Bar Harbor Bankshares (BHB) investor relations material

Executive summary

• Achieved $4.7B in assets, $3.9B in deposits, and $3.6B in gross loans as of Q2 2026, with net income of $15.2M ($0.91/diluted share) and core earnings of $15.4M ($0.92/diluted share), up from Q1 2026 and Q2 2025.

• Net interest margin was 3.61% and efficiency ratio improved to 55.76%, reflecting operational discipline.

• Completed the acquisition of Guaranty Bancorp, Inc. (Woodsville) in July 2025, expanding the New Hampshire footprint and contributing to growth in loans, securities, and non-interest income.

• Recognized by Forbes and Newsweek as a top regional bank in 2025 and 2026.

• Book value per share increased to $32.80; tangible book value per share rose to $23.43.

Financial highlights

• Net interest income rose to $37.9M in Q2 2026 from $29.9M in Q2 2025; non-interest income increased to $11.7M, driven by higher customer service fees and trust management income.

• Allowance for credit losses on loans was $32.2M (0.89% of total loans), reflecting a $3.3M charge-off related to a non-accruing relationship.

• Non-interest expense rose to $29.2M, mainly due to higher salaries, benefits, and occupancy costs following the acquisition.

• Loans/deposits ratio was 94% and cost of deposits was 1.55% in Q2 2026.

• Non-performing assets/total assets at 0.44%; net charge-offs/average loans at 0.38%.

Outlook and guidance

• Focus remains on core earnings, disciplined credit culture, expanding non-interest income, and continued selective acquisitions to supplement organic growth.

• Management expects continued dividend payments, subject to board discretion.

• Liquidity remains strong, with $1.3B in available same-day liquidity and robust borrowing capacity.

• Interest rate sensitivity modeling indicates the balance sheet is asset sensitive, with net interest income expected to improve if rates rise.

• Ongoing investment in infrastructure, digital platforms, and technology.