Slide 1: 4Q 2023 Investor Presentation
4Q 2023 Investor Presentation Exhibit 99.2 January 30, 2024
Slide 2: Cautionary Note Regarding Forward-Looking Statements
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule
Slide 3: First Interstate BancSystem, Inc. Overview
FIRST INTERSTATE BANCSYSTEM, INC. OVERVIEW Premier community banking franchise in growing markets throughout the Midwest and Pacific Northwest Financial Highlights Balance Sheet Capital Assets $30.7 Billion Total RBC3** 13.28% LHFI1 $18.3 Billion CET14** 11.08% Deposits $23.3 Billion Leverage** 8.22
Slide 4: FIBK Investment Thesis
q Shareholder value creation is a top priority - building long-term value for all shareholders, directly aligned with management compensation q Experienced leadership team q Diverse Board advising on strategy, overseeing risk and aligned with shareholders q Economically Diverse and Growing Footprint
Slide 5: Fourth Quarter 2023 Earnings and Balance Sheet Highlights
Earnings • Net income of $61.5 million, or $0.59 per share for the fourth quarter of 2023 • Net interest margin (NIM), on a fully taxable equivalent (“FTE”) basis1, of 3.01%, a decrease of 6 basis points from the third quarter of 2023; adjusted NIM1 of 2.94%, a decrease of 6 basis points from the th
Slide 6: Diversified Loan Portfolio
DIVERSIFIED LOAN PORTFOLIO Loans Held for Investment Commercial RE, 48% Construction RE, 10% Residential RE, 13% Agriculture RE, 4% Consumer, 5%Commercial, 16% Agriculture, 4% Loans by Geography MT, 15% WY, 4% ID, 6% WA, 8% OR, 9% SD, 10%ND, 2% NE, 6% IA, 10% KS, 2% AZ, 6% CO, 7% Other, 15% Revolvin
Slide 7: Diverse Deposit Base
Deposits by State MT, 24% WY, 13% ID, 7% WA, 4% OR, 11%SD, 15% NE, 9% IA, 9% MO, 1% AZ, 3% CO, 4% Mix of Consumer and Business Deposits 52% 54% 53% 53% 53% 48% 46% 47% 47% 47% Total Consumer Deposits Total Business Deposits 4Q22 1Q23 2Q23 3Q23 4Q23 7 Average Deposit Balances 29% 28% 27% 27% 27% 33%
Slide 8: Capital and Liquidity
Total Risk-Based Capital Ratios 12.48% 12.63% 12.90% 13.19% 13.28% 10.45% 10.52% 10.76% 11.02% 11.08% 2.03% 2.11% 2.14% 2.17% 2.20% CET1 Total RBC 4Q22 1Q23 2Q23 3Q23 4Q23² CAPITAL AND LIQUIDITY Liquid and flexible balance sheet with strong capital position Common Equity (CE) and Tangible Common Equ
Slide 9: Allowance for Credit Losses (ACL)
ALLOWANCE FOR CREDIT LOSSES (ACL) ACL ($MM) and Funded ACL/LHFI Ratio $236.3 $243.9 $245.4 $245.5 $246.1 $220.1 $226.1 $224.6 $226.7 $227.7 $16.2 $17.8 $20.8 $18.8 $18.4 1.22% 1.24% 1.23% 1.24% 1.25% Funded ACL Unfunded ACL Funded ACL % of LHFI 4Q22 1Q23 2Q23 3Q23 4Q23 9 ACL Roll-forward ($MM) Funde
Slide 10: Asset Quality and Reserve Trends
Asset Quality Highlights: • Total non-performing loans increased by $26.7 million, or 31.6% during the fourth quarter of 2023, driven by the movement of a $28.7 million loan from held-for-sale to loans held-for-investment • Net charge-offs totaled $4.8 million, or 10 basis points, during the fourth
Slide 11: Net Interest Income
NET INTEREST INCOME FTE NII¹ ($MM) and FTE NIM¹ $252.3 $235.5 $215.6 $210.2 $204.1 $8.4 $5.2 $4.6 $5.2 $5.4 $260.7² $240.7² $220.2² $215.4² $209.5² 3.61% 3.36% 3.12% 3.07% 3.01% 3.49% 3.29% 3.05% 3.00% 2.94% Adjusted FTE NII¹ Loan PAA FTE NIM¹ Adjusted FTE NIM¹ 4Q22 1Q23 2Q23 3Q23 4Q23 11 1 See Non-
Slide 12: Investment Portfolio
INVESTMENT PORTFOLIO 12 Total Portfolio Duration at Quarter-end 3.7 3.8 3.7 3.7 3.5 4Q22 1Q23 2Q23 3Q23 4Q23 (in years) Projected Cash Flow ($MM) and Yield Roll-Off at Quarter-end* $470.7 $186.8 $215.7 $245.0 $214.3 $223.6 2.23% 2.38% 2.57% 2.70% 2.62% 2.73% 1Q24E 2Q24E 3Q24E 4Q24E 1Q25E 2Q25E *Cons
Slide 13: Non-Interest Income
13 Non-interest Income by Type ¹ Payment Services, 41% Mortgage Banking, 3% Wealth Management, 20% Deposit Service Charges, 14% Other Service Charges & Fees, 6% Other Income, 16% Dollars in millions 4Q22 3Q23 4Q23 Payment services revenues $ 19.4 $ 19.2 $ 18.4 Mortgage banking revenues 2.6 2.0 1.5 W
Slide 14: Non-Interest Expense
NON-INTEREST EXPENSE 14 Dollars in millions 4Q22 3Q23 4Q23 Salaries and wages $ 75.4 $ 65.4 $ 64.0 Employee benefits 17.3 19.7 13.5 Occupancy and equipment 17.9 17.0 17.4 Other intangible amortization 4.1 3.9 3.9 Other expenses 54.5 54.6 67.0 Other real estate owned expense 2.2 0.5 0.2 Acquisition r
Slide 15: 2024 Guidance Summary
2024 GUIDANCE SUMMARY* 15 Preliminary estimates - may be subject to change *Constititute forward-looking statements Loans and Deposits • Anticipate deposits relatively flat for the full year, with normal seasonality • Anticipate loans to be flat to increasing low single digits Net Interest Income •
Slide 16: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES 16 In addition to results presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, this press release contains the following non-GAAP financial measures that management uses to evaluate our performance relative to our
Slide 17: Non-GAAP Reconciliation: Tangible Common Equity
4Q22 1Q23 2Q23 3Q23 4Q23 (Dollars in millions) Total common stockholders' equity (GAAP) (A) $ 3,073.8 $ 3,160.3 $ 3,121.2 $ 3,085.5 $ 3,227.5 Less goodwill and other intangible assets (excluding mortgage servicing rights) 1,225.9 1,221.9 1,218.0 1,214.1 1,210.3 Tangible common stockholders' equity (
Slide 18: Non-GAAP Reconciliation: Adjusted Efficiency Ratio
4Q22 1Q23 2Q23 3Q23 4Q23 (Dollars in millions) Total non-interest expense $ 175.3 $ 165.8 $ 163.9 $ 161.1 $ 166.0 Less: Acquisition-related expense 3.9 — — — — Less: Litigation accrual 1.3 — — — — Adjusted non-interest expense $ 170.1 $ 165.8 $ 163.9 $ 161.1 $ 166.0 Less: Intangible amortization 4.1
Slide 19: Non-GAAP Reconciliation: Net Interest Margin
4Q22 1Q23 2Q23 3Q23 4Q23 (Dollars in millions) Net interest income (A) $ 258.4 $ 238.9 $ 218.4 $ 213.7 $ 207.8 FTE adjustments(1) 2.3 1.8 1.8 1.7 1.7 Net interest income on a FTE basis (B) 260.7 240.7 220.2 215.4 209.5 Less purchase accounting accretion 8.4 5.2 4.6 5.2 5.4 Adjusted net interest inco