Provident Financial Services, Inc · NYSE:PFS
Provident Financial Services — Q2 2026 Earnings Presentation
29 slides from Provident Financial Services's earnings presentation, Jul 29, 2026
Slide 1: Q2 2026 Results Presentation
Q2 2026 RESULTS PRESENTATION
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements contained herein are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such
Slide 3: Provident Bank; Building a Premier Banking Franchise
Provident Bank; Building a Premier Banking Franchise Company Overview Geographic Overview • Founded in 1839, longest tenured bank headquartered in New Jersey • 135 branches serving New Jersey, eastern Pennsylvania, and Orange, Queens, and Nassau Counties, New York • Full-service commercial & consume
Slide 4: Q2 2026 Core Financial Highlights
Q2 2026 Core Financial Highlights Key Metrics Highlights Expanding profitability metrics year-over-year, achieving a 1.27% core ROAA and 16.22% core $0.61 ROATCE. Core Diluted EPS PPNR growth of $18.2 million, or 18.3% compared to the prior year quarter, resulting in a 1.87% core PPNR ROAA which exp
Slide 5: Expanding Core Net Interest Margin
Expanding Core Net Interest Margin • Net interest income growth of 8% year-over-year benefited Net Interest Income ($mm) and Core Margin from higher net interest margin and earning assets. 3.48% 3.60% $202 3.36% 3.43% 3.44% 3.40% • Favorable repricing of maturing loans contributed to core 3.40% $203
Slide 6: Sustained, Diverse Loan Growth
Sustained, Diverse Loan Growth EOP HFI Loans– YoY QoQ $ Annualized % ($ in millions) 2Q26 1Q26 Pipeline vs Originations Growth Growth ($ in millions) C&I loans $ 5,251 $ 4,967 $ 284 22.93% 3,500 CRE loans 7,502 7,424 78 4.21% 3,173 3,115 Construction loans 639 641 (2) -1.25% 3,000 2,870 2,745 Multi-
Slide 7: Granular and Relationship Focused Funding Model
Granular and Relationship Focused Funding Model EOP Deposits by Product– YoY QoQ $ Annualized ($ in millions) 2Q26 1Q26 Growth % Growth Non-interest bearing $ 3,777 $ 3,695 $ 82 8.89% Average Total Client Deposit Mix Interest bearing core 8,146 8,188 (42) -2.04% 100% 3% 4% 6% 4% 5% Municipal 3,566 3
Slide 8: Emphasis on Growing Fee Income
Emphasis on Growing Fee Income QTD YTD QoQ $ YoY $ ($ in thousands) Jun-26 Mar-26 Jun-25 Jun-26 Jun-25 Growth Growth Fees $ 12,259 $ 10,464 $ 1,795 $ 10,736 $ 22,722 $ 20,391 $ 2,331 Wealth management 7,517 7,402 115 6,948 14,920 14,275 645 Insurance 5,446 6,850 (1,404) 4,942 12,296 10,593 1,703 Ban
Slide 9: Focus on Sustained Positive Operating Leverage
Focus on Sustained Positive Operating Leverage Non-interest expense ($ in thousands) 2Q25 3Q25 4Q25 1Q26 2Q26 Compensation and employee benefits $ 63,249 $ 63,202 $ 64,316 $ 66,196 $ 67,289 Net occupancy expense 13,011 12,773 13,078 14,985 12,464 Data processing expense 9,599 9,102 9,110 9,646 9,388
Slide 10: Maintaining Strong Balance Sheet
Maintaining Strong Balance Sheet • Stable insured deposit base, brokered deposits only 6.5% of total deposits as • Strong regulatory capital ratios at bank and holding company, of June 30, 2026 comfortably above well-capitalized ratios • Total insured and collateralized deposits as of 06/30/26, tota
Slide 11: Managing CRE Concentration Lower
Managing CRE Concentration Lower ($ in thousands) $14,000 443.7% $12,000 433.4% 432.2% Land 428.6% 427.8% CRE $10,000 Multifamily Construction & Land $8,000 Development 408.0% Construction 1-4 403.0% CRE Concentration $6,000 399.5% 398.5% 399.7% Ratio $4,000 $2,000 $- 2Q25 3Q25 4Q25 1Q26 2Q26 *Exclu
Slide 12: Consistently Strong Credit Metrics
Consistently Strong Credit Metrics 2Q25 3Q25 4Q25 1Q26 2Q26 0.98% 0.97% 0.95% Total allowance to total loans 0.90% 0.92% Total non-performing loans to 0.73% 0.68% total loans 0.56% 0.52% 0.40% Total non-performing assets as a 0.58% 0.54% percentage of total assets 0.44% 0.41% 0.32% 0.11% 0.09% Net c
Slide 13: Favorable Core Performance Trends
Favorable Core Performance Trends Core ROAA (1) Core PPNR ROAA (1) Core ROATCE (1) (Annualized Core net income (Annualized Core net income (Annualized Core net /average assets) PPNR /average assets) income /average tangible 1.40% 1.90% 1.87% stockholders' equity) 1.34% 1.85% 1.35% 18.00% 1.78% 17.58
Slide 14: 2026 Guidance
2026 Guidance Loans • 2026: 5-6% annualized loan growth Deposits • 2026: 5-6% annualized deposit growth Borrowings • 2026: Balances expected to fluctuate based on loan, deposit and securities cash flows • 2026: 3.45-3.50% reported and 1-2 bps of core margin expansion per quarter in second half Net I
Slide 15: Appendix
=Provident Financial Services, Inc. APPENDIX 15
Slide 16: Net Interest Margin Analysis
Net Interest Margin Analysis Interest-Bearing Liabilities Asset Yields Total Deposits Total Borrowings Total Interest-Bearing Liabilities Securities Net Loans Total interest-earning assets 3.94% 3.96% 3.94% 3.91% 3.90% 3.76% 5.95% 6.01% 6.09% 5.98% 5.90% 5.85% 5.63% 5.68% 5.76% 5.66% 5.61% 2.90% 2.9
Slide 17: Focus on Growing Wealth Management Business
Focus on Growing Wealth Management Business AVERAGE CLIENT SIZE 145 Provident Bank households are also Beacon clients Trust & Estate 9% $4,000,000 Tax 10% 2026 Q1 Total Revenue Private Advisory $ 11,985,000 Trust & Estate $ 1,388,000 Banking Tax $ 1,554,000 Advisory 3% Interest Income * $ 453,000 78
Slide 18: Provident Protection Plus, Inc.
Provident Protection Plus, Inc. Insurance Services Net Income Before Tax ($ in thousands) • Provident Protection Plus, Inc. provides insurance agency services including business, personal and employee $3,302 benefits insurance products. $2,878 • The insurance agency’s primary source of revenue is co
Slide 19: CRE Type Composition
CRE Type Composition As of 6/30/2026 HOTEL RESIDENTIAL 1.14% LAND Portfolio Characteristics SPECIAL USE 2.54% 0.78% 4.50% 10 Largest CRE Loans 4.05% of CRE Investment Portfolio OFFICE 10 Largest CRE Loans 2.27% of Total Loan Portfolio 6.59% MIXED USE MULTI- Average Loan Size Outstanding $2.48 Millio
Slide 20: CRE Office Composition
CRE Office Composition Total CRE Office Portfolio = $752.4 million* • Medical Office: approx. 35% of total office portfolio. OUT OF MARKET 6% Maturity or Reprice by Year PA OTHER NY 10% 2026 $218.8 BOROUGHS 9% 2027 $136.9 OTHER NY 3% 2028 $131.6 MANHATTAN NEW JERSEY 2029 $70.1 2% 70% 2030 $75.7 2031
Slide 21: CRE Investment Portfolio by Property Type
CRE Investment Portfolio by Property Type* As of 6/30/26 ($ in thousands) $ % PROPERTY TYPE COUNT OUTSTANDING OUTSTANDING WARR MULTI 1,068 3,842,980 33.66% 3.50 RET 885 2,697,026 23.62% 3.48 INDUS 580 2,190,000 19.18% 3.53 MIXED 694 911,405 7.98% 3.58 OFF 401 752,373 6.59% 3.68 SUP 203 513,330 4.50%
Slide 22: Multi-family Composition (NY and Rent Stabilized sectors)
Multi-family Composition (NY and Rent Stabilized sectors) Total NY Multi-family Loans = $654.8 Million Total multi-family loan portfolio: $3.84 Billion • Of the total, 106 Loans on multi-family properties in the five boroughs of NYC, aggregate outstanding $386.3 million, with an average loan size of
Slide 23: Investment Portfolio
Investment Portfolio Total Investment Portfolio = $3.55 Billion Student Loan Pools Municipal Bonds 1% • As of June 30, 2026, the 11% Agency CMBS Agency Notes portfolio had a modified 4% 0% U.S. Treasury Notes duration of 4.1 years and 5% Non Agency CMBS 4% Corporate Notes weighted average life of 3%
Slide 24: Commitment You Can Count On.
Commitment You Can Count On. Our Vision. Guiding Principles A consistently high performing bank, committed to creating advocates for life. Act with Integrity Be Accountable Our Mission. Commit ever day to deepen our emotional connections with our employees, customers, and the communities we serve by
Slide 25: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures ($ in thousands, except per share data) Reconciliation of GAAP to Non-GAAP Financial Measures ($ in thousands, except per share data) Annualized Core Return on Average Assets, Equity and Tangible Equity Three Months Ended 2Q26 1Q26 2Q25 Net Incom
Slide 26: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures ($ in thousands, Reconciliation of GAAP to Non-GAAP Financial Measures except per share data) Core Pre-provision-net-revenue: 2Q25 3Q25 4Q25 1Q26 2Q26 Net Income $ 71,981 $ 71,720 $ 83,431 $ 79,417 $ 78,147 Add: provision for credit losses (2,888
Slide 27: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures ($ in thousands, except per share data) Annualized Core Non-Interest Expense to Average Assets Three Months Ended 2Q26 Reported non-interest expense $ 119,258 Adjustments to non-interest expense: Executive severance expense 864 Core system conver
Slide 28: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures ($ in thousands, except per share data) Annualized Adjusted Non-Interest Expense to Average Assets Three Months Ended Q2 2026 Q1 2026 Q4 2025 Q3 2025 Q2 2025 Reported non-interest expense $ 119,258 Adjustments to non-interest expense: Executive s
Slide 29: Q2 2026 Results Presentation
Q2 2026 RESULTS PRESENTATION
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