Beacon Financial Corporation (BBT) investor relations material

Executive summary

• Q3 2026 GAAP net income was $61.2M, or $0.73/share; operating net income was $64.7M, or $0.77/share. NIM expanded to 3.85%.

• Priorities include mid-teens ROTCE, higher fee income, expense discipline, selective C&I and owner-occupied CRE growth, proactive credit management, and disciplined capital returns.

Financial highlights

• Total revenue was $223.1M, up 2% QoQ; net interest income rose $3.9M QoQ to $197.2M, while non-interest income was $26.0M and essentially flat.

• GAAP net income was $61.2M versus $64.4M in Q2 2026 and a $4.2M loss in Q3 2025; adjusted operating earnings were $64.7M, excluding $5.1M in restructuring charges and a $0.5M net gain on building sales.

• Non-interest expense was $132.7M including $5.1M in restructuring charges; operating expenses excluding restructuring and intangibles were $119.5M. Core efficiency ratio improved to 53.54%.

• Assets fell $375M QoQ to $21.876B; loans declined $169.8M to $17.652B and deposits fell $303.3M to $18.183B, including a $327M timing-related payroll deposit decline.

Outlook and guidance

• Expected NIM range is 3.85%-3.9%; quarterly purchase-accounting accretion is ~$12M and varies with prepayment activity. Base case excludes future Fed funds changes.

• Q4 net new loan funding pipeline was ~$610M before paydowns and amortization; higher rates may slow paydowns, though timing is uncertain.

• Fee revenue is ~11% of total revenue, with a goal of reaching the mid-teens through organic growth in cash management, wealth, payments, and SBA loan sales.

• Mid-teens ROTCE is viewed as achievable in an appropriate near term; detailed expectations and timing are to follow with the strategic plan in January.

• Expense priorities include organizational, branch, and platform simplification, lower nominal expense run rate, digital channels and AI; further detail is expected in January.