Washington Trust Reports Second Quarter 2026 Results

Washington Trust Reports Second Quarter 2026 Results July 20, 2026 , /PRNewswire/ -- Washington Trust Bancorp, Inc. (Nasdaq: WASH; "Washington Trust" or the "Corporation"), today reported second quarter 2026 net income of $16.0 million, or $0.83 per diluted share, up by $3.4 million, or $0.17 per diluted share, from the preceding quarter. Compared to the second quarter of 2025, net income was up by $2.7 million, or $0.15 per diluted share. "We are pleased with our second quarter performance, as strong execution across the company drove higher profitability, and solid loan and deposit growth," said Washington Trust Chairman and Chief Executive Officer Edward O. "Ned" Handy III. "The success of our institutional banking team was a key highlight of the quarter, helping drive growth in our commercial and industrial loan portfolio and also contributing meaningfully to overall deposits. Combined with our strong capital position, these results reinforce our confidence in the outlook for the remainder of 2026 and our ability to deliver sustainable, profitable growth." SECOND QUARTER HIGHLIGHTS (Q2 2026 vs. Q1 2026, unless otherwise noted): Returns on average equity and average assets were 11.61% and 0.99% for the second quarter.Net interest margin ("NIM") was 2.73%, up by 10 basis points.The provision for credit losses was $1.6 million for the second quarter.Wealth management revenues increased by 5%.Mortgage banking revenues were up by 14%.Loan balances were up by 2% from March 31, 2026.Deposits were up by 4% from March 31, 2026.Capital ratios remained strong, with a common equity tier 1 ratio of 11.89% at June 30, 2026. RESULTS OF OPERATIONS (Q2 2026 vs. Q1 2026, unless otherwise noted): Net Interest Income Net interest income was up by $1.3 million, or 3%, and NIM was up by 10 basis points. Compared to the second quarter of 2025, net interest income was up by $4.6 million, or 12%, and NIM was up by 37 basis points. As of May 1, 2026, the remaining deferred loss from a previously terminated cash flow hedge was fully amortized, eliminating this expense from the Bank's ongoing run rate. The second quarter reflected approximately two months of benefit from the cessation of this amortization, contributing $1.4 million to net interest income and 9 basis points to NIM. Beginning in third quarter, there will be no amortization expense and the Bank's results will reflect a permanent improvement to its earnings and margin run rate.Average interest-earning assets decreased by $95 million, and the yield was up by 4 basis points.Average interest-bearing liabilities decreased by $122 million, and the rate was down by 5 basis points. Noninterest Income Noninterest income was up by $1.4 million, or 8%. Compared to the second quarter of 2025, noninterest income was up by $1.6 million, or 9%. Wealth management revenues increased by $554 thousand, or 5%. This included an increase of $265 thousand in transaction-based revenues, which was concentrated in seasonal tax servicing fee income. Asset-based revenues were up by $289 thousand, or 3%. Compared to the second quarter of 2025, wealth management revenues increased by $1.1 million, or 11%.Mortgage banking revenues were up by $428 thousand, or 14%, largely driven by higher sales volume. Compared to the second quarter of 2025, mortgage banking revenues were also up by 14%.Loan related derivative income totaled $583 thousand, up by $356 thousand. Noninterest Expense Noninterest expense was up by $832 thousand, or 2%. Compared to the second quarter of 2025, noninterest expense was up by $2.1 million, or 6%. Salaries and employee benefits expense increased by $972 thousand, or 4%, reflecting staffing additions in our commercial and retail banking business lines, as well as volume- and performance-related compensation changes. Compared to the second quarter of 2025, salaries and employee benefits expense increased by $2.3 million, or 10%, reflecting annual merit and staffing increases, including the addition of resources in our commercial banking and wealth management business lines.All other categories of noninterest expenses decreased by a net $140 thousand. Compared to the second quarter of 2025, these were down by a net $220 thousand. Income Tax Income tax expense was up by $824 thousand. The effective tax rate was 21.2%, compared to 21.6%. The Corporation expects its full-year 2026 effective tax rate to be approximately 21.5%. FINANCIAL CONDITION (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted): Investment Securities The securities portfolio totaled $885 million, down by $27 million, or 3%, and remained at 14% of total assets. Loans Total loans amounted to $5.1 billion, up by $88 million, or 2%. Commercial loans increased by $63 million, or 2%, driven by growth in the commercial & industrial loan portfolio, primarily from our institutional banking team.Residential real estate loans increased by $13 million, or 1%.Consumer loans increased by $12 million, or 4%. Deposits and Borrowings Total deposits amounted to $5.4 billion, and were up by $194 million, or 4%. Compared to June 30, 2025, deposits were up by $314 million, or 6%. There were no wholesale brokered deposits at June 30, 2026 or March 31, 2026, compared to $2 million at June 30, 2025. FHLB advances totaled $456 million, and were down by $120 million, or 21%. Compared to June 30, 2025, FHLB advances were down by $545 million, or 54%. Contingent liquidity amounted to $2.1 billion at June 30, 2026 and consisted of available cash, unencumbered securities, and unused collateralized borrowing capacity. Capital and Dividends Total shareholders' equity was $553.5 million, up by $6.8 million, or 1%. The Board of Directors declared a quarterly dividend of 56 cents per share for the second quarter. The dividend was paid on July 10, 2026 to shareholders of record on July 1, 2026.Capital levels exceeded the regulatory minimum levels to be considered well capitalized, with a common equity tier 1 ratio of 11.89%, compared to 11.99%.Book value per share was $29.02, compared to $28.72. ASSET QUALITY (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted): Nonaccrual loans were $39.8 million, or 0.78% of total loans, down from $40.4 million, or 0.81%. Past due loans were $41.4 million, or 0.81% of total loans, up from $16.4 million, or 0.33%. The increase was attributable to a single commercial real estate office loan that had already been placed on nonaccrual status in the preceding quarter and did not reflect broader deterioration in portfolio credit quality during the quarter. The provision for credit losses totaled $1.6 million in the second quarter, compared to $4.0 million in the prior quarter. The second quarter provision provided for loan growth and an increase in specific reserves. The Corporation recorded $55 thousand of net charge-offs in the second quarter, compared to $10 thousand of net charge-offs in the preceding quarter. The allowance for credit losses ("ACL") on loans amounted to $42.6 million, or 0.83% of total loans, compared to $41.1 million, or 0.82%. Conference Call Washington Trust will host a conference call to discuss its second quarter results, business highlights, and outlook on July 21, 2026, at 8:30 a.m. (Eastern Time). Individuals may dial in to the call at 1-833-461-5787 and enter Meeting ID 369767940. A replay of the call will be available on Washington Trust's investor relations website, https://ir.washtrust.com, in the events section under "Q2 - 2026 Washington Trust Bancorp, Inc. Earnings Conference Call Webcast". Background Washington Trust Bancorp, Inc. is the parent of The Washington Trust Company. Founded in 1800, Washington Trust is the oldest community bank in the nation, the largest state-chartered bank headquartered in Rhode Island and one of the Northeast's premier financial services companies. Washington Trust offers a full range of financial services, including commercial banking, mortgage banking, personal banking, and wealth management and trust services through its offices located in Rhode Island, Connecticut, and Massachusetts. The Corporation's common stock trades on NASDAQ under the symbol WASH. Investor information is available on the Corporation's website at https://ir.washtrust.com. Forward-Looking Statements This press release contains statements that are "forward-looking statements." We may also make forward-looking statements in other documents we file with the U.S. Securities and Exchange Commission ("SEC"), in our annual reports to shareholders, in press releases and other written materials, and in oral statements made by our officers, directors, or employees. You can identify forward-looking statements by the use of the words "believe," "expect," "anticipate," "intend," "estimate," "assume," "outlook," "will," "should," and other expressions that predict or indicate future events and trends and which do not relate to historical matters. You should not rely on forward-looking statements, because they involve known and unknown risks, uncertainties, and other factors, some of which are beyond our control. These risks, uncertainties, and other factors may cause our actual results, performance, or achievements to be materially different from the anticipated future results, performance, or achievements expressed or implied by the forward-looking statements. Some of the factors that might cause these differences include the following: changes in general business and economic conditions (including the impact of ongoing armed conflicts, tariffs, inflation, future U.S government shutdowns, and concerns about liquidity) on a national basis and in the local markets in which we operate;interest rate changes or volatility, as well as changes in the balance and mix of loans and deposits;changes in customer behavior due to political, business and economic conditions;changes in loan demand and collectability;the possibility that future credit losses are higher than currently expected due to changes in economic assumptions or adverse economic developments;ongoing volatility in national and international financial markets;reductions in the market value or outflows of wealth management assets under administration;decreases in the value of securities and other assets;increases in defaults and charge-off rates;changes in the size and nature of our competition;changes in, and evolving interpretations of, existing and future laws, rules and regulations;changes in accounting principles, policies and guidelines;operational risks including, but not limited to, changes in information technology, cybersecurity incidents, fraud, natural disasters, war, terrorism, civil unrest and future pandemics;regulatory, litigation and reputational risks; andchanges in the assumptions used in making such forward-looking statements. In addition, the factors described under "Risk Factors" in Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as updated by our Quarterly Reports on Form 10-Q and other filings submitted to the SEC, may result in these differences. You should carefully review all of these factors, and you should be aware that there may be other factors that could cause these differences. The forward-looking statements in this report were based on information, plans, and estimates at the date of this report, and we assume no obligation to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes. Supplemental Information - Explanation of Non-GAAP Financial Measures In addition to results presented in accordance with generally accepted accounting principles ("GAAP"), this press release contains certain non-GAAP financial measures. Washington Trust's management believes that the supplemental non-GAAP information, such as adjusted noninterest income, adjusted noninterest expense, adjusted income before income taxes, adjusted income tax expense, adjusted net income, adjusted diluted earnings per common share, adjusted return on average assets, adjusted return on average equity, and adjusted efficiency ratio, as well as measurements and ratios based on tangible equity and tangible assets, is utilized by regulators and market analysts to evaluate a company's financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures, which may be presented by other companies. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. Washington Trust Bancorp, Inc. and Subsidiaries CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited; Dollars in thousands) Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 $ % $ % Assets: Cash and due from banks $26,443 $27,781 $43,997 (1,338) (4.8 %) ($17,554) (39.9 %) Interest-earning deposits with correspondent banks 89,069 60,090 119,582 28,979 48.2 (30,513) (25.5) Short-term investments 11,883 12,313 4,145 (430) (3.5) 7,738 186.7 Mortgage loans held for sale, at fair value 33,608 32,127 35,681 1,481 4.6 (2,073) (5.8) Available for sale debt securities, at fair value 885,321 911,958 971,341 (26,637) (2.9) (86,020) (8.9) Federal Home Loan Bank stock, at cost 23,809 28,273 45,273 (4,464) (15.8) (21,464) (47.4) Loans: Total loans 5,103,069 5,014,885 5,140,260 88,184 1.8 (37,191) (0.7) Less: allowance for credit losses on loans 42,571 41,126 41,059 1,445 3.5 1,512 3.7 Net loans 5,060,498 4,973,759 5,099,201 86,739 1.7 (38,703) (0.8) Premises and equipment, net 26,171 25,900 25,574 271 1.0 597 2.3 Operating lease right-of-use assets 35,029 35,855 35,578 (826) (2.3) (549) (1.5) Investment in bank-owned life insurance 116,914 116,010 113,372 904 0.8 3,542 3.1 Goodwill 63,909 63,909 63,909 — — — — Identifiable intangible assets, net 3,992 4,148 2,478 (156) (3.8) 1,514 61.1 Other assets 171,258 167,073 185,036 4,185 2.5 (13,778) (7.4) Total assets $6,547,904 $6,459,196 $6,745,167 $88,708 1.4 % ($197,263) (2.9 %) Liabilities: Deposits: Noninterest-bearing deposits $644,011 $585,415 $646,584 $58,596 10.0 % ($2,573) (0.4 %) Interest-bearing deposits 4,714,862 4,579,218 4,398,664 135,644 3.0 316,198 7.2 Total deposits 5,358,873 5,164,633 5,045,248 194,240 3.8 313,625 6.2 Federal Home Loan Bank advances 456,000 576,000 1,001,000 (120,000) (20.8) (545,000) (54.4) Junior subordinated debentures 22,681 22,681 22,681 — — — — Operating lease liabilities 37,935 38,724 38,299 (789) (2.0) (364) (1.0) Other liabilities 118,892 110,385 110,420 8,507 7.7 8,472 7.7 Total liabilities 5,994,381 5,912,423 6,217,648 81,958 1.4 (223,267) (3.6) Shareholders' Equity: Common stock 1,223 1,223 1,223 — — — — Paid-in capital 198,088 198,654 197,392 (566) (0.3) 696 0.4 Retained earnings 449,650 444,508 437,520 5,142 1.2 12,130 2.8 Accumulated other comprehensive loss (77,360) (78,435) (95,949) 1,075 1.4 18,589 19.4 Treasury stock, at cost (18,078) (19,177) (12,667) 1,099 5.7 (5,411) (42.7) Total shareholders' equity 553,523 546,773 527,519 6,750 1.2 26,004 4.9 Total liabilities and shareholders' equity $6,547,904 $6,459,196 $6,745,167 $88,708 1.4 % ($197,263) (2.9 %) Washington Trust Bancorp, Inc. and Subsidiaries CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited; Dollars and shares in thousands, except per share amounts) Q2 2026 vs. Q1 2026 Q2 2026 vs. Q2 2025 Q2 2026 Q1 2026 Q2 2025 $ % $ % Interest income: Interest and fees on loans $64,711 $64,338 $67,345 $373 0.6 % ($2,634) (3.9 %) Interest on mortgage loans held for sale 478 375 442 103 27.5 36 8.1 Taxable interest on debt securities 8,468 8,768 9,230 (300) (3.4) (762) (8.3) Nontaxable interest on debt securities 8 7 8 1 14.3 — — Dividends on Federal Home Loan Bank stock 506 585 792 (79) (13.5) (286) (36.1) Other interest income 998 909 1,029 89 9.8 (31) (3.0) Total interest and dividend income 75,169 74,982 78,846 187 0.2 (3,677) (4.7) Interest expense: Deposits 27,567 27,370 30,864 197 0.7 (3,297) (10.7) Federal Home Loan Bank advances 5,491 6,777 10,451 (1,286) (19.0) (4,960) (47.5) Junior subordinated debentures 308 310 346 (2) (0.6) (38) (11.0) Total interest expense 33,366 34,457 41,661 (1,091) (3.2) (8,295) (19.9) Net interest income 41,803 40,525 37,185 1,278 3.2 4,618 12.4 Provision for credit losses 1,600 4,000 600 (2,400) (60.0) 1,000 166.7 Net interest income after provision for credit losses 40,203 36,525 36,585 3,678 10.1 3,618 9.9 Noninterest income: Wealth management revenues 11,201 10,647 10,120 554 5.2 1,081 10.7 Mortgage banking revenues 3,473 3,045 3,034 428 14.1 439 14.5 Card interchange fees 1,305 1,385 1,247 (80) (5.8) 58 4.7 Service charges on deposit accounts 842 785 808 57 7.3 34 4.2 Loan related derivative income 583 227 676 356 156.8 (93) (13.8) Income from bank-owned life insurance 904 885 826 19 2.1 78 9.4 Other income 354 329 367 25 7.6 (13) (3.5) Total noninterest income 18,662 17,303 17,078 1,359 7.9 1,584 9.3 Noninterest expense: Salaries and employee benefits 25,312 24,340 23,025 972 4.0 2,287 9.9 Outsourced services 4,266 4,383 4,404 (117) (2.7) (138) (3.1) Net occupancy 2,735 2,890 2,662 (155) (5.4) 73 2.7 Equipment 887 903 930 (16) (1.8) (43) (4.6) Legal, audit, and professional fees 824 936 726 (112) (12.0) 98 13.5 FDIC deposit insurance costs 952 935 1,235 17 1.8 (283) (22.9) Advertising and promotion 771 547 717 224 41.0 54 7.5 Amortization of intangibles 156 155 203 1 0.6 (47) (23.2) Other expenses 2,694 2,676 2,628 18 0.7 66 2.5 Total noninterest expense 38,597 37,765 36,530 832 2.2 2,067 5.7 Income before income taxes 20,268 16,063 17,133 4,205 26.2 3,135 18.3 Income tax expense 4,287 3,463 3,888 824 23.8 399 10.3 Net income $15,981 $12,600 $13,245 $3,381 26.8 % $2,736 20.7 % Weighted avg common shares outstanding - basic 19,064 19,039 19,285 Weighted avg common shares outstanding - diluted 19,204 19,173 19,374 Per share information: Basic earnings per common share $0.84 $0.66 $0.69 $0.18 27.3 % $0.15 21.7 % Diluted earnings per common share $0.83 $0.66 $0.68 $0.17 25.8 % $0.15 22.1 % Cash dividends declared $0.56 $0.56 $0.56 $— — % $— — % Washington Trust Bancorp, Inc. and Subsidiaries CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited; Dollars and shares in thousands, except per share amounts) Change For the Six Months Ended Jun 30, 2026 2025 $ % Interest income: Interest and fees on loans $129,049 $134,001 ($4,952) (3.7 %) Interest on mortgage loans held for sale 853 1,400 (547) (39.1) Taxable interest on debt securities 17,236 18,057 (821) (4.5) Nontaxable interest on debt securities 15 15 — — Dividends on Federal Home Loan Bank stock 1,091 1,814 (723) (39.9) Other interest income 1,907 3,022 (1,115) (36.9) Total interest and dividend income 150,151 158,309 (8,158) (5.2) Interest expense: Deposits 54,937 62,612 (7,675) (12.3) Federal Home Loan Bank advances 12,268 21,397 (9,129) (42.7) Junior subordinated debentures 618 693 (75) (10.8) Total interest expense 67,823 84,702 (16,879) (19.9) Net interest income 82,328 73,607 8,721 11.8 Provision for credit losses 5,600 1,800 3,800 211.1 Net interest income after provision for credit losses 76,728 71,807 4,921 6.9 Noninterest income: Wealth management revenues 21,848 20,011 1,837 9.2 Mortgage banking revenues 6,518 5,338 1,180 22.1 Card interchange fees 2,690 2,756 (66) (2.4) Service charges on deposit accounts 1,627 1,552 75 4.8 Loan related derivative income 810 777 33 4.2 Income from bank-owned life insurance 1,789 1,595 194 12.2 Gain on sale of bank-owned properties, net — 6,994 (6,994) (100.0) Other income 683 698 (15) (2.1) Total noninterest income 35,965 39,721 (3,756) (9.5) Noninterest expense: Salaries and employee benefits 49,652 45,447 4,205 9.3 Outsourced services 8,649 8,750 (101) (1.2) Net occupancy 5,625 5,403 222 4.1 Equipment 1,790 1,821 (31) (1.7) Legal, audit, and professional fees 1,760 1,476 284 19.2 FDIC deposit insurance costs 1,887 2,497 (610) (24.4) Advertising and promotion 1,318 1,127 191 16.9 Amortization of intangibles 311 407 (96) (23.6) Pension plan settlement charge — 6,436 (6,436) (100.0) Other expenses 5,370 5,362 8 0.1 Total noninterest expense 76,362 78,726 (2,364) (3.0) Income before income taxes 36,331 32,802 3,529 10.8 Income tax expense 7,750 7,378 372 5.0 Net income $28,581 $25,424 $3,157 12.4 % Weighted avg common shares outstanding - basic 19,051 19,280 Weighted avg common shares outstanding - diluted 19,189 19,372 Per share information: Basic earnings per common share $1.50 $1.32 $0.18 13.6 % Diluted earnings per common share $1.49 $1.31 $0.18 13.7 % Cash dividends declared $1.12 $1.12 $— — % Washington Trust Bancorp, Inc. and Subsidiaries SELECTED FINANCIAL HIGHLIGHTS (Unaudited; Dollars and shares in thousands, except per share amounts) Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Share and Equity Related Data: Book value per share $29.02 $28.72 $27.36 $0.30 1.0 % $1.66 6.1 % Tangible book value per share (non-GAAP) (1) $25.46 $25.14 $23.91 $0.32 1.3 % $1.55 6.5 % Market value per share $36.48 $33.46 $28.28 $3.02 9.0 % $8.20 29.0 % Shares issued at end of period 19,562 19,562 19,562 — shs — % — shs — % Shares outstanding at end of period 19,071 19,041 19,283 30 shs 0.2 % (212) shs (1.1 %) Capital Ratios (2): Tier 1 risk-based capital 12.36 % 12.46 % 12.17 % (10) bps 19 bps Total risk-based capital 13.28 % 13.38 % 13.06 % (10) bps 22 bps Tier 1 leverage ratio 9.02 % 8.80 % 8.66 % 22 bps 36 bps Common equity tier 1 11.89 % 11.99 % 11.71 % (10) bps 18 bps Balance Sheet Ratios: Equity to assets 8.45 % 8.47 % 7.82 % (2) bps 63 bps Tangible equity to tangible assets (non-GAAP) (1) 7.49 % 7.49 % 6.90 % — bps 59 bps Loans to deposits (3) 95.1 % 96.9 % 101.8 % (180) bps (670) bps Q2 2026 For the Six Months Ended YTD 2026 Q2 2026 Q1 2026 Q2 2025 vs. Q1 2026 (bps) vs. Q2 2025 (bps) Jun 30, 2026 Jun 30, 2025 vs. 2025 (bps) Performance Ratios (4): Net interest margin (5) 2.73 % 2.63 % 2.36 % 10 37 2.68 % 2.32 % 36 Return on average assets (6) 0.99 % 0.78 % 0.80 % 21 19 0.88 % 0.76 % 12 Adjusted return on average assets (non-GAAP) (1) 0.99 % 0.78 % 0.80 % 21 19 0.88 % 0.75 % 13 Return on average tangible assets (non-GAAP) (1) 1.00 % 0.79 % 0.81 % 21 19 0.89 % 0.76 % 13 Return on average equity (7) 11.61 % 9.23 % 10.14 % 238 147 10.43 % 9.89 % 54 Adjusted return on average equity (non-GAAP) (1) 11.61 % 9.23 % 10.14 % 238 147 10.43 % 9.73 % 70 Return on average tangible equity (non-GAAP) (1) 13.24 % 10.53 % 11.62 % 271 162 11.89 % 11.16 % 73 Efficiency ratio (8) 63.8 % 65.3 % 67.3 % (150) (350) 64.6 % 69.5 % (490) Adjusted efficiency ratio (non-GAAP) (1) 63.8 % 65.3 % 67.3 % (150) (350) 64.6 % 68.0 % (340) (1) See the section labeled "Supplemental Information - Calculation of Non-GAAP Financial Measures" at the end of this document. (2) Estimated for Jun 30, 2026 and actuals for prior periods. (3) Period-end balances of net loans and mortgage loans held for sale as a percentage of total deposits. (4) Annualized based on the actual number of days in the period. (5) Fully taxable equivalent (FTE) net interest income as a percentage of average-earnings assets. (6) Net income divided by average assets. (7) Net income divided by average equity. (8) Total noninterest expense as percentage of total revenues (net interest income and noninterest income). Washington Trust Bancorp, Inc. and Subsidiaries SELECTED FINANCIAL HIGHLIGHTS (Unaudited; Dollars in thousands) Q2 2026 vs. Q1 2026 Q2 2026 vs. Q2 2025 Q2 2026 Q1 2026 Q2 2025 $ % $ % Wealth Management Results Wealth Management Revenues: Asset-based revenues $10,869 $10,580 $9,745 $289 2.7 % $1,124 11.5 % Transaction-based revenues 332 67 375 265 395.5 (43) (11.5) Total wealth management revenues $11,201 $10,647 $10,120 $554 5.2 % $1,081 10.7 % Assets Under Administration (AUA): Market value at the end of the period (1) $7,916,933 $7,495,602 $7,181,715 $421,331 5.6 % $735,218 10.2 % Percentage of AUA that are managed assets 91 % 91 % 91 % Mortgage Banking Results Mortgage Banking Revenues: Realized gains on loan sales, net (2) $2,733 $2,370 $2,460 $363 15.3 % $273 11.1 % Changes in fair value, net (3) 226 164 19 62 37.8 207 1089.5 Loan servicing fee income, net (4) 514 511 555 3 0.6 (41) (7.4) Total mortgage banking revenues $3,473 $3,045 $3,034 $428 14.1 % $439 14.5 % Residential Mortgage Loan Originations: Originations for retention in portfolio (5) $78,934 $36,813 $51,331 $42,121 114.4 % $27,603 53.8 % Originations for sale to secondary market (6) 137,134 118,351 130,212 18,783 15.9 6,922 5.3 Total mortgage loan originations $216,068 $155,164 $181,543 $60,904 39.3 % $34,525 19.0 % Percentage of originations for sale to total mortgage loan originations 63 % 76 % 72 % Residential Mortgage Loans Sold: Sold with servicing rights retained $7,586 $4,670 $7,762 $2,916 62.4 % ($176) (2.3 %) Sold with servicing rights released (6) 128,535 116,853 109,013 11,682 10.0 19,522 17.9 Total mortgage loans sold $136,121 $121,523 $116,775 $14,598 12.0 % $19,346 16.6 % (1) Includes the impact of $195 million of managed assets acquired from Lighthouse Financial Management, LLC on Jul 31, 2025. (2) Includes gains on loan sales, commission income on loans originated for others, servicing right gains, and gains (losses) on forward loan commitments. (3) Represents fair value changes on mortgage loans held for sale and forward loan commitments. (4) Represents loan servicing fee income, net of servicing right amortization and valuation adjustments. (5) Includes the full commitment amount of homeowner construction loans. (6) Includes brokered loans (loans originated for others). Washington Trust Bancorp, Inc. and Subsidiaries SELECTED FINANCIAL HIGHLIGHTS (Unaudited; Dollars in thousands) Change For the Six Months Ended Jun 30, 2026 2025 $ % Wealth Management Results Wealth Management Revenues: Asset-based revenues $21,449 $19,514 $1,935 9.9 % Transaction-based revenues 399 497 (98) (19.7) Total wealth management revenues $21,848 $20,011 $1,837 9.2 % Assets Under Administration (AUA): Market value at the end of the period (1) $7,916,933 $7,181,715 $735,218 10.2 % Percentage of AUA that are managed assets 91 % 91 % Mortgage Banking Results Mortgage Banking Revenues: Realized gains on loan sales, net (2) $5,103 $4,035 $1,068 26.5 % Changes in fair value, net (3) 390 152 238 156.6 Loan servicing fee income, net (4) 1,025 1,151 (126) (10.9) Total mortgage banking revenues $6,518 $5,338 $1,180 22.1 % Residential Mortgage Loan Originations: Originations for retention in portfolio (5) $115,747 $78,993 $36,754 46.5 % Originations for sale to secondary market (6) 255,485 205,731 49,754 24.2 Total mortgage loan originations $371,232 $284,724 $86,508 30.4 % Percentage of originations for sale to total mortgage loan originations 69 % 72 % Residential Mortgage Loans Sold: Sold with servicing rights retained $12,256 $24,581 ($12,325) (50.1 %) Sold with servicing rights released (6) 245,388 167,693 77,695 46.3 Total mortgage loans sold $257,644 $192,274 $65,370 34.0 % (1) Includes the impact of $195 million of managed assets acquired from Lighthouse Financial Management, LLC on Jul 31, 2025. (2) Includes gains on loan sales, commission income on loans originated for others, servicing right gains, and gains (losses) on forward loan commitments. (3) Represents fair value changes on mortgage loans held for sale and forward loan commitments. (4) Represents loan servicing fee income, net of servicing right amortization and valuation adjustments. (5) Includes the full commitment amount of homeowner construction loans. (6) Includes brokered loans (loans originated for others). Washington Trust Bancorp, Inc. and Subsidiaries END OF PERIOD LOAN COMPOSITION (Unaudited; Dollars in thousands) Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 $ % $ % Loans: Commercial real estate (1) $2,050,249 $2,084,804 $2,178,925 ($34,555) (1.7 %) ($128,676) (5.9 %) Commercial & industrial 665,855 568,177 547,318 97,678 17.2 118,537 21.7 Total commercial 2,716,104 2,652,981 2,726,243 63,123 2.4 (10,139) (0.4) Residential real estate (2) 2,042,406 2,029,092 2,096,250 13,314 0.7 (53,844) (2.6) Home equity 328,802 316,353 300,917 12,449 3.9 27,885 9.3 Other 15,757 16,459 16,850 (702) (4.3) (1,093) (6.5) Total consumer 344,559 332,812 317,767 11,747 3.5 26,792 8.4 Total loans $5,103,069 $5,014,885 $5,140,260 $88,184 1.8 % ($37,191) (0.7 %) (1) Commercial real estate loans consist of commercial mortgages and construction and development loans. Commercial mortgages are loans secured by income producing property. (2) Residential real estate loans consist of mortgage and homeowner construction loans secured by one- to four-family residential properties. Washington Trust Bancorp, Inc. and Subsidiaries END OF PERIOD LOAN COMPOSITION (Unaudited; Dollars in thousands) Jun 30, 2026 Dec 31, 2025 Balance Change Balance % of Total Balance % of Total $ % Commercial Real Estate Portfolio Segmentation: Multi-family $644,249 31 % $667,388 31 % ($23,139) (3.5 %) Retail 420,295 20 436,961 20 (16,666) (3.8) Industrial and warehouse 325,720 16 380,403 17 (54,683) (14.4) Hospitality 242,261 12 230,549 11 11,712 5.1 Office 212,074 10 237,706 11 (25,632) (10.8) Healthcare Facility 132,488 6 156,871 7 (24,383) (15.5) Mixed-use 28,349 1 26,440 1 1,909 7.2 Other 44,813 4 47,667 2 (2,854) (6.0) Total commercial real estate loans $2,050,249 100 % $2,183,985 100 % ($133,736) (6.1 %) Commercial & Industrial Portfolio Segmentation: Healthcare and social assistance $150,391 23 % $150,061 27 % $330 0.2 % Educational services 135,253 20 54,245 10 81,008 149.3 Retail trade 71,933 11 48,289 9 23,644 49.0 Transportation and warehousing 55,038 8 55,315 10 (277) (0.5) Accommodation and food services 32,585 5 26,431 5 6,154 23.3 Manufacturing 27,592 4 23,714 4 3,878 16.4 Finance and insurance 27,017 4 22,727 4 4,290 18.9 Arts, entertainment, and recreation 24,306 4 22,043 4 2,263 10.3 Information 21,196 3 21,843 4 (647) (3.0) Professional, scientific, and technical services 20,936 3 12,490 2 8,446 67.6 Real estate rental and leasing 20,600 3 57,113 10 (36,513) (63.9) Public administration 6,026 1 1,448 — 4,578 316.2 Other 72,982 11 68,363 11 4,619 6.8 Total commercial & industrial loans $665,855 100 % $564,082 100 % $101,773 18.0 % Weighted Average Asset Quality Supplemental - Nonaccrual (included in Classified) Balance (2) (3) Average Loan Size (4) Loan to Value Debt Service Coverage Pass Special Mention Classified Non-Owner Occupied Commercial Real Estate Office (inclusive of Construction): Class A $71,256 $11,931 58 % 1.65x $42,812 $— $28,444 $22,349 Class B 70,313 3,516 54 % 1.48x 66,563 3,750 — — Class C 10,333 1,476 56 % 1.34x 10,333 — — — Medical Office 25,694 6,424 54 % 1.66x 25,694 — — — Lab Space 34,478 18,288 103 % —x — 27,904 6,574 6,574 Total office at Jun 30, 2026 (1) $212,074 $5,500 64 % 1.30x $145,402 $31,654 $35,018 $28,923 Total office at Mar 31, 2026 $231,007 $5,567 64 % 1.29x $164,665 $31,294 $35,048 $28,923 Jun 30, 2026 vs. Mar 31, 2026 ($18,933) ($67) — % 0.01x ($19,263) $360 ($30) $— (1) Approximately 62% of the total commercial real estate office balance of $212 million is secured by income producing properties located in suburban areas. Additionally, approximately 57% of the total commercial real estate office balance is scheduled to mature before Jun 30, 2028. (2) Balance of commercial real estate office consists of 39 loans as of Jun 30, 2026. (3) Does not include $2.4 million of unfunded commitments as of Jun 30, 2026. (4) Total commitment (outstanding loan balance plus unfunded commitments) divided by number of loans. Washington Trust Bancorp, Inc. and Subsidiaries END OF PERIOD DEPOSIT COMPOSITION & CONTINGENT LIQUIDITY (Unaudited; Dollars in thousands) Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 $ % $ % Deposits: Noninterest-bearing demand deposits $644,011 $585,415 $646,584 $58,596 10.0 % ($2,573) (0.4 %) Interest-bearing demand deposits (in-market) 745,273 758,524 668,483 (13,251) (1.7) 76,790 11.5 NOW accounts 701,615 690,987 680,246 10,628 1.5 21,369 3.1 Money market accounts 1,270,616 1,132,421 1,147,792 138,195 12.2 122,824 10.7 Savings accounts 863,856 830,855 693,055 33,001 4.0 170,801 24.6 Time deposits (in-market) 1,133,502 1,166,431 1,207,255 (32,929) (2.8) (73,753) (6.1) In-market deposits 5,358,873 5,164,633 5,043,415 194,240 3.8 315,458 6.3 Wholesale brokered time deposits — — 1,833 — — (1,833) (100.0) Total deposits $5,358,873 $5,164,633 $5,045,248 $194,240 3.8 % $313,625 6.2 % Jun 30, 2026 Dec 31, 2025 Jun 30, 2026 vs. Dec 31, 2025 Contingent Liquidity: Federal Home Loan Bank of Boston $1,448,030 $1,356,005 $92,025 6.8 % Federal Reserve Bank of Boston 98,557 104,379 (5,822) (5.6) Available cash liquidity (1) 42,678 17,460 25,218 144.4 Unencumbered securities 494,925 539,830 (44,905) (8.3) Total $2,084,190 $2,017,674 $66,516 3.3 % (1) Available cash liquidity excludes amounts restricted for collateral purposes and designated for operating needs. Washington Trust Bancorp, Inc. and Subsidiaries CREDIT & ASSET QUALITY DATA (Unaudited; Dollars in thousands) Jun 30, 2026 vs. Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 Mar 31, 2026 (bps) Jun 30, 2025 (bps) Asset Quality Ratios: Nonperforming assets to total assets 0.61 % 0.63 % 0.39 % (2) 22 Nonaccrual loans to total loans 0.78 % 0.81 % 0.51 % (3) 27 Total past due loans to total loans 0.81 % 0.33 % 0.27 % 48 54 ACL on loans to nonaccrual loans 106.92 % 101.70 % 157.27 % 522 (5,035) ACL on loans to total loans 0.83 % 0.82 % 0.80 % 1 3 Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 $ % $ % Nonperforming Assets: Commercial real estate $28,923 $28,923 $4,276 $— — % $24,647 576.4 % Commercial & industrial 126 126 9,711 — — (9,585) (98.7) Total commercial 29,049 29,049 13,987 — — 15,062 107.7 Residential real estate 9,072 9,631 10,614 (559) (5.8) (1,542) (14.5) Home equity 1,695 1,757 1,507 (62) (3.5) 188 12.5 Other consumer — 3 — (3) (100.0) — — Total consumer 1,695 1,760 1,507 (65) (3.7) 188 12.5 Total nonaccrual loans 39,816 40,440 26,108 (624) (1.5) 13,708 52.5 Other real estate owned — — — — — — — Total nonperforming assets $39,816 $40,440 $26,108 ($624) (1.5 %) $13,708 52.5 % Past Due Loans (30 days or more past due): Commercial real estate $28,923 $6,574 $— $22,349 340.0 % $28,923 100.0 % Commercial & industrial 464 470 1,799 (6) (1.3) (1,335) (74.2) Total commercial 29,387 7,044 1,799 22,343 317.2 27,588 1,533.5 Residential real estate 9,908 6,627 9,772 3,281 49.5 136 1.4 Home equity 2,086 2,746 2,430 (660) (24.0) (344) (14.2) Other consumer 27 31 34 (4) (12.9) (7) (20.6) Total consumer 2,113 2,777 2,464 (664) (23.9) (351) (14.2) Total past due loans $41,408 $16,448 $14,035 $24,960 151.8 % $27,373 195.0 % Accruing loans 90 days or more past due $— $— $— $— — % $— — % Nonaccrual loans included in past due loans $36,152 $12,297 $8,186 $23,855 194.0 % $27,966 341.6 % Washington Trust Bancorp, Inc. and Subsidiaries CREDIT & ASSET QUALITY DATA (Unaudited; Dollars in thousands) For the Three Months Ended Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 Nonaccrual Loan Activity: Balance at beginning of period $40,440 $12,923 $21,626 Additions to nonaccrual status 2,457 29,064 10,454 Loans returned to accruing status (2,318) (69) (1,493) Loans charged-off (78) (84) (667) Loans transferred to other real estate owned — — — Payments, payoffs, and other changes (685) (1,394) (3,812) Balance at end of period $39,816 $40,440 $26,108 Allowance for Credit Losses on Loans: Balance at beginning of period $41,126 $37,236 $41,056 Provision for credit losses on loans (1) 1,500 3,900 650 Charge-offs (78) (84) (667) Recoveries 23 74 20 Balance at end of period $42,571 $41,126 $41,059 Allowance for Credit Losses on Unfunded Commitments: Balance at beginning of period $1,240 $1,140 $1,240 Provision for credit losses on unfunded commitments (1) 100 100 (50) Balance at end of period (2) $1,340 $1,240 $1,190 (1) Included in provision for credit losses in the Consolidated Statements of Income. (2) Included in other liabilities in the Consolidated Balance Sheets. Washington Trust Bancorp, Inc. and Subsidiaries CREDIT & ASSET QUALITY DATA (Unaudited; Dollars in thousands) Q2 2026 vs. Q1 2026 Q2 2026 vs. Q2 2025 Q2 2026 Q1 2026 Q2 2025 $ % $ % Provision for Credit Losses: Provision for credit losses on loans $1,500 $3,900 $650 ($2,400) (61.5 %) $850 130.8 % Provision for credit losses on unfunded commitments 100 100 (50) — — 150 300.0 Provision for credit losses $1,600 $4,000 $600 ($2,400) (60.0 %) $1,000 166.7 % Net Loan Charge-Offs (Recoveries): Commercial real estate $— $— $274 $— — % ($274) (100.0 %) Commercial & industrial — (42) 307 42 100.0 (307) (100.0) Total commercial — (42) 581 42 100.0 (581) (100.0) Residential real estate — (1) — 1 100.0 — — Home equity — (1) (1) 1 100.0 1 100.0 Other consumer 55 54 67 1 1.9 (12) (17.9) Total consumer 55 53 66 2 3.8 (11) (16.7) Total $55 $10 $647 $45 450.0 % ($592) (91.5 %) Washington Trust Bancorp, Inc. and Subsidiaries CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis) (Unaudited; Dollars in thousands) The following tables present daily average balance, interest, and yield/rate information, as well as net interest margin on an FTE basis. Tax-exempt income is converted to an FTE basis using the statutory federal income tax rate. Unrealized gains (losses) on available for sale securities, changes in fair value on mortgage loans held for sale, and basis adjustments associated with fair value hedges are excluded from the average balance and yield calculations. Nonaccrual loans are included in amounts presented for loans. Interest income attributable to nonaccrual loans is included in accordance with accounting policy as disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025. For the Three Months Ended Jun 30, 2026 Mar 31, 2026 Change Average Balance Interest Yield/ Rate Average Balance Interest Yield/ Rate Average Balance Interest Yield/ Rate Assets: Cash, federal funds sold, and short-term investments $111,434 $998 3.59 % $101,091 $909 3.65 % $10,343 $89 (0.06 %) Mortgage loans held for sale 31,413 478 6.10 24,760 375 6.14 6,653 103 (0.04) Taxable debt securities 996,894 8,468 3.41 1,022,612 8,768 3.48 (25,718) (300) (0.07) Nontaxable debt securities 650 8 4.94 650 8 4.99 — — (0.05) Total securities 997,544 8,476 3.41 1,023,262 8,776 3.48 (25,718) (300) (0.07) FHLB stock 25,557 506 7.94 30,566 585 7.76 (5,009) (79) 0.18 Commercial real estate 2,049,760 28,593 5.60 2,148,792 28,718 5.42 (99,032) (125) 0.18 Commercial & industrial 592,347 8,346 5.65 571,498 7,921 5.62 20,849 425 0.03 Total commercial 2,642,107 36,939 5.61 2,720,290 36,639 5.46 (78,183) 300 0.15 Residential real estate 2,027,688 22,698 4.49 2,035,597 22,723 4.53 (7,909) (25) (0.04) Home equity 322,709 5,052 6.28 316,660 4,931 6.32 6,049 121 (0.04) Other 15,760 208 5.29 16,589 215 5.26 (829) (7) 0.03 Total consumer 338,469 5,260 6.23 333,249 5,146 6.26 5,220 114 (0.03) Total loans 5,008,264 64,897 5.20 5,089,136 64,508 5.14 (80,872) 389 0.06 Total interest-earning assets 6,174,212 75,355 4.90 6,268,815 75,153 4.86 (94,603) 202 0.04 Noninterest-earning assets 289,814 297,871 (8,057) Total assets $6,464,026 $6,566,686 ($102,660) Liabilities and Shareholders' Equity: Interest-bearing demand deposits (in- market) $730,215 $5,751 3.16 % $748,233 $5,889 3.19 % ($18,018) ($138) (0.03 %) NOW accounts 685,098 265 0.16 676,240 259 0.16 8,858 6 — Money market accounts 1,196,679 8,429 2.83 1,162,609 7,788 2.72 34,070 641 0.11 Savings accounts 833,804 3,656 1.76 810,040 3,418 1.71 23,764 238 0.05 Time deposits (in-market) 1,143,511 9,466 3.32 1,190,414 10,016 3.41 (46,903) (550) (0.09) Interest-bearing in-market deposits 4,589,307 27,567 2.41 4,587,536 27,370 2.42 1,771 197 (0.01) Wholesale brokered time deposits — — — — — — — — — Total interest-bearing deposits 4,589,307 27,567 2.41 4,587,536 27,370 2.42 1,771 197 (0.01) FHLB advances 536,879 5,491 4.10 660,667 6,777 4.16 (123,788) (1,286) (0.06) Junior subordinated debentures 22,681 308 5.45 22,681 310 5.54 — (2) (0.09) Total interest-bearing liabilities 5,148,867 33,366 2.60 5,270,884 34,457 2.65 (122,017) (1,091) (0.05) Noninterest-bearing demand deposits 621,882 604,302 17,580 Other liabilities 141,165 138,126 3,039 Shareholders' equity 552,112 553,374 (1,262) Total liabilities and shareholders' equity $6,464,026 $6,566,686 ($102,660) Net interest income (FTE) $41,989 $40,696 $1,293 Interest rate spread 2.30 % 2.21 % 0.09 % Net interest margin 2.73 % 2.63 % 0.10 % Interest income amounts presented in the preceding table include the following adjustments for taxable equivalency: For the Three Months Ended Jun 30, 2026 Mar 31, 2026 Change Commercial loans $180 $168 $12 Nontaxable debt securities — 1 (1) Total $180 $169 $11 Washington Trust Bancorp, Inc. and Subsidiaries CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis) (Unaudited; Dollars in thousands) For the Six Months Ended Jun 30, 2026 Jun 30, 2025 Change Average Balance Interest Yield/ Rate Average Balance Interest Yield/ Rate Average Balance Interest Yield/ Rate Assets: Cash, federal funds sold and short-term investments $106,290 $1,907 3.62 % $138,950 $3,022 4.39 % ($32,660) ($1,115) (0.77 %) Mortgage loans for sale 28,105 853 6.12 66,145 1,400 4.27 (38,040) (547) 1.85 Taxable debt securities 1,009,682 17,236 3.44 1,055,109 18,057 3.45 (45,427) (821) (0.01) Nontaxable debt securities 650 17 5.27 650 16 4.96 — 1 0.31 Total securities 1,010,332 17,253 3.44 1,055,759 18,073 3.45 (45,427) (820) (0.01) FHLB stock 28,048 1,091 7.84 42,482 1,814 8.61 (14,434) (723) (0.77) Commercial real estate 2,099,003 57,311 5.51 2,150,209 61,579 5.78 (51,206) (4,268) (0.27) Commercial & industrial 581,981 16,267 5.64 544,352 15,841 5.87 37,629 426 (0.23) Total commercial 2,680,984 73,578 5.53 2,694,561 77,420 5.79 (13,577) (3,842) (0.26) Residential real estate 2,031,620 45,421 4.51 2,108,429 46,350 4.43 (76,809) (929) 0.08 Home equity 319,702 9,984 6.30 297,695 10,229 6.93 22,007 (245) (0.63) Other 16,171 422 5.26 17,174 423 4.97 (1,003) (1) 0.29 Total consumer 335,873 10,406 6.25 314,869 10,652 6.82 21,004 (246) (0.57) Total loans 5,048,477 129,405 5.17 5,117,859 134,422 5.30 (69,382) (5,017) (0.13) Total interest-earning assets 6,221,252 150,509 4.88 6,421,195 158,731 4.98 (199,943) (8,222) (0.10) Noninterest-earning assets 293,820 282,682 11,138 Total assets $6,515,072 $6,703,877 ($188,805) Liabilities and Shareholders' Equity: Interest-bearing demand deposits (in- market) $739,174 $11,640 3.18 % $646,489 $12,126 3.78 % $92,685 ($486) (0.60 %) NOW accounts 680,693 524 0.16 674,985 685 0.20 5,708 (161) (0.04) Money market accounts 1,179,738 16,217 2.77 1,207,072 19,806 3.31 (27,334) (3,589) (0.54) Savings accounts 821,989 7,074 1.74 614,573 4,932 1.62 207,416 2,142 0.12 Time deposits (in-market) 1,166,833 19,482 3.37 1,209,927 22,611 3.77 (43,094) (3,129) (0.40) Interest-bearing in-market deposits 4,588,427 54,937 2.41 4,353,046 60,160 2.79 235,381 (5,223) (0.38) Wholesale brokered time deposits — — — 97,939 2,452 5.05 (97,939) (2,452) (5.05) Total interest-bearing deposits 4,588,427 54,937 2.41 4,450,985 62,612 2.84 137,442 (7,675) (0.43) FHLB advances 598,431 12,268 4.13 946,906 21,397 4.56 (348,475) (9,129) (0.43) Junior subordinated debentures 22,681 618 5.49 22,681 693 6.16 — (75) (0.67) Total interest-bearing liabilities 5,209,539 67,823 2.63 5,420,572 84,702 3.15 (211,033) (16,879) (0.52) Noninterest-bearing demand deposits 613,141 618,373 (5,232) Other liabilities 139,652 146,524 (6,872) Shareholders' equity 552,740 518,408 34,332 Total liabilities and shareholders' equity $6,515,072 $6,703,877 ($188,805) Net interest income (FTE) $82,686 $74,029 $8,657 Interest rate spread 2.25 % 1.83 % 0.42 % Net interest margin 2.68 % 2.32 % 0.36 % Interest income amounts presented in the preceding table include the following adjustments for taxable equivalency: For the Six Months Ended Jun 30, 2026 Jun 30, 2025 Change Commercial loans $348 $425 ($77) Nontaxable debt securities 2 1 1 Total $350 $426 ($76) Washington Trust Bancorp, Inc. and Subsidiaries SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures (Unaudited; Dollars in thousands, except per share amounts) The following table presents adjusted noninterest income, adjusted noninterest expense, adjusted income before income taxes, adjusted income tax expense, and adjusted net income, adjusted diluted earnings per common share, and adjusted efficiency ratio: For the Six Months Ended Jun 30, 2026 2025 Change Adjusted Noninterest Income: Noninterest income, as reported $35,965 $39,721 ($3,756) (9.5 %) Less adjustments: Gain on sale of bank-owned properties, net — 6,994 (6,994) (100.0) Adjusted noninterest income (non-GAAP) $35,965 $32,727 $3,238 9.9 % Adjusted Noninterest Expense: Noninterest expense, as reported $76,362 $78,726 ($2,364) (3.0 %) Less adjustments: Pension plan settlement charge — 6,436 (6,436) (100.0) Adjusted noninterest expense (non-GAAP) $76,362 $72,290 $4,072 5.6 % Adjusted Income Before Income Taxes: Income before income taxes $36,331 $32,802 $3,529 10.8 % Less: total adjustments, pre-tax — 558 (558) (100.0) Adjusted income before income taxes (non-GAAP) $36,331 $32,244 $4,087 12.7 % Adjusted Income Tax Expense: Income tax expense, as reported $7,750 $7,378 $372 5.0 % Less: tax on total adjustments — 141 (141) (100.0) Adjusted income tax expense (non-GAAP) $7,750 $7,237 $513 7.1 % Adjusted Net Income: Net income, as reported $28,581 $25,424 $3,157 12.4 % Less: total adjustments, after-tax — 417 (417) (100.0) Adjusted net income (non-GAAP) $28,581 $25,007 $3,574 14.3 % Adjusted Diluted Earnings per Common Share: Diluted earnings (loss) per common share, as reported (1) $1.49 $1.31 $0.18 13.7 % Less: impact of total adjustments — 0.02 (0.02) (100.0) Adjusted diluted earnings per common share (non-GAAP) (2) $1.49 $1.29 $0.20 15.5 % Adjusted Efficiency Ratio: Efficiency ratio, as reported (3) 64.6 % 69.5 % (490) bps Less: impact of total adjustments — 1.5 (150) bps Adjusted efficiency ratio (non-GAAP) (4) 64.6 % 68.0 % (340) bps (1) Net income divided by weighted average diluted common and potential shares outstanding. (2) Net income, adjusted for the after-tax impact of adjustments as outlined in the table above, divided by weighted average diluted common and potential shares outstanding. (3) Total noninterest expense as percentage of total revenues (net interest income and noninterest income). (4) Total noninterest expense as percentage of total revenues (net interest income and noninterest income), each adjusted for the pre-tax impact of adjustments as outlined in the table above. Washington Trust Bancorp, Inc. and Subsidiaries SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures (continued) (Unaudited; Dollars in thousands) The following tables present return on average tangible assets and adjusted return on average assets: Q2 2026 Q1 2026 Q2 2025 Q2 2026 vs. Q1 2026 Q2 2026 vs. Q2 2025 Return on Average Tangible Assets: Net income, as reported $15,981 $12,600 $13,245 $3,381 26.8 % $2,736 20.7 % Total average assets, as reported $6,464,026 $6,566,686 $6,643,370 ($102,660) (1.6 %) ($179,344) (2.7 %) Less average balances of: Goodwill 63,909 63,909 63,909 — — — — Identifiable intangible assets, net 4,068 4,224 2,577 (156) (3.7) 1,491 57.9 Total average tangible assets $6,396,049 $6,498,553 $6,576,884 ($102,504) (1.6 %) ($180,835) (2.7 %) Return on average assets (1) 0.99 % 0.78 % 0.80 % 21 bps 19 bps Return on average tangible assets (non-GAAP) (2) 1.00 % 0.79 % 0.81 % 21 bps 19 bps For the Six Months Ended Jun 30, 2026 2025 Change Adjusted Return on Average Assets: Net income, as reported $28,581 $25,424 $3,157 12.4 % Less: total adjustments, after-tax — 417 (417) (100.0) Adjusted net income (non-GAAP) $28,581 $25,007 $3,574 14.3 % Total average assets, as reported $6,515,072 $6,703,877 ($188,805) (2.8 %) Return on average assets (1) 0.88 % 0.76 % 12 bps Adjusted return on average assets (non-GAAP) (3) 0.88 % 0.75 % 13 bps Return on Average Tangible Assets: Adjusted net income (non-GAAP) $28,581 $25,007 $3,574 14.3 % Total average assets, as reported $6,515,072 $6,703,877 ($188,805) (2.8 %) Less average balances of: Goodwill 63,909 63,909 — — Identifiable intangible assets, net 4,145 2,679 1,466 54.7 Total average tangible assets $6,447,018 $6,637,289 ($190,271) (2.9 %) Return on average assets (1) 0.88 % 0.76 % 12 bps Return on average tangible assets (non-GAAP) (4) 0.89 % 0.76 % 13 bps (1) Net income divided by total average assets. (2) Net income divided by total average tangible assets. (3) Net income, adjusted for the after-tax impact of adjustments as outlined in the table above, divided by total average assets. (4) Net income, adjusted for the after-tax impact of adjustments as outlined in the table above, divided by total average tangible assets. Washington Trust Bancorp, Inc. and Subsidiaries SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures (continued) (Unaudited; Dollars in thousands) The following tables present return on average tangible equity and adjusted return on average equity: Q2 2026 Q1 2026 Q2 2025 Q2 2026 vs. Q1 2026 Q2 2026 vs. Q2 2025 Return on Average Tangible Equity: Net income, as reported $15,981 $12,600 $13,245 $3,381 26.8 % $2,736 20.7 % Total average equity, as reported $552,112 $553,374 $523,709 ($1,262) (0.2 %) $28,403 5.4 % Less average balances of: Goodwill 63,909 63,909 63,909 — — — — Identifiable intangible assets, net 4,068 4,224 2,577 (156) (3.7) 1,491 57.9 Total average tangible equity (non-GAAP) $484,135 $485,241 $457,223 ($1,106) (0.2 %) $26,912 5.9 % Return on average equity (1) 11.61 % 9.23 % 10.14 % 238 bps 147 bps Return on average tangible equity (non-GAAP) (2) 13.24 % 10.53 % 11.62 % 271 bps 162 bps For the Six Months Ended Jun 30, 2026 2025 Change Adjusted Return on Average Equity: Net income, as reported $28,581 $25,424 $3,157 12.4 % Less: total adjustments, after-tax — 417 (417) (100.0) Adjusted net income (non-GAAP) $28,581 $25,007 $3,574 14.3 Total average equity, as reported $552,740 $518,408 $34,332 6.6 Return on average equity (1) 10.43 % 9.89 % 54 bps Adjusted return on average equity (non-GAAP) (3) 10.43 % 9.73 % 70 bps Return on Average Tangible Equity: Adjusted net income (non-GAAP) $28,581 $25,007 $3,574 14.3 % Total average equity, as reported $552,740 $518,408 $34,332 6.6 Less average balances of: Goodwill 63,909 63,909 — — Identifiable intangible assets, net 4,145 2,679 1,466 54.7 Total average tangible equity (non-GAAP) $484,686 $451,820 $32,866 7.3 Return on average equity (1) 10.43 % 9.89 % 54 bps Return on average tangible equity (non-GAAP) (4) 11.89 % 11.16 % 73 bps (1) Net income divided by total average equity. (2) Net income divided by total average tangible equity. (3) Net income, adjusted for the after-tax impact of adjustments as outlined in the table above, divided by total average equity. (4) Net income, adjusted for the after-tax impact of adjustments as outlined in the table above, divided by total average tangible equity. Washington Trust Bancorp, Inc. and Subsidiaries SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures (continued) (Unaudited; Dollars in thousands, except per share amounts) The following table presents tangible book value per share and the ratio of tangible equity to tangible assets: Jun 30, 2026 Mar 31, 2026 Jun 30, 2025 Jun 30, 2026 vs. Mar 31, 2026 Jun 30, 2026 vs. Jun 30, 2025 Tangible Book Value per Share: Total shareholders' equity, as reported $553,523 $546,773 $527,519 $6,750 1.2 % $26,004 4.9 % Less end of period balances of: Goodwill 63,909 63,909 63,909 — — % — — % Identifiable intangible assets, net 3,992 4,148 2,478 (156) (3.8) % 1,514 61.1 % Total tangible shareholders' equity (non-GAAP) $485,622 $478,716 $461,132 $6,906 1.4 % $24,490 5.3 % Shares outstanding, as reported 19,071 19,041 19,283 30 0.2 % (212) (1.1 %) Book value per share $29.02 $28.72 $27.36 $0.30 1.0 % $1.66 6.1 % Tangible book value per share (non-GAAP) $25.46 $25.14 $23.91 $0.32 1.3 % $1.55 6.5 % Tangible Equity to Tangible Assets: Total tangible shareholders' equity $485,622 $478,716 $461,132 $6,906 1.4 % $24,490 5.3 % Total assets, as reported $6,547,904 $6,459,196 $6,745,167 $88,708 1.4 % ($197,263) (2.9 %) Less end of period balances of: Goodwill 63,909 63,909 63,909 — — % — — % Identifiable intangible assets, net 3,992 4,148 2,478 (156) (3.8 %) 1,514 61.1 % Total tangible assets (non-GAAP) $6,480,003 $6,391,139 $6,678,780 $88,864 1.4 % ($198,777) (3.0 %) Equity to assets 8.45 % 8.47 % 7.82 % (2) bps 63 bps Tangible equity to tangible assets (non-GAAP) 7.49 % 7.49 % 6.90 % 0 bps 59 bps Category: Earnings View original content to download multimedia:https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html SOURCE Washington Trust Bancorp, Inc.