Executive Summary

Q2 2025 EPS was $0.47, up 27% y/y, and above S&P Global consensus of $0.4425*; S&P “Revenue” (net interest income after provision + noninterest income) was $153.47M*, modestly below consensus of $156.41M* .
Net interest margin expanded to 3.81% (3.74% in Q1; 3.48% in Q2 2024), driven by higher average loan and securities yields and a $0.70M prepayment penalty .
Loans grew $129.33M q/q to $8.07B; Deposits and Repurchase Agreements totaled $12.50B, with year-to-date deposit growth at 5.57% annualized .
Capital actions: quarterly dividend raised to $0.19 (from $0.18) and share repurchase plan renewed for up to 5,000,000 shares through July 31, 2026, supporting capital deployment optionality .
Note: No earnings call transcript found in the document catalog for Q2 2025 despite targeted searches; synthesis relies on the 8-K 2.02 and press releases.

Values with * retrieved from S&P Global.

What Went Well and What Went Wrong

EPS up 27% y/y on “healthy loan and deposit growth, improved margin and increased trust revenue,” per CEO: “Our outlook for the remainder of the year is good…” .
Net interest margin improved to 3.81% on higher average yields and a $0.70M prepayment penalty recognized in the quarter .
Trust fees rose to $12.75M with trust AUM at $11.46B (vs $10.24B a year ago), supporting fee income diversification .

Noninterest expense increased to $71.74M (+$6.72M y/y), driven by compensation accruals and higher software amortization tied to new loan origination and account opening platforms .
Classified loans rose to $257.07M (vs $219.26M a year ago), warranting ongoing credit monitoring .
Net charge-offs increased to $0.72M (vs $0.24M in Q1 2025 and $0.30M in Q2 2024), though still low relative to portfolio size .

Metric	Q2 2024	Q1 2025	Q2 2025
Diluted EPS ($)	0.37	0.43	0.47
Net Income ($MM)	52.49	61.35	66.66
Net Interest Income ($MM)	103.27	118.79	123.73
Provision for Credit Losses ($MM)	5.89	3.53	3.13
Noninterest Income ($MM)	31.27	30.23	32.87
Net Interest Margin (tax eq., %)	3.48	3.74	3.81
Efficiency Ratio (%)	47.41	46.36	44.97
Return on Avg Assets (%)	1.61	1.78	1.89

Estimate Comparison (S&P Global)	Q2 2025 Consensus*	Q2 2025 Actual
EPS ($)	0.4425*	0.47
Revenue (S&P “net revenue” = NII after provision + noninterest) ($MM)	156.41*	153.47*

Values with * retrieved from S&P Global.

Component ($MM)	Q2 2024	Q1 2025	Q2 2025
Trust Fees	11.71	12.65	12.75
Service Charges on Deposits	6.01	6.18	6.13
Debit Card Fees	5.15	4.97	5.22
Gain on Sale & Fees on Mortgage Loans	3.69	2.83	4.13
Loan Recoveries	0.66	0.57	0.81
Other Noninterest Income	3.43	2.49	2.93
Total Noninterest Income	31.27	30.23	32.87

KPI	Q2 2024	Q1 2025	Q2 2025
Loans HFI ($MM)	7,519.73	7,945.61	8,074.94
q/q Loan Growth ($MM, annualized %)	—	+32.51 (1.67% ann.)	+129.33 (6.53% ann.)
Deposits & Repurchase ($B)	11.55	12.52	12.50
Total Assets ($B)	13.16	14.31	14.38
Nonperforming Assets / Loans+REO (%)	0.81	0.78	0.79
Net Charge-offs ($MM)	0.30	0.24	0.72
Allowance for Credit Losses ($MM)	95.17	101.08	102.79
CET1 Capital Ratio (%)	18.42	19.12	19.16
Efficiency Ratio (%)	47.41	46.36	44.97

Metric	Period	Previous Guidance	Current Guidance	Change
Quarterly Dividend per Share	Q2 2025	$0.18 (Q1 2025)	$0.19 (declared Apr 29; paid Jul 1)	Raised
Share Repurchase Authorization	Through Jul 31, 2026	5,000,000 shares through Jul 31, 2025	5,000,000 shares renewed through Jul 31, 2026	Renewed
Strategic Outlook	FY 2025	Prior: Focus on earning asset growth and margin improvement	“Opportunities to improve investment yields, continue loan growth and focus on growing deposits”	Maintained (qualitative)

Note: No Q2 2025 earnings call transcript found in catalog; themes synthesized from press releases and 8-Ks.

Topic	Previous Mentions (Q4 2024 & Q1 2025)	Current Period (Q2 2025)	Trend
Net Interest Margin	NIM rose to 3.67% (Q4), 3.74% (Q1) on asset yield improvement	NIM 3.81% with higher loan/securities yields and a $0.70M prepayment penalty	Uptrend
Loan Growth	Q4: +$189.9M; Q1: +$32.5M (ann. 1.67%)	Q2: +$129.33M (ann. 6.53%)	Accelerating
Deposit Growth	Q1: Deposits & Repos +$362.8M (ann. 12.10%)	Year-to-date growth 5.57% annualized	Healthy
Technology Initiatives	Higher software amortization in Q4 & Q1	Continued investment in new loan origination & account opening platforms	Investment continuing
Credit Quality	NPA ratio ~0.80%; classified loans rising since 2024	NPA 0.79%; classified loans $257.07M	Stable NPA; watch classified
Fee Income (Trust/Mortgage)	Trust AUM growth; mortgage gains improved in Q4	Trust fees $12.75M; mortgage gains $4.13M	Positive

“Our second quarter results are positive with earnings growth of over 27 percent… healthy loan and deposit growth, improved margin and increased trust revenue. Our outlook for the remainder of the year is good…” — F. Scott Dueser, Chairman & CEO .
“Increased margins are primarily due to increased average yields on loans and securities. Additionally, the Company recognized a $698 thousand prepayment penalty…” .
“We believe it is in the best interest of our shareholders to have a stock repurchase plan in place to be able to execute when the price of our shares is attractive.” — F. Scott Dueser on plan renewal .
Q1 context: “Strong deposit inflows have supported loan growth as well as continued bond investments which has supported margin growth…” .

No Q2 2025 earnings call transcript found; Q&A not available in the document catalog despite targeted searches for “earnings-call-transcript” in the Q2 2025 window.

EPS beat: $0.47 actual vs $0.4425 consensus* (+$0.0275, ~+6.2%), aided by margin expansion and fee income .
S&P “Revenue” miss: $153.47M* actual vs $156.41M* consensus (~−1.9%); note this definition includes provision for credit losses, which was $3.13M in Q2 .
Coverage depth: 4 EPS estimates*, 3 revenue estimates*.

Values with * retrieved from S&P Global.

Margin expansion continues (3.81%), with rising asset yields and one-time prepayment benefits; monitor sustainability as funding costs evolve .
Balanced growth: Loans +$129M q/q; deposits & repos ~$12.50B—supports NII trajectory and liquidity .
Capital return optionality: Dividend raised to $0.19; repurchase plan renewed through July 2026 (up to 5M shares), a potential support for TSR in dislocated markets .
Credit metrics stable but watchlists elevated: Classified loans up to $257.07M; NPA ratio ~0.79%; charge-offs remain low in absolute terms .
Fee income drivers (trust, mortgage) adding resilience; trust AUM at $11.46B underpinning $12.75M trust fees .
Near-term trading lens: EPS beat vs consensus* with modest “revenue” miss* may skew reactions; repurchase authorization and margin narrative are positive catalysts. Values with * retrieved from S&P Global.
Medium-term thesis: Continued asset mix optimization and core deposit growth, coupled with technology platform investments, should support operating leverage; monitor provisions and expense discipline as platforms scale .