Peoples Financial Services (PFIS) investor relations material

Executive summary

• Net income for Q1 2026 was $14.7 million ($1.47 per diluted share), down from $15.0 million ($1.49 per share) in Q1 2025, mainly due to higher provision for credit losses and increased noninterest expense, partially offset by higher net interest and noninterest income.

• ROAA was 1.15% and ROAE was 11.26% for Q1 2026, compared to 1.22% and 12.70% in Q1 2025.

• Asset quality remained strong, with nonperforming assets to total loans and foreclosed assets improving to 0.29% from 0.59% year-over-year.

Financial highlights

• Net interest income rose $3.4 million year-over-year to $42.9 million; FTE net interest income increased to $43.7 million.

• Noninterest income increased to $6.9 million from $6.3 million, driven by higher interest rate swap income, equity investment gains, and mortgage banking income.

• Noninterest expense increased $2.5 million to $29.9 million, mainly due to higher salaries, benefits, occupancy, and other expenses.

• Provision for credit losses was $1.4 million, up from $0.2 million, reflecting strong loan growth.

• Book value per share rose to $52.50 and tangible book value per share to $42.29 at March 31, 2026.

Outlook and guidance

• Management emphasized disciplined expense management, credit oversight, and continued investment in growth capabilities for 2026.