Western Alliance Bancorporation (WAL) investor relations material

Strategic vision and business model

• Focus on disciplined execution, purposeful diversification, and continuous innovation to drive durable earnings and returns, scaling from a community bank to a national commercial platform anchored in specialized verticals.

• S-curve strategy enables disciplined launch and scaling of new business lines, creating multiple engines of earnings growth and reducing reliance on any single business.

• Emphasis on sector expertise, relationship-driven banking, and technology-enabled solutions to deepen client relationships and enhance retention.

• Organic regional expansion, especially in the Southeast and Texas, follows client demand and expertise rather than acquisitions, with a branch-lite, scalable infrastructure.

• Leadership team and board bring deep sector expertise, a strong culture of accountability, and a proven track record of resilience and growth.

Financial performance and guidance

• Achieved $99 billion in total assets as of March 31, 2026, with $83 billion in deposits and $9 billion in total capital, and expectations to exceed $100 billion in 2026.

• Reported 15.3% return on average tangible common equity in 2025, 1.12% return on average assets, and 23% year-over-year EPS growth.

• 2025 saw 9.3% loan growth and a 50% adjusted efficiency ratio; 10-year tangible book value per share CAGR of 17%.

• Medium-term targets: 16%-17% ROATCE, 1.2%-1.3% ROAA, and ~48% adjusted efficiency ratio.

• 2026 outlook projects 11%-14% loan growth, 20%-25% non-interest income growth, and CET1 capital ratio targeted at ~11%.

Deposit and funding strategy

• Deposit initiatives represent 37% of total deposits, growing three times faster than the bank overall and at a cost under 2%, with HOA banking, Juris banking, and digital asset group leading verticals.

• S-curve model enables launch and scaling of new deposit verticals, with newer verticals like corporate trust and digital assets showing accelerating growth.

• HOA banking is the largest deposit vertical, with 34 consecutive quarters of growth and a 25% CAGR since 2013.

• Deposit mix optimization underway, targeting a shift toward lower-cost, more durable funding sources and away from higher-cost mortgage banking deposits.

• Funding costs are expected to improve through deposit optimization, prioritizing lower-cost segments and specialty escrow deposits.