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Form 8-K

sec.gov

8-K — Midland States Bancorp, Inc.

Accession: 0001104659-26-087359

Filed: 2026-07-28

Period: 2026-07-28

CIK: 0001466026

SIC: 6022 (STATE COMMERCIAL BANKS)

Item: Regulation FD Disclosure

Item: Financial Statements and Exhibits

Documents

8-K — tm2621309d1_8k.htm (Primary)

EX-99.1 — EXHIBIT 99.1 (tm2621309d1_ex99-1.htm)

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United

States

Securities

And Exchange Commission

Washington, DC 20549

FORM

8-K

Current

Report Pursuant to

Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of report (Date of earliest event reported):

July 28, 2026

Midland States

Bancorp, Inc.

(Exact Name of Registrant as Specified in Charter)

Illinois

001-35272

37-1233196

(State or Other Jurisdiction

of

Incorporation)

(Commission File Number)

(IRS Employer Identification

No.)

1201 Network Centre Drive

Effingham, Illinois 62401

(Address of Principal Executive Offices) (Zip Code)

Registrant’s

telephone number, including area code: (217) 342-7321

N/A

(Former Name or Former Address, if Changed Since Last Report)

Securities registered pursuant to Section 12(b)

of the Act:

Check the appropriate box

below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following

provisions (see General Instruction A.2. below):

¨ Written

communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting

material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement

communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement

communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Title

of each class

Trading

Symbol(s)

Name

of each exchange

on which registered

Common stock, $0.01 par value

MSBI

The Nasdaq Stock Market LLC

Depositary Shares (each representing a 1/40th interest in a share of 7.750% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series A, $2.00 par value)

MSBIP

The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant

is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b–2

of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging

growth company ¨

If

an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying

with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Item 7.01 Regulation FD Disclosure.

Midland

States Bancorp, Inc. (the “Company”) is filing an investor presentation (the “Presentation”) that will be used

by the Company in meetings with investors and analysts. A copy of the Presentation is attached hereto as Exhibit 99.1 and is incorporated

herein by reference.

The

information in this Item 7.01 and the attached exhibits shall not be deemed “filed” for purposes of Section 18 of the Securities

Exchange Act of 1934, as amended, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, as

amended, except as shall be expressly set forth by specific reference in any such filing.

Item 9.01. Financial Statements and Exhibits.

(d)       Exhibits

Exhibit No.

Description

99.1

Midland States Bancorp, Inc. Investor Presentation

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

SignatureS

Pursuant to the requirements

of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto

duly authorized.

Date: July 28, 2026 MIDLAND STATES BANCORP,

INC.

By: /s/ Nathan Sturycz

Nathan Sturycz

General Counsel

EX-99.1 — EXHIBIT 99.1

EX-99.1

Filename: tm2621309d1_ex99-1.htm · Sequence: 2

Exhibit 99.1

Midland States Bancorp, Inc.

NASDAQ: MSBI

Investor Presentation

July 2026

2

Forward Looking Statements

Forward-Looking Statements:

Statements made in this presentation which are not purely historical are forward-looking statements, as defined in the Private

Securities Litigation Reform Act of 1995. This includes any statements regarding management’s plans, objectives, or goals for

future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such forward-looking statements may be identified by the use of words such as "will," "should," "propose," "may," “plan,” "seek," "expect,"

"intend,” "estimate," "anticipate," "believe," "continue,” “outlook,” “trends,” or similar terminology. Forward-looking statements are

based on current management expectations and, by their nature, are subject to risks and uncertainties. Actual results may differ

materially from those contained in the forward-looking statements. Factors which may cause actual results to differ materially from

those contained in such forward-looking statements include those identified in the Company’s most recent Form 10-K and

subsequent Form 10-Qs and other SEC filings, and such factors are incorporated herein by reference.

Trademarks:

All trademarks, service marks, and trade names referenced in this material are official trademarks and the property of their

respective owners.

Presentation:

Within the charts and tables presented, certain segments, columns and rows may not sum to totals shown due to rounding.

Use of Non-GAAP Financial Measures:

Some of the financial measures included in this presentation are not measures calculated in accordance with GAAP. These non-GAAP financial measures include “Adjusted pre-provision net revenue,” “Adjusted pre-provision net revenue to average assets,”

“Adjusted earnings,” “Adjusted earnings available to common shareholders,” “Adjusted diluted earnings per common share,”

“Return on average tangible common equity,” “Efficiency ratio,” “Tangible common equity to tangible assets,” and “Tangible book

value per share.” The Company believes these non-GAAP financial measures provide both management and investors a more

complete understanding of the Company’s profitability and asset profile, and that the tangible asset-based measures are

commonly used by investors in evaluating value of financial institutions and their equity securities. These non-GAAP financial

measures are supplemental and are not a substitute for any analysis based on GAAP financial measures. Not all companies use

the same calculation of these measures; therefore, the measures in this presentation may not be comparable to other similarly

titled measures as presented by other companies.

Business Leadership

• Honored as the 2025 Illinois SBA 504 Third-Party Lender of the Year

• Recognized by Newsweek as a 2026 America's Top Financial

Advisory Firm for Midland Wealth Advisors

Industry Recognition

• Awarded a 2026 Top Workplace Honor, its fourth consecutive year

• Received the 2025 Illinois Community Service Award from the

Illinois Bankers Association, which recognizes Illinois financial

institutions for community service.

• Named 2024 finalist for Best Initiative to Promote Financial Inclusion

at the Future Branches Innovators Awards.

Community Investment

• Since 2011, the Midland States Bank Foundation has donated more

than $2.8 million to nonprofit organizations within its footprint.

Company Snapshot

Highlights

Established in 1881, Midland States Bank is an FDIC-insured, well-capitalized community bank that takes

pride in maintaining strong relationships with its customers and serving the financial needs of its

communities across its geographic footprint.

Midland States Bank strives to support diverse economies through financial empowerment,

community involvement, and banking services.

3

Headquartered in Effingham, Illinois

42 Illinois Banking Centers

11 Missouri Banking Centers

Our Community Bank is Organized into Four Regions:

• Northern

• Eastern

• Southern

• St. Louis

Full Service Personal and Business Banking Solutions, including:

• Checking

• Savings

• Loans

• Financial Planning

• Digital Banking Products & Services

• Payable and Receivable Solutions

• Retirement Plan Services

Additional Locations:

• Trust Company - Chicago, IL & Tarrytown, NY

Financial Services & Banking Center Footprint

4

Business and Corporate Strategy

We are a community bank focused on developing deep customer relationships and

building strong communities.

OUR MISSION

Providing a superior

experience to enrich our

customer's financial journey.

OUR VISION

We are one bank, committed to

cohesive teamwork that

prioritizes team success over

individual gains.

5

Executive Management Team

Jeffrey G. Ludwig

President – CEO of Midland States Bancorp

CEO of Midland States Bank

• Assumed Company CEO role in January 2019 after

serving as Bank CEO

• More than 10 years serving as CFO

• Joined Midland in 2006; 16+ years in banking

industry

Claire A. Stack

EVP, Chief Financial Officer of Midland States

Bancorp and Midland States Bank

• Promoted to EVP, Chief Financial Officer in May 2026

after serving as Corporate Controller

• 15+ years of accounting and financial leadership

experience within the financial services sector

• Joined Midland in 2025

Daniel E. Casey

EVP, Chief Risk Officer of Midland States Bank

• 30+ years in risk and investment management

• Administers enterprise risk management functions

including compliance management, loan review,

internal audit and other fiduciary safeguards

• Joined Midland in 2023

Jeremy A. Jameson

EVP, Chief Banking Officer of Midland States

Bank

• 20+ years in banking and credit with a track record

of managing clients up to $100MM and designing

comprehensive credit and lending strategies

• Administers credit policy, credit risk management,

and loan origination systems

• Joined Midland in 2024

6

7

Where We Are Today Where We’re Going

Building Blocks For Growth Core Businesses

• Midland States Bank operates 53 branches/offices in Illinois and Missouri

• Presence in stable, lower deposit cost Midwestern markets

• Significant commercial growth opportunities in St. Louis and Chicago

• Comprehensive wealth and trust product offering

• Evolving tech-forward strategy, including Fintech services

• Reducing credit risk exposure

• Commercial Banking

• Personal Banking

• Private Wealth Management

• Trust Services

• Fintech Services

Ongoing

Reduction of

Non-Core Loans

Growing

Commercial

Banking

Accelerating

Growth in

Wealth

Improving

Operational

Capabilities

• Continue to reduce specialty finance exposure to

less than 10% of loans

• Ongoing efforts to work-out / sell NPAs

• Invest in team and technology to grow and deepen

relationships

• Focus on higher growth St. Louis & greater

Chicago markets

• Invest in technology and people

• Cross sell with commercial and retail clients

• Continue adding new advisors

• Expand data and analytics capabilities

• Strengthen credit processes and controls

• Automate back-office processes using AI and RPA

Building

Tech-Forward

Strategy

• Third party loan program at $64.6 million

carries full credit indemnification

• Fintech Services continuing to seek high

quality partners

$6.7B

Assets

$4.2B

Loans

$5.7B

Deposits

$4.8B

AUM/A

Building a High Performing, Tech-Forward Community Bank

8

Second Quarter 2026 Highlights

Highlights

1 Represents a non-GAAP financial measure. See “Non-GAAP Reconciliation” in the appendix.

Net Income Available

to Common $17.7 million

Shareholders

Diluted EPS (adjusted1

)

$0.82

ROAA 1.22%

ROATCE1 16.27%

Adjusted PPNR ROAA1

2.01%

Efficiency Ratio1 60.6% CET1 10.4%

Net Interest Margin • Net interest margin was 3.98%, up seven bps compared to prior quarter, driven primarily by a favorable shift in investment securities mix, a

one basis point increase in loan yields, and a continued decline in funding costs

Loans • Community Bank loan portfolio increased $6.3 million, or 0.7% annualized

• Total loans decreased $94.9 million from LQ, primarily due to anticipated runoff within our specialty finance and non-core portfolios

Wealth Management • Wealth Management AUA of $4.78 billion and record revenue of $8.8 million in Q2

Credit Management

• Continued credit management: loans 30-89 past due and substandard accruing loans decreased $9.3 million and $20.4 million, respectively,

in Q2, while non-performing assets increased by $1.9 million in Q2; NPAs to assets was flat at 0.91% as compared to LQ

• Provision of $7.1 million, $1.7 million increase from LQ, primarily attributable to a charge-off recorded in connection with the execution of a

resolution strategy for a previously identified nonperforming commercial real estate relationship.

Deposits

• Total deposits increased $267.2 million; driven by retail, commercial and servicing deposit growth as well as seasonal growth in public funds

partially offset by a decrease in higher-cost brokered deposits

• Loan to deposit ratio declined to 74.4% reflecting increased liquidity

Capital • Consolidated CET1 ratio of 10.4%; Total Capital ratio of 15.8%; All capital ratios increased from LQ

• Repurchased $2.7 million of common stock during the quarter

Financial Summary

9

Strong Capital Position

14.5% 14.3%

15.2% 15.3% 15.8%

12.1% 12.5%

13.4% 13.5% 14.0%

9.6% 9.9% 9.9% 10.4% 10.4%

Total Capital Tier 1 Capital Leverage

Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026

9.0% 9.4% 9.9% 10.0% 10.4%

CET1

Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026

• Strong regulatory capital ratios at bank and holding company, well-above

minimum buffers

• CET1 of 10.4% exceeded near-term target of 10%

• Continued focus on building TCE / TA ratio (6.64% for the quarter) to over

7.0%

• Additional 2Q26 ratios:

‒ 33.6% C&L as a % of Total RBC

‒ 261.4% CRE as a % of Total RBC1

• Board authorized $45.0 million share repurchase program expires on

December 31, 2026, $24.9 million remaining to be repurchased

Capital Ratios

Common Equity Tier 1 Ratio

Strong Capital Base

1 Represents non-owner occupied CRE loans only

Shares Repurchased

2,996,778

839,553

228,266

457,222 478,715

$18.83 $21.16

$23.93

$20.96

$22.08

Shares repurchased Average price

2019 - 2022 2023 2024 2025 2026

10

Total Loans and Average Loan Yield

(in millions, as of quarter-end)

Loan Portfolio

• Total loans decreased $94.9 million from prior quarter to $4.24 billion, reflecting the continued planned runoff of

specialty finance and non-core portfolios, which more than offset Community Bank loan growth. Average loan

balances in the Community Bank increased approximately $83 million, or 2.5%, during the quarter, supported

by continued commercial loan production and growth in commercial and industrial commitments. Period-end

balances were impacted by the timing of several larger fundings shifting into the third quarter and elevated

loan payoffs.

• Community Bank loans increased $6.3 million for the quarter with annualized growth of 4.5% over the past two

quarters

• Continued focus on underwriting standards and higher credit quality relationships

Loan Portfolio Mix

(in millions, as of quarter-end)

2Q 2026 1Q 2026 2Q 2025

Commercial loans and leases $ 1,223 $ 1,260 $ 1,892

Commercial real estate 2,297 2,322 2,383

Construction and land development 244 276 259

Residential real estate 348 345 361

Consumer 132 135 140

Total Loans $ 4,244 $ 4,339 $ 5,035

$5,035 $4,868

$4,352 $4,339 $4,244

6.20%

6.50%

6.28% 6.30% 6.31%

Total Loans Average Loan Yield

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

11

Loan Segments

Loan Segment Mix

• Community Bank loans increased $6.3 million to $3.40 billion, concentrated in our Northern and St. Louis

regions

• Commercial pipelines remain strong

• Recently added talent across the franchise is driving quality loan relationships and commercial deposit growth

Loan Portfolio Segments

(in millions, as of quarter-end)

2Q 2026 1Q 2026 2Q 2025

Regions:

Eastern $ 979 $ 990 $ 897

Northern 772 759 754

Southern 701 714 778

St. Louis 952 935 885

Community Bank 3,403 3,397 3,314

Other:

Specialty Finance 532 614 671

Non-Core and Other 308 328 1,051

Total Loans $ 4,244 $ 4,339 $ 5,035

Community

Bank,

80.2%

Specialty

Finance,

12.5%

Non-Core

and other,

7.3%

12

Credit Management Update

Non-Core Loans

Specialty Finance Group

• Third party lending portfolio: $64.6M1

• Retained GreenSky: $39.4M

• Retained MEF: $42.2M

• Nonperforming Assets $8.4M

1

Guaranteed programs

Balances at 2Q 2026

Allowance for Credit Losses (ACL) Net Charge Offs – Community Bank Loans vs. Other

(in millions, as of quarter-end) (in millions, as of quarter-end)

$93

$101

$69 $68 $63

1.84%

2.07%

1.59% 1.56% 1.47%

Allowance for credit losses ACL/Loans

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

$8

$1

$5 $4

$9

$22

$11

$39

$3 $3

Community Bank All Other

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

Continued Progress on Credit Quality and Strong Community Bank Trends

Highlights

• Loans 30-89 days past due decreased by $9.3 million to $11.0

million, or 0.26% of total loans.

• Substandard accruing loans decreased by $20.4 million to $71.5

million.

• Nonperforming loans increased by $2.1 million to $60.9 million, or

1.43% of total loans.

• Net charge-offs were $12.5 million, including an $8.6 million

charge-off in connection with the execution of a resolution strategy

for a previously identified nonperforming commercial real estate

relationship in our Community Bank portfolio.

13

Non-Performing Asset Update

(dollars in thousands)

Loan Segment

Balance

2Q 2025

Balance

3Q 2025

Balance

4Q 2025

Balance

1Q 2026

Balance

2Q 2026 Notes

Loan 1 CRE - Multifamily - Wisconsin $ 716 $ 716 $ — $ — $ —

Loan 2 CRE - Office - Florida 9,285 7,988 7,988 7,988 7,988 Partial charge off Q3 2025

Loan 3 CRE - Multifamily - Michigan 8,399 5,534 — — — Note sold Q4 2025

Loan 4 CRE - Multifamily - South Carolina 8,140 — — — — Paid in full Q3 2025

Loan 5 C&I Relationship - Illinois 5,445 5,445 5,445 5,445 5,445

Loan 6 CRE - Multifamily - Texas — — 14,336 13,208 4,619 Partial charge off Q1 and Q2 2026

Loan 7 CRE - Office - Illinois 6,050 5,265 5,205 5,205 5,205

Loan 8 CRE - Asst Living - Illinois 5,540 5,405 4,418 4,418 4,173 Partial charge off (Q3 and Q4 2025, Q2 2026)

Loan 9 CRE - Mixed Use - Missouri — — — — 13,051

Large Exposures $ 43,575 $ 30,353 $ 37,392 $ 36,264 $ 40,481

Midland Equipment Finance 11,629 11,818 1,626 1,194 2,312 Remaining portfolio after 2025 sale

Non-Core Loan Programs 3,608 4,196 4,509 4,494 2,806 Credit guarantee by sponsor

All Other Loans 21,300 22,336 21,956 16,839 15,280

Loan charged off, moved to held for sale ($3.9

million) in Q1 2026; note sold in Q2 2026

Total Non-Performing Loans $ 80,112 $ 68,703 $ 65,483 $ 58,791 $ 60,879

NPL’s / Total Loans 1.59 % 1.41 % 1.50 % 1.36 % 1.43 %

Total OREO & Repossessed Assets 1,663 1,666 606 514 356

Total Non-Performing Assets $ 81,775 $ 70,369 $ 66,089 $ 59,305 $ 61,235

NPA’s / Total Assets 1.15 % 1.02 % 1.01 % 0.91 % 0.91 %

14

Total Deposits

• Total deposits increased $267.2 million compared to prior quarter primarily due to an increase in checking and

savings of $208.7 million and $144.4 million, respectively, partially offset by decreases in money market, time

deposits and non-interest-bearing demand of $53.5 million, $28.4 million and $3.7 million, respectively

• Reduction in higher cost funding and pricing discipline resulted in three bp decrease in cost of deposits

• Continued proactive deposit pricing discipline to balance growth and cost of deposits

Deposit Mix

(in millions, as of quarter-end)

2Q 2026 1Q 2026 2Q 2025

Noninterest-bearing demand $ 1,010 $ 1,014 $ 1,074

Interest-bearing:

Checking 2,095 1,886 2,181

Money Market 1,242 1,296 1,216

Savings 640 496 511

Time 695 723 819

Brokered time 25 25 145

Total Deposits $ 5,707 $ 5,440 $ 5,947

Total Deposits and Cost of Deposits

(in millions, as of quarter-end)

$5,947

$5,605

$5,424 $5,440

$5,707

2.19% 2.12%

1.95% 1.81% 1.78%

Total Deposits Cost of Deposits

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

15

Deposit Segments

• Community Bank deposits increased, driven largely

by growth in new accounts as a result of targeted

initiatives and seasonal growth in public funds

• High-cost brokered deposit balances continued to

decrease

• Retail and small business growth initiative continue to

generate new customers with focus on full banking

relationships

Deposit by Channel

(in millions, as of quarter-end)

2Q 2026 1Q 2026 2Q 2025

Retail $ 3,003 $ 2,905 $ 2,812

Commercial 1,326 1,209 1,145

Public Funds 576 456 618

Community Bank $ 4,905 $ 4,570 $ 4,575

Wealth & Trust $ 244 $ 243 $ 305

Servicing 502 478 786

Brokered Deposits / Other 56 149 281

Total Deposits $ 5,707 $ 5,440 $ 5,947

Trend of Deposit Channel Mix

(in millions, as of quarter-end)

$5,947 $5,605 $5,424 $5,440 $5,707

Retail Commercial

Public Funds Wealth & Trust

Servicing Brokered Deposits / Other

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

Highlights

Cost of Funds by Deposit Channel

1.65%

1.71%

1.64%

1.55% 1.54%

2.58%

2.65%

2.35%

2.10% 2.16%

2.74%

2.41%

2.21%

2.09%

1.97%

Retail Commercial All other

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

16

Neutral Rate Positioning Supports Margin Stability

• Bank well positioned for rate changes with modest liability sensitive position:

• 33% of assets reprice within 3 months as of June 30, 2026

• 74% of our liabilities reprice within 3 months as of June 30, 2026

• Loan Strategy: Focused on originating Community Bank loans with full banking relationships

• Deposit Strategy: Deeper focus on full banking relationships to help drive core checking account growth

1

Based on projected principal payments for all loans plus the next reset for floating and adjustable-rate loans and the maturity date of fixed rate loans.

Total Loans and Leases (net of unearned income)1

(in millions)

As of June 30, 2026 Repricing Term Rate Structure

3 mos or

less

3-12

months 1-3 years 3-5 years

5-10

years

10-15

years

Over 15

years Total

Floating

Rate

Adjustable

Rate

Fixed

Rate

Commercial loans and leases $ 719 $ 177 $ 176 $ 107 $ 42 $ 2 $ — $ 1,223 $ 623 $ 85 $ 515

Commercial real estate 686 390 600 441 158 20 2 2,297 509 290 1,499

Construction and land development 214 9 19 1 1 — — 244 181 2 60

Residential real estate 75 35 43 50 50 31 64 348 57 92 199

Consumer 25 41 42 17 7 — — 132 11 — 121

Total $ 1,719 $ 652 $ 880 $ 616 $ 258 $ 53 $ 66 $ 4,244 $ 1,381 $ 469 $ 2,394

% of Total 41 % 15 % 21 % 15 % 6 % 1 % 2 % 100 % 33 % 11 % 56 %

Weighted Average Rate 6.93 % 5.13 % 5.72 % 6.14 % 4.69 % 4.55 % 4.72 % 6.09 % 7.18 % 5.67 % 5.53 %

17

Strong Liquidity

Abundant Excess Liquidity

• $4.41 billion total insured deposits

• 19.4% liquidity on balance sheet (Cash & Investment

Securities)

• Stable insured deposit base, brokered time deposits

less than 1% of total deposits as of June 30, 2026

• $502.3 million of servicing deposits

• Investment securities all classified as available for

sale

• Effective duration is 4.4 years, carrying an

average T/E yield of 4.25%

1.78x Liquidity Coverage

$2,313

$1,301

$299

$907

$775

$332

Cash & Cash Equiv Unpledged Securities

FHLB Committed Liquidity FRB Discount Window Availability

Liquidity Uninsured Depositors

Liquidity Position

18

Noninterest Income

• Noninterest income increased $1.7 million compared to LQ with Q1 including $2.1 million of gains from the sale

of the our residential servicing portfolio and a portion of the our commercial servicing portfolio, losses of $1.7

million from the sale of investment securities, and a $1.7 million loss related to our limited partnership

investments

• Wealth Management revenue increased $0.5 million compared to LQ

• Third-party lending agreements are expected to result in credit enhancement income of $2.5 to $3.0 million per

quarter in the near term

Noninterest Income

(in millions)

$23.5

$20.0

$26.9

$22.1

$23.8

Wealth Management Interchange Service Charges on Deposits Residential Mortgage All Other Credit Enhancement Income

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

19

Wealth Management Contribution

Quarterly Performance:

• Record assets under administration of $4.78 billion, up from $4.47 billion LQ, driven primarily by improved market

performance

• Record Wealth Management fees of $8.8 million, up from $8.2 million LQ

• Referrals in 2Q trended up, with an increase in referrals of approximately 5% compared to LQ and 63% compared to same

quarter last year

Strategic Update:

• We expect the addition of advisors hired in 2025 will continue to generate increased business development opportunities

• Investing in technology tools and data to drive customer engagement and cross sell opportunities with Community Bank

Assets Under Administration

(in millions)

Wealth Management Revenue

(in millions)

$4,181

$4,364 $4,479 $4,474

$4,783

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

$7.4

$8.0

$8.3 $8.2

$8.8

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

20

Noninterest Expense and Operating Efficiency

Noninterest Expense & Efficiency Ratio1

(in millions)

• Efficiency Ratio1

was 60.6% in 2Q 2026 vs.

62.2% in 1Q 2026

• Investing in talent and technology to drive

growth and operational efficiencies

• Near-term operating expense run-rate expected

to be approximately $50.0 million per quarter

• 4Q 2025 included $23.1 million from loss on sale

of loan portfolios

1 Represents a non-GAAP financial measure. See “Non-GAAP Reconciliation” in the appendix.

$50.0 $49.8

$77.2

$50.4 $50.8

59.9% 61.0% 63.0% 62.2% 60.6%

Noninterest Expense Adjustments to Noninterest Expense Efficiency Ratio

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

Noninterest Expense (by category)

(in millions)

Highlights

$50.0 $49.8

$77.2

$50.4 $50.8

Salaries and employee benefits Occupancy and equipment Data processing

Professional services Amortization of intangible assets Loss on sale of loan portfolios

Impairment on leased assets and surrendered assets FDIC insurance All other

2Q 2025 3Q 2025 4Q 2025 1Q 2026 2Q 2026

21

Financial Outlook

• Continue growing high-quality Community Bank

relationships

• Expand Wealth Management and fee income

• Continue reducing non-core portfolios and credit costs

• Build capital while maintaining strong profitability

• Drive operating leverage through technology and

process improvement

22

Appendix

23

1 Represents a non-GAAP financial measure. See “Non-GAAP Reconciliation” in the appendix.

Second Quarter 2026 Results

(dollars in millions, except for per share data) As of and for the Three Months Ended

June 30, March 31, December 31, September 30, June 30,

2026 2026 2025 2025 2025

Net interest income $ 59.6 $ 57.4 $ 58.7 $ 61.1 $ 58.7

Provision for credit losses 6.8 5.0 11.6 20.0 17.4

Total noninterest income 23.8 22.1 26.9 20.0 23.5

Total revenue 83.4 79.5 85.6 81.1 82.2

Total noninterest expenses 50.8 50.4 77.2 49.8 50.0

Income (loss) before taxes 25.8 24.1 (3.2) 11.3 14.9

Net income (loss) 19.9 18.5 (2.9) 7.6 12.0

Net income (loss) available to common shareholders 17.7 16.2 (5.1) 5.3 9.8

Diluted earnings (loss) per share 0.82 0.74 (0.24) 0.24 0.44

Adjusted diluted earnings per share1

0.82 0.79 0.54 0.25 0.48

Total assets $ 6,700.6 $ 6,548.0 $ 6,513.4 $ 6,911.5 $ 7,107.9

Gross loans receivable (ex. HFS) 4,243.7 4,338.6 4,352.0 4,867.6 5,035.3

Allowance for credit losses on loans & leases (62.5) (67.9) (69.2) (100.9) (92.7)

All other assets 2,519.4 2,277.3 2,230.6 2,144.8 2,165.3

Total liabilities 6,130.9 5,989.0 5,947.9 6,327.5 6,534.2

Total deposits 5,707.3 5,440.1 5,424.4 5,604.8 5,946.9

Borrowings 344.9 470.5 432.1 598.5 482.9

Other liabilities 78.8 78.5 91.5 124.2 104.3

Total shareholders' equity 569.7 559.0 565.5 584.0 573.7

Adjusted PPNR1 $ 32.8 $ 30.5 $ 31.6 $ 31.6 $ 33.3

NPA / Total assets 0.91 % 0.91 % 1.01 % 1.02 % 1.15 %

Wealth assets under administration 4,782.6 4,474.2 4,479.0 4,363.8 4,181.2

Efficiency ratio1

60.6 % 62.2 % 63.0 % 61.0 % 59.9 %

Tangible book value per share 1 $ 21.41 $ 20.77 $ 20.70 $ 21.16 $ 20.68

Common shares outstanding at period end 20,725,814 20,813,975 21,169,854 21,543,557 21,515,138

24

Non-GAAP Reconciliations (unaudited)

Adjusted Earnings Reconciliation

For the Three Months Ended

June 30, March 31, December 31, September 30, June 30,

(dollars in thousands, except per share data) 2026 2026 2025 2025 2025

Income (loss) before income tax expense (benefit) - GAAP $ 25,783 $ 24,112 $ (3,248) $ 11,314 $ 14,868

Adjustments to noninterest income:

(Gain) loss on sales of investment securities, net — 1,731 — (14) —

Gain on sale of mortgage servicing rights — (2,077) — — —

Loss on limited partnership investments 176 1,689 134 315 1,028

Total adjustments to noninterest income 176 1,343 134 301 1,028

Adjustments to noninterest expense:

Loss on sale of loan portfolios — — (23,051) — —

Total adjustments to noninterest expense — — (23,051) — —

Adjusted earnings pre-tax - non-GAAP 25,959 25,455 19,937 11,615 15,896

Adjusted earnings tax expense 5,941 6,002 5,726 3,836 3,114

Adjusted earnings - non-GAAP 20,018 19,453 14,211 7,779 12,782

Preferred stock dividends 2,228 2,228 2,228 2,229 2,228

Adjusted earnings available to common shareholders $ 17,790 $ 17,225 $ 11,983 $ 5,550 $ 10,554

Adjusted diluted earnings per common share $ 0.82 $ 0.79 $ 0.54 $ 0.25 $ 0.48

Adjusted Pre-Provision Net Revenue Reconciliation

For the Three Months Ended

June 30, March 31, December 31, September 30, June 30,

(dollars in thousands, except per share data) 2026 2026 2025 2025 2025

Adjusted earnings pre-tax - non-GAAP $ 25,959 $ 25,455 $ 19,937 $ 11,615 $ 15,896

Provision for credit losses 6,819 5,003 11,625 20,005 17,369

Adjusted pre-provision net revenue $ 32,778 $ 30,458 $ 31,562 $ 31,620 $ 33,265

Adjusted pre-provision net revenue to average assets (annualized) 2.01 % 1.91 % 1.86 % 1.81 % 1.86 %

25

Non-GAAP Reconciliations (unaudited)

Efficiency Ratio Reconciliation

For the Three Months Ended

June 30, March 31, December 31, September 30, June 30,

(dollars in thousands) 2026 2026 2025 2025 2025

Noninterest expense - GAAP $ 50,755 $ 50,424 $ 77,192 $ 49,814 $ 49,992

Loss on sale of loan portfolios — — (23,051) — —

Adjusted noninterest expense $ 50,755 $ 50,424 $ 54,141 $ 49,814 $ 49,992

Net interest income - GAAP $ 59,589 $ 57,417 $ 58,702 $ 61,117 $ 58,695

Effect of tax-exempt income 207 218 221 209 267

Adjusted net interest income 59,796 57,635 58,923 61,326 58,962

Noninterest income - GAAP 23,768 22,122 26,867 20,016 23,534

(Gain) loss on sales of investment securities, net — 1,731 — (14) —

Gain on sale of mortgage servicing rights — (2,077) — — —

Loss on limited partnership investments 176 1,689 134 315 1,028

Adjusted noninterest income 23,944 23,465 27,001 20,317 24,562

Adjusted total revenue $ 83,740 $ 81,100 $ 85,924 $ 81,643 $ 83,524

Efficiency ratio 60.61 % 62.17 % 63.01 % 61.01 % 59.85 %

Return on Average Tangible Common Equity

For the Three Months Ended

June 30, March 31, December 31, September 30, June 30,

(dollars in thousands) 2026 2026 2025 2025 2025

Net income available to common shareholders $ 17,660 $ 16,235 $ (5,116) $ 5,328 $ 9,796

Average total shareholders' equity—GAAP 561,753 569,482 582,698 576,431 572,119

Adjustments:

Preferred stock (110,548) (110,548) (110,548) (110,548) (110,548)

Goodwill (7,927) (7,927) (7,927) (7,927) (7,927)

Other intangible assets, net (7,813) (8,487) (9,320) (9,978) (10,744)

Average tangible common equity 435,465 442,520 454,903 447,978 442,900

Return on average tangible common equity (annualized) 16.27 % 14.88 % (4.46) % 4.72 % 8.87 %

26

Non-GAAP Reconciliations (unaudited)

Tangible Common Equity to Tangible Assets Ratio and Tangible Book Value Per Share

As of

June 30, March 31, December 31, September 30, June 30,

(dollars in thousands, except per share data) 2026 2026 2025 2025 2025

Shareholders' Equity to Tangible Common Equity

Total shareholders' equity—GAAP $ 569,688 $ 558,954 $ 565,499 $ 584,001 $ 573,705

Adjustments:

Preferred Stock (110,548) (110,548) (110,548) (110,548) (110,548)

Goodwill (7,927) (7,927) (7,927) (7,927) (7,927)

Other intangible assets, net (7,495) (8,159) (8,876) (9,619) (10,362)

Tangible common equity $ 443,718 $ 432,320 $ 438,148 $ 455,907 $ 444,868

Less: Accumulated other comprehensive loss (AOCI) (67,931) (69,582) (60,333) (62,966) (73,988)

Tangible common equity excluding AOCI $ 511,649 $ 501,902 $ 498,481 $ 518,873 $ 518,856

Total Assets to Tangible Assets:

Total assets—GAAP $ 6,700,616 $ 6,547,963 $ 6,513,420 $ 6,911,515 $ 7,107,878

Adjustments:

Goodwill (7,927) (7,927) (7,927) (7,927) (7,927)

Other intangible assets, net (7,495) (8,159) (8,876) (9,619) (10,362)

Tangible assets $ 6,685,194 $ 6,531,877 $ 6,496,617 $ 6,893,969 $ 7,089,589

Common Shares Outstanding 20,725,814 20,813,975 21,169,854 21,543,557 21,515,138

Tangible Common Equity to Tangible Assets 6.64 % 6.62 % 6.74 % 6.61 % 6.27 %

Tangible Book Value Per Share $ 21.41 $ 20.77 $ 20.70 $ 21.16 $ 20.68

Tangible Book Value Per Share, excluding AOCI $ 24.69 $ 24.11 $ 23.55 $ 24.08 $ 24.12

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