Financial Performance - Adjusted noninterest income for Q3 2025 was $17,636,000, up from $16,272,000 in Q3 2024, representing an increase of 8.4%[191] - Adjusted noninterest expense for Q3 2025 was $35,726,000, compared to $34,504,000 in Q3 2024, reflecting an increase of 3.5%[191] - Adjusted net income for the nine months ended September 30, 2025, was $35,853,000, up from $30,424,000 in the same period of 2024, indicating a growth of 17.5%[191] - Adjusted diluted earnings per common share for Q3 2025 was $0.56, unchanged from Q3 2024, while the nine-month figure decreased slightly from $1.91 to $1.88[194] - Net income for Q3 2025 was $10.8 million, a slight decrease of 1% from $11.0 million in Q3 2024, while for the nine months, net income increased by 11% to $36.3 million from $32.7 million[213] - Adjusted net income (non-GAAP) for Q3 2025 was $10.8 million, down 1% from $11.0 million in Q3 2024, and for the nine months, it increased by 18% to $35.9 million from $30.4 million[214] Revenue and Income Sources - Total revenues for Q3 2025 were $56.5 million, a 16% increase compared to $48.5 million in Q3 2024, and for the nine months, total revenues increased by 17% to $169.8 million from $145.6 million[213] - Net interest income for Q3 2025 was $38.8 million, an increase of 20% from $32.3 million in Q3 2024, while for the nine months ended September 30, 2025, it reached $112.4 million, up 18% from $95.5 million in the same period last year[213] - Noninterest income for Q3 2025 was $17.6 million, an 8% increase from $16.3 million in Q3 2024, and for the nine months, it rose 14% to $57.4 million from $50.1 million[213] Expenses and Cost Management - The Corporation's principal noninterest expenses include salaries and employee benefits, which are critical for maintaining service quality and market share[200] - Total noninterest expense for the three months ended September 30, 2025, was $35.7 million, an increase of $1.2 million (4%) compared to $34.5 million in 2024[246] - Salaries and employee benefits, the largest component of noninterest expense, increased by $1.3 million (6%) for the three months ended September 30, 2025, compared to the same period in 2024[247] Asset and Loan Management - Total average assets as reported for Q3 2025 were $6,738,796,000, down from $7,254,566,000 in Q3 2024, a decrease of 7.1%[196] - The average balance of total loans decreased to $5.16 billion in Q3 2025 from $5.58 billion in Q3 2024, reflecting a decline of $414.2 million[218] - Total loans amounted to $5.1 billion at September 30, 2025, down by $15.3 million, or 0.3%, from the end of 2024[272] Credit Quality and Risk Management - Provision for credit losses in Q3 2025 was $6.8 million, significantly higher than $200 thousand in Q3 2024, reflecting a 3,300% increase, while for the nine months, it rose to $8.6 million from $1.4 million[213] - Total nonperforming assets decreased to $14.0 million as of September 30, 2025, down from $23.3 million at December 31, 2024, resulting in a nonperforming assets to total assets ratio of 0.21%[310] - The allowance for credit losses on loans to total loans was 0.71% as of September 30, 2025, compared to 0.82% at December 31, 2024[310] Capital and Liquidity - Total shareholders' equity increased by $33.3 million (7%) from December 31, 2024, to September 30, 2025[263] - The total risk-based capital ratio was 12.90% at September 30, 2025, up from 12.47% at December 31, 2024, indicating a well-capitalized status[358] - Total contingent liquidity increased to $1.84 billion, representing 127.1% of uninsured deposits[350] Market and Interest Rate Sensitivity - As of September 30, 2025, a 100 basis point decrease in interest rates is estimated to decrease net interest income by 2.11% for the first 12 months[370] - The total change in market value of available for sale debt securities as of September 30, 2025 is projected to be $48,209 thousand with a 100 basis point decrease in rates[374] - Interest-earning assets are expected to reprice more quickly than interest-bearing liabilities as interest rates change[371]

Core Insights - Angkor Resources Corp. announces plans for exploratory oil and gas drilling on Block VIII in Cambodia, with a commitment to drill multiple exploratory wells in 2026 based on promising seismic data interpretations [1][3]. Company Developments - Angkor's subsidiary, EnerCam Resources Co. Cambodia Ltd., completed approximately 350-line kilometers of 2-D seismic across Block VIII, identifying at least three significant closed anticlines [2][3]. - The CEO expresses confidence in the interpretations of the seismic data, indicating that the structures identified are of significant quality and size, warranting further exploration [3]. - EnerCam is actively sourcing a suitable drilling rig and supporting equipment to conduct the first onshore wells in Cambodia [7]. Technical Findings - The seismic data indicates the presence of large anticlines with four-way closures of over 48 square kilometers and 60 square kilometers, suggesting a working hydrocarbon system [3][4]. - There are indications of Direct Hydrocarbon Indicators (DHIs) and potential multiple layers of reservoir strata beneath the sealing formation cap layer [6]. - The estimated rock volume of a single '1 meter thickness reservoir zone' under proven closures is approximately 48 million and 60 million cubic meters, highlighting the potential for significant hydrocarbon accumulation [6]. Future Plans - The company is focused on completing the seismic processing and interpretation to better understand the hydrocarbon system and reduce risks associated with reservoir quality and seal integrity [7]. - Management is committed to advancing activities to ensure the successful drilling of exploratory wells in the upcoming year [7].

Financial Data and Key Metrics Changes - The company reported a net income of $10.8 million or $0.56 per share for Q3 2025, down from $13.2 million or $0.68 per share in the previous quarter [4][6] - Pre-provision pre-tax revenue (PP&R) increased by 17% from Q2 and 48% year-over-year [6] - Net interest income for Q3 was $38.8 million, up by $1.6 million or 4% from the previous quarter, and up by $6.6 million or 20% year-over-year [6][7] - Non-interest income comprised 31% of revenue in Q3, up 3% from Q2 and 8% year-over-year [7] - Non-interest expense totaled $35.7 million in Q3, down by $804,000 or 2% [7] Business Line Data and Key Metrics Changes - Wealth management revenues increased by 3%, with a 6% rise in asset-based revenues due to market appreciation and the acquisition of $195 million in managed assets [6][7] - Mortgage banking revenues reached $3.5 million, up 15% for the quarter and 22% year-over-year [7] Market Data and Key Metrics Changes - End-of-period assets under administration (AUA) totaled $7.7 billion, up $501 million or 7% [7] - In-market deposits increased by $179 million or 4% from the end of Q2 and by $431 million or 9% year-over-year [7][8] Company Strategy and Development Direction - The company is focused on long-term value creation and has made key investments to drive growth, including an asset purchase from Lighthouse Financial management [5] - The hiring of Jim Brown as Senior Executive Vice President and Chief Commercial Banking Officer aims to strengthen commercial relationships and integrate services with the wealth division [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current portfolio quality despite elevated provisions for credit losses due to resolved credit exposures [4][6] - The company anticipates low single-digit loan growth for the year, with a healthy pipeline of approximately $180 million [35] - Management expects margin expansion of about 5 basis points in Q4 [27] Other Important Information - The company repurchased 237,000 shares at an average price of $27.18 per share, totaling $6.4 million, and an additional 21,000 shares in October [8] - The effective tax rate for the full year is expected to be 22.5% [7] Q&A Session Summary Question: Remaining shared national credits size - The remaining shared national credits amount to about $173 million, split between commercial and industrial (CNI) and commercial real estate [17][47] Question: Change in specific reserves on a credit - The change was due to reduced recovery expectations from a Chapter 11 situation, leading to a significant loss [18] Question: Confidence in appraisals of other office properties - Confidence is based on different properties in various markets, with some showing leasing momentum [19][20] Question: Client flows in wealth management - The company is no longer disclosing client flows to align with peers [25] Question: Margin expectations - The company anticipates a margin expansion of about 5 basis points in Q4 [27] Question: Buyback plans - The company is pausing buybacks to evaluate capital levels for growth opportunities [38][46] Question: Breakdown of shared national credits - The breakdown includes $90 million in commercial real estate and $84 million in commercial and industrial [47] Question: NDFI exposure - The company has no NDFI exposure [49]

Financial Data and Key Metrics Changes - The company reported a net income of $10.8 million or $0.56 per share for Q3 2025, down from $13.2 million or $0.68 per share in the previous quarter [4][6] - Pre-provision pre-tax revenue (PP&R) increased by 17% from Q2 and 48% year-over-year [6] - Net interest income for Q3 was $38.8 million, up by $1.6 million or 4% from the previous quarter and by $6.6 million or 20% year-over-year [6][7] - Non-interest income accounted for 31% of total revenue in Q3, up 3% from Q2 and 8% year-over-year [6][7] - Non-interest expenses totaled $35.7 million in Q3, down by $804,000 or 2% [7] Business Line Data and Key Metrics Changes - Wealth management revenues increased by 3%, with a 6% rise in asset-based revenues due to market appreciation and the acquisition of $195 million in managed assets [6][7] - Mortgage banking revenues reached $3.5 million, up 15% for the quarter and 22% year-over-year [7] Market Data and Key Metrics Changes - End-of-period assets under administration (AUA) totaled $7.7 billion, an increase of $501 million or 7% [7] - In-market deposits rose by $179 million or 4% from the end of Q2 and by $431 million or 9% year-over-year [7][8] Company Strategy and Development Direction - The company is focused on long-term value creation and has made key investments to drive growth, including the acquisition of Lighthouse Financial Management [5][6] - The hiring of Jim Brown as Senior Executive Vice President and Chief Commercial Banking Officer aims to enhance commercial relationships and integrate services with the wealth division [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current portfolio quality despite elevated provisions for credit losses due to resolved credit exposures [4][6] - The company anticipates low single-digit loan growth for the year, with a healthy pipeline of approximately $180 million [6][37] - Management expects margin expansion of about 5 basis points in Q4 [27] Other Important Information - The company repurchased 237,000 shares at an average price of $27.18 per share, totaling $6.4 million, and an additional 21,000 shares in October [8] - The effective tax rate for the full year is expected to be 22.5% [7] Q&A Session Summary Question: Remaining shared national credits size - The remaining shared national credits amount to about $173 million, split between CNI and commercial real estate [16][48] Question: Change in specific reserves on a credit - The company had to take an additional $6 million charge-off due to reduced recovery expectations from a Chapter 11 situation [17] Question: Confidence in appraisals of office properties - Confidence in appraisals is based on different properties in various markets, with some properties showing leasing momentum [19][20] Question: Client flows in wealth management - The company is no longer disclosing client flows, aligning disclosures with peers [25][26] Question: Loan growth and pipeline outlook - The company expects low single-digit growth for the year, with a healthy pipeline of $180 million [36][38] Question: Future buyback plans - The company has paused buybacks to evaluate capital deployment for growth, with no immediate plans for additional repurchases [40][47]

Financial Data and Key Metrics Changes - The company reported net income of $10.8 million for Q3 2025, a decrease from $13.2 million in the previous quarter, translating to earnings per share of $0.56 compared to $0.68 [4][6] - Pre-provision pre-tax revenue (PPNR) increased by 17% from Q2 and 48% year-over-year [6] - Net interest income for Q3 was $38.8 million, up by $1.6 million (4%) from the previous quarter and by $6.6 million (20%) year-over-year [7] - Non-interest income comprised 31% of total revenue in Q3, up 3% from Q2 and 8% year-over-year [7] - Non-interest expense totaled $35.7 million in Q3, down by $804,000 (2%) [8] Business Line Data and Key Metrics Changes - Wealth Management revenues increased by 3%, with a 6% rise in asset-based revenues due to market appreciation and the acquisition of $195 million in managed assets [7] - Mortgage banking revenues reached $3.5 million, up 15% for the quarter and 22% year-over-year [8] Market Data and Key Metrics Changes - End market deposits rose by $179 million (4%) from the end of Q2 and by $431 million (9%) year-over-year [9] - Total loans decreased by $18 million, while total equity increased to $533 million, up by $6 million from the end of Q2 [9][10] Company Strategy and Development Direction - The company made key investments to drive growth, including an asset purchase from Lighthouse Financial Management, adding approximately $195 million in AUM and expanding the wealth management team [5] - The hiring of Jim Brown as Chief Commercial Banking Officer aims to strengthen commercial relationships and integrate services with the wealth division [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current portfolio quality and the company's long track record of strong credit performance despite elevated provisions for credit losses this quarter [4] - The company anticipates low single-digit loan growth for the year, with a healthy pipeline of approximately $180 million [39] Other Important Information - The company repurchased 237,000 shares at an average price of $27.18 per share, totaling $6.4 million, and an additional 21,000 shares in October [10] - The allowance for credit losses totaled $36.6 million, representing 71 basis points of total loans, with non-performing loan coverage at 261% [12] Q&A Session Summary Question: Remaining Shared National Credits size - The remaining Shared National Credits portfolio is approximately $173 million, split between commercial and industrial (C&I) and commercial real estate (CRE) [16][18] Question: Change in specific reserves on a credit - The change in reserves was due to reduced recovery expectations following a Chapter 11 situation, leading to a significant loss [19] Question: Confidence in appraisals of office properties - Confidence in appraisals is based on different properties in various markets, with some properties showing leasing momentum [24] Question: Client flows in wealth management - The company is no longer disclosing client flows in wealth management to align with peers [31] Question: Margin expectations - The company expects margin expansion of approximately five basis points in Q4 [32] Question: Loan growth and pipeline - The company anticipates low single-digit growth for the year, with a healthy pipeline of $180 million [39] Question: Buyback plans - The company has paused share repurchases to evaluate capital levels for growth opportunities [45][53]

Financial Data and Key Metrics Changes - The company reported a net income of $10.8 million or $0.56 per share for Q3 2025, down from $13.2 million or $0.68 per share in the previous quarter [5][6] - Pre-provision pre-tax revenue (PP&R) increased by 17% from Q2 and 48% year-over-year [6] - Net interest income for Q3 was $38.8 million, up by $1.6 million or 4% from the previous quarter and by $6.6 million or 20% year-over-year [6][7] - Non-interest income comprised 31% of revenue in Q3, up 3% compared to Q2 and up 8% year-over-year [6] - Non-interest expense totaled $35.7 million in Q3, down by $804,000 or 2% [7] Business Line Data and Key Metrics Changes - Wealth management revenues increased by 3%, with a 6% rise in asset-based revenues due to market appreciation and the acquisition of $195 million in managed assets [6][7] - Mortgage banking revenues totaled $3.5 million, up 15% for the quarter and 22% year-over-year [7] Market Data and Key Metrics Changes - End-of-period assets under administration (AUA) reached $7.7 billion, up $501 million or 7% [7] - In-market deposits increased by $179 million or 4% from the end of Q2 and by $431 million or 9% year-over-year [7][8] Company Strategy and Development Direction - The company completed an asset purchase from Lighthouse Financial Management, adding approximately $195 million in AUM and expanding its wealth management team [4] - The hiring of Jim Brown as Senior Executive Vice President and Chief Commercial Banking Officer is aimed at strengthening commercial relationships and integrating services [4] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current portfolio quality despite elevated provisions for credit losses due to resolved credit exposures [3][5] - The company anticipates low single-digit loan growth for the year, with a healthy pipeline of $180 million [5][6] - Management expects margin expansion of approximately 5 basis points in Q4 [5][6] Other Important Information - The company repurchased 237,000 shares at an average price of $27.18 per share, totaling $6.4 million, and an additional 21,000 shares in October [8] - The effective tax rate for the full year is expected to be 22.5% [7] Q&A Session Summary Question: Remaining shared national credits size - The remaining shared national credits amount to about $173 million, split between CNI and commercial real estate [17] Question: Change in specific reserves on a credit - The change was due to reduced recovery expectations from a Chapter 11 situation, leading to a significant loss [18] Question: Confidence in appraisals of other office properties - Confidence is based on different properties in various markets, with some showing leasing momentum [19][20] Question: Client flows in wealth management - The company is no longer disclosing client flows to align with peers [26] Question: Loan growth expectations - The company expects low single-digit growth for the year, with a healthy pipeline [36] Question: Future buybacks - The company plans to pause buybacks for now to evaluate capital deployment for growth [40] Question: Breakdown of shared national credits - The breakdown is $90 million in commercial real estate and $84 million in C&I [49] Question: NDFI exposure - The company has no NDFI exposure [51] Question: Special mention loans - The $22 million in special mention loans relates to two Class A office buildings with occupancy issues [52] Question: Maturity of a specific loan - The maturity of the discussed loan is in October 2027 [63]

Core Insights - Washington Trust Bancorp (WASH) reported quarterly earnings of $0.56 per share, exceeding the Zacks Consensus Estimate of $0.46 per share, but down from $0.64 per share a year ago [1] - The earnings surprise for the quarter was +21.74%, and the company has surpassed consensus EPS estimates three times in the last four quarters [2] - The company posted revenues of $56.47 million for the quarter, surpassing the Zacks Consensus Estimate by 2.85% and up from $48.53 million year-over-year [3] Financial Performance - The earnings surprise of +21.74% indicates strong performance relative to expectations [2] - Revenue growth of approximately 16.5% year-over-year from $48.53 million to $56.47 million demonstrates robust operational performance [3] - The company has consistently exceeded revenue estimates, achieving this in all four quarters over the past year [3] Market Position - Washington Trust shares have declined about 17.5% year-to-date, contrasting with the S&P 500's gain of 13.3%, indicating underperformance in the market [4] - The current Zacks Rank for Washington Trust is 4 (Sell), suggesting expected underperformance in the near future [7] Future Outlook - The consensus EPS estimate for the upcoming quarter is $0.70, with projected revenues of $55.48 million, and for the current fiscal year, the estimates are $2.44 on $222.19 million in revenues [8] - The industry outlook is favorable, with the Banks - Northeast sector ranking in the top 29% of Zacks industries, which historically outperforms the lower-ranked sectors [9]

Executive Summary & Highlights Q3 2025 net income decreased to $10.8 million, but net interest income and margin expanded, wealth management and mortgage banking revenues grew, and credit exposures were resolved [Third Quarter 2025 Results Overview](index=1&type=section&id=Third%20Quarter%202025%20Results%20Overview) Washington Trust Bancorp, Inc. reported a net income of $10.8 million, or $0.56 per diluted share, for Q3 2025, a decrease from $13.2 million, or $0.68 per diluted share, in Q2 2025. Despite the decline in net income, the company expanded net interest income and margin, grew wealth management and mortgage banking revenues, achieved strong in-market deposit growth, and managed expenses prudently. Significant investments were made in commercial banking and wealth management, and two major credit exposures were resolved Metric | Metric | Q3 2025 | Q2 2025 | Change (QoQ) | | :-------------------------------- | :------ | :------ | :----------- | | Net Income (millions) | $10.8 | $13.2 | -$2.4 | | Diluted EPS | $0.56 | $0.68 | -$0.12 | - **Expanded net interest income and margin**, **grew wealth management and mortgage banking revenues**, **delivered strong in-market deposit growth**, and **prudently managed expenses**[3](index=3&type=chunk) - **Made significant investments** to drive future growth, including hiring a new senior executive for commercial banking and purchasing client accounts of Lighthouse Financial Management, LLC, adding approximately **$195 million** of managed assets[3](index=3&type=chunk) - **Resolved two significant credit exposures** during the quarter, maintaining confidence in portfolio quality[3](index=3&type=chunk) [Selected Financial Highlights](index=1&type=section&id=Selected%20Financial%20Highlights) Key financial indicators for Q3 2025 showed improvements in net interest margin and nonaccrual commercial loans, alongside growth in wealth management and mortgage banking revenues. However, the provision for credit losses significantly increased due to specific charge-offs Metric | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change (QoQ) | Change (YoY) | | :----------------------------------- | :------ | :------ | :------ | :----------- | :----------- | | Net Interest Margin | 2.40% | 2.36% | 1.85% | +4 bps | +55 bps | | Provision for Credit Losses on Loans (millions) | $7.0 | $650K | N/A | +$6.35M | N/A | | Wealth Management Asset-Based Rev. | N/A | N/A | N/A | +6% | N/A | | Assets Under Administration (AUA) (billions) | $7.7 | N/A | N/A | +7% | N/A | | Mortgage Banking Revenues | N/A | N/A | N/A | +15% | +22% | | Total Loans (billions) | $5.1 | $5.1B | N/A | Unchanged | N/A | | In-Market Deposits (billions) | $5.2 | N/A | N/A | +4% | N/A | | Nonaccrual Commercial Loans (millions) | $1.0 | $14.0M | $18.9M | -$13.0M | -$17.9M | Financial Performance Analysis Net interest and noninterest income rose in Q3 2025, noninterest expense fell, but net income decreased due to higher credit loss provisions [Net Interest Income](index=2&type=section&id=Net%20Interest%20Income) Net interest income increased by 4% quarter-over-quarter, reaching $38.8 million, driven by a 4 basis point expansion in net interest margin to 2.40%. This improvement was supported by an increase in average interest-earning assets and a decrease in the cost of interest-bearing liabilities Metric | Metric | Q3 2025 | Q2 2025 | Change (QoQ) | | :-------------------------- | :------ | :------ | :----------- | | Net Interest Income (millions) | $38.8 | $37.2 | +$1.6 (4%) | | Net Interest Margin | 2.40% | 2.36% | +4 bps | - **Average interest-earning assets increased by $96 million**, primarily due to higher average balances of deposits at correspondent banks and commercial loans, with the yield remaining stable at **4.99%**[5](index=5&type=chunk) - **Average interest-bearing liabilities grew by $61 million**, reflecting increased average in-market deposit balances, while the cost of interest-bearing liabilities decreased by **4 basis points to 3.08%**[5](index=5&type=chunk) [Noninterest Income](index=2&type=section&id=Noninterest%20Income) Total noninterest income rose by 3% to $17.6 million in Q3 2025, primarily fueled by strong growth in wealth management asset-based revenues and mortgage banking revenues, despite a seasonal decline in transaction-based wealth management fees Metric | Metric | Q3 2025 | Q2 2025 | Change (QoQ) | | :-------------------------- | :------ | :------ | :----------- | | Total Noninterest Income (millions) | $17.6 | $17.1 | +$0.558 (3%) | | Wealth Management Revenues (millions) | $10.4 | $10.1 | +$0.253 (3%) | | Asset-based revenues (millions) | N/A | N/A | +$0.562 (6%) | | Transaction-based revenues (millions) | N/A | N/A | -$0.309 (82%) | | Assets Under Administration (AUA) (billions) | $7.7 | $7.2 | +$0.501 (7%) | | Mortgage Banking Revenues (millions) | $3.5 | $3.0 | +$0.467 (15%) | | Loans Sold (millions) | $126.5 | $116.8 | +$9.7 (8%) | | Loan Related Derivative Income (millions) | $0.271 | $0.676 | -$0.405 (60%) | - The decline in transaction-based wealth management revenues was largely due to seasonal tax servicing fee income concentrated in the second quarter[4](index=4&type=chunk) [Noninterest Expense](index=2&type=section&id=Noninterest%20Expense) Noninterest expense decreased by 2% in Q3 2025 to $35.7 million, primarily driven by lower performance-based compensation within salaries and employee benefits, and reduced third-party software costs in outsourced services Metric | Metric | Q3 2025 | Q2 2025 | Change (QoQ) | | :-------------------------------- | :------ | :------ | :----------- | | Total Noninterest Expense (millions) | $35.7 | $36.5 | -$0.804 (2%) | | Salaries and Employee Benefits (millions) | $22.7 | $23.0 | -$0.351 (2%) | | Outsourced Services (millions) | $4.1 | $4.4 | -$0.284 (6%) | - **Lower performance-based compensation** contributed to the decrease in salaries and employee benefits[6](index=6&type=chunk) - **Reduced third-party software costs** and volume-related changes led to lower outsourced services expense[6](index=6&type=chunk) [Income Tax](index=2&type=section&id=Income%20Tax) Income tax expense for Q3 2025 was $3.1 million, with an effective tax rate of 22.2%, slightly lower than the previous quarter. The Corporation anticipates a full-year 2025 effective tax rate of approximately 22.5% Metric | Metric | Q3 2025 | Q2 2025 | Change (QoQ) | | :---------------------- | :------ | :------ | :----------- | | Income Tax Expense (millions) | $3.1 | $3.9 | -$0.8 | | Effective Tax Rate | 22.2% | 22.7% | -0.5% | - **Expected full-year 2025 effective tax rate is approximately 22.5%**[7](index=7&type=chunk) Balance Sheet Overview The balance sheet showed stable total loans, a slight decrease in investment securities, and significant improvements in deposits and borrowings, enhancing the funding mix and liquidity [Investment Securities](index=3&type=section&id=Investment%20Securities) The securities portfolio slightly decreased by 1% to $962 million at September 30, 2025, maintaining its proportion of total assets at 14% Metric | Metric | Sep 30, 2025 | Jun 30, 2025 | Change (QoQ) | | :-------------------- | :----------- | :----------- | :----------- | | Securities Portfolio (millions) | $962 | $971 | -$9 (1%) | | % of Total Assets | 14% | 14% | 0% | [Loans](index=3&type=section&id=Loans) Total loans remained relatively stable at $5.1 billion, with a slight decrease of $18 million from the previous quarter. This was primarily due to a decrease in residential real estate loans, partially offset by an increase in consumer loans Metric | Metric | Sep 30, 2025 | Jun 30, 2025 | Change (QoQ) | | :---------------------- | :----------- | :----------- | :----------- | | Total Loans (billions) | $5.1 | $5.14 | -$18M | | Commercial Loans (millions) | N/A | N/A | -$1M | | Residential Real Estate Loans (millions) | N/A | N/A | -$23M (1%) | | Consumer Loans (millions) | N/A | N/A | +$

Core Insights - Washington Trust Bancorp reported a net income of $10.8 million for Q3 2025, a decrease from $13.2 million in Q2 2025, resulting in diluted earnings per share of $0.56 compared to $0.68 in the previous quarter [1][2]. Financial Performance - Net interest income increased to $38.8 million, up by $1.6 million or 4% from Q2 2025, with a net interest margin of 2.40%, an increase of 4 basis points from the previous quarter [3][4]. - Noninterest income rose to $17.6 million, an increase of $558 thousand or 3% from Q2 2025 [3]. - Wealth management revenues amounted to $10.4 million, up by $253 thousand or 3% from the preceding quarter, with asset-based revenues increasing by 6% [4][24]. - Mortgage banking revenues increased by 15% from Q2 2025 and 22% year-over-year, totaling $3.5 million [4][24]. Asset Quality - The provision for credit losses on loans was $7.0 million, significantly higher than $650 thousand in Q2 2025, primarily due to charge-offs of $11.3 million on two commercial loan relationships [4][8]. - Nonaccrual loans decreased to $14.0 million, or 0.27% of total loans, down from $26.1 million or 0.51% in the previous quarter [9][12]. Capital and Dividends - Total shareholders' equity increased to $533.0 million, up by $5.5 million or 1% from Q2 2025, with a book value per share of $27.98 [13][15]. - A quarterly dividend of $0.56 per share was declared, consistent with the previous quarter [14][28]. Balance Sheet Highlights - Total loans amounted to $5.1 billion, down by $18 million from the end of Q2 2025 [6][10]. - Total deposits increased to $5.2 billion, up by $178 million or 4% from the previous quarter [6][7]. - The securities portfolio totaled $962 million, a decrease of $9 million or 1% from Q2 2025 [6]. Conference Call - Washington Trust will host a conference call on October 21, 2025, to discuss Q3 results and future outlook [16].

Core Insights - Washington Trust Bancorp (WASH) is expected to report quarterly earnings of $0.46 per share, reflecting a decline of 28.1% year-over-year, while revenues are forecasted to increase by 13.1% to $54.91 million [1] - There has been no revision in the consensus EPS estimate for the quarter over the past 30 days, indicating stability in analysts' projections [1] Earnings Estimates and Metrics - Analysts predict an 'Efficiency Ratio' of 67.0%, down from 71.1% in the same quarter last year [4] - 'Total noninterest income' is expected to reach $16.57 million, slightly up from $16.27 million a year ago [4] - 'Net Interest Income' is forecasted at $38.36 million, compared to $32.26 million reported in the same quarter last year [4] Market Performance - Shares of Washington Trust have decreased by 6.6% over the past month, contrasting with a 1% increase in the Zacks S&P 500 composite [5] - With a Zacks Rank of 4 (Sell), WASH is anticipated to underperform the overall market in the near future [5]