Univest Financial Corporation Reports Second Quarter Results

Univest Financial Corporation Reports Second Quarter Results July 22, 2026 (18.8% increase in earnings per share compared to 2025 second quarter) SOUDERTON, Pa., July 22, 2026 (GLOBE NEWSWIRE) -- Univest Financial Corporation (“Univest” or the "Corporation") (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. (the "Bank") and its insurance, investments and equipment financing subsidiaries, announced net income for the quarter ended June 30, 2026 of $23.0 million, or $0.82 diluted earnings per share, compared to net income of $20.0 million, or $0.69 diluted earnings per share, for the quarter ended June 30, 2025. Notable Non-Core Items The financial results for the quarter included a pre-tax charge of $5.2 million ($4.1 million after-tax), or $0.15 diluted earnings per share, related to a valuation adjustment on an other real estate owned ("OREO") property. The adjustment was recorded based on an updated appraisal which reflects the property's estimated fair value less costs to sell. The property was initially transferred to OREO during the quarter ended June 30, 2022 and was listed for sale during the quarter ended June 30, 2025. The financial results for the quarter also included tax-free bank owned life insurance ("BOLI") death benefit proceeds of $708 thousand, which represented $0.03 diluted earnings per share. Loans Gross loans and leases increased $101.7 million, or 1.5% (6.0% annualized), from March 31, 2026, $127.2 million, or 1.8% (3.6% annualized), from December 31, 2025, and $240.8 million, or 3.5%, from June 30, 2025. The increases during these periods were primarily driven by growth in commercial, construction and commercial real estate loans. This growth was partially offset by a decline in residential mortgage loans, which is consistent with our strategy to focus balance sheet growth on full-relationship customers, which will improve our loan-to-deposit ratio. Deposits and Liquidity Total deposits increased $119.2 million, or 1.8% (7.2% annualized), from March 31, 2026, primarily due to increases in commercial, consumer and brokered deposits, partially offset by a seasonal decrease in public funds deposits. Total deposits decreased $154.3 million, or 2.2% (4.4% annualized), from December 31, 2025, primarily due to decreases in consumer and public funds deposits, partially offset by increases in commercial and brokered deposits. Total deposits increased $350.3 million, or 5.3%, from June 30, 2025, primarily due to increases in commercial and brokered deposits. Noninterest-bearing deposits totaled $1.5 billion and represented 21.1% of total deposits at June 30, 2026, compared to $1.5 billion representing 21.7% of total deposits at March 31, 2026. Unprotected deposits, which excludes insured, internal, and collateralized deposit accounts, totaled $1.7 billion and $1.6 billion at June 30, 2026 and March 31, 2026, respectively. This represented 24.6% of total deposits at June 30, 2026, compared to 23.7% at March 31, 2026. As of June 30, 2026, the Corporation and its subsidiaries held cash and cash equivalents totaling $195.3 million. The Corporation and its subsidiaries had committed borrowing capacity of $3.7 billion, of which $2.4 billion was available. The Corporation and its subsidiaries also maintained uncommitted funding sources from correspondent banks of $422.0 million at June 30, 2026. Future availability under these uncommitted funding sources is subject to the prerogatives of the granting banks and may be withdrawn at will. Net Interest Income and Margin Net interest income of $66.2 million for the second quarter of 2026 increased $6.7 million, or 11.3%, from the second quarter of 2025 and $2.9 million, or 4.5%, from the first quarter of 2026. The increase in net interest income for the second quarter of 2026 compared to the second quarter of 2025 was driven by higher average balances of loans, coupled with a reduction in our cost of funds, as lower rates paid on interest‑bearing liabilities more than offset the impact of higher average balances of these liabilities. The increase in net interest income for the second quarter of 2026 compared to the first quarter of 2026 was driven by higher average balances and yields on loans, coupled with a modest reduction in our cost of funds and a decrease in the average balance of interest-bearing liabilities, partially offset by lower average balances of interest-earning deposits with other banks. Net interest margin, on a tax-equivalent basis, was 3.49% for the second quarter of 2026, compared to 3.33% for the first quarter of 2026 and 3.20% for the second quarter of 2025. Excess liquidity reduced net interest margin by approximately four basis points for the quarter ended June 30, 2026 compared to approximately 11 basis points for the quarter ended March 31, 2026 and approximately four basis points for the quarter ended June 30, 2025. Excluding the impact of excess liquidity, the net interest margin, on a tax-equivalent basis, would have been 3.53% for the quarter ended June 30, 2026 compared to 3.44% for the first quarter of 2026 and 3.24% for the quarter ended June 30, 2025. Noninterest Income Noninterest income for the quarter ended June 30, 2026 was $18.1 million, a decrease of $3.4 million, or 15.8%, from the comparable period in the prior year, primarily due to the net loss on the sale and write-down of OREO of $5.2 million for the quarter ended June 30, 2026, due to the valuation adjustment recorded during the quarter as previously mentioned. BOLI income increased $686 thousand, or 67.8%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year. The financial results for the three months ended June 30, 2026 included $708 thousand in BOLI death benefit proceeds compared to $71 thousand for the three months ended June 30, 2025. Investment advisory commission and fee income increased $583 thousand, or 10.7%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year, driven by appreciation in assets under management and new customer relationships. Net gain on mortgage banking activities increased $365 thousand, or 37.2%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year, primarily due to increased salable volume and increased margins. Noninterest Expense Noninterest expense for the quarter ended June 30, 2026 was $53.1 million, an increase of $2.8 million, or 5.5%, from the comparable period in the prior year. Salaries, benefits and commissions increased $1.7 million, or 5.3%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year, primarily driven by higher salary expense of $1.3 million due to annual merit increases and an increase of $375 thousand in medical claims expenses. Marketing and advertising expense increased $490 thousand, or 98.4%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year. This increase was primarily driven by the inclusion of certain sponsorship activities that were historically reported in Other Expense and the Corporation's entry into a sponsorship agreement with a local university, enhancing community engagement and visibility. Professional fees increased $432 thousand, or 27.1%, for the quarter ended June 30, 2026 compared to the comparable period in the prior year, primarily due to increased marketing consultant fees. Tax Provision The effective income tax rate was 19.6% for the quarter ended June 30, 2026, compared to an effective tax rate of 20.1% for the quarter ended June 30, 2025. The effective tax rates for the three months ended June 30, 2026 and 2025 were favorably impacted by proceeds of BOLI death benefit proceeds. Excluding the BOLI death benefit proceeds, the effective tax rate was 20.1% for the three months ended June 30, 2026 compared to 20.2% for the three months ended June 30, 2025. The effective tax rate for the quarter ended June 30, 2026, also reflected a discrete tax benefit related to equity compensation awards. Asset Quality and Provision for Credit Losses Nonperforming assets totaled $63.0 million at June 30, 2026, $41.2 million at March 31, 2026, and $50.6 million at June 30, 2025. During the second quarter, a commercial loan relationship totaling $28.6 million was placed on nonaccrual status with a specific reserve of $9.8 million. This increase was partially offset by the valuation adjustment recorded on OREO during the quarter. Net loan and lease charge-offs were $1.9 million for the three months ended June 30, 2026 compared to $1.3 million and $7.8 million for the three months ended March 31, 2026 and June 30, 2025, respectively. Net loan and lease charge-offs for the three months ended June 30, 2025 included a $7.3 million charge-off associated with a nonaccrual commercial loan relationship. The provision for credit losses was $2.7 million for the three months ended June 30, 2026 compared to $1.3 million and $5.7 million for the three months ended March 31, 2026 and June 30, 2025, respectively. The allowance for credit losses on loans and leases as a percentage of loans and leases held for investment was 1.28% at June 30, 2026, March 31, 2026, and June 30, 2025. Dividend and Share Repurchases On July 22, 2026, Univest declared a quarterly cash dividend of $0.23 per share to be paid on August 19, 2026 to shareholders of record as of August 5, 2026. During the quarter ended June 30, 2026, the Corporation repurchased 425,539 shares of common stock at an average price of $38.71 per share. Including brokerage fees and excise tax, the average cost per share was $39.13. As of June 30, 2026, 1,494,260 shares are available for repurchase under the Share Repurchase Plan. Conference Call Univest will host a conference call to discuss second quarter 2026 results on Thursday, July 23, 2026 at 9:00 a.m. EDT. Participants may preregister at https://registrations.events/direct/Q4I3774017. The general public can access the call by dialing 1-888-500-3691; referencing Conference ID 37740 or "Univest Financial Corporation Second Quarter 2026 Earnings Call" to the operator. A replay of the conference call will be available through July 30, 2026 using the following link: https://registrations.events/direct/Q4I3774017. About Univest Financial Corporation Univest Financial Corporation (UVSP), including its wholly-owned subsidiary Univest Bank and Trust Co., Member FDIC, has approximately $8.2 billion in assets and $6.2 billion in assets under management and supervision through its Wealth Management lines of business at June 30, 2026. Headquartered in Souderton, Pa. and founded in 1876, the Corporation and its subsidiaries provide a full range of financial solutions for individuals, businesses, municipalities and nonprofit organizations primarily in the Mid-Atlantic Region. Univest delivers these services through a network of more than 50 offices and online at www.univest.net. This press release and the reports Univest files with the Securities and Exchange Commission often contain "forward-looking statements" relating to trends or factors affecting the financial services industry and, specifically, the financial condition and results of operations, business, prospects and strategies of Univest. These forward-looking statements involve certain risks and uncertainties and are subject to change based on various factors, many of which are beyond our control. There are a number of important factors that could cause Univest's future financial condition, results of operations, business, prospects or strategies to differ materially from those expressed or implied by the forward-looking statements. These factors include, but are not limited to: (1) competition and demand for financial services in our market area; (2) inflation and/or changes in interest rates, which may adversely impact our margins and yields, reduce the fair value of our financial instruments, reduce our loan originations and/or lead to higher operating costs and higher costs we pay to retain and attract deposits; (3) changes in asset quality, prepayment speeds, loan sale volumes, charge-offs and/or credit loss provisions; (4) fluctuations in real estate values and both residential and commercial real estate market conditions; (5) changes in liquidity, including the size and composition of our deposit portfolio and the percentage of uninsured deposits in the portfolio; (6) our ability to access cost-effective funding; (7) changes in economic conditions nationally and in our market, including potential recessionary conditions and the levels of unemployment in our market area; (8) changes in the economic assumptions or methodology used to calculate our allowance for credit losses; (9) legislative, regulatory, accounting or tax changes; (10) monetary and fiscal policies of the U.S. government, including the policies of the Board of Governors of the Federal Reserve System; (11) the effectiveness of our risk management processes and procedures; (12) the ability to maintain and increase market share and control expenses; (13) the imposition of tariffs or other domestic or international governmental policies, trade restrictions and retaliatory measures impacting our borrowers and the broader economy; (14) the impact of a potential government shutdown, debt ceiling impasses or fiscal uncertainty; (15) the failure to maintain current technologies and to successfully implement future information technology enhancements and the operational risks associated with the adoption of artificial intelligence and other emerging technologies; (16) risks associated with cybersecurity threats, data breaches, ransomware attacks, or other failures in our operational or security systems and infrastructure, including the risks arising from our dependence on third-party service providers and vendors; (17) changes in the securities markets; (18) the current or anticipated impact of military conflict, terrorism or other geopolitical events; (19) the ability to attract, develop and retain qualified personnel in a competitive labor market; (20) our ability to enter into new markets successfully and capitalize on growth opportunities; (21) changes in investor sentiment or consumer spending or savings behavior; and/or (22) risk factors mentioned in the reports and registration statements Univest files with the Securities and Exchange Commission. (UVSP - ER) Univest Financial Corporation Consolidated Selected Financial Data (Unaudited) June 30, 2026 (Dollars in thousands) Balance Sheet (Period End)06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 ASSETS Cash and due from banks$79,490 $69,645 $63,579 $70,843 $76,624 Interest-earning deposits with other banks 115,835 152,712 490,133 745,896 83,741 Cash and cash equivalents 195,325 222,357 553,712 816,739 160,365 Investment securities held-to-maturity 116,207 119,490 123,024 126,040 128,455 Investment securities available for sale, net of allowance for credit losses 378,586 379,028 371,251 368,393 366,421 Investments in equity securities 2,705 2,898 2,014 2,413 1,801 Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost 32,798 35,511 37,808 39,617 36,482 Loans held for sale 13,237 14,371 15,288 6,330 17,774 Loans and leases held for investment 7,041,957 6,940,212 6,914,804 6,785,482 6,801,185 Less: Allowance for credit losses, loans and leases (89,967) (88,900) (88,165) (86,527) (86,989) Net loans and leases held for investment 6,951,990 6,851,312 6,826,639 6,698,955 6,714,196 Premises and equipment, net 44,373 44,774 45,554 46,245 47,140 Operating lease right-of-use assets 24,267 25,032 25,795 26,536 27,278 Goodwill 175,510 175,510 175,510 175,510 175,510 Other intangibles, net of accumulated amortization 7,850 7,583 7,328 7,537 7,967 Bank owned life insurance 142,130 142,141 140,001 139,044 140,086 Accrued interest and other assets 118,014 121,575 112,973 120,257 115,581 Total assets$8,202,992 $8,141,582 $8,436,897 $8,573,616 $7,939,056 LIABILITIES Noninterest-bearing deposits$1,463,965 $1,475,851 $1,431,974 $1,390,565 $1,461,189 Interest-bearing deposits: 5,469,043 5,337,912 5,655,339 5,827,578 5,121,471 Total deposits 6,933,008 6,813,763 7,087,313 7,218,143 6,582,660 Short-term borrowings 18,826 26,156 24,411 11,951 6,271 Long-term debt 125,000 175,000 200,000 200,000 200,000 Subordinated notes 98,994 98,908 98,867 129,597 149,511 Operating lease liabilities 26,863 27,699 28,531 29,310 30,106 Accrued expenses and other liabilities 46,048 48,106 54,457 51,396 53,775 Total liabilities 7,248,739 7,189,632 7,493,579 7,640,397 7,022,323 SHAREHOLDERS' EQUITY Common stock, $5 par value: 48,000,000 shares authorized and 31,556,799 shares issued 157,784 157,784 157,784 157,784 157,784 Additional paid-in capital 302,549 301,154 304,021 302,696 301,640 Retained earnings 628,327 611,771 591,202 574,715 555,403 Accumulated other comprehensive loss, net of tax benefit (26,728) (25,951) (25,467) (31,636) (34,969) Treasury stock, at cost (107,679) (92,808) (84,222) (70,340) (63,125) Total shareholders’ equity 954,253 951,950 943,318 933,219 916,733 Total liabilities and shareholders’ equity$8,202,992 $8,141,582 $8,436,897 $8,573,616 $7,939,056 For the three months ended, For the six months ended, Balance Sheet (Average)06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 06/30/26 06/30/25 Assets$8,132,913 $8,250,766 $8,528,465 $8,191,010 $7,979,475 $8,191,514 $7,980,254 Investment securities, net of allowance for credit losses 502,065 499,078 497,201 492,197 497,214 500,579 498,638 Loans and leases, gross 7,008,079 6,939,600 6,848,654 6,790,827 6,846,938 6,974,029 6,851,694 Deposits 6,843,709 6,891,928 7,165,437 6,836,043 6,633,250 6,867,685 6,625,494 Shareholders' equity 951,863 949,509 936,417 923,454 908,536 950,693 902,706 Univest Financial CorporationConsolidated Summary of Loans by Type and Asset Quality Data (Unaudited)June 30, 2026(Dollars in thousands) Summary of Major Loan and Lease Categories (Period End)06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 Commercial, financial and agricultural$1,081,624 $1,038,947 $1,027,434 $996,612 $1,052,246 Real estate-commercial 3,684,721 3,656,779 3,621,536 3,517,803 3,485,615 Real estate-construction 329,558 299,962 306,793 309,365 302,424 Real estate-residential secured for business purpose 576,326 556,040 554,178 545,191 535,210 Real estate-residential secured for personal purpose 911,116 942,054 959,610 974,395 984,166 Real estate-home equity secured for personal purpose 205,502 201,244 200,394 197,503 195,014 Loans to individuals 12,342 12,319 12,793 13,447 14,069 Lease financings 240,768 232,867 232,066 231,166 232,441 Total loans and leases held for investment, net of deferred income 7,041,957 6,940,212 6,914,804 6,785,482 6,801,185 Less: Allowance for credit losses, loans and leases (89,967) (88,900) (88,165) (86,527) (86,989) Net loans and leases held for investment$6,951,990 $6,851,312 $6,826,639 $6,698,955 $6,714,196 Asset Quality Data (Period End) 06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 Nonaccrual loans and leases$43,897 $13,289 $13,743 $27,330 $27,909 Accruing loans and leases 90 days or more past due 160 3,750 89 829 125 Total nonperforming loans and leases 44,057 17,039 13,832 28,159 28,034 Other real estate owned 18,914 24,073 23,926 23,926 22,471 Repossessed assets 10 124 65 40 80 Total nonperforming assets$62,981 $41,236 $37,823 $52,125 $50,585 Nonaccrual loans and leases / Loans and leases held for investment 0.62% 0.19% 0.20% 0.40% 0.41% Nonperforming loans and leases / Loans and leases held for investment 0.63% 0.25% 0.20% 0.41% 0.41% Nonperforming assets / Total assets 0.77% 0.51% 0.45% 0.61% 0.64% Allowance for credit losses, loans and leases$89,967 $88,900 $88,165 $86,527 $86,989 Allowance for credit losses, loans and leases / Loans and leases held for investment 1.28% 1.28% 1.28% 1.28% 1.28% Allowance for credit losses, loans and leases / Nonaccrual loans and leases 204.95% 668.97% 641.53% 316.60% 311.69% Allowance for credit losses, loans and leases / Nonperforming loans and leases 204.21% 521.74% 637.40% 307.28% 310.30% For the three months ended, For the six months ended, 06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 06/30/26 06/30/25Net loan and lease charge-offs$1,932 $1,263 $1,145 $480 $7,807 $3,195 $9,493 Net loan and lease charge-offs (annualized)/Average loans and leases 0.11% 0.07% 0.07% 0.03% 0.46% 0.09% 0.28% Univest Financial Corporation Consolidated Selected Financial Data (Unaudited) June 30, 2026 (Dollars in thousands, except per share data) For the three months ended, For the six months ended, For the period:06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 06/30/26 06/30/25 Interest income$108,129 $106,351 $111,716 $109,648 $105,706 $214,480 $209,122 Interest expense 41,881 42,986 49,167 48,324 46,165 84,867 92,800 Net interest income 66,248 63,365 62,549 61,324 59,541 129,613 116,322 Provision for credit losses 2,672 1,303 3,145 517 5,694 3,975 8,005 Net interest income after provision for credit losses 63,576 62,062 59,404 60,807 53,847 125,638 108,317 Noninterest income: Trust fee income 2,283 2,236 2,316 2,230 2,146 4,519 4,307 Service charges on deposit accounts 2,363 2,279 2,237 2,302 2,258 4,642 4,452 Investment advisory commission and fee income 6,043 6,154 6,055 5,671 5,460 12,197 11,073 Insurance commission and fee income 5,351 7,423 4,825 5,468 5,261 12,774 12,150 Other service fee income 3,319 3,041 2,668 2,416 3,147 6,360 5,854 Bank owned life insurance income 1,698 1,332 970 1,908 1,012 3,030 2,971 Net gain on investment securities transactions 11 - - - - 11 - Net gain on mortgage banking activities 1,346 791 886 848 981 2,137 1,628 Net (loss) gain on sales and write-downs of other real estate owned (5,249) - - - - (5,249) 4 Other income 941 832 2,065 1,080 1,236 1,773 1,477 Total noninterest income 18,106 24,088 22,022 21,923 21,501 42,194 43,916 Noninterest expense: Salaries, benefits and commissions 33,208 33,459 33,009 31,652 31,536 66,667 62,362 Net occupancy 2,938 2,998 2,882 2,675 2,739 5,936 5,592 Equipment 1,122 1,079 1,052 1,076 1,043 2,201 2,165 Data processing 4,627 4,480 4,390 4,263 4,408 9,107 8,772 Professional fees 2,029 1,677 1,947 1,876 1,597 3,706 3,394 Marketing and advertising 988 634 479 323 498 1,622 851 Deposit insurance premiums 1,118 1,170 1,106 1,195 1,074 2,288 2,225 Intangible expenses 92 93 102 106 131 185 261 Restructuring charges - 427 - - - 427 - Other expense 7,002 6,652 7,743 7,503 7,306 13,654 14,038 Total noninterest expense 53,124 52,669 52,710 50,669 50,332 105,793 99,660 Income before taxes 28,558 33,481 28,716 32,061 25,016 62,039 52,573 Income tax expense 5,605 6,389 5,971 6,422 5,038 11,994 10,200 Net income$22,953 $27,092 $22,745 $25,639 $19,978 $50,045 $42,373 Net income per share: Basic$0.83 $0.97 $0.80 $0.89 $0.69 $1.79 $1.46 Diluted$0.82 $0.96 $0.79 $0.89 $0.69 $1.78 $1.45 Dividends declared per share$0.23 $0.22 $0.22 $0.22 $0.22 $0.45 $0.43 Weighted average shares outstanding 27,741,836 28,032,897 28,376,191 28,716,582 28,859,348 27,886,563 28,929,123 Period end shares outstanding 27,585,768 27,949,173 28,156,917 28,576,346 28,810,805 27,585,768 28,810,805 Univest Financial CorporationConsolidated Selected Financial Data (Unaudited)June 30, 2026 For the three months ended, For the six months ended,Profitability Ratios (annualized)06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 06/30/26 06/30/25 Return on average assets 1.13% 1.33% 1.06% 1.24% 1.00% 1.23% 1.07%Return on average assets, excluding restructuring charges (1) 1.13% 1.35% 1.06% 1.24% 1.00% 1.24% 1.07%Return on average shareholders' equity 9.67% 11.57% 9.64% 11.02% 8.82% 10.62% 9.47%Return on average shareholders' equity, excluding restructuring charges (1) 9.67% 11.72% 9.64% 11.02% 8.82% 10.69% 9.47%Return on average tangible common equity (1)(3) 11.93% 14.27% 11.93% 13.68% 11.02% 13.09% 11.84%Return on average tangible common equity, excluding restructuring charges (1)(3) 11.93% 14.45% 11.93% 13.68% 11.02% 13.18% 11.84%Net interest margin (FTE) 3.49% 3.33% 3.10% 3.17% 3.20% 3.41% 3.14%Efficiency ratio (2) 62.3% 59.7% 61.8% 60.2% 61.6% 60.9% 61.6% Capitalization Ratios Dividends declared to net income 27.9% 22.8% 27.5% 24.7% 31.8% 25.1% 29.4%Shareholders' equity to assets (Period End) 11.63% 11.69% 11.18% 10.88% 11.55% 11.63% 11.55%Tangible common equity to tangible assets (1) 9.68% 9.72% 9.27% 9.00% 9.52% 9.68% 9.52%Common equity book value per share$34.59 $34.06 $33.50 $32.66 $31.82 $34.59 $31.82 Tangible common equity book value per share (1)$28.16 $27.71 $27.20 $26.45 $25.66 $28.16 $25.66 Regulatory Capital Ratios (Period End) Tier 1 leverage ratio 10.13% 9.95% 9.51% 9.85% 9.94% 10.13% 9.94%Common equity tier 1 risk-based capital ratio 11.19% 11.32% 11.22% 11.40% 11.19% 11.19% 11.19%Tier 1 risk-based capital ratio 11.19% 11.32% 11.22% 11.40% 11.19% 11.19% 11.19%Total risk-based capital ratio 13.81% 13.95% 13.86% 14.28% 14.58% 13.81% 14.58% (1) Non-GAAP metric. A reconciliation of this and other non-GAAP to GAAP performance measures is included below. (2) Noninterest expense to net interest income before loan loss provision plus noninterest income adjusted for tax equivalent income. (3) Net income before amortization of intangibles to average tangible common equity. Univest Financial Corporation Average Balances and Interest Rates (Unaudited) For the Three Months Ended, Tax Equivalent BasisJune 30, 2026 March 31, 2026 AverageIncome/Average AverageIncome/Average (Dollars in thousands)BalanceExpenseRate BalanceExpenseRate Assets: Interest-earning deposits with other banks$120,511 $1,1183.72%$306,797 $2,8103.71%Other debt and equity securities 502,065 4,2033.36 499,078 4,0533.29 Federal Home Loan Bank, Federal Reserve Bank and other stock 33,537 6257.47 37,286 7047.66 Total interest-earning deposits, investments and other interest-earning assets 656,113 5,9463.63 843,161 7,5673.64 Commercial, financial, and agricultural loans 989,950 16,2936.60 959,673 15,3316.48 Real estate—commercial and construction loans 3,892,900 57,5895.93 3,861,156 55,7965.86 Real estate—residential loans 1,711,210 22,0025.16 1,710,239 21,5265.10 Loans to individuals 12,511 2708.66 12,396 2738.93 Tax-exempt loans and leases 224,883 3,2355.77 223,166 3,1165.66 Lease financings 176,625 3,2947.48 172,970 3,2127.53 Gross loans and leases 7,008,079 102,6835.88 6,939,600 99,2545.80 Total interest-earning assets 7,664,192 108,6295.69 7,782,761 106,8215.57 Cash and due from banks 58,713 57,980 Allowance for credit losses, loans and leases (89,488) (88,832) Premises and equipment, net 44,926 45,359 Operating lease right-of-use assets 24,640 25,414 Other assets 429,930 428,084 Total assets$8,132,913 $8,250,766 Liabilities: Interest-bearing checking deposits$1,255,397 $7,6032.43%$1,280,570 $7,7222.45%Money market savings 1,998,397 16,6043.33 2,045,306 16,9183.35 Regular savings 748,657 1,2030.64 765,296 1,3720.73 Time deposits 1,411,889 13,3573.79 1,389,144 13,1303.83 Total time and interest-bearing deposits 5,414,340 38,7672.87 5,480,316 39,1422.90 Short-term borrowings 33,437 300.36 25,578 30.05 Long-term debt 131,868 1,3374.07 201,389 2,0934.21 Subordinated notes 98,944 1,7477.08 98,897 1,7487.17 Total borrowings 264,249 3,1144.73 325,864 3,8444.78 Total interest-bearing liabilities 5,678,589 41,8812.96 5,806,180 42,9863.00 Noninterest-bearing deposits 1,429,369 1,411,612 Operating lease liabilities 27,271 28,116 Accrued expenses and other liabilities 45,821 55,349 Total liabilities 7,181,050 7,301,257 Total interest-bearing liabilities and noninterest-bearing deposits ("Cost of Funds") 7,107,958 2.36 7,217,792 2.42 Shareholders' Equity: Common stock 157,784 157,784 Additional paid-in capital 301,620 303,413 Retained earnings and other equity 492,459 488,312 Total shareholders' equity 951,863 949,509 Total liabilities and shareholders' equity$8,132,913 $8,250,766 Net interest income $66,748 $63,835 Net interest spread 2.73 2.57 Effect of net interest-free funding sources 0.76 0.76 Net interest margin 3.49% 3.33%Ratio of average interest-earning assets to average interest-bearing liabilities 134.97% 134.04% Notes: For rate calculation purposes, average loan and lease categories include deferred fees and costs and purchase accounting adjustments.Net interest income includes net deferred costs amortization of $801 thousand and $793 thousand for the three months ended June 30, 2026 and March 31, 2026, respectively.Nonaccrual loans and leases have been included in the average loan and lease balances. Loans held for sale have been included in the average loan balances. Tax-equivalent amounts for the three months ended June 30, 2026 and March 31, 2026 have been calculated using the Corporation’s federal applicable rate of 21.0%. Univest Financial Corporation Average Balances and Interest Rates (Unaudited) For the Three Months Ended June 30, Tax Equivalent Basis2026 2025 AverageIncome/Average AverageIncome/Average (Dollars in thousands)BalanceExpenseRate BalanceExpenseRate Assets: Interest-earning deposits with other banks$120,511 $1,1183.72%$131,391 $1,3714.19%Other debt and equity securities 502,065 4,2033.36 497,214 3,9623.20 Federal Home Loan Bank, Federal Reserve Bank and other stock 33,537 6257.47 36,711 6717.33 Total interest-earning deposits, investments and other interest-earning assets 656,113 5,9463.63 665,316 6,0043.62 Commercial, financial, and agricultural loans 989,950 16,2936.60 1,005,784 17,6867.05 Real estate—commercial and construction loans 3,892,900 57,5895.93 3,692,262 54,1655.88 Real estate—residential loans 1,711,210 22,0025.16 1,727,381 21,7725.06 Loans to individuals 12,511 2708.66 15,575 3378.68 Tax-exempt loans and leases 224,883 3,2355.77 228,856 2,9665.20 Lease financings 176,625 3,2947.48 177,080 3,1927.23 Gross loans and leases 7,008,079 102,6835.88 6,846,938 100,1185.86 Total interest-earning assets 7,664,192 108,6295.69 7,512,254 106,1225.67 Cash and due from banks 58,713 55,335 Allowance for credit losses, loans and leases (89,488) (88,127) Premises and equipment, net 44,926 47,299 Operating lease right-of-use assets 24,640 26,948 Other assets 429,930 425,766 Total assets$8,132,913 $7,979,475 Liabilities: Interest-bearing checking deposits$1,255,397 $7,6032.43%$1,216,909 $7,8002.57%Money market savings 1,998,397 16,6043.33 1,754,428 16,9453.87 Regular savings 748,657 1,2030.64 700,762 7490.43 Time deposits 1,411,889 13,3573.79 1,541,008 16,2614.23 Total time and interest-bearing deposits 5,414,340 38,7672.87 5,213,107 41,7553.21 Short-term borrowings 33,437 300.36 5,254 10.08 Long-term debt 131,868 1,3374.07 200,549 2,1284.26 Subordinated notes 98,944 1,7477.08 149,444 2,2816.12 Total borrowings 264,249 3,1144.73 355,247 4,4104.98 Total interest-bearing liabilities 5,678,589 41,8812.96 5,568,354 46,1653.33 Noninterest-bearing deposits 1,429,369 1,420,143 Operating lease liabilities 27,271 29,802 Accrued expenses and other liabilities 45,821 52,640 Total liabilities 7,181,050 7,070,939 Total interest-bearing liabilities and noninterest-bearing deposits ("Cost of Funds") 7,107,958 2.36 6,988,497 2.65 Shareholders' Equity: Common stock 157,784 157,784 Additional paid-in capital 301,620 301,016 Retained earnings and other equity 492,459 449,736 Total shareholders' equity 951,863 908,536 Total liabilities and shareholders' equity$8,132,913 $7,979,475 Net interest income $66,748 $59,957 Net interest spread 2.73 2.34 Effect of net interest-free funding sources 0.76 0.86 Net interest margin 3.49% 3.20%Ratio of average interest-earning assets to average interest-bearing liabilities 134.97% 134.91% Notes: For rate calculation purposes, average loan and lease categories include deferred fees and costs and purchase accounting adjustments.Net interest income includes net deferred costs amortization of $801 thousand and $689 thousand for the three months ended June 30, 2026 and 2025, respectively. Nonaccrual loans and leases have been included in the average loan and lease balances. Loans held for sale have been included in the average loan balances. Tax-equivalent amounts for the three months ended June 30, 2026 and 2025 have been calculated using the Corporation’s federal applicable rate of 21.0%. Univest Financial Corporation Average Balances and Interest Rates (Unaudited) For the Six Months Ended June 30, Tax Equivalent Basis2026 2025 AverageIncome/Average AverageIncome/Average (Dollars in thousands)BalanceExpenseRate BalanceExpenseRate Assets: Interest-earning deposits with other banks$213,140 $3,9283.72%$125,725 $2,7314.38%Obligations of state and political subdivisions* - -- 437 41.85 Other debt and equity securities 500,579 8,2563.33 498,201 7,9813.23 Federal Home Loan Bank, Federal Reserve Bank and other stock 35,401 1,3297.57 37,134 1,3587.37 Total interest-earning deposits, investments and other interest-earning assets 749,120 13,5133.64 661,497 12,0743.68 Commercial, financial, and agricultural loans 974,895 31,6246.54 998,363 34,7067.01 Real estate—commercial and construction loans 3,877,116 113,3855.90 3,698,214 106,8415.83 Real estate—residential loans 1,710,727 43,5285.13 1,728,259 43,3145.05 Loans to individuals 12,454 5438.79 17,495 7308.41 Tax-exempt loans and leases 224,030 6,3515.72 229,491 5,8275.12 Lease financings 174,807 6,5067.51 179,872 6,4327.21 Gross loans and leases 6,974,029 201,9375.84 6,851,694 197,8505.82 Total interest-earning assets 7,723,149 215,4505.63 7,513,191 209,9245.63 Cash and due from banks 58,349 56,009 Allowance for credit losses, loans and leases (89,162) (87,975) Premises and equipment, net 45,141 47,076 Operating lease right-of-use assets 25,025 27,352 Other assets 429,012 424,601 Total assets$8,191,514 $7,980,254 Liabilities: Interest-bearing checking deposits$1,267,914 $15,3252.44%$1,219,446 $14,8752.46%Money market savings 2,021,722 33,5223.34 1,797,074 34,9803.93 Regular savings 756,930 2,5750.69 701,648 1,5120.43 Time deposits 1,400,579 26,4873.81 1,508,930 32,3674.33 Total time and interest-bearing deposits 5,447,145 77,9092.88 5,227,098 83,7343.23 Short-term borrowings 29,530 330.23 6,076 150.50 Long-term debt 166,436 3,4304.16 208,978 4,4894.33 Subordinated notes 98,921 3,4957.12 149,382 4,5626.16 Total borrowings 294,887 6,9584.76 364,436 9,0665.02 Total interest-bearing liabilities 5,742,032 84,8672.98 5,591,534 92,8003.35 Noninterest-bearing deposits 1,420,540 1,398,396 Operating lease liabilities 27,691 30,236 Accrued expenses and other liabilities 50,558 57,382 Total liabilities 7,240,821 7,077,548 Total interest-bearing liabilities and noninterest-bearing deposits ("Cost of Funds") 7,162,572 2.39 6,989,930 2.68 Shareholders' Equity: Common stock 157,784 157,784 Additional paid-in capital 302,512 301,830 Retained earnings and other equity 490,397 443,092 Total shareholders' equity 950,693 902,706 Total liabilities and shareholders' equity$8,191,514 $7,980,254 Net interest income $130,583 $117,124 Net interest spread 2.65 2.28 Effect of net interest-free funding sources 0.76 0.86 Net interest margin 3.41% 3.14%Ratio of average interest-earning assets to average interest-bearing liabilities 134.50% 134.37% * Obligations of states and political subdivisions are tax-exempt earning assets. Notes: For rate calculation purposes, average loan and lease categories include deferred fees and costs and purchase accounting adjustments.Net interest income includes net deferred costs amortization of $1.6 million and $1.2 million for the six months ended June 30, 2026 and 2025, respectively.Nonaccrual loans and leases have been included in the average loan and lease balances. Loans held for sale have been included in the average loan balances. Tax-equivalent amounts for the six months ended June 30, 2026 and 2025 have been calculated using the Corporation’s federal applicable rate of 21.0%. Univest Financial CorporationLoan Portfolio Overview (Unaudited)June 30, 2026 (Dollars in thousands) Industry DescriptionTotal Outstanding Balance % of Commercial Loan Portfolio Animal Production 440,916 7.8%CRE - Retail 426,394 7.5 CRE - Multi-family 393,126 6.9 CRE - 1-4 Family Residential Investment 279,515 4.9 Hotels & Motels (Accommodation) 268,482 4.7 CRE - Office 252,607 4.5 Specialty Trade Contractors 243,448 4.3 CRE - Industrial / Warehouse 215,638 3.8 Nursing and Residential Care Facilities 176,891 3.1 Homebuilding (tract developers, remodelers) 163,688 2.9 Crop Production 145,110 2.6 Merchant Wholesalers, Durable Goods 138,817 2.5 CRE - Mixed-Use - Commercial 121,993 2.2 Repair and Maintenance 121,737 2.1 Motor Vehicle and Parts Dealers 120,416 2.1 CRE - Mixed-Use - Residential 110,034 1.9 Wood Product Manufacturing 101,076 1.8 Nondepository Credit Intermediation and Related Activities (except 5221) 99,227 1.7 Administrative and Support Services 97,708 1.7 Food Services and Drinking Places 97,346 1.7 Education 91,845 1.6 Merchant Wholesalers, Nondurable Goods 88,338 1.6 Professional, Scientific, and Technical Services 85,432 1.5 Amusement, Gambling, and Recreation Industries 78,808 1.4 Fabricated Metal Product Manufacturing 75,975 1.3 Food Manufacturing 68,126 1.2 Personal and Laundry Services 67,103 1.2 Private Equity & Special Purpose Entities (except 52592) 65,968 1.2 Religious Organizations, Advocacy Groups 63,624 1.1 Machinery Manufacturing 62,643 1.1 Miniwarehouse / Self-Storage 56,126 1.0 Nonresidential Building Contractors 54,376 1.0 Industries with >$50 million in outstandings$4,872,533 85.9%Industries with <$50 million in outstandings$799,696 14.1%Total Commercial Loans$5,672,229 100.0% Consumer Loans and Lease FinancingsTotal Outstanding Balance Real Estate-Residential Secured for Personal Purpose 911,116 Real Estate-Home Equity Secured for Personal Purpose 205,502 Loans to Individuals 12,342 Lease Financings 240,768 Total - Consumer Loans and Lease Financings$1,369,728 Total$7,041,957 Univest Financial CorporationNon-GAAP ReconciliationJune 30, 2026 Non-GAAP to GAAP ReconciliationManagement uses non-GAAP measures in its analysis of the Corporation's performance. These measures should not be considered a substitute for GAAP basis measures nor should they be viewed as a substitute for operating results determined in accordance with GAAP. Management believes the presentation of the non-GAAP financial measures, which exclude the impact of the specified items, provides useful supplemental information that is essential to a proper understanding of the financial results of the Corporation. See the table below for additional information on non-GAAP measures used throughout this earnings release. As of or for the three months ended, As of or for the six months ended,(Dollars in thousands)06/30/26 03/31/26 12/31/25 09/30/25 06/30/25 06/30/26 06/30/25Restructuring charges (a)$- $427 $- $- $- $427 $- Tax effect of restructuring charges - (90) - - - (90) - Restructuring charges, net of tax$- $337 $- $- $- $337 $- Net income$22,953 $27,092 $22,745 $25,639 $19,978 $50,045 $42,373 Amortization of intangibles, net of tax 73 73 81 84 103 146 206 Net income before amortization of intangibles$23,026 $27,165 $22,826 $25,723 $20,081 $50,191 $42,579 Shareholders' equity$954,253 $951,950 $943,318 $933,219 $916,733 $954,253 $916,733 Goodwill (175,510) (175,510) (175,510) (175,510) (175,510) (175,510) (175,510)Other intangibles (b) (1,923) (1,960) (1,919) (1,966) (2,040) (1,923) (2,040)Tangible common equity$776,820 $774,480 $765,889 $755,743 $739,183 $776,820 $739,183 Total assets$8,202,992 $8,141,582 $8,436,897 $8,573,616 $7,939,056 $8,202,992 $7,939,056 Goodwill (175,510) (175,510) (175,510) (175,510) (175,510) (175,510) (175,510)Other intangibles (b) (1,923) (1,960) (1,919) (1,966) (2,040) (1,923) (2,040)Tangible assets$8,025,559 $7,964,112 $8,259,468 $8,396,140 $7,761,506 $8,025,559 $7,761,506 Average shareholders' equity$951,863 $949,509 $936,417 $923,454 $908,536 $950,693 $902,706 Average goodwill (175,510) (175,510) (175,510) (175,510) (175,510) (175,510) (175,510)Average other intangibles (b) (1,938) (1,922) (1,935) (1,983) (2,068) (1,929) (2,114)Average tangible common equity$774,415 $772,077 $758,972 $745,961 $730,958 $773,254 $725,082 (a) Associated with planned closure of two underutilized facilities; a financial center and a limited purpose banking office (b) Amount does not include mortgage servicing rights CONTACT: Brian J. Richardson UNIVEST FINANCIAL CORPORATION Chief Financial Officer 215-721-2446, [email protected] Source: Univest Financial Corporation