Pinnacle Financial Partners Conference Call Summary Company Overview - **Company**: Pinnacle Financial Partners (NasdaqGS:PNFP) - **Event**: 2026 Conference Call - **Date**: February 11, 2026 Key Points Merger and Cultural Integration - The merger with Legacy Synovus has been a focal point over the past 6-9 months, with emphasis on maintaining the Pinnacle model and integrating cultures [3][4] - Pinnacle received 50 Greenwich Awards for client satisfaction, ranking number 1 and number 6 in the country, indicating strong client loyalty despite merger uncertainties [4][5] - Team member engagement is high, with Pinnacle at 93% and Legacy Synovus at 89%, reflecting a positive work environment [4] Incentive Structure - The merger will maintain a geographically based model with a company performance-based incentive plan, which is different from individual incentive plans [6][7] - All team members, approximately 8,500, will receive equity annually and be on the same incentive plan, which was rolled out in Q4 2025 [11][12] - The acceleration of incentive plan costs will result in an additional $30 million expense in 2026, impacting cost synergies [12] Loan Growth Outlook - Loan growth is projected at 9%-11% for 2026, primarily driven by bankers already hired, with a strong performance in Q4 2025 showing 10% loan and deposit growth [24][26] - Legacy Pinnacle achieved 12% loan growth, while Legacy Synovus achieved 8%, indicating a solid foundation for future growth [26][27] - The company is confident in maintaining momentum, with expectations for good loan growth in Q1 2026 [28] Deposit Strategy - Deposit growth will be driven by new bankers bringing over relationships, with a focus on balanced growth [36][38] - The company has capabilities to increase deposits but aims to do so at a manageable cost to maintain net interest margin (NIM) [40] Expense Management and Synergies - The company is targeting $250 million in net synergies from the merger, with a focus on team and client treatment before achieving cost efficiencies [43][44] - There are opportunities for further efficiency improvements beyond the immediate merger synergies, particularly in back-office operations [44][46] Banker Retention and Hiring - Banker retention is a key metric, with a voluntary turnover goal of 7%, which is competitive compared to industry standards [48][49] - The merger has not resulted in significant unexpected attrition, and the company continues to attract new talent due to its positive work environment [50][53] Technology and AI Integration - The company is leveraging AI to improve productivity and reduce manual tasks, with a focus on enhancing banker capabilities [62][63] - AI tools have been deployed for fraud detection and client insights, contributing to a reduction in fraud incidents [64][65] Credit Quality and Market Conditions - Credit quality remains stable, with no systemic issues identified, and expectations for a benign credit environment in 2026 [68] - The company is monitoring commercial real estate (CRE) conditions, anticipating potential growth as the market stabilizes [69] Capital Management - The company has a $400 million capital authorization in place, with plans to accrete capital gradually while assessing economic conditions [70][71] - Current CET1 is estimated at about 10%, with a goal to reach a range of 10.25%-10.75% [71] Conclusion Pinnacle Financial Partners is navigating its merger with Legacy Synovus while maintaining a strong focus on cultural integration, client satisfaction, and growth strategies. The company is optimistic about loan growth, efficient expense management, and leveraging technology to enhance operations. The outlook for credit quality remains stable, and capital management strategies are in place to support future growth.

Financial Performance - Q3 2025 adjusted operating return on tangible common equity was 20.1%[26] - Q3 2025 adjusted operating return on assets was 1.30%[26] - Q3 2025 adjusted operating efficiency ratio (FTE) was 48.8%[26] - Net interest margin (FTE) remained stable at 3.83% from Q2 2025 to Q3 2025[44] - Adjusted operating noninterest income increased approximately 10% in Q3 2025 compared to Q2 2025[50] Balance Sheet and Capital - Assets totaled $37.1 billion as of September 30, 2025[17] - Loans totaled $27.4 billion as of September 30, 2025[17] - Deposits totaled $30.7 billion as of September 30, 2025[17] - Non-interest bearing deposits remained at 23% of total deposits[26] - Loan/Deposit ratio was 89.2% at September 30, 2025[26] Strategic Initiatives - Successfully converted core systems of Sandy Spring over weekend of October 11 and concurrently closed 5 branches[30] - Organic expansion in North Carolina planned in 2026, with 10 new branches planned over the next 3 years[30, 68]

Financial Data and Key Metrics Changes - SLR Investment Corp reported net investment income of $0.41 per share for Q1 2025, consistent with the base dividend, representing a return on equity of approximately 9% [8] - The company's net asset value at quarter end was $18.16 per share, down only $0.04 from December 31, 2024 [8][15] - Gross investment income totaled $53.2 million for the three months ended March 31, compared to $55.6 million for the previous quarter [17] - Net expenses totaled $31.1 million for the three months ended March 31, compared to $31.8 million for the prior quarter [18] - The company had a net increase in net assets resulting from operations of $19.9 million for the three months ended March 31, compared to $22.6 million for the previous quarter [19] Business Line Data and Key Metrics Changes - As of March 31, approximately 80% of the portfolio was derived from specialty finance investments, with cash flow loans now representing less than 20% of the comprehensive portfolio [9][10] - SLRC originated $361 million of new investments and received repayments of $391 million in Q1, resulting in a total portfolio of $3.1 billion at quarter end [9] - The yield on the comprehensive portfolio was 12.2%, a 10 basis points increase from the previous quarter [10] - The cash flow sponsor finance portfolio was just under $590 million, representing 19% of the comprehensive portfolio, with a weighted average EBITDA of approximately $90 million [25] - The asset-based lending portfolio totaled $1.1 billion, representing 37% of the comprehensive portfolio, with a weighted average asset level yield of 13.8% [29] Market Data and Key Metrics Changes - The current environment is marked by policy volatility and economic uncertainty, with expectations for elevated inflation and slower global growth [11] - The company has over $800 million of available capital to deploy, positioning it to take advantage of economic conditions [14] - The weighted average risk rating of the portfolio was under two, indicating a strong credit profile [23] Company Strategy and Development Direction - The company emphasizes a multi-strategy investment approach, focusing on both specialty and sponsor finance credit investments to deliver consistent returns and protect capital [20] - The tactical allocation afforded by the multi-strategy approach has safeguarded performance through high interest rates and inflationary environments [13] - The company is focused on domestic service-oriented businesses, primarily in healthcare and financial services, which are less exposed to global economic fluctuations [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating economic uncertainties and capitalizing on volatility from widening credit spreads [6] - The company believes its portfolio is well-positioned to withstand persistent inflationary pressures and high interest rates [13] - Management noted that the decisions made over the past couple of years have strengthened the portfolio and the company [36] Other Important Information - The company issued $50 million of three-year unsecured notes at a fixed interest rate of 6.14% during the first quarter [16] - The company does not have any near-term refinancing obligations, with the next maturity occurring in December 2026 [16] Q&A Session Summary Question: Follow-up on pipeline weighting towards ABL and equipment finance opportunities - The pipeline is approximately 75-80% weighted towards ABL, covering various industries [41] Question: Description of recent attractive cash flow lending opportunities - Recent opportunities involve financing tuck-in acquisitions of seasoned platforms, allowing for short duration and potential re-underwriting [44][46] Question: Contribution from Kingsbridge in the quarter - The contribution included some one-time gains from asset sales but continues to perform well [48] Question: Estimate of tariff exposure in the portfolio - Less than 1% of the portfolio has direct exposure to tariffs, primarily in domestic service-based industries [52][53] Question: Yield increase in equipment finance business - The yield increase is attributed to borrowers extending leases rather than purchasing new equipment, along with some one-time gains [56][57]