Park National Corporation reports 2025 results and increase to quarterly cash dividend

Park National Corporation reports 2025 results and increase to quarterly cash dividend January 26, 2026 NEWARK, Ohio, Jan. 26, 2026 (GLOBE NEWSWIRE) -- Park National Corporation (Park) (NYSE American: PRK) today reported financial results for the fourth quarter and full year of 2025. Park's board of directors declared a quarterly cash dividend of $1.10 per common share, payable on March 10, 2026, to common shareholders of record as of February 20, 2026. “Our performance reflects the hard work and dedication our associates demonstrate in service to others,” said Park Chairman David Trautman. “With earnings and dividends at their highest levels, we’re delivering solid value for our fellow shareholders. We will build on this momentum by staying true to our purpose of helping everyone with whom we come in contact flourish.” Park’s net income for the fourth quarter of 2025 was $42.6 million, a 10.4 percent increase from $38.6 million for the fourth quarter of 2024. Fourth quarter 2025 net income per diluted common share was $2.63, compared to $2.37 for the fourth quarter of 2024. Park's net income for the full year of 2025 was $180.1 million, an 18.9 percent increase from $151.4 million for the full year of 2024. Net income per diluted common share for the full year of 2024 was $11.11 compared to $9.32 for the full year of 2024. “Our loan and deposit growth demonstrate the strength of our relationships and the trust our customers place in us,” said Park CEO & President Matthew Miller. “Looking ahead to the expected closing of First Citizens Bancshares, Inc. on February 1, 2026, we’re energized by the opportunities the partnership will create. The upcoming close is possible because of the dedication of our Park colleagues and our new colleagues from First Citizens. We are grateful for every opportunity to serve our customers and communities.” Park’s total loans increased 3.0 percent during 2025. Park's total deposits increased 1.2 percent during 2025, with an increase of 1.1 percent including off balance sheet deposits. The combination of solid loan growth and steady deposits contributed to Park's success in 2025. Headquartered in Newark, Ohio, Park National Corporation has $9.8 billion in total assets (as of December 31, 2025). Park's banking operations are conducted through its subsidiary, The Park National Bank. Other Park subsidiaries are Scope Leasing, Inc. (d.b.a. Scope Aircraft Finance), Park Investments, Inc. and SE Property Holdings, LLC. Complete financial tables are listed below. Category: Earnings SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 Park cautions that any forward-looking statements contained in this news release or made by management of Park are provided to assist in the understanding of anticipated future financial performance. Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties, including those described in Park's Annual Report on Form 10-K for the fiscal year ended December 31, 2024, as updated by our filings with the SEC. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ include, without limitation: (1) the ability to execute our business plan successfully and manage strategic initiatives; (2) the impact of current and future economic and financial market conditions, including unemployment rates, inflation, interest rates, supply-demand imbalances, and geopolitical matters; (3) factors impacting the performance of our loan portfolio, including real estate values, financial health of borrowers, and loan concentrations; (4) the effects of monetary and fiscal policies, including interest rates, money supply, and inflation; (5) changes in federal, state, or local tax laws; (6) the impact of changes in governmental policy and regulatory requirements on our operations; (7) changes in consumer spending, borrowing, and saving habits; (8) changes in the performance and creditworthiness of customers, suppliers, and counterparties; (9) increased credit risk and higher credit losses due to loan concentrations; (10) volatility in mortgage banking income due to interest rates and demand; (11) adequacy of our internal controls and risk management programs; (12) competitive pressures among financial services organizations; (13) uncertainty regarding changes in banking regulations and other regulatory requirements; (14) our ability to meet heightened supervisory requirements and expectations; (15) the impact of changes in accounting policies and practices on our financial condition; (16) the reliability and accuracy of assumptions and estimates used in applying critical accounting estimates; (17) the potential for higher future credit losses due to changes in economic assumptions; (18) the ability to anticipate and respond to technological changes and our reliance on third-party vendors; (19) operational issues related to and capital spending necessitated by the implementation of information technology systems on which we are highly dependent; (20) the ability to secure confidential information and deliver products and services through computer systems and telecommunications networks; (21) the impact of security breaches or failures in operational systems; (22) the impact of geopolitical instability and trade policies on our operations including the imposition of tariffs and retaliatory tariffs; (23) the impact of changes in credit ratings of government debt and financial stability of sovereign governments; (24) the effect of stock market price fluctuations on our asset and wealth management businesses; (25) litigation and regulatory compliance exposure; (26) availability of earnings and excess capital for dividend declarations; (27) the impact of fraud, scams, and schemes on our business; (28) the impact of natural disasters, pandemics, and other emergencies on our operations; (29) potential deterioration of the economy due to financial, political, or other shocks; (30) impact of healthcare laws and potential changes on our costs and operations; (31) the ability to grow deposits and maintain adequate deposit levels, including by mitigating the effect of unexpected deposit outflows on our financial condition; (32) the ability to integrate the operations of First Citizens Bancshares, Inc. into those of Park and the effects of the merger on Park’s future financial condition, results of operations, strategy and plans; (33) other risk factors related to the banking industry. Park does not undertake, and specifically disclaims any obligation, to publicly release the results of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward-looking statement was made, or reflect the occurrence of unanticipated events, except to the extent required by law. PARK NATIONAL CORPORATIONFinancial HighlightsAs of or for the three months ended December 31, 2025, September 30, 2025 and December 31, 2024 2025 2025 2024 Percent change 4Q '25 vs.(in thousands, except common share and per common share data and ratios)4th QTR 3rd QTR 4th QTR 3Q '25 4Q '24INCOME STATEMENT: Net interest income$112,926 $111,017 $103,445 1.7% 9.2%Provision for credit losses 3,849 4,030 3,935 (4.5)% (2.2)%Other income 31,375 30,574 31,064 2.6% 1.0%Other expense 87,777 79,463 83,241 10.5% 5.4%Income before income taxes$52,675 $58,098 $47,333 (9.3)% 11.3%Income taxes 10,036 10,940 8,703 (8.3)% 15.3%Net income$42,639 $47,158 $38,630 (9.6)% 10.4% MARKET DATA: Earnings per common share - basic (a)$2.65 $2.93 $2.39 (9.6)% 10.9%Earnings per common share - diluted (a) 2.63 2.92 2.37 (9.9)% 11.0%Quarterly cash dividend declared per common share 1.07 1.07 1.06 —% 0.9%Special cash dividend declared per common share 1.25 — 0.50 N.M. 150.0%Book value per common share at period end 84.14 82.87 76.98 1.5% 9.3%Market price per common share at period end 152.18 162.53 171.43 (6.4)% (11.2)%Market capitalization at period end 2,446,790 2,612,076 2,770,134 (6.3)% (11.7)% Weighted average common shares - basic (b) 16,076,308 16,071,347 16,156,827 —% (0.5)%Weighted average common shares - diluted (b) 16,183,706 16,173,271 16,283,701 0.1% (0.6)%Common shares outstanding at period end 16,078,262 16,071,347 16,158,982 —% (0.5)% PERFORMANCE RATIOS: (annualized) Return on average assets (a)(b) 1.68% 1.83% 1.54% (8.2)% 9.1%Return on average shareholders' equity (a)(b) 12.61% 14.19% 12.32% (11.1)% 2.4%Yield on loans 6.34% 6.34% 6.21% —% 2.1%Yield on investment securities 2.84% 3.04% 3.46% (6.6)% (17.9)%Yield on money market instruments 3.94% 4.44% 4.75% (11.3)% (17.1)%Yield on interest earning assets 5.91% 5.90% 5.82% 0.2% 1.5%Cost of interest bearing deposits 1.61% 1.74% 1.90% (7.5)% (15.3)%Cost of borrowings 1.31% 3.55% 3.86% (63.1)% (66.1)%Cost of paying interest bearing liabilities 1.61% 1.80% 1.99% (10.6)% (19.1)%Net interest margin (g) 4.88% 4.72% 4.51% 3.4% 8.2%Efficiency ratio (g) 60.54% 55.85% 61.60% 8.4% (1.7)% OTHER DATA (NON-GAAP) AND BALANCE SHEET INFORMATION: Tangible book value per common share (d)$74.06 $72.77 $66.89 1.8% 10.7%Average interest earning assets 9,230,035 9,388,308 9,176,540 (1.7)% 0.6%Pre-tax, pre-provision net income (j) 56,524 62,128 51,268 (9.0)% 10.3% Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATIONFinancial Highlights (continued)As of or for the three months ended December 31, 2025, September 30, 2025 and December 31, 2024 Percent change 4Q '25 vs.(in thousands, except ratios)December 31, 2025 September 30, 2025 December 31, 2024 3Q '25 4Q '24BALANCE SHEET: Investment securities$802,142 $926,934 $1,100,861 (13.5)% (27.1)%Loans 8,051,242 7,992,753 7,817,128 0.7% 3.0%Allowance for credit losses 92,973 91,758 87,966 1.3% 5.7%Goodwill and other intangible assets 161,990 162,237 163,032 (0.2)% (0.6)%Other real estate owned (OREO) 729 638 938 14.3% (22.3)%Total assets 9,805,013 9,862,068 9,805,350 (0.6)% —%Total deposits 8,243,713 8,329,924 8,143,526 (1.0)% 1.2%Borrowings 81,711 78,126 280,083 4.6% (70.8)%Total shareholders' equity 1,352,793 1,331,821 1,243,848 1.6% 8.8%Tangible equity (d) 1,190,803 1,169,584 1,080,816 1.8% 10.2%Total nonperforming loans 69,253 90,571 69,932 (23.5)% (1.0)%Total nonperforming assets 69,982 91,209 70,870 (23.3)% (1.3)% ASSET QUALITY RATIOS: Loans as a % of period end total assets 82.11% 81.05% 79.72% 1.3% 3.0%Total nonperforming loans as a % of period end loans 0.86% 1.13% 0.89% (23.9)% (3.4)%Total nonperforming assets as a % of period end loans + OREO + other nonperforming assets 0.87% 1.14% 0.91% (23.7)% (4.4)%Allowance for credit losses as a % of period end loans 1.15% 1.15% 1.13% —% 1.8%Net loan charge-offs$2,634 $2,057 $3,206 28.1% (17.8)%Annualized net loan charge-offs as a % of average loans (b) 0.13% 0.10% 0.16% 30.0% (18.8)% CAPITAL & LIQUIDITY: Total shareholders' equity / Period end total assets 13.80% 13.50% 12.69% 2.2% 8.7%Tangible equity (d) / Tangible assets (f) 12.35% 12.06% 11.21% 2.4% 10.2%Average shareholders' equity / Average assets (b) 13.32% 12.88% 12.47% 3.4% 6.8%Average shareholders' equity / Average loans (b) 16.77% 16.60% 16.08% 1.0% 4.3%Average loans / Average deposits (b) 93.98% 92.68% 93.00% 1.4% 1.1% Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATIONFinancial HighlightsYear ended December 31, 2025 and December 31, 2024 (in thousands, except common share and per common share data and ratios)2025 2024 Percent change '25 vs '24INCOME STATEMENT: Net interest income$437,311 $398,019 9.9%Provision for credit losses 11,488 14,543 (21.0)%Other income 119,881 122,588 (2.2)%Other expense 324,381 321,339 0.9%Income before income taxes$221,323 $184,725 19.8%Income taxes 41,250 33,305 23.9%Net income$180,073 $151,420 18.9% MARKET DATA: Earnings per common share - basic (a)$11.18 $9.38 19.2%Earnings per common share - diluted (a) 11.11 9.32 19.2%Quarterly cash dividend declared per common share 4.28 4.24 0.9%Special cash dividend declared per common share 1.25 0.50 150.0% Weighted average common shares - basic (b) 16,109,237 16,143,708 (0.2)%Weighted average common shares - diluted (b) 16,202,910 16,244,797 (0.3)% PERFORMANCE RATIOS: Return on average assets (a)(b) 1.78% 1.53% 16.3%Return on average shareholders' equity (a)(b) 13.80% 12.65% 9.1%Yield on loans 6.33% 6.14% 3.1%Yield on investment securities 3.10% 3.74% (17.1)%Yield on money market instruments 4.29% 5.16% (16.9)%Yield on interest earning assets 5.90% 5.78% 2.1%Cost of interest bearing deposits 1.71% 1.97% (13.2)%Cost of borrowings 3.57% 4.05% (11.9)%Cost of paying interest bearing liabilities 1.77% 2.08% (14.9)%Net interest margin (g) 4.75% 4.41% 7.7%Efficiency ratio (g) 57.94% 61.44% (5.7)% ASSET QUALITY RATIOS: Net loan charge-offs$6,481 $10,322 (37.2)%Net loan charge-offs as a % of average loans (b) 0.08% 0.14% (42.9)% CAPITAL & LIQUIDITY Average shareholders' equity / Average Assets (b) 12.91% 12.09% 6.8%Average shareholders' equity / Average loans (b) 16.47% 15.69% 5.0%Average loans / Average deposits (b) 93.64% 92.34% 1.4% OTHER DATA (NON-GAAP) AND BALANCE SHEET INFORMATION: Average interest earning assets 9,270,563 9,085,850 2.0%Pre-tax, pre-provision net income (j) 232,811 199,268 16.8% Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATION Consolidated Statements of Income Three Months Ended Twelve Month Ended December 31 December 31 (in thousands, except share and per share data) 2025 2024 2025 2024 Interest income: Interest and fees on loans $127,443 $120,870 $500,282 $467,602 Interest on debt securities: Taxable 4,267 8,641 23,734 41,718 Tax-exempt 1,487 1,351 5,779 5,524 Other interest income 3,695 2,751 14,745 8,121 Total interest income 136,892 133,613 544,540 522,965 Interest expense: Interest on deposits: Demand and savings deposits 18,431 19,802 76,421 82,789 Time deposits 5,267 7,658 23,359 29,594 Interest on borrowings 268 2,708 7,449 12,563 Total interest expense 23,966 30,168 107,229 124,946 Net interest income 112,926 103,445 437,311 398,019 Provision for credit losses 3,849 3,935 11,488 14,543 Net interest income after provision for credit losses 109,077 99,510 425,823 383,476 Other income 31,375 31,064 119,881 122,588 Other expense 87,777 83,241 324,381 321,339 Income before income taxes 52,675 47,333 221,323 184,725 Income taxes 10,036 8,703 41,250 33,305 Net income $42,639 $38,630 $180,073 $151,420 Per common share: Net income - basic $2.65 $2.39 $11.18 $9.38 Net income - diluted $2.63 $2.37 $11.11 $9.32 Weighted average common shares - basic 16,076,308 16,156,827 16,109,237 16,143,708 Weighted average common shares - diluted 16,183,706 16,283,701 16,202,910 16,244,797 Cash dividends declared: Quarterly dividend $1.07 $1.06 $4.28 $4.24 Special dividend $1.25 $0.50 $1.25 $0.50 PARK NATIONAL CORPORATIONConsolidated Balance Sheets (in thousands, except share data)December 31, 2025 December 31, 2024 Assets Cash and due from banks$137,239 $122,363 Money market instruments 96,274 38,203 Investment securities 802,142 1,100,861 Loans 8,051,242 7,817,128 Allowance for credit losses (92,973) (87,966)Loans, net 7,958,269 7,729,162 Bank premises and equipment, net 61,627 69,522 Goodwill and other intangible assets 161,990 163,032 Other real estate owned 729 938 Other assets 586,743 581,269 Total assets$9,805,013 $9,805,350 Liabilities and Shareholders' Equity Deposits: Noninterest bearing$2,656,093 $2,612,708 Interest bearing 5,587,620 5,530,818 Total deposits 8,243,713 8,143,526 Borrowings 81,711 280,083 Other liabilities 126,796 137,893 Total liabilities$8,452,220 $8,561,502 Shareholders' Equity: Preferred shares (200,000 shares authorized; no shares outstanding at December 31, 2025 or December 31, 2024)$— $— Common shares (No par value; 40,000,000 shares authorized at December 31, 2025 and 20,000,000 at December 31, 2024; 17,623,104 shares issued at December 31, 2025 and December 31, 2024) 465,032 463,706 Accumulated other comprehensive loss, net of taxes (12,739) (46,175)Retained earnings 1,067,823 977,599 Treasury shares (1,544,842 shares at December 31, 2025 and 1,464,122 shares at December 31, 2024) (167,323) (151,282)Total shareholders' equity$1,352,793 $1,243,848 Total liabilities and shareholders' equity$9,805,013 $9,805,350 PARK NATIONAL CORPORATIONConsolidated Average Balance Sheets Three Months Ended Twelve Months Ended December 31, December 31,(in thousands)2025 2024 2025 2024 Assets Cash and due from banks$113,086 $122,949 $119,607 $129,070 Money market instruments 371,626 230,591 343,612 157,292 Investment securities 864,627 1,167,467 993,339 1,265,680 Loans 7,998,159 7,757,229 7,924,342 7,627,419 Allowance for credit losses (92,848) (87,608) (90,254) (85,930)Loans, net 7,905,311 7,669,621 7,834,088 7,541,489 Bank premises and equipment, net 62,521 70,615 65,272 72,689 Goodwill and other intangible assets 162,152 163,221 162,536 163,669 Other real estate owned 671 1,079 570 1,192 Other assets 589,466 582,785 588,792 570,183 Total assets$10,069,460 $10,008,328 $10,107,816 $9,901,264 Liabilities and Shareholders' Equity Deposits: Noninterest bearing$2,673,397 $2,593,128 $2,629,132 $2,564,009 Interest bearing 5,837,476 5,747,671 5,833,360 5,696,185 Total deposits 8,510,873 8,340,799 8,462,492 8,260,194 Borrowings 81,180 279,149 208,420 309,996 Other liabilities 136,008 140,700 131,679 133,954 Total liabilities$8,728,061 $8,760,648 $8,802,591 $8,704,144 Shareholders' Equity: Preferred shares$— $— $— $— Common shares 463,633 462,146 462,444 461,433 Accumulated other comprehensive loss, net of taxes (20,861) (41,229) (31,191) (60,619)Retained earnings 1,066,169 978,267 1,035,307 949,160 Treasury shares (167,542) (151,504) (161,335) (152,854)Total shareholders' equity$1,341,399 $1,247,680 $1,305,225 $1,197,120 Total liabilities and shareholders' equity$10,069,460 $10,008,328 $10,107,816 $9,901,264 PARK NATIONAL CORPORATION Consolidated Statements of Income - Linked Quarters 2025 2025 2025 2025 2024 (in thousands, except per share data)4th QTR 3rd QTR 2nd QTR 1st QTR 4th QTR Interest income: Interest and fees on loans$127,443 $126,648 $125,543 $120,648 $120,870 Interest on debt securities: Taxable 4,267 5,644 6,693 7,130 8,641 Tax-exempt 1,487 1,520 1,503 1,269 1,351 Other interest income 3,695 5,140 2,757 3,153 2,751 Total interest income 136,892 138,952 136,496 132,200 133,613 Interest expense: Interest on deposits: Demand and savings deposits 18,431 20,499 19,055 18,436 19,802 Time deposits 5,267 5,501 5,821 6,770 7,658 Interest on borrowings 268 1,935 2,629 2,617 2,708 Total interest expense 23,966 27,935 27,505 27,823 30,168 Net interest income 112,926 111,017 108,991 104,377 103,445 Provision for credit losses 3,849 4,030 2,853 756 3,935 Net interest income after provision for credit losses 109,077 106,987 106,138 103,621 99,510 Other income 31,375 30,574 32,186 25,746 31,064 Other expense 87,777 79,463 78,977 78,164 83,241 Income before income taxes 52,675 58,098 59,347 51,203 47,333 Income taxes 10,036 10,940 11,228 9,046 8,703 Net income$42,639 $47,158 $48,119 $42,157 $38,630 Per common share: Net income - basic$2.65 $2.93 $2.98 $2.61 $2.39 Net income - diluted$2.63 $2.92 $2.97 $2.60 $2.37 PARK NATIONAL CORPORATIONDetail of other income and other expense - Linked Quarters 2025 2025 2025 2025 2024 (in thousands)4th QTR 3rd QTR 2nd QTR 1st QTR 4th QTR Other income: Income from fiduciary activities$11,839 $11,315 $11,622 $10,994 $11,122 Service charges on deposit accounts 2,552 2,578 2,514 2,407 2,319 Other service income 4,099 3,716 3,731 2,936 3,277 Debit card fee income 6,493 6,604 6,607 6,089 6,511 Bank owned life insurance income 1,777 1,559 1,762 1,512 1,519 ATM fees 333 371 367 335 415 Pension settlement gain — — — — 365 Loss on sale of debt securities, net (2,250) — — — (128)Gain (loss) on equity securities, net 3,595 (549) 2,480 (862) 1,852 Other components of net periodic benefit income 2,344 2,344 2,344 2,344 2,651 Miscellaneous 593 2,636 759 (9) 1,161 Total other income$31,375 $30,574 $32,186 $25,746 $31,064 Other expense: Salaries$39,315 $38,644 $38,560 $36,216 $37,254 Employee benefits 10,846 9,892 9,108 10,516 10,129 Occupancy expense 3,349 3,242 3,269 3,519 2,929 Furniture and equipment expense 2,007 2,219 2,234 2,301 2,375 Data processing fees 12,188 11,531 11,021 10,529 10,450 Professional fees and services 9,275 7,475 7,395 7,307 10,465 Marketing 1,744 1,507 1,295 1,528 1,949 Insurance 1,534 1,468 1,667 1,686 1,600 Communication 1,137 1,239 941 1,202 1,104 State tax expense 1,181 1,182 1,350 1,186 1,145 Amortization of intangible assets 247 248 273 274 288 Foundation contributions 1,000 — — — — Miscellaneous 3,954 816 1,864 1,900 3,553 Total other expense$87,777 $79,463 $78,977 $78,164 $83,241 PARK NATIONAL CORPORATIONAsset Quality Information Year ended December 31,(in thousands, except ratios)2025 2024 2023 2022 2021 Allowance for credit losses: Allowance for credit losses, beginning of period$87,966 $83,745 $85,379 $83,197 $85,675 Cumulative change in accounting principle; adoption of ASU 2022-02 in 2023 and ASU 2016-13 in 2021 — — 383 — 6,090 Charge-offs 16,624 18,334 10,863 9,133 5,093 Recoveries 10,143 8,012 5,942 6,758 8,441 Net charge-offs (recoveries) 6,481 10,322 4,921 2,375 (3,348)Provision for (recovery of) credit losses 11,488 14,543 2,904 4,557 (11,916)Allowance for credit losses, end of period$92,973 $87,966 $83,745 $85,379 $83,197 General reserve trends: Allowance for credit losses, end of period$92,973 $87,966 $83,745 $85,379 $83,197 Allowance on accruing purchased credit deteriorated ("PCD") loans — — — — — Specific reserves on individually evaluated loans - accrual — — — — 42 Specific reserves on individually evaluated loans - nonaccrual 739 1,299 4,983 3,566 1,574 General reserves on collectively evaluated loans$92,234 $86,667 $78,762 $81,813 $81,581 Total loans$8,051,242 $7,817,128 $7,476,221 $7,141,891 $6,871,122 Accruing PCD loans (PCI loans for years 2020 and prior) 1,990 2,174 2,835 4,653 7,149 Individually evaluated loans - accrual (k) 18,365 15,290 — 11,477 17,517 Individually evaluated loans - nonaccrual 46,924 53,149 45,215 66,864 56,985 Collectively evaluated loans$7,983,963 $7,746,515 $7,428,171 $7,058,897 $6,789,471 Asset Quality Ratios: Net charge-offs (recoveries) as a % of average loans 0.08% 0.14% 0.07% 0.03% (0.05)%Allowance for credit losses as a % of period end loans 1.15% 1.13% 1.12% 1.20% 1.21%General reserve as a % of collectively evaluated loans 1.16% 1.12% 1.06% 1.16% 1.20% Nonperforming assets: Nonaccrual loans$66,515 $68,178 $60,259 $79,696 $72,722 Accruing troubled debt restructurings (for years 2022 and prior) (k)N.A. N.A. N.A. 20,134 28,323 Loans past due 90 days or more 2,738 1,754 859 1,281 1,607 Total nonperforming loans$69,253 $69,932 $61,118 $101,111 $102,652 Other real estate owned 729 938 983 1,354 775 Other nonperforming assets — — — — 2,750 Total nonperforming assets$69,982 $70,870 $62,101 $102,465 $106,177 Percentage of nonaccrual loans to period end loans 0.83% 0.87% 0.81% 1.12% 1.06%Percentage of nonperforming loans to period end loans 0.86% 0.89% 0.82% 1.42% 1.49%Percentage of nonperforming assets to period end loans 0.87% 0.91% 0.83% 1.43% 1.55%Percentage of nonperforming assets to period end total assets 0.71% 0.72% 0.63% 1.04% 1.11% Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATION Asset Quality Information (continued) Year ended December 31, (in thousands, except ratios)2025 2024 2023 2022 2021 New nonaccrual loan information: Nonaccrual loans, beginning of period$68,178 $60,259 $79,696 $72,722 $117,368 New nonaccrual loans 87,482 65,535 48,280 64,918 38,478 Resolved nonaccrual loans 89,145 57,616 67,717 57,944 83,124 Nonaccrual loans, end of period$66,515 $68,178 $60,259 $79,696 $72,722 Individually evaluated nonaccrual commercial loan portfolio information (period end): Unpaid principal balance$51,664 $58,158 $47,564 $68,639 $57,609 Prior charge-offs 4,740 5,009 2,349 1,775 624 Remaining principal balance 46,924 53,149 45,215 66,864 56,985 Specific reserves 739 1,299 4,983 3,566 1,574 Book value, after specific reserves$46,185 $51,850 $40,232 $63,298 $55,411 Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATION Financial Reconciliations NON-GAAP RECONCILIATIONS THREE MONTHS ENDED TWELVE MONTHS ENDED(in thousands, except share and per share data)December 31, 2025 September 30, 2025 December 31, 2024 December 31, 2025 December 31, 2024Net interest income$112,926 $111,017 $103,445 $437,311 $398,019 less purchase accounting accretion related to New Dominion and Carolina Alliance acquisitions 161 164 250 668 1,154 less interest income on former Vision Bank relationships — 5 38 2,030 54 Net interest income - adjusted$112,765 $110,848 $103,157 $434,613 $396,811 Provision for credit losses$3,849 $4,030 $3,935 $11,488 $14,543 less recoveries on former Vision Bank relationships (1) (3) — (1,818) (1,304)Provision for credit losses - adjusted$3,850 $4,033 $3,935 $13,306 $15,847 Other income$31,375 $30,574 $31,064 $119,881 $122,588 less loss on sale of debt securities, net (2,250) — (128) (2,250) (526)less pension settlement gain — — 365 — 6,148 less impact of strategic initiatives (38) 778 117 (156) 775 less Vision related OREO valuation adjustments, net — — — (229) 115 less other service income related to former Vision Bank relationships 3 325 299 331 312 Other income - adjusted$33,660 $29,471 $30,411 $122,185 $115,764 Other expense$87,777 $79,463 $83,241 $324,381 $321,339 less core deposit intangible amortization related to New Dominion and Carolina Alliance acquisitions 247 248 288 1,042 1,215 less Foundation contribution 1,000 — — 1,000 2,000 less merger related expenses related to First Citizens acquisition 1,556 — — 1,556 — less restructuring costs 989 — — 989 — less building demolition costs — — 44 — 458 less direct expenses related to collection of payments on former Vision Bank loan relationships 175 — 215 690 215 Other expense - adjusted$83,810 $79,215 $82,694 $319,104 $317,451 Tax effect of adjustments to net income identified above (i)$1,279 $(216) $(83) $644 $(1,144) Net income - reported$42,639 $47,158 $38,630 $180,073 $151,420 Net income - adjusted (h)$47,450 $46,347 $38,319 $182,494 $147,116 Diluted earnings per common share$2.63 $2.92 $2.37 $11.11 $9.32 Diluted earnings per common share, adjusted (h)$2.93 $2.87 $2.35 $11.26 $9.06 Annualized return on average assets (a)(b) 1.68% 1.83% 1.54% 1.78% 1.53%Annualized return on average assets, adjusted (a)(b)(h) 1.87% 1.80% 1.52% 1.81% 1.49% Annualized return on average tangible assets (a)(b)(e) 1.71% 1.86% 1.56% 1.81% 1.56%Annualized return on average tangible assets, adjusted (a)(b)(e)(h) 1.90% 1.83% 1.55% 1.83% 1.51% Annualized return on average shareholders' equity (a)(b) 12.61% 14.19% 12.32% 13.80% 12.65%Annualized return on average shareholders' equity, adjusted (a)(b)(h) 14.03% 13.95% 12.22% 13.98% 12.29% Annualized return on average tangible equity (a)(b)(c) 14.35% 16.19% 14.17% 15.76% 14.65%Annualized return on average tangible equity, adjusted (a)(b)(c)(h) 15.96% 15.91% 14.06% 15.97% 14.24% Efficiency ratio (g) 60.54% 55.85% 61.60% 57.94% 61.44%Efficiency ratio, adjusted (g)(h) 56.97% 56.18% 61.63% 57.04% 61.64% Annualized net interest margin (g) 4.88% 4.72% 4.51% 4.75% 4.41%Annualized net interest margin, adjusted (g)(h) 4.88% 4.71% 4.50% 4.72% 4.39%Note: Explanations for footnotes (a) - (k) are included at the end of the financial tables in the "Financial Reconciliations" section. PARK NATIONAL CORPORATION Financial Reconciliations (continued) (a) Reported measure uses net income (b) Averages are for the three months ended December 31, 2025, September 30, 2025, and December 31, 2024 and the twelve months ended December 31, 2025 and December 31, 2024, as appropriate (c) Net income for each period divided by average tangible equity during the period. Average tangible equity equals average shareholders' equity during the applicable period less average goodwill and other intangible assets during the applicable period. RECONCILIATION OF AVERAGE SHAREHOLDERS' EQUITY TO AVERAGE TANGIBLE EQUITY: THREE MONTHS ENDED TWELVE MONTHS ENDED December 31, 2025 September 30, 2025 December 31, 2024 December 31, 2025 December 31, 2024 AVERAGE SHAREHOLDERS' EQUITY$1,341,399 $1,318,277 $1,247,680 $1,305,225 $1,197,120 Less: Average goodwill and other intangible assets 162,152 162,400 163,221 162,536 163,669 AVERAGE TANGIBLE EQUITY$1,179,247 $1,155,877 $1,084,459 $1,142,689 $1,033,451 (d) Tangible equity divided by common shares outstanding at period end. Tangible equity equals total shareholders' equity less goodwill and other intangible assets, in each case at the end of the period. RECONCILIATION OF TOTAL SHAREHOLDERS' EQUITY TO TANGIBLE EQUITY: December 31, 2025 September 30, 2025 December 31, 2024 TOTAL SHAREHOLDERS' EQUITY$1,352,793 $1,331,821 $1,243,848 Less: Goodwill and other intangible assets 161,990 162,237 163,032 TANGIBLE EQUITY$1,190,803 $1,169,584 $1,080,816 (e) Net income for each period divided by average tangible assets during the period. Average tangible assets equal average assets less average goodwill and other intangible assets, in each case during the applicable period. RECONCILIATION OF AVERAGE ASSETS TO AVERAGE TANGIBLE ASSETS THREE MONTHS ENDED TWELVE MONTHS ENDED December 31, 2025 September 30, 2025 December 31, 2024 December 31, 2025 December 31, 2024 AVERAGE ASSETS$10,069,460 $10,236,065 $10,008,328 $10,107,816 $9,901,264 Less: Average goodwill and other intangible assets 162,152 162,400 163,221 162,536 163,669 AVERAGE TANGIBLE ASSETS$9,907,308 $10,073,665 $9,845,107 $9,945,280 $9,737,595 (f) Tangible equity divided by tangible assets. Tangible assets equal total assets less goodwill and other intangible assets, in each case at the end of the period. RECONCILIATION OF TOTAL ASSETS TO TANGIBLE ASSETS: December 31, 2025 September 30, 2025 December 31, 2024 TOTAL ASSETS$9,805,013 $9,862,068 $9,805,350 Less: Goodwill and other intangible assets 161,990 162,237 163,032 TANGIBLE ASSETS$9,643,023 $9,699,831 $9,642,318 (g) Efficiency ratio is calculated by dividing total other expense by the sum of fully taxable equivalent net interest income and other income. Fully taxable equivalent net interest income reconciliation is shown assuming a 21% corporate federal income tax rate. Additionally, net interest margin is calculated on a fully taxable equivalent basis by dividing fully taxable equivalent net interest income by average interest earning assets, in each case during the applicable period. RECONCILIATION OF FULLY TAXABLE EQUIVALENT NET INTEREST INCOME TO NET INTEREST INCOME THREE MONTHS ENDED TWELVE MONTHS ENDED December 31, 2025 September 30, 2025 December 31, 2024 December 31, 2025 December 31, 2024 Interest income$136,892 $138,952 $133,613 $544,540 $522,965 Fully taxable equivalent adjustment 687 685 617 2,654 2,432 Fully taxable equivalent interest income$137,579 $139,637 $134,230 $547,194 $525,397 Interest expense 23,966 27,935 30,168 107,229 124,946 Fully taxable equivalent net interest income$113,613 $111,702 $104,062 $439,965 $400,451 (h) Adjustments to net income for each period presented are detailed in the non-GAAP reconciliations of net interest income, provision for credit losses, other income, other expense and tax effect of adjustments to net income. (i) The tax effect of adjustments to net income was calculated assuming a 21% corporate federal income tax rate. (j) Pre-tax, pre-provision ("PTPP") net income is calculated as net income, plus income taxes, plus the provision for credit losses, in each case during the applicable period. PTPP net income is a common industry metric utilized in capital analysis and review. PTPP is used to assess the operating performance of Park while excluding the impact of the provision for credit losses. RECONCILIATION OF PRE-TAX, PRE-PROVISION NET INCOME THREE MONTHS ENDED TWELVE MONTHS ENDED December 31, 2025 September 30, 2025 December 31, 2024 December 31, 2025 December 31, 2024 Net income$42,639 $47,158 $38,630 $180,073 $151,420 Plus: Income taxes 10,036 10,940 8,703 41,250 33,305 Plus: Provision for credit losses 3,849 4,030 3,935 11,488 14,543 Pre-tax, pre-provision net income$56,524 $62,128 $51,268 $232,811 $199,268 (k) Effective January 1, 2023, Park adopted Accounting Standards Update ("ASU") 2022-02. Among other things, this ASU eliminated the concept of troubled debt restructurings ("TDRs"). As a result of the adoption of this ASU and elimination of the concept of TDRs, total nonperforming loans ("NPLs") and total nonperforming assets ("NPAs") each decreased by $20.1 million effective January 1, 2023. Additionally, as a result of the adoption of this ASU, accruing individually evaluated loans decreased by $11.5 million effective January 1, 2023. Media contact: Michelle Hamilton, 740-349-6014, [email protected] Investor contact: Brady Burt, 740-322-6844, [email protected] Source: Park National Bank