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8-K

First Financial Bancorp /Oh/ (FFBC)

8-K 2022-10-20 For: 2022-10-20
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Added on April 07, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 20, 2022

FIRST FINANCIAL BANCORP.

(Exact name of registrant as specified in its charter)

Ohio 001-34762 31-1042001
(State or other jurisdiction of<br>incorporation or organization) (Commission File Number) (I.R.S. employer<br>identification number)
255 East Fifth Street, Suite 800 Cincinnati, Ohio 45202
(Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code: (877) 322-9530

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading symbol Name of exchange on which registered
Common stock, No par value FFBC The NASDAQ Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company     ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.     ☐

Item 2.02    Results of Operations and Financial Condition.

On October 20, 2022, First Financial Bancorp. (the "Company") issued its earnings press release that included its results of operations and financial condition for the first nine months and third quarter of 2022. A copy of the earnings press release is attached as Exhibit 99.1.

The Company also provided electronic presentation slides that will be used in connection with the earnings conference call. A copy of the electronic presentation slides is included in this Report as Exhibit 99.2 and will be available on the Company's website, www.bankatfirst.com.

The information set forth in this Current Report on Form 8-K (including the information in Exhibits 99.1 and 99.2 attached hereto) is being furnished to the Securities and Exchange Commission and is not deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act")    , or otherwise subject to the liabilities under the Exchange Act. Such information shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01    Financial Statements and Exhibits.

(d)    Exhibits:

The following exhibits shall not be deemed to be "filed" for purposes of the Exchange Act:

Exhibit No.    Description

99.1 First Financial Bancorp. Press Release dated October 20, 2022

99.2 First Financial Bancorp. presentation materials

104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

FIRST FINANCIAL BANCORP.

By: /s/ James M. Anderson
James M. Anderson
Executive Vice President and Chief Financial Officer
Date: October 20, 2022

Document

Exhibit 99.1

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First Financial Bancorp Announces Third Quarter 2022 Financial Results

•Earnings per diluted share of $0.59; $0.61 on an adjusted(1) basis

•Return on average assets of 1.35%; 1.40% on an adjusted(1) basis

•Net interest margin on FTE basis(1) of 3.98%; 53 bp increase from linked quarter

•Loan growth of $377.0 million; 15.9% on an annualized basis

•Strong credit quality with declines in net charge-offs, classified and nonperforming assets from the linked quarter

Cincinnati, Ohio - October 20, 2022. First Financial Bancorp. (Nasdaq: FFBC) (“First Financial” or the “Company”) announced financial results for the three and nine months ended September 30, 2022.

For the three months ended September 30, 2022, the Company reported net income of $55.7 million, or $0.59 per diluted common share. These results compare to net income of $51.5 million, or $0.55 per diluted common share, for the second quarter of 2022. For the nine months ended September 30, 2022, First Financial had earnings per diluted share of $1.57 compared to $1.64 for the same period in 2021.

Return on average assets for the third quarter of 2022 was 1.35% while return on average tangible common equity was 22.29%(1). These compare to return on average assets of 1.28% and return on average tangible common equity of 20.68%(1) in the second quarter of 2022.

Third quarter 2022 highlights include:

•Strong loan growth when compared to linked quarter(2)

◦Loan balances increased $377.0 million compared to the second quarter

◦Growth of 15.9% on an annualized basis

◦Broad based portfolio growth

•Net interest margin of 3.93%, or 3.98% on a fully tax-equivalent basis(1), exceeded expectations

◦53 bp increase to 3.98% from 3.45% in the second quarter due to higher asset yields resulting from higher interest rates

◦89 bp increase in loan yields offset 11 basis point increase in cost of deposits

•Noninterest income of $42.5 million, or $43.4 million as adjusted(1)

◦Foreign exchange income of $11.8 million exceeded expectations; 12.8% decline from record second quarter

◦Leasing business income of $7.1 million; consistent with second quarter

◦Wealth management fees remained strong at $5.5 million

◦Mortgage banking revenue decreased $1.5 million; 28.8% decrease from the linked quarter

◦Other noninterest income decreased $1.4 million in current quarter due to elevated income from investments in limited partnerships in second quarter

◦Adjusted(1) for $0.9 million loss on investment securities

________________________________________________________________________________________

(1) Non-GAAP measure. For details on the calculation of these non-GAAP financial measures and a reconciliation to the GAAP financial measure, see the sections titled “Use of Non-GAAP Financial Measures” in this release and “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.

(2) The consolidated balance sheets at September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021 include assets acquired and liabilities assumed in the Summit Financial transaction. The fair value measurements of assets acquired and liabilities assumed are subject to refinement for up to one year after the closing date of the acquisition as additional information relative to closing date fair values becomes available.

•Noninterest expenses of $125.1 million, or $106.1 million as adjusted(1)

◦Adjustments(1) include $17.2 million tax credit investment writedown and $1.4 million of severance costs

◦Increase driven by elevated incentive costs tied to Company performance and higher leasing business expenses during the period

◦Efficiency ratio of 69.3%; 58.5% as adjusted(1)

•Total Allowance for Credit Losses of $141.1 million; Total quarterly provision expense of $8.3 million

◦Loans and leases - ACL of $124.1 million, 1.27% of total loans

◦Unfunded Commitments - ACL of $17.0 million

◦Provision expense driven by loan growth and slower prepayment speeds

◦Net charge-offs declined slightly to 7 bps of average loans and leases

•Regulatory capital ratios remain in excess of internal targets

◦Total capital ratio of 13.73%

◦Tier 1 common equity decreased 9 bps to 10.82%

◦Tangible common equity of 5.79%(1); 8.07%(1) excluding impact from AOCI

◦Tangible book value per share of $9.48(1)

Archie Brown, President and CEO, commented on the quarter, “We are very excited about our third quarter performance. Adjusted earnings per share increased approximately 9% from the second quarter due to record revenue, which was driven by an 18% increase in net interest income. Recent rate increases continued to positively impact our asset sensitive balance sheet as our net interest margin accelerated by 53 basis points.”

Mr. Brown continued, “Credit trends remained stable across the portfolio with slight reductions in non-performing loan and net charge off ratios. Even with these improvements, our loan loss reserve grew modestly to account for loan growth and the intermediate economic outlook.”

Mr. Brown commented on loan growth, “We were very pleased with loan growth in the third quarter. Loan balances increased by $377 million or 15.9% on an annualized basis, which was driven by increases in C&I, Consumer and Residential Mortgage. Given our expectations for the economy in the near-term and moderating loan pipelines, we expect loan growth to ease in the coming months.”

Mr. Brown continued, “Non-interest income was once again negatively impacted by rising rates and changes made to our overdraft program. We also experienced an expected decline in foreign exchange income from a record second quarter and mortgage activity suffered from softening demand. While we expect headwinds in the fourth quarter, we anticipate that fee income will increase modestly to close the year.”

Mr. Brown concluded, "Our third quarter performance was strong and we are optimistic we can sustain this momentum over the remainder of 2022 and into the new year. Our balance sheet is well positioned for rising rates. In addition, with a loan to deposit ratio under 80%, strong liquidity and positive credit trends, we believe we are well situated to manage a potential economic downturn.”

Full detail of the Company’s third quarter 2022 performance is provided in the accompanying financial statements and slide presentation.

Teleconference / Webcast Information

First Financial’s executive management will host a conference call to discuss the Company’s financial and operating results on Friday, October 21, 2022 at 8:30 a.m. Eastern Time. Members of the public who would like to listen to the conference call should dial (844) 200-6205 (U.S. toll free), (646) 904-5544 (U.S. local) or +1 (929) 526-1599 (International), access code 202818. The number should be dialed five to ten minutes prior to the start of the conference call. A replay of the conference call will be available beginning one hour after the completion of the live call at (866) 813-9403 (U.S. toll free), (929) 458-6194 (U.S. local) and +44 204 525-0658 (all other locations), access code 986167. The recording will be available until November 4, 2022. The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company’s website at www.bankatfirst.com. The webcast will be archived on the Investor Relations section of the Company’s website for 12 months.

Press Release and Additional Information on Website

This press release as well as supplemental information are available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com.

Use of Non-GAAP Financial Measures

This earnings release contains GAAP financial measures and Non-GAAP financial measures where management believes it to be helpful in understanding the Company’s results of operations or financial position. Where Non-GAAP financial measures are used, the comparable GAAP financial measures, as well as a reconciliation to the comparable GAAP financial measure, can be found in the section titled “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.

Forward-Looking Statements

Certain statements contained in this report which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Words such as ‘‘believes,’’ ‘‘anticipates,’’ “likely,” “expected,” “estimated,” ‘‘intends’’ and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.  Examples of forward-looking statements include, but are not limited to, statements we make about (i) our future operating or financial performance, including revenues, income or loss and earnings or loss per share, (ii) future common stock dividends, (iii) our capital structure, including future capital levels, (iv) our plans, objectives and strategies, and (v) the assumptions that underlie our forward-looking statements.

As with any forecast or projection, forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances that may cause actual results to differ materially from those set forth in the forward-looking statements.  Forward-looking statements are not historical facts but instead express only management’s beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management’s control. It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements.  Important factors that could cause actual results to differ materially from those in our forward-looking statements include the following, without limitation:

•economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company’s business;

•future credit quality and performance, including our expectations regarding future loan losses and our allowance for credit losses

•the effect of and changes in policies and laws or regulatory agencies, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and other legislation and regulation relating to the banking industry;

•Management’s ability to effectively execute its business plans;

•mergers and acquisitions, including costs or difficulties related to the integration of acquired companies;

•the possibility that any of the anticipated benefits of the Company’s acquisitions will not be realized or will not be realized within the expected time period;

•the effect of changes in accounting policies and practices;

•changes in consumer spending, borrowing and saving and changes in unemployment;

•changes in customers’ performance and creditworthiness;

•the costs and effects of litigation and of unexpected or adverse outcomes in such litigation;

•current and future economic and market conditions, including the effects of changes in housing prices, fluctuations in unemployment rates, U.S. fiscal debt, budget and tax matters, geopolitical matters, and any slowdown in global economic growth;

•the adverse impact on the U.S. economy, including the markets in which we operate, of the novel coronavirus, which causes the Coronavirus disease 2019 (“COVID-19”), global pandemic, and the impact on the performance of our loan and lease portfolio, the market value of our investment securities, the availability of sources of funding and the demand for our products;

•our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;

•financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services;

•the effect of the current interest rate environment or changes in interest rates or in the level or composition of our assets or liabilities on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgage loans held for sale;

•the effect of a fall in stock market prices on our brokerage, asset and wealth management businesses;

•a failure in or breach of our operational or security systems or infrastructure, or those of our third-party vendors or other service providers, including as a result of cyber attacks;

•the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin; and

•our ability to develop and execute effective business plans and strategies.

Additional factors that may cause our actual results to differ materially from those described in our forward-looking statements can be found in our Form 10-K for the year ended December 31, 2021, as well as our other filings with the SEC, which are available on the SEC website at www.sec.gov.

All forward-looking statements included in this filing are made as of the date hereof and are based on information available at the time of the filing.  Except as required by law, the Company does not assume any obligation to update any forward-looking statement.

About First Financial Bancorp.

First Financial Bancorp. is a Cincinnati, Ohio based bank holding company. As of September 30, 2022, the Company had $16.6 billion in assets, $9.8 billion in loans, $12.3 billion in deposits and $2.0 billion in shareholders’ equity. The Company’s subsidiary, First Financial Bank, founded in 1863, provides banking and financial services products through its six lines of business: Commercial, Retail Banking, Investment Commercial Real Estate, Mortgage Banking, Commercial Finance and Wealth Management. These business units provide traditional banking services to business and retail clients. Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $3.0 billion in assets under management as of September 30, 2022. The Company operated 134 full service banking centers as of September 30, 2022, primarily in Ohio, Indiana, Kentucky and Illinois, while the Commercial Finance business lends into targeted industry verticals on a nationwide basis. Additional information about the Company, including its products, services and banking locations, is available at www.bankatfirst.com.

Contact Information

Investors/Analysts                    Media

Jamie Anderson                        Tim Condron

Chief Financial Officer                    Marketing Communications Manager

(513) 887-5400                        (513) 979-5796

InvestorRelations@bankatfirst.com            media@bankatfirst.com

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Selected Financial Information

September 30, 2022

(unaudited)

Contents Page
Consolidated Financial Highlights 2
Consolidated Quarterly Statements of Income 3
Consolidated Quarterly Statements of Income 4-5
Consolidated Statements of Condition 6
Average Consolidated Statements of Condition 7
Net Interest Margin Rate / Volume Analysis 8-9
Credit Quality 10
Capital Adequacy 11
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
(Unaudited)
Three Months Ended, Nine months ended,
Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, Sep. 30,
2022 2022 2022 2021 2021 2022 2021
RESULTS OF OPERATIONS
Net income $ 55,705 $ 51,520 $ 41,301 $ 46,945 $ 60,012 $ 148,526 $ 158,215
Net earnings per share - basic $ 0.60 $ 0.55 $ 0.44 $ 0.51 $ 0.64 $ 1.59 $ 1.65
Net earnings per share - diluted $ 0.59 $ 0.55 $ 0.44 $ 0.50 $ 0.63 $ 1.57 $ 1.64
Dividends declared per share $ 0.23 $ 0.23 $ 0.23 $ 0.23 $ 0.23 $ 0.69 $ 0.69
KEY FINANCIAL RATIOS
Return on average assets 1.35 % 1.28 % 1.03 % 1.16 % 1.49 % 1.22 % 1.32 %
Return on average shareholders' equity 10.58 % 9.84 % 7.53 % 8.31 % 10.53 % 9.29 % 9.34 %
Return on average tangible shareholders' equity (1) 22.29 % 20.68 % 14.93 % 15.11 % 19.03 % 19.14 % 16.87 %
Net interest margin 3.93 % 3.41 % 3.11 % 3.19 % 3.28 % 3.49 % 3.30 %
Net interest margin (fully tax equivalent) (1)(2) 3.98 % 3.45 % 3.16 % 3.23 % 3.32 % 3.53 % 3.34 %
Ending shareholders' equity as a percent of ending assets 12.00 % 12.74 % 13.35 % 13.83 % 14.01 % 12.00 % 14.01 %
Ending tangible shareholders' equity as a percent of:
Ending tangible assets (1) 5.79 % 6.40 % 6.95 % 7.58 % 8.21 % 5.79 % 8.21 %
Risk-weighted assets (1) 7.21 % 8.09 % 8.85 % 9.91 % 10.76 % 7.21 % 10.76 %
Average shareholders' equity as a percent of average assets 12.75 % 12.97 % 13.75 % 13.98 % 14.14 % 13.15 % 14.09 %
Average tangible shareholders' equity as a percent of
average tangible assets (1) 6.49 % 6.62 % 7.44 % 8.20 % 8.35 % 6.85 % 8.32 %
Book value per share $ 21.03 $ 21.90 $ 22.63 $ 23.99 $ 23.85 $ 21.03 $ 23.85
Tangible book value per share (1) $ 9.48 $ 10.27 $ 10.97 $ 12.26 $ 13.09 $ 9.48 $ 13.09
Common equity tier 1 ratio (3) 10.82 % 10.91 % 10.87 % 10.85 % 11.55 % 10.82 % 11.55 %
Tier 1 ratio (3) 11.17 % 11.28 % 11.24 % 11.22 % 11.92 % 11.17 % 11.92 %
Total capital ratio (3) 13.73 % 13.94 % 13.97 % 14.11 % 14.97 % 13.73 % 14.97 %
Leverage ratio (3) 8.88 % 8.76 % 8.64 % 8.70 % 9.05 % 8.88 % 9.05 %
AVERAGE BALANCE SHEET ITEMS
Loans (4) $ 9,597,197 $ 9,367,820 $ 9,266,774 $ 9,283,227 $ 9,502,750 $ 9,411,807 $ 9,760,545
Investment securities 4,003,472 4,118,287 4,308,059 4,343,513 4,189,253 4,142,157 4,035,639
Interest-bearing deposits with other banks 317,146 294,136 273,763 166,904 32,400 295,174 41,582
Total earning assets $ 13,917,815 $ 13,780,243 $ 13,848,596 $ 13,793,644 $ 13,724,403 $ 13,849,138 $ 13,837,766
Total assets $ 16,385,989 $ 16,185,978 $ 16,184,919 $ 16,036,417 $ 15,995,808 $ 16,253,031 $ 16,084,472
Noninterest-bearing deposits $ 4,176,242 $ 4,224,842 $ 4,160,175 $ 4,191,457 $ 3,981,404 $ 4,187,145 $ 3,942,210
Interest-bearing deposits 8,194,781 8,312,876 8,623,800 8,693,792 8,685,949 8,375,581 8,642,339
Total deposits $ 12,371,023 $ 12,537,718 $ 12,783,975 $ 12,885,249 $ 12,667,353 $ 12,562,726 $ 12,584,549
Borrowings $ 1,406,718 $ 1,079,596 $ 721,695 $ 396,743 $ 562,964 $ 1,071,845 $ 731,634
Shareholders' equity $ 2,089,179 $ 2,099,670 $ 2,225,495 $ 2,241,820 $ 2,261,293 $ 2,137,615 $ 2,265,868
CREDIT QUALITY RATIOS
Allowance to ending loans 1.27 % 1.25 % 1.34 % 1.42 % 1.59 % 1.27 % 1.59 %
Allowance to nonaccrual loans 339.95 % 302.87 % 273.09 % 272.76 % 225.73 % 339.95 % 225.73 %
Allowance to nonperforming loans 261.11 % 235.08 % 231.98 % 219.96 % 192.35 % 261.11 % 192.35 %
Nonperforming loans to total loans 0.49 % 0.53 % 0.58 % 0.65 % 0.83 % 0.49 % 0.83 %
Nonaccrual loans to total loans 0.37 % 0.41 % 0.49 % 0.52 % 0.70 % 0.37 % 0.70 %
Nonperforming assets to ending loans, plus OREO 0.49 % 0.53 % 0.58 % 0.65 % 0.83 % 0.49 % 0.83 %
Nonperforming assets to total assets 0.29 % 0.31 % 0.33 % 0.37 % 0.49 % 0.29 % 0.49 %
Classified assets to total assets 0.69 % 0.74 % 0.67 % 0.64 % 1.04 % 0.69 % 1.04 %
Net charge-offs to average loans (annualized) 0.07 % 0.08 % 0.10 % 0.32 % 0.10 % 0.08 % 0.24 %

(1) Non-GAAP measure. For details on the calculation of these non-GAAP financial measures and a reconciliation to the GAAP financial measure, see the sections titled “Use of Non-GAAP Financial Measures” in this release and “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.

(2) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

(3) September 30, 2022 regulatory capital ratios are preliminary.

(4) Includes loans held for sale.

FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
Three months ended, Nine months ended,
Sep. 30, Sep. 30,
2022 2021 % Change 2022 2021 % Change
Interest income
Loans and leases, including fees $ 122,170 $ 96,428 26.7 % $ 306,443 $ 292,853 4.6 %
Investment securities
Taxable 26,331 20,088 31.1 % 72,066 58,219 23.8 %
Tax-exempt 5,014 4,282 17.1 % 14,361 14,196 1.2 %
Total investment securities interest 31,345 24,370 28.6 % 86,427 72,415 19.3 %
Other earning assets 1,597 23 N/M 2,222 76 N/M
Total interest income 155,112 120,821 28.4 % 395,092 365,344 8.1 %
Interest expense
Deposits 6,386 3,320 92.3 % 11,972 11,346 5.5 %
Short-term borrowings 6,158 68 N/M 8,041 188 N/M
Long-term borrowings 4,676 4,023 16.2 % 13,832 12,498 10.7 %
Total interest expense 17,220 7,411 132.4 % 33,845 24,032 40.8 %
Net interest income 137,892 113,410 21.6 % 361,247 341,312 5.8 %
Provision for credit losses-loans and leases 7,898 (8,193) (196.4) % (1,958) (9,499) (79.4) %
Provision for credit losses-unfunded commitments 386 (1,951) (119.8) % 3,641 (896) (506.4) %
Net interest income after provision for credit losses 129,608 123,554 4.9 % 359,564 351,707 2.2 %
Noninterest income
Service charges on deposit accounts 6,279 8,548 (26.5) % 21,656 23,231 (6.8) %
Trust and wealth management fees 5,487 5,896 (6.9) % 17,858 17,742 0.7 %
Bankcard income 3,484 3,838 (9.2) % 10,644 10,698 (0.5) %
Client derivative fees 1,447 2,273 (36.3) % 3,619 5,624 (35.7) %
Foreign exchange income 11,752 9,191 27.9 % 35,373 31,985 10.6 %
Leasing business income 7,127 0 100.0 % 20,450 0 100.0 %
Net gains from sales of loans 3,729 8,586 (56.6) % 12,842 26,529 (51.6) %
Net gain (loss) on sale of investment securities (179) (314) (43.0) % (176) (745) (76.4) %
Net gain (loss) on equity securities (701) 108 N/M (1,954) 381 N/M
Other 4,109 4,411 (6.8) % 13,294 10,401 27.8 %
Total noninterest income 42,534 42,537 0.0 % 133,606 125,846 6.2 %
Noninterest expenses
Salaries and employee benefits 66,808 61,717 8.2 % 195,747 183,754 6.5 %
Net occupancy 5,669 5,571 1.8 % 16,774 16,810 (0.2) %
Furniture and equipment 3,222 3,318 (2.9) % 9,990 10,658 (6.3) %
Data processing 8,497 7,951 6.9 % 25,095 23,102 8.6 %
Marketing 2,523 2,435 3.6 % 6,546 5,831 12.3 %
Communication 657 669 (1.8) % 1,993 2,253 (11.5) %
Professional services 2,346 2,199 6.7 % 6,719 5,678 18.3 %
State intangible tax 1,090 1,202 (9.3) % 3,311 3,605 (8.2) %
FDIC assessments 1,885 1,466 28.6 % 5,021 4,177 20.2 %
Intangible amortization 2,783 2,479 12.3 % 8,612 7,438 15.8 %
Leasing business expense 5,746 0 100.0 % 14,302 0 100.0 %
Other 23,842 10,051 137.2 % 36,797 27,901 31.9 %
Total noninterest expenses 125,068 99,058 26.3 % 330,907 291,207 13.6 %
Income before income taxes 47,074 67,033 (29.8) % 162,263 186,346 (12.9) %
Income tax expense (benefit) (8,631) 7,021 (222.9) % 13,737 28,131 (51.2) %
Net income $ 55,705 $ 60,012 (7.2) % $ 148,526 $ 158,215 (6.1) %
ADDITIONAL DATA
Net earnings per share - basic $ 0.60 $ 0.64 $ 1.59 $ 1.65
Net earnings per share - diluted $ 0.59 $ 0.63 $ 1.57 $ 1.64
Dividends declared per share $ 0.23 $ 0.23 $ 0.69 $ 0.69
Return on average assets 1.35 % 1.49 % 1.22 % 1.32 %
Return on average shareholders' equity 10.58 % 10.53 % 9.29 % 9.34 %
Interest income $ 155,112 $ 120,821 28.4 % $ 395,092 $ 365,344 8.1 %
Tax equivalent adjustment 1,712 1,434 19.4 % 4,804 4,705 2.1 %
Interest income - tax equivalent 156,824 122,255 28.3 % 399,896 370,049 8.1 %
Interest expense 17,220 7,411 132.4 % 33,845 24,032 40.8 %
Net interest income - tax equivalent $ 139,604 $ 114,844 21.6 % $ 366,051 $ 346,017 5.8 %
Net interest margin 3.93 % 3.28 % 3.49 % 3.30 %
Net interest margin (fully tax equivalent) (1) 3.98 % 3.32 % 3.53 % 3.34 %
Full-time equivalent employees 2,072 2,026
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
FIRST FINANCIAL BANCORP.
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CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
2022
Third Second First Year to % Change
Quarter Quarter Quarter Date Linked Qtr.
Interest income
Loans and leases, including fees $ 122,170 $ 97,091 $ 87,182 $ 306,443 25.8 %
Investment securities
Taxable 26,331 23,639 22,096 72,066 11.4 %
Tax-exempt 5,014 4,916 4,431 14,361 2.0 %
Total investment securities interest 31,345 28,555 26,527 86,427 9.8 %
Other earning assets 1,597 505 120 2,222 216.2 %
Total interest income 155,112 126,151 113,829 395,092 23.0 %
Interest expense
Deposits 6,386 2,963 2,623 11,972 115.5 %
Short-term borrowings 6,158 1,566 317 8,041 293.2 %
Long-term borrowings 4,676 4,612 4,544 13,832 1.4 %
Total interest expense 17,220 9,141 7,484 33,845 88.4 %
Net interest income 137,892 117,010 106,345 361,247 17.8 %
Provision for credit losses-loans and leases 7,898 (4,267) (5,589) (1,958) (285.1) %
Provision for credit losses-unfunded commitments 386 3,481 (226) 3,641 (88.9) %
Net interest income after provision for credit losses 129,608 117,796 112,160 359,564 10.0 %
Noninterest income
Service charges on deposit accounts 6,279 7,648 7,729 21,656 (17.9) %
Trust and wealth management fees 5,487 6,311 6,060 17,858 (13.1) %
Bankcard income 3,484 3,823 3,337 10,644 (8.9) %
Client derivative fees 1,447 1,369 803 3,619 5.7 %
Foreign exchange income 11,752 13,470 10,151 35,373 (12.8) %
Leasing business income 7,127 7,247 6,076 20,450 (1.7) %
Net gains from sales of loans 3,729 5,241 3,872 12,842 (28.8) %
Net gain (loss) on sale of investment securities (179) 0 3 (176) (100.0) %
Net gain (loss) on equity securities (701) (1,054) (199) (1,954) (33.5) %
Other 4,109 5,723 3,462 13,294 (28.2) %
Total noninterest income 42,534 49,778 41,294 133,606 (14.6) %
Noninterest expenses
Salaries and employee benefits 66,808 64,992 63,947 195,747 2.8 %
Net occupancy 5,669 5,359 5,746 16,774 5.8 %
Furniture and equipment 3,222 3,201 3,567 9,990 0.7 %
Data processing 8,497 8,334 8,264 25,095 2.0 %
Marketing 2,523 2,323 1,700 6,546 8.6 %
Communication 657 670 666 1,993 (1.9) %
Professional services 2,346 2,214 2,159 6,719 6.0 %
State intangible tax 1,090 1,090 1,131 3,311 0.0 %
FDIC assessments 1,885 1,677 1,459 5,021 12.4 %
Intangible amortization 2,783 2,915 2,914 8,612 (4.5) %
Leasing business expense 5,746 4,687 3,869 14,302 22.6 %
Other 23,842 5,572 7,383 36,797 327.9 %
Total noninterest expenses 125,068 103,034 102,805 330,907 21.4 %
Income before income taxes 47,074 64,540 50,649 162,263 (27.1) %
Income tax expense (benefit) (8,631) 13,020 9,348 13,737 (166.3) %
Net income $ 55,705 $ 51,520 $ 41,301 $ 148,526 8.1 %
ADDITIONAL DATA
Net earnings per share - basic $ 0.60 $ 0.55 $ 0.44 $ 1.59
Net earnings per share - diluted $ 0.59 $ 0.55 $ 0.44 $ 1.57
Dividends declared per share $ 0.23 $ 0.23 $ 0.23 $ 0.69
Return on average assets 1.35 % 1.28 % 1.03 % 1.22 %
Return on average shareholders' equity 10.58 % 9.84 % 7.53 % 9.29 %
Interest income $ 155,112 $ 126,151 $ 113,829 $ 395,092 23.0 %
Tax equivalent adjustment 1,712 1,625 1,467 4,804 5.4 %
Interest income - tax equivalent 156,824 127,776 115,296 399,896 22.7 %
Interest expense 17,220 9,141 7,484 33,845 88.4 %
Net interest income - tax equivalent $ 139,604 $ 118,635 $ 107,812 $ 366,051 17.7 %
Net interest margin 3.93 % 3.41 % 3.11 % 3.49 %
Net interest margin (fully tax equivalent) (1) 3.98 % 3.45 % 3.16 % 3.53 %
Full-time equivalent employees 2,072 2,096 2,050 (2)
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
(2) Includes 65 FTE from Summit acquisition.
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- ---
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
2021
Fourth Third Second First Full
Quarter Quarter Quarter Quarter Year
Interest income
Loans and leases, including fees $ 92,682 $ 96,428 $ 97,494 $ 98,931 $ 385,535
Investment securities
Taxable 20,993 20,088 19,524 18,607 79,212
Tax-exempt 4,127 4,282 4,871 5,043 18,323
Total investment securities interest 25,120 24,370 24,395 23,650 97,535
Other earning assets 71 23 25 28 147
Total interest income 117,873 120,821 121,914 122,609 483,217
Interest expense
Deposits 3,089 3,320 3,693 4,333 14,435
Short-term borrowings 10 68 53 67 198
Long-term borrowings 3,968 4,023 4,142 4,333 16,466
Total interest expense 7,067 7,411 7,888 8,733 31,099
Net interest income 110,806 113,410 114,026 113,876 452,118
Provision for credit losses-loans and leases (9,525) (8,193) (4,756) 3,450 (19,024)
Provision for credit losses-unfunded commitments 1,799 (1,951) 517 538 903
Net interest income after provision for credit losses 118,532 123,554 118,265 109,888 470,239
Noninterest income
Service charges on deposit accounts 8,645 8,548 7,537 7,146 31,876
Trust and wealth management fees 6,038 5,896 6,216 5,630 23,780
Bankcard income 3,602 3,838 3,732 3,128 14,300
Client derivative fees 2,303 2,273 1,795 1,556 7,927
Foreign exchange income 12,808 9,191 12,037 10,757 44,793
Leasing business income 0 0 0 0 0
Net gains from sales of loans 6,492 8,586 8,489 9,454 33,021
Net gain (loss) on sale of investment securities (14) (314) (265) (166) (759)
Net gain (loss) on equity securities 321 108 161 112 702
Other 5,465 4,411 3,285 2,705 15,866
Total noninterest income 45,660 42,537 42,987 40,322 171,506
Noninterest expenses
Salaries and employee benefits 62,170 61,717 60,784 61,253 245,924
Net occupancy 5,332 5,571 5,535 5,704 22,142
Furniture and equipment 3,161 3,318 3,371 3,969 13,819
Data processing 8,261 7,951 7,864 7,287 31,363
Marketing 2,152 2,435 2,035 1,361 7,983
Communication 677 669 746 838 2,930
Professional services 5,998 2,199 2,029 1,450 11,676
State intangible tax 651 1,202 1,201 1,202 4,256
FDIC assessments 1,453 1,466 1,362 1,349 5,630
Intangible amortization 2,401 2,479 2,480 2,479 9,839
Leasing business expense 0 0 0 0 0
Other 17,349 10,051 12,236 5,614 45,250
Total noninterest expenses 109,605 99,058 99,643 92,506 400,812
Income before income taxes 54,587 67,033 61,609 57,704 240,933
Income tax expense (benefit) 7,642 7,021 10,721 10,389 35,773
Net income $ 46,945 $ 60,012 $ 50,888 $ 47,315 $ 205,160
ADDITIONAL DATA
Net earnings per share - basic $ 0.51 $ 0.64 $ 0.53 $ 0.49 $ 2.16
Net earnings per share - diluted $ 0.50 $ 0.63 $ 0.52 $ 0.48 $ 2.14
Dividends declared per share $ 0.23 $ 0.23 $ 0.23 $ 0.23 $ 0.92
Return on average assets 1.16 % 1.49 % 1.26 % 1.20 % 1.28 %
Return on average shareholders' equity 8.31 % 10.53 % 9.02 % 8.44 % 9.08 %
Interest income $ 117,873 $ 120,821 $ 121,914 $ 122,609 $ 483,217
Tax equivalent adjustment 1,386 1,434 1,619 1,652 6,091
Interest income - tax equivalent 119,259 122,255 123,533 124,261 489,308
Interest expense 7,067 7,411 7,888 8,733 31,099
Net interest income - tax equivalent $ 112,192 $ 114,844 $ 115,645 $ 115,528 $ 458,209
Net interest margin 3.19 % 3.28 % 3.27 % 3.35 % 3.27 %
Net interest margin (fully tax equivalent) (1) 3.23 % 3.32 % 3.31 % 3.40 % 3.31 %
Full-time equivalent employees 1,994 2,026 2,053 2,063
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, % Change % Change
2022 2022 2022 2021 2021 Linked Qtr. Comp Qtr.
ASSETS
Cash and due from banks $ 195,553 $ 217,481 $ 214,571 $ 220,031 $ 209,748 (10.1) % (6.8) %
Interest-bearing deposits with other banks 338,978 270,042 243,004 214,811 29,799 25.5 % 1,037.5 %
Investment securities available-for-sale 3,531,353 3,843,580 3,957,882 4,207,846 4,114,094 (8.1) % (14.2) %
Investment securities held-to-maturity 85,823 88,057 92,597 98,420 103,886 (2.5) % (17.4) %
Other investments 138,767 132,151 114,563 102,971 97,831 5.0 % 41.8 %
Loans held for sale 10,684 22,044 12,670 29,482 33,835 (51.5) % (68.4) %
Loans and leases
Commercial and industrial 3,139,219 2,927,175 2,800,209 2,720,028 2,602,848 7.2 % 20.6 %
Lease financing 176,072 146,639 125,867 109,624 67,855 20.1 % 159.5 %
Construction real estate 489,446 449,734 479,744 455,894 477,004 8.8 % 2.6 %
Commercial real estate 3,976,345 4,007,037 4,031,484 4,226,614 4,438,374 (0.8) % (10.4) %
Residential real estate 1,024,596 965,387 913,838 896,069 922,492 6.1 % 11.1 %
Home equity 737,318 725,700 707,973 708,399 709,050 1.6 % 4.0 %
Installment 202,267 146,680 132,197 119,454 96,077 37.9 % 110.5 %
Credit card 52,173 52,065 50,305 52,217 47,231 0.2 % 10.5 %
Total loans 9,797,436 9,420,417 9,241,617 9,288,299 9,360,931 4.0 % 4.7 %
Less:
Allowance for credit losses (124,096) (117,885) (124,130) (131,992) (148,903) 5.3 % (16.7) %
Net loans 9,673,340 9,302,532 9,117,487 9,156,307 9,212,028 4.0 % 5.0 %
Premises and equipment 189,067 191,099 190,975 193,040 192,580 (1.1) % (1.8) %
Operating leases 84,851 82,659 61,927 60,811 0 2.7 % 100.0 %
Goodwill 998,422 999,959 999,959 1,000,749 937,771 (0.2) % 6.5 %
Other intangibles 96,528 99,019 101,673 104,367 71,663 (2.5) % 34.7 %
Accrued interest and other assets 1,280,427 995,091 901,842 940,306 953,358 28.7 % 34.3 %
Total Assets $ 16,623,793 $ 16,243,714 $ 16,009,150 $ 16,329,141 $ 15,956,593 2.3 % 4.2 %
LIABILITIES
Deposits
Interest-bearing demand $ 2,980,465 $ 3,096,365 $ 3,246,646 $ 3,198,745 $ 2,916,860 (3.7) % 2.2 %
Savings 3,980,020 4,029,717 4,188,867 4,157,374 4,223,905 (1.2) % (5.8) %
Time 1,242,412 1,026,918 1,121,966 1,330,263 1,517,419 21.0 % (18.1) %
Total interest-bearing deposits 8,202,897 8,153,000 8,557,479 8,686,382 8,658,184 0.6 % (5.3) %
Noninterest-bearing 4,137,038 4,124,111 4,261,429 4,185,572 4,019,197 0.3 % 2.9 %
Total deposits 12,339,935 12,277,111 12,818,908 12,871,954 12,677,381 0.5 % (2.7) %
Federal funds purchased and securities sold
under agreements to repurchase 3,535 0 0 51,203 81,850 100.0 % (95.7) %
FHLB short-term borrowings 972,600 896,000 185,000 225,000 107,000 8.5 % 809.0 %
Other 184,912 152,226 57,247 20,000 0 21.5 % 100.0 %
Total short-term borrowings 1,161,047 1,048,226 242,247 296,203 188,850 10.8 % 514.8 %
Long-term debt 355,116 358,578 379,840 409,832 313,230 (1.0) % 13.4 %
Total borrowed funds 1,516,163 1,406,804 622,087 706,035 502,080 7.8 % 202.0 %
Accrued interest and other liabilities 773,563 491,129 430,710 492,210 540,962 57.5 % 43.0 %
Total Liabilities 14,629,661 14,175,044 13,871,705 14,070,199 13,720,423 3.2 % 6.6 %
SHAREHOLDERS' EQUITY
Common stock 1,631,696 1,637,237 1,634,903 1,640,358 1,637,065 (0.3) % (0.3) %
Retained earnings 920,943 887,006 857,178 837,473 812,082 3.8 % 13.4 %
Accumulated other comprehensive income (loss) (354,570) (243,328) (142,477) (433) 14,230 45.7 % N/M
Treasury stock, at cost (203,937) (212,245) (212,159) (218,456) (227,207) (3.9) % (10.2) %
Total Shareholders' Equity 1,994,132 2,068,670 2,137,445 2,258,942 2,236,170 (3.6) % (10.8) %
Total Liabilities and Shareholders' Equity $ 16,623,793 $ 16,243,714 $ 16,009,150 $ 16,329,141 $ 15,956,593 2.3 % 4.2 %
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
Quarterly Averages Year-to-Date Averages
Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, Sep. 30,
2022 2022 2022 2021 2021 2022 2021
ASSETS
Cash and due from banks $ 228,068 $ 248,463 $ 241,271 $ 253,091 $ 245,212 $ 239,219 $ 238,531
Interest-bearing deposits with other banks 317,146 294,136 273,763 166,904 32,400 295,174 41,582
Investment securities 4,003,472 4,118,287 4,308,059 4,343,513 4,189,253 4,142,157 4,035,639
Loans held for sale 12,283 15,446 15,589 24,491 28,365 14,427 28,796
Loans and leases
Commercial and industrial 3,040,547 2,884,373 2,736,613 2,552,686 2,634,306 2,888,291 2,870,954
Lease financing 158,667 134,334 115,703 67,537 67,159 136,392 67,918
Construction real estate 469,489 460,609 474,278 460,588 567,091 468,108 614,737
Commercial real estate 3,969,935 4,025,493 4,139,072 4,391,328 4,413,003 4,044,214 4,375,280
Residential real estate 998,476 936,165 903,567 917,399 937,969 946,417 952,939
Home equity 728,791 716,219 703,714 709,954 710,794 716,333 714,723
Installment 164,063 140,145 125,579 106,188 93,937 143,403 86,740
Credit card 54,946 55,036 52,659 53,056 50,126 54,222 48,458
Total loans 9,584,914 9,352,374 9,251,185 9,258,736 9,474,385 9,397,380 9,731,749
Less:
Allowance for credit losses (119,000) (123,950) (129,601) (144,756) (157,727) (124,145) (168,449)
Net loans 9,465,914 9,228,424 9,121,584 9,113,980 9,316,658 9,273,235 9,563,300
Premises and equipment 190,738 191,895 192,832 192,941 193,775 191,814 200,273
Operating leases 83,970 73,862 61,297 659 0 73,126 0
Goodwill 999,690 999,958 1,000,238 938,453 937,771 999,960 937,771
Other intangibles 97,781 100,354 103,033 71,006 72,529 100,370 74,335
Accrued interest and other assets 986,927 915,153 867,253 931,379 979,845 923,549 964,245
Total Assets $ 16,385,989 $ 16,185,978 $ 16,184,919 $ 16,036,417 $ 15,995,808 $ 16,253,031 $ 16,084,472
LIABILITIES
Deposits
Interest-bearing demand $ 3,105,547 $ 3,180,846 $ 3,246,919 $ 3,069,416 $ 2,960,388 $ 3,177,253 $ 2,961,043
Savings 4,036,565 4,076,380 4,145,615 4,195,504 4,150,610 4,085,787 4,021,895
Time 1,052,669 1,055,650 1,231,266 1,428,872 1,574,951 1,112,541 1,659,401
Total interest-bearing deposits 8,194,781 8,312,876 8,623,800 8,693,792 8,685,949 8,375,581 8,642,339
Noninterest-bearing 4,176,242 4,224,842 4,160,175 4,191,457 3,981,404 4,187,145 3,942,210
Total deposits 12,371,023 12,537,718 12,783,975 12,885,249 12,667,353 12,562,726 12,584,549
Federal funds purchased and securities sold
under agreements to repurchase 32,637 24,229 45,358 79,382 186,401 34,028 188,461
FHLB short-term borrowings 892,786 586,846 257,800 2,445 63,463 581,470 57,163
Other 131,237 109,353 33,297 654 0 91,654 0
Total short-term borrowings 1,056,660 720,428 336,455 82,481 249,864 707,152 245,624
Long-term debt 350,058 359,168 385,240 314,262 313,100 364,693 486,010
Total borrowed funds 1,406,718 1,079,596 721,695 396,743 562,964 1,071,845 731,634
Accrued interest and other liabilities 519,069 468,994 453,754 512,605 504,198 480,845 502,421
Total Liabilities 14,296,810 14,086,308 13,959,424 13,794,597 13,734,515 14,115,416 13,818,604
SHAREHOLDERS' EQUITY
Common stock 1,631,078 1,635,990 1,638,321 1,637,828 1,635,833 1,635,103 1,635,552
Retained earnings 899,524 866,910 841,652 822,500 783,760 869,574 755,066
Accumulated other comprehensive loss (236,566) (190,949) (38,448) 8,542 36,917 (156,047) 34,981
Treasury stock, at cost (204,857) (212,281) (216,030) (227,050) (195,217) (211,015) (159,731)
Total Shareholders' Equity 2,089,179 2,099,670 2,225,495 2,241,820 2,261,293 2,137,615 2,265,868
Total Liabilities and Shareholders' Equity $ 16,385,989 $ 16,185,978 $ 16,184,919 $ 16,036,417 $ 15,995,808 $ 16,253,031 $ 16,084,472
FIRST FINANCIAL BANCORP.
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NET INTEREST MARGIN RATE/VOLUME ANALYSIS
(Dollars in thousands)
(Unaudited)
Quarterly Averages Year-to-Date Averages
September 30, 2022 June 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021
Balance Interest Yield Balance Interest Yield Balance Interest Yield Balance Yield Balance Yield
Earning assets
Investments:
Investment securities $ 4,003,472 $ 31,345 3.11 % $ 4,118,287 $ 28,555 2.78 % $ 4,189,253 $ 24,370 2.31 % $ 4,142,157 2.79 % $ 4,035,639 2.40 %
Interest-bearing deposits with other banks 317,146 1,597 2.00 % 294,136 505 0.69 % 32,400 23 0.28 % 295,174 1.01 % 41,582 0.24 %
Gross loans (1) 9,597,197 122,170 5.05 % 9,367,820 97,091 4.16 % 9,502,750 96,428 4.03 % 9,411,807 4.35 % 9,760,545 4.01 %
Total earning assets 13,917,815 155,112 4.42 % 13,780,243 126,151 3.67 % 13,724,403 120,821 3.49 % 13,849,138 3.81 % 13,837,766 3.53 %
Nonearning assets
Allowance for credit losses (119,000) (123,950) (157,727) (124,145) (168,449)
Cash and due from banks 228,068 248,463 245,212 239,219 238,531
Accrued interest and other assets 2,359,106 2,281,222 2,183,920 2,288,819 2,176,624
Total assets $ 16,385,989 $ 16,185,978 $ 15,995,808 $ 16,253,031 $ 16,084,472
Interest-bearing liabilities
Deposits:
Interest-bearing demand $ 3,105,547 $ 2,404 0.31 % $ 3,180,846 $ 842 0.11 % $ 2,960,388 $ 446 0.06 % $ 3,177,253 0.16 % $ 2,961,043 0.07 %
Savings 4,036,565 2,199 0.22 % 4,076,380 1,003 0.10 % 4,150,610 938 0.09 % 4,085,787 0.13 % 4,021,895 0.11 %
Time 1,052,669 1,783 0.67 % 1,055,650 1,118 0.42 % 1,574,951 1,936 0.49 % 1,112,541 0.50 % 1,659,401 0.54 %
Total interest-bearing deposits 8,194,781 6,386 0.31 % 8,312,876 2,963 0.14 % 8,685,949 3,320 0.15 % 8,375,581 0.19 % 8,642,339 0.18 %
Borrowed funds
Short-term borrowings 1,056,660 6,158 2.31 % 720,428 1,566 0.87 % 249,864 68 0.11 % 707,152 1.52 % 245,624 0.10 %
Long-term debt 350,058 4,676 5.30 % 359,168 4,612 5.15 % 313,100 4,023 5.10 % 364,693 5.07 % 486,010 3.44 %
Total borrowed funds 1,406,718 10,834 3.06 % 1,079,596 6,178 2.30 % 562,964 4,091 2.88 % 1,071,845 2.73 % 731,634 2.32 %
Total interest-bearing liabilities 9,601,499 17,220 0.71 % 9,392,472 9,141 0.39 % 9,248,913 7,411 0.32 % 9,447,426 0.48 % 9,373,973 0.34 %
Noninterest-bearing liabilities
Noninterest-bearing demand deposits 4,176,242 4,224,842 3,981,404 4,187,145 3,942,210
Other liabilities 519,069 468,994 504,198 480,845 502,421
Shareholders' equity 2,089,179 2,099,670 2,261,293 2,137,615 2,265,868
Total liabilities & shareholders' equity $ 16,385,989 $ 16,185,978 $ 15,995,808 $ 16,253,031 $ 16,084,472
Net interest income $ 137,892 $ 117,010 $ 113,410 $ 361,247 $ 341,312
Net interest spread 3.71 % 3.28 % 3.17 % 3.33 % 3.19 %
Net interest margin 3.93 % 3.41 % 3.28 % 3.49 % 3.30 %
Tax equivalent adjustment 0.05 % 0.04 % 0.04 % 0.04 % 0.04 %
Net interest margin (fully tax equivalent) 3.98 % 3.45 % 3.32 % 3.53 % 3.34 %
(1) Loans held for sale and nonaccrual loans are included in gross loans.
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1)
(Dollars in thousands)
(Unaudited)
Linked Qtr. Income Variance Comparable Qtr. Income Variance Year-to-Date Income Variance
Rate Volume Total Rate Volume Total Rate Volume Total
Earning assets
Investment securities $ 3,338 $ (548) $ 2,790 $ 8,430 $ (1,455) $ 6,975 $ 11,789 $ 2,223 $ 14,012
Interest-bearing deposits with other banks 960 132 1,092 140 1,434 1,574 237 1,909 2,146
Gross loans (2) 20,863 4,216 25,079 24,540 1,202 25,742 24,945 (11,355) 13,590
Total earning assets 25,161 3,800 28,961 33,110 1,181 34,291 36,971 (7,223) 29,748
Interest-bearing liabilities
Total interest-bearing deposits $ 3,445 $ (22) $ 3,423 $ 3,449 $ (383) $ 3,066 $ 1,007 $ (381) $ 626
Borrowed funds
Short-term borrowings 2,587 2,005 4,592 1,388 4,702 6,090 2,605 5,248 7,853
Long-term debt 134 (70) 64 159 494 653 5,935 (4,601) 1,334
Total borrowed funds 2,721 1,935 4,656 1,547 5,196 6,743 8,540 647 9,187
Total interest-bearing liabilities 6,166 1,913 8,079 4,996 4,813 9,809 9,547 266 9,813
Net interest income (1) $ 18,995 $ 1,887 $ 20,882 $ 28,114 $ (3,632) $ 24,482 $ 27,424 $ (7,489) $ 19,935
(1) Not tax equivalent.
(2) Loans held for sale and nonaccrual loans are included in gross loans.
FIRST FINANCIAL BANCORP.
--- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- ---
CREDIT QUALITY
(Dollars in thousands)
(Unaudited)
Nine months ended
June 30, Mar. 31, Dec. 31, Sep. 30, Sep. 30, Sep. 30,
2022 2022 2021 2021 2022 2021
ALLOWANCE FOR CREDIT LOSS ACTIVITY
Balance at beginning of period 117,885 $ 124,130 $ 131,992 $ 148,903 $ 159,590 $ 131,992 $ 175,679
Purchase accounting ACL for PCD 0 0 17 0 0 0
Provision for credit losses (4,267) (5,589) (9,525) (8,193) (1,958) (9,499)
Gross charge-offs
Commercial and industrial 773 2,845 1,364 2,617 5,565 14,256
Lease financing 8 131 0 0 152 0
Construction real estate 0 0 1,496 0 0 2
Commercial real estate 3,419 0 9,150 1,030 3,422 4,321
Residential real estate 4 22 6 74 145 121
Home equity 22 21 22 200 88 1,051
Installment 361 177 184 37 832 150
Credit card 212 246 149 230 695 631
Total gross charge-offs 4,799 3,442 12,371 4,188 10,899 20,532
Recoveries
Commercial and industrial 177 379 201 869 646 1,411
Lease financing 3 33 0 0 49 0
Construction real estate 0 0 0 0 0 3
Commercial real estate 2,194 222 4,292 223 2,977 493
Residential real estate 34 90 74 56 159 154
Home equity 360 265 303 426 810 920
Installment 47 21 27 53 97 124
Credit card 6 159 71 67 223 150
Total recoveries 2,821 1,169 4,968 1,694 4,961 3,255
Total net charge-offs 1,978 2,273 7,403 2,494 5,938 17,277
Ending allowance for credit losses 124,096 $ 117,885 $ 124,130 $ 131,992 $ 148,903 $ 124,096 $ 148,903
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED)
Commercial and industrial % 0.08 % 0.37 % 0.18 % 0.26 % 0.23 % 0.60 %
Lease financing % 0.01 % 0.34 % 0.00 % 0.00 % 0.10 % 0.00 %
Construction real estate % 0.00 % 0.00 % 1.29 % 0.00 % 0.00 % 0.00 %
Commercial real estate % 0.12 % (0.02) % 0.44 % 0.07 % 0.01 % 0.12 %
Residential real estate % (0.01) % (0.03) % (0.03) % 0.01 % 0.00 % 0.00 %
Home equity % (0.19) % (0.14) % (0.16) % (0.13) % (0.13) % 0.02 %
Installment % 0.90 % 0.50 % 0.59 % (0.07) % 0.69 % 0.04 %
Credit card % 1.50 % 0.67 % 0.58 % 1.29 % 1.16 % 1.33 %
Total net charge-offs % 0.08 % 0.10 % 0.32 % 0.10 % 0.08 % 0.24 %
COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
Nonaccrual loans (1)
Commercial and industrial 8,719 $ 11,675 $ 14,390 $ 17,362 $ 15,160 $ 8,719 $ 15,160
Lease financing 217 249 203 0 376 0
Construction real estate 0 0 0 0 0 0
Commercial real estate 14,650 19,843 19,512 38,564 13,435 38,564
Residential real estate 8,879 7,432 8,305 9,416 10,250 9,416
Home equity 3,331 3,377 2,922 2,735 3,445 2,735
Installment 170 163 88 91 279 91
Nonaccrual loans 38,922 45,454 48,392 65,966 36,504 65,966
Accruing troubled debt restructurings (TDRs) 11,225 8,055 11,616 11,448 11,022 11,448
Total nonperforming loans 50,147 53,509 60,008 77,414 47,526 77,414
Other real estate owned (OREO) 22 72 98 340 22 340
Total nonperforming assets 50,169 53,581 60,106 77,754 47,548 77,754
Accruing loans past due 90 days or more 142 180 137 104 137 104
Total underperforming assets 47,685 $ 50,311 $ 53,761 $ 60,243 $ 77,858 $ 47,685 $ 77,858
Total classified assets 115,131 $ 119,769 $ 106,839 $ 104,815 $ 165,462 $ 115,131 $ 165,462
CREDIT QUALITY RATIOS
Allowance for credit losses to
Nonaccrual loans % 302.87 % 273.09 % 272.76 % 225.73 % 339.95 % 225.73 %
Nonperforming loans % 235.08 % 231.98 % 219.96 % 192.35 % 261.11 % 192.35 %
Total ending loans % 1.25 % 1.34 % 1.42 % 1.59 % 1.27 % 1.59 %
Nonperforming loans to total loans % 0.53 % 0.58 % 0.65 % 0.83 % 0.49 % 0.83 %
Nonaccrual loans to total loans % 0.41 % 0.49 % 0.52 % 0.70 % 0.37 % 0.70 %
Nonperforming assets to
Ending loans, plus OREO % 0.53 % 0.58 % 0.65 % 0.83 % 0.49 % 0.83 %
Total assets % 0.31 % 0.33 % 0.37 % 0.49 % 0.29 % 0.49 %
Nonperforming assets, excluding accruing TDRs to
Ending loans, plus OREO % 0.41 % 0.49 % 0.52 % 0.71 % 0.37 % 0.71 %
Total assets % 0.24 % 0.28 % 0.30 % 0.42 % 0.22 % 0.42 %
Classified assets to total assets % 0.74 % 0.67 % 0.64 % 1.04 % 0.69 % 1.04 %
(1) Nonaccrual loans include nonaccrual TDRs of 12.8 million, 9.5 million, 16.2 million, 16.0 million, and 20.3 million, as of September 30, 2022, June 30, 2022, March 31, 2022, December 31, 2021, and September 30, 2021, respectively.

All values are in US Dollars.

FIRST FINANCIAL BANCORP.
CAPITAL ADEQUACY
(Dollars in thousands, except per share data)
(Unaudited)
Nine months ended,
Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, Sep. 30, Sep. 30,
2022 2022 2022 2021 2021 2022 2021
PER COMMON SHARE
Market Price
High $ 23.75 $ 23.03 $ 26.73 $ 25.79 $ 24.06 $ 26.73 $ 26.40
Low $ 19.02 $ 19.09 $ 22.92 $ 22.89 $ 21.48 $ 19.02 $ 17.62
Close $ 21.08 $ 19.40 $ 23.05 $ 24.38 $ 23.41 $ 21.08 $ 23.41
Average shares outstanding - basic 93,582,250 93,555,131 93,383,932 92,903,900 94,289,097 93,507,831 95,752,759
Average shares outstanding - diluted 94,793,766 94,449,817 94,263,925 93,761,909 95,143,930 94,504,453 96,617,600
Ending shares outstanding 94,833,964 94,448,792 94,451,496 94,149,240 93,742,797 94,833,964 93,742,797
Total shareholders' equity $ 1,994,132 $ 2,068,670 $ 2,137,445 $ 2,258,942 $ 2,236,170 $ 1,994,132 $ 2,236,170
REGULATORY CAPITAL Preliminary Preliminary
Common equity tier 1 capital $ 1,348,413 $ 1,307,259 $ 1,272,115 $ 1,262,789 $ 1,316,059 $ 1,348,413 $ 1,316,059
Common equity tier 1 capital ratio 10.82 % 10.91 % 10.87 % 10.85 % 11.55 % 10.82 % 11.55 %
Tier 1 capital $ 1,392,565 $ 1,351,287 $ 1,316,020 $ 1,306,571 $ 1,359,297 $ 1,392,565 $ 1,359,297
Tier 1 ratio 11.17 % 11.28 % 11.24 % 11.22 % 11.92 % 11.17 % 11.92 %
Total capital $ 1,711,741 $ 1,670,367 $ 1,635,003 $ 1,642,549 $ 1,706,513 $ 1,711,741 $ 1,706,513
Total capital ratio 13.73 % 13.94 % 13.97 % 14.11 % 14.97 % 13.73 % 14.97 %
Total capital in excess of minimum requirement $ 402,662 $ 412,167 $ 405,931 $ 420,118 $ 509,579 $ 402,662 $ 509,579
Total risk-weighted assets $ 12,467,422 $ 11,982,860 $ 11,705,447 $ 11,642,201 $ 11,399,375 $ 12,467,422 $ 11,399,375
Leverage ratio 8.88 % 8.76 % 8.64 % 8.70 % 9.05 % 8.88 % 9.05 %
OTHER CAPITAL RATIOS
Ending shareholders' equity to ending assets 12.00 % 12.74 % 13.35 % 13.83 % 14.01 % 12.00 % 14.01 %
Ending tangible shareholders' equity to ending tangible assets (1) 5.79 % 6.40 % 6.95 % 7.58 % 8.21 % 5.79 % 8.21 %
Average shareholders' equity to average assets 12.75 % 12.97 % 13.75 % 13.98 % 14.14 % 13.15 % 14.09 %
Average tangible shareholders' equity to average tangible assets (1) 6.49 % 6.62 % 7.44 % 8.20 % 8.35 % 6.85 % 8.32 %
REPURCHASE PROGRAM (2)
Shares repurchased 0 0 0 0 2,484,295 0 4,633,355
Average share repurchase price N/A N/A N/A N/A $ 23.04 N/A $ 23.33
Total cost of shares repurchased N/A N/A N/A N/A $ 57,231 N/A $ 108,077
(1) Non-GAAP measure. For details on the calculation of these non-GAAP financial measures and a reconciliation to the GAAP financial measure, see the sections titled “Use of Non-GAAP Financial Measures” in this release and “Appendix: Non-GAAP to GAAP Reconciliation” in the accompanying slide presentation.
(2) Represents share repurchases as part of publicly announced plans.
N/A = Not applicable

11

exh992earningsrelease3q2

earnings presentation • Third Quarter 2022 Exhibit 99.2

forward looking statements disclosure 2 Certain statements contained in this report which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as ‘‘believes,’’ ‘‘anticipates,’’ “likely,” “expected,” “estimated,” ‘‘intends’’ and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Examples of forward-looking statements include, but are not limited to, statements we make about (i) our future operating or financial performance, including revenues, income or loss and earnings or loss per share, (ii) future common stock dividends, (iii) our capital structure, including future capital levels, (iv) our plans, objectives and strategies, and (v) the assumptions that underlie our forward-looking statements. As with any forecast or projection, forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances that may cause actual results to differ materially from those set forth in the forward-looking statements. Forward-looking statements are not historical facts but instead express only management’s beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management’s control. It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements. Important factors that could cause actual results to differ materially from those in our forward-looking statements include the following, without limitation: • economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company’s business; • future credit quality and performance, including our expectations regarding future loan losses and our allowance for credit losses; • the effect of and changes in policies and laws or regulatory agencies, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and other legislation and regulation relating to the banking industry; (iv) management’s ability to effectively execute its business plans; • mergers and acquisitions, including costs or difficulties related to the integration of acquired companies; • the possibility that any of the anticipated benefits of the Company’s acquisitions will not be realized or will not be realized within the expected time period; • the effect of changes in accounting policies and practices; • changes in consumer spending, borrowing and saving and changes in unemployment; • changes in customers’ performance and creditworthiness; • the costs and effects of litigation and of unexpected or adverse outcomes in such litigation; • current and future economic and market conditions, including the effects of changes in housing prices, fluctuations in unemployment rates, U.S. fiscal debt, budget and tax matters, geopolitical matters, and any slowdown in global economic growth; • the adverse impact on the U.S. economy, including the markets in which we operate, of the novel coronavirus, which causes the Coronavirus disease 2019 (“COVID-19”), global pandemic, and the impact on the performance of our loan and lease portfolio, the market value of our investment securities, the availability of sources of funding and the demand for our products; • our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;

forward looking statements disclosure 3 • financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services; • the effect of the current interest rate environment or changes in interest rates or in the level or composition of our assets or liabilities on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgage loans held for sale; • the effect of a fall in stock market prices on our brokerage, asset and wealth management businesses; • a failure in or breach of our operational or security systems or infrastructure, or those of our third-party vendors or other service providers, including as a result of cyber attacks; • the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin; and • our ability to develop and execute effective business plans and strategies. Additional factors that may cause our actual results to differ materially from those described in our forward-looking statements can be found in our Form 10-K for the year ended December 31, 2021, as well as our other filings with the SEC, which are available on the SEC website at www.sec.gov. All forward-looking statements included in this filing are made as of the date hereof and are based on information available at the time of the filing. Except as required by law, the Company does not assume any obligation to update any forward-looking statement.

3Q 2022 results 128th Consecutive Quarter of Profitability 4 • EOP assets increased $380.1 million compared to the linked quarter to $16.6 billion • EOP loans increased $377.0 million compared to the linked quarter to $9.8 billion • Average deposits decreased $166.7 million compared to the linked quarter to $12.4 billion • EOP investment securities decreased $307.8 million compared to the linked quarter Balance Sheet Profitability Asset Quality Income Statement Capital • Noninterest income - $42.5 million; $43.4 million as adjusted1 • Noninterest expense - $125.1 million; $106.1 million as adjusted1 • Efficiency ratio – 69.32%. Adjusted1 efficiency ratio – 58.52% • Effective tax rate of (18.3%). Adjusted1 effective tax rate of 13.6% • Net interest income - $137.9 million • Net interest margin of 3.93% on a GAAP basis; 3.98% on a fully tax equivalent basis1 • Net income - $55.7 million or $0.59 per diluted share. Adjusted1 net income - $57.8 million or $0.61 per diluted share • Return on average assets - 1.35%. Adjusted1 return on average assets - 1.40% • Return on average shareholders’ equity – 10.58%. Adjusted1 return on average shareholders’ equity – 10.97% • Return on average tangible common equity - 22.29%1. Adjusted1 return on average tangible common equity – 23.12% • Provision expense - $8.3 million • Net charge-offs - $1.7 million. NCOs / Avg. Loans - 0.07% annualized • Classified Assets / Total Assets - 0.69% • NPA / Total Assets – 0.29% • ACL / Total loans – 1.27% • Total capital ratio – 13.73% • Tier 1 common equity ratio – 10.82% • Tangible common equity ratio – 5.79%. Adjusted 1 Tangible common equity ratio– 8.07% • Tangible book value per share – $9.48 • Repurchased no shares during the quarter 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliation.

3Q 2022 highlights • Quarterly earnings driven by net interest margin • Adjusted1 earnings per share - $0.61 • Adjusted1 return on assets - 1.40% • Adjusted1 pre-tax, pre-provision return on assets - 1.82% • Adjusted1 return on average tangible common equity – 23.12% • End of period loan balances increased with strong origination volumes across the portfolio • EOP loan balances increased $377.0 million compared to the linked quarter; 15.9% on an annualized basis • Broad based portfolio growth included a $140.0 million increase in C&I, a $69.3 million increase in consumer loans, a $61.5 million increase in residential mortgage loans, a $44.3 million increase in ICRE and a $42.1 million increase in finance leases • Total average deposit balances decreased $166.7 million, or 5% annualized • Reduction driven by decline in public funds, retail CD’s, money market accounts and noninterest bearing deposit accounts • Average noninterest bearing deposits were 31.9% of total deposits • Majority of outflows are consumer deposits rather than business accounts • Accelerating 3.98% net interest margin (FTE) • 53 bp increase from second quarter driven by increase in interest rates • 89 bp increase in loan yields offset 11 bp increase in cost of deposits • Adjusted1 noninterest income of $43.4 million • Foreign exchange income of $11.8 million exceeded expectations, a decrease of $1.7 million, or 12.8%, from record linked quarter • Wealth management fees of $5.5 million remained strong; a decrease of $0.8 million, or 13.1% from linked quarter • Mortgage banking revenue of $3.7 million, a decrease of $1.5 million, or 28.8%, compared to linked quarter • Other noninterest income of $3.2 million, a decrease of $1.4 million, or 30.8%, compared to the linked quarter due to elevated income from limited partnership investments in second quarter • Leasing business revenue remained relatively unchanged at $7.1 million compared to linked quarter • Adjusted1 for $0.9 million loss on investment securities 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliations. 2The fair value measurements of assets acquired and liabilities assumed in the Summit acquisition are subject to refinement for up to one year after the closing date of the acquisition as additional information relative to closing date fair values becomes available. 5

3Q 2022 highlights • Adjusted1 noninterest expense of $106.1 million • Adjusted1 for $17.2 million in tax credit investments and $1.7 million of other costs not expected to recur such as acquisition, severance and branch consolidation costs • $11.3 million of Summit operating expenses during the quarter, including intangible amortization • Increase compared to linked quarter driven by elevated incentive compensation tied to the Company’s performance • Efficiency ratio of 69.3%; 58.5% as adjusted1 • Allowance for credit loss (ACL) and provision expense increased compared to linked quarter • Total ACL of $141.1 million; provision expense of $8.3 million o Loans and leases - ACL of $124.1 million; 1.27% of total loans o Unfunded Commitments - ACL of $17.0 million • NPA to total assets of 0.29% • NCOs declined to 7 bps of average loans and leases • Nonaccrual loans of $36.5 million; $2.4 million, or 6.2%, decline compared to linked quarter • Regulatory capital ratios in excess of internal targets • Total capital ratio of 13.73% • Tier 1 common equity of 10.82%; 9 basis point decrease from linked quarter • Tangible book value decreased by $0.79 to $9.48 due to decline in AOCI • Tangible common equity of 5.79%; 8.07%1 excluding ($354.6) million of AOCI • No shares repurchased in third quarter 6 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliations. 2The fair value measurements of assets acquired and liabilities assumed in the Summit acquisition are subject to refinement for up to one year after the closing date of the acquisition as additional information relative to closing date fair values becomes available. .

adjusted net income1 7 The table below lists certain adjustments that the Company believes are significant to understanding its quarterly performance. 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliations. All dollars shown in thousands, except per share amounts As Reported Adjusted 1 As Reported Adjusted 1 Net interest income 137,892$ 137,892$ 117,010$ 117,010$ Provision for credit losses-loans and leases 7,898$ 7,898$ (4,267)$ (4,267)$ Provision for credit losses-unfunded commitments 386$ 386$ 3,481$ 3,481$ Noninterest income 42,534$ 42,534$ 49,778$ 49,778$ less: gains (losses) on investment securities - (880) A - (1,054) A Total noninterest income 42,534$ 43,414$ 49,778$ 50,832$ Noninterest expense 125,068$ 125,068$ 103,034$ 103,034$ less: tax credit investment - 17,212 A - 104 A less: Summit acquistion costs - 76 A - 100 A less: other - 1,671 A - 666 A Total noninterest expense 125,068$ 106,109$ 103,034$ 102,164$ Income before income taxes 47,074$ 66,913$ 64,540$ 66,464$ Income tax expense (8,631)$ (8,631)$ 13,020$ 13,020$ plus: after-tax impact of tax credit investment @ 21% - 13,598 - 82 plus: tax effect of adjustments (A) @ 21% statutory rate - 4,166 - 404 Total income tax expense (8,631)$ 9,133$ 13,020$ 13,506$ Net income 55,705$ 57,780$ 51,520$ 52,958$ Net earnings per share - diluted 0.59$ 0.61$ 0.55$ 0.56$ Pre-tax, pre-provision return on average assets 1.34% 1.82% 1.58% 1.63% 3Q 2022 2Q 2022

profitability 8 Return on Average Assets Return on Avg Tangible Common Equity Diluted EPS 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliation. Efficiency Ratio $0.59$0.55 $0.44$0.50 $0.63 $0.61  $0.56  $0.46  $0.58  $0.63  3Q222Q221Q224Q213Q21 Diluted EPS Adjusted EPS1 1.35%1.28% 1.03%1.16% 1.49% 1.40% 1.31% 1.09% 1.34% 1.49% 3Q222Q221Q224Q213Q21 ROA Adjusted ROA 1 22.29%20.68% 14.93%15.11% 19.03% 23.12% 21.26% 15.75% 17.43% 19.00% 3Q222Q221Q224Q213Q21 ROATCE Adjusted ROATCE 1 63.5% 70.1% 69.6% 61.8% 69.3% 60.1% 60.2% 67.7% 60.9% 58.5% 3Q21 4Q21 1Q22 2Q22 3Q22 Efficiency Ratio Adjusted Efficiency Ratio 1

net interest income & margin 9 Net Interest Margin (FTE) 3Q22 NIM (FTE) Progression Net Interest Income All dollars shown in millions 3.78% 3.24% 2.93%2.82%2.87% 0.12% 0.11% 0.11% 0.18%0.11% 0.07% 0.08% 0.07%0.07%0.09% 0.16%0.25% 3.98% 3.45% 3.16% 3.23% 3.32% 3Q222Q221Q224Q213Q21 Basic Margin (FTE) Loan Fees Loan Accretion PPP Fees $4.2 $3.9 $3.7$6.5$3.9 $2.3 $2.6 $2.2$2.3$3.0 $5.6$9.3 $137.9 $117.0 $106.3 $110.8 $113.4 3Q222Q221Q224Q213Q21 Loan Fees Loan Accretion PPP Interest/Fees 2Q22 3.45% Asset yields/mix 0.76% Deposit/funding costs/mix -0.22% Day count/accretion -0.01% 3Q22 3.98%

average balance sheet 10 Average Loans Average Securities Average Deposits All dollars shown in millions 1 Includes loans fees and loan accretion $12,371$12,538$12,784$12,885$12,667 0.20% 0.09%0.08%0.10%0.10% 3Q222Q221Q224Q213Q21 Total Deposits Cost of Deposits $4,003$4,118$4,308$4,344$4,189 3.11% 2.78% 2.50% 2.29%2.31% 3Q222Q221Q224Q213Q21 Average Investment Securities Investment Securities Yield $9,597$9,368$9,267$9,283$9,503 5.05% 4.16%3.82%3.96%4.03% 3Q222Q221Q224Q213Q21 Gross Loans Loan Yield (Gross)1

11 1NII – Year 1 impact, represents percentage change for immediate parallel changes in rates 2Reflects percentage of loans classified as variable rate and repricing in ≤ 1yr, hybrid variable rate repricing in > 1yr, or fixed rate, including loans held for sale 3Schedule reflects remaining maturity or repricing frequency for all fixed rate loans or hybrid variable rate loans repricing in > 1yr, including loans held for sale asset sensitive balance sheet positioning Net Interest Income Sensitivity 1 Loans - Variable Exposure2 Fixed/Hybrid Years to Maturity/Repricing3 ‐8.1% 5.3% 9.6% ‐100 bps +100 bps +200 bps 12% 7% 9% 72% ≤1 yr 1-2 yrs 2-3 yrs > 3 yrs Variable ≤ 1yr 65% Hybrid >  1yr 8% Fixed 27%

liquid balance sheet presents opportunity 12 1Historical data adjusted for the merger with MainSource Financial Group, Inc. using the sum of the individual components. Historical Deposit and Loan Betas1 Total Deposit Beta Loan Beta Excess Liquidity Provides Significant Tailwind 25% 26% 28% 29% 30% 29% 28% 26% 4Q20 1Q21 2Q21 3Q21  4Q21  1Q22  2Q22  3Q22 Cash + Securities / Assets 81% 79% 76% 74% 72% 72% 77% 79% 4Q20 1Q21 2Q21 3Q21  4Q21  1Q22  2Q22  3Q22 Loans / Deposits Ratio 53.1% 79.0% 60.0% 3Q15‐2Q19 Fed Cycle (+225bps) 3Q19‐4Q21 Fed Cycle (‐225bps) 1Q22‐3Q22 Fed Cycle (+300bps) 24% 31% 4% 3Q15‐2Q19 Fed Cycle (+225bps) 3Q19‐4Q21 Fed Cycle (‐225bps) 1Q22‐3Q22 Fed Cycle (+300bps)

13 Liquidity Sources Available Borrowing Capacity Liquidity Sources • In addition to deposits, First Financial has approximately $6.8 billion of readily available funding sources to meet customer needs through the following sources: • Interest-bearing deposits with other banks • Fed funds • FHLB funding • Brokered CDs • Highly liquid securities • Fed discount window • Investment securities portfolio: • $856 million of expected cash flow from securities portfolio in next 12 months • $300 million of securities available to be sold at breakeven • Portfolio duration of 4.4 years at 9/30 liquidity and borrowing capacity Investment Liquidity (dollars shown in thousands) $4.3  $4.6  $4.5  $4.6  $4.8  $5.1  $4.5  $4.3  4Q20 1Q21 2Q21 3Q21  4Q21  1Q22  2Q22  3Q22 (dollars shown in billions) Interest-bearing deposits with other banks 338,778$ Fed funds 1,684,465 Unpledged investment securities 2,266,353 FHLB borrowing availability 469,304 Brokered CDs 1,321,086 Funds available through Fed Discount Window 746,171 Total as of September 30, 2022 6,826,157$

loan portfolio 14 Loan LOB Mix (EOP) Net Loan Change-LOB (Linked Quarter) All dollars shown in millions Total growth/(decline): $377.0 million $44.3 $140.0 $23.6 $0.8 $42.1 $69.3 $61.5 ‐$4.6 ICRE Commercial & Small Business Banking Oak Street Franchise Summit Consumer Mortgage PPP ICRE $3,503  36% Commercial &  Small Business  Banking $3,123  32% Oak Street $610  6% Franchise $295  3% Summit $177  2% Consumer $967  10% Mortgage $1,118  11% PPP $4  0% Total $9.8 Billion

deposits 15 Deposit Product Mix (Avg) 3Q22 Average Deposit Progression All dollars shown in millions Total growth/(decline): ($166.7) million $1.4 ‐$46.8 $15.0 ‐$48.8 ‐$58.1 $47.6 ‐$77.0 Interest‐bearing demand Noninterest‐bearing Savings Money Markets Retail CDs Brokered CDs Public Funds Interest‐bearing  demand $1,881  15% Noninterest‐ bearing $3,943  32% Savings $1,390  11% Money Markets $2,176  18% Retail CDs $849  7% Brokered CDs $127  1% Public Funds $2,005  16% Total $12.4 billion

noninterest income 16 Noninterest Income 3Q22 Highlights All dollars shown in thousands • Total fee income 23.6% of net revenue • Foreign exchange income of $11.8 million; decreased $1.7 million, or 12.8%, from record linked quarter • Trust and wealth management fees of $5.5 million decreased $0.8 million, or 13.1%, from the linked quarter due to market value changes • Deposit service charge income of $6.3 million; decreased $1.4 million, or 17.9%, from the linked quarter due to overdraft program changes • Mortgage banking income of $3.7 million; decreased $1.5 million, or 28.8%, from the linked quarter • Leasing business income of $7.1 million was flat compared to the linked quarter • Client derivative income of $1.4 million; $0.1 million, or 5.7%, increase from the linked quarter • Other noninterest income of $3.2 million; decreased $1.4 million, or 30.8% due to elevated income from limited partnership investments in second quarter Service Charges $6,279  15% Wealth Mgmt $5,487  13% Bankcard income $3,484  8% Client derivative fees $1,447  3% Foreign exchange  income $11,752  28% Leasing business  income $7,127  17% Mortgage  origination income $3,729  9% Other  $3,229  7% Total $42.5 million

noninterest expense 17 Noninterest Expense 3Q22 Highlights All dollars shown in thousands • Core expenses increased due to elevated incentive compensation tied to the Company’s performance and higher leasing business expenses • Adjustments include: • $17.2 million of tax credit investment writedowns • $1.7 million of other costs not expected to recur such as acquisition, branch consolidation and severance costs Salaries and  benefits $66,808  53% Occupancy  and  equipment $8,891  7% Data processing $8,497  7% Professional  services $2,346  2% Intangible  amortization $2,783  2% Leasing business  expense $5,746  5% Other $29,997  24% Total $125.1 million

current expected credit losses - loans and leases 18 ACL / Total Loans 3Q22 Highlights All dollars shown in thousands • $141.1 million combined ACL; $8.3 million combined provision expense • $124.1 million ACL – loans and leases, or 1.27% of loan balances; slight increase driven by strong loan growth and slower prepayment rates • Utilized Moody’s September baseline forecast in quantitative model • $17.0 million ACL – unfunded commitments ACL by Loan Type All dollars shown in millions $124.1$117.9$124.1$132.0 $148.9 1.27%1.25%1.34% 1.42% 1.59% 3Q222Q221Q224Q213Q21 Allowance for Credit Losses ACL / Total Loans 3Q21 4Q21 1Q22 2Q22 3Q22 Loans Commercial and industrial 43,534$              44,052$              37,783$              39,179$              41,032$              Lease financing 1,083                    1,633                    2,093                    2,212                    2,450                    Real estate ‐construction 15,390                 11,874                 11,410                 11,965                 14,046                 Real estate ‐ commercial 68,594                 53,420                 51,512                 39,856                 38,071                 Real estate ‐ residential 6,480                    6,225                    6,152                    7,383                    9,422                    Home equity 9,538                    9,643                    9,676                    10,980                 11,620                 Installment  1,177                    1,097                    1,075                    1,189                    4,855                    Credit card 3,107                    4,048                    4,429                    5,121                    2,600                    ACL‐loan and lease losses  148,903$           131,992$           124,130$           117,885$           124,096$               ACL‐unfunded commitments  11,607$              13,406$              13,179$              16,661$              17,046$

asset quality 19 Nonperforming Assets / Total AssetsClassified Assets / Total Assets Net Charge Offs & Provision Expense1 . 1 Provision includes both loans & leases and unfunded commitments All dollars shown in millions $2.5  $7.4  $2.3  $2.0  $1.7  ‐$10.1 ‐$7.7 ‐$5.8 ‐$0.8 $8.3 0.07%0.08%0.10% 0.32% 0.10% 3Q21 4Q21 1Q22 2Q22 3Q22 NCOs Provision Expense NCOs / Average Loans $115.1$119.8$106.8$104.8 $165.5 0.69%0.74%0.67%0.64% 1.04% 3Q222Q221Q224Q213Q21 Classified Assets Classified Assets / Total Assets $47.5$50.2$53.6$60.1 $77.8 0.29%0.31%0.33%0.37% 0.49% 3Q222Q221Q224Q213Q21 NPAs NPAs / Total Assets

capital 20 Tier 1 Common Equity Ratio Total Capital Ratio Tangible Common Equity Ratio 9/30 Risk Weighted Assets = $12,467,422 All capital numbers are considered preliminary. 1 Non-GAAP financial measure which management believes facilitates a better understanding of the Company’s financial condition. See Appendix for Non-GAAP reconciliation. Adjusted TCE excludes impact from AOCI Tier 1 Capital Ratio 8.21% 7.58% 6.95% 6.40% 5.79% 8.11% 7.58% 7.90% 8.01% 8.07% 3Q21 4Q21 1Q22 2Q22 3Q22 TCE ratio Adjusted TCE ratio 1 10.82%10.91%10.87%10.85% 11.55% 7.00% 3Q222Q221Q224Q213Q21 Tier 1 Common Equity Ratio Basel III minimum 11.17%11.28%11.24%11.22% 11.92% 8.50% 3Q222Q221Q224Q213Q21 Tier 1 Capital Ratio Basel III minimum 13.73%13.94%13.97%14.11% 14.97% 10.50% 3Q222Q221Q224Q213Q21 Total Capital Ratio Basel III minimum

capital strategy 21 Strategy & Deployment Tangible Book Value Per Share • 4.4% annualized dividend yield • 39.1% of 3Q22 earnings returned to shareholders through common dividend • Most recent internal stress testing indicates capital ratios above regulatory minimums in all modeled scenarios • Common dividend expected to remain unchanged in near-term • No shares repurchased in 3Q22; no plans to repurchase shares in near- term• Decline in TBV per share driven by decline in AOCI $9.48  $10.27  $10.97  $12.26  $13.09  3Q222Q221Q224Q213Q21 Tangible Book Value per Share

outlook commentary1 • Loan balances expected to grow high single digits in near term • Total deposit balances to remain flat or decline slightly over near term 22 • Expected to be $105-107 million • Growth in leasing business expense of ~$1 million per quarter as portfolio grows • Incentive expense will fluctuate with fee income Noninterest Expense Net Interest Margin Balance Sheet Credit • Continued stability in credit quality trends • ACL coverage to remain stable to slightly higher • Uncertainty regarding inflation and impact of rate hikes on macroeconomic environment Noninterest Income • Total fee income expected to be $44-46 million 1 See Forward Looking Statement Disclosure on page 2-3 of this presentation for a discussion of factors that could affect management’s expectations and results in future periods. • Expected to be 4.30% - 4.45% with anticipated interest rate increases • Asset sensitive position advantageous with rising rates Capital • Expect to maintain dividend at current levels Summit • Unchanged outlook; minimal impact on 2022 EPS • $400 million of annual originations, growing at double digits

The Company’s Investor Presentation contains certain financial information determined by methods other than in accordance with accounting principles generally accepted in the United States (GAAP). Such non-GAAP financial information should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. However, we believe that non-GAAP reporting provides meaningful information and therefore we use it to supplement our GAAP information. We have chosen to provide this supplemental information to investors, analysts and other interested parties to enable them to perform additional analyses of operating results, to illustrate the results of operations giving effect to the non-GAAP adjustments and to provide an additional measure of performance. We believe this information is helpful in understanding the results of operations separate and apart from items that may, or could, have a disproportional positive or negative impact in any given period. For a reconciliation of the differences between the non-GAAP financial measures and the most comparable GAAP measures, please refer to the following reconciliation tables. to GAAP Reconciliation 23 appendix: non-GAAP measures

appendix: non-GAAP to GAAP reconciliation 24 All dollars shown in thousands Net interest income and net interest margin - fully tax equivalent Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, 2022 2022 2022 2021 2021 Net interest income 137,892$ 117,010$ 106,345$ 110,806$ 113,410$ Tax equivalent adjustment 1,712 1,625 1,467 1,386 1,434 Net interest income - tax equivalent 139,604$ 118,635$ 107,812$ 112,192$ 114,844$ Average earning assets 13,917,815$ 13,780,243$ 13,848,596$ 13,793,644$ 13,724,403$ Net interest margin1 3.93 % 3.41 % 3.11 % 3.19 % 3.28 % Net interest margin (fully tax equivalent)1 3.98 % 3.45 % 3.16 % 3.23 % 3.32 % Three months ended 1 Margins are calculated using net interest income annualized divided by average earning assets. The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 21% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

appendix: non-GAAP to GAAP reconciliation 25 All dollars shown in thousands Additional non-GAAP ratios Sep. 30, June 30, Mar. 31, Dec. 31, Sep. 30, (Dollars in thousands, except per share data) 2022 2022 2022 2021 2021 Net income (a) 55,705$ 51,520$ 41,301$ 46,945$ 60,012$ Average total shareholders' equity 2,089,179 2,099,670 2,225,495 2,241,820 2,261,293 Less: Goodw ill (999,690) (999,958) (1,000,238) (938,453) (937,771) Other intangibles (97,781) (100,354) (103,033) (71,006) (72,529) Average tangible equity (b) 991,708 999,358 1,122,224 1,232,361 1,250,993 Total shareholders' equity 1,994,132 2,068,670 2,137,445 2,258,942 2,236,170 Less: Goodw ill (998,422) (999,959) (999,959) (1,000,749) (937,771) Other intangibles (96,528) (99,019) (101,673) (104,367) (71,663) Ending tangible equity (c) 899,182 969,692 1,035,813 1,153,826 1,226,736 Less: AOCI (354,570) (243,328) (142,477) (433) 14,230 Ending tangible equity less AOCI (d) 1,253,752 1,213,020 1,178,290 1,154,259 1,212,506 Total assets 16,623,793 16,243,714 16,009,150 16,329,141 15,956,593 Less: Goodw ill (998,422) (999,959) (999,959) (1,000,749) (937,771) Other intangibles (96,528) (99,019) (101,673) (104,367) (71,663) Ending tangible assets (e) 15,528,843 15,144,736 14,907,518 15,224,025 14,947,159 Risk-w eighted assets (f) 12,467,422 11,982,860 11,705,447 11,642,201 11,399,375 Total average assets 16,385,989 16,185,978 16,184,919 16,036,417 15,995,808 Less: Goodw ill (999,690) (999,958) (1,000,238) (938,453) (937,771) Other intangibles (97,781) (100,354) (103,033) (71,006) (72,529) Average tangible assets (g) 15,288,518$ 15,085,666$ 15,081,648$ 15,026,958$ 14,985,508$ Ending shares outstanding (h) 94,833,964 94,448,792 94,451,496 94,149,240 93,742,797 Ratios Return on average tangible shareholders' equity (a)/(b) 22.29% 20.68% 14.93% 15.11% 19.03% Ending tangible equity as a percent of: Ending tangible assets (c)/(e) 5.79% 6.40% 6.95% 7.58% 8.21% Risk-w eighted assets (c)/(f) 7.21% 8.09% 8.85% 9.91% 10.76% Ending tangible equity excluding AOCI as a percent of: Ending tangible assets (d)/(e) 8.07% 8.01% 7.90% 7.58% 8.11% Average tangible equity as a percent of average tangible assets (b)/(g) 6.49% 6.62% 7.44% 8.20% 8.35% Tangible book value per share (c)/(h) 9.48$ 10.27$ 10.97$ 12.26$ 13.09$ Three months ended,

appendix: non-GAAP to GAAP reconciliation 26 Additional non-GAAP measures 1Q22 4Q21 3Q21 As Reported Adjusted As Reported Adjusted As Reported Adjusted As Reported Adjusted As Reported Adjusted Net interest income (f) 137,892$ 137,892$ 117,010$ 117,010$ 106,345$ 106,345$ 110,806$ 110,806$ 113,410$ 113,410$ Provision for credit losses-loans and leases (j) 7,898 7,898 (4,267) (4,267) (5,589) (5,589) (9,525) (9,525) (8,193) (8,193) Provision for credit losses-unfunded commitments (j) 386 386 3,481 3,481 (226) (226) 1,799 1,799 (1,951) (1,951) Noninterest income 42,534 42,534 49,778 49,778 41,294 41,294 45,660 45,660 42,537 42,537 less: gains (losses) on sale of investment securities (880) (1,054) (196) 306 (205) less: other - - - - 500 Total noninterest income (g) 42,534 43,414 49,778 50,832 41,294 41,490 45,660 45,354 42,537 42,242 Noninterest expense 125,068 125,068 103,034 103,034 102,805 102,805 109,605 109,605 99,058 99,058 less: severance and merger-related expenses - - - - - less: tax credit investments 17,212 104 104 6,120 5,309 less: legal settlement - - - 3,456 - less: Summit acquisition costs 76 100 323 4,095 - less: COVID-19 and other 1,671 666 2,354 1,870 181 Total noninterest expense (e) 125,068 106,109 103,034 102,164 102,805 100,024 109,605 94,064 99,058 93,568 Income before income taxes (i) 47,074 66,913 64,540 66,464 50,649 53,626 54,587 69,822 67,033 72,228 Income tax expense (8,631) (8,631) 13,020 13,020 9,348 9,348 7,642 7,642 7,021 7,021 plus: tax effect of adjustments 13,598 82 83 4,835 4,194 plus: after-tax impact of tax credit investments @ 21% 4,166 404 625 3,199 1,091 Total income tax expense (h) (8,631) 9,133 13,020 13,506 9,348 10,056 7,642 15,676 7,021 12,306 Net income (a) 55,705$ 57,780$ 51,520$ 52,958$ 41,301$ 43,570$ 46,945$ 54,146$ 60,012$ 59,922$ Average diluted shares (b) 94,794 94,794 94,450 94,450 94,264 94,264 93,762 93,762 95,144 95,144 Average assets (c) 16,385,989 16,385,989 16,185,978 16,185,978 16,184,919 16,184,919 16,036,417 16,036,417 15,995,808 15,995,808 Average shareholders' equity 2,089,179 2,089,179 2,099,670 2,099,670 2,225,495 2,225,495 2,241,820 2,241,820 2,261,293 2,261,293 Less: Goodwill and other intangibles (1,097,471) (1,097,471) (1,100,312) (1,100,312) (1,103,271) (1,103,271) (1,009,459) (1,009,459) (1,010,300) (1,010,300) Average tangible equity (d) 991,708 991,708 999,358 999,358 1,122,224 1,122,224 1,232,361 1,232,361 1,250,993 1,250,993 Ratios Net earnings per share - diluted (a)/(b) 0.59$ 0.61$ 0.55$ 0.56$ 0.44$ 0.46$ 0.50$ 0.58$ 0.63$ 0.63$ Return on average assets - (a)/(c) 1.35% 1.40% 1.28% 1.31% 1.03% 1.09% 1.16% 1.34% 1.49% 1.49% Pre-tax, pre-provision return on average assets - ((a)+(j)+(h))/(c) 1.34% 1.82% 1.58% 1.63% 1.12% 1.20% 1.16% 1.54% 1.41% 1.54% Return on average tangible shareholders' equity - (a)/(d) 22.29% 23.12% 20.68% 21.26% 14.93% 15.75% 15.11% 17.43% 19.03% 19.00% Efficiency ratio - (e)/((f)+(g)) 69.3% 58.5% 61.8% 60.9% 69.6% 67.7% 70.1% 60.2% 63.5% 60.1% Effective tax rate - (h)/(i) -18.3% 13.6% 20.2% 20.3% 18.5% 18.8% 14.0% 22.5% 10.5% 17.0% (Dollars in thousands, except per share data) 3Q22 2Q22

27 First Financial Bancorp First Financial Center 255 East Fifth Street Cincinnati, OH 45202

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