Q1 2026 First Commonwealth Financial Corp Earnings Call

April 29, 2026

Operator 2: Ladies and gentlemen, thank you for standing by. My name is Abby, and I'll be your conference operator today. At this time, I would like to welcome everyone to the First Commonwealth Financial Corporation Q1 2026 Earnings Release Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by 1 on your telephone keypad. If you would like to withdraw your question, press star 1 again. Thank you. I would now like to turn the conference over to Ryan Thomas, Vice President of Finance and Investor Relations. You may begin.

Operator: Ladies and gentlemen, thank you for standing by. My name is Abby, and I'll be your conference operator today. At this time, I would like to welcome everyone to the First Commonwealth Financial Corporation Q1 2026 Earnings Release Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question-and-answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you.

Speaker #2: All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question-and-answer session. If you would like to ask a question during this time, simply press star followed by the number 1 on your telephone keypad.

Speaker #2: If you would like to withdraw your question, press star 1 again. Thank you. And I would now like to turn the conference over to Ryan Thomas, Vice President of Finance and Investor Relations.

Operator: I would now like to turn the conference over to Ryan Thomas, Vice President of Finance and Investor Relations. You may begin.

Speaker #2: You may begin. Thanks, Abby. And good afternoon, everyone. Thank you for joining us today to discuss First Commonwealth Financial Corporation's first quarter financial results.

Ryan Thomas: Thanks, Abby, and good afternoon, everyone. Thank you for joining us today to discuss First Commonwealth Financial Corporation's Q1 financial results. Participating on today's call will be Mike Price, President and CEO, Jim Reske, Chief Financial Officer, Brian Sohocki, Chief Credit Officer, and Mike McCuen, Chief Lending Officer. As a reminder, a copy of yesterday's earnings release can be accessed by logging on to fcbanking.com and selecting the Investor Relations link at the top of the page. We have also included a slide presentation on our investor relations website with supplemental information that will be referenced during today's call. Before we begin, I need to caution listeners that this call will contain forward-looking statements.

Speaker #2: Participating on today's call will be Mike Price, President and CEO; Jim Reske, Chief Financial Officer; Brian Sohaki, Chief Credit Officer; and Mike McEwen, Chief Lending Officer.

Speaker #2: As a reminder, a copy of yesterday's earnings release can be accessed by logging on to fcbanking.com and selecting the Investor Relations link at the top of the page.

Ryan Thomas: As a reminder, a copy of yesterday's earnings release can be accessed by logging on to fcbanking.com and selecting the Investor Relations link at the top of the page. We have also included a slide presentation on our investor relations website with supplemental information that will be referenced during today's call. Before we begin, I need to caution listeners that this call will contain forward-looking statements.

Speaker #2: We have also included a slide presentation on our Investor Relations website with supplemental information that will be referenced during today's call. Before we begin, I need to caution listeners that this call will contain forward-looking statements.

Speaker #2: Please refer to our forward-looking statements disclaimer on page 3 of the slide presentation for a description of risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statement.

Ryan Thomas: Please refer to our forward-looking statements disclaimer on page three of the slide presentation for a description of risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statement. Today's call will also include non-GAAP financial measures. Non-GAAP financial measures should be viewed in addition to and not as an alternative for our reported results prepared in accordance with GAAP. A reconciliation of these measures can be found in the appendix of today's slide presentation. With that, I will turn the call over to Mike.

Speaker #2: Today's call will also include non-GAAP financial measures. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, reported results prepared in accordance with GAAP.

Speaker #2: A reconciliation of these measures can be found in the appendix of today's slide presentation. With that, I will turn the call over to Mike.

Speaker #2: Hey, thank you, Ryan. Good afternoon, everyone. Several headlines for the first quarter of 2026 follow. Net income of 37.5 million resulted in 37 cents of earnings per share, as compared to our consensus earning estimate of 40 cents.

T. Michael Price: Hey. Thank you, Ryan. Good afternoon, everyone. Several headlines for the Q1 of 2026 follow. Net income of $37.5 million resulted in $0.37 of earnings per share as compared to our consensus earning estimate of $0.40. Net interest income was down some $4.2 million for the quarter to $109.3 million as we sold $210 million of Eastern PA commercial loans and loan balances fell another $74.2 million due to heightened payoffs. Our commercial loan repayments swelled to $630 million in the Q1, up some $150 million over the Q1 of 2025. In the Q1, we had 18 successful CRE projects.

Mike Price: Hey. Thank you, Ryan. Good afternoon, everyone. Several headlines for the Q1 of 2026 follow. Net income of $37.5 million resulted in $0.37 of earnings per share as compared to our consensus earning estimate of $0.40. Net interest income was down some $4.2 million for the quarter to $109.3 million as we sold $210 million of Eastern PA commercial loans and loan balances fell another $74.2 million due to heightened payoffs. Our commercial loan repayments swelled to $630 million in the Q1, up some $150 million over the Q1 of 2025. In the Q1, we had 18 successful CRE projects.

Speaker #2: Net interest income was down some $4.2 million for the quarter to $109.3 million, as we sold $210 million of Eastern PA commercial loans and loan balances fell another $74.2 million due to heightened payoffs.

Speaker #2: Our commercial loan repayments swelled to $630 million in the first quarter, up some $150 million over the first quarter of 2025. In the first quarter, we had 18 successful CRE projects; they were refinanced or sold, representing a payoff of approximately $240 million in loan outstandings.

T. Michael Price: They were refinanced or sold, representing a payoff of approximately $240 million in loan outstandings. The net interest margin, or NIM, fell as expected to 3.92%. Among other items, positive replacement yields on new fixed rate loans in Q1 were 54 basis points higher and coupled with a $150 million swap scrolling off in Q2. This should provide the impetus for further NIM expansion. Deposits grew 6.3% end-to-end annualized in Q1, and our money market promotions have resulted in new consumer checking accounts. Period of four, we have been reticent to aggressively drop rates, but given the elevated loan payoffs and a markedly lower loan-to-deposit ratio, we are well-positioned to test lower deposit rates in the next several quarters.

Mike Price: They were refinanced or sold, representing a payoff of approximately $240 million in loan outstandings. The net interest margin, or NIM, fell as expected to 3.92%. Among other items, positive replacement yields on new fixed rate loans in Q1 were 54 basis points higher and coupled with a $150 million swap scrolling off in Q2. This should provide the impetus for further NIM expansion. Deposits grew 6.3% end-to-end annualized in Q1, and our money market promotions have resulted in new consumer checking accounts.

Speaker #2: The net interest margin, or NIM, fell as expected to 3.92%. Among other items, positive replacement yields on new fixed-rate loans in the first quarter were 54 basis points higher, and coupled with $150 million swaps rolling off in the second quarter, this should provide the impetus for further NIM expansion.

Speaker #2: Deposits grew 6.3% end-to-end annualized in the first quarter, and our money market promotions have resulted in new consumer checking accounts. Period over four, we have been reticent to aggressively drop rates, but given the elevated loan payoffs and a markedly lower loan-to-deposit ratio, we are well-positioned to test lower deposit rates in the next several quarters.

Mike Price: Period of four, we have been reticent to aggressively drop rates, but given the elevated loan payoffs and a markedly lower loan-to-deposit ratio, we are well-positioned to test lower deposit rates in the next several quarters. Non-interest expense, expenses were up $1.2 million to $75.5 million in the quarter as salaries and incentives increased alongside $500,000 of prepayment fees for the repurchase of long-term debt.

Speaker #2: Non-interest expense was up $1.2 million to $75.5 million in the quarter, as salaries and incentives increased, alongside $500,000 of prepayment fees for the repurchase of long-term debt.

T. Michael Price: Non-interest expense, expenses were up $1.2 million to $75.5 million in the quarter as salaries and incentives increased alongside $500,000 of prepayment fees for the repurchase of long-term debt. Our efficiency ratio climbed to 55.4%. We intend to slow down our expense growth rate. The provision for loan losses increased $3.7 million to $10.7 million on a linked quarter basis as we had $9.6 million in specific reserves for three larger credits, one of which was from Eastern Pennsylvania. Our Non-Performing Loans or NPLs to loans remain stubbornly high at 0.98% in Q1. Specifically, three previously discussed relationships totaling $20.5 million moved to non-performing status during the quarter with $9.6 million of associated specific reserves.

Speaker #2: Our efficiency ratio climbed to 55.4%, and we intend to slow down our expense growth rate. The provision for loan losses increased $3.7 million to $10.7 million on a linked-quarter basis, as we had $9.6 million in specific reserves for three larger credits, one of which was from Eastern Pennsylvania.

Mike Price: Our efficiency ratio climbed to 55.4%. We intend to slow down our expense growth rate. The provision for loan losses increased $3.7 million to $10.7 million on a linked quarter basis as we had $9.6 million in specific reserves for three larger credits, one of which was from Eastern Pennsylvania. Our Non-Performing Loans or NPLs to loans remain stubbornly high at 0.98% in Q1. Specifically, three previously discussed relationships totaling $20.5 million moved to non-performing status during the quarter with $9.6 million of associated specific reserves.

Speaker #2: Our non-performing loans, or NPLs, to loans remained stubbornly high at 0.98% in the first quarter. Specifically, three previously discussed relationships totaling $20.5 million moved to non-performing status during the quarter, with $9.6 million of associated specific reserves.

Speaker #2: These downgrades offset otherwise positive asset resolution during the quarter, and please recall that of our $92.3 million in NPLs, $28.1 million, or 30.4%, is guaranteed by the SBA.

T. Michael Price: These downgrades offset otherwise positive asset resolution during the quarter. Please recall that of our $92.3 million in NPLs, $28.1 million or 30.4% is guaranteed by the SBA. The balance sheet and liquidity continued to strengthen in Q1 as we paid off virtually all borrowings, lowered our loan-to-deposit ratio to 91% and grew tangible book value per share by 4.3% while at the same time repurchasing our stock. Other notable for Q1 items include our CenterBank acquisition has exceeded financial expectations and helped lead Cincinnati to company-leading loan and deposit growth in Q2. Residential mortgage had a strong Q1 with both loan volumes and gain on sale income.

Mike Price: These downgrades offset otherwise positive asset resolution during the quarter. Please recall that of our $92.3 million in NPLs, $28.1 million or 30.4% is guaranteed by the SBA. The balance sheet and liquidity continued to strengthen in Q1 as we paid off virtually all borrowings, lowered our loan-to-deposit ratio to 91% and grew tangible book value per share by 4.3% while at the same time repurchasing our stock. Other notable for Q1 items include our CenterBank acquisition has exceeded financial expectations and helped lead Cincinnati to company-leading loan and deposit growth in Q2.

Speaker #2: The balance sheet and liquidity continued to strengthen in the first quarter as we paid off virtually all borrowings. We lowered our loan-to-deposit ratio to 91% and grew tangible book value per share by 4.3%, while at the same time repurchasing our stock.

Speaker #2: Other notable first quarter items include our Center Bank acquisition, which has exceeded financial expectations and helped lead Cincinnati to company-leading loan and deposit growth in the second quarter.

Speaker #2: Residential mortgage had a strong first quarter, with both loan volumes and gain-on-sale income. The Small Business and Business Banking segment volumes were brisk, as we have added new bankers and enhanced credit processes.

Mike Price: Residential mortgage had a strong Q1 with both loan volumes and gain on sale income. The small business and business banking segment volumes were brisk as we have added new bankers and enhanced credit processes. Also, our retail bank had the highest net promoter and customer satisfaction scores since we began tracking. As we think about the ensuing quarters and future, it will be important that we focus on the basics, namely live our mission, grow the bank, get better.

T. Michael Price: The small business and business banking segment volumes were brisk as we have added new bankers and enhanced credit processes. Also, our retail bank had the highest net promoter and customer satisfaction scores since we began tracking. As we think about the ensuing quarters and future, it will be important that we focus on the basics, namely live our mission, grow the bank, get better. As we grow the bank, we must do so steadily and ensure our credit costs converge and surpass peers. Getting better will necessitate new approaches and technologies to both make it easier for customers to do business with First Commonwealth while simplifying internal processes. Given our adoption of Fintech over the years and our current AI usage, we have important tools to continue to evolve our company. Simultaneously, we must become more efficient as we scale the bank.

Speaker #2: Also, our retail bank had the highest net promoter and customer satisfaction scores since we began tracking. As we think about the ensuing quarters and future, it will be important that we focus on the basics.

Speaker #2: Namely, live our mission, grow the bank, get better. As we grow the bank, we must do so steadily and ensure our credit costs converge and surpass peers.

Mike Price: As we grow the bank, we must do so steadily and ensure our credit costs converge and surpass peers. Getting better will necessitate new approaches and technologies to both make it easier for customers to do business with First Commonwealth while simplifying internal processes. Given our adoption of Fintech over the years and our current AI usage, we have important tools to continue to evolve our company.

Speaker #2: Getting better will necessitate new approaches and technologies to both make it easier for customers to do business with First Commonwealth, while simplifying internal processes.

Speaker #2: Given our adoption of fintech over the years and our current AI usage, we have important tools to continue to evolve our company. Simultaneously, we must become more efficient as we scale the bank.

Mike Price: Simultaneously, we must become more efficient as we scale the bank. Our first strategic initiative, live our mission to improve the financial lives of our neighbors and businesses, remains the cornerstone of our brand and is what sets us apart as a community bank. With that, I'll turn it over to Jim Reske, our CFO.

Speaker #2: Our first strategic initiative—live our mission to improve the financial lives of our neighbors and businesses—remains the cornerstone of our brand and is what sets us apart as a community bank.

T. Michael Price: Our first strategic initiative, live our mission to improve the financial lives of our neighbors and businesses, remains the cornerstone of our brand and is what sets us apart as a community bank. With that, I'll turn it over to Jim Reske, our CFO.

Speaker #2: With that, I'll turn it over to Jim Reske, our CFO. Thanks, Mike. Mike's already provided an overview of financial results, so I'll drill down a bit on spread income and the margin.

James Reske: Thanks, Mike. Mike's already provided an overview of financial results, so I'll drill down a bit on spread income and the margin. Spread income was down from last quarter by $4.2 million, but approximately $2.6 million of this decline can be attributed to having fewer days in the quarter. The remainder stems from the lower levels of earning assets and the impact of last quarter's Fed rate cuts on the variable rate loan portfolio. The Fed cuts resulted in a 9 basis point contraction in the yield on earning assets, somewhat offset by a 5 basis point decrease in the cost of funds. The decline in earning assets is largely the result of the disposition of $210 million in loans that were moved to held for sale at the end of Q4.

Jim Reske: Thanks, Mike. Mike's already provided an overview of financial results, so I'll drill down a bit on spread income and the margin. Spread income was down from last quarter by $4.2 million, but approximately $2.6 million of this decline can be attributed to having fewer days in the quarter. The remainder stems from the lower levels of earning assets and the impact of last quarter's Fed rate cuts on the variable rate loan portfolio.

Speaker #2: Spread income was down from last quarter by 4.2 million dollars, but approximately 2.6 million dollars of this decline can be attributed to having fewer days in the quarter.

Speaker #2: The remainder stems from the lower level of earning assets, and the impact of last quarter's Fed rate cuts on the variable-rate loan portfolio. The Fed cuts resulted in a 9-basis-point contraction in the yield on earning assets, somewhat offset by a 5-basis-point decrease in the cost of funds.

Jim Reske: The Fed cuts resulted in a 9 basis point contraction in the yield on earning assets, somewhat offset by a 5 basis point decrease in the cost of funds. The decline in earning assets is largely the result of the disposition of $210 million in loans that were moved to held for sale at the end of Q4. This quarter's net interest margin, or NIM, of 3.92% is in line with our previous guidance.

Speaker #2: The decline in earning assets is largely the result of the disposition of $210 million in loans that were moved to held for sale at the end of the fourth quarter.

Speaker #2: This quarter's net interest margin, or NIM, of 3.92% is in line with our previous guidance. While it is down from last quarter's 3.98%, the NIM in the fourth quarter benefited from about 3 basis points from several unique items that we talked about last quarter.

James Reske: This quarter's net interest margin, or NIM, of 3.92% is in line with our previous guidance. While it is down from last quarter's 3.98%, the NIM in Q4 benefited from about 3 basis points from several unique items that we talked about last quarter, including the recognition of accrued interest from the payoff of several loans that had previously been placed on non-accrual status. Looking ahead, the NIM should benefit from fewer than expected rate cuts that keep the variable rate loans from repricing downward while continuing to allow the fixed-rate loans and securities to reprice upward. The expiration of $150 million in macro swaps on 01 May, this Friday, is even more valuable in a higher rate environment, as it will allow those loans to float to higher rates than expected.

Jim Reske: While it is down from last quarter's 3.98%, the NIM in Q4 benefited from about 3 basis points from several unique items that we talked about last quarter, including the recognition of accrued interest from the payoff of several loans that had previously been placed on non-accrual status. Looking ahead, the NIM should benefit from fewer than expected rate cuts that keep the variable rate loans from repricing downward while continuing to allow the fixed-rate loans and securities to reprice upward.

Speaker #2: Including the recognition of accrued interest from the payoff of several loans that had previously been placed on non-accrual status. Looking ahead, the NIM should benefit from fewer than expected rate cuts, which would keep the variable-rate loans from repricing downward.

Speaker #2: While continuing to allow the fixed-rate loans and securities to reprice upward. And the expiration of $150 million of macro swaps on May 1st, this Friday, is even more valuable than a higher-rate environment.

Jim Reske: The expiration of $150 million in macro swaps on 01 May, this Friday, is even more valuable in a higher rate environment, as it will allow those loans to float to higher rates than expected. Based on our new one-cut base case, we are revising our previous NIM guidance upwards slightly, about 3 to 5 basis points higher each quarter than before, drifting upwards to the low 4% range by Q4 of this year. Q1 non-interest expense, or NIE, increased by $1.2 million from last quarter.

Speaker #2: As it will allow those loans to float to higher rates than expected. Based on our new one-cut base case, we are revising our previous NIM guidance upward slightly—about 3 to 5 basis points higher each quarter than before, drifting upwards to the low 4% range by the fourth quarter of this year.

James Reske: Based on our new one-cut base case, we are revising our previous NIM guidance upwards slightly, about 3 to 5 basis points higher each quarter than before, drifting upwards to the low 4% range by Q4 of this year. Q1 non-interest expense, or NIE, increased by $1.2 million from last quarter. Q1 NIE included about $1.3 million in expense for finalizing incentive payments related to prior year volumes and performance, similar to Q1 last year, along with the $500,000 FHLB prepayment penalty that Mike mentioned. We expect NIE per quarter to hover in the $74 to $76 million range this year. Fee income was little changed from last quarter.

Speaker #2: First quarter non-interest expense, or NIE, increased by $1.2 million from last quarter, but first quarter NIE included about $1.3 million in expense for finalizing incentive payments related to prior year volumes and performance, similar to the first quarter last year.

Jim Reske: Q1 NIE included about $1.3 million in expense for finalizing incentive payments related to prior year volumes and performance, similar to Q1 last year, along with the $500,000 FHLB prepayment penalty that Mike mentioned. We expect NIE per quarter to hover in the $74 to $76 million range this year. Fee income was little changed from last quarter. Q1 fee income included approximately $435,000 from the payoff of several loans that had been included in the held-for-sale portfolio at year-end.

Speaker #2: Along with the $500,000 FHLB prepayment penalty that Mike mentioned, we expect NIE per quarter to hover in the $74 to $76 million range this year.

Speaker #2: Fee income is little changed from last quarter. First quarter fee income included approximately $435,000 from the payoff of several loans that had been included in the held-for-sale portfolio at year-end.

James Reske: Q1 fee income included approximately $435,000 from the payoff of several loans that had been included in the held-for-sale portfolio at year-end. When they paid off at par, the difference between par and the mark was recognized as fee income. Wealth, mortgage, and SBA are all up significantly from the same quarter a year ago. Fee income should range from $24 to $25 million per quarter this year. We repurchased approximately $22.7 million in stock last quarter at a weighted average price of $17.67. We have $25 million remaining in repurchase authorization, not the $18.4 million figure that was in the earnings release. We announced a $0.02 increase in the dividend yesterday, marking the 11th straight year of dividend increases.

Speaker #2: When they paid off at par, the difference between par and the mark was recognized as fee income. Wealth, mortgage, and SBA are all off significantly from the same quarter a year ago.

Jim Reske: When they paid off at par, the difference between par and the mark was recognized as fee income. Wealth, mortgage, and SBA are all up significantly from the same quarter a year ago. Fee income should range from $24 to $25 million per quarter this year. We repurchased approximately $22.7 million in stock last quarter at a weighted average price of $17.67. We have $25 million remaining in repurchase authorization, not the $18.4 million figure that was in the earnings release. We announced a $0.02 increase in the dividend yesterday, marking the 11th straight year of dividend increases.

Speaker #2: Fee income should range from $24 to $25 million per quarter this year. We repurchased approximately $22.7 million in stock last quarter at a weighted average price of $17.67.

Speaker #2: We have $25 million remaining in repurchase authorization, not the $18.4 million figure that was in the earnings release. We announced a $0.02 increase in the dividend yesterday, marking the 11th straight year of dividend increases.

Speaker #2: Combined with the dividend, we returned nearly 100% of internal capital generation to our shareholders last quarter. And yet, tangible book value per share grew from $11.22 to $11.34.

James Reske: Combined with the dividend, we returned nearly 100% of internal capital generation to our shareholders last quarter, and yet tangible book value per share grew from $11.22 to $11.34. We intend to continue share repurchase activity in Q2. Our CET1 ratio improved from 12.1% to 12.5%. Our TCE ratio was unchanged at 9.7%. With that, we'll take any questions you may have.

Jim Reske: Combined with the dividend, we returned nearly 100% of internal capital generation to our shareholders last quarter, and yet tangible book value per share grew from $11.22 to $11.34. We intend to continue share repurchase activity in Q2. Our CET1 ratio improved from 12.1% to 12.5%. Our TCE ratio was unchanged at 9.7%. With that, we'll take any questions you may have.

Speaker #2: We intend to continue share repurchase activity in the second quarter. Our CET1 ratios improved from 12.1% to 12.5%. Our TCE ratio was unchanged at 9.7%.

Speaker #2: And with that, we'll take any questions you may have.

Speaker #1: Thank you. We'll now begin the question-and-answer session. If you've dialed in and would like to ask a question, please press star 1 on your telephone keypad to raise your hand and join the queue.

Operator 2: Thank you. We'll now begin the question and answer session. Our 1st question comes from the line of Daniel Tamayo with Raymond James. Your line is open.

Operator: Thank you. We'll now begin the question-and-answer session. Our 1st question comes from the line of Daniel Tamayo with Raymond James. Your line is open.

Speaker #1: If you would like to withdraw your question, simply press star 1 a second time. If you are called upon to ask your question and are listening via speakerphone on your device, please pick up your handset and ensure that your phone is not on mute when asking your question.

Speaker #1: Again, it is star 1 to join the queue. And our first question comes from the line of Daniel Tamayo with Raymond James. Your line is open.

Speaker #2: Thank you. Good afternoon to everybody. Maybe starting just on the increase in the charge-offs, I appreciate the comments on the loans that were paid down or sold in the second quarter, early on.

Daniel Tamayo: Thank you. Good afternoon to everybody. Maybe starting just on the increase in the charge-offs. I appreciate the comments on the loans that were paid down or sold in Q2 early on. Maybe just a clarification on that. First of all, were there any charge-offs associated with those credits that were sold or paid off? Jim, I was just wondering if you had any thoughts on provision or net charge-offs for the rest of the year. Thanks.

Speaker #2: Maybe just a clarification on that. First of all, were there any charge-offs associated with those credits that were sold or paid off? And then, Jim, I was just wondering if you had any thoughts on provision or net charge-offs for the rest of the year.

Speaker #2: Thanks.

Speaker #3: Yeah. Brian Sahaki.

T. Michael Price: Yeah. Brian Sohocki?

Mike Price: Yeah. Brian Sohocki?

Speaker #4: Yeah, Daniel, I can jump in. The charge-offs from the portfolio—we recorded $2.8 million during the fourth quarter when we moved them—then there was approximately $400,000 that had paid off at par that were reversed and run through the income statement in the first quarter.

Brian Sohocki: Yeah, Daniel, I can jump in. The charge-offs from the portfolio, we recorded $2.8 million during Q4 when we moved them to held for sale. Then, there was approximately $400,000 that had paid off at par that were reversed and run through the income statement in Q1. As you look at the other charge-off activity, you know, my comment would be that, you know, we remained above our long-term target, but we did improve sequentially. You know, the level continues to be, you know, driven by a limited number of isolated credits. You know, we're not seeing any indicators of, you know, systematic stress across the portfolio.

Speaker #4: As you look at the other charge-off activity, my comment would be that we remained above our long-term target but we did improve sequentially and the level continues to be driven by a limited number of isolated credits.

Speaker #4: We're not seeing any indicators of systematic stress across the portfolio. Overall, the performance has been remaining consistent outside of those isolated numbers. And I think your last part of the question was just related to the activity in the press release post-quarter end.

Brian Sohocki: You know, we're not seeing any indicators of, you know, systematic stress across the portfolio. You know, overall, the performance has been remaining consistent outside of those isolated numbers. I think your last part of the question was just related to the activity in the press release post quarter end. There was two names that were in non-performing at the end of Q1. One, we ultimately exited via a loan sale, and incurred just a charge-off outside of our reserved amount of just under $150,000. The second was an exit, full payoff at par.

Brian Sohocki: You know, overall, the performance has been remaining consistent outside of those isolated numbers. I think your last part of the question was just related to the activity in the press release post quarter end. There was two names that were in non-performing at the end of Q1. One, we ultimately exited via a loan sale, and incurred just a charge-off outside of our reserved amount of just under $150,000. The second was an exit, full payoff at par.

Speaker #4: There were two names that were in non-performing. At the end of the first quarter, one, we ultimately exited via a loan sale and incurred just a charge-off outside of our reserved amount of just under $150,000.

Speaker #4: The second was an exit, full payoff at par.

Speaker #2: Okay, very helpful, and I appreciate that detail on the second quarter. So I think what you're saying is— and correct me if I'm wrong—

Daniel Tamayo: Okay. Very helpful. I appreciate that detail on Q2. I think what you're saying is, and correct me if I'm wrong, I guess you said they were a little bit above your long-term target in Q1. That should drift down towards that range kind of as the year plays out. Is there like a ramp down you think still from here or we're moving pretty quickly back into that range?

Speaker #2: You're expecting I guess you said there were a little bit above your long-term target in the first quarter. So that should drift down towards that range kind of as the a ramp down you think still from here or we're moving pretty quickly back into that range?

Speaker #4: Yeah, we'll continue to work through the resolution. Specifically, as you saw in the release, the one item which was moved to NPL during the first quarter is a second quarter charge-off.

Brian Sohocki: Yeah. We'll continue to work through the resolution. You know, specifically, as you saw in the release, the one item which was moved to NPL during Q1 is a Q2 charge-off. More of a slow ramp down to the historical level as we resolve those credits then move them to NPL.

Speaker #4: So, more of a slow ramp down to the historical level as we resolve those credits that moved into NPL.

Speaker #2: Okay. Great. That's helpful. Thanks. And then Jim, maybe or Mike or anyone on the loan growth, just curious, what pay-down activity looked like in the first quarter?

Daniel Tamayo: Okay, great. That's helpful. Thanks. Jim, maybe, or Mike or anyone on the loan growth, just curious, what pay down activity looked like in the first quarter, kind of how you're forecasting that to trend down for the rest of the year and how that offsets against origination activity.

Daniel Tamayo: Okay, great. That's helpful. Thanks. Jim, maybe, or Mike or anyone on the loan growth, just curious, what pay down activity looked like in the Q1, kind of how you're forecasting that to trend down for the rest of the year and how that offsets against origination activity.

Speaker #2: Kind of how you're forecasting that to trend down for the rest of the year? And how that offsets against origination activity?

Speaker #3: Yeah, just in the—we compared the first quarter to the first quarter of last year, and we had $10 million more of production, well over $900 million in the first quarter of 2026.

T. Michael Price: Just, in the, we compared Q1 to Q1 of last year. We had $10 million more of production, well over $900 million in Q1 of 2026. Our payoff activity was heightened. It went from about 480 to about 630. It was up $150 million. We felt that, and we felt that on top of the loan sale. Last year we grew modestly. We grew about $90 to 95 million in Q1. It was about 4.5%, maybe 4.4%. Notwithstanding those payoffs, our activity was steady. It was good. It was HELOC, Home Equity Loan was a bright spot.

Mike Price: Just, in the, we compared Q1 to Q1 of last year. We had $10 million more of production, well over $900 million in Q1 of 2026. Our payoff activity was heightened. It went from about 480 to about 630. It was up $150 million. We felt that, and we felt that on top of the loan sale. Last year we grew modestly. We grew about $90 to 95 million in Q1. It was about 4.5%, maybe 4.4%. Notwithstanding those payoffs, our activity was steady. It was good. It was HELOC, Home Equity Loan was a bright spot.

Speaker #3: Our payoff activity was heightened. It went from about 480 to about 630. It was up $150 million, and so we felt that. And we felt that on top of the loan sale.

Speaker #3: And last year, we grew modestly. We grew about $90–95 million in the first quarter. It was about 4.5, maybe 4.4%. So, notwithstanding those payoffs, our activity was steady.

Speaker #3: It was good. It was key lock; key loan was a bright spot. I would say small business, business banking. And still trying to get the commercial real estate, construction portfolio to overtake the payoffs in some of the originations there.

T. Michael Price: I would say small business banking, and still trying to get the commercial real estate construction portfolio to overtake the payoffs and some of the originations there. We feel the year sets up pretty well, notwithstanding, you know, $150 million more of payoffs from a year ago. I would say that in the ensuing quarters since Q1 of last year, the payoffs went up every single quarter. We feel with rates maybe cresting here, perhaps, that in moving up that activity has slowed somewhat here in the last 30 days or so. Or maybe it's coming at a natural end because we don't have that many big names left to pay off. That's the calculus.

Mike Price: I would say small business banking, and still trying to get the commercial real estate construction portfolio to overtake the payoffs and some of the originations there. We feel the year sets up pretty well, notwithstanding, you know, $150 million more of payoffs from a year ago. I would say that in the ensuing quarters since Q1 of last year, the payoffs went up every single quarter. We feel with rates maybe cresting here, perhaps, that in moving up that activity has slowed somewhat here in the last 30 days or so.

Speaker #3: So, we just—we feel the year sets up pretty well, notwithstanding $150 million more of payoffs from a year ago. And I would say that in the ensuing quarters since the first quarter of last year, the payoffs went up every single quarter.

Speaker #3: We feel, with rates maybe cresting here—perhaps that, and moving up—that activity has slowed somewhat here in the last 30 days or so.

Speaker #3: Or maybe is coming at head and hatch full end because we don't have that many big names left to pay off. So that's the calculus and we do feel good about the level of activity.

Mike Price: Or maybe it's coming at a natural end because we don't have that many big names left to pay off. That's the calculus. We do feel good about the level of activity and that we can hit the guidance that we've given historically of, you know, mid-single loan growth.

T. Michael Price: We do feel good about the level of activity and that we can hit the guidance that we've given historically of, you know, mid-single loan growth. Thanks for all that color, Mike. Appreciate it.

Speaker #3: And that we can hit the guidance that we've given historically of mid-single-digit loan growth.

Daniel Tamayo: Thanks for all that color, Mike. Appreciate it.

Speaker #2: Thanks for all that color, Mike. Appreciate it.

Speaker #1: And our next question comes from the line of Charlie Driscoll with KBW. Your line is open.

Operator 2: Our next question comes from the line of Charlie Driscoll with KBW. Your line is open.

Operator: Our next question comes from the line of Charlie Driscoll with KBW. Your line is open.

Speaker #5: Hi guys. Thanks for the question. This is Charlie on for Kelly Mata. Just one clarifying question on the margin. Appreciate the comments on the three to five bips of expansion from here.

Charles Driscoll: Hi, guys. Thanks for the question. This is Charlie on for Kelly Motta. Just one clarifying question on the margin. Appreciate the comments on the 3 to 5 basis points of expansion from here. Just drilling down on that exit margin, do you expect to kind of exit the year near 4% or, you know, a bit above that level? If you could kind of help us with how you're thinking about some of the pieces here, what could cause you to kind of exceed that exit rate, reach the high end or low end of that guide?

Charlie Driscoll: Hi, guys. Thanks for the question. This is Charlie on for Kelly Motta. Just one clarifying question on the margin. Appreciate the comments on the 3 to 5 basis points of expansion from here. Just drilling down on that exit margin, do you expect to kind of exit the year near 4% or, you know, a bit above that level? If you could kind of help us with how you're thinking about some of the pieces here, what could cause you to kind of exceed that exit rate, reach the high end or low end of that guide?

Speaker #5: But just drilling down on that exit margin, do you expect to kind of exit the year near 4% or a bit above that level? If you could kind of help us with how you're thinking about some of the pieces here, or what could cause you to kind of exceed that exit rate, reach the high end or low end of that guide?

Speaker #3: Yeah, thanks for the question and the opportunity to clarify. We think the fourth quarter should be a little over 4%. But I'm really glad you asked because there's variability.

James Reske: Yeah. Thanks for the question and the opportunity to clarify. No, we think Q4 should be a little over 4%. I'm really glad you asked because there's variability. The big variability, especially if you look over the last two years, has been deposit behavior. I think we're in a really good spot now. The loan-to-deposit ratio now 90.9, so down. We really have some room here to bring down our deposits just because the balance sheet is so liquid. Gives us just a little more freedom to be a little more aggressive on deposit rates and bring that down. That's kind of that's the big fact, the big variable factor in our NIM forecast. Yeah, all else being equal, we expect to end the year a little over 4%.

Jim Reske: Yeah. Thanks for the question and the opportunity to clarify. No, we think Q4 should be a little over 4%. I'm really glad you asked because there's variability. The big variability, especially if you look over the last two years, has been deposit behavior. I think we're in a really good spot now. The loan-to-deposit ratio now 90.9, so down. We really have some room here to bring down our deposits just because the balance sheet is so liquid. Gives us just a little more freedom to be a little more aggressive on deposit rates and bring that down.

Speaker #3: The big variability, especially if you look over the last two years, has been deposit behavior. We think we're in a really good spot now.

Speaker #3: The loan-to-deposit ratio now, 90.9. So down. So we really have some room here to bring down deposits, just because the balance sheet's so liquid.

Speaker #3: Because it's just a little more freedom to be a little more aggressive on deposit rates, and bring that down. So that's the big factor, the big variable factor, in our NIM forecast.

Jim Reske: That's kind of that's the big fact, the big variable factor in our NIM forecast. Yeah, all else being equal, we expect to end the year a little over 4%.

Speaker #3: But yeah, all else being equal, we expect to end the year a little over 4%.

Speaker #5: Yeah. I would just add that in bringing down the cost, we will balance that with we hang promos and we have nice we've gathered a lot of deposits core deposits as well as interest-bearing.

T. Michael Price: Yeah. I would just add that, in bringing down the cost, we will balance that with. We hang promos, and we've gathered a lot of deposits, core deposits as well as interest-bearing. It's been a terrific way to gain new checking accounts. The team has done a nice job. It's more of a balance than you think so that we'll pick our spots, as we decrease rates, probably perhaps a little bit more on CDs. By the way, we're gonna test this and we're gonna move the steering wheel. We're just gonna be cautious because household growth, the granularity of our depository is tied to, when we get a customer, we're gonna have to lend to them. It's just a good thing when we get a new consumer customer.

Mike Price: Yeah. I would just add that, in bringing down the cost, we will balance that with. We hang promos, and we've gathered a lot of deposits, core deposits as well as interest-bearing. It's been a terrific way to gain new checking accounts. The team has done a nice job. It's more of a balance than you think so that we'll pick our spots, as we decrease rates, probably perhaps a little bit more on CDs. By the way, we're gonna test this and we're gonna move the steering wheel.

Speaker #5: And it's been a terrific way to gain new checking accounts. And the team has done a nice job. So it's more of a balance than you think.

Speaker #5: So that we'll pick our spots. As we decrease rates, probably perhaps a little bit more on CDs. And by the way, we're going to test this and we're going to move this steering wheel.

Speaker #5: But we're just going to be cautious because household growth—the granularity of our depository—is tied to when we get a customer; we're going to have to lend to them.

Mike Price: We're just gonna be cautious because household growth, the granularity of our depository is tied to, when we get a customer, we're gonna have to lend to them. It's just a good thing when we get a new consumer customer. Our depository is about 50/50 consumer, which makes it very granular. We sail through events like Silicon Valley three years ago. We grow deposits pretty steadily over the last three years or so.

Speaker #5: It's just a good thing when we get a new consumer customer. And our depository is about 50/50 consumer, which makes it very granular. And we sail through events like Silicon Valley three years ago.

T. Michael Price: Our depository is about 50/50 consumer, which makes it very granular. We sail through events like Silicon Valley three years ago. We grow deposits pretty steadily over the last three years or so.

Speaker #5: And you can see our string of we grew deposits pretty steadily over the last three years or so. Great. I appreciate the commentary there.

Charles Driscoll: Great. I appreciate the commentary there. I guess kind of on that deposit gathering activity you saw, you know, a nice quarter here. Do you expect that to, you know, keep up with the mid-single-digit loan growth you guys are getting? Just kind of trying to get the right side of the balance sheet here, seeing if keeping up with the loan growth.

Charlie Driscoll: Great. I appreciate the commentary there. I guess kind of on that deposit gathering activity you saw, you know, a nice quarter here. Do you expect that to, you know, keep up with the mid-single-digit loan growth you guys are getting? Just kind of trying to get the right side of the balance sheet here, seeing if keeping up with the loan growth.

Speaker #5: I guess, kind of on that deposit gathering activity, you saw a nice quarter here. But do you expect that to keep up with the mid-single-digit loan growth you guys are getting?

Speaker #5: Just kind of trying to get the rights out of the balance sheet here, seeing if keeping up with the loan growth.

T. Michael Price: Yeah. Long-term, yes. Maybe shorter-term, we're gonna test some things and just, we'll test some things. We have a good team.

Mike Price: Yeah. Long-term, yes. Maybe shorter-term, we're gonna test some things and just, we'll test some things. We have a good team.

Speaker #3: Yeah, long term, yes. Maybe shorter term, we're going to test some things, and we'll test some things. We have a good team.

Speaker #5: Great, thank you. And then last one from me, just on expenses—wondering if this is a good core run rate to build off of in 2026.

Charles Driscoll: Great. Thank you. Last one from me, just on expenses. Wondering if this is a good core run rate to build off of in 2026. Maybe you could provide some color on what sort of investments you're making and where you're exercising more discipline on the expense front. Thank you.

Charlie Driscoll: Great. Thank you. Last one from me, just on expenses. Wondering if this is a good core run rate to build off of in 2026. Maybe you could provide some color on what sort of investments you're making and where you're exercising more discipline on the expense front. Thank you.

Speaker #5: Maybe you could provide some color on what sort of investments you're making and where you're exercising more discipline on the expense front. Thank you.

Speaker #3: No, I think the guidance we gave, we talked about NIE hovering at the $74 to $76 million range. I wish I could actually give you a tighter range because I don't know what the $2 million range.

James Reske: No, I think the guidance we gave, you know, we talked about NIE hovering the $74 to $76 million range. You know, I wish I could actually give you a tighter range. I know it's a $2 million range, but it does just vary a little bit quarter to quarter. We're just committed to keeping expenses under control. Mike, I don't know if there was anything you want to-

Jim Reske: No, I think the guidance we gave, you know, we talked about NIE hovering the $74 to $76 million range. You know, I wish I could actually give you a tighter range. I know it's a $2 million range, but it does just vary a little bit quarter to quarter. We're just committed to keeping expenses under control. Mike, I don't know if there was anything you want to-

Speaker #3: But those just vary a little bit quarter to quarter. We just committed to keeping expenses under control. Mike, I don't feel there's anything you want to—

Speaker #5: No, we've been good stewards of expenses over the years, and we like efficiency ratios that are less than 55%. We just need to keep— we've been pretty good at operating leverage through the years.

T. Michael Price: No. We've been good stewards of expenses over the years, you know, we like efficiency ratios that are less than 55%. We've been pretty good at operating leverage through the years. We just as we scale the bank, we have to stay true to that culture of. At the same time, we're getting stretched on expenses and talent. We have to find the right mix and really have lots of good discussions, just like other management teams.

Mike Price: No. We've been good stewards of expenses over the years, you know, we like efficiency ratios that are less than 55%. We've been pretty good at operating leverage through the years. We just as we scale the bank, we have to stay true to that culture of. At the same time, we're getting stretched on expenses and talent. We have to find the right mix and really have lots of good discussions, just like other management teams.

Speaker #5: And just as we scale the bank, we have to stay true to that culture. At the same time, we're getting stretched on expenses and talent.

Speaker #5: We have to find the right mix and really have lots of good discussions. Just like other management teams. Great. Thanks for answering my questions.

Charles Driscoll: Great. Thanks for answering my questions. I'll step back.

Charlie Driscoll: Great. Thanks for answering my questions. I'll step back.

Speaker #5: I'll step back.

Speaker #1: And our next question comes from the line of Carl Shepherd with RBC. Your line is open.

Operator 2: Our next question comes from the line of Karl Shepard with RBC. Your line is open.

Operator: Our next question comes from the line of Karl Shepard with RBC. Your line is open.

Speaker #4: Hey. Good afternoon, guys.

Karl Shepard: Hey, good afternoon, guys.

James Reske: Hello.

Jim Reske: Hello.

Speaker #3: Hello. Yep. Yes. Please.

Karl Shepard: Can you guys hear me?

James Reske: Yep.

Jim Reske: Yep.

T. Michael Price: Yes, please.

Mike Price: Yes, please.

Speaker #4: Okay, great. Jim, just one quick one. On the NIM guidance, I think you said you moved from two cuts to one cut. Is that later in the year, or is that earlier and might have a little bit of impact?

Karl Shepard: Okay, great. Jim, just one quick one on the NIM guidance. I think you said you moved from 2 cuts to 1 cut. Is that later in the year, or is it earlier and might have a little bit of impact?

James Reske: I think it's a little later in the year, like, late summer, but I can verify that. It's an interesting dynamic. I'm kind of glad you, again, glad you asked, because if the rate environment is down a little bit, it gives us an opportunity to take deposit costs down even further. Generally, we say we're an asset sensitive balance sheet, but it's the obvious activities on the deposit side. If it's a falling rate environment because there's a little more opportunity on the, on the deposit side than it costs us in the variable with a downdraft in the variable rate loan portfolio. When we look ahead out of one cut versus. I know this isn't the question you asked.

Speaker #3: I think it's a little later in the year—late summer. I can verify that. It's interesting guidance. I'm kind of glad, again, glad you asked.

Jim Reske: I think it's a little later in the year, like, late summer, but I can verify that. It's an interesting dynamic. I'm kind of glad you, again, glad you asked, because if the rate environment is down a little bit, it gives us an opportunity to take deposit costs down even further. Generally, we say we're an asset sensitive balance sheet, but it's the obvious activities on the deposit side. If it's a falling rate environment because there's a little more opportunity on the, on the deposit side than it costs us in the variable with a downdraft in the variable rate loan portfolio.

Speaker #3: Because if there is one cut, it kind of—if the rate environment is down a little bit, it's an opportunity maybe to take deposit costs down even further.

Speaker #3: Generally, we say we're an asset-sensitive balance sheet. But if most activities are on the deposit side, if it's a falling rate environment, there’s a little more opportunity on the deposit side than it costs us in the variable with a down draft in the variable rate loan portfolio.

Speaker #3: So, when we look ahead on one cut versus no specific question you asked, I'm just kind of thinking about it as you ask the question.

Jim Reske: When we look ahead out of one cut versus. I know this isn't the question you asked. I'm just kind of.

James Reske: I'm just kind of.

Karl Shepard: Yep

James Reske: ... thinking about it as you ask your question. 1 cut versus 0 cuts. The delta for us isn't all that big. The cut, the 1 cut in our base case forecast is, as I said, late summer, about September, actually. Hope that helps a little bit.

Karl Shepard: Yep

Jim Reske: ... thinking about it as you ask your question. 1 cut versus 0 cuts. The delta for us isn't all that big. The cut, the 1 cut in our base case forecast is, as I said, late summer, about September, actually. Hope that helps a little bit.

Speaker #3: One cut versus zero cuts. The delta’s just not all that big. Oh, the one cut in our base case forecast is, as I said, late summer—about September, actually.

Speaker #3: So I thought that helps a little bit. The reason I mentioned in my prepared remarks is that the base case lasts fall. We're doing the budget for us was based on a purchased vendor that most banks use.

Karl Shepard: All right.

James Reske: At least I mentioned in my prepared remarks, the base case last fall when we were doing the budget for us was based on a purchased vendor that most banks use. That was 4 cuts for the year. It is quite dramatically different now.

Jim Reske: At least I mentioned in my prepared remarks, the base case last fall when we were doing the budget for us was based on a purchased vendor that most banks use. That was 4 cuts for the year. It is quite dramatically different now.

Speaker #3: And that was four cuts for the year, and it's quite dramatically different now.

Speaker #4: Okay, that's helpful. And then I wanted to pick up a little bit on the credit discussion. I know the provision will kind of be an output of what's sitting there at 6/30.

Karl Shepard: Okay. That's helpful. I wanted to pick up a little bit on the credit discussion. I know the provision will kind of be an output of what's sitting there at 30 June, but if I put all your comments together and the specific reserves for the credits that re-resolved after quarter end, it seems like there's room for the provision maybe to drift back down a little bit. I think you're kind of signaling with no stress in the portfolio, a stable reserve. Is that a fair way for us to think about this?

Speaker #4: But if I put all your comments together, and the specific reserves for the credits that were resolved after quarter end, it seems like there's room for the provision maybe to drift back down a little bit.

Speaker #4: I think you're kind of signaling with no stress in the portfolio a stable reserve. Is that a fair way for us to think about this?

Speaker #3: I think so. Yes.

T. Michael Price: I think so, yes.

Mike Price: I think so, yes.

Speaker #4: Okay. Great. Those were the two for me. Thank you.

Karl Shepard: Okay. All right. Those were the two for me. Thank you.

Speaker #3: Thank you.

T. Michael Price: Thank you.

Mike Price: Thank you.

Speaker #1: And our next question comes from the line of Manuel Navas with Piper Sandler. Your line is open.

Operator 2: Our next question comes from the line of Manuel Navas with Piper Sandler. Your line is open.

Operator: Our next question comes from the line of Manuel Navas with Piper Sandler. Your line is open.

Speaker #6: Hey, good afternoon. Can you speak a little bit more on the buyback pace? And is it impacted at all by any potential shifts in loan growth?

Manuel Navas: Hey, good afternoon. Can you speak a little bit more on the buyback pace? Is it impacted at all with any potential shifts in loan growth? I mean, I know you reiterated the guide, but if loan growth comes in at different parts of the range, would you buy back more? Is that part of the calculus?

Speaker #6: I mean, I know you reiterated the guide. But if loan growth comes in at different parts of the range, would you buy back more?

Speaker #6: Is that part of the calculus?

Speaker #3: Great question, Manuel. It's not really driven. It's not leveraged by the loan growth. We have plenty of capital to capitalize the loan growth. In other words, I don't think that if we grew gangbusters, we'd be pushing the capital ratios into any kind of place where we'd be concerned.

T. Michael Price: Great question, Manuel. It's not really driven, it's not leveraged by the loan growth. We have plenty of capital to capitalize the loan growth. In other words, I don't think that if we grew gangbusters, we'd be pushing the capital ratios into any kind of place where we'd be concerned. It's really more driven by just a dollar amount of capital generation. We're kind of operating under a Fed guidance that says you're allowed to buy back, return to shareholders between the dividend and the buyback, up to the dollar amount of capital generation in any given quarter, but not beyond that. That's kind of what we've been operating on. There are peers that do go beyond that, but that requires a full-blown application with the Fed. We just haven't done that.

Mike Price: Great question, Manuel. It's not really driven, it's not leveraged by the loan growth. We have plenty of capital to capitalize the loan growth. In other words, I don't think that if we grew gangbusters, we'd be pushing the capital ratios into any kind of place where we'd be concerned. It's really more driven by just a dollar amount of capital generation. We're kind of operating under a Fed guidance that says you're allowed to buy back, return to shareholders between the dividend and the buyback, up to the dollar amount of capital generation in any given quarter, but not beyond that.

Speaker #3: It's really more driven by just a dollar amount of capital generation. We're kind of operating under a Fed guidance that says you're allowed to buy back, return to shareholders between the dividend and the buyback, up to the dollar amount of capital generation in any given quarter, but not beyond that.

Speaker #3: And that's kind of what we've been operating on. There are, if you—there are peers that do go beyond that. But that requires a full-blown application from the Fed.

Mike Price: That's kind of what we've been operating on. There are peers that do go beyond that, but that requires a full-blown application with the Fed. We just haven't done that. That's what we're doing. Last quarter, there's a chart in the supplement that we published on the investor relations portion of our website, the PowerPoint, that shows a return about 95%, close to 100%. I think we came within $1.7 million. No, it's not so much loan growth. It's a fair question because we always say the primary use of capital is organic loan growth and capitalizing as we go.

Speaker #3: We just haven't done that, so that's what we're doing. So, last quarter—last quarter, there's a chart in the supplement that we published on the investor relations portion of our website, the PowerPoint, that shows a return of about 95%, close to 100%.

T. Michael Price: That's what we're doing. Last quarter, there's a chart in the supplement that we published on the investor relations portion of our website, the PowerPoint, that shows a return about 95%, close to 100%. I think we came within $1.7 million. No, it's not so much loan growth. It's a fair question because we always say the primary use of capital is organic loan growth and capitalizing as we go. That's, I guess, where you're coming from. That's really driven by just the dollar amount of capital generation. That's the cap.

Speaker #3: I think we came within 1.7 million dollars now. So it's not so much loan growth. It's a fair question because we always say the primary use of capital is organic loan growth.

Speaker #3: And it's capitalizing as we go, so I could see where it's coming from. But that's really driven by just the dollar amount of capital generation.

Mike Price: That's, I guess, where you're coming from. That's really driven by just the dollar amount of capital generation. That's the cap.

Speaker #3: That's the cap.

Speaker #6: Okay. Shifting over to loan growth for a moment. Any shift to the mix, or just because the production is pretty solid, you're going to keep the same mix?

Manuel Navas: Okay. Shifting over to loan growth for a moment. Any shift to the mix or just because the production is pretty solid, you're going to keep the same mix? One specific, could you comment a little bit on the equipment finance growth? Are we approaching a cap or does that still have a year or so left to run? That's, that was kind of the nice positive area of growth for the quarter.

Speaker #6: And one specific—could you comment a little bit on the equipment finance growth? Are we approaching a cap, or does that still have a year or so left to run?

Speaker #6: That was kind of the nice positive area of growth for the quarter.

Speaker #3: Yeah. The mix is probably a percent more commercial, probably 61, 39 now, commercial consumer mix. So that's changed in the obviously, to move it a percent or so even in two quarters takes a lot more production on one side than the other.

T. Michael Price: The mix is probably 1% more commercial, probably 61/39 now commercial consumer mix. That's changed. Obviously, to move it 1% or so, even in 2 quarters takes a lot more production on one side than the other. We are becoming more commercial. We actually talked about that this morning. Because we love the consumer households and the deposits and the granularity of that, we just want to have good balance there. Great question. On the equipment finance side, I think there's room to run there for another year or so.

Mike Price: The mix is probably 1% more commercial, probably 61/39 now commercial consumer mix. That's changed. Obviously, to move it 1% or so, even in 2 quarters takes a lot more production on one side than the other. We are becoming more commercial. We actually talked about that this morning. Because we love the consumer households and the deposits and the granularity of that, we just want to have good balance there. Great question. On the equipment finance side, I think there's room to run there for another year or so.

Speaker #3: So, we are becoming more commercial. We actually talked about that this morning. And because we love the consumer households and the deposits and the granularity of that.

Speaker #3: And we just want to have good balance there. And then, so great question. And then on the equipment finance side, I think there's room to run there.

Speaker #3: For another year or so. And, knock on wood, it's really met our credit projections. And that portfolio will begin to mature here in the next year or so.

T. Michael Price: Knock on wood, it's really met our credit projections. That portfolio mature here, begin to mature here in the next year or so, we'll see how those credit costs come through and how that matures. We feel good about that business. The other thing the team has been very nimble and creative is, you know, we had a goal to kind of, you know, once we got that up and running, to really switch that to an end market through leasing business. They're already pivoting there in a meaningful way that will result in a good portion of that business being end market leases to our commercial clients. It's just a talented team, we're just delighted with how that has unfolded.

Mike Price: Knock on wood, it's really met our credit projections. That portfolio mature here, begin to mature here in the next year or so, we'll see how those credit costs come through and how that matures. We feel good about that business. The other thing the team has been very nimble and creative is, you know, we had a goal to kind of, you know, once we got that up and running, to really switch that to an end market through leasing business. They're already pivoting there in a meaningful way that will result in a good portion of that business being end market leases to our commercial clients.

Speaker #3: And we'll see how those credit costs come through and how that matures. But we feel good about that business. The other thing the team has been very nimble and creative on is we had a goal to, kind of, once we got that up and running, to really switch that to an in-market, through-leasing business.

Speaker #3: And they're already pivoting there, in a meaningful way that will result in a good portion of that business being in-market leases to our commercial clients.

Speaker #3: And so it's just a talented team, and we are—we're just delighted with how that has unfolded. So, hopeful that's helpful, Manuel.

Mike Price: It's just a talented team, we're just delighted with how that has unfolded. Hopeful, that's helpful, Manuel.

T. Michael Price: Hopeful, that's helpful, Manuel.

Speaker #6: That's great. Thank you. I appreciate it. I'll step back into the queue.

Manuel Navas: That's great. Thank you. I appreciate it. I'll step back into the queue.

Speaker #1: And as a reminder, it is STAR 1 if you would like to ask a question. And our next question comes from the line of Matthew Brees with Stevens.

Operator 2: As a reminder, it is star one if you would like to ask a question. Our next question comes from the line of Matthew Breese with Stephens. Your line is open.

Operator: As a reminder, it is star one if you would like to ask a question. Our next question comes from the line of Matthew Breese with Stephens. Your line is open.

Speaker #1: Your line is open.

Speaker #5: Hey. Good afternoon.

Matthew Breese: Hey, good afternoon.

Speaker #4: Hey, Matt.

T. Michael Price: Hey, Matt.

Mike Price: Hey, Matt.

Speaker #5: A few questions. First one is, towards the back of your presentation, it looks like you have $35 million in maturing office. Next quarter, you have $17 million in the third quarter.

Matthew Breese: A few questions. First one is, towards the back of your presentation, looks like you have $35 million in maturing office next quarter. You have $17 million in Q3 and $13 million in Q4. Given we're not totally out of the woods on office yet, just curious, have you looked at the maturities and any sort of credit worries as we come up on those dates?

Speaker #5: And then $13 million in the fourth quarter. Given we're not totally out of the woods on office yet, just curious, have you looked at the maturities and any sort of credit worries as we come upon those dates?

Speaker #4: Yeah, we've looked at it going out over the next stuff through the end of next year, actually. Brian, do you want to comment on that?

T. Michael Price: Yeah, we've looked at it going out about, next, through the end of next year, actually. Brian, do you want to comment on that?

Mike Price: Yeah, we've looked at it going out about, next, through the end of next year, actually. Brian, do you want to comment on that?

Speaker #7: Yeah. I'll just jump in. And I guess we continue to actively portfolio. We have seen exposures continue to trend lower. And my comment on the maturities is part of that is also managed purposefully through shortening maturities, and extending into a certain period in order to facilitate an exit or a refinance or a sale of a property.

Brian Sohocki: Yeah, I'll just jump in. You know, I guess, you know, we continue to actively manage the portfolio. We have seen exposures continue to trend lower. You know, my comment on the maturities is, you know, part of that is also, you know, managed purposefully through shortening maturities and extending into a certain period in order to facilitate an exit or a refinance or a sale of a property. One of our biggest successes in 2025 was just that, where we had a large reduction in the second half of the year through an asset sale as a result of that. You know, we evaluate maturity by maturity throughout the whole portfolio and focused over the next 24 months.

Brian Sohocki: Yeah, I'll just jump in. You know, I guess, you know, we continue to actively manage the portfolio. We have seen exposures continue to trend lower. You know, my comment on the maturities is, you know, part of that is also, you know, managed purposefully through shortening maturities and extending into a certain period in order to facilitate an exit or a refinance or a sale of a property. One of our biggest successes in 2025 was just that, where we had a large reduction in the H2 of the year through an asset sale as a result of that.

Speaker #7: One of our biggest successes in 2025 was just that, where we had a large reduction in the second half of the year, through an asset sale as a result of that.

Speaker #7: So we evaluate maturity by maturity. Throughout the whole portfolio, and focus over the next 24 months. And our actively pursuing exits that make sense for the portfolio.

Brian Sohocki: You know, we evaluate maturity by maturity throughout the whole portfolio and focused over the next 24 months. You know, are actively pursuing, you know, exits that, you know, make sense for the portfolio.

Brian Sohocki: You know, are actively pursuing, you know, exits that, you know, make sense for the portfolio.

Speaker #5: Is that helpful?

T. Michael Price: Is that helpful?

Mike Price: Is that helpful?

Brian Sohocki: Yeah. Okay. Yes.

Matthew Breese: Yeah. Okay. Yes.

Speaker #4: Okay.

Speaker #5: Yes.

Speaker #4: Okay.

T. Michael Price: Okay.

Mike Price: Okay.

Matthew Breese: Jim, it looks like the cash position is up a little bit, you know, maybe excess of $150 million.

Speaker #5: Jim, it looks like the cash position is up a little bit. Maybe excess of 100, 150 million. that.

Matthew Breese: Jim, it looks like the cash position is up a little bit, you know, maybe excess of $150 million.

T. Michael Price: Yeah.

Jim Reske: Yeah.

Matthew Breese: Kind of a near-term deployment for that?

Speaker #3: Well, there are a couple of things. The cash position is up, in part because of the execution of the sale of the loans that were in held for sale.

T. Michael Price: Well, there are a couple things. The cash's position is up in part because of that, the execution of the sale of the loans that were in held for sale. We see that cash rate pay down. Mike mentioned this, but pay down some FHLB borrowing. We spot some securities and still have a loan book shrinking a little bit in Q1, we've got that excess cash position. We can foresee the pattern of some of our depositors, some of our large deposits that are in the public funds category. A lot of those come out in Q2, so we'll make sure we have cash around for that, so we don't invest that money and find ourselves having to borrow money because we have those outflows.

Jim Reske: Well, there are a couple things. The cash's position is up in part because of that, the execution of the sale of the loans that were in held for sale. We see that cash rate pay down. Mike mentioned this, but pay down some FHLB borrowing. We spot some securities and still have a loan book shrinking a little bit in Q1, we've got that excess cash position. We can foresee the pattern of some of our depositors, some of our large deposits that are in the public funds category.

Speaker #3: So we see that cash. We pay down—Mike mentioned this—we pay down some FHLB borrowing. We spot some securities and still have a, with the loan book shrinking a little bit in the first quarter.

Speaker #3: We had that excess cash position. So we can foresee the pattern of some of our depositors, some of our large deposits that are in the public funds category. A lot of those come out in the second quarter.

Jim Reske: A lot of those come out in Q2, so we'll make sure we have cash around for that, so we don't invest that money and find ourselves having to borrow money because we have those outflows. Knowing that those are coming, we're holding some cash for that and holding the cash for excess loan growth. To the extent it doesn't materialize, we probably would be buying more securities. We're buying now to expand the securities portfolio a little bit. That's kind of actually one of the issues at the moment.

Speaker #3: So we'll make sure we have cash around for that. So you don't invest that money and find ourselves having to borrow money because we have those outflows.

Speaker #3: So, knowing that those are coming, we're holding some cash for that, and holding the cash for excess loan growth. But to the extent it doesn't materialize, we probably would be buying more securities.

T. Michael Price: Knowing that those are coming, we're holding some cash for that and holding the cash for excess loan growth. To the extent it doesn't materialize, we probably would be buying more securities. We're buying now to expand the securities portfolio a little bit. That's kind of actually one of the issues at the moment.

Speaker #3: We're buying now to expand the securities portfolio a little bit. That's kind of actually one of the issues at the moment.

Speaker #5: Okay. And then I did want to touch on some of the categories outside of equipment finance. So traditional C&I ex equipment has been down for three quarters.

Matthew Breese: Okay. Then I did want to touch on, you know, some of the categories outside of equipment finance. You know, traditional C&I X equipment has been down for 3 quarters. It looks like commercial real estate's been down for 2 quarters. You know, we talked about prepays and payoffs and things like that. You know, for the larger segment, C&I commercial real estate, when do you think we will start to see some neck growth there? Is that a Q2 event?

Speaker #5: It looks like commercial real estate's been down for two quarters. And I know we talked about prepays and payoffs and things like that. But for the larger segment, CNI and commercial real estate, when do you start to when do you think we'll start to see some net growth there?

Speaker #5: Is that a two-queue event?

T. Michael Price: Yeah, it'll be definitely this year. We've added some business bankers. We're seeing and that's really more on the small end, more granular end. You know, the payoffs are happening on a little larger credits. That's kind of a tough swap because you got to do 4 loans for every one that's paying off. I like that long term, but the team, we've added a lot of business bankers over the last two years. They seem very productive. We actually, in the C&I segment on a smaller end, small business and business banking actually grew that in Q1, $30 million or $40 million. Really haven't done that on that bottom, you know, $600 million, $700 million, $800 million of that space. That's good news, and we feel good about that.

Speaker #3: Yeah, it'll be definitely this year. We've added some business bankers. We're seeing, and that's really more in the small end, more granular end. The payoffs are happening on a little larger credits.

Mike Price: Yeah, it'll be definitely this year. We've added some business bankers. We're seeing and that's really more on the small end, more granular end. You know, the payoffs are happening on a little larger credits. That's kind of a tough swap because you got to do 4 loans for every one that's paying off. I like that long term, but the team, we've added a lot of business bankers over the last two years. They seem very productive. We actually, in the C&I segment on a smaller end, small business and business banking actually grew that in Q1, $30 million or $40 million.

Speaker #3: And so, that's kind of a tough swap, because you've got to do four loans for every one that's paying off. I like that long-term.

Speaker #3: But the team—we've added a lot of business bankers over the last two years. They seem very productive. We actually, in the CNI segment on the smaller end—small business and business banking—actually grew that in the first quarter, $30 or $40 million.

Speaker #3: And really haven't done that on that bottom six, seven, eight hundred million dollars of that space. And so that's good news. And we feel good about that.

Mike Price: Really haven't done that on that bottom, you know, $600 million, $700 million, $800 million of that space. That's good news, and we feel good about that. That's obviously granular and comes with more depository. We still have had some payment headwinds, no doubt.

Speaker #3: And that's obviously granular and comes with more depository, but we still have had some payment headwinds, no doubt.

T. Michael Price: That's obviously granular and comes with more depository. We still have had some payment headwinds, no doubt.

Speaker #5: Okay. Last one.

Matthew Breese: Okay. Last one.

Speaker #4: I do think we can grow there.

T. Michael Price: I do think we can grow there. We will grow it.

Mike Price: I do think we can grow there. We will grow it.

Speaker #3: We will grow it.

Speaker #5: Okay. Last one is just between Ohio and Pennsylvania—there's just a ton of activity between chip manufacturing, AI, data centers, and power plant build-out stuff.

Matthew Breese: Okay. Last one is just, you know, between Ohio and Pennsylvania, there's just a ton of activity between chip manufacturing, AI data centers, some power plant, build out stuff. Just hoping for your comments around all that. How much of it can you say has had or potentially could have a, an impact on the pipeline or loan growth to date?

Speaker #5: I was hoping for your comments around all that. And then how much of it can you say is had or potentially could have an impact on the pipeline or loan growth to date?

Speaker #4: You know, it might already be having an impact. I mean, we have a really probably our deepest pipeline after Cincinnati had a great first quarter, our deepest pipeline is probably in our four and a half billion dollar community PA market.

T. Michael Price: You know, it might already be having an impact. I mean, we have a, we have a really, probably our deepest pipeline after Cincinnati had a great Q1. Our deepest pipeline is probably in our $4.5 billion community PA market, particularly on the small business up through the business banking segment. I think that I was with a contractor for dinner on Monday night and who's doing a lot of power generation, gas-powered, one in Homer City. It's having a real impact, and it's good to see. I also think that, I mean, Ohio has really grown the last few years and helped really led out in growth. I expect that to continue. That's everything together.

Mike Price: You know, it might already be having an impact. I mean, we have a, we have a really, probably our deepest pipeline after Cincinnati had a great Q1. Our deepest pipeline is probably in our $4.5 billion community PA market, particularly on the small business up through the business banking segment. I think that I was with a contractor for dinner on Monday night and who's doing a lot of power generation, gas-powered, one in Homer City. It's having a real impact, and it's good to see.

Speaker #4: Particularly on the small business up through the business banking segment. And I think that I was with a contractor for dinner on Monday night.

Speaker #4: And he was doing a lot of power generation, gas-powered, one in Homer City. It's having a real impact, and it's good to see. But I also think that, I mean, Ohio has really grown the last few years.

Mike Price: I also think that, I mean, Ohio has really grown the last few years and helped really led out in growth. I expect that to continue. That's everything together. Community PA always generated a lot of deposits. Now it looks like they're setting up for a good year on HELOC, HELoan, and small business and business banking. That's, I don't know. We like the business, it's fun, and we feel like we make a difference. It looks good.

Speaker #4: And helped really let out in growth. So I expect that to continue—that’s everything together. And community PA always generated a lot of deposits.

T. Michael Price: Community PA always generated a lot of deposits. Now it looks like they're setting up for a good year on HELOC, HELoan, and small business and business banking. That's, I don't know. We like the business, it's fun, and we feel like we make a difference. It looks good.

Speaker #4: And now it looks like they're setting up for a good year on HELOC, HELOAN, and small business and business banking. So that's—I don't know.

Speaker #4: We like the business. It's fun. And we feel like we make a difference. And it looks good.

Speaker #5: I'll leave it there. Thank you for all that.

Matthew Breese: I'll leave it there. Thank you for all that.

Speaker #4: Okay. Thanks.

T. Michael Price: Okay, thanks.

Mike Price: Okay, thanks.

Speaker #6: And our next question comes from the line of Daniel Cardenas with Breen Capital. Your line is open.

Operator 2: Our next question comes from the line of Daniel Cardenas with Brean Capital. Your line is open.

Operator: Our next question comes from the line of Daniel Cardenas with Brean Capital. Your line is open.

Speaker #4: Hey, good afternoon, guys.

Daniel Cardenas: Hey, good afternoon, guys.

Speaker #3: Good afternoon.

T. Michael Price: Good afternoon.

Mike Price: Good afternoon.

Daniel Cardenas: Just a couple of questions. Have you noticed any change in customer sentiment just given the current economic environment right now?

Speaker #4: Just a couple of questions. Have you noticed any change in customer sentiment? Just given their current economic environment right now?

T. Michael Price: It might be too early to tell. I did notice that our interchange income on debit card was off a couple hundred thousand dollars.

Speaker #3: It might be too early to tell. I did notice that our interchange income on debit card was off a couple hundred thousand dollars. And with the holidays in the fourth quarter, too.

Mike Price: It might be too early to tell. I did notice that our interchange income on debit card was off a couple hundred thousand dollars.

James Reske: We had the holidays in Q4, too.

Jim Reske: We had the holidays in Q4, too.

T. Michael Price: Activity in swipes even. That's probably Q1, too. We've been, and I think we've shared this with you, Dan, and others. We've been watching our consumer books like a hawk. Our HELOC, HELoan, our mortgage, and our indirect auto, and we're seeing some pretty solid performance. It kind of belies gas that I just filled up was in Pennsylvania, it's high at $4.47 a gallon. We're watching that closely.

Speaker #4: Yeah. But in activity and swipes even but that's probably the first quarter too. But yeah, we've been and I think we've shared this with you, Dan, and others.

Mike Price: Activity in swipes even. That's probably Q1, too. We've been, and I think we've shared this with you, Dan, and others. We've been watching our consumer books like a hawk. Our HELOC, HELoan, our mortgage, and our indirect auto, and we're seeing some pretty solid performance. It kind of belies gas that I just filled up was in Pennsylvania, it's high at $4.47 a gallon. We're watching that closely.

Speaker #4: We've been watching our consumer books like a hawk—our HELOC, HELOAN, our mortgage, and our indirect auto. And we're just seeing some pretty solid performance.

Speaker #4: So it kind of belies gas that I just filled up was in Pennsylvania tied at 447 a gallon. So we're just we're watching that closely.

Speaker #2: Yeah, I just want to confirm that, Mike. And I mean, that was one of the positives in the first quarter—consumer delinquency trends improved.

Brian Sohocki: Yeah. I confirm that, Mike. I mean, that was one of the positives in Q1 is consumer delinquency, you know, trends improved. With somewhat of an offset helped our overall total delinquency level for the period. We're monitoring everything that's touching energy and, you know, potential inflation impacts as we go through the quarter.

Speaker #2: And was somewhat of an offset helped our overall total delinquency level for the period. But we're monitoring everything that's touching energy. And potential inflation impacts.

Speaker #2: As we go through the quarter.

Speaker #4: Yeah. And Dan, I would add, we have—it's not like we have 15,000 or 20,000 customers. We have, plus indirect auto, we have 300,000 customers at the bank.

T. Michael Price: Dan, I would add, we have probably, it's not like we have 15,000 or 20,000 customers. We have, plus indirect auto, we have 300,000 customers at the bank. We have a lot of clients, it's a pretty good sample size.

Mike Price: Dan, I would add, we have probably, it's not like we have 15,000 or 20,000 customers. We have, plus indirect auto, we have 300,000 customers at the bank. We have a lot of clients, it's a pretty good sample size.

Speaker #4: So we have a lot of clients, so it's a pretty good sample set—sample size.

Speaker #5: All right. And then just jumping quickly back to credit. Within your level of non-performers, is there any geographic concentration—any one particular market—or perhaps some of these credits are housed in, versus others?

Daniel Cardenas: All right. Just jumping quickly back to credit. Within your level of nonperformers, is there any geographic concentration, any one particular market or perhaps some of these credits are housed in versus others?

Speaker #2: No, nothing from a geographic standpoint. As you look through it, it’s been isolated. Credit events have driven the overall dollar amount of NPLs.

Brian Sohocki: No, nothing from a geographic standpoint. As you look through it's been isolated credit events that have driven the overall dollar amount of NPLs. You know, the one point I'd add is Mike made a comment in his opening statement. It's just important to, you know, distinguish between the guaranteed and unguaranteed exposure within the SBA portfolio. Those are all very granular. From a concentration standpoint, as you asked it, there are $28 million of guaranteed NPLs in that portfolio.

Speaker #2: The one point I'd add is, Mike made a comment in his opening statement. It's just important to distinguish between the guaranteed and unguaranteed exposure within the SBA portfolio.

Speaker #2: Those are all very granular. But from a concentration standpoint, as you asked it, there are $28 million of guaranteed NPLs in that portfolio.

Speaker #5: All right. And then just one quick modeling question on the tax rate is a 20% tax rate kind of a good run rate for you guys?

Daniel Cardenas: All right. Just one quick modeling question on the tax rate. Is a 20% tax rate kind of a good run rate for you guys?

T. Michael Price: Yeah, it's very close. I think we are at 20.26.

Speaker #3: Yeah. Very close. I think we are at 20.26. Yeah. 20.26 for the first quarter.

Jim Reske: Yeah, it's very close. I think we are at 20.26.

Daniel Cardenas: Okay.

T. Michael Price: Yeah, $20.26 for Q3.

Jim Reske: Yeah, $20.26 for Q3.

Speaker #5: All right. Perfect. I'll step back. Thank you, guys. Thanks, Dan.

Daniel Cardenas: All right. Perfect. I'll step back. Thank you, guys.

Brian Sohocki: Thanks.

T. Michael Price: Thanks, Dan.

Mike Price: Thanks, Dan.

Speaker #6: And we have no additional questions at this time. So I will now turn the conference back over to Mr. Mike Price for closing remarks.

Operator 2: We have no additional questions at this time, so I will now turn the conference back over to Mr. Mike Price for closing remarks.

Operator: We have no additional questions at this time, so I will now turn the conference back over to Mr. Mike Price for closing remarks.

Speaker #4: Yeah, thank you for your interest in our company. I did want to mention lastly and importantly, after 37 years at our company, Nor Montgomery, our Chief Information Officer, is retiring.

T. Michael Price: Thank you for your interest in our company. I did want to mention, lastly and importantly, after 37 years at our company, Norm Montgomery, our Chief Information Officer, is retiring. We will miss him. We have hired Ryan Gorney to replace Norm and have a talented team at our company. Excited for Norm and his retirement, and welcome to Ryan Gorney.

Mike Price: Thank you for your interest in our company. I did want to mention, lastly and importantly, after 37 years at our company, Norm Montgomery, our Chief Information Officer, is retiring. We will miss him. We have hired Ryan Gorney to replace Norm and have a talented team at our company. Excited for Norm and his retirement, and welcome to Ryan Gorney.

Speaker #4: And we will miss him. And we have hired Ryan Gorney to replace Norm. And we have a talented team at our company. And we are excited for Norm and his retirement.

Speaker #4: And welcome to Ryan Gorney.

Operator 2: Ladies and gentlemen, this concludes today's call, and we thank you for your participation. You may now disconnect.

Operator: Ladies and gentlemen, this concludes today's call, and we thank you for your participation. You may now disconnect.

Q1 2026 First Commonwealth Financial Corp Earnings Call

Request DemoDemo

First Commonwealth Financial

Earnings