Supervisors Symposium - December 2023

Internal Use Only

As expected, margin has contracted for banks over the most recent quarters . . .

Net Interest Margin

4.50

Industry

4.00

3.50

Mid ‐ Atlantic

3.00

Mid ‐ West

2.50

2.00

North ‐ East

1.50

South ‐ East

1.00

South ‐ West

0.50

0.00

West

2021Q4 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 2023Q2 2023Q3

Change QoQ

Change YoY

Net Interest Margin 2021Q4 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 2023Q2 2023Q3

Industry

3.12 3.00 3.19 3.44 3.56 3.40 3.36 3.33 2.95 2.87 3.03 3.27 3.38 3.20 3.13 3.03 3.06 2.92 3.09 3.33 3.40 3.27 3.25 3.21 2.98 2.96 3.10 3.27 3.28 2.99 2.79 2.73 3.27 3.15 3.33 3.65 3.78 3.62 3.56 3.51 3.33 3.22 3.38 3.71 3.89 3.78 3.79 3.75 3.19 3.04 3.34 3.62 3.81 3.69 3.58 3.56

‐ 0.03 ‐ 0.10 ‐ 0.04 ‐ 0.06 ‐ 0.05 ‐ 0.04 ‐ 0.02

‐ 0.11 ‐ 0.24 ‐ 0.12 ‐ 0.54 ‐ 0.14 0.04 ‐ 0.06

Mid ‐ Atlantic Mid ‐ West North ‐ East South ‐ East South ‐ West

West

47

Source: Call Report Data

© 2023 –FinPro, Inc.

47

Internal Use Only

Return on Average Equity declined in the most recent quarters, but is still healthy . . .

ROAE

18.00

Industry

16.00

14.00

Mid ‐ Atlantic

12.00

Mid ‐ West

10.00

8.00

North ‐ East

6.00

South ‐ East

4.00

South ‐ West

2.00

0.00

West

2021Q4 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 2023Q2 2023Q3

Change QoQ

Change YoY

ROAE

2021Q4 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 2023Q2 2023Q3 8.57 8.83 11.06 13.29 12.88 11.58 11.13 10.93 8.04 7.49 8.71 10.53 10.51 8.59 8.13 7.69 7.98 8.63 10.92 13.36 12.42 11.52 11.12 11.08 8.20 5.56 6.01 8.43 10.48 6.49 5.80 5.04 8.78 9.08 11.70 13.73 13.29 12.33 11.76 11.58 10.07 10.46 13.44 15.93 15.52 14.82 13.99 13.56 9.93 9.63 11.27 13.11 13.26 11.44 10.31 10.54

Industry

‐ 0.20 ‐ 0.44 ‐ 0.04 ‐ 0.76 ‐ 0.18 ‐ 0.43 0.23

‐ 2.36 ‐ 2.84 ‐ 2.28 ‐ 3.39 ‐ 2.15 ‐ 2.37 ‐ 2.57

Mid ‐ Atlantic Mid ‐ West North ‐ East South ‐ East South ‐ West

West

48

Source: Call Report Data

© 2023 –FinPro, Inc.

48