Firstsun Capital Bancorp(FSUN) - 2025 Q2 - Quarterly Results

Executive Summary & Highlights This section provides an overview of FirstSun Capital Bancorp's strong Q2 2025 financial performance, including key metrics and CEO commentary on strategic drivers Second Quarter 2025 Highlights FirstSun Capital Bancorp reported strong financial results for Q2 2025, with net income increasing to $26.4 million and diluted EPS rising to $0.93. Key performance indicators included a stable net interest margin, significant deposit growth, and an improved noninterest income mix Second Quarter 2025 Highlights | Metric | Q2 2025 | Q2 2024 | | :-------------------------------- | :------ | :------ | | Net Income | $26.4 million | $24.6 million | | Earnings per Diluted Share | $0.93 | $0.88 | | Adjusted Net Income (non-GAAP) | N/A | $25.2 million | | Adjusted Diluted EPS (non-GAAP) | N/A | $0.90 | | Net Interest Margin | 4.07% | N/A | | Return on Average Total Assets | 1.28% | N/A | | Return on Average Stockholders' Equity | 9.74% | N/A | | Deposit Growth (annualized) | 13.2% | N/A | | Loan Growth (annualized) | 1.4% | N/A | | Noninterest Income to Total Revenue | 25.6% | N/A | CEO Commentary Neal Arnold, CEO and President, highlighted the success of FirstSun's relationship-focused business model, diversified business mix, and strategic execution, leading to exceptional deposit growth and stable net interest margin. Despite higher credit costs, the company remains focused on credit administration and responsible business growth in its southwestern and western markets - The company's strong Q2 2025 results are attributed to its relationship-focused business model, diversified business mix, and execution of core strategic initiatives[3] - Performance was highlighted by exceptional deposit growth, a stable net interest margin, and an increase in service fees to revenue mix to 25.6%[3] - Despite higher credit costs in a challenging banking environment, the company continues to focus diligently on credit administration and responsible business growth[3] Financial Performance Overview This section details FirstSun Capital Bancorp's Q2 2025 financial results, covering net income, net interest income, noninterest income, noninterest expense, and effective tax rate Net Income and Earnings Per Share FirstSun Capital Bancorp reported an increase in net income and diluted earnings per share for Q2 2025 compared to both the prior quarter and the same quarter last year, reflecting improved profitability metrics Net Income and Earnings Per Share | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :------------------------- | :------ | :------ | :------ | | Net Income | $26.4 million | $23.6 million | $24.6 million | | Diluted EPS | $0.93 | $0.83 | $0.88 | | Return on Average Total Assets | 1.28% | 1.20% | 1.27% | | Return on Average Stockholders' Equity | 9.74% | 9.03% | 10.08% | Net Interest Income and Net Interest Margin Net interest income increased in Q2 2025 compared to the prior quarter, while the net interest margin remained stable. This was driven by an increase in the yield on earning assets, offset by a rise in the cost of interest-bearing liabilities Net Interest Income and Net Interest Margin | Metric | Q2 2025 | Q1 2025 | Change (QoQ) | | :-------------------- | :------ | :------ | :----------- | | Net Interest Income | $78.5 million | $74.5 million | +$4.0 million | | Net Interest Margin | 4.07% | 4.07% | Unchanged | | Yield on Earning Assets | +4 bps | N/A | +4 bps | | Cost of Interest-Bearing Liabilities | +4 bps | N/A | +4 bps | | Loan Yield | 6.43% | N/A | +7 bps | | Cost of Interest-Bearing Deposits | 2.78% | N/A | +5 bps | - The increase in loan yield was primarily due to higher yields on new originations compared to amortizing and maturing balances[7] - The increase in the cost of interest-bearing deposits was primarily due to an increase in promotional rate money market deposits[7] Noninterest Income Noninterest income saw a significant increase in Q2 2025, primarily driven by higher mortgage banking income and an increase in the fair value of investments related to the deferred compensation plan Noninterest Income | Metric | Q2 2025 | Q1 2025 | Change (QoQ) | | :-------------------------------- | :------ | :------ | :----------- | | Total Noninterest Income | $27.1 million | $21.7 million | +$5.3 million | | Mortgage Banking Income | +$4.2 million | N/A | +$4.2 million | | Other Noninterest Income | +$0.8 million | N/A | +$0.8 million | | Noninterest Income to Total Revenue | 25.6% | 22.6% | +3.0% | - Mortgage banking income increased due to higher MSR capitalization and gain on sales, driven by seasonally higher mortgage loans sold[11] - Other noninterest income increased due to an increase in the fair value of investments related to the deferred compensation plan[12] Noninterest Expense Noninterest expense increased in Q2 2025, mainly due to higher salary and employee benefits, which were influenced by variable compensation and deferred compensation plan investment fair value changes. Despite this, the efficiency ratio improved Noninterest Expense | Metric | Q2 2025 | Q1 2025 | Change (QoQ) | | :-------------------------- | :------ | :------ | :----------- | | Total Noninterest Expense | $68.1 million | $62.7 million | +$5.4 million | | Salary and Employee Benefits | +$4.4 million | N/A | +$4.4 million | | Efficiency Ratio | 64.52% | 65.19% | -0.67% | - The increase in salary and employee benefits was a result of higher levels of variable compensation and an increase in the fair value of investments related to the deferred compensation plan[12] Tax Rate The effective tax rate for Q2 2025 slightly decreased compared to the prior quarter Tax Rate | Metric | Q2 2025 | Q1 2025 | | :--------------- | :------ | :------ | | Effective Tax Rate | 20.0% | 20.6% | Asset Quality and Credit Losses This section analyzes FirstSun Capital Bancorp's asset quality in Q2 2025, focusing on provisions for credit losses, net charge-offs, and nonperforming assets Provision for Credit Losses The provision for credit losses increased in Q2 2025, primarily due to deterioration in specific commercial and industrial (C&I) customer relationships and net portfolio downgrades, partially offset by changes in loan portfolio balances Provision for Credit Losses | Metric | Q2 2025 | Q1 2025 | | :------------------------ | :------ | :------ | | Provision for Credit Losses | $4.5 million | $3.8 million | - The increase was primarily due to deterioration in a couple of commercial and industrial ("C&I") customer relationships and impacts from net portfolio downgrades[8] Net Charge-offs Net charge-offs were significantly elevated in Q2 2025 compared to the prior quarter, mainly due to a specific write-down in the C&I loan portfolio Net Charge-offs | Metric | Q2 2025 | Q1 2025 | | :------------------------------------ | :------ | :------ | | Net Charge-offs | $13.5 million | $0.6 million | | Annualized Ratio of Net Charge-offs to Average Loans | 0.83% | 0.04% | - The elevated net charge-offs were primarily due to a write-down related to a specific customer relationship in the C&I loan portfolio[9] Allowance for Credit Losses & Nonperforming Assets The allowance for credit losses as a percentage of total loans decreased, while the ratio of nonperforming assets to total assets improved in Q2 2025 Allowance for Credit Losses & Nonperforming Assets | Metric | June 30, 2025 | March 31, 2025 | | :------------------------------------ | :------------ | :------------- | | Allowance for Credit Losses to Total Loans | 1.28% | 1.42% | | Nonperforming Assets to Total Assets | 0.80% | 1.02% | Balance Sheet Dynamics This section examines FirstSun Capital Bancorp's balance sheet trends in Q2 2025, including changes in loans, deposits, and capital ratios Loans Total loans experienced modest annualized growth in Q2 2025, driven by increases in residential real estate and commercial and industrial loans, partially offset by a decrease in public finance Loans | Metric | June 30, 2025 | March 31, 2025 | Change (QoQ) | | :------------------------------------ | :------------ | :------------- | :----------- | | Total Loans | $6.5 billion | $6.5 billion | +$23.1 million | | Annualized Loan Growth | 1.4% | N/A | N/A | | Residential Real Estate Increase | +$31.0 million | N/A | N/A | | Commercial and Industrial Increase | +$16.6 million | N/A | N/A | | Public Finance Decrease | -$26.8 million | N/A | N/A | Deposits Deposits showed strong annualized growth in Q2 2025, primarily from savings and money market accounts and noninterest-bearing demand deposits, despite a decrease in certificates of deposits. Noninterest-bearing deposits constituted a significant portion of total deposits Deposits | Metric | June 30, 2025 | March 31, 2025 | Change (QoQ) | | :------------------------------------ | :------------ | :------------- | :----------- | | Total Deposits | $7.1 billion | $6.9 billion | +$225.9 million | | Annualized Deposit Growth | 13.2% | N/A | N/A | | Savings and Money Market Accounts Increase | +$191.7 million | N/A | N/A | | Noninterest-Bearing Demand Deposit Accounts Increase | +$131.9 million | N/A | N/A | | Certificates of Deposits Decrease | -$146.9 million | N/A | N/A | | Noninterest-Bearing Deposits to Total Deposits | 24.0% | N/A | N/A | | Loan-to-Deposit Ratio | 91.6% | N/A | N/A | Capital FirstSun's capital ratios remained strong and above 'well-capitalized' thresholds at the end of Q2 2025, with increases in book value and tangible book value per share Capital | Metric | June 30, 2025 | March 31, 2025 | Change (QoQ) | | :------------------------------------ | :------------ | :------------- | :----------- | | Common Equity Tier 1 Risk-Based Capital Ratio | 13.78% | 13.26% | +0.52% | | Total Risk-Based Capital Ratio | 15.94% | 15.52% | +0.42% | | Tier 1 Leverage Ratio | 12.39% | 12.47% | -0.08% | | Book Value Per Share | $39.35 | $38.49 | +$0.86 | | Tangible Book Value Per Share (non-GAAP) | $35.77 | $34.88 | +$0.89 | Company Information This section provides background information on FirstSun Capital Bancorp, its operations, and the day-count convention used in financial reporting About FirstSun Capital Bancorp FirstSun Capital Bancorp, headquartered in Denver, Colorado, is the financial holding company for Sunflower Bank, N.A., operating as Sunflower Bank and First National 1870. It provides a full range of financial services across seven states with mortgage capabilities in 43 states, reporting total consolidated assets of $8.4 billion as of June 30, 2025 - FirstSun Capital Bancorp is headquartered in Denver, Colorado, and is the financial holding company for Sunflower Bank, N.A[22] - Sunflower Bank operates as Sunflower Bank and First National 1870, offering relationship-focused personal, business, and wealth management financial objectives[22] - The bank has depository branches in seven states and mortgage capabilities in 43 states[22] Total Consolidated Assets | Metric | June 30, 2025 | | :----------- | :------------ | | Total Consolidated Assets | $8.4 billion | Day-Count Convention Annualized ratios in the report are presented using the Actual/Actual day-count convention, with prior period ratios recalculated for consistency - Annualized ratios are presented utilizing the Actual/Actual day-count convention[23] - Prior period annualized ratios have been recalculated to conform to the current presentation[23] Non-GAAP Financial Measures This section explains FirstSun Capital Bancorp's use of non-GAAP financial measures and provides reconciliations to their most comparable GAAP equivalents Non-GAAP Financial Measures Explanation FirstSun management uses non-GAAP financial measures to analyze performance, enhance comparability, and demonstrate the effects of significant items. These measures are not substitutes for GAAP but are considered useful for investors, with reconciliations provided in the report - FirstSun management uses non-GAAP financial measures to analyze performance, efficiency, understand ongoing operations, enhance comparability, and demonstrate effects of significant items[20] - These non-GAAP measures should not be viewed as a substitute for GAAP financial measures and may not be comparable to those presented by other companies[20] - Reconciliations of each non-GAAP financial measure to the most comparable GAAP equivalent are provided in tables starting on page 16[21] - Tangible stockholders' equity to tangible assets - Tangible book value per share - Adjusted net income - Adjusted diluted earnings per share - Adjusted return on average total assets - Adjusted return on average stockholders' equity - Return on average tangible stockholders' equity - Adjusted return on average tangible stockholders' equity - Adjusted total noninterest expense - Adjusted efficiency ratio - Fully tax equivalent ("FTE") net interest income and net interest margin Financial Tables - Summary Data This section presents summarized quarterly and year-to-date financial data, offering a concise overview of key performance indicators and balance sheet items Quarterly Summary Data This section provides a summary of key financial metrics for the past five quarters, highlighting trends in net income, EPS, profitability ratios, and balance sheet items Quarterly Summary Data ($ in thousands, except per share amounts) | Metric | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :------------------------------------ | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Net interest income | $78,499 | $74,478 | $77,047 | $76,158 | $72,899 | | Provision for credit losses | $4,500 | $3,800 | $4,850 | $5,000 | $1,200 | | Noninterest income | $27,073 | $21,729 | $21,635 | $22,075 | $23,274 | | Noninterest expense | $68,110 | $62,722 | $73,673 | $64,664 | $63,875 | | Net income | $26,386 | $23,569 | $16,350 | $22,422 | $24,560 | | Diluted earnings per share | $0.93 | $0.83 | $0.58 | $0.79 | $0.88 | | Return on average total assets | 1.28 % | 1.20 % | 0.81 % | 1.12 % | 1.27 % | | Net interest margin | 4.07 % | 4.07 % | 4.09 % | 4.08 % | 4.04 % | | Efficiency ratio | 64.52 % | 65.19 % | 74.66 % | 65.83 % | 66.42 % | | Total assets | $8,435,861 | $8,216,458 | $8,097,387 | $8,138,487 | $7,999,295 | | Total deposits | $7,100,164 | $6,874,239 | $6,672,260 | $6,649,880 | $6,619,525 | | Total stockholders' equity | $1,095,402 | $1,068,295 | $1,041,366 | $1,034,085 | $996,599 | | Book value per share | $39.35 | $38.49 | $37.58 | $37.38 | $36.31 | Year-to-Date Summary Data This section presents a comparative summary of key financial metrics for the six months ended June 30, 2025, versus the same period in 2024, showing improvements in net income, EPS, and profitability Year-to-Date Summary Data ($ in thousands, except per share amounts) | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------ | :----------------------------- | :----------------------------- | | Net interest income | $152,977 | $143,705 | | Provision for credit losses | $8,300 | $17,700 | | Noninterest income | $48,802 | $46,082 | | Noninterest expense | $130,832 | $125,703 | | Net income | $49,955 | $36,856 | | Diluted earnings per share | $1.77 | $1.32 | | Return on average total assets | 1.24 % | 0.96 % | | Net interest margin | 4.07 % | 4.03 % | | Efficiency ratio | 64.84 % | 66.23 % | | Total assets | $8,435,861 | $7,999,295 | | Total deposits | $7,100,164 | $6,619,525 | | Total stockholders' equity | $1,095,402 | $996,599 | | Book value per share | $39.35 | $36.31 | Financial Tables - Consolidated Statements of Income This section provides detailed consolidated statements of income, showing quarterly and year-to-date trends in revenue and expense components Quarterly and Year-to-Date Income Statements This table provides a detailed breakdown of the consolidated statements of income for the three and six months ended June 30, 2025, and 2024, showing year-over-year changes in interest income, interest expense, noninterest income, and expenses Quarterly and Year-to-Date Income Statements ($ in thousands, except per share amounts) | ($ in thousands, except per share amounts) | For the three months ended June 30, 2025 | For the three months ended June 30, 2024 | For the six months ended June 30, 2025 | For the six months ended June 30, 2024 | | :----------------------------------------- | :--------------------------------------- | :--------------------------------------- | :------------------------------------- | :------------------------------------- | | Total interest income | $116,921 | $114,529 | $227,368 | $224,569 | | Total interest expense | $38,422 | $41,630 | $74,391 | $80,864 | | Net interest income | $78,499 | $72,899 | $152,977 | $143,705 | | Provision for credit losses | $4,500 | $1,200 | $8,300 | $17,700 | | Total noninterest income | $27,073 | $23,274 | $48,802 | $46,082 | | Total noninterest expense | $68,110 | $63,875 | $130,832 | $125,703 | | Net income | $26,386 | $24,560 | $49,955 | $36,856 | | Diluted earnings per share | $0.93 | $0.88 | $1.77 | $1.32 | Quarterly Income Statement Trend This table provides a quarterly trend of the consolidated statements of income over the past five quarters, illustrating the progression of key revenue and expense components Quarterly Income Statement Trend ($ in thousands, except per share amounts) | ($ in thousands, except per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :----------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Total interest income | $116,921 | $110,447 | $116,039 | $118,932 | $114,529 | | Total interest expense | $38,422 | $35,969 | $38,992 | $42,774 | $41,630 | | Net interest income | $78,499 | $74,478 | $77,047 | $76,158 | $72,899 | | Provision for credit losses | $4,500 | $3,800 | $4,850 | $5,000 | $1,200 | | Total noninterest income | $27,073 | $21,729 | $21,635 | $22,075 | $23,274 | | Total noninterest expense | $68,110 | $62,722 | $73,673 | $64,664 | $63,875 | | Net income | $26,386 | $23,569 | $16,350 | $22,422 | $24,560 | | Diluted earnings per share | $0.93 | $0.83 | $0.58 | $0.79 | $0.88 | Financial Tables - Consolidated Balance Sheets This section presents consolidated balance sheets over five quarters, detailing trends in assets, liabilities, and stockholders' equity Balance Sheet Trend This table presents the consolidated balance sheets for the past five quarters, showing trends in assets, liabilities, and stockholders' equity, including detailed breakdowns of loans and deposits Balance Sheet Trend ($ in thousands) | ($ in thousands) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :------------------------------------ | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Cash and cash equivalents | $785,115 | $621,377 | $615,917 | $573,674 | $535,766 | | Loans, net | $6,424,073 | $6,392,218 | $6,288,136 | $6,360,597 | $6,258,202 | | Total assets | $8,435,861 | $8,216,458 | $8,097,387 | $8,138,487 | $7,999,295 | | Noninterest-bearing accounts (deposits) | $1,706,678 | $1,574,736 | $1,541,158 | $1,554,762 | $1,562,308 | | Total deposits | $7,100,164 | $6,874,239 | $6,672,260 | $6,649,880 | $6,619,525 | | Total liabilities | $7,340,459 | $7,148,163 | $7,056,021 | $7,104,402 | $7,002,696 | | Total stockholders' equity | $1,095,402 | $1,068,295 | $1,041,366 | $1,034,085 | $996,599 | Financial Tables - Capital Ratios This section outlines the company's consolidated capital ratios over five quarters, demonstrating its regulatory capital position Consolidated Capital Ratios Trend This table provides a quarterly trend of consolidated capital ratios, demonstrating the company's strong capital position relative to regulatory thresholds Consolidated Capital Ratios Trend | Metric | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :-------------------------------------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Stockholders' equity to total assets | 12.99 % | 13.00 % | 12.86 % | 12.71 % | 12.46 % | | Tangible stockholders' equity to tangible assets | 11.94 % | 11.93 % | 11.76 % | 11.59 % | 11.32 % | | Tier 1 leverage ratio | 12.39 % | 12.47 % | 12.11 % | 11.96 % | 11.83 % | | Common equity tier 1 risk-based capital ratio | 13.78 % | 13.26 % | 13.18 % | 13.06 % | 12.80 % | | Total risk-based capital ratio | 15.94 % | 15.52 % | 15.42 % | 15.25 % | 14.95 % | Financial Tables - Net Interest Margin Analysis This section offers a detailed analysis of net interest margin, including average balances and yields for interest-earning assets and liabilities Net Interest Margin Summary (QoQ and YTD) This table provides a summary of net interest margin, average balances, and yields/rates for interest-earning assets and interest-bearing liabilities for the three and six months ended June 30, 2025, and 2024 Net Interest Margin Summary (QoQ and YTD) (In thousands) | (In thousands) | June 30, 2025 (3 months) Avg Balance | June 30, 2025 (3 months) Avg Yield/Rate | June 30, 2024 (3 months) Avg Balance | June 30, 2024 (3 months) Avg Yield/Rate | June 30, 2025 (6 months) Avg Balance | June 30, 2025 (6 months) Avg Yield/Rate | June 30, 2024 (6 months) Avg Balance | June 30, 2024 (6 months) Avg Yield/Rate | | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | :------------------------------------ | | Total earning assets | $7,727,556 | 6.07 % | $7,256,763 | 6.35 % | $7,576,307 | 6.05 % | $7,178,543 | 6.29 % | | Total interest-bearing liabilities | $5,445,488 | 2.83 % | $5,173,959 | 3.24 % | $5,336,292 | 2.81 % | $5,115,352 | 3.18 % | | Net interest spread | N/A | 3.24 % | N/A | 3.11 % | N/A | 3.24 % | N/A | 3.11 % | | Net interest margin | N/A | 4.07 % | N/A | 4.04 % | N/A | 4.07 % | N/A | 4.03 % | Net Interest Margin Trend (QoQ) This table details the quarterly trend of net interest margin, average balances, and yields/rates for interest-earning assets and interest-bearing liabilities over the past five quarters Net Interest Margin Trend (QoQ) (In thousands) | (In thousands) | June 30, 2025 Avg Balance | June 30, 2025 Avg Yield/Rate | March 31, 2025 Avg Balance | March 31, 2025 Avg Yield/Rate | December 31, 2024 Avg Balance | December 31, 2024 Avg Yield/Rate | September 30, 2024 Avg Balance | September 30, 2024 Avg Yield/Rate | June 30, 2024 Avg Balance | June 30, 2024 Avg Yield/Rate | | :------------------------------------ | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | | Total earning assets | $7,727,556 | 6.07 % | $7,423,376 | 6.03 % | $7,492,248 | 6.16 % | $7,430,357 | 6.37 % | $7,256,763 | 6.35 % | | Total interest-bearing liabilities | $5,445,488 | 2.83 % | $5,225,883 | 2.79 % | $5,254,597 | 2.95 % | $5,234,940 | 3.25 % | $5,173,959 | 3.24 % | | Net interest spread | N/A | 3.24 % | N/A | 3.24 % | N/A | 3.21 % | N/A | 3.12 % | N/A | 3.11 % | | Net interest margin | N/A | 4.07 % | N/A | 4.07 % | N/A | 4.09 % | N/A | 4.08 % | N/A | 4.04 % | Financial Tables - Deposits and Loan Portfolio This section provides detailed breakdowns of deposits by type and the loan portfolio by category, illustrating asset and liability composition Deposits by Type This table provides a quarterly breakdown of deposits by consumer, business, and wholesale categories, showing trends in noninterest-bearing and various interest-bearing accounts Deposits by Type ($ in thousands) | ($ in thousands) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :------------------------------------ | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Total consumer deposits | $3,603,783 | $3,503,150 | $3,385,487 | $3,372,454 | $3,474,586 | | Total business deposits | $3,061,485 | $2,926,208 | $2,842,033 | $2,787,532 | $2,703,061 | | Wholesale deposits | $434,896 | $444,881 | $444,740 | $489,894 | $441,878 | | Total deposits | $7,100,164 | $6,874,239 | $6,672,260 | $6,649,880 | $6,619,525 | Balance Sheet Ratios This table presents key balance sheet ratios over the past five quarters, including cash to total assets, loan to deposit ratio, and uninsured deposit metrics Balance Sheet Ratios | Metric | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :------------------------------------ | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Cash to total assets | 9.20 % | 7.50 % | 7.50 % | 6.90 % | 6.60 % | | Loan to deposit ratio | 91.6 % | 94.3 % | 95.6 % | 96.9 % | 95.7 % | | Uninsured deposits to total deposits | 37.0 % | 35.2 % | 34.8 % | 32.7 % | 32.1 % | | Uninsured and uncollateralized deposits to total deposits | 28.3 % | 26.4 % | 25.2 % | 26.8 % | 25.5 % | | Wholesale deposits and borrowings to total liabilities | 5.9 % | 6.7 % | 8.2 % | 9.9 % | 8.4 % | Loan Portfolio by Type This table provides a quarterly breakdown of the loan portfolio by various categories, including commercial and industrial, commercial real estate, residential real estate, and public finance Loan Portfolio by Type ($ in thousands) | ($ in thousands) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :------------------------------------ | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Commercial and industrial | $2,651,646 | $2,635,028 | $2,497,772 | $2,527,636 | $2,431,110 | | Total commercial real estate | $1,886,358 | $1,884,381 | $1,912,666 | $1,950,577 | $1,972,608 | | Residential real estate | $1,226,760 | $1,195,714 | $1,180,610 | $1,172,459 | $1,146,989 | | Public Finance | $524,441 | $551,252 | $554,784 | $536,776 | $537,872 | | Total loans, net of deferred costs, fees, premiums, and discounts | $6,507,066 | $6,484,008 | $6,376,357 | $6,443,756 | $6,337,162 | Financial Tables - Asset Quality This section presents comprehensive asset quality metrics, including net charge-offs, allowance for credit losses, and nonperforming assets Asset Quality Metrics This table provides a comprehensive overview of asset quality metrics for the past five quarters and year-to-date, including net charge-offs, allowance for credit losses, and nonperforming assets Asset Quality Metrics ($ in thousands) | ($ in thousands) | June 30, 2025 (3 months) | March 31, 2025 (3 months) | December 31, 2024 (3 months) | September 30, 2024 (3 months) | June 30, 2024 (3 months) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :-------------------------------------------------------------------------------- | :----------------------- | :------------------------ | :--------------------------- | :--------------------------- | :----------------------- | :----------------------- | :----------------------- | | Net charge-offs (recoveries) | $13,547 | $631 | $(462) | $1,401 | $2,009 | $14,178 | $19,438 | | Allowance for credit losses | $82,993 | $91,790 | $88,221 | $83,159 | $78,960 | $82,993 | $78,960 | | Nonperforming loans | $54,841 | $78,590 | $69,050 | $65,824 | $62,558 | $54,841 | $62,558 | | Nonperforming assets | $67,893 | $83,504 | $74,188 | $70,302 | $67,055 | $67,893 | $67,055 | | Ratio of net charge-offs (recoveries) to average loans outstanding | 0.83 % | 0.04 % | (0.03)% | 0.09 % | 0.13 % | 0.44 % | 0.62 % | | Allowance for credit losses to total loans outstanding | 1.28 % | 1.42 % | 1.38 % | 1.29 % | 1.25 % | 1.28 % | 1.25 % | | Nonperforming loans to total loans | 0.84 % | 1.21 % | 1.08 % | 1.02 % | 0.99 % | 0.84 % | 0.99 % | | Nonperforming assets to total assets | 0.80 % | 1.02 % | 0.92 % | 0.86 % | 0.84 % | 0.80 % | 0.84 % | Non-GAAP Financial Measures and Reconciliations This section provides detailed reconciliations of various non-GAAP financial measures to their GAAP equivalents, enhancing transparency Tangible Stockholders' Equity to Tangible Assets This section provides the reconciliation of GAAP stockholders' equity and total assets to their tangible (non-GAAP) equivalents, and the resulting tangible stockholders' equity to tangible assets ratio, including adjustments for net unrealized losses on HTM securities Tangible Stockholders' Equity to Tangible Assets ($ in thousands) | ($ in thousands) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :-------------------------------------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Total stockholders' equity (GAAP) | $1,095,402 | $1,068,295 | $1,041,366 | $1,034,085 | $996,599 | | Less: Goodwill and other intangible assets | $(99,711) | $(100,289) | $(100,917) | $(102,349) | $(102,000) | | Tangible stockholders' equity (non-GAAP) | $995,691 | $968,006 | $940,449 | $931,736 | $893,599 | | Total assets (GAAP) | $8,435,861 | $8,216,458 | $8,097,387 | $8,138,487 | $7,999,295 | | Less: Goodwill and other intangible assets | $(99,711) | $(100,289) | $(100,917) | $(102,349) | $(102,000) | | Tangible assets (non-GAAP) | $8,336,150 | $8,116,169 | $7,996,470 | $8,036,138 | $7,896,295 | | Tangible stockholders' equity to tangible assets (non-GAAP) | 11.94 % | 11.93 % | 11.76 % | 11.59 % | 11.32 % | | Tangible stockholders' equity to tangible assets reflecting net unrealized losses on HTM securities, net of tax (non-GAAP) | 11.90 % | 11.89 % | 11.71 % | 11.56 % | 11.27 % | Tangible Book Value Per Share This section reconciles GAAP book value per share to tangible book value per share (non-GAAP), adjusting for goodwill and other intangible assets Tangible Book Value Per Share ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Total stockholders' equity (GAAP) | $1,095,402 | $1,068,295 | $1,041,366 | $1,034,085 | $996,599 | | Tangible stockholders' equity (non-GAAP) | $995,691 | $968,006 | $940,449 | $931,736 | $893,599 | | Total shares outstanding | 27,834,525 | 27,753,918 | 27,709,679 | 27,665,918 | 27,443,246 | | Book value per share (GAAP) | $39.35 | $38.49 | $37.58 | $37.38 | $36.31 | | Tangible book value per share (non-GAAP) | $35.77 | $34.88 | $33.94 | $33.68 | $32.56 | Adjusted Net Income and EPS This section reconciles GAAP net income and diluted EPS to adjusted (non-GAAP) figures by adding back non-recurring adjustments such as terminated merger-related expenses, tradename write-offs, and ATM disposal costs, net of tax Adjusted Net Income and EPS ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Net income (GAAP) | $26,386 | $23,569 | $16,350 | $22,422 | $24,560 | | Total adjustments, net of tax | — | — | $7,966 | $1,233 | $621 | | Adjusted net income (non-GAAP) | $26,386 | $23,569 | $24,316 | $23,655 | $25,181 | | Diluted earnings per share (GAAP) | $0.93 | $0.83 | $0.58 | $0.79 | $0.88 | | Add: Impact of non-recurring adjustments | — | — | $0.28 | $0.05 | $0.02 | | Adjusted diluted earnings per share (non-GAAP) | $0.93 | $0.83 | $0.86 | $0.84 | $0.90 | Adjusted Return on Average Total Assets This section reconciles GAAP return on average total assets (ROAA) to adjusted (non-GAAP) ROAA by incorporating the impact of non-recurring adjustments, net of tax Adjusted Return on Average Total Assets ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Return on average total assets (ROAA) (GAAP) | 1.28 % | 1.20 % | 0.81 % | 1.12 % | 1.27 % | | Add: Impact of non-recurring adjustments | — % | — % | 0.39 % | 0.06 % | 0.03 % | | Adjusted ROAA (non-GAAP) | 1.28 % | 1.20 % | 1.20 % | 1.18 % | 1.30 % | Adjusted Return on Average Stockholders' Equity This section reconciles GAAP return on average stockholders' equity (ROACE) to adjusted (non-GAAP) ROACE by accounting for non-recurring adjustments, net of tax Adjusted Return on Average Stockholders' Equity ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Return on average stockholders' equity (ROACE) (GAAP) | 9.74 % | 9.03 % | 6.22 % | 8.74 % | 10.08 % | | Add: Impact of non-recurring adjustments | — % | — % | 3.02 % | 0.48 % | 0.26 % | | Adjusted ROACE (non-GAAP) | 9.74 % | 9.03 % | 9.24 % | 9.22 % | 10.34 % | Return on Average Tangible Stockholders' Equity This section reconciles GAAP return on average stockholders' equity (ROACE) to return on average tangible stockholders' equity (ROATCE) (non-GAAP) by adjusting for goodwill and other intangible assets, and further to adjusted ROATCE by including non-recurring adjustments Return on Average Tangible Stockholders' Equity ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Return on average stockholders' equity (ROACE) (GAAP) | 9.74 % | 9.03 % | 6.22 % | 8.74 % | 10.08 % | | Add: Impact from goodwill and other intangible assets | 1.17 % | 1.15 % | 1.14 % | 1.20 % | 1.43 % | | Return on average tangible stockholders' equity (ROATCE) (non-GAAP) | 10.91 % | 10.18 % | 7.36 % | 9.94 % | 11.51 % | | Add: Impact of non-recurring adjustments | — % | — % | 3.36 % | 0.54 % | 0.28 % | | Adjusted ROATCE (non-GAAP) | 10.91 % | 10.18 % | 10.72 % | 10.48 % | 11.79 % | Adjusted Total Noninterest Expense This section reconciles GAAP total noninterest expense to adjusted (non-GAAP) total noninterest expense by subtracting non-recurring adjustments such as terminated merger-related expenses, tradename write-offs, and ATM disposal costs Adjusted Total Noninterest Expense ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Total noninterest expense (GAAP) | $68,110 | $62,722 | $73,673 | $64,664 | $63,875 | | Less: Non-recurring adjustments | — | — | $(10,880) | $(1,633) | $(1,046) | | Adjusted total noninterest expense (non-GAAP) | $68,110 | $62,722 | $62,793 | $63,031 | $62,829 | Adjusted Efficiency Ratio This section reconciles the GAAP efficiency ratio to the adjusted (non-GAAP) efficiency ratio by removing the impact of non-recurring adjustments Adjusted Efficiency Ratio ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Efficiency ratio (GAAP) | 64.52 % | 65.19 % | 74.66 % | 65.83 % | 66.42 % | | Less: Impact of non-recurring adjustments | — % | — % | (11.03)% | (1.67)% | (1.09)% | | Adjusted efficiency ratio (non-GAAP) | 64.52 % | 65.19 % | 63.63 % | 64.16 % | 65.33 % | Fully Tax Equivalent Net Interest Income and Margin This section reconciles GAAP net interest income to fully tax equivalent (FTE) net interest income and presents the FTE net interest margin, adjusting for the tax-exempt income effect Fully Tax Equivalent Net Interest Income and Margin ($ in thousands, except share and per share amounts) | ($ in thousands, except share and per share amounts) | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | | :--------------------------------------------------- | :------------ | :------------- | :---------------- | :----------------- | :------------ | | Net interest income (GAAP) | $78,499 | $74,478 | $77,047 | $76,158 | $72,899 | | Gross income effect of tax exempt income | $1,204 | $1,192 | $1,161 | $1,132 | $1,156 | | FTE net interest income (non-GAAP) | $79,703 | $75,670 | $78,208 | $77,290 | $74,055 | | Net interest margin | 4.07 % | 4.07 % | 4.09 % | 4.08 % | 4.04 % | | Net interest margin on FTE basis (non-GAAP) | 4.13 % | 4.13 % | 4.15 % | 4.13 % | 4.10 % | Contacts This section lists essential contact information for investor relations and media inquiries Investor and Media Contacts This section provides contact information for investor relations and media inquiries for FirstSun Capital Bancorp and Sunflower Bank - Investor Contact: Ed Jacques, Director of Investor Relations & Business Development, FirstSun (Investor.Relations@firstsuncb.com) - Media Contact: Jeanne Lipson, Director of Marketing, Sunflower Bank (Jeanne.Lipson@SunflowerBank.com)