ibcp-20230725

Exhibit 99.1

NEWS RELEASE

Independent Bank Corporation

4200 East Beltline

Grand Rapids, MI 49525

616.527.5820


For Release:			Immediately
Contact:			William B. Kessel, President and CEO, 616.447.3933 Gavin A. Mohr, Chief Financial Officer, 616.447.3929

INDEPENDENT BANK CORPORATION REPORTS 2023 SECOND QUARTER RESULTS

Second Quarter Highlights

Highlights for the second quarter of 2023 include:

•An increase in net interest income of 6.3% over the second quarter of 2022;

•An increase in book value and tangible book value per share of $0.51;

•Net growth in loans of $121.3 million (or 13.9% annualized); and

•The payment of a 23 cent per share dividend on common stock on May 15, 2023.

GRAND RAPIDS, Mich., July 25, 2023 - Independent Bank Corporation (NASDAQ: IBCP) reported second quarter 2023 net income of $14.8 million, or $0.70 per diluted share, versus net income of $13.0 million, or $0.61 per diluted share, in the prior-year period. For the six months ended June 30, 2023, the Company reported net income of $27.8 million, or $1.31 per diluted share, compared to net income of $31.0 million, or $1.45 per diluted share, in the prior year period.

William B. (“Brad”) Kessel, the President and Chief Executive Officer of Independent Bank Corporation, commented: “We delivered another quarter of strong financial results with net income and pre-tax, pre-provision income both increasing from the prior quarter. We continue to see good stability in our deposit base and have successfully grown our client base and brought in new, full banking relationships. Economic conditions remain healthy throughout our markets and we continue to see attractive lending opportunities, which led to our total loans increasing at a 14% annualized rate in the second quarter. We have a solid pipeline of high quality commercial lending opportunities, and we believe that we can continue to grow our client base and deliver strong financial performance for our shareholders.”

Significant items impacting comparable second quarter 2023 and 2022 results include the following:

•Changes in the fair value due to price of capitalized mortgage loan servicing rights (the “MSR Changes”) of $2.4 million ($0.09 per diluted share, after taxes) for the three-month period ended June 30, 2023, as compared to $3.1 million ($0.12 per diluted share, after taxes) for the three-months ended June 30, 2022.

•The provision for credit losses on loans was an expense of $3.3 million ($0.12 per diluted share, after taxes) in the second quarter ended June 30, 2023, as compared to an expense of $2.4 million ($0.09 per diluted share, after taxes) in the second quarter ended June 30, 2022.

Operating Results

The Company’s net interest income totaled $38.4 million during the second quarter of 2023, an increase of $2.3 million, or 6.3% from the year-ago period, and down $0.1 million, or 0.2%, from the first quarter of 2023. The Company’s tax equivalent net interest income as a percent of average interest-earning assets (the “net interest margin”) was 3.26% during the second quarter of 2023, compared to 3.26% in the year-ago period, and 3.33% in the first quarter of 2023. The year-over-year quarterly increase in net interest income was due to an increase in average interest-earning assets. The decrease in net interest income compared to the linked quarter was due to a decrease in net interest margin that was partially offset by an increase in average interest-earning assets. Average interest-earning assets were $4.76 billion in the second quarter of 2023, compared to $4.49 billion in the year ago quarter and $4.70 billion in the first quarter of 2023.

For the first six months of 2023, net interest income totaled $76.8 million, an an increase of $7.7 million, or 11.2% from the first six months in 2022. The Company’s net interest margin for the first six months of 2023 was 3.29% compared to 3.13% in 2022. The increase in net interest income for the first six months of 2023 compared to 2022 reflects this improved margin as well as our increase in average interest- earning assets.

Non-interest income totaled $15.4 million and $26.0 million, respectively, for the second quarter and for the first six months 2023, compared to $14.6 million and $33.6 million in the respective comparable prior year periods. These changes were primarily due to variances in mortgage banking related revenues and a loss on securities available for sale.

Net gains on mortgage loans in the second quarters of 2023 and 2022, were approximately $2.1 million and $1.3 million, respectively. For the first six months of 2023, net gains on mortgage loans totaled $3.4 million compared to $2.1 million in 2022. The increase in net gains on mortgage loans was primarily due to a increase in the gain on sale margin on mortgage loan sold that was partially offset by a decrease in the volume of mortgage loans sold.

Mortgage loan servicing, net, generated income of $3.7 million and $4.2 million in the second quarters of 2023 and 2022, respectively. For the first six months of 2023 and 2022, mortgage loan servicing, net, generated income of $4.4 million and $13.8 million, respectively. The significant variance in mortgage loan servicing, net is primarily due to changes in the fair value of capitalized mortgage loan servicing rights associated with the magnitude of changes in mortgage loan interest rates and expected future prepayment levels between periods. Mortgage loan servicing, net activity is summarized in the following table:


	Three months ended				Six months ended
	6/30/2023		6/30/2022		6/30/2023		6/30/2022
	(In thousands)
Mortgage loan servicing, net:
Revenue, net	$	2,193	$	2,124	$	4,415	$	4,207
Fair value change due to price	2,443		3,120		1,808		11,572
Fair value change due to pay-downs	(962)		(1,082)		(1,823)		(1,976)
Total	$	3,674	$	4,162	$	4,400	$	13,803

Non-interest expenses totaled $32.2 million in the second quarter of 2023, compared to $32.4 million in the year-ago period. For the first six months of 2023, non-interest expenses totaled $63.2 million versus $63.9 million in 2022.

The Company recorded income tax expense of $3.4 million and $6.3 million in the second quarter and first six months of 2023, respectively. This compares to an income tax expense of $2.9 million and $7.0 million in the second quarter and first six months of 2022. The changes in income tax expense principally reflect changes in pre-tax earnings in 2023 relative to 2022.

Asset Quality

A breakdown of non-performing loans by loan type is as follows:


	6/30/2023			12/31/2022			6/30/2022
Loan Type	(Dollars in thousands)
Commercial	$	33		$	38		$	56
Mortgage	6,149			4,745			5,074
Installment	694			598			729
Sub total	6,876			5,381			5,859
Less - government guaranteed loans	2,882			1,660			1,360
Total non-performing loans	$	3,994		$	3,721		$	4,499
Ratio of non-performing loans to total portfolio loans	0.11		%	0.11		%	0.14		%
Ratio of non-performing assets to total assets	0.09		%	0.08		%	0.10		%
Ratio of allowance for credit losses to total non-performing loans	1351.13		%	1409.16		%	1064.30		%

The provision for credit losses on loans was an expense of $3.3 million and $2.2 million in the second quarters of 2023 and 2022, respectively. The provision for credit losses on loans was an expense of $2.5 million and an expense of $0.6 million in the first six months of 2023 and 2022, respectively. The quarterly change in the provision for credit losses on loans in 2023 compared to 2022, was primarily the result of a an increase in specific reserve on one commercial credit as well as increases in the pooled loan reserve and subjective loan allocations due primarily to loan growth. The year-to-date increase in the provision for credit losses in 2023 compared to 2022, was primarily the result of a combination of increases in net commercial specific allocations, pooled loan reserve and subjective loan allocations due to loan growth We recorded loan net charge offs (recoveries) of $(0.10) million and $(0.04) million in the second quarters of 2023 and 2022, respectively and $0.96 million and $0.02 million during the first six months of 2023 and 2022, respectively. At June 30, 2023, the allowance for credit losses for loans totaled $54.0 million, or 1.49% of total portfolio loans compared to $52.4 million, or 1.51% of total portfolio loans at December 31, 2022. The year-to-date increase in the provision for credit losses for securities HTM in 2023 compared to 2022, was the result of a loss incurred on a $3.0 million subordinated debt security that defaulted during the first quarter.

Balance Sheet, Capital and Liquidity

Total assets were $5.14 billion at June 30, 2023, an increase of $135.8 million from December 31, 2022. Loans, excluding loans held for sale, were $3.63 billion at June 30, 2023, compared to $3.47 billion at December 31, 2022. Deposits totaled $4.49 billion at June 30, 2023, an increase of $108.6 million from December 31, 2022. This increase is primarily due to growth in reciprocal, time and brokered time deposit account balances that were partially offset by decreases in non-interest bearing and in savings and interest-bearing checking deposit account balances.

Cash and cash equivalents totaled $129.2 million at June 30, 2023, versus $74.4 million at December 31, 2022. Securities available for sale (“AFS”) totaled $731.8 million at June 30, 2023, versus $779.3 million at December 31, 2022.

Total shareholders’ equity was $375.2 million at June 30, 2023, or 7.31% of total assets compared to $347.6 million or 6.95% at December 31, 2022. Tangible common equity totaled $344.6 million at June 30, 2023, or $16.45 per share compared to $316.7 million or $15.04 per share at December 31, 2022. The increase in shareholder equity as well as tangible common equity are primarily the result of earnings retention and a decrease in accumulated other comprehensive loss related to unrealized losses on securities available for sale.

The Company’s wholly owned subsidiary, Independent Bank, remains significantly above “well capitalized” for regulatory purposes with the following ratios:


Regulatory Capital Ratios	6/30/2023		12/31/2022		Well Capitalized Minimum

Tier 1 capital to average total assets	8.72	%	8.56	%	5.00	%
Tier 1 common equity to risk-weighted assets	11.11	%	10.97	%	6.50	%
Tier 1 capital to risk-weighted assets	11.11	%	10.97	%	8.00	%
Total capital to risk-weighted assets	12.36	%	12.22	%	10.00	%

At June 30, 2023, in addition to liquidity available from our normal operating, funding, and investing activities, we had unused credit lines with the FHLB and FRB of approximately $926.9 million and $476.5 million, respectively. We also had approximately $866.9 million in fair value of unpledged securities AFS and HTM at June 30, 2023 which could be pledged for an estimated additional borrowing capacity at the FHLB and FRB of approximately $800.1 million.

Share Repurchase Plan

On December 20, 2022, the Board of Directors of the Company authorized the 2023 share repurchase plan. Under the terms of the 2023 share repurchase plan, the Company is authorized to purchase up to 1,100,000 shares, or approximately 5% of its then outstanding common stock. The repurchase plan is authorized to last through December 31, 2023. During the second quarter of 2023, the Company repurchased 200,000 shares of common stock, for an aggregate purchase price of $3.3 million.

Earnings Conference Call

Brad Kessel, President and CEO, Gavin Mohr, CFO and Joel Rahn, EVP – Commercial Banking will review the quarterly results in a conference call for investors and analysts beginning at 11:00 am ET on Tuesday, July 25, 2023.

To participate in the live conference call, please dial 1-833-470-1428 (Access Code # 245095). Also, the conference call will be accessible through an audio webcast with user-controlled slides via the following site/URL: https://events.q4inc.com/attendee/289851319.

A playback of the call can be accessed by dialing 1-866-813-9403 (Access Code # 212125). The replay will be available through August 1, 2023.

About Independent Bank Corporation

Independent Bank Corporation (NASDAQ: IBCP) is a Michigan-based bank holding company with total assets of approximately $5.1 billion. Founded as First National Bank of Ionia in 1864, Independent Bank Corporation operates a branch network across Michigan's Lower Peninsula through one state-chartered bank subsidiary. This subsidiary (Independent Bank) provides a full range of financial services, including commercial banking, mortgage lending, consumer banking, investments and insurance. Independent Bank Corporation is committed to providing exceptional personal service and value to its customers, stockholders and the communities it serves.

For more information, please visit our Web site at: IndependentBank.com.

Forward-Looking Statements

This presentation contains forward-looking statements, which are any statements or information that are not historical facts. These forward-looking statements include statements about our anticipated future revenue and expenses and our future plans and prospects.

Forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated. For example, deterioration in general business and economic conditions or turbulence in domestic or global financial markets could adversely affect our revenues and the values of our assets and liabilities, reduce the availability of funding to us, lead to a tightening of credit, and increase stock price volatility. Our results could also be adversely affected by changes in interest rates; increases in unemployment rates; deterioration in the credit quality of our loan portfolios or in the value of the collateral securing those loans; deterioration in the value of our investment securities; legal and regulatory developments; changes in customer behavior and preferences; breaches in data security; and management’s ability to effectively manage the multitude of risks facing our business. Key risk factors that could affect our future results are described in more detail in our Annual Report on Form 10-K for the year ended

December 31, 2022 and the other reports we file with the SEC, including under the heading “Risk Factors.” Investors should not place undue reliance on forward-looking statements as a prediction of our future results.

Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

INDEPENDENT BANK CORPORATION AND SUBSIDIARIES

Consolidated Statements of Financial Condition


	June 30, 2023		December 31, 2022
	(Unaudited)
	(In thousands, except share amounts)
Assets
Cash and due from banks	$	61,225	$	70,180
Interest bearing deposits	67,967		4,191
Cash and Cash Equivalents	129,192		74,371
Securities available for sale	731,777		779,347
Securities held to maturity (fair value of $321,860 at June 30, 2023 and $335,418 at December 31, 2022)	360,926		374,818
Federal Home Loan Bank and Federal Reserve Bank stock, at cost	18,131		17,653
Loans held for sale, carried at fair value	20,270		26,518
Loans held for sale, carried at lower of cost or fair value	—		20,367
Loans
Commercial	1,538,162		1,466,853
Mortgage	1,441,398		1,368,409
Installment	651,554		630,090
Total Loans	3,631,114		3,465,352
Allowance for credit losses	(53,964)		(52,435)
Net Loans	3,577,150		3,412,917
Other real estate and repossessed assets, net	658		455
Property and equipment, net	36,157		35,893
Bank-owned life insurance	54,507		55,204
Capitalized mortgage loan servicing rights, carried at fair value	44,427		42,489
Other intangibles	2,278		2,551
Goodwill	28,300		28,300
Accrued income and other assets	131,791		128,904
Total Assets	$	5,135,564	$	4,999,787

Liabilities and Shareholders' Equity
Deposits
Non-interest bearing	$	1,155,537	$	1,269,759
Savings and interest-bearing checking	1,929,021		1,973,308
Reciprocal	720,985		602,575
Time	431,249		321,492
Brokered time	250,844		211,935
Total Deposits	4,487,636		4,379,069
Other borrowings	90,015		86,006
Subordinated debt	39,472		39,433
Subordinated debentures	39,694		39,660
Accrued expenses and other liabilities	103,585		108,023
Total Liabilities	4,760,402		4,652,191

Shareholders’ Equity
Preferred stock, no par value, 200,000 shares authorized; none issued or outstanding	—		—
Common stock, no par value, 500,000,000 shares authorized; issued and outstanding: 20,943,694 shares at June 30, 2023 and 21,063,971 shares at December 31, 2022	318,241		320,991
Retained earnings	137,431		119,368
Accumulated other comprehensive loss	(80,510)		(92,763)
Total Shareholders’ Equity	375,162		347,596
Total Liabilities and Shareholders’ Equity	$	5,135,564	$	4,999,787

INDEPENDENT BANK CORPORATION AND SUBSIDIARIES

Consolidated Statements of Operations


	Three Months Ended						Six Months Ended
	June 30, 2023		March 31, 2023		June 30, 2022		June 30,
							2023		2022
	(Unaudited)
Interest Income	(In thousands, except per share amounts)
Interest and fees on loans	$	47,679	$	44,294	$	31,454	$	91,973	$	59,872
Interest on securities
Taxable	5,919		5,884		4,950		11,803		9,502
Tax-exempt	3,283		3,083		1,746		6,366		3,300
Other investments	1,067		675		214		1,742		431
Total Interest Income	57,948		53,936		38,364		111,884		73,105
Interest Expense
Deposits	17,461		13,760		1,216		31,221		1,983
Other borrowings and subordinated debt and debentures	2,137		1,735		1,087		3,872		2,060
Total Interest Expense	19,598		15,495		2,303		35,093		4,043
Net Interest Income	38,350		38,441		36,061		76,791		69,062
Provision for credit losses	3,317		2,160		2,379		5,477		806
Net Interest Income After Provision for Credit Losses	35,033		36,281		33,682		71,314		68,256
Non-interest Income
Interchange income	3,355		3,205		3,422		6,560		6,504
Service charges on deposit accounts	3,134		2,857		3,096		5,991		6,053
Net gains (losses) on assets
Mortgage loans	2,120		1,256		1,253		3,376		2,088
Securities available for sale	—		(222)		(345)		(222)		(275)
Mortgage loan servicing, net	3,674		726		4,162		4,400		13,803
Other	3,134		2,729		3,044		5,863		5,407
Total Non-interest Income	15,417		10,551		14,632		25,968		33,580
Non-interest Expense
Compensation and employee benefits	20,602		19,339		19,882		39,941		40,012
Data processing	2,891		2,991		2,644		5,882		4,860
Occupancy, net	1,845		2,159		2,077		4,004		4,620
Interchange expense	1,054		1,049		1,262		2,103		2,273
Furniture, fixtures and equipment	929		926		1,042		1,855		2,087
FDIC deposit insurance	749		783		457		1,532		979
Loan and collection	620		578		647		1,198		1,206
Legal and professional	473		607		479		1,080		972
Advertising	431		495		560		926		1,240
Costs (recoveries) related to unfunded lending commitments	100		(475)		649		(375)		294
Communications	635		668		762		1,303		1,519
Other	1,919		1,837		1,973		3,756		3,822
Total Non-interest Expense	32,248		30,957		32,434		63,205		63,884
Income Before Income Tax	18,202		15,875		15,880		34,077		37,952
Income tax expense	3,412		2,884		2,879		6,296		6,984
Net Income	$	14,790	$	12,991	$	13,001	$	27,781	$	30,968
Net Income Per Common Share
Basic	$	0.70	$	0.62	$	0.62	$	1.32	$	1.47
Diluted	$	0.70	$	0.61	$	0.61	$	1.31	$	1.45

INDEPENDENT BANK CORPORATION AND SUBSIDIARIES

Selected Financial Data


	June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
	(unaudited)
	(Dollars in thousands except per share data)
Three Months Ended
Net interest income	$	38,350		$	38,441		$	40,602		$	39,897		$	36,061
Provision for credit losses	3,317			2,160			1,390			3,145			2,379
Non-interest income	15,417			10,551			11,468			16,861			14,632
Non-interest expense	32,248			30,957			32,091			32,366			32,434
Income before income tax	18,202			15,875			18,589			21,247			15,880
Income tax expense	3,412			2,884			3,503			3,950			2,879
Net income	$	14,790		$	12,991		$	15,086		$	17,297		$	13,001

Basic earnings per share	$	0.70		$	0.62		$	0.72		$	0.82		$	0.62
Diluted earnings per share	0.70			0.61			0.71			0.81			0.61
Cash dividend per share	0.23			0.23			0.22			0.22			0.22

Average shares outstanding	21,040,349			21,103,831			21,064,556			21,057,673			21,070,266
Average diluted shares outstanding	21,222,535			21,296,980			21,266,876			21,251,933			21,266,476

Performance Ratios
Return on average assets	1.18		%	1.06		%	1.21		%	1.40		%	1.10		%
Return on average equity	16.29			14.77			17.94			20.48			15.68
Efficiency ratio (1)	59.26			62.07			60.82			56.26			62.50

As a Percent of Average Interest-Earning Assets (1)
Interest income	4.91		%	4.67		%	4.41		%	3.92		%	3.47		%
Interest expense	1.65			1.34			0.89			0.43			0.21
Net interest income	3.26			3.33			3.52			3.49			3.26

Average Balances
Loans	$	3,567,920		$	3,494,169		$	3,449,944		$	3,360,621		$	3,145,095
Securities	1,111,670			1,146,075			1,164,809			1,226,203			1,312,934
Total earning assets	4,763,295			4,696,786			4,637,475			4,610,307			4,493,714
Total assets	5,044,746			4,988,440			4,934,859			4,884,841			4,758,960
Deposits	4,447,843			4,417,106			4,350,748			4,326,958			4,221,047
Interest bearing liabilities	3,415,621			3,304,868			3,159,374			3,075,210			3,005,103
Shareholders' equity	364,143			356,720			333,610			335,120			332,610

(1)Presented on a fully tax equivalent basis assuming a marginal tax rate of 21%.

INDEPENDENT BANK CORPORATION AND SUBSIDIARIES

Selected Financial Data (continued)


	June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
	(unaudited)
	(Dollars in thousands except per share data)
End of Period
Capital
Tangible common equity ratio	6.75		%	6.60		%	6.37		%	6.15		%	6.26		%
Tangible common equity ratio excluding accumulated other comprehensive loss	8.09			7.95			7.98			7.86			7.78
Average equity to average assets	7.22			7.15			6.76			6.86			6.99
Total capital to risk-weighted assets (2)	13.68			13.80			13.62			13.58			13.64
Tier 1 capital to risk-weighted assets (2)	11.44			11.53			11.36			11.29			11.33
Common equity tier 1 capital to risk-weighted assets (2)	10.48			10.55			10.38			10.29			10.30
Tier 1 capital to average assets (2)	8.87			8.92			8.86			8.77			8.74
Common shareholders' equity per share of common stock	$	17.91		$	17.40		$	16.50		$	15.78		$	15.73
Tangible common equity per share of common stock	16.45			15.94			15.04			14.30			14.25
Total shares outstanding	20,943,694			21,138,303			21,063,971			21,063,954			21,049,218

Selected Balances
Loans	$	3,631,114		$	3,509,809		$	3,465,352		$	3,409,858		$	3,258,850
Securities	1,092,703			1,137,103			1,154,165			1,183,701			1,241,312
Total earning assets	4,830,185			4,860,696			4,688,246			4,633,876			4,552,185
Total assets	5,135,564			5,138,934			4,999,787			4,931,377			4,826,209
Deposits	4,487,636			4,544,749			4,379,069			4,327,028			4,290,574
Interest bearing liabilities	3,501,280			3,481,511			3,274,409			3,116,027			3,037,278
Shareholders' equity	375,162			367,714			347,596			332,308			331,134

(2)June 30, 2023 are Preliminary.

Reconciliation of Non-GAAP Financial Measures

Independent Bank Corporation

Independent Bank Corporation believes non-GAAP measures are meaningful because they reflect adjustments commonly made by management, investors, regulators and analysts to evaluate the adequacy of common equity and performance trends. Tangible common equity is used by the Company to measure the quality of capital.

Reconciliation of Non-GAAP Financial Measures


	Three Months Ended June 30,						Six Months Ended June 30,
	2023			2022			2023			2022
	(Dollars in thousands)
Net Interest Margin, Fully Taxable Equivalent ("FTE")

Net interest income	$	38,350		$	36,061		$	76,791		$	69,062
Add: taxable equivalent adjustment	423			481			862			963
Net interest income - taxable equivalent	$	38,773		$	36,542		$	77,653		$	70,025
Net interest margin (GAAP) (1)	3.23		%	3.21		%	3.26		%	3.09		%
Net interest margin (FTE) (1)	3.26		%	3.26		%	3.29		%	3.13		%

(1)Annualized.

Tangible Common Equity Ratio


	June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
	(Dollars in thousands)
Common shareholders' equity	$	375,162		$	367,714		$	347,596		$	332,308		$	331,134
Less:
Goodwill	28,300			28,300			28,300			28,300			28,300
Other intangibles	2,278			2,415			2,551			2,697			2,871
Tangible common equity	344,584			336,999			316,745			301,311			299,963
Addition:
Accumulated other comprehensive loss for regulatory purposes	74,712			75,013			86,966			91,248			79,206
Tangible common equity excluding other comprehensive loss adjustments	$	419,296		$	412,012		$	403,711		$	392,559		$	379,169

Total assets	$	5,135,564		$	5,138,934		$	4,999,787		$	4,931,377		$	4,826,209
Less:
Goodwill	28,300			28,300			28,300			28,300			28,300
Other intangibles	2,278			2,415			2,551			2,697			2,871
Tangible assets	5,104,986			5,108,219			4,968,936			4,900,380			4,795,038
Addition:
Net unrealized losses on available for sale securities and derivatives, net of tax	74,712			75,013			86,966			91,248			79,206
Tangible assets excluding other comprehensive loss adjustments	$	5,179,698		$	5,183,232		$	5,055,902		$	4,991,628		$	4,874,244

Common equity ratio	7.31		%	7.16		%	6.95		%	6.74		%	6.86		%
Tangible common equity ratio	6.75		%	6.60		%	6.37		%	6.15		%	6.26		%
Tangible common equity ratio excluding other comprehensive loss	8.09		%	7.95		%	7.98		%	7.86		%	7.78		%

Tangible Common Equity per Share of Common Stock:

Common shareholders' equity	$	375,162		$	367,714		$	347,596		$	332,308		$	331,134
Tangible common equity	$	344,584		$	336,999		$	316,745		$	301,311		$	299,963
Shares of common stock outstanding (in thousands)	20,944			21,138			21,064			21,064			21,049

Common shareholders' equity per share of common stock	$	17.91		$	17.40		$	16.50		$	15.78		$	15.73
Tangible common equity per share of common stock	$	16.45		$	15.94		$	15.04		$	14.30		$	14.25

The tangible common equity ratio removes the effect of goodwill and other intangible assets from capital and total assets. Tangible common equity per share of common stock removes the effect of goodwill and other intangible assets from common shareholders’ equity per share of common stock.

Exhibit 99.2

INDEPENDENT BANK CORPORATION AND SUBSIDIARIES

Supplemental Data

Non-performing assets


	June 30, 2023			March 31, 2023			December 31, 2022			September 30, 2022			June 30, 2022
	(Dollars in thousands)
Non-accrual loans	$	6,876		$	6,216		$	5,381		$	5,307		$	5,859
Loans 90 days or more past due and still accruing interest	—			—			—			—			—
Subtotal	6,876			6,216			5,381			5,307			5,859
Less: Government guaranteed loans	2,882			2,330			1,660			1,491			1,360
Total non-performing loans	3,994			3,886			3,721			3,816			4,499
Other real estate and repossessed assets	658			499			455			348			508
Total non-performing assets	$	4,652		$	4,385		$	4,176		$	4,164		$	5,007

As a percent of Portfolio Loans
Non-performing loans	0.11		%	0.11		%	0.11		%	0.11		%	0.14		%
Allowance for credit losses	1.49			1.44			1.51			1.50			1.47
Non-performing assets to total assets	0.09			0.09			0.08			0.08			0.10
Allowance for credit losses as a percent of non-performing loans	1,351.13			1,300.82			1,409.16			1,340.20			1,064.30

Allowance for credit losses


	Six months ended June 30,
	2023							2022
	Loans			Securities		Unfunded Commitments		Loans			Securities		Unfunded Commitments
	(Dollars in thousands)
Balance at beginning of period	$	52,435		$	168	$	5,080	$	47,252		$	—	$	4,481
Additions (deductions)
Provision for credit losses	2,485			2,992		—		648			158		—
Recoveries credited to allowance	1,325			—		—		1,274			—		—
Assets charged against the allowance	(2,281)			(3,000)		—		(1,291)			—		—
Additions included in non-interest expense	—			—		(375)		—			—		294
Balance at end of period	$	53,964		$	160	$	4,705	$	47,883		$	158	$	4,775

Net loans charged (recovered) against the allowance to average Portfolio Loans	0.05		%					0.00		%


1

Capitalization


	June 30, 2023		December 31, 2022
	(In thousands)
Subordinated debt	$	39,472	$	39,433
Subordinated debentures	39,694		39,660
Amount not qualifying as regulatory capital	(696)		(657)
Amount qualifying as regulatory capital	78,470		78,436
Shareholders’ equity
Common stock	318,241		320,991
Retained earnings	137,431		119,368
Accumulated other comprehensive income (loss)	(80,510)		(92,763)
Total shareholders’ equity	375,162		347,596
Total capitalization	$	453,632	$	426,032

Non-Interest Income


	Three months ended						Six months ended
	June 30, 2023		March 31, 2023		June 30, 2022		June 30,
							2023		2022
	(In thousands)
Interchange income	$	3,355	$	3,205	$	3,422	$	6,560	$	6,504
Service charges on deposit accounts	3,134		2,857		3,096		5,991		6,053
Net gains (losses) on assets
Mortgage loans	2,120		1,256		1,253		3,376		2,088
Securities	—		(222)		(345)		(222)		(275)
Mortgage loan servicing, net	3,674		726		4,162		4,400		13,803
Investment and insurance commissions	744		827		682		1,571		1,420
Bank owned life insurance	98		111		105		209		243
Other	2,292		1,791		2,257		4,083		3,744
Total non-interest income	$	15,417	$	10,551	$	14,632	$	25,968	$	33,580

Capitalized Mortgage Loan Servicing Rights


	Three months ended June 30,				Six months ended June 30,
	2023		2022		2023		2022
	(In thousands)
Balance at beginning of period	$	41,923	$	35,933	$	42,489	$	26,232
Originated servicing rights capitalized	1,023		1,506		1,953		3,649
Change in fair value	1,481		2,038		(15)		9,596
Balance at end of period	$	44,427	$	39,477	$	44,427	$	39,477


2

Mortgage Loan Activity


	Three months ended									Six months ended
	June 30, 2023			March 31, 2023			June 30, 2022			June 30,
										2023			2022
	(Dollars in thousands)
Mortgage loans originated	$	160,515		$	113,021		$	317,683		$	273,536		$	587,877
Mortgage loans sold	99,025			106,846			142,977			205,871			364,702
Net gains on mortgage loans	2,120			1,256			1,253			3,376			2,088
Net gains as a percent of mortgage loans sold ("Loan Sales Margin")	2.14		%	1.18		%	0.88		%	1.64		%	0.57		%
Fair value adjustments included in the Loan Sales Margin	1.03		%	1.20		%	(0.27)		%	1.12		%	(1.24)		%

Non-Interest Expense


	Three months ended						Six months ended
	June 30, 2023		March 31, 2023		June 30, 2022		June 30,
							2023		2022
	(In thousands)
Compensation	$	13,523	$	13,269	$	12,533	$	26,792	$	24,968
Performance-based compensation	3,220		2,245		3,776		5,465		7,438
Payroll taxes and employee benefits	3,859		3,825		3,573		7,684		7,606
Compensation and employee benefits	20,602		19,339		19,882		39,941		40,012
Data processing	2,891		2,991		2,644		5,882		4,860
Occupancy, net	1,845		2,159		2,077		4,004		4,620
Interchange expense	1,054		1,049		1,262		2,103		2,273
Furniture, fixtures and equipment	929		926		1,042		1,855		2,087
FDIC deposit insurance	749		783		457		1,532		979
Communications	635		668		762		1,303		1,519
Legal and professional	473		607		479		1,080		972
Loan and collection	620		578		647		1,198		1,206
Advertising	431		495		560		926		1,240
Amortization of intangible assets	137		137		233		274		465
Supplies	122		106		161		228		284
Correspondent bank service fees	59		63		80		122		157
Net (gains) losses on other real estate and repossessed assets	63		(46)		(141)		17		(196)
Provision for loss reimbursement on sold loans	4		10		12		14		45
Costs (recoveries) related to unfunded lending commitments	100		(475)		649		(375)		294
Other	1,534		1,567		1,628		3,101		3,067
Total non-interest expense	$	32,248	$	30,957	$	32,434	$	63,205	$	63,884


3

Average Balances and Tax Equivalent Rates


	Three Months Ended June 30,
	2023						2022
	Average Balance		Interest		Rate (2)		Average Balance		Interest		Rate (2)
	(Dollars in thousands)
Assets
Taxable loans	$	3,561,333	$	47,617	5.36	%	$	3,137,369	$	31,383	4.01	%
Tax-exempt loans (1)	6,587		78		4.75		7,726		90		4.67
Taxable securities	789,078		5,919		3.00		966,146		4,950		2.05
Tax-exempt securities (1)	322,592		3,690		4.58		346,788		2,208		2.55
Interest bearing cash	66,023		837		5.08		18,032		29		0.65
Other investments	17,682		230		5.22		17,653		185		4.20
Interest Earning Assets	4,763,295		58,371		4.91		4,493,714		38,845		3.47
Cash and due from banks	55,945						58,497
Other assets, net	225,506						206,749
Total Assets	$	5,044,746					$	4,758,960

Liabilities
Savings and interest-bearing checking	2,519,009		10,515		1.67		2,534,242		788		0.12
Time deposits	761,705		6,946		3.66		354,209		428		0.48
Other borrowings	134,907		2,137		6.35		116,652		1,087		3.74
Interest Bearing Liabilities	3,415,621		19,598		2.30	%	3,005,103		2,303		0.31
Non-interest bearing deposits	1,167,129						1,332,596
Other liabilities	97,853						88,651
Shareholders’ equity	$	364,143					$	332,610

Total liabilities and shareholders’ equity	$	5,044,746					$	4,758,960

Net Interest Income			$	38,773					$	36,542

Net Interest Income as a Percent of Average Interest Earning Assets					3.26	%					3.26	%



(1)			Interest on tax-exempt loans and securities is presented on a fully tax equivalent basis assuming a marginal tax rate of 21%.
(2)			Annualized


4

Average Balances and Tax Equivalent Rates


	Six Months Ended June 30,
	2023						2022
	Average Balance		Interest		Rate		Average Balance		Interest		Rate (2)
	(Dollars in thousands)
Assets
Taxable loans	$	3,524,639	$	91,851	5.24	%	$	3,054,925	$	59,723	3.93	%
Tax-exempt loans (1)	6,608		154		4.70		8,127		189		4.69
Taxable securities	805,733		11,803		2.93		1,022,884		9,502		1.86
Tax-exempt securities (1)	323,045		7,196		4.46		336,935		4,223		2.51
Interest bearing cash	52,531		1,301		4.99		52,483		66		0.25
Other investments	17,668		441		5.03		17,884		365		4.12
Interest Earning Assets	4,730,224		112,746		4.79		4,493,238		74,068		3.31
Cash and due from banks	58,182						58,586
Other assets, net	228,342						188,381
Total Assets	$	5,016,748					$	4,740,205

Liabilities
Savings and interest-bearing checking	2,526,982		19,372		1.55		2,518,714		1,429		0.11
Time deposits	709,983		11,849		3.37		346,326		554		0.32
Other borrowings	123,585		3,872		6.32		112,831		2,060		3.68
Interest Bearing Liabilities	3,360,550		35,093		2.11	%	2,977,871		4,043		0.27
Non-interest bearing deposits	1,195,593						1,324,922
Other liabilities	100,152						83,222
Shareholders’ equity	$	360,453					$	354,190

Total liabilities and shareholders’ equity	$	5,016,748					$	4,740,205

Net Interest Income			$	77,653					$	70,025

Net Interest Income as a Percent of Average Interest Earning Assets					3.29	%					3.13	%



(1)			Interest on tax-exempt loans and securities is presented on a fully tax equivalent basis assuming a marginal tax rate of 21%.


5

Commercial Loan Portfolio Analysis as of June 30, 2023


	Total Commercial Loans
			Watch Credits						Percent of Loan Category in Watch Credit
Loan Category	All Loans		Performing		Non-accrual		Total
	(Dollars in thousands)
Land	$	9,092	$	18	$	—	$	18	0.2	%
Land Development	15,792		—		—		—		—
Construction	97,517		1,279		—		1,279		1.3
Income Producing	538,606		17,387		—		17,387		3.2
Owner Occupied	448,156		17,871		—		17,871		4.0
Total Commercial Real Estate Loans	$	1,109,163	$	36,555	$	—	$	36,555	3.3

Other Commercial Loans	$	428,999	$	8,620	33		$	8,653	2.0
Total non-performing commercial loans					$	33

Commercial Loan Portfolio Analysis as of December 31, 2022


	Total Commercial Loans
			Watch Credits						Percent of Loan Category in Watch Credit
Loan Category	All Loans		Performing		Non-accrual		Total
	(Dollars in thousands)
Land	$	9,285	$	180	$	—	$	180	1.9	%
Land Development	16,220		—		—		—		—
Construction	114,277		—		—		—		—
Income Producing	469,696		6,177		—		6,177		1.3
Owner Occupied	426,404		16,525		—		16,525		3.9
Total Commercial Real Estate Loans	$	1,035,882	$	22,882	$	—	$	22,882	2.2

Other Commercial Loans	$	430,971	$	9,157	38		$	9,195	2.1
Total non-performing commercial loans					$	38


6

Earnings Call: Second Quarter 2023 July 25, 2023 (NASDAQ: IBCP)

Cautionary note regarding forward-looking statements This presentation contains forward-looking statements, which are any statements or information that are not historical facts. These forward-looking statements include statements about our anticipated future revenue and expenses and our future plans and prospects. Forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated. For example, deterioration in general business and economic conditions or turbulence in domestic or global financial markets could adversely affect our revenues and the values of our assets and liabilities, reduce the availability of funding to us, lead to a tightening of credit, and increase stock price volatility. Our results could also be adversely affected by changes in interest rates; increases in unemployment rates; deterioration in the credit quality of our loan portfolios or in the value of the collateral securing those loans; deterioration in the value of our investment securities; legal and regulatory developments; changes in customer behavior and preferences; breaches in data security; and management’s ability to effectively manage the multitude of risks facing our business. Key risk factors that could affect our future results are described in more detail in our Annual Report on Form 10-K for the year ended December 31, 2022 and the other reports we file with the SEC, including under the heading “Risk Factors.” Investors should not place undue reliance on forward-looking statements as a prediction of our future results. Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise. 2 2

• Formal Remarks − William B. (Brad) Kessel President and Chief Executive Officer − Gavin A. Mohr Executive Vice President and Chief Financial Officer − Joel Rahn Executive Vice President – Commercial Banking • Question and Answer session • Closing Remarks Note: This presentation is available at www.IndependentBank.com in the Investor Relations area under the “Presentations” tab. Agenda 3

2Q23 Overview • Total deposits down slightly from prior quarter, but have increased from end of prior year • Total loans increased 14% annualized while maintaining conservative approach to new loan production • New loan production largely focused on new commercial clients that bring deposits to the bank • Asset quality remained exceptional with NPAs/Total Assets at 0.09% and low level of NCOs in the quarter • New loan production partially funded with cash flow generated by investment portfolio • Stable deposit base allowed for reduction in cash balances • Rotation into higher yielding assets and reduction in excess liquidity helped to offset an increase in deposit costs and keep net interest margin stable at 3.26% • TCE ratio increased 15 basis points from prior quarter • Strong capital position enabled company to be opportunistic and repurchase 200,000 shares below TBV • Balance sheet liquidity remains high with loan-to-deposit ratio of 81% • Continued to attract highly productive bankers to commercial banking team during 2Q23 that will contribute to further gains in market share throughout our footprint • Net income of $14.8 million, or $0.70 per diluted share, compared to $13.0 million, or $0.61 per diluted share, in 2Q22 • Pre-tax, pre-provision income of $21.5 million • Increase in non-interest income compared to 1Q23 • Strong profitability and prudent balance sheet management results in further growth in tangible book value per share Healthy Capital & Liquidity Positions Continued Rotation into Higher Yielding Assets Strong Balance Sheet Supports Continued Loan Growth 2Q’23 Earnings 4

Note: Portfolio loans exclude loans HFS. Liquidity / Uninsured Deposits Strong Liquidity Position • Significant liquidity position to manage the current environment. • Total available liquidity significantly exceeds (227%) estimated uninsured deposit balances. • Established access and tested the BTFP, no borrowings at 6/30/23. • Attractive loan to deposit ratio of 80.9%. • Uninsured deposit to total deposits of approximately 21.7%, excluding brokered time deposits. Sources of Liquidity 148% 87% 80% 80% 98% 85% 232% 219% 203% 218% 237% 240% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 On-balance sheet / Uninsured Deposits Available Sources / Uninsured Deposits 2Q 2023 Current On-balance sheet Excess reserves at the Fed 68.0$ Unpledged AFS Securities 712.7$ Total On-balance sheet 780.7$ On balance sheet liquidity to total deposits 17% Available Sources of Liquidity Unused FHLB & FRB (including BTFP) 1,405.2$ Borrow capacity on unpledged bonds 800.1$ Total Available Sources 2,205.3$ Sources of Liquidity to total deposits 49% 5

Low-Cost Deposit Franchise Focused on Core Deposit Growth • Substantial core funding – $3.71 billion of non-maturity deposit accounts (82.8% of total deposits). • Core deposit decrease of $23.4 million (2.2% annualized) in 2Q’23. • Total deposits increased $108.6 million (5.0% annualized) since 12/31/22 with non-interest bearing down $114.2 million, savings and interest- bearing checking down $44.3 million, reciprocal up $118.4 million, time up $109.8 million and brokered time up $38.9 million. • Deposits by Customer Type: − Retail – 50.5% − Commercial – 32.7% − Municipal – 15.8% Deposit Composition 6/30/23 Cost of Deposits (%)/Total Deposits ($B) Core Deposits: 84.8% $4.5B Non-interest Bearing 26% Savings and Interest- bearing Checking 43% Reciprocal 16% Time 10% Brokered 6% $ 3 .9 $ 3 .9 $ 4 .1 $ 4 .1 $ 4 .2 $ 4 .3 $ 4 .3 $ 4 .4 $ 4 .5 $ 4 .5 0 .1 4 % 0 .1 2 % 0 .1 1 % 0 .0 9 % 0 .0 7 % 0 .1 1 % 0 .3 3 % 0 .7 8 % 1 .2 6 % 1 .5 7 % Q 1 '2 1 Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 Q 1 '2 2 Q 2 '2 2 Q 3 '2 2 Q 4 '2 2 Q 1 '2 3 Q 2 '2 3 Total Deposits Cost Of Deposits 6

0 .2 5 % 0 .2 7 % 0 .2 7 % 0 .2 8 % 0 .3 3 % 0 .3 6 % 0 .4 2 % 0 .5 1 % 0 .6 0 % 0 .7 3 % 0 .8 2 % 0 .8 5 % 0 .8 5 % 0 .7 4 % 0 .6 3 % 0 .3 0 % 0 .2 3 % 0 .3 9 % 0 .1 4 % 0 .1 2 % 0 .1 1 % 0 .1 0 % 0 .1 0 % 0 .1 2 % 0 .3 3 % 0 .7 9 % 1 .2 5 % 1 .5 7 % 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 5.5% 6.0% S e p -1 6 D e c -1 6 M a r- 1 7 J u n -1 7 S e p -1 7 D e c -1 7 M a r- 1 8 J u n -1 8 S e p -1 8 D e c -1 8 M a r- 1 9 J u n -1 9 S e p -1 9 D e c -1 9 M a r- 2 0 J u n -2 0 S e p -2 0 D e c -2 0 M a r- 2 1 J u n -2 1 S e p -2 1 D e c -2 1 M a r- 2 2 J u n -2 2 S e p -2 2 D e c -2 2 M a r- 2 3 J u n -2 3 IB COF Fed Funds Spot Fed Effective Total Deposits Historic IBC Cost of Funds (excluding sub debt) vs. the Federal Funds Rate (with Deposit Balances) D e p o s it B a la n c e s F e d e ra l F u n d s R a te Cumulative Cycle Beta = 29.4% 7

Diversified Loan Portfolio Focused on High Quality Growth • Portfolio loan changes in 2Q’23: − Commercial – increased $66.9 million. …Average new origination yield of 7.34%. − Mortgage – increased $33.2 million. …Average new origination yield of 6.85%. − Installment – increased $21.3 million. …Average new origination yield of 6.80%. • Mortgage loan portfolio weighted average FICO of 754 and average balance of $178,629. • Installment weighted average FICO of 758 and average balance of $26,125. • Commercial loan rate mix: − 49% fixed / 51% variable. − Indices – 60% tied to Prime, 1% tied to a US Treasury rate and 39% tied to SOFR. • Mortgage loan (including HELOC) rate mix: − 64% fixed / 36% adjustable or variable. − 23% tied to Prime, 27% tied to LIBOR, 11% tied to a US Treasury rate and 40% tied to SOFR. Note: Portfolio loans exclude loans HFS. Loan Composition 6/30/23 Yield on Loans (%)/ Total Portfolio Loans ($B) $3.7B Commercial 42% Mortgage 39% Installment 18% Held for Sale 1% $2.8 $2.8 $2.9 $2.9 $3.0 $3.3 $3.4 $3.4 $3.5 $3.6 4 .0 1 % 3 .9 5 % 4 .1 3 % 4 .0 8 % 3 .8 2 % 4 .0 1 % 4 .3 9 % 4 .9 0 % 5 .0 7 % 5 .3 6 % Q 1 '2 1 Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 Q 1 '2 2 Q 2 '2 2 3 Q '2 2 4 Q '2 2 1 Q '2 3 2 Q '2 3 Total Portfolio Loans Yield on Loans 8

Concentrations within $1.54B Commercial Loan Portfolio Loans by Industry as a % of Total Commercial Loans ($ in millions) Investor RE by Collateral Type as a % of Total Commercial Loans ($ in millions) Note: $1 billion, or 65.1% of the commercial loan portfolio is C&I or owner occupied, while $537 million, or 34.9% is investment real estate. The percentage concentrations are based on the entire commercial portfolio of $1.537 billion as of June 30, 2023 10% $152 9% $132 6% $93 5% $83 5% $77 5% $71 3% $50 3% $48 19% $295 $1B Manufacturing Construction Retail Health Care & Social Asst. Hotel & Accomodations Real Estate Rental & Leasing Transportation Other Svcs. (except Public Admin.) Other/Misc. 8.74% $134 8.61% $133 5.16% $79 4.36% $67 3.16% $49 2.59% $40 1.65% $25 0.63% $10 $537MM Commercial Industrial Retail Office Construction Multifamily 1-4 Family Land, Vacant Land and Development Special Purpose 9

Note 1: Non-performing loans and non-performing assets exclude troubled debt restructurings that are performing. Note 2: 12/31/16 30 to 89 days delinquent data excludes $1.63 million of payment plan receivables that were held for sale. 10 $13.4 $8.2 $8.6 $9.5 $7.9 $5.1 $5.0 $4.5 $3.8 $3.7 $3.9 $4.0 0.4% 0.3% 0.3% 0.3% 0.2% 0.2% 0.2% 0.1% 0.1% 0.1% 0.1% 2016 2017 2018 2019 2020 2021 Q1 Q2 Q3 Q4'22 Q1 Q2 Non-performing Loans (NPLs) NPLs / Total Loans 1.1% $5.0 $1.6 $1.3 $1.9 $0.8 $0.2 $0.4 $0.5 $0.3 $0.5 $0.5 $0.7 2016 2017 2018 2019 2020 2021 Q1 Q2 Q3 Q4'22 Q1 Q2 $5.3 $4.8 $4.4 $7.2 $13.2 $2.3 $2.7 $3.7 $2.3 $3.1 $1.9 $4.4 0.3% 0.2% 0.2% 0.3% 0.5% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 2016 2017 2018 2019 2020 2021 Q1 Q2 Q3 Q4'22 Q1 Q2 30-89 Days PD 30-89 Days PD / Loans $18.4 $9.8 $9.9 $11.4 $8.6 $5.3 $5.4 $5.0 $4.2 $4.2 $4.4 $4.7 2016 2017 2018 2019 2020 2021 Q1 Q2 Q3 Q4'22 Q1 Q2 Non-performing Loans 90+ Days PD ORE/ORA Credit Quality Summary Non-performing Loans ($ in Millions) ORE/ORA ($ in Millions) 30 to 89 Days Delinquent ($ in Millions) Non-performing Assets ($ in Millions) 10

• Long-term capital Priorities: Capital retention to support organic growth, acquisitions and return of capital through strong and consistent dividends and share repurchases. • Well capitalized in all regulatory capital measurements. • Tangible common equity ratio excluding the impact of unrealized losses on securities AFS and HTM is 8.1% Strong Capital Position TCE / TA (%) Leverage Ratio (%) CET1 Ratio (%) Total RBC Ratio (%) 6.9 6.3 6.2 6.4 6.6 6.7 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 8.8 8.7 8.8 8.9 8.9 8.9 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 10.7 10.3 10.3 10.4 10.6 10.4 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 14.2 13.7 13.5 13.6 13.8 13.6 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 11

Net Interest Margin/Income • Net interest income was $38.4 million in 1Q’23 and 2Q’23. A decrease in the net interest margin was partially offset by an increase in average earnings assets. • Net interest margin was 3.26% during the second quarter of 2023, compared to 3.26% in the year-ago quarter and 3.33% in the first quarter of 2023. Yields, NIM and Cost of Funds (%) Net Interest Income ($ in Millions) 3.26 4.99 1.72 0 1 2 3 4 5 6 Q 4 '1 8 Q 1 '1 9 Q 2 '1 9 Q 3 '1 9 Q 4 '1 9 Q 1 '2 0 Q 2 '2 0 Q 3 '2 0 Q 4 '2 0 Q 1 '2 1 Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 Q 1 '2 2 Q 2 '2 2 Q 3 '2 2 Q 4 '2 2 Q 1 '2 3 Q 2 '2 3 Earning Asset Yield Net Interest Margin (FTE) Average Effective FF Yield Cost of Funds $30.3 $31.4 $33.8 $34.3 $33.0 $36.1 $39.9 $40.6 $38.4 $38.4 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 12

2Q’23 NIM Changes Linked Quarter Average Balances and FTE Rates ($ in thousands) Linked Quarter Analysis Q1'23 3.33% Change in earning asset mix 0.03% Increase in loan and investment yield 0.21% Change in funding mix -0.06% Increase in funding costs -0.25% Q2'23 3.26% 2Q23 1Q23 Change Avg Bal Inc/Exp Yield Avg Bal Inc/Exp Yield Avg Bal Inc/Exp Yield Cash $66,023 $837 5.08% $38,889 $464 4.84% $27,134 $373 0.25% Investments 1,129,352 9,839 3.49% 1,163,728 9,601 3.30% (34,376) 238 0.19% Commercial loans 1,483,042 24,616 6.66% 1,457,221 22,667 6.31% 25,821 1,949 0.36% Mortgage loans 1,442,710 16,049 4.45% 1,409,819 15,139 4.30% 32,891 910 0.16% Consumer loans 642,168 7,030 4.39% 627,129 6,504 4.21% 15,039 526 0.18% Earning assets $4,763,295 $58,371 4.91% $4,696,786 $54,375 4.67% $66,509 $3,996 0.24% Nonmaturity deposits $2,519,009 $10,515 1.67% $2,535,045 $8,857 1.42% ($16,036) 1,658 0.27% CDARS deposits 84,466 806 3.83% 55,878 442 3.21% 28,588 364 0.62% Retail Time deposits 417,281 2,989 2.87% 360,980 1,935 2.17% 56,301 1,054 0.70% Brokered deposits 259,958 3,151 4.86% 240,828 2,526 4.25% 19,130 625 0.61% Bank borrowings 55,762 728 5.24% 33,028 366 4.49% 22,734 362 0.74% IBC debt 79,145 1,409 7.14% 79,109 1,369 7.02% 36 40 0.12% Cost of funds $3,415,621 $19,598 2.30% $3,304,868 $15,495 1.90% $110,753 $4,103 0.40% Free funds $1,347,674 $1,391,918 ($44,244) Net interest income $38,773 $38,880 ($107) Net interest margin 3.26% 3.33% -0.07% 13

Interest Rate Risk Management • The increase in the base case modeled NII is due to an improvement in asset mix with an increase in loans and a decline in investments along with a slight benefit from higher rates. These improvements were partially offset by an adverse shift in the funding mix. • The NII sensitivity profile is largely unchanged during the quarter for smaller rate changes of +/- 100 basis points. The exposure to rising rates increased modestly for larger rate increases. • Base-rate is a static balance sheet applying the spot yield curve from the valuation date. • Stable core funding base. Transaction accounts fund 39.0% of assets and other non-maturity deposits fund another 21.1% of assets. Moderate wholesale funding of just 8.2% of assets. • 29.9% of assets reprice in 1 month and 42.5% reprice in the next 12 months. • Continually evaluating strategies to manage NII through hedging as well as product pricing and structure. Changes in Net Interest Income (Dollars in 000’s) Simulation analyses calculate the change in net interest income over the next twelve months, under immediate parallel shifts in interest rates, based upon a static statement of financial condition, which includes derivative instruments, and does not consider loan fees. June 30, 2023 -200 -100 Base-rate 100 200 Net Interest Income $163.43 $164,904 $165,282 $164,068 $161,807 Change from Base -1.12% -0.23% - -0.73% -2.10% March 31, 2023 -200 -100 Base-rate 100 200 Net Interest Income $158,416 $161,330 $162,997 $162,593 $161,153 Change from Base -2.81% -1.02% - -0.25% -1.13% 14

Strong Non-interest Income • The $0.5 million comparative quarterly decrease in mortgage loan servicing; net is primarily attributed to changes in the fair value of capitalized mortgage loan servicing rights associated with changes in mortgage loan interest rates and expected future prepayment levels. • Mortgage banking: − $2.1 million in net gains on mortgage loans in 2Q’23 vs. $1.3 million in the year ago quarter. The increase is primarily due to increased profit margins and fair value adjustments that were partially offset by lower mortgage loan sales volume. − $160.5 million in mortgage loan originations in 2Q’23 vs. $317.7 million in 2Q’22 and $113.0 million in 1Q’23. − 2Q’23 mortgage loan servicing includes a $2.4 million ($0.09 per diluted share, after tax) increase in fair value adjustment due to price compared to an increase of $3.1 million ($0.12 per diluted share, after tax) in the year ago quarter. Source: Company documents. 2Q23 Non-interest Income (thousands) Non-interest Income Trends ($M) $15.4M Interchange income $3,355 Service Chg Dep $3,134 Gain (Loss)- Mortgage Sale $2,120 Mortgage loan servicing, net $3,674 Investment & insurance commissions $744 Bank owned life insurance $98 Other income $2,292 $26.4 $14.8 $19.7 $15.8 $18.9 $14.6 $16.9 $11.5 $10.5 $15.4 4 6 .6 % 3 2 .0 % 3 6 .8 % 3 0 .3 % 3 5 .4 % 2 7 .6 % 2 7 .3 % 1 8 .4 % 1 6 .4 % 1 8 .4 % Q 1 '2 1 Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 Q 1 '2 2 Q 2 '2 2 Q 3 '2 2 Q 4 '2 2 Q 1 '2 3 Q 2 '2 3 Non-interest Income Non-interest Inc/Operating Rev (%) 15

Focus on Improved Efficiency • 2Q’23 efficiency ratio of 59.3%. • Compensation and employee benefits expense of $20.6 million, an increase of $0.7 million from the prior year quarter. • Compensation (salaries and wages) increased $1.0 million due to raises that were generally effective at the start of the year, a decreased level of compensation that was deferred in the second quarter of 2023 as direct origination costs (lower mortgage loan origination volume). • $0.6 million decrease in performance- based compensation expense. • Payroll taxes and employee benefits increased $0.3 million primarily due to a credit accrual of $0.3 million in the prior year related to mortgage banking incentive plan. • Data processing costs increased by $0.2 million primarily to core data processor annual asset growth and CPI related cost increases and lower net mortgage processing relating cost deferrals due to lower mortgage loan volume as well as the prior year to date period including a credit from our core data processor related to certain expenses that had been previously paid and expensed. • Opportunities exist to gain additional efficiencies as we continue to optimize our delivery channels. Non-interest Expense ($M) Efficiency Ratio (4 quarter rolling average) Source: Company documents. $ 3 2 .5 $ 3 4 .5 $ 3 4 .0 $ 3 1 .5 $ 3 2 .4 $ 3 2 .4 $ 3 2 .1 $ 3 1 .0 3 2 .2 $0 $5 $10 $15 $20 $25 $30 $35 Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 Q 1 '2 2 Q 2 '2 2 Q 3 '2 2 Q 4 '2 2 Q 1 '2 3 Q 2 '2 3 Other FDIC Insurance Data Processing Occupancy Loan and Collection Compensation and Benefits 5 9 .9 % 6 1 .7 % 6 3 .2 % 6 4 .8 % 6 3 .1 % 6 1 .3 % 5 9 .8 % 6 0 .4 % 5 9 .6 % Q 2 '2 1 Q 3 '2 1 Q 4 '2 1 1 Q '2 2 2 Q '2 2 3 Q '2 2 4 Q '2 2 1 Q '2 3 2 Q '2 3 16

Category Outlook Outlook • IBCP forecast of low double digit (approximately 10%-12%) overall loan growth is based on increases in commercial loans and mortgage loans with installment loans remaining flat. Expect much of this growth to occur in the last three quarters of 2023. • This growth forecast also assumes a stable Michigan economy. • IBCP forecast of high single digit (7%-9%) growth is primarily supported by an increase in earning assets and a favorable shift in the earning asset base. Expect net interest margin (NIM) to be stable to slightly higher (0.05% - 0.10%) in 2023 compared to full-year 2022. • Primary driver is an increase in earing asset yield. The forecast assumes a 0.50% Fed rate increase in February, a 0.25% increase in March and a 0.25% decrease in September and December in the federal funds rate while long-term interest rates decline slightly over year-end 2022 levels. • Very difficult area to forecast. Future provision levels under CECL will be particularly sensitive to loan growth and mix, projected economic conditions, watch credit levels and loan default volumes. • The allowance as a percentage of total loans was at 1.51% at 12/31/22. • A full year 2023. provision (expense) for credit losses of approximately 0.25% to 0.35% of average total portfolio loans would not be unreasonable. 2Q’23 Update • Total portfolio loans increased $121.3 million (13.9% annualized) in 2Q’23 which is higher than our forecasted range. • Commercial, mortgage and installment loans had positive growth in the second quarter. • 2Q’23 net interest income was $2.3 million (6.3%) higher than the prior year quarter. The net interest margin was 3.26% for both the current quarter and the prior year quarter and down 0.07% from the linked quarter. • The 6.5% increase in net interest income is due to an increase in average interest-earning assets. • The provision for credit losses was an expense of $3.3 million (0.37% annualized) The 2Q’23 provision expense was the result of an increase in specific reserve on one commercial credit as well as increases in the pooled loan reserve and subjective loan allocations due primarily to loan growth. LENDING Continued growth NET INTEREST INCOME Growth driven primarily by higher average earning assets PROVISION FOR CREDIT LOSSES Steady asset quality metrics 17

Category Outlook Outlook • Expect mortgage loan origination volumes in 2023 to be down by approximately 20%, a decline in mortgage loan servicing net of approximately 80%, interchange income in 2023 to increase approximately 2.0% to 3.0% as compared to 2022 and service charges on deposits to be collectively comparable to 2022 (a decline in NSF fees to be largely offset by an increase in treasury management related service charges). • The primary driver is an increase in data processing and FDIC deposit insurance premiums. • Approximately an 18.8% effective income tax rate in 2023. This assumes a 21% statutory federal corporate income tax rate during 2023. • 2023 share repurchase authorization at approximately 5% (1.1 million) of outstanding shares. • Share repurchases will be dependent on capital levels, capital allocation options and share price trends. We are not modeling any share repurchases in 2023. 2Q’23 Update • Non-interest income totaled $15.4 million in 2Q’23, which was higher than the forecasted range. 2Q’23 mortgage loan originations, sales and gains totaled $160.5 million, $99.0 million and $2.1 million, respectively. • Mortgage loan servicing generated a gain of $3.7 million in 2Q’23. • Total non-interest expense was $32.2 million in the second quarter of 2023, which is within our forecasted range. • The comparative quarterly decrease is primarily due to declines in costs (recoveries) related to unfunded lending commitments, occupancy, net, and interchange expense that were partially offset by increases in compensation and employee benefits, data processing and FDIC insurance expense. The increase in compensation and employee benefits is primarily related to higher salary expense. • 2Q’23 Update: Actual effective income tax rate of 18.8% for the 2Q’23. • 200,000 shares were repurchased in the second quarter of 2023 at a average share price of $16.35. Shares were repurchased at a price below tangible book value of $16.45. NON-INTEREST INCOME IBCP forecasted 2023 quarterly range of $11M to $13M with the total for the year down 20% to 25% from 2022 actual of $61.9M NON-INTEREST EXPENSES IBCP forecasted 2023 quarterly range of $32.0M to $33.5M with the total for the year up 1.5% to 2.5% from the 2022 actual of $128.3M. INCOME TAXES SHARE REPURCHASES 18

Strategic Initiatives • Outside Sales - Relationship banking focus thru consistent calling on prospects and COI’s. • Inside Service/Sales – high retention + high cross sales, collaboration of strategic partners. • Digital Marketing - Leverage data insights, target strategically, elevate brand image, personalize the customer experience. • Leverage Referral Network – Fintech (ReferLive); • New Products – SMB deposit product, Business digital pmts. • Market Expansion – Through existing indirect dealer network. • Selective and opportunistic bank and branch acquisitions. • Process Automation – leverage core investments + Fintech partnerships: (Blend) mortgage; (Numerated) Commercial; • Branch Optimization - including assessing existing locations, new locations, service hours, staffing, & workflow and leveraging technology. • Promotion of Self-Serve Channels - (One Wallet, Treasury One, etc.) • Leverage Banker Capacity – including on-line appointment setting. • Leverage Middleware + API’s – expediate new technology implementation. • Optimize Office Space Utilization • Invest in our Team – competitive C&B offering, skill training, leadership development, etc. • High Employee Engagement – thru fostering a culture of purpose, opportunity, continuous learning, diversity, reward + recognition. • Promote Teamwork + Alignment across all business units. • Invest in technology - to enhance the employee experience + customer experience. • Client Service Model – well defined and applied. • Utilize three layers of defense (business unit, risk management and internal audit). Independent & collaborative approach. • Consistent earnings + maintain strong capital levels. • Proactive credit quality monitoring and problem resolution. • Manage Liquidity and IRR. • Manage Operational risk, emphasizing cyber security, fraud prevention, and regulatory compliance. • Effective relationships with regulators & other outside oversight parties. Proactive, transparent and good communication. PROCESS IMPROVEMENT & COST CONTROLS RISK MANAGEMENT GROWTH TALENT MANAGEMENT 19

Question and Answer Session Closing Remarks NASDAQ: IBCP Thank you for attending 20

Appendix Additional Financial Data and Non-GAAP Reconciliations 21

$1,956 $879 $484 $251 $210 $515 $193 $2,166 $1,394 $677 $251 Consumer Commercial Public Funds Brokered Insured Deposits Uninsured Deposits $3,216 $3,297 $3,300 $3,403 $3,580 $3,570 $989 $994 $1,027 $976 $965 $918 $4,205 $4,291 $4,327 $4,379 $4,545 $4,488 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 Insured Deposits Uninsured Deposits Granular Deposit Base • Average deposit account balance of approximately $19,261. • Average deposit balance excluding reciprocal deposit of $16,044. • Average Commercial deposit balance of $86,235. • Average public funds deposit balance of $446,707. • Average retail deposit balance of $11,013 • 10 largest deposit accounts total $269.9 million or 6.01% of total deposits. − $181.0 million in ICS with FDIC coverage. • 100 largest deposit accounts total $809.0 million or 18.0% of total deposits. − $464.3 million in ICS with FDIC coverage. Note: Uninsured deposit calculation is an approximation. Uninsured Deposit by Segment (6/30/23) Uninsured Deposit Trend ($MM) 21%22%23%24% 24% 21% 37% 10% 29% 22

53% 47% CRE – Office Metrics • 30.5% of portfolio is medical office buildings. • 91% of portfolio are located in suburban geographies. • 62.7% of CRE – Office mature after 2024. • Average loan size of $1.2 million. Suburban Fixed Variable Maturing Exposure (millions) CRE - Office Fixed vs. Variable Geographic Location (millions) $7.4 $71.9 Urban $ 1 1 .1 $ 1 8 .5 $ 2 5 .6 $ 2 4 .1 M a tu ri n g 2 0 2 3 M a tu ri n g 2 0 2 4 M a tu ri n g 2 0 2 5 M a tu ri n g 2 0 2 6 & A ft e r 23

Historical Financial Data here Year Ended December 31, Quarter Ended, ($M except per share data) 2019 2020 2021 2022 6/30/22 9/30/22 12/31/22 3/31/23 6/30/23 Balance Sheet: Total Assets $3,565 $4,204 $4,705 $5,000 $4,826 $4,931 $5,000 $5,139 $5,136 Portfolio Loans $2,725 $2,734 $2,905 $3,465 $3,259 $3,410 $3,465 $3,510 $3,631 Deposits $3,037 $3,637 $4,117 $4,379 $4,291 $4,327 $4,379 $4,545 $4,488 Tangible Common Equity $317 $357 $367 $317 $300 $301 $317 $317 $345 Profitability: Pre-Tax, Pre-Provision Income $58.6 $81.9 $75.4 $83.7 $18.3 $24.4 $19.9 $18.0 $21.5 Pre-Tax, Pre-Prov / Avg. Assets 1.70% 2.08% 1.62% 1.74% 1.56% 1.98% 1.61% 1.43% 1.71% Net Income(1) $46.4 $56.2 $62.9 $63.8 $13.0 $17.3 $15.1 $13.0 $14.8 Diluted EPS $2.00 $2.53 $2.88 $3.00 $0.61 $0.81 $0.71 $0.61 $0.70 Return on Average Assets(1) 1.35% 1.43% 1.41% 1.32% 1.10% 1.40% 1.21% 1.06% 1.18% Return on Average Equity(1) 13.6% 15.7% 16.1% 18.5% 15.7% 20.5% 17.9% 14.8% 16.29% Net Interest Margin (FTE) 3.80% 3.34% 3.10% 3.32% 3.26% 3.49% 3.52% 3.33% 3.26% Efficiency Ratio 64.9% 59.2% 62.9% 59.4% 62.5% 56.3% 60.8% 62.1% 59.26 % Asset Quality: NPAs / Assets 0.32% 0.21% 0.11% 0.08% 0.10% 0.08% 0.08% 0.09% 0.09% NPAs / Loans + OREO 0.42% 0.32% 0.18% 0.12% 0.14% 0.12% 0.12% 0.12% 0.13% ACL / Total Portfolio Loans 0.96% 1.30% 1.63% 1.51% 1.47% 1.50% 1.51% 1.44% 1.49% NCOs / Avg. Loans (0.02%) 0.11% (0.07%) 0.00% 0.00% 0.00% 0.00% 0.12% (0.01)% Capital Ratios: TCE Ratio 9.0% 8.6% 7.9% 6.4% 6.3% 6.2% 6.4% 6.6% 6.7% Leverage Ratio 10.1% 9.2% 8.8% 8.8% 8.7% 8.8% 8.8% 8.9% 8.9% Tier 1 Capital Ratio 12.7% 13.3% 12.1% 11.4% 11.4% 11.3% 11.4% 11.5% 11.4% Total Capital Ratio 13.7% 16.0% 14.5% 13.7% 13.6% 13.5% 13.7% 13.8% 13.6% 24

Non-GAAP to GAAP Reconciliation June 30, March 31, December 31, September 30, June 30, 2022 2021 2020 2019 2023 2023 2022 2022 2022 Net interest income $ 149,561 $ 129,765 $ 123,612 $ 122,581 $ 38,350 $ 38,441 $ 40,602 $ 39,897 $ 36,061 Non-interest income 61,909 76,643 80,745 47,736 15,417 10,551 11,468 16,861 14,632 Non-interest expense 128,341 131,023 122,413 111,733 32,248 30,957 32,091 32,366 32,434 Pre-Tax, Pre-Provision Income 83,129 75,385 81,944 58,584 21,519 18,035 19,979 24,392 18,259 Provision for credit losses 5,341 (1,928) 12,463 824 3,317 2,160 1,390 3,145 2,379 Income tax expense 14,437 14,418 13,329 11,325 3,412 2,884 3,503 3,950 2,879 Net income $ 63,351 $ 62,895 $ 56,152 $ 46,435 $ 14,790 $ 12,991 $ 15,086 $ 17,297 $ 13,001 Average total assets 4,825,723$ 4,465,577$ 3,933,655$ 3,440,232$ 5,044,746$ 4,988,440$ 4,934,859$ 4,884,841$ 4,758,960$ Performance Ratios Return on average assets 1.31% 1.41% 1.43% 1.35% 1.18% 1.06% 1.21% 1.40% 1.10% Pre-tax, Provision return on average assets 1.72% 1.69% 2.08% 1.70% 1.71% 1.47% 1.61% 1.98% 1.54% Year Ended December 31, Quarter Ended (Dollars in thousands) 25

Reconciliation of Non-GAAP Financial Measures 2023 2022 2023 2022 Net Interest Margin, Fully Taxable Equivalent ("FTE") Net interest income 38,350$ 36,061$ 76,791$ 69,062$ Add: taxable equivalent adjustment 423 481 862 963 Net interest income - taxable equivalent 38,773$ 36,542$ 77,653$ 70,025$ Net interest margin (GAAP) (1) 3.23% 3.21% 3.26% 3.09% Net interest margin (FTE) (1) 3.26% 3.26% 3.29% 3.13% (1) Annualized. Three Months Ended Six Months Ended June 30, June 30, (Dollars in thousands) 26

Reconciliation of Non-GAAP Financial Measures (continued) Tangible Common Equity Ratio June 30, March 31, December 31, September 30, June 30, 2022 2021 2020 2019 2023 2023 2022 2022 2022 Common shareholders' equity 347,596$ 398,484$ 389,522$ 350,169$ 375,162$ 367,714$ 347,596$ 332,308$ 331,134$ Less: Goodwill 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 Other intangibles 2,551 3,336 4,306 5,326 2,278 2,415 2,551 2,697 2,871 Tangible common equity 316,745$ 366,848$ 356,916$ 316,543$ 344,584$ 336,999$ 316,745$ 301,311$ 299,963$ Total assets $ 4,999,787 $ 4,704,740 $ 4,204,013 $ 3,564,694 $ 5,135,564 $ 5,138,934 $ 4,999,787 $ 4,931,377 $ 4,826,209 Less: Goodwill 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 Other intangibles 2,551 3,336 4,306 5,326 2,278 2,415 2,551 2,697 2,871 Tangible assets $ 4,968,936 $ 4,673,104 $ 4,171,407 $ 3,531,068 $ 5,104,986 $ 5,108,219 $ 4,968,936 $ 4,900,380 $ 4,795,038 Common equity ratio 6.95% 8.47% 9.27% 9.82% 7.31% 7.16% 6.95% 6.74% 6.86% Tangible common equity ratio 6.37% 7.85% 8.56% 8.96% 6.75% 6.60% 6.37% 6.15% 6.26% Year Ended December 31, Quarter Ended (Dollars in thousands) 27


Michigan	0-7818	38-2032782
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)


4200 East Beltline Grand Rapids, Michigan			49525
(Address of principal executive office)			(Zip Code)


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

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

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

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


Title of each class	Trading symbol(s)	Name of each exchange on which registered
Common stock, no par value	IBCP	NASDAQ Global Select Market


99.1			Press release dated July 25, 2023.

99.2			Supplemental data to the Registrant’s press release dated July 25, 2023.

99.3			Earnings conference call presentation.