁾		8,409,735			8,090,271			8,276,576			8,203,764			8,349,796
FHLB and FRB stock		281,702			271,825			263,707			253,614			230,648
Liquidity management assets ⁽³⁾	$	12,211,485		$	12,296,112		$	10,954,011		$	9,942,859		$	9,834,776
Other earning assets ⁽³⁾⁽⁴⁾		13,140			20,528			17,542			15,257			15,081
Mortgage loans held-for-sale		286,710			378,707			376,251			347,236			290,275
Loans, net of unearned income ⁽³⁾⁽⁵⁾		47,833,380			47,153,014			45,920,586			43,819,354			42,129,893
Total earning assets ⁽³⁾	$	60,344,715		$	59,848,361		$	57,268,390		$	54,124,706		$	52,270,025
Allowance for loan and investment security losses		(375,371	)		(367,238	)		(383,736	)		(360,504	)		(361,734	)
Cash and due from banks		476,423			470,033			467,333			434,916			450,267
Other assets		3,661,275			3,642,949			3,563,296			3,294,066			3,244,137
Total assets	$	64,107,042		$	63,594,105		$	60,915,283		$	57,493,184		$	55,602,695

NOW and interest-bearing demand deposits	$	6,046,189		$	5,601,672		$	5,174,673		$	4,985,306		$	5,680,265
Wealth management deposits		1,574,480			1,430,163			1,362,747			1,531,865			1,510,203
Money market accounts		17,581,141			17,579,395			16,436,111			15,272,126			14,474,492
Savings accounts		6,479,444			6,288,727			6,096,746			5,878,844			5,792,118
Time deposits		9,406,126			9,702,948			9,598,109			8,546,172			7,148,456
Interest-bearing deposits	$	41,087,380		$	40,602,905		$	38,668,386		$	36,214,313		$	34,605,534
Federal Home Loan Bank advances		3,151,309			3,160,658			3,178,973			3,096,920			2,728,849
Other borrowings		582,139			577,786			622,792			587,262			627,711
Subordinated notes		298,306			298,225			298,135			410,331			437,893
Junior subordinated debentures		253,566			253,566			253,566			253,566			253,566
Total interest-bearing liabilities	$	45,372,700		$	44,893,140		$	43,021,852		$	40,562,392		$	38,653,553
Non-interest-bearing deposits		10,732,156			10,718,738			10,271,613			9,879,134			9,972,646
Other liabilities		1,541,245			1,563,824			1,631,389			1,601,485			1,536,039
Equity		6,460,941			6,418,403			5,990,429			5,450,173			5,440,457
Total liabilities and shareholders’ equity	$	64,107,042		$	63,594,105		$	60,915,283		$	57,493,184		$	55,602,695

Net free funds/contribution ⁽⁶⁾	$	14,972,015		$	14,955,221		$	14,246,538		$	13,562,314		$	13,616,472

^{(1)   Includes interest-bearing deposits from banks and securities purchased under resale agreements with original maturities of greater than three months. Cash equivalents include federal funds sold and securities purchased under resale agreements with original maturities of three months or less.}
^{(2)   Investment securities includes investment securities classified as available-for-sale and held-to-maturity, and equity securities with readily determinable fair values. Equity securities without readily determinable fair values are included within other assets.}
^{(3)   See Table 17: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.}
^{(4)   Other earning assets include brokerage customer receivables and trading account securities.}
^{(5)   Loans, net of unearned income, include non-accrual loans.}
^{(6)   Net free funds are the difference between total average earning assets and total average interest-bearing liabilities. The estimated contribution to net interest margin from net free funds is calculated using the rate paid for total interest-bearing liabilities.}

TABLE 5: QUARTERLY NET INTEREST INCOME

	Net Interest Income for three months ended,
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024
Interest income:
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents	$	36,945		$	46,308		$	32,885		$	19,748		$	16,677
Investment securities		72,706			67,783			70,260			70,346			70,228
FHLB and FRB stock		5,307			5,157			5,451			4,974			4,478
Liquidity management assets ⁽¹⁾	$	114,958		$	119,248		$	108,596		$	95,068		$	91,383
Other earning assets ⁽¹⁾		92			310			282			235			198
Mortgage loans held-for-sale		4,246			5,623			6,233			5,434			4,146
Loans, net of unearned income ⁽¹⁾		770,568			791,390			796,637			752,117			712,587
Total interest income	$	889,864		$	916,571		$	911,748		$	852,854		$	808,314

Interest expense:
NOW and interest-bearing demand deposits	$	33,600		$	31,695		$	30,971		$	32,719		$	34,896
Wealth management deposits		8,606			9,412			10,158			10,294			10,461
Money market accounts		146,374			159,945			167,382			155,100			137,984
Savings accounts		35,923			38,402			42,892			41,063			39,071
Time deposits		95,730			106,934			110,616			96,527			77,120
Interest-bearing deposits	$	320,233		$	346,388		$	362,019		$	335,703		$	299,532
Federal Home Loan Bank advances		25,441			26,050			26,254			24,797			22,048
Other borrowings		6,792			7,519			9,013			8,700			9,248
Subordinated notes		3,714			3,733			3,712			5,185			5,487
Junior subordinated debentures		4,311			4,663			5,023			4,984			5,004
Total interest expense	$	360,491		$	388,353		$	406,021		$	379,369		$	341,319

Less: Fully taxable-equivalent adjustment		(2,899	)		(3,070	)		(3,144	)		(2,875	)		(2,801	)
Net interest income (GAAP) ⁽²⁾		526,474			525,148			502,583			470,610			464,194
Fully taxable-equivalent adjustment		2,899			3,070			3,144			2,875			2,801
Net interest income, fully taxable-equivalent (non-GAAP) ⁽²⁾	$	529,373		$	528,218		$	505,727		$	473,485		$	466,995

^{(1) Interest income on tax-advantaged loans, trading securities and investment securities reflects a taxable-equivalent adjustment based on the marginal federal corporate tax rate in effect as of the applicable period.}
^{(2) See Table 17: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.}

TABLE 6: QUARTERLY NET INTEREST MARGIN

	Net Interest Margin for three months ended,
	Mar 31, 2025		Dec 31, 2024		Sep 30, 2024		Jun 30, 2024		Mar 31, 2024
Yield earned on:
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents	4.26	%	4.68	%	5.42	%	5.35	%	5.35	%
Investment securities	3.51		3.33		3.38		3.45		3.38
FHLB and FRB stock	7.64		7.55		8.22		7.89		7.81
Liquidity management assets	3.82	%	3.86	%	3.94	%	3.85	%	3.74	%
Other earning assets	2.84		6.01		6.38		6.23		5.25
Mortgage loans held-for-sale	6.01		5.91		6.59		6.29		5.74
Loans, net of unearned income	6.53		6.68		6.90		6.90		6.80
Total earning assets	5.98	%	6.09	%	6.33	%	6.34	%	6.22	%

Rate paid on:
NOW and interest-bearing demand deposits	2.25	%	2.25	%	2.38	%	2.64	%	2.47	%
Wealth management deposits	2.22		2.62		2.97		2.70		2.79
Money market accounts	3.38		3.62		4.05		4.08		3.83
Savings accounts	2.25		2.43		2.80		2.81		2.71
Time deposits	4.13		4.38		4.58		4.54		4.34
Interest-bearing deposits	3.16	%	3.39	%	3.72	%	3.73	%	3.48	%
Federal Home Loan Bank advances	3.27		3.28		3.29		3.22		3.25
Other borrowings	4.73		5.18		5.76		5.96		5.92
Subordinated notes	5.05		4.98		4.95		5.08		5.04
Junior subordinated debentures	6.90		7.32		7.88		7.91		7.94
Total interest-bearing liabilities	3.22	%	3.44	%	3.75	%	3.76	%	3.55	%

Interest rate spread⁽¹⁾⁽²⁾	2.76	%	2.65	%	2.58	%	2.58	%	2.67	%
Less: Fully taxable-equivalent adjustment	(0.02	)	(0.02	)	(0.02	)	(0.02	)	(0.02	)
Net free funds/contribution⁽³⁾	0.80		0.86		0.93		0.94		0.92
Net interest margin (GAAP)⁽²⁾	3.54	%	3.49	%	3.49	%	3.50	%	3.57	%
Fully taxable-equivalent adjustment	0.02		0.02		0.02		0.02		0.02
Net interest margin, fully taxable-equivalent (non-GAAP)⁽²⁾	3.56	%	3.51	%	3.51	%	3.52	%	3.59	%

^{(1)   Interest rate spread is the difference between the yield earned on earning assets and the rate paid on interest-bearing liabilities.}
^{(2)   See Table 17: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.}
^{(3)   Net free funds are the difference between total average earning assets and total average interest-bearing liabilities. The estimated contribution to net interest margin from net free funds is calculated using the rate paid for total interest-bearing liabilities.}

TABLE 7: INTEREST RATE SENSITIVITY

As an ongoing part of its financial strategy, the Company attempts to manage the impact of fluctuations in market interest rates on net interest income. Management measures its exposure to changes in interest rates by modeling many different interest rate scenarios.

The following interest rate scenarios display the percentage change in net interest income over a one-year time horizon assuming increases and decreases of 100 and 200 basis points as compared to projected net interest income in a scenario with no assumed rate changes. The Static Shock Scenario results incorporate actual cash flows and repricing characteristics for balance sheet instruments following an instantaneous, parallel change in market rates based upon a static (i.e. no growth or constant) balance sheet. Conversely, the Ramp Scenario results incorporate management’s projections of future volume and pricing of each of the product lines following a gradual, parallel change in market rates over twelve months. Actual results may differ from these simulated results due to timing, magnitude, and frequency of interest rate changes as well as changes in market conditions and management strategies. The interest rate sensitivity for both the Static Shock and Ramp Scenario is as follows:

Static Shock Scenario	+200 Basis Points		+100 Basis Points		-100 Basis Points		-200 Basis Points
Mar 31, 2025	(1.8	)%	(0.6	)%	(0.2	)%	(1.2	)%
Dec 31, 2024	(1.6	)	(0.6	)	(0.3	)	(1.5	)
Sep 30, 2024	1.2		1.1		0.4		(0.9	)
Jun 30, 2024	1.5		1.0		0.6		(0.0	)
Mar 31, 2024	1.9		1.4		1.5		1.6

Ramp Scenario	+200 Basis Points		+100 Basis Points		-100 Basis Points		-200 Basis Points
Mar 31, 2025	0.2	%	0.2	%	(0.1	)%	(0.5	)%
Dec 31, 2024	(0.2	)	(0.0	)	0.0		(0.3	)
Sep 30, 2024	1.6		1.2		0.7		0.5
Jun 30, 2024	1.2		1.0		0.9		1.0
Mar 31, 2024	0.8		0.6		1.3		2.0

As shown above, the magnitude of potential changes in net interest income in various interest rate scenarios has continued to remain relatively neutral. As the current interest rate cycle progressed, management took action to reposition its sensitivity to interest rates. To this end, management has executed various derivative instruments including collars and receive fixed swaps to hedge variable rate loan exposures and originated a higher percentage of its loan originations in longer-term fixed-rate loans. The Company will continue to monitor current and projected interest rates and may execute additional derivatives to mitigate potential fluctuations in the net interest margin in future periods.

TABLE 8: MATURITIES AND SENSITIVITIES TO CHANGES IN INTEREST RATES

	Loans repricing or contractual maturity period
As of March 31, 2025 (In thousands)	One year or less			From one to five years		From five to fifteen years		After fifteen years		Total
Commercial
Fixed rate	$	405,736		$	3,600,171	$	2,122,563	$	20,444	$	6,148,914
Variable rate		9,781,709			703		—		—		9,782,412
Total commercial	$	10,187,445		$	3,600,874	$	2,122,563	$	20,444	$	15,931,326
Commercial real estate
Fixed rate	$	658,413		$	2,762,221	$	365,181	$	63,593	$	3,849,408
Variable rate		9,054,583			10,843		67		—		9,065,493
Total commercial real estate	$	9,712,996		$	2,773,064	$	365,248	$	63,593	$	12,914,901
Home equity
Fixed rate	$	8,881		$	838	$	—	$	17	$	9,736
Variable rate		445,947			—		—		—		445,947
Total home equity	$	454,828		$	838	$	—	$	17	$	455,683
Residential real estate
Fixed rate	$	13,336		$	4,473	$	74,883	$	1,055,143	$	1,147,835
Variable rate		97,815			623,879		1,815,630		—		2,537,324
Total residential real estate	$	111,151		$	628,352	$	1,890,513	$	1,055,143	$	3,685,159
Premium finance receivables - property & casualty
Fixed rate	$	7,135,963		$	103,899	$	—	$	—	$	7,239,862
Variable rate		—			—		—		—		—
Total premium finance receivables - property & casualty	$	7,135,963		$	103,899	$	—	$	—	$	7,239,862
Premium finance receivables - life insurance
Fixed rate	$	350,802		$	207,832	$	4,000	$	4,248	$	566,882
Variable rate		7,798,258			—		—		—		7,798,258
Total premium finance receivables - life insurance	$	8,149,060		$	207,832	$	4,000	$	4,248	$	8,365,140
Consumer and other
Fixed rate	$	44,731		$	7,937	$	883	$	914	$	54,465
Variable rate		61,854			—		—		—		61,854
Total consumer and other	$	106,585		$	7,937	$	883	$	914	$	116,319

Total per category
Fixed rate	$	8,617,862		$	6,687,371	$	2,567,510	$	1,144,359	$	19,017,102
Variable rate		27,240,166			635,425		1,815,697		—		29,691,288
Total loans, net of unearned income	$	35,858,028		$	7,322,796	$	4,383,207	$	1,144,359	$	48,708,390
Less: Existing cash flow hedging derivatives ⁽¹⁾		(6,700,000	)
Total loans repricing or maturing in one year or less, adjusted for cash flow hedging activity	$	29,158,028

Variable Rate Loan Pricing by Index:
SOFR tenors ⁽²⁾										$	18,328,835
12- month CMT ⁽³⁾											6,722,305
Prime											3,420,624
Fed Funds											819,437
Other U.S. Treasury tenors											190,187
Other											209,900
Total variable rate										$	29,691,288

^{(1)   Excludes cash flow hedges with future effective starting dates.}
^{(2)   SOFR - Secured Overnight Financing Rate.}
^{(3)   CMT - Constant Maturity Treasury Rate.}

Graph available at the following link: http://ml.globenewswire.com/Resource/Download/bebf97a7-5d4d-430d-a436-ae832412a4db

Source: Bloomberg

As noted in the table on the previous page, the majority of the Company’s portfolio is tied to SOFR and CMT indices which, as shown in the table above, do not mirror the same changes as the Prime rate, which has historically moved when the Federal Reserve raises or lowers interest rates. Specifically, the Company has variable rate loans of $15.4 billion tied to one-month SOFR and $6.7 billion tied to twelve-month CMT. The above chart shows:

	Basis Point (bp) Change in
	1-month SOFR			12- month CMT			Prime
First Quarter 2025	(1	)	bps	(13	)	bps	0		bps
Fourth Quarter 2024	(52	)		18			(50	)
Third Quarter 2024	(49	)		(111	)		(50	)
Second Quarter 2024	1			6			0
First Quarter 2024	(2	)		24			0

TABLE 9: ALLOWANCE FOR CREDIT LOSSES

	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(Dollars in thousands)		2025			2024			2024			2024			2024
Allowance for credit losses at beginning of period	$	437,060		$	436,193		$	437,560		$	427,504		$	427,612
Provision for credit losses - Other		23,963			16,979			6,787			40,061			21,673
Provision for credit losses - Day 1 on non-PCD assets acquired during the period		—			—			15,547			—			—
Initial allowance for credit losses recognized on PCD assets acquired during the period		—			—			3,004			—			—
Other adjustments		4			(187	)		30			(19	)		(31	)
Charge-offs:
Commercial		9,722			5,090			22,975			9,584			11,215
Commercial real estate		454			1,037			95			15,526			5,469
Home equity		—			—			—			—			74
Residential real estate		—			114			—			23			38
Premium finance receivables - property & casualty		7,114			13,301			7,790			9,486			6,938
Premium finance receivables - life insurance		12			—			4			—			—
Consumer and other		147			189			154			137			107
Total charge-offs		17,449			19,731			31,018			34,756			23,841
Recoveries:
Commercial		929			775			649			950			479
Commercial real estate		12			172			30			90			31
Home equity		216			194			101			35			29
Residential real estate		136			0			5			8			2
Premium finance receivables - property & casualty		3,487			2,646			3,436			3,658			1,519
Premium finance receivables - life insurance		—			—			41			5			8
Consumer and other		29			19			21			24			23
Total recoveries		4,809			3,806			4,283			4,770			2,091
Net charge-offs		(12,640	)		(15,925	)		(26,735	)		(29,986	)		(21,750	)
Allowance for credit losses at period end	$	448,387		$	437,060		$	436,193		$	437,560		$	427,504

Annualized net charge-offs (recoveries) by category as a percentage of its own respective category’s average:
Commercial		0.23	%		0.11	%		0.61	%		0.25	%		0.33	%
Commercial real estate		0.01			0.03			0.00			0.53			0.19
Home equity		(0.20	)		(0.18	)		(0.10	)		(0.04	)		0.05
Residential real estate		(0.02	)		0.01			0.00			0.00			0.01
Premium finance receivables - property & casualty		0.20			0.59			0.24			0.33			0.32
Premium finance receivables - life insurance		0.00			—			(0.00	)		(0.00	)		(0.00	)
Consumer and other		0.45			0.63			0.63			0.56			0.42
Total loans, net of unearned income		0.11	%		0.13	%		0.23	%		0.28	%		0.21	%

Loans at period end	$	48,708,390		$	48,055,037		$	47,067,447		$	44,675,531		$	43,230,706
Allowance for loan losses as a percentage of loans at period end		0.78	%		0.76	%		0.77	%		0.81	%		0.81	%
Allowance for loan and unfunded lending-related commitment losses as a percentage of loans at period end		0.92			0.91			0.93			0.98			0.99

^{PCD - Purchase Credit Deteriorated}

TABLE 10: ALLOWANCE AND PROVISION FOR CREDIT LOSSES BY COMPONENT

	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024
Provision for loan losses - Other	$	26,826		$	19,852		$	6,782		$	45,111		$	26,159
Provision for credit losses - Day 1 on non-PCD assets acquired during the period		—			—			15,547			—			—
Provision for unfunded lending-related commitments losses - Other		(2,852	)		(2,851	)		17			(5,212	)		(4,468	)
Provision for held-to-maturity securities losses		(11	)		(22	)		(12	)		162			(18	)
Provision for credit losses	$	23,963		$	16,979		$	22,334		$	40,061		$	21,673

Allowance for loan losses	$	378,207		$	364,017		$	360,279		$	363,719		$	348,612
Allowance for unfunded lending-related commitments losses		69,734			72,586			75,435			73,350			78,563
Allowance for loan losses and unfunded lending-related commitments losses		447,941			436,603			435,714			437,069			427,175
Allowance for held-to-maturity securities losses		446			457			479			491			329
Allowance for credit losses	$	448,387		$	437,060		$	436,193		$	437,560		$	427,504

^{PCD - Purchase Credit Deteriorated}

TABLE 11: ALLOWANCE BY LOAN PORTFOLIO

The table below summarizes the calculation of allowance for loan losses and allowance for unfunded lending-related commitments losses for the Company’s loan portfolios as well as core and niche portfolios, as of March 31, 2025, December 31, 2024 and September 30, 2024.

	As of Mar 31, 2025						As of Dec 31, 2024						As of Sep 30, 2024
(Dollars in thousands)	Recorded Investment		Calculated Allowance		% of its category’s balance		Recorded Investment		Calculated Allowance		% of its category’s balance		Recorded Investment		Calculated Allowance		% of its category’s balance
Commercial:
Commercial, industrial and other	$	15,931,326	$	201,183	1.26	%	$	15,574,551	$	175,837	1.13	%	$	15,247,693	$	171,598	1.13	%
Commercial real estate:
Construction and development		2,448,881		71,388	2.92			2,434,081		87,236	3.58			2,403,690		97,949	4.07
Non-construction		10,466,020		138,622	1.32			10,469,863		135,620	1.30			10,389,727		133,195	1.28
Total commercial real estate	$	12,914,901	$	210,010	1.63	%	$	12,903,944	$	222,856	1.73	%	$	12,793,417	$	231,144	1.81	%
Total commercial and commercial real estate	$	28,846,227	$	411,193	1.43	%	$	28,478,495	$	398,693	1.40	%	$	28,041,110	$	402,742	1.44	%
Home equity		455,683		9,139	2.01			445,028		8,943	2.01			427,043		8,823	2.07
Residential real estate		3,685,159		10,652	0.29			3,612,765		10,335	0.29			3,388,038		9,745	0.29
Premium finance receivables
Property and casualty insurance		7,239,862		15,310	0.21			7,272,042		17,111	0.24			7,131,681		13,045	0.18
Life insurance		8,365,140		729	0.01			8,147,145		709	0.01			7,996,899		698	0.01
Consumer and other		116,319		918	0.79			99,562		812	0.82			82,676		661	0.80
Total loans, net of unearned income	$	48,708,390	$	447,941	0.92	%	$	48,055,037	$	436,603	0.91	%	$	47,067,447	$	435,714	0.93	%

Total core loans ⁽¹⁾	$	29,108,500	$	397,664	1.37	%	$	28,804,138	$	392,319	1.36	%	$	28,363,712	$	396,394	1.40	%
Total niche loans ⁽¹⁾		19,599,890		50,277	0.26			19,250,899		44,284	0.23			18,703,735		39,320	0.21

^{(1) See Table 1 for additional detail on core and niche loans.}

TABLE 12: LOAN PORTFOLIO AGING

(In thousands)	Mar 31, 2025		Dec 31, 2024		Sep 30, 2024		Jun 30, 2024		Mar 31, 2024
Loan Balances:
Commercial
Nonaccrual	$	70,560	$	73,490	$	63,826	$	51,087	$	31,740
90+ days and still accruing		46		104		20		304		27
60-89 days past due		15,243		54,844		32,560		16,485		30,248
30-59 days past due		97,397		92,551		46,057		36,358		77,715
Current		15,748,080		15,353,562		15,105,230		14,050,228		13,363,751
Total commercial	$	15,931,326	$	15,574,551	$	15,247,693	$	14,154,462	$	13,503,481
Commercial real estate
Nonaccrual	$	26,187	$	21,042	$	42,071	$	48,289	$	39,262
90+ days and still accruing		—		—		225		—		—
60-89 days past due		6,995		10,521		13,439		6,555		16,713
30-59 days past due		83,653		30,766		48,346		38,065		32,998
Current		12,798,066		12,841,615		12,689,336		11,854,288		11,544,464
Total commercial real estate	$	12,914,901	$	12,903,944	$	12,793,417	$	11,947,197	$	11,633,437
Home equity
Nonaccrual	$	2,070	$	1,117	$	1,122	$	1,100	$	838
90+ days and still accruing		—		—		—		—		—
60-89 days past due		984		1,233		1,035		275		212
30-59 days past due		3,403		2,148		2,580		1,229		1,617
Current		449,226		440,530		422,306		353,709		337,682
Total home equity	$	455,683	$	445,028	$	427,043	$	356,313	$	340,349
Residential real estate
Early buy-out loans guaranteed by U.S. government agencies ⁽¹⁾	$	123,742	$	156,756	$	135,389	$	134,178	$	143,350
Nonaccrual		22,522		23,762		17,959		18,198		17,901
90+ days and still accruing		—		—		—		—		—
60-89 days past due		1,351		5,708		6,364		1,977		—
30-59 days past due		38,943		18,917		2,160		130		24,523
Current		3,498,601		3,407,622		3,226,166		2,912,852		2,704,492
Total residential real estate	$	3,685,159	$	3,612,765	$	3,388,038	$	3,067,335	$	2,890,266
Premium finance receivables - property & casualty
Nonaccrual	$	29,846	$	28,797	$	36,079	$	32,722	$	32,648
90+ days and still accruing		18,081		16,031		18,235		22,427		25,877
60-89 days past due		19,717		19,042		18,740		29,925		15,274
30-59 days past due		39,459		68,219		30,204		45,927		59,729
Current		7,132,759		7,139,953		7,028,423		6,969,752		6,806,491
Total Premium finance receivables - property & casualty	$	7,239,862	$	7,272,042	$	7,131,681	$	7,100,753	$	6,940,019
Premium finance receivables - life insurance
Nonaccrual	$	—	$	6,431	$	—	$	—	$	—
90+ days and still accruing		2,962		—		—		—		—
60-89 days past due		10,587		72,963		10,902		4,118		32,482
30-59 days past due		29,924		36,405		74,432		17,693		100,137
Current		8,321,667		8,031,346		7,911,565		7,940,304		7,739,414
Total Premium finance receivables - life insurance	$	8,365,140	$	8,147,145	$	7,996,899	$	7,962,115	$	7,872,033
Consumer and other
Nonaccrual	$	18	$	2	$	2	$	3	$	19
90+ days and still accruing		98		47		148		121		47
60-89 days past due		162		59		22		81		16
30-59 days past due		542		882		264		366		210
Current		115,499		98,572		82,240		86,785		50,829
Total consumer and other	$	116,319	$	99,562	$	82,676	$	87,356	$	51,121
Total loans, net of unearned income
Early buy-out loans guaranteed by U.S. government agencies ⁽¹⁾	$	123,742	$	156,756	$	135,389	$	134,178	$	143,350
Nonaccrual		151,203		154,641		161,059		151,399		122,408
90+ days and still accruing		21,187		16,182		18,628		22,852		25,951
60-89 days past due		55,039		164,370		83,062		59,416		94,945
30-59 days past due		293,321		249,888		204,043		139,768		296,929
Current		48,063,898		47,313,200		46,465,266		44,167,918		42,547,123
Total loans, net of unearned income	$	48,708,390	$	48,055,037	$	47,067,447	$	44,675,531	$	43,230,706

^{(1) Early buy-out loans are insured or guaranteed by the Federal Housing Administration or the U.S. Department of Veterans Affairs, subject to indemnifications and insurance limits for certain loans.}

TABLE 13: NON-PERFORMING ASSETS⁽¹⁾

	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(Dollars in thousands)		2025			2024			2024			2024			2024
Loans past due greater than 90 days and still accruing:
Commercial	$	46		$	104		$	20		$	304		$	27
Commercial real estate		—			—			225			—			—
Home equity		—			—			—			—			—
Residential real estate		—			—			—			—			—
Premium finance receivables - property & casualty		18,081			16,031			18,235			22,427			25,877
Premium finance receivables - life insurance		2,962			—			—			—			—
Consumer and other		98			47			148			121			47
Total loans past due greater than 90 days and still accruing		21,187			16,182			18,628			22,852			25,951
Non-accrual loans:
Commercial		70,560			73,490			63,826			51,087			31,740
Commercial real estate		26,187			21,042			42,071			48,289			39,262
Home equity		2,070			1,117			1,122			1,100			838
Residential real estate		22,522			23,762			17,959			18,198			17,901
Premium finance receivables - property & casualty		29,846			28,797			36,079			32,722			32,648
Premium finance receivables - life insurance		—			6,431			—			—			—
Consumer and other		18			2			2			3			19
Total non-accrual loans		151,203			154,641			161,059			151,399			122,408
Total non-performing loans:
Commercial		70,606			73,594			63,846			51,391			31,767
Commercial real estate		26,187			21,042			42,296			48,289			39,262
Home equity		2,070			1,117			1,122			1,100			838
Residential real estate		22,522			23,762			17,959			18,198			17,901
Premium finance receivables - property & casualty		47,927			44,828			54,314			55,149			58,525
Premium finance receivables - life insurance		2,962			6,431			—			—			—
Consumer and other		116			49			150			124			66
Total non-performing loans	$	172,390		$	170,823		$	179,687		$	174,251		$	148,359
Other real estate owned		22,625			23,116			13,682			19,731			14,538
Total non-performing assets	$	195,015		$	193,939		$	193,369		$	193,982		$	162,897
Total non-performing loans by category as a percent of its own respective category’s period-end balance:
Commercial		0.44	%		0.47	%		0.42	%		0.36	%		0.24	%
Commercial real estate		0.20			0.16			0.33			0.40			0.34
Home equity		0.45			0.25			0.26			0.31			0.25
Residential real estate		0.61			0.66			0.53			0.59			0.62
Premium finance receivables - property & casualty		0.66			0.62			0.76			0.78			0.84
Premium finance receivables - life insurance		0.04			0.08			—			—			—
Consumer and other		0.10			0.05			0.18			0.14			0.13
Total loans, net of unearned income		0.35	%		0.36	%		0.38	%		0.39	%		0.34	%
Total non-performing assets as a percentage of total assets		0.30	%		0.30	%		0.30	%		0.32	%		0.28	%
Allowance for loan losses and unfunded lending-related commitments losses as a percentage of non-accrual loans		296.25	%		282.33	%		270.53	%		288.69	%		348.98	%

^{(1) Excludes early buy-out loans guaranteed by U.S. government agencies. Early buy-out loans are insured or guaranteed by the Federal Housing Administration or the U.S. Department of Veterans Affairs, subject to indemnifications and insurance limits for certain loans.}

Non-performing Loans Rollforward, excluding early buy-out loans guaranteed by U.S. government agencies

	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024

Balance at beginning of period	$	170,823		$	179,687		$	174,251		$	148,359		$	139,030
Additions from becoming non-performing in the respective period		27,721			30,931			42,335			54,376			23,142
Additions from assets acquired in the respective period		—			—			189			—			—
Return to performing status		(1,207	)		(1,108	)		(362	)		(912	)		(490	)
Payments received		(15,965	)		(12,219	)		(10,894	)		(9,611	)		(8,336	)
Transfer to OREO and other repossessed assets		—			(17,897	)		(3,680	)		(6,945	)		(1,381	)
Charge-offs, net		(8,600	)		(5,612	)		(21,211	)		(7,673	)		(14,810	)
Net change for premium finance receivables		(382	)		(2,959	)		(941	)		(3,343	)		11,204
Balance at end of period	$	172,390		$	170,823		$	179,687		$	174,251		$	148,359

Other Real Estate Owned

	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(In thousands)		2025			2024			2024			2024			2024
Balance at beginning of period	$	23,116		$	13,682		$	19,731		$	14,538		$	13,309
Disposals/resolved		—			(8,545	)		(9,729	)		(1,752	)		—
Transfers in at fair value, less costs to sell		—			17,979			3,680			6,945			1,436
Fair value adjustments		(491	)		—			—			—			(207	)
Balance at end of period	$	22,625		$	23,116		$	13,682		$	19,731		$	14,538

	Period End
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
Balance by Property Type:		2025			2024			2024			2024			2024
Residential real estate	$	—		$	—		$	—		$	161		$	1,146
Commercial real estate		22,625			23,116			13,682			19,570			13,392
Total	$	22,625		$	23,116		$	13,682		$	19,731		$	14,538

TABLE 14: NON-INTEREST INCOME

	Three Months Ended															Q1 2025 compared to Q4 2024					Q1 2025 compared to Q1 2024
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,			Q1 2025 compared to Q4 2024					Q1 2025 compared to Q1 2024
(Dollars in thousands)		2025			2024			2024			2024			2024		$ Change			% Change		$ Change			% Change
Brokerage	$	4,757		$	5,328		$	6,139		$	5,588		$	5,556		$	(571	)	(11	)%	$	(799	)	(14	)%
Trust and asset management		29,285			33,447			31,085			29,825			29,259			(4,162	)	(12	)		26		0
Total wealth management		34,042			38,775			37,224			35,413			34,815			(4,733	)	(12	)		(773	)	(2	)
Mortgage banking		20,529			20,452			15,974			29,124			27,663			77		0			(7,134	)	(26	)
Service charges on deposit accounts		19,362			18,864			16,430			15,546			14,811			498		3			4,551		31
Gains (losses) on investment securities, net		3,196			(2,835	)		3,189			(4,282	)		1,326			6,031		NM			1,870		NM
Fees from covered call options		3,446			2,305			988			2,056			4,847			1,141		50			(1,401	)	(29	)
Trading (losses) gains, net		(64	)		(113	)		(130	)		70			677			49		(43	)		(741	)	NM
Operating lease income, net		15,287			15,327			15,335			13,938			14,110			(40	)	(0	)		1,177		8
Other:
Interest rate swap fees		2,269			3,360			2,914			3,392			2,828			(1,091	)	(32	)		(559	)	(20	)
BOLI		796			1,236			1,517			1,351			1,651			(440	)	(36	)		(855	)	(52	)
Administrative services		1,393			1,347			1,450			1,322			1,217			46		3			176		14
Foreign currency remeasurement (losses) gains		(183	)		(682	)		696			(145	)		(1,171	)		499		(73	)		988		(84	)
Changes in fair value on EBOs and loans held-for-investment		383			129			518			604			(439	)		254		NM			822		NM
Early pay-offs of capital leases		768			514			532			393			430			254		49			338		79
Miscellaneous		15,410			14,772			16,510			22,365			37,815			638		4			(22,405	)	(59	)
Total Other		20,836			20,676			24,137			29,282			42,331			160		1			(21,495	)	(51	)
Total Non-Interest Income	$	116,634		$	113,451		$	113,147		$	121,147		$	140,580		$	3,183		3	%	$	(23,946	)	(17	)%

^{NM - Not meaningful.
BOLI- Bank-owned life insurance.
EBO- Early buy-out.}

TABLE 15: MORTGAGE BANKING

	Three Months Ended
(Dollars in thousands)	Mar 31, 2025			Dec 31, 2024			Sep 30, 2024			Jun 30, 2024			Mar 31, 2024
Originations:
Retail originations	$	348,468		$	483,424		$	527,408		$	544,394		$	331,504
Veterans First originations		111,985			176,914			239,369			177,792			144,109
Total originations for sale (A)	$	460,453		$	660,338		$	766,777		$	722,186		$	475,613
Originations for investment		217,177			355,119			218,984			275,331			169,246
Total originations	$	677,630		$	1,015,457		$	985,761		$	997,517		$	644,859
As a percentage of originations for sale:
Retail originations		76	%		73	%		69	%		75	%		70	%
Veterans First originations		24			27			31			25			30
Purchases		77	%		65	%		72	%		83	%		75	%
Refinances		23			35			28			17			25
Production Margin:
Production revenue (B) ⁽¹⁾	$	9,941		$	6,993		$	13,113		$	14,990		$	13,435
Total originations for sale (A)	$	460,453		$	660,338		$	766,777		$	722,186		$	475,613
Add: Current period end mandatory interest rate lock commitments to fund originations for sale ⁽²⁾		197,297			103,946			272,072			222,738			207,775
Less: Prior period end mandatory interest rate lock commitments to fund originations for sale ⁽²⁾		103,946			272,072			222,738			207,775			119,624
Total mortgage production volume (C)	$	553,804		$	492,212		$	816,111		$	737,149		$	563,764
Production margin (B / C)		1.80	%		1.42	%		1.61	%		2.03	%		2.38	%
Mortgage Servicing:
Loans serviced for others (D)	$	12,402,352		$	12,400,913		$	12,253,361		$	12,211,027		$	12,051,392
Mortgage Servicing Rights (“MSR”), at fair value (E)		196,307			203,788			186,308			204,610			201,044
Percentage of MSRs to loans serviced for others (E / D)		1.58	%		1.64	%		1.52	%		1.68	%		1.67	%
Servicing income	$	10,611		$	10,731		$	10,809		$	10,586		$	10,498
MSR Fair Value Asset Activity
MSR - FV at Beginning of Period	$	203,788		$	186,308		$	204,610		$	201,044		$	192,456
MSR - current period capitalization		4,669			10,010			6,357			8,223			5,379
MSR - collection of expected cash flows - paydowns		(1,590	)		(1,463	)		(1,598	)		(1,504	)		(1,444	)
MSR - collection of expected cash flows - payoffs and repurchases		(3,046	)		(4,315	)		(5,730	)		(4,030	)		(2,942	)
MSR - changes in fair value model assumptions		(7,514	)		13,248			(17,331	)		877			7,595
MSR Fair Value at end of period	$	196,307		$	203,788		$	186,308		$	204,610		$	201,044
Summary of Mortgage Banking Revenue:
Operational:
Production revenue ⁽¹⁾	$	9,941		$	6,993		$	13,113		$	14,990		$	13,435
MSR - Current period capitalization		4,669			10,010			6,357			8,223			5,379
MSR - Collection of expected cash flows - paydowns		(1,590	)		(1,463	)		(1,598	)		(1,504	)		(1,444	)
MSR - Collection of expected cash flows - pay offs		(3,046	)		(4,315	)		(5,730	)		(4,030	)		(2,942	)
Servicing Income		10,611			10,731			10,809			10,586			10,498
Other Revenue		(172	)		(51	)		(67	)		112			(91	)
Total operational mortgage banking revenue	$	20,413		$	21,905		$	22,884		$	28,377		$	24,835
Fair Value:
MSR - changes in fair value model assumptions	$	(7,514	)	$	13,248		$	(17,331	)	$	877		$	7,595
Gain (loss) on derivative contract held as an economic hedge, net		4,897			(11,452	)		6,892			(772	)		(2,577	)
Changes in FV on early buy-out loans guaranteed by US Govt (HFS)		2,733			(3,249	)		3,529			642			(2,190	)
Total fair value mortgage banking revenue	$	116		$	(1,453	)	$	(6,910	)	$	747		$	2,828
Total mortgage banking revenue	$	20,529		$	20,452		$	15,974		$	29,124		$	27,663

^{(1) Production revenue represents revenue earned from the origination and subsequent sale of mortgages, including gains on loans sold and fees from originations, changes in other related financial instruments carried at fair value, processing and other related activities, and excludes servicing fees, changes in the fair value of servicing rights and changes to the mortgage recourse obligation and other non-production revenue.}
^{(2) Certain volume adjusted for the estimated pull-through rate of the loan, which represents the Company’s best estimate of the likelihood that a committed loan will ultimately fund.}

TABLE 16: NON-INTEREST EXPENSE

	Three Months Ended												Q1 2025 compared to Q4 2024					Q1 2025 compared to Q1 2024
	Mar 31,		Dec 31,		Sep 30,			Jun 30,			Mar 31,		Q1 2025 compared to Q4 2024					Q1 2025 compared to Q1 2024
(Dollars in thousands)		2025		2024		2024			2024			2024	$ Change			% Change		$ Change			% Change
Salaries and employee benefits:
Salaries	$	123,917	$	120,969	$	118,971		$	113,860		$	112,172	$	2,948		2	%	$	11,745		10	%
Commissions and incentive compensation		52,536		54,792		57,575			52,151			51,001		(2,256	)	(4	)		1,535		3
Benefits		35,073		36,372		34,715			32,530			32,000		(1,299	)	(4	)		3,073		10
Total salaries and employee benefits		211,526		212,133		211,261			198,541			195,173		(607	)	(0	)		16,353		8
Software and equipment		34,717		34,258		31,574			29,231			27,731		459		1			6,986		25
Operating lease equipment		10,471		10,263		10,518			10,834			10,683		208		2			(212	)	(2	)
Occupancy, net		20,778		20,597		19,945			19,585			19,086		181		1			1,692		9
Data processing		11,274		10,957		9,984			9,503			9,292		317		3			1,982		21
Advertising and marketing		12,272		13,097		18,239			17,436			13,040		(825	)	(6	)		(768	)	(6	)
Professional fees		9,044		11,334		9,783			9,967			9,553		(2,290	)	(20	)		(509	)	(5	)
Amortization of other acquisition-related intangible assets		5,618		5,773		4,042			1,122			1,158		(155	)	(3	)		4,460		NM
FDIC insurance		10,926		10,640		10,512			10,429			9,381		286		3			1,545		16
FDIC insurance - special assessment		—		—		—			—			5,156		—		—			(5,156	)	(100	)
OREO expense, net		643		397		(938	)		(259	)		392		246		62			251		64
Other:
Lending expenses, net of deferred origination costs		5,866		6,448		4,995			5,335			5,078		(582	)	(9	)		788		16
Travel and entertainment		5,270		8,140		5,364			5,340			4,597		(2,870	)	(35	)		673		15
Miscellaneous		27,685		24,502		25,408			23,289			22,825		3,183		13			4,860		21
Total other		38,821		39,090		35,767			33,964			32,500		(269	)	(1	)		6,321		19
Total Non-Interest Expense	$	366,090	$	368,539	$	360,687		$	340,353		$	333,145	$	(2,449	)	(1	)%	$	32,945		10	%

^{NM - Not meaningful.}

TABLE 17: SUPPLEMENTAL NON-GAAP FINANCIAL MEASURES/RATIOS

The accounting and reporting policies of Wintrust conform to generally accepted accounting principles (“GAAP”) in the United States and prevailing practices in the banking industry. However, certain non-GAAP performance measures and ratios are used by management to evaluate and measure the Company’s performance. These include taxable-equivalent net interest income (including its individual components), taxable-equivalent net interest margin (including its individual components), the taxable-equivalent efficiency ratio, tangible common equity ratio, tangible book value per common share, return on average tangible common equity, and pre-tax income, excluding provision for credit losses. Management believes that these measures and ratios provide users of the Company’s financial information a more meaningful view of the performance of the Company’s interest-earning assets and interest-bearing liabilities and of the Company’s operating efficiency. Other financial holding companies may define or calculate these measures and ratios differently.

Management reviews yields on certain asset categories and the net interest margin of the Company and its banking subsidiaries on a fully taxable-equivalent basis (“FTE”). In this non-GAAP presentation, net interest income is adjusted to reflect tax-exempt interest income on an equivalent before-tax basis using tax rates effective as of the end of the period. This measure ensures comparability of net interest income arising from both taxable and tax-exempt sources. Net interest income on a FTE basis is also used in the calculation of the Company’s efficiency ratio. The efficiency ratio, which is calculated by dividing non-interest expense by total taxable-equivalent net revenue (less securities gains or losses), measures how much it costs to produce one dollar of revenue. Securities gains or losses are excluded from this calculation to better match revenue from daily operations to operational expenses. Management considers the tangible common equity ratio and tangible book value per common share as useful measurements of the Company’s equity. The Company references the return on average tangible common equity as a measurement of profitability. Management considers pre-tax income, excluding provision for credit losses, as a useful measurement of the Company’s core net income.

	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(Dollars and shares in thousands)	2025			2024			2024			2024			2024
Reconciliation of Non-GAAP Net Interest Margin and Efficiency Ratio:
(A) Interest Income (GAAP)	$	886,965		$	913,501		$	908,604		$	849,979		$	805,513
Taxable-equivalent adjustment:
- Loans		2,206			2,352			2,474			2,305			2,246
- Liquidity Management Assets		690			716			668			567			550
- Other Earning Assets		3			2			2			3			5
(B) Interest Income (non-GAAP)	$	889,864		$	916,571		$	911,748		$	852,854		$	808,314
(C) Interest Expense (GAAP)		360,491			388,353			406,021			379,369			341,319
(D) Net Interest Income (GAAP) (A minus C)	$	526,474		$	525,148		$	502,583		$	470,610		$	464,194
(E) Net Interest Income (non-GAAP) (B minus C)	$	529,373		$	528,218		$	505,727		$	473,485		$	466,995
Net interest margin (GAAP)		3.54	%		3.49	%		3.49	%		3.50	%		3.57	%
Net interest margin, fully taxable-equivalent (non-GAAP)		3.56			3.51			3.51			3.52			3.59
(F) Non-interest income	$	116,634		$	113,451		$	113,147		$	121,147		$	140,580
(G) Gains (losses) on investment securities, net		3,196			(2,835	)		3,189			(4,282	)		1,326
(H) Non-interest expense		366,090			368,539			360,687			340,353			333,145
Efficiency ratio (H/(D+F-G))		57.21	%		57.46	%		58.88	%		57.10	%		55.21	%
Efficiency ratio (non-GAAP) (H/(E+F-G))		56.95			57.18			58.58			56.83			54.95
	Three Months Ended
	Mar 31,			Dec 31,			Sep 30,			Jun 30,			Mar 31,
(Dollars and shares in thousands)	2025			2024			2024			2024			2024
Reconciliation of Non-GAAP Tangible Common Equity Ratio:
Total shareholders’ equity (GAAP)	$	6,600,537		$	6,344,297		$	6,399,714		$	5,536,628		$	5,436,400
Less: Non-convertible preferred stock (GAAP)		(412,500	)		(412,500	)		(412,500	)		(412,500	)		(412,500	)
Less: Intangible assets (GAAP)		(913,004	)		(918,632	)		(924,646	)		(676,562	)		(677,911	)
(I) Total tangible common shareholders’ equity (non-GAAP)	$	5,275,033		$	5,013,165		$	5,062,568		$	4,447,566		$	4,345,989
(J) Total assets (GAAP)	$	65,870,066		$	64,879,668		$	63,788,424		$	59,781,516		$	57,576,933
Less: Intangible assets (GAAP)		(913,004	)		(918,632	)		(924,646	)		(676,562	)		(677,911	)
(K) Total tangible assets (non-GAAP)	$	64,957,062		$	63,961,036		$	62,863,778		$	59,104,954		$	56,899,022
Common equity to assets ratio (GAAP) (L/J)		9.4	%		9.1	%		9.4	%		8.6	%		8.7	%
Tangible common equity ratio (non-GAAP) (I/K)		8.1			7.8			8.1			7.5			7.6

Reconciliation of Non-GAAP Tangible Book Value per Common Share:
Total shareholders’ equity	$	6,600,537		$	6,344,297		$	6,399,714		$	5,536,628		$	5,436,400
Less: Preferred stock		(412,500	)		(412,500	)		(412,500	)		(412,500	)		(412,500	)
(L) Total common equity	$	6,188,037		$	5,931,797		$	5,987,214		$	5,124,128		$	5,023,900
(M) Actual common shares outstanding		66,919			66,495			66,482			61,760			61,737
Book value per common share (L/M)	$	92.47		$	89.21		$	90.06		$	82.97		$	81.38
Tangible book value per common share (non-GAAP) (I/M)		78.83			75.39			76.15			72.01			70.40

Reconciliation of Non-GAAP Return on Average Tangible Common Equity:
(N) Net income applicable to common shares	$	182,048		$	178,371		$	163,010		$	145,397		$	180,303
Add: Intangible asset amortization		5,618			5,773			4,042			1,122			1,158
Less: Tax effect of intangible asset amortization		(1,421	)		(1,547	)		(1,087	)		(311	)		(291	)
After-tax intangible asset amortization	$	4,197		$	4,226		$	2,955		$	811		$	867
(O) Tangible net income applicable to common shares (non-GAAP)	$	186,245		$	182,597		$	165,965		$	146,208		$	181,170
Total average shareholders’ equity	$	6,460,941		$	6,418,403		$	5,990,429		$	5,450,173		$	5,440,457
Less: Average preferred stock		(412,500	)		(412,500	)		(412,500	)		(412,500	)		(412,500	)
(P) Total average common shareholders’ equity	$	6,048,441		$	6,005,903		$	5,577,929		$	5,037,673		$	5,027,957
Less: Average intangible assets		(916,069	)		(921,438	)		(833,574	)		(677,207	)		(678,731	)
(Q) Total average tangible common shareholders’ equity (non-GAAP)	$	5,132,372		$	5,084,465		$	4,744,355		$	4,360,466		$	4,349,226
Return on average common equity, annualized (N/P)		12.21	%		11.82	%		11.63	%		11.61	%		14.42	%
Return on average tangible common equity, annualized (non-GAAP) (O/Q)		14.72			14.29			13.92			13.49			16.75

Reconciliation of Non-GAAP Pre-Tax, Pre-Provision Income:
Income before taxes	$	253,055		$	253,081		$	232,709		$	211,343		$	249,956
Add: Provision for credit losses		23,963			16,979			22,334			40,061			21,673
Pre-tax income, excluding provision for credit losses (non-GAAP)	$	277,018		$	270,060		$	255,043		$	251,404		$	271,629

WINTRUST SUBSIDIARIES

Wintrust is a financial holding company whose common stock is traded on the Nasdaq Global Select Market (Nasdaq: WTFC) that operates bank retail locations in the greater Chicago, southern Wisconsin, west Michigan, northwest Indiana, and southwest Florida market areas. Its 16 community bank subsidiaries are: Barrington Bank & Trust Company, N.A., Beverly Bank & Trust Company, N.A., Crystal Lake Bank & Trust Company, N.A., Hinsdale Bank & Trust Company, N.A., Lake Forest Bank & Trust Company, N.A., Libertyville Bank & Trust Company, N.A., Macatawa Bank, N.A., Northbrook Bank & Trust Company, N.A., Old Plank Trail Community Bank, N.A., Schaumburg Bank & Trust Company, N.A., St. Charles Bank & Trust Company, N.A., State Bank of The Lakes, N.A., Town Bank, N.A., Village Bank & Trust, N.A., Wheaton Bank & Trust Company, N.A., and Wintrust Bank, N.A.

Additionally, the Company operates various non-bank businesses:

FIRST Insurance Funding and Wintrust Life Finance, each a division of Lake Forest Bank & Trust Company, N.A., serve commercial and life insurance loan customers, respectively, throughout the United States.
First Insurance Funding of Canada serves commercial insurance loan customers throughout Canada.
Tricom, Inc. of Milwaukee provides high-yielding, short-term accounts receivable financing and value-added out-sourced administrative services, such as data processing of payrolls, billing and cash management services, to temporary staffing service clients located throughout the United States.
Wintrust Mortgage, a division of Barrington Bank & Trust Company, N.A., engages primarily in the origination and purchase of residential mortgages for sale into the secondary market through origination offices located throughout the United States. Loans are also originated nationwide through relationships with wholesale and correspondent offices.
Wintrust Investments, LLC is a broker-dealer providing a full range of private client and brokerage services to clients and correspondent banks located primarily in the Midwest.
Great Lakes Advisors LLC provides money management services and advisory services to individual accounts.
Wintrust Private Trust Company, N.A., a trust subsidiary, allows Wintrust to service customers’ trust and investment needs at each banking location.
Wintrust Asset Finance offers direct leasing opportunities.
CDEC provides Qualified Intermediary services (as defined by U.S. Treasury regulations) for taxpayers seeking to structure tax-deferred like-kind exchanges under Internal Revenue Code Section 1031.

FORWARD-LOOKING STATEMENTS

This document contains forward-looking statements within the meaning of federal securities laws. Forward-looking information can be identified through the use of words such as “intend,” “plan,” “project,” “expect,” “anticipate,” “believe,” “estimate,” “contemplate,” “possible,” “will,” “may,” “should,” “would” and “could.” Forward-looking statements and information are not historical facts, are premised on many factors and assumptions, and represent only management’s expectations, estimates and projections regarding future events. Similarly, these statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict, and which may include, but are not limited to, those listed below and the Risk Factors discussed under Item 1A of the Company’s 2024 Annual Report on Form 10-K and in any of the Company’s subsequent SEC filings. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and is including this statement for purposes of invoking these safe harbor provisions. Such forward-looking statements may be deemed to include, among other things, statements relating to the Company’s future financial performance, the performance of its loan portfolio, the expected amount of future credit reserves and charge-offs, delinquency trends, growth plans, regulatory developments, securities that the Company may offer from time to time, and management’s long-term performance goals, as well as statements relating to the anticipated effects on the Company’s financial condition and results of operations from expected developments or events, the Company’s business and growth strategies, including future acquisitions of banks, specialty finance or wealth management businesses, internal growth and plans to form additional de novo banks or branch offices. Actual results could differ materially from those addressed in the forward-looking statements as a result of numerous factors, including the following:

economic conditions and events that affect the economy, housing prices, the job market and other factors that may adversely affect the Company’s liquidity and the performance of its loan portfolios, including an actual or threatened U.S. government debt default or rating downgrade, particularly in the markets in which it operates;
negative effects suffered by us or our customers resulting from changes in U.S. or international trade policies;
the extent of defaults and losses on the Company’s loan portfolio, which may require further increases in its allowance for credit losses;
estimates of fair value of certain of the Company’s assets and liabilities, which could change in value significantly from period to period;
the financial success and economic viability of the borrowers of our commercial loans;
commercial real estate market conditions in the Chicago metropolitan area and southern Wisconsin;
the extent of commercial and consumer delinquencies and declines in real estate values, which may require further increases in the Company’s allowance for credit losses;
inaccurate assumptions in our analytical and forecasting models used to manage our loan portfolio;
changes in the level and volatility of interest rates, the capital markets and other market indices that may affect, among other things, the Company’s liquidity and the value of its assets and liabilities;
the interest rate environment, including a prolonged period of low interest rates or rising interest rates, either broadly or for some types of instruments, which may affect the Company’s net interest income and net interest margin, and which could materially adversely affect the Company’s profitability;
competitive pressures in the financial services business which may affect the pricing of the Company’s loan and deposit products as well as its services (including wealth management services), which may result in loss of market share and reduced income from deposits, loans, advisory fees and income from other products;
failure to identify and complete favorable acquisitions in the future or unexpected losses, difficulties or developments related to the Company’s recent or future acquisitions;
unexpected difficulties and losses related to FDIC-assisted acquisitions;
harm to the Company’s reputation;
any negative perception of the Company’s financial strength;
ability of the Company to raise additional capital on acceptable terms when needed;
disruption in capital markets, which may lower fair values for the Company’s investment portfolio;
ability of the Company to use technology to provide products and services that will satisfy customer demands and create efficiencies in operations and to manage risks associated therewith;
failure or breaches of our security systems or infrastructure, or those of third parties;
security breaches, including denial of service attacks, hacking, social engineering attacks, malware intrusion and similar events or data corruption attempts and identity theft;
adverse effects on our information technology systems, or those of third parties, resulting from failures, human error or cyberattacks (including ransomware);
adverse effects of failures by our vendors to provide agreed upon services in the manner and at the cost agreed, particularly our information technology vendors;
increased costs as a result of protecting our customers from the impact of stolen debit card information;
accuracy and completeness of information the Company receives about customers and counterparties to make credit decisions;
ability of the Company to attract and retain senior management experienced in the banking and financial services industries;
environmental liability risk associated with lending activities;
the impact of any claims or legal actions to which the Company is subject, including any effect on our reputation;
losses incurred in connection with repurchases and indemnification payments related to mortgages and increases in reserves associated therewith;
the loss of customers as a result of technological changes allowing consumers to complete their financial transactions without the use of a bank;
the soundness of other financial institutions and the impact of recent failures of financial institutions, including broader financial institution liquidity risk and concerns;
the expenses and delayed returns inherent in opening new branches and de novo banks;
liabilities, potential customer loss or reputational harm related to closings of existing branches;
examinations and challenges by tax authorities, and any unanticipated impact of the Tax Act;
changes in accounting standards, rules and interpretations, and the impact on the Company’s financial statements;
the ability of the Company to receive dividends from its subsidiaries;
the impact of the Company’s transition from LIBOR to an alternative benchmark rate for current and future transactions;
a decrease in the Company’s capital ratios, including as a result of declines in the value of its loan portfolios, or otherwise;
legislative or regulatory changes, particularly changes in regulation of financial services companies and/or the products and services offered by financial services companies;
changes in laws, regulations, rules, standards and contractual obligations regarding data privacy and cybersecurity;
a lowering of our credit rating;
changes in U.S. monetary policy and changes to the Federal Reserve’s balance sheet, including changes in response to persistent inflation or otherwise;
regulatory restrictions upon our ability to market our products to consumers and limitations on our ability to profitably operate our mortgage business;
increased costs of compliance, heightened regulatory capital requirements and other risks associated with changes in regulation and the regulatory environment;
the impact of heightened capital requirements;
increases in the Company’s FDIC insurance premiums, or the collection of special assessments by the FDIC;
delinquencies or fraud with respect to the Company’s premium finance business;
credit downgrades among commercial and life insurance providers that could negatively affect the value of collateral securing the Company’s premium finance loans;
the Company’s ability to comply with covenants under its credit facility;
fluctuations in the stock market, which may have an adverse impact on the Company’s wealth management business and brokerage operation; and
widespread outages of operational, communication, or other systems, whether internal or provided by third parties, natural or other disasters (including acts of terrorism, armed hostilities and pandemics), and the effects of climate change.

Therefore, there can be no assurances that future actual results will correspond to these forward-looking statements. The reader is cautioned not to place undue reliance on any forward-looking statement made by the Company. Any such statement speaks only as of the date the statement was made or as of such date that may be referenced within the statement. The Company undertakes no obligation to update any forward-looking statement to reflect the impact of circumstances or events after the date of the press release. Persons are advised, however, to consult further disclosures management makes on related subjects in its reports filed with the Securities and Exchange Commission and in its press releases.

CONFERENCE CALL, WEBCAST AND REPLAY

The Company will hold a conference call on Tuesday, April 22, 2025 at 9:00 a.m. (CDT) regarding first quarter 2025 earnings results. Individuals interested in participating in the call by addressing questions to management should register for the call to receive the dial-in numbers and unique PIN at the Conference Call Link included within the Company’s press release dated March 31, 2025 available at the Investor Relations, Investor News and Events, Press Releases link on its website at https://www.wintrust.com. A separate simultaneous audio-only webcast link is included within the press release referenced above. Registration for and a replay of the audio-only webcast with an accompanying slide presentation will be available at https://www.wintrust.com, Investor Relations, Investor News and Events, Presentations & Conference Calls. The text of the first quarter 2025 earnings press release will also be available on the home page of the Company’s website at https://www.wintrust.com and at the Investor Relations, Investor News and Events, Press Releases link on its website.

FOR MORE INFORMATION CONTACT:
Timothy S. Crane, President & Chief Executive Officer
David A. Dykstra, Vice Chairman & Chief Operating Officer
(847) 939-9000
Web site address: www.wintrust.com

Wintrust Financial Corporation Reports Record First Quarter 2025 Net Income

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