Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to _____________ Commission File Number: 0-11487 LAKELAND FINANCIAL CORPORATION (Exact name of registrant as specified in its charter) (Sta ...

Lakeland Financial (LKFN) came out with quarterly earnings of $1.04 per share, beating the Zacks Consensus Estimate of $0.93 per share. This compares to earnings of $0.74 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +11.83%. A quarter ago, it was expected that this holding company for Lake City Bank would post earnings of $0.87 per share when it actually produced earnings of $0.78, delivering a surprise of -10.34%.Over the ...

Core Insights - Lakeland Financial Corporation reported record second quarter net income of $27.0 million for Q2 2025, a 20% increase from $22.5 million in Q2 2024 [1] - Diluted earnings per share for Q2 2025 were $1.04, up 20% from $0.87 in Q2 2024 [1] - The company experienced a 34% increase in net income from the previous quarter, rising from $20.1 million in Q1 2025 [1] Quarterly Financial Performance - Pretax pre-provision earnings for Q2 2025 were $35.9 million, a 1% increase from $35.4 million in Q2 2024 [2] - Adjusted core operational profitability improved by 41% from $19.2 million in Q2 2024 to $27.0 million in Q2 2025 [2] - Return on average equity increased to 15.52% in Q2 2025 from 14.19% in Q2 2024 [5] - Average loans grew by $194.8 million, or 4%, to $5.23 billion year-over-year [5] - Core deposits increased by $423.9 million, or 8%, to $6.03 billion year-over-year [5] Capital Strength - The total capital as a percentage of risk-weighted assets improved to 15.86% at June 30, 2025, exceeding the 10% regulatory threshold [6] - The tangible common equity to tangible assets ratio improved to 10.15% at June 30, 2025, compared to 9.91% a year earlier [7] Dividend and Share Repurchase - The board approved a cash dividend of $0.50 per share for Q2 2025, a 4% increase from $0.48 in Q2 2024 [8] - The company repurchased 30,300 shares for $1.7 million at an average price of $55.94 during Q2 2025 [9] Loan Portfolio - Average total loans for Q2 2025 were $5.23 billion, a 4% increase from $5.03 billion in Q2 2024 [10] - Total loans increased by $173.8 million, or 3%, from $5.06 billion as of June 30, 2024, to $5.23 billion as of June 30, 2025 [11] - Commercial real estate and multi-family residential loans grew by $177.0 million, or 7% [11] Asset Quality - The provision for credit losses was $3.0 million in Q2 2025, down from $8.5 million in Q2 2024 [28] - Nonaccrual loans decreased by 46% to $30.6 million compared to $57.1 million a year earlier [30] - The ratio of nonperforming assets to total assets decreased to 0.45% from 0.88% a year earlier [31] Investment Portfolio Overview - Total investment securities were $1.13 billion at June 30, 2025, reflecting a slight increase from $1.12 billion a year earlier [34] - The company anticipates receiving approximately $54.5 million in cash flows from the investment securities portfolio during the remainder of 2025 [34] Noninterest Income - Noninterest income decreased by $9.0 million, or 44%, to $11.5 million for Q2 2025 compared to $20.4 million in Q2 2024 [35] - Adjusted core noninterest income increased slightly by $58,000, or less than 1%, from $11.4 million in Q2 2024 [35] Noninterest Expense - Noninterest expense decreased by $2.9 million, or 9%, to $30.4 million for Q2 2025 compared to $33.3 million in Q2 2024 [39] - Adjusted core noninterest expense increased by $1.6 million, or 6%, from $28.8 million in Q2 2024 [39] Efficiency Ratio - The efficiency ratio improved to 45.9% for Q2 2025 from 48.5% in Q2 2024 [43] - The adjusted core efficiency ratio was 48.2% for Q2 2024 [43]

Exhibit 99.1 NEWS FROM LAKELAND FINANCIAL CORPORATION FOR IMMEDIATE RELEASE Contact Lisa M. O'Neill Executive Vice President and Chief Financial Officer (574) 267-9125 lisa.oneill@lakecitybank.com Lakeland Financial Reports Record Second Quarter Performance; Net Income Grows by 20% to $27.0 Million, as Net Interest Income Expands by 14% Warsaw, Indiana (July 25, 2025) – Lakeland Financial Corporation (Nasdaq Global Select/LKFN), parent company of Lake City Bank, today reported record second quarter net inco ...

WARSAW, Ind., July 23, 2025 (GLOBE NEWSWIRE) -- Lake City Bank is proud to announce that David M. Findlay, Chairman and Chief Executive Officer, has been named to the Indianapolis Business Journal’s Indiana 250 list for the fourth consecutive year. The annual list recognizes the state’s most influential and impactful leaders across business, philanthropy, the arts, government and not-for-profits. “It’s an honor to be recognized alongside such influential leaders making an impact in our state,” Findlay said. ...

Company Expansion - Lake City Bank has announced the acquisition of a property at 6388 Mills Drive in Whitestown, Indiana, with plans to renovate it into a full-service branch expected to open in 2026, marking the bank's expansion into Boone County [1][2] - This new branch will be the bank's 10th office in the Indianapolis Region, reflecting the bank's growth since entering the market in 2011 [2] Renovation and Services - Renovations will begin later this year to convert the existing structure, which previously housed several restaurants, into a modern banking facility that will cater to both personal and business banking needs [3] - The new branch will include a full-service lobby, drive-up banking, and an ATM [3] Strategic Location - The location is strategically positioned near Interstate 65, surrounded by residential neighborhoods and retail and industrial businesses, which will provide convenient access for customers and enhance community engagement [4] - The bank's community banking model focuses on building long-term customer relationships while offering technology-forward solutions for retail and commercial clients [4] Company Profile - Lake City Bank is a $6.9 billion bank headquartered in Warsaw, Indiana, with a total of 54 branch offices and a robust digital banking platform [4]

Company Overview - Lakeland Financial (LKFN) is based in Warsaw and operates in the Finance sector, with a year-to-date share price change of -15.27% [3] - The company currently pays a dividend of $0.5 per share, resulting in a dividend yield of 3.43%, which is higher than the Banks - Midwest industry's yield of 3.21% and the S&P 500's yield of 1.62% [3] Dividend Performance - The current annualized dividend of Lakeland Financial is $2, reflecting a 4.2% increase from the previous year [4] - Over the past five years, the company has increased its dividend five times, achieving an average annual increase of 12.44% [4] - The current payout ratio is 59%, indicating that the company pays out 59% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - Lakeland Financial is expected to see earnings growth this fiscal year, with the Zacks Consensus Estimate for 2025 at $3.76 per share, representing an 8.36% increase from the previous year [5] Investment Appeal - Dividends are favored by investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [6] - Lakeland Financial is characterized as an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [7]

Core Insights - Lake City Bank has appointed Gregory C. Brown as Senior Vice President and Commercial Elkhart Regional Manager to lead the newly formed Commercial Elkhart Region, aimed at better serving the growing business community in Elkhart [1][2]. Company Overview - Lake City Bank, headquartered in Warsaw, Indiana, has a total asset value of $6.9 billion and operates 54 branch offices, focusing on Central and Northern Indiana communities [4]. - The bank was founded in 1872 and emphasizes a community banking model that prioritizes long-term customer relationships while providing technology-forward solutions for both retail and commercial clients [4]. Leadership and Strategy - David M. Findlay, Chairman and CEO, highlighted that the creation of a dedicated team for Elkhart reflects the bank's success and growth in the area over the past 35 years [2]. - Brown brings 30 years of experience in financial services, including a previous role at Lake City Bank from 2016 to 2021, and has been actively involved in the Elkhart community through various organizations [3]. Regional Focus - The new Commercial Elkhart Region will consist of a team of three Commercial Banking Officers, while the existing Commercial North Region will continue to serve clients in St. Joseph County and surrounding areas [2][3]. - The regional realignment is expected to create new opportunities for the Commercial North Region team in South Bend and nearby areas [3].

Financial Performance - Net income for the first three months of 2025 was $20.1 million, a decrease of $3.3 million, or 14.2%, from $23.4 million in the same period of 2024[132] - Diluted income per common share was $0.78, down 14.3% from $0.91 in the comparable period of 2024[132] - Provision for credit losses increased by $5.3 million, or 347.4%, contributing to the decline in net income[132] - Noninterest income decreased by $1.7 million, or 13.4%, to $10.9 million for Q1 2025, down from $12.6 million in Q1 2024[140] - Noninterest expense increased by $2.1 million, or 6.7%, to $32.8 million for Q1 2025 compared to $30.7 million in Q1 2024[141] Asset and Equity Growth - Total assets increased to $6.851 billion as of March 31, 2025, up $172.8 million, or 2.6%, from $6.678 billion at December 31, 2024[118] - Total equity increased by $10.6 million, or 1.5%, from $683.9 million at December 31, 2024, to $694.5 million at March 31, 2025[118] - Retained earnings increased by $7.2 million, or 1.0%, primarily due to net income of $20.1 million[118] - Total cash and cash equivalents increased by $67.0 million, or 39.8%, to $235.2 million at March 31, 2025, from $168.2 million at December 31, 2024[144] - Total loans increased by $98.8 million, or 2.0%, to $5.131 billion at March 31, 2025, driven by growth in commercial and industrial loans and consumer mortgage loans[151] Income and Interest Metrics - Net interest income rose by $5.5 million, or 11.5%, offsetting some negative impacts on net income[132] - Net interest income increased by $5.3 million, or 10.9%, to $54.0 million for Q1 2025 compared to $48.7 million in Q1 2024[135] - The tax equivalent net interest margin expanded by 25 basis points to 3.40% for Q1 2025, up from 3.15% in Q1 2024[137] - The average rate for interest bearing deposits decreased by 60 basis points, from 3.80% to 3.20%[137] - The average borrowing costs decreased by 107 basis points from 5.61% for the three months ended March 31, 2024 to 4.54% for the same period in 2025[162] Credit and Risk Management - Provision for credit losses increased by $5.3 million, or 347.4%, to $6.8 million for Q1 2025 compared to $1.5 million in Q1 2024[138] - As of March 31, 2025, the allowance for credit losses was 1.77% of total loans, an increase of 9 basis points from 1.68% at December 31, 2024[155] - The allowance for credit losses increased by $6.5 million, or 7.5%, from $86.0 million at December 31, 2024 to $92.4 million at March 31, 2025[160] - Nonperforming assets increased by $1.0 million, or 1.7%, to $57.9 million during Q1 2025, with the ratio of nonperforming assets to total assets decreasing to 0.84%[152] - The Company had 82 credit relationships with principal balances totaling $215.6 million on the classified loan list as of March 31, 2025[158] Capital Ratios - The consolidated total capital to risk-weighted assets ratio is 15.77%, exceeding the minimum required ratio of 8.00%[169] - The consolidated Tier I capital to risk-weighted assets ratio stands at 14.51%, above the minimum requirement of 6.00%[169] - The consolidated Common Equity Tier 1 (CET1) ratio is 14.51%, significantly higher than the minimum requirement of 4.50%[169] - The bank's total capital to risk-weighted assets ratio as of December 31, 2024, was 15.76%, also above the required 8.00%[169] - The bank's Tier I capital to average assets ratio is 12.21%, exceeding the minimum requirement of 4.00%[169] Market and Economic Conditions - The Company anticipates receiving approximately $82.3 million in principal and interest cash flows from the investment securities portfolio during the remainder of 2025[146] - The company has a primary market risk exposure to interest rate risk, with no material exposure to foreign currency exchange risk[173] - The Corporate Risk Committee reviews and approves the interest rate risk management policy annually, with the last review in July 2024[173] - The company is subject to various risks including changes in economic conditions, interest rates, and competition from other financial service providers[171] - The company emphasizes the importance of not placing undue reliance on forward-looking statements due to inherent uncertainties[171]

Lakeland Financial Corporation A Proven History of Shareholder Value Creation And Commitment to Our Communities 1 st Quarter 2025 President kristin.pruitt@lakecitybank.com (574) 371-9220 Lisa M. O'Neill Executive Vice President & Chief Financial Officer lisa.oneill@lakecitybank.com (574) 267-9125 LKFN L I S T E D David M. Findlay Chairman & Chief Executive Officer david.findlay@lakecitybank.com (574) 267-9197 Kristin L. Pruitt 2 Forward-Looking Information This presentation contains, and future oral and wri ...