Northwest Bancshares (NWBI) investor relations material

Executive summary

• Achieved record net income of $54 million in Q2 2026, up 59% year-over-year, with record diluted EPS of $0.36 and adjusted EPS of $0.37, driven by higher earning assets, net interest income, and disciplined expense management.

• Completed full tangible book value earn back from the Penns Woods acquisition within one year, ahead of expectations.

• Opened first of four new financial centers in Columbus, with further expansion planned.

• Recognized as one of TIME's America's Best Companies for 2026.

• Board declared a $0.20 per share quarterly dividend, marking the 127th consecutive quarterly payout.

Financial highlights

• Total revenue reached $181.2 million, up 3.5% quarter-over-quarter and 20.5% year-over-year.

• Net interest income grew 23% year-over-year to $146.9 million; net interest margin improved to 3.75%.

• Adjusted EPS was $0.37, up $0.02 sequentially and $0.07 year-over-year.

• Adjusted efficiency ratio improved to 56.2%, a 158 basis point improvement quarter-over-quarter.

• Noninterest income increased 10.6% year-over-year, led by trust and fund services and service charges.

Outlook and guidance

• Loan and deposit growth outlook remains unchanged for 2026, with low to mid-single digit loan growth and low single digit deposit growth expected.

• Net interest margin expected in the 3.73%-3.75% range, assuming stable Fed funds rate.

• Noninterest income expected at the high end of the range; noninterest expense in the middle, with FY2026 forecast at $420–$430 million (excluding merger costs).

• Net charge-offs expected in the low to middle of the range (20–27 bps); tax rate guidance at 23–24%.

• Continued focus on organic growth, financial center expansion, and optimizing performance.