Eagle Bancorp (EGBN) investor relations material

Executive summary

• Returned to profitability in Q1 2026 with net income of $14.7 million ($0.48 per share), reversing a prior quarter loss, driven by lower noninterest expenses and improved asset quality.

• Pre-provision net revenue rose to $27.7 million from $10.7 million in the previous quarter, reflecting improved expense management.

• Strategic repositioning focused on asset quality, capital accretion, and balance sheet diversification, including reduction of higher-cost brokered deposits and growth in core deposits.

• Tangible common equity stands at $1.1 billion, with a tangible book value per share of $37.56.

• Announced a $0.01 per share cash dividend, payable May 15, 2026.

Financial highlights

• Net income of $14.7 million ($0.48 per diluted share) compared to a $2.4 million loss last quarter.

• Net interest income was $63.7 million, down $4.6 million sequentially, mainly due to CRE loan payoffs and lower cash balances.

• Net interest margin expanded to 2.47% from 2.38% in Q4 2025, aided by improved funding mix and reduced brokered deposits.

• Noninterest expense fell to $48.7 million from $69.8 million, reflecting lower loan disposition costs and absence of prior legal provisions.

• Noninterest income rose to $12.7 million, supported by $3.6 million in loan sale gains.

Outlook and guidance

• 2026 forecast unchanged: full-year NIM expected at 2.6%-2.8%, noninterest income growth of 15%-25%, and noninterest expense flat to down 4% (adjusted for notable items).

• Average deposits, loans, and earning assets expected to decline year-over-year due to intentional repositioning.

• Management aims to expand pre-provision net revenue in 2026, focusing on asset quality improvements and earnings growth.