Independent Bank Corp. · NASDAQ:INDB
Independent Bank — Q2 2025 Earnings Presentation
22 slides from Independent Bank's earnings presentation, Jul 18, 2025
Slide 1: Q2 2025 Earnings Presentation
Q2 2025 Earnings Presentation July 18, 2025 Exhibit 99.2
Slide 2: Company Overview
Company Overview Strong, Resilient Franchise; Well Positioned for Growth Safe & Sound Customer Centric • Strong balance sheet • Full suite of retail banking, commercial banking, • Prudent interest rate and liquidity risk and wealth product offerings management • Relationship-oriented commercial lend
Slide 3: Q2 2025 Financial Highlights
Q2 2025 Financial Highlights Key Metrics Highlights ($ in millions, except per share) • Core net interest margin steady at Q2’25 Q1’25 3.37%(1) despite full quarter impact of Q2’25 Q1’25 Q2’24 Operating(1) Operating(1) sub-debt issuance Net Income $51.1 $53.5 $44.4 $45.3 $51.3 • Strong commercial &
Slide 4: Deposit Balances
Deposit Balances ($ in millions) Period Ended Deposit Composition $ Increase % Increase Deposit Product Type June 30, 2025 Mar 31, 2025 (Decrease (Decrease) Municipal Noninterest-bearing demand 9.5% $ 4,526 $ 4,410 $ 116 2.6% deposits Savings and interest checking 5,279 5,280 (1) —% Money market 3,3
Slide 5: Loan Balances
Loan Balances ($ in millions) Period Ended $ Increase % Increase Loan Category June 30, 2025 Mar 31, 2025 (Decrease) (Decrease) Commercial and industrial $ 3,216 $ 3,110 $ 106 3.4% Commercial real estate 6,525 6,652 (127) (1.9)% Commercial construction 799 796 3 0.4% Small business 301 289 12 4.2% T
Slide 6: Asset Quality
Asset Quality Nonperforming Loans Commercial ($ in millions) Criticized & Classified Loans $120 ($ in millions) 0.75% $104.2 $101.5 $89.5 $600.0 $567.4 $502.9 $486.3 6.00% 0.73% $460.2 0.70% $417.7 $450.0 4.50% 0.62% $56.2 5.25% $60 $300.0 4.68% 4.47% 4.25% 0.50% 3.85% 3.00% $150.0 1.50% 0.39% $— —%
Slide 7: Asset Quality (continued)
Asset Quality (continued) Allowance for Credit Loss & Delinquency Trends 1.14% 1.17% 0.99% 1.00% 1.00% 0.60% 0.47% 0.50% 0.33% 0.20% 0.00% Q3 2024 Q4 2024 Q1 2025 Q2 2025 Allowance for Credit Losses/Total Loans Delinquent Loans/Total Loans Charge-off and Provisioning Trends ($ in millions) $40.9 1.2
Slide 8: Loan Portfolios
Loan Portfolios CRE & Construction Portfolio C&I Portfolio $7.3 billion $3.2 billion Other - 3.1% All Other - 21.4% Healthcare - 1.6% Retail Trade - 20.9% Multi-Family - 27.8% Educational Services - 5.2% Retail - 17.3% Accommodation Real Estate/Rental and Food Services - and Leasing - 12.4% Lodging
Slide 9: Focal Point | CRE Office (inclusive of construction)
Focal Point | CRE Office (inclusive of construction) CRE & Construction Portfolio Maturity Schedule $7.3 billion Other CRE & ($ in millions) Matured 2025 Q3 2025 Q4 2026 2027 2028+ Total Construction - 86.9% Pass Rating $4.6 $48.1 $12.8 $93.4 $156.7 $476.4 $792.0 Criticized — 59.1 16.3 14.3 11.0 9.9
Slide 10: Focal Point | Multifamily CRE
Focal Point | Multifamily CRE Multifamily Portfolio Period Ended Mixed Use, Composition Primarily Low Income Residential - Housing Tax ($ in millions) June 30, 2025 Mar 31, 2025 Credit - 9.2% 29.9% Total Balances $ 2,039.9 $ 2,020.5 Residential Apart. - Affordable Total Average Loan Size 2.8 2.8 Hou
Slide 11: Net Interest Margin Analysis
Net Interest Margin Analysis Net Interest Margin Total Loan Portfolio Rate Characteristics 3.42% 3.37% 3.40% 3.33% 3.29% 3.25% Fixed Rate 32% 3.37% 3.37% 3.20% 3.29% 3.31% 41% 3.24% Floating Rate 3.00% Variable Rate Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Reported NIM Core NIM(1) 27% Trend in Asset
Slide 12: Noninterest Income/Expense
Noninterest Income/Expense Noninterest Income Noninterest Expense ($ in thousands) ($ in thousands) Q2 2025 Q1 2025 Q2 2025 Q1 2025 Deposit account fees $ 7,141 $ 7,053 Salaries and employee benefits $ 62,856 $ 61,931 Occupancy and equipment Interchange and ATM fees 4,997 4,622 13,158 13,859 expense
Slide 13: Focal Point | Investment Management and Advisory
Focal Point | Investment Management and Advisory ($ in thousands) Q2 2025 Q1 2025 % Change Assets under administration $7,360,635 $7,098,961 3.7% Asset based revenue 9,613 9,841 (2.3)% Other revenue: Retail commission revenue 921 957 Insurance commission revenue 128 241 Other advisory revenue 718 18
Slide 14: Securities Portfolio
Securities Portfolio Available for Sale (AFS) Held to Maturity (HTM) Unrealized Unrealized Portfolio Composition at June 30, 2025 Book Value Fair Value Book Value Fair Value Gain/(Loss) Gain/(Loss) ($ in millions) U.S. government agency securities $ 230 $ 216 $ (14) $— $— $— U.S. treasury securities
Slide 15: Overview of Enterprise Bancorp Acquisition
Overview of Enterprise Bancorp Acquisition Pro Forma Combined Company(2) $25.0Bn $20.3Bn $18.6Bn $8.8Bn 151 $3.2Bn in Assets in Deposits in Loans of Wealth AUA Branches Market Cap Enterprise is a key addition to attractive Boston area franchise • Acquired balances include $4.1 billion of loans and $
Slide 16: 2025 Q3 Guidance
2025 Q3 Guidance The following guidance reflects the combined INDB-EBTC organization: Loans • Low-single digit percentage increase expected Deposits • Flat to low-single digit percentage decrease expected Net Interest Margin • See slide 17 Asset Quality • Provision driven by future credit trends Non
Slide 17: 2025 Forward Guidance (cont.)
2025 Forward Guidance (cont.) Net Interest Margin Guidance ($ in thousands) INDB EBTC Combined 2025 Q2 interest earning assets $17,672,302 $4,802,068 $22,474,370 2025 Q2 net interest margin 3.37% 3.39% 3.37% 2025 Q3 standalone estimate +4-6 bps +4-6 bps +4-6 bps 2025 Q3 purchase accounting estimate
Slide 18: Forward Looking Statements
Forward Looking Statements This presentation contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations and business of the Company. These statements may be identified by such
Slide 19: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). This information may include operating net income and operating earnings per share (“EPS
Slide 20: Appendix A - Reconciliation of Non-GAAP Earnings Metrics
Appendix A - Reconciliation of Non-GAAP Earnings Metrics (Unaudited, dollars in thousands) Three Months Ended June 30 March 31 June 30 2025 2025 2024 Net interest income (GAAP) $147,496 $145,505 $137,926 Noninterest income (GAAP) $34,308 $32,539 $32,330 Noninterest expense (GAAP) $108,798 $105,878 $
Slide 21: Appendix B - Reconciliation of Non-GAAP Core Margin
Appendix B - Non-GAAP Reconciliation of Core Margin Three Months Ended June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Margin Margin Margin Margin Margin Volume Interest Impact Volume Interest Impact Volume Interest Impact Volume Interest Impact Volume Interest Impact
Slide 22: Appendix C - Reconciliation of Non-GAAP Capital Metrics
Appendix C - Reconciliation of Non-GAAP Capital Metrics June 30 March 31 June 30 (Unaudited, dollars in thousands, except per share data) 2025 2025 2024 Tangible common equity Stockholders’ equity (GAAP) $ 3,074,856 $ 3,033,392 $ 2,919,249 (a) Less: Goodwill and other intangibles 994,814 996,013 1,0