COMMERCIAL HOME IMPROVEMENT RECREATION FINTECH FOURTH QUARTER 2025 EARNINGS SUPPLEMENT February 18, 2026 NASDAQ: MFIN A specialty finance company that originates and services loans in various consumer and commercial industries, along with offering loan origination services to fintech strategic partners. Important Information This presentation contains certain forward-looking statements, including statements with regard to the future performance of Medallion Financial Corp. ("MFIN" or the "Company"). Words s ...

Core Insights - Bread Financial is experiencing a resilient middle-America consumer base, with gradual improvement in credit trends and an anticipated inflection toward loan growth as new partner programs scale [4] Credit Metrics - January credit results were described as "good numbers" and aligned with expectations, with a seasonal increase expected in February and metrics projected to move "near 8" [1] - Customers have adjusted their household budgets due to compounded inflation of 30% to 35% post-COVID, leading to a cautious approach in spending [2] - The company expects continued improvement in credit quality and a resumption of spending as inflation moderates and the labor market remains stable [2] Customer Demographics - Bread primarily serves near-prime to prime customers, with new vintages underwritten having an average income of approximately $95,000, while the overall portfolio is just under $80,000 [3] Loan Growth and Partner Programs - Loan growth is expected to inflect as partner programs like Raymour & Flanigan, Cricket Wireless, and Vivint scale, with guidance for low single-digit average loan growth and higher ending loans later in the year [6][7] - The company reported flat year-over-year growth in January, which is viewed as an early sign of an expected inflection to growth [6] Pricing and Margin - Pricing changes implemented since early 2024 are expected to protect net interest margin (NIM), which is projected to remain flat to slightly higher [5][11] - Operational savings are being reinvested into technology and AI initiatives, supporting the goal of positive operating leverage as revenue grows [11] Capital Management - The company plans to issue up to $300 million in preferred stock and is pursuing a merger of its two legacy banks to enhance funding flexibility [5][13] - Bread has reduced its debt from $900 million at the start of last year to $500 million at year-end and has $240 million remaining in share repurchase authorization [14] Product Offerings - Bread Pay and buy now, pay later (BNPL) services are expanding, catering to consumers who prefer to pay over time but may not qualify for traditional credit [9][10] - The existing portfolio is expected to see gradual improvement due to credit strategies and consumer adaptation, with new vintages carrying lower loss rates [9]

Huntington Bancshares Incorporated (NASDAQ:HBAN) is one of the 10 Best Bank Stocks to Buy in 2026. On February 9, JPMorgan analyst Andrew Dietrich raised his target price on Huntington Bancshares by 5.0% to $21 (from $20) and kept his Overweight call on the stock. This TP update comes as JPMorgan updated its models for large-cap banks following the release of the 4th quarter results. The firm thinks bank stocks could outperform the broader market in 2026, citing five reasons: (1) Good economic trends, ( ...

Core Viewpoint - State Bank of India (SBI) reported a strong third-quarter net profit of ₹21,030 crore, exceeding estimates by 18%, driven by higher fee income and lower provisions, leading to bullish price targets from various brokerages, with some reaching as high as ₹1,300 [1][10]. Financial Performance - Net interest income increased by 9% year-on-year and 5% quarter-on-quarter to ₹45,190 crore, aligning with estimates [6][11]. - The net interest margin improved to 2.99%, with domestic margins rising to 3.12%, and the bank anticipates margins above 3% in fiscal 2026 and beyond [6][11]. - The loan book grew by 15.6% year-on-year and 6.1% quarter-on-quarter, while deposits increased by 9% and 2%, respectively [9][11]. Brokerage Ratings and Price Targets - Jefferies maintained a Buy rating with a price target of ₹1,300, up from ₹1,190, citing a 1.5x valuation on adjusted book value for March 2028 and projecting a 12% compound annual growth in core profit over fiscal 2026-28 [2][10]. - Motilal Oswal matched the ₹1,300 target, valuing the bank at 1.4 times fiscal 2028 adjusted book value plus ₹354 for subsidiaries, while raising earnings estimates by 3% and 4.3% for fiscal 2027-28 [3][10]. - Nomura raised its target price to ₹1,235 from ₹1,100, reflecting an improved return on equity outlook [7][11]. - JP Morgan maintained an Overweight rating and increased its price target to ₹1,250, revising fiscal 2026 earnings estimates by 7% [7][8][11]. - BofA Securities adopted a more cautious stance, maintaining a Neutral rating with a new price objective of ₹1,100, citing balanced risk-reward at current valuations [9][11]. Asset Quality and Capital Adequacy - The bank's asset quality showed improvement, with slippages moderating and credit costs remaining low at 29 basis points [3][11]. - The CET-1 capital adequacy ratio stood at 11%, indicating a healthy capital position [2][10].

Core Viewpoint - State Bank of India (SBI) has reported strong Q3FY26 results, surpassing market expectations, which has led analysts to favor the stock as a top investment choice [1] Financial Performance - SBI achieved its highest-ever quarterly profit of ₹21,028 crore, marking a 24.5% year-on-year increase [4] - Net interest income (NII) rose by 9% year-on-year to ₹45,190 crore, with net interest margin (NIM) expanding by 2 basis points to 2.99% [5] - The loan book grew by 15.6% year-on-year and 6.1% quarter-on-quarter, driven by a 7.6% increase in corporate loans and an 11% rise in SME loans [6] Market Reaction - The share price of SBI increased by 6.6% on the National Stock Exchange, reaching an all-time high of ₹1,137 per share during intraday trading [3] - Analysts have raised earnings estimates for SBI, with Emkay Global increasing FY26-28 estimates by 2-4% and Motilal Oswal raising FY27 and FY28 estimates by 3% and 4.3%, respectively [2] Analyst Ratings - A significant majority of analysts, 42 out of 49, have assigned a 'buy' rating to SBI stock, reflecting strong market confidence [3] - Target prices have been adjusted upwards, with Emkay Global setting a target of ₹1,225 and Motilal Oswal at ₹1,300 [2] Asset Quality - SBI's asset quality has shown improvement, with gross non-performing assets (GNPA) and net NPA (NNPA) ratios improving to 1.57% and 0.39%, respectively [12] - The provision coverage ratio (PCR) remains strong at 75.5%, indicating robust risk management [13] Future Outlook - The management anticipates increased lending opportunities due to recent regulatory guidelines from the Reserve Bank of India, which could enhance corporate funding [8] - SBI has raised its credit growth guidance to 13-15% from the previous 12-14%, maintaining an exit NIM guidance of around 3% for FY26 [9][10]

Core Viewpoint - State Bank of India (SBI) is projected to report a 5% year-on-year increase in profit for Q3FY26, reaching ₹17,810 crore, driven by strong loan growth across various segments [1] Group 1: Profit and Financial Performance - SBI's net profit for the same quarter last year was ₹16,891 crore, with results to be announced on 7 February [1] - Analysts expect SBI to achieve industry-leading credit growth of 13-14% year-on-year, supported by retail, agriculture, and small business segments [2] - SBI's total loan growth in the September quarter was nearly 13% year-on-year, amounting to ₹44.19 trillion, with domestic advances rising 12.3% [6] Group 2: Loan Growth and Market Position - The bank's corporate loans made up 33% of its domestic loan book as of 30 September 2025, with corporate loans growing 7% and retail loans increasing by 14% during the last quarter [2][6] - SBI's chairman anticipates a credit growth of 12-14% for FY26, higher than previous projections, aided by measures from the Reserve Bank of India [3] Group 3: Margins and Asset Quality - Analysts expect SBI's net interest margins (NIMs) to remain stable at over 3% in Q4 FY26, supported by low-cost deposits and a diversified loan mix [5] - The gross non-performing asset (NPA) ratio for SBI was reported at 1.73% as of September, indicating stable asset quality [6] - Credit costs are expected to remain low at 40-50 basis points over FY26-28, reflecting disciplined underwriting and steady recoveries [8]

Leadership Changes - Yes Bank has appointed Vinay Muralidhar Tonse as its new managing director and chief executive officer, pending shareholder approval, with a three-year term starting from his joining date [6] - The current MD and CEO, Prashant Kumar, is serving an extended term that will conclude in April this year [6] Financial Performance - Yes Bank reported a 55% increase in standalone net profit for Q3FY26, amounting to Rs 952 crore, compared to Rs 612 crore in the same period last year [3][6] - The bank's interest income for Q3FY26 was Rs 7,543 crore, reflecting a decrease of 3.7% from Rs 7,829 crore in the corresponding period of the previous financial year [3][6] - The net interest income (NII) rose by 11% year-on-year to Rs 2,466 crore, while the net interest margin (NIM) improved to 2.6% from 2.4% in Q3FY25 and 2.5% in Q2FY26 [4][6] Profitability and Asset Quality - Profit after tax (PAT) increased by 45% quarter-on-quarter from Rs 654 crore in Q2FY26 [5][6] - Yes Bank's gross non-performing assets (NPAs) decreased by 10 basis points year-on-year and quarter-on-quarter to 1.5%, while net NPAs fell by 20 basis points year-on-year to 0.3%, remaining flat quarter-on-quarter [5][6] Market Performance - Yes Bank shares have declined by 7% over the past month [5][6]

Core Viewpoint - Northfield Bancorp, Inc. reported a net loss of $27.4 million for Q4 2025, primarily due to a $41.0 million goodwill impairment charge, despite an increase in net interest income driven by lower funding costs and higher yields on loans and securities [2][6][12]. Financial Performance - For the year ended December 31, 2025, net income was $796,000, a significant decrease from $29.9 million in 2024, largely due to the goodwill impairment charge [4][12]. - Net interest income for 2025 increased by $22.9 million, or 20.0%, to $137.4 million, attributed to a decrease in interest expense and an increase in interest income [5][8]. - The net interest margin improved by 45 basis points to 2.55% for 2025, driven by higher yields on loans and mortgage-backed securities [8]. Operational Highlights - Non-interest income for 2025 increased marginally by $128,000 to $17.0 million, primarily due to higher income on bank-owned life insurance and service charges [10]. - Non-interest expense rose by $43.3 million, or 50.1%, to $129.9 million, mainly due to the goodwill impairment charge [11][12]. Asset Quality and Loan Portfolio - Non-performing loans to total loans stood at 0.42% as of December 31, 2025, indicating strong asset quality [6]. - Loans held for investment decreased by $165.5 million to $3.86 billion, with a notable decline in multifamily loans [28][29]. Deposit and Funding - Total deposits, excluding brokered deposits, increased by $100.2 million, or 2.6%, to $3.98 billion, driven by growth in transaction accounts [39]. - Borrowed funds increased to $961.9 million, reflecting a strategic shift away from brokered deposits [42]. Equity and Capital Management - Total stockholders' equity decreased by $14.6 million to $690.1 million, influenced by stock repurchases and dividend payments [44]. - The Company declared a cash dividend of $0.13 per share, payable on February 25, 2026 [3][6].

Financial Data and Key Metrics Changes - First Business Bank reported a nearly 15% increase in pre-tax, pre-provision earnings over 2024, with a return on average tangible common equity exceeding 15% for the year [5][6] - Tangible book value per share grew 14% year-over-year, and earnings per share (EPS) increased by 14% over 2024, surpassing the long-term goal of 10% annual growth [5][6] - The net interest margin (NIM) declined by 15 basis points to 3.53%, primarily due to a non-accrual interest reversal, but remained stable at 3.64% for the full year [16][17] Business Line Data and Key Metrics Changes - The private wealth business generated a record $3.8 million in fee income, up 11% year-over-year, while service charges increased nearly 20% year-over-year [9] - Net interest income grew 10% for the full year, meeting the double-digit growth goal, attributed to robust loan and deposit growth [9][10] - Non-interest income was affected by lower SBA gains and a reclassification of partnership investment income, which was adjusted to reflect net benefits [18][19] Market Data and Key Metrics Changes - Loan balances grew by approximately $39 million, or 5% annualized during the fourth quarter, and $261 million, or 8% year-over-year [11] - Core deposit balances increased by 12% from both the linked and prior year quarters, primarily from interest-bearing and money market accounts [14] - The company expects loan growth to rebound to typical double-digit rates in 2026, driven by strong regional economic conditions in Southern Wisconsin [12][13] Company Strategy and Development Direction - The company aims to achieve double-digit growth by investing in talent, technology, and maintaining prudent underwriting practices [24] - Management emphasized the importance of organic growth over acquisitions, believing it provides better value for shareholders [72][73] - The focus remains on maintaining a strong and stable net interest margin while shifting the loan mix towards higher-yielding commercial and industrial (C&I) relationships [17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future growth, citing strong pipelines in commercial real estate and C&I lending, as well as potential benefits from changes in federal tax policy [13][72] - The company anticipates continued competitive pressure on deposit pricing but believes it can maintain margins due to a balanced interest rate strategy [17][70] - Management acknowledged isolated credit challenges but indicated overall asset quality remains strong, with no significant concerns outside of specific loans [14][33] Other Important Information - The company recorded net charge-offs of $2.5 million, primarily from previously reserved equipment finance loans [14] - The effective tax rate for 2025 was 16.8%, within the expected range, and the company plans to continue evaluating capital management tools to maximize shareholder returns [22] Q&A Session Summary Question: Details on the CRE relationship affecting MPAs - Management provided insights on appraisals and the loan-to-value ratio, indicating a 72% LTV across seven properties [30][31] Question: Expectations for credit costs in the coming year - Management clarified that recent charge-offs were primarily related to equipment finance, with no specific reserves needed for the CRE relationship [32][33] Question: Fee income growth guidance - Management confirmed a 10% growth expectation for overall fees, excluding certain non-recurring items [35][36] Question: Timeline for resolution of larger problem loans - Management indicated that resolution could take time but expects progress throughout the year [48][49] Question: Equipment finance portfolio balance and expectations - The equipment finance portfolio was reported at $20 million, down from $61 million, with expectations for stability moving forward [55][56] Question: Strategic goals and potential adjustments - Management discussed the achievement of strategic goals and the focus on maintaining or improving efficiency ratios [57][58] Question: Outlook for loan growth in 2026 - Management expressed confidence in achieving double-digit loan growth, supported by strong pipelines and improved team performance [80][82]

Financial Data and Key Metrics Changes - The company reported earnings of $29.5 million, or $1.20 per share, with a return on assets (ROA) of almost 3% for the fourth quarter of 2025 [4] - Net interest income increased to approximately $31 million from $26 million in the previous year [18] - The net interest margin improved to 328 basis points from 290 basis points year-over-year [18] Business Line Data and Key Metrics Changes - The company grew checking accounts by over 23% during the year, with a total increase of about $116 million [6][9] - Closed loans in the Primis Mortgage segment increased to approximately $1.2 billion, a 50% increase over 2024 [14] - The average earning assets increased by 13% annualized in the fourth quarter [17] Market Data and Key Metrics Changes - Non-interest-bearing deposits ended the year at $554 million, or 16% of total deposits, up from 14% the previous year [18] - The company anticipates mortgage warehouse balances to average $500 million across 2026, with seasonal peaks expected [28] Company Strategy and Development Direction - The company aims for a 1% ROA goal for 2026, with expectations for further margin expansion [24][38] - The focus remains on growing core deposits and improving the mix of earning assets, with a strategy to leverage existing resources for growth [15][16] - The company is committed to maintaining a community-style banking approach, enhancing customer loyalty and deposit retention [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving growth targets, citing a strong pipeline and operational leverage as key drivers [12][16] - The company noted that the vast majority of operational noise from previous quarters is behind them, with expectations for a smoother first half of 2026 [42] - Management highlighted the importance of new customer acquisition and the positive impact on deposit balances over time [51][53] Other Important Information - The company completed a sale-leaseback transaction that allowed for repositioning and entering 2026 with momentum [24] - The core bank's cost of deposits remains attractive at 159 basis points, down from the previous quarter [20] Q&A Session Summary Question: What are the expectations for warehouse balances in 2026? - Management anticipates mortgage warehouse balances to average $500 million across the year, with seasonal fluctuations [28] Question: How should we think about overall loan growth in 2026? - The core bank is targeting approximately $100 million in loan growth, with a focus on C&I and owner-occupied loans [32] Question: What is the target sustainable ROA for 2026? - The target remains at 1% ROA for the full year, with expectations for improvement in the second half [38]