First Interstate BancSystem (FIBK) investor relations material

Executive summary

• Net income for Q2 2026 was $83.9 million ($0.87 per diluted share), up from $60.2 million ($0.61) in Q1 2026 and $71.7 million ($0.69) in Q2 2025, with continued net interest margin expansion and robust capital ratios.

• Completed sale of eleven Nebraska branches, generating a $19.5 million gain and continued optimizing the branch network, including closures and relocations.

• Ongoing share repurchase program reached $270.3 million in total repurchases through June 30, 2026, with an additional $150 million authorized, totaling $450 million.

• Focus remains on relationship-driven growth, operational efficiency, and disciplined capital deployment, including investments in technology and branding.

Financial highlights

• Net interest income rose to $202.2 million, up $1.5 million sequentially, with net interest margin at 3.48% (up from 3.43% in Q1 and 3.32% in Q2 2025).

• Noninterest income increased by $20.6 million to $61.7 million, mainly due to a $19.5 million gain from the Nebraska branch sale.

• Noninterest expense was $158.9 million, up $1.3 million sequentially, reflecting higher advertising, professional fees, and costs related to branch closures.

• Dividend declared at $0.47 per share, a 5.3% annualized yield.

• Efficiency ratio improved to 58.96% from 63.81% in Q1 2026.

Outlook and guidance

• Management expects continued improvement in net interest margin and returns, focusing on capital deployment, operating efficiency, and relationship growth.

• Year-end 2026 deposits expected between $21.5–$22.0 billion; loans between $13.5–$13.8 billion.

• Full-year reported net interest income projected at $810–$820 million, with continued margin expansion.

• Noninterest income (excluding $19.5 million Nebraska gain) expected at $167–$171 million; noninterest expense at $629–$637 million.

• Mortgage production forecasted to decline meaningfully in the near term.