TriCo Bancshares Reports Second Quarter 2026 Net Income of $34.2 Million, Diluted EPS of $1.06 Following Merger Announcement

“Our second quarter results are highlighted by robust loan growth across our markets, reflecting the continued trust that customers and communities place in Tri Counties Bank. This continued growth, combined with the synergies we expect to develop over time with First Hawaiian Bank, further supports the merits and thesis of our recent merger announcement. In addition to the obvious size and scale that will be created, our capacity and resources to serve California communities will continue to expand following the union of TCBK and FHB,” said Rick Smith, Chairman and CEO.

Peter Wiese, EVP and CFO, added, “Growth in loans and earning assets, continued repricing of loans and investment securities, and disciplined balance sheet management all contributed to the expansion of net interest income and margin. Despite the slight increase in our efficiency ratio, after adjusting for merger-related expenses and elevated incentive compensation related to loan growth and overall bank performance, expense control also remains disciplined. While capital deployment remains top of mind for management, we expect that share repurchase activities, if any, will be limited given the merger announcement.”

The financial results reported in this document are preliminary and unaudited. Final financial results and other disclosures will be reported on Form 10-Q for the period ended June 30, 2026, and may differ materially from the results and disclosures in this document due to, among other things, the completion of final review procedures, the occurrence of subsequent events, or the discovery of additional information.

Three months ended

June 30,

March 31,

2026

2026

$ Change

% Change

Net interest income

$

93,630

$

91,226

$

2,404

2.6

%

Provision for credit losses

(2,655

)

(3,325

)

670

(20.2

)%

Noninterest income

18,246

17,032

1,214

7.1

%

Noninterest expense

(62,925

)

(59,052

)

(3,873

)

6.6

%

Provision for income taxes

(12,127

)

(12,196

)

69

(0.6

)%

Net income

$

34,169

$

33,685

$

484

1.4

%

Diluted earnings per share

$

1.06

$

1.04

$

0.02

1.9

%

Dividends per share

$

0.36

$

0.36

$

—

—

%

Average common shares

31,924

32,195

(271

)

(0.8

)%

Average diluted common shares

32,107

32,391

(284

)

(0.9

)%

Return on average total assets

1.37

%

1.38

%

Return on average equity

10.15

%

10.08

%

Efficiency ratio

56.25

%

54.55

%

(dollars and shares in thousands, except per share data)

Three months ended
June 30,

2026

2025

$ Change

% Change

Net interest income

$

93,630

$

86,519

$

7,111

8.2

%

Provision for credit losses

(2,655

)

(4,665

)

2,010

(43.1

)%

Noninterest income

18,246

17,090

1,156

6.8

%

Noninterest expense

(62,925

)

(61,131

)

(1,794

)

2.9

%

Provision for income taxes

(12,127

)

(10,271

)

(1,856

)

18.1

%

Net income

$

34,169

$

27,542

$

6,627

24.1

%

Diluted earnings per share

$

1.06

$

0.84

$

0.22

26.2

%

Dividends per share

$

0.36

$

0.33

$

0.03

9.1

%

Average common shares

31,924

32,757

(833

)

(2.5

)%

Average diluted common shares

32,107

32,936

(829

)

(2.5

)%

Return on average total assets

1.37

%

1.13

%

Return on average equity

10.15

%

8.68

%

Efficiency ratio

56.25

%

59.00

%

(dollars and shares in thousands, except per share data)

Six months ended
June 30,

2026

2025

$ Change

% Change

Net interest income

$

184,856

$

169,061

$

15,795

9.3

%

Provision for credit losses

(5,980

)

(8,393

)

2,413

(28.8

)%

Noninterest income

35,278

33,163

2,115

6.4

%

Noninterest expense

(121,977

)

(120,716

)

(1,261

)

1.0

%

Provision for income taxes

(24,323

)

(19,210

)

(5,113

)

26.6

%

Net income

$

67,854

$

53,905

$

13,949

25.9

%

Diluted earnings per share

$

2.10

$

1.63

$

0.47

28.8

%

Dividends per share

$

0.72

$

0.66

$

0.06

9.1

%

Average common shares

32,059

32,854

(795

)

(2.4

)%

Average diluted common shares

32,248

33,033

(785

)

(2.4

)%

Return on average total assets

1.38

%

1.11

%

Return on average equity

10.11

%

8.61

%

Efficiency ratio

55.41

%

59.69

%

Trailing Quarter Balance Sheet Change

Ending balances

June 30,
2026

March 31,
2026

$ Change

Annualized

% Change

(dollars in thousands)

Total assets

$

9,930,763

$

9,948,211

$

(17,448

)

(0.7

)%

Total loans

7,311,090

7,068,198

242,892

13.7

Total investments

1,796,373

1,871,138

(74,765

)

(16.0

)

Total deposits

8,368,830

8,403,588

(34,758

)

(1.7

)

Total other borrowings

10,519

11,455

(936

)

(32.7

)

Average Trailing Quarter Balance Sheet Change

Quarterly average balances for the period ended

June 30,
2026

March 31,
2026

$ Change

Annualized

% Change

(dollars in thousands)

Total assets

$

9,967,548

$

9,912,485

$

55,063

2.2

%

Total loans

7,176,963

7,041,552

135,411

7.7

Total investments

1,856,574

1,855,250

1,324

0.3

Total deposits

8,409,202

8,334,291

74,911

3.6

Total other borrowings

11,340

10,742

598

22.3

Year Over Year Balance Sheet Change

Ending balances

As of June 30,

$ Change

% Change

(dollars in thousands)

2026

2025

Total assets

$

9,930,763

$

9,923,983

$

6,780

0.1

%

Total loans

7,311,090

6,958,993

352,097

5.1

Total investments

1,796,373

1,936,954

(140,581

)

(7.3

)

Total deposits

8,368,830

8,375,809

(6,979

)

(0.1

)

Total other borrowings

10,519

17,788

(7,269

)

(40.9

)

Three months ended

June 30,
2026

March 31,
2026

(dollars in thousands)

Change

% Change

Interest income

$

120,986

$

117,827

$

3,159

2.7

%

Interest expense

(27,356

)

(26,601

)

(755

)

2.8

%

Fully tax-equivalent adjustment (FTE) ⁽¹⁾

259

260

(1

)

(0.4

)%

Net interest income (FTE)

$

93,889

$

91,486

$

2,403

2.6

%

Net interest margin (FTE)

4.11

%

4.07

%

Acquired loans discount accretion, net:

Amount (included in interest income)

$

990

$

1,386

$

(396

)

(28.6

)%

Net interest margin less effect of acquired loan discount accretion⁽¹⁾

4.07

%

4.01

%

0.06

%

Three months ended
June 30,

(dollars in thousands)

2026

2025

Change

% Change

Interest income

$

120,986

$

116,361

$

4,625

4.0

%

Interest expense

(27,356

)

(29,842

)

2,486

(8.3

)%

Fully tax-equivalent adjustment (FTE) ⁽¹⁾

259

264

(5

)

(1.9

)%

Net interest income (FTE)

$

93,889

$

86,783

$

7,106

8.2

%

Net interest margin (FTE)

4.11

%

3.88

%

Acquired loans discount accretion, net:

Amount (included in interest income)

$

990

$

1,247

$

(257

)

(20.6

)%

Net interest margin less effect of acquired loan discount accretion⁽¹⁾

4.07

%

3.82

%

0.25

%

Six months ended
June 30,

(dollars in thousands)

2026

2025

Change

% Change

Interest income

$

238,813

$

230,438

$

8,375

3.6

%

Interest expense

(53,957

)

(61,377

)

7,420

(12.1

)%

Fully tax-equivalent adjustment (FTE) ⁽¹⁾

519

529

(10

)

(1.9

)%

Net interest income (FTE)

$

185,375

$

169,590

$

15,785

9.3

%

Net interest margin (FTE)

4.09

%

3.81

%

Acquired loans discount accretion, net:

Amount (included in interest income)

$

2,376

$

3,242

$

(866

)

(26.7

)%

Net interest margin less effect of acquired loan discount accretion⁽¹⁾

4.04

%

3.73

%

0.31

%

Three months ended

Three months ended

Three months ended

June 30, 2026

March 31, 2026

June 30, 2025

(dollars in thousands)

Average

Balance

Income/

Expense

Yield/

Rate

Average

Balance

Income/

Expense

Yield/

Rate

Average

Balance

Income/

Expense

Yield/

Rate

Assets

Loans

$

7,176,963

$

104,595

5.85

%

$

7,041,552

$

100,349

5.78

%

$

6,878,186

$

98,695

5.76

%

Investments-taxable

1,726,567

14,306

3.32

%

1,724,884

14,662

3.45

%

1,818,814

14,921

3.29

%

Investments-nontaxable ⁽¹⁾

130,007

1,124

3.47

%

130,366

1,126

3.50

%

132,576

1,143

3.46

%

Total investments

1,856,574

15,430

3.33

%

1,855,250

15,788

3.45

%

1,951,390

16,064

3.30

%

Cash at Fed Reserve and other banks

131,367

1,220

3.72

%

213,361

1,950

3.71

%

144,383

1,866

5.18

%

Total earning assets

9,164,904

121,245

5.31

%

9,110,163

118,087

5.26

%

8,973,959

116,625

5.21

%

Other assets, net

802,644

802,322

804,875

Total assets

$

9,967,548

$

9,912,485

$

9,778,834

Liabilities and shareholders’ equity

Interest-bearing demand deposits

$

1,915,877

$

7,067

1.48

%

$

1,851,122

$

6,384

1.40

%

$

1,804,856

$

6,076

1.35

%

Savings deposits

2,764,893

10,430

1.51

%

2,803,853

10,366

1.50

%

2,799,470

12,246

1.75

%

Time deposits

1,148,788

9,168

3.20

%

1,127,816

9,173

3.30

%

1,102,025

9,716

3.54

%

Total interest-bearing deposits

5,829,558

26,665

1.83

%

5,782,791

25,923

1.82

%

5,706,351

28,038

1.97

%

Other borrowings

11,340

7

0.25

%

10,742

1

0.04

%

22,707

92

1.63

%

Junior subordinated debt

41,238

684

6.65

%

41,238

677

6.66

%

101,236

1,712

6.78

%

Total interest-bearing liabilities

5,882,136

27,356

1.87

%

5,834,771

26,601

1.85

%

5,830,294

29,842

2.05

%

Noninterest-bearing deposits

2,579,644

2,551,500

2,516,631

Other liabilities

155,380

170,938

158,817

Shareholders’ equity

1,350,388

1,355,276

1,273,092

Total liabilities and shareholders’ equity

$

9,967,548

$

9,912,485

$

9,778,834

Net interest rate spread ^{(1) (2)}

3.44

%

3.41

%

3.16

%

Net interest income and margin ^{(1) (3)}

$

93,889

4.11

%

$

91,486

4.07

%

$

86,783

3.88

%

(1)

Fully taxable equivalent (FTE). All yields and rates are calculated using specific day counts for the period and year as applicable.

(2)

Net interest spread is the average yield earned on interest-earning assets minus the average rate paid on interest-bearing liabilities.

(3)

Net interest margin is computed by calculating the difference between interest income and interest expense, divided by the average balance of interest-earning assets.

Six months ended June 30, 2026

Six months ended June 30, 2025

(dollars in thousands)

Average

Balance

Income/

Expense

Yield/

Rate

Average

Balance

Income/

Expense

Yield/

Rate

Assets

Loans

$

7,109,631

$

204,944

5.81

%

$

6,827,469

$

194,073

5.73

%

Investments-taxable

1,725,730

28,968

3.39

%

1,851,439

30,673

3.34

%

Investments-nontaxable ⁽¹⁾

130,186

2,250

3.49

%

132,980

2,292

3.48

%

Total investments

1,855,916

31,218

3.39

%

1,984,419

32,965

3.35

%

Cash at Fed Reserve and other banks

172,138

3,170

3.71

%

175,315

3,929

4.52

%

Total earning assets

9,137,685

239,332

5.28

%

8,987,203

230,967

5.18

%

Other assets, net

802,484

806,241

Total assets

$

9,940,169

$

9,793,444

Liabilities and shareholders’ equity

Interest-bearing demand deposits

$

1,883,678

$

13,451

1.44

%

$

1,817,515

$

12,297

1.36

%

Savings deposits

2,784,265

20,796

1.51

%

2,765,057

24,444

1.78

%

Time deposits

1,138,360

18,341

3.25

%

1,111,382

20,162

3.66

%

Total interest-bearing deposits

5,806,303

52,588

1.83

%

5,693,954

56,903

2.02

%

Other borrowings

11,043

8

0.15

%

55,902

1,061

3.83

%

Junior subordinated debt

41,238

1,361

6.66

%

101,219

3,413

6.80

%

Total interest-bearing liabilities

5,858,584

53,957

1.86

%

5,851,075

61,377

2.12

%

Noninterest-bearing deposits

2,565,650

2,515,508

Other liabilities

163,117

164,259

Shareholders’ equity

1,352,818

1,262,602

Total liabilities and shareholders’ equity

$

9,940,169

$

9,793,444

Net interest rate spread ^{(1) (2)}

3.42

%

3.06

%

Net interest income and margin ^{(1) (3)}

$

185,375

4.09

%

$

169,590

3.81

%

(1)

Fully taxable equivalent (FTE). All yields and rates are calculated using specific day counts for the period and year as applicable.

(2)

Net interest spread is the average yield earned on interest-earning assets minus the average rate paid on interest-bearing liabilities.

(3)

Net interest margin is computed by calculating the difference between interest income and interest expense, divided by the average balance of interest-earning assets.

Three months ended

Six months ended

(dollars in thousands)

June 30,
2026

March 31,
2026

June 30,
2025

June 30,
2026

June 30,
2025

Addition to allowance for credit losses on loans and leases

$

2,585

$

2,970

$

4,525

$

5,555

$

7,188

Addition to reserve for unfunded loan commitments

70

355

140

425

1,205

Total provision for credit losses

$

2,655

$

3,325

$

4,665

$

5,980

$

8,393

Three months ended

Six months ended

(dollars in thousands)

June 30,
2026

March 31,
2026

June 30,
2025

June 30,
2026

June 30,
2025

Balance, beginning of period

$

127,939

$

125,762

$

128,423

$

125,762

$

125,366

Provision for credit losses on loans and leases

2,585

2,970

4,525

5,555

7,188

Loans charged-off

(455

)

(912

)

(8,595

)

(1,367

)

(8,969

)

Recoveries of previously charged-off loans

118

119

102

237

870

Balance, end of period

$

130,187

$

127,939

$

124,455

$

130,187

$

124,455