First Merchants Corporation · NASDAQ:FRME
First Merchants — IPO Roadshow (September 2026)
38 slides from First Merchants's IPO roadshow presentation, Sep 23, 2026
Slide 1: Fixed Income Investor Presentation September 2026
Free Writing Prospectus Filed Pursuant to Rule 433 Registration No. 333-298983 Dated September 23, 2026 Fixed Income Investor Presentation September 2026
Slide 2: Disclaimers - Forward Looking Statements
Disclaimers Forward Looking Statements This presentation and any other written or oral statements made by us from time to time may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, and Section 2
Slide 3: Terms of the Planned Capital Raise
Terms of the Planned Capital Raise Issuer First Merchants Corporation (NASDAQ: FRME) Security Subordinated Notes Due 2036 Rating Kroll: BBB Principal Amount $100 Million Type SEC Registered Term 10 Years Call Date 5 Years For general corporate purposes, including, but not limited to, Use of Proceeds
Slide 4: Executive Management Team
Mark Executive Management Team Hardwick – 11/03/1997 Mark Hardwick Mike Stewart - 02/01/2008 FMB: Chief Executive Officer 1988 Banking Mark K. Hardwick currently serves as the Chief Executive Officer of First Merchants Corporation and First Merchants Bank. Mark joined First 28 Yrs Start Merchants in
Slide 5: First Merchants Corporation
First Merchants Corporation (NASDAQ: FRME) Largest financial services holding company 1 headquartered in Central Indiana Financial Highlights as of 6/30/2026 Reported Adjusted $21.3 Billion YTD ROAA 0.69% 1.06% Total Assets 8.10% 12.23% YTD Return on TCE TCE/TA 8.99% $15.5 Billion Total Loans Market
Slide 6: Second Quarter Highlights
Second Quarter Highlights ROA ROE & ROTCE 1 Net Income & EPS (Annualized) (Annualized) $43.5 Million 0.83% ROA 6.44% ROE 2 2 $0.70 Per Share 1.59% PTPP ROA 9.80% ROTCE 2 2 Adjusted ROA Adjusted ROE & ROTCE 1,2 Adjusted Net Income & EPS (Annualized) (Annualized) $46.4 Million 6.87% ROE 0.88% ROA $0.7
Slide 7: Year to Date Highlights
Year to Date Highlights Reported ROE & ROTCE Reported ROA 1 Reported Net Income & EPS (Annualized) (Annualized) $71.2 Million 0.69% ROA 5.32% ROE 2 8.10% ROTCE 2 $1.15 Per Share 1.57% PTPP ROA 2 2 Adjusted ROA Adjusted ROE & ROTCE 1,2 Adjusted Net Income & EPS (Annualized) (Annualized) $109.5 Millio
Slide 8: Business Strategy
Business Strategy Our strategy is to build on our Midwestern strength – grow organically through more and deeper relationships enhanced through smarter use of technology and customer-centric products. Commercial Banking Consumer Banking We deliver flexible solutions through a high-touch, We help per
Slide 9: Business Highlights - Loans
Business Highlights - Loans Michigan 1,2 Loan Growth Summary Monroe MSA Rank: 1 Detroit MSA Rank: 11 2Q26 Balance ($B) Growth Deposits: $2.5B Loans: $2.8B Northwest Indiana Commercial 11.9 5.8% Lake County Rank: 5 Consumer 3.6 5.8% Lafayette MSA Rank: 2 Total Loan Growth QTD 5.8% Deposits: $3.3B Loa
Slide 10: Business Highlights - Deposits
Business Highlights - Deposits Michigan Monroe MSA Rank: 1 1 Deposit Growth Summary Detroit MSA Rank: 11 Deposits: $2.5B 2Q26 Balance ($B) Growth Loans: $2.8B Northwest Indiana Lake County Rank: 5 Commercial 8.7 35.6% Lafayette MSA Rank: 2 Consumer 6.5 -12.5% Deposits: $3.3B Total Deposit Growth QTD
Slide 11: Second Quarter Financial Results
Second Quarter Financial Results ($M except per share data) For the Three Months Ended, Variance % Variance Linked Linked QTR- 6/30/25 9/30/25 12/31/25 3/31/26 6/30/26 Quarter Annualized 2Q26 Highlights Balance Sheet & Asset Quality 1. Total Assets $18,592.8 $18,811.6 $19,025.1 $21,072.5 $21,348.8 $
Slide 12: Year to Date Financial Results
Year to Date Financial Results ($M except per share data) For the Six Months Ended June 30, Variance % Variance 2024 2025 2026 YOY YOY Year to Date Highlights Balance Sheet & Asset Quality 1. Total Assets $18,303.4 $18,592.8 $21,348.8 $2,756.0 14.8% ▪ YTD results include First Savings 2. Total Loans
Slide 13: Investment Portfolio Highlights
Investment Portfolio Highlights 2Q26 Investment Portfolio Composition Yield on Investments (%) / Total Investments ($B) Corporate Obligations 2% U.S. Agencies 11% Collateralized 2.67% 2.66% 2.64% 2.63% 2.63% Mortgage Obligations 5% $3.4 $3.4 $3.4 $3.3 $3.3 $3.3B Municipal Mortgage- 2Q25 3Q25 4Q25 1Q
Slide 14: Loan Portfolio Highlights
Loan Portfolio Highlights 2Q26 Loan Composition Highlights Construction Land & Land Development 5.6% Agricultural Land & Production 2.1% ▪ Portfolio composition is ~77% Commercial oriented Commercial Real Estate Non-Owner Occupied Public Finance/Other 21.1% Commercial 8.6% ▪ Total loan yield of 6.11
Slide 15: Allowance for Credit Losses - Loans
Allowance for Credit Losses - Loans 2Q26 Allowance for Credit Losses – Loans ($M) Highlights ▪ $33.0 million Q2 Provision; includes $29.7 million of specific reserves for two commercial credits 1.56% 1.47% ▪ The reserve for unfunded commitments totals 1.43% 1.42% 1.39% $18.5 million and is recorded
Slide 16: Deposit Portfolio Highlights
Deposit Portfolio Highlights 2Q26 Deposit Composition Highlights 1 Brokered Certificates of Deposit▪ Very granular with average deposit account balance of 3% Certificates & Time Deposits < $100k $39,000 4% ▪ Strong core deposit base Certificates & Time Deposits > $100k 2 • 91% core deposits 6% • 23%
Slide 17: Net Interest Margin
Net Interest Margin 2Q25 3Q25 4Q25 1Q26 2Q26 1. Net Interest Income - FTE ($millions) $ 139.2 $ 139.9 $ 1 45.3 $ 157.7 $ 1 65.3 2. Fair Value Accretion $ 1.0 $ 0.9 $ 1.0 $ 2.8 $ 3.7 1 3. Adjusted Net Interest Income - FTE $ 138.2 $ 1 39.0 $ 1 44.3 $ 154.9 $ 1 61.6 4. Tax Equivalent Yield on Earning
Slide 18: Noninterest Income Highlights
Noninterest Income Highlights 1 2Q26 Noninterest Income Detail ($M) Noninterest Income Trends Fee Income / Revenue Service Charges $9.4 19.1% 18.9% 18.7% 25% 18.4% 18.4% Card Payment Fees 1 Excludes $29.8 million net loss on mortgage loans reclassified to held for sale in 1Q26 $5.5 Gain on Sale 15%
Slide 19: Noninterest Expense Highlights
Noninterest Expense Highlights 2Q26 Noninterest Expense Detail Noninterest Expense Trends ($M) 74.45% Efficiency Ratio Net Occupancy & Equipment Outside Data Processing $16.8 $8.0 1 7% 55.09% 54.65% 55.11% 15% 53.99% Professional & Other Outside Services $5.0 1 1 54.56% 54.52% 54.21% 1 4% 53.22% Int
Slide 20: Capital Ratios
Capital Ratios Tangible Common Equity Ratio Highlights ▪ Repurchased 336,145 shares totaling $13.4 million during the 9.38% 9.18% 9.00% quarter 8.99% 8.92% 9.57% ▪ Repurchased 976,631 shares totaling $38.3 million year to date 9.31% 9.31% ▪ Common dividend payout ratio target range of 30-35% 9.65% ▪
Slide 21: Loan Portfolio Insights
Loan Portfolio Insights Commercial C&I CRE CRE & Construction to Total Loans: $15.5B C&I includes commercial and Total Loans industrial, sponsor and owner- occupied real estate loans ▪ Line utilization 49.7% from 51.0% 1Q26 ▪ Shared National Credits: • $1.1 billion to 92 borrowers, $11.5 million ave
Slide 22: Asset Quality
Asset Quality Asset Quality Trends ($M) 2Q26 Highlights 2Q25 3Q25 4Q25 1Q26 2Q26 Asset Quality: 1. Non-Accrual Loans $ 67.4 $ 65.7 $ 71.8 $ 89.6 $ 118.2 ▪ Impacted by two new non-accruals: 2. Other Real Estate 0 .2 1.3 0 .7 1 .3 1 .6 • $28.1 million – Authorized Wireless 3. 90PD Loans 4 .4 1.9 2.0 4
Slide 23: Nonperforming Assets
Nonperforming Assets Nonperforming Assets Roll Forward ($M) 2Q26 Highlights 2Q25 3Q25 4Q25 1Q26 2Q26 Nonperforming Migration: 1. Beginning Balance NPAs + 90PD $ 9 1.2 $ 7 2.0 $ 68.9 $ 7 4.5 $ 94.9 Non-Accrual ▪ New non-accruals primarily driven by 2. Add: New Non-Accruals 21.9 15.5 22.8 46.1 5 3.6 t
Slide 24: Track Record of Shareholder Value
Track Record of Shareholder Value 1 1 Diluted Earnings per Share Tangible Book Value per Share $32.49 $31.98 CAGR 2015-2025: 8.5% CAGR 2015-2025: 7.5% $30.02 1 Adjusted CAGR 8.5% $27.98 $25.42 $24.09 $22.64 $3.88 $3.81 $3.81 $3.73 $21.24 $3.41 $19.24 $3.22 $3.19 $16.78 $15.83 $2.74 $14.38 $2.12 3 $1
Slide 25: History of Organic and Whole Bank Acquisition Growth
History of Organic and Whole Bank Acquisition Growth Total Assets ($B) Growth Supplemented Through Periodic Bank Acquisitions $21.3 ✓ Experienced Acquirer ✓ Expanded in Current High-Growth Markets $19.0 ✓ Added to Franchise with Stable Deposit Gathering $18.3 $18.3 $17.9 Markets $15.5 $14.1 $12.5 $9
Slide 26: Vision for the Future
Vision for the Future Vision: To enhance the financial wellness of the diverse communities we serve. To be the most attentive, knowledgeable, and high-performing bank for our clients, Mission: teammates, and shareholders. Our strategy is to build on our Midwestern strength—growing organically throug
Slide 27: Appendix
APPENDIX a First Merchants,
Slide 28: Loan Portfolio
Loan Portfolio Loan Portfolio Trends ($M) Year End Trends 2Q25 3Q25 4Q25 1Q26 2Q26 2023 2024 2025 1. C&I - Regional Banking $ 3,574 $ 3,694 $ 3 ,837 $ 4,046 $ 4,112 $ 2,876 $ 3 ,349 $ 3,837 2. C&I - Sponsor Finance 867 911 898 832 845 795 766 898 3. CRE Owner Occupied 1,227 1,232 1,237 1,335 1,369 1
Slide 29: Non-GAAP Reconciliation - Adjusted Net Income and Diluted EPS
Non-GAAP Financial Measures – Reconciliation ADJUSTED NET INCOME AND DILUTED EARNINGS PER COMMON SHARE 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars and Shares Outstanding in Thousands, Except Per Share Amounts) Net Income Available to Common Stockholders (GAAP) $ 56,363 $ 56
Slide 30: Non-GAAP Reconciliation - PTPP Earnings
Non-GAAP Financial Measures – Reconciliation PRE-TAX, PRE-PROVISION ( PTPP ) EARNINGS, AS ADJUSTED 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands, Except Per Share Amounts) Net Interest Income (GAAP) $ 133,014 $ 133,665 $ 139,064 $ 151,303 $ 158,941 $ 255,634 $ 26
Slide 31: Non-GAAP Reconciliation - Net Interest Margin
Non-GAAP Financial Measures – Reconciliation NET INTEREST MARGIN ( NIM ), ADJUSTED 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands) Net Interest Income (GAAP) $ 133,014 $ 133,665 $ 139,064 $ 151,303 $ 158,941 $ 255,634 $ 263,284 $ 310,244 Fully Taxable Equivalent (
Slide 32: Non-GAAP Reconciliation - Efficiency Ratio
Non-GAAP Financial Measures – Reconciliation EFFICIENCY RATIO 2Q25 3Q25 4Q25 1Q26 2Q26 6/30/24 YTD 6/30/25 YTD 6/30/26 YTD (Dollars in Thousands) Noninterest Expense (GAAP) $ 93,598 $ 9 6,561 $ 9 9,522 $ 125,145 $ 1 15,347 $ 188,348 186,500 240,492 Less: Intangible Asset Amortization (1,505) (1,499)
Slide 33: Non-GAAP Reconciliation - Total Risk-Based Capital Ratio
Non-GAAP Financial Measures – Reconciliation 2Q24 2Q25 3Q25 4Q25 1Q26 2Q26 Total Risk-Based Capital Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) 2,212,525 2 ,347,952 2,412,402 2,466,667 2,672,565 2 ,697,177 1 Adjust for Accumulated Other Comprehensive Loss 2 11,979 189,975 1 55,864
Slide 34: Non-GAAP Reconciliation - Tangible Common Equity Ratio
Non-GAAP Financial Measures – Reconciliation TANGIBLE COMMON EQUITY RATIO 2Q24 2Q25 3Q25 4Q25 1Q26 2Q26 Tangible Common Equity Ratio (dollars in thousands) Total Stockholders' Equity (GAAP) $ 2 ,212,525 $ 2,347,952 $ 2 ,412,402 $ 2,466,667 $ 2,672,565 $ 2 ,697,177 Less: Preferred Stock ( 25,125) (25
Slide 35: Non-GAAP Reconciliation - Return on Tangible Common Equity
Non-GAAP Financial Measures – Reconciliation RETURN ON TANGIBLE COMMON EQUITY 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Return on Tangible Common Equity (dollars in thousands) Total Average Stockholders' Equity (GAAP) $ 753,724 $ 884,664 $ 1,110,524 $ 1 ,343,861 $ 1,569,615 $ 1,825,135 $
Slide 36: Non-GAAP Reconciliation - Adjusted Returns
Non-GAAP Financial Measures – Reconciliation ADJUSTED RETURNS ON AVERAGE ASSETS, AVERAGE STOCKHOLDERS' EQUITY, AND TANGIBLE COMMON EQUITY 1Q26 2Q26 6/30/26 YTD Return on Average Assets (GAAP) Reported (GAAP) 0.55% 0.83% 0.69% Effect of net loss on mortgage loans reclassified to held for sale 0.59% 0
Slide 37: Pro Forma Capital Ratios
Pro Forma Capital Ratios 2Q26 2Q26 Actual Pro Forma¹ Capital Ratios TCE / TA 9.0% 9.0% Leverage Ratio 9.8% 9.8% CET1 Ratio 11.2% 11.2% Tier 1 Ratio 11.3% 11.3% Total RBC Ratio 13.0% 13.5% Double Leverage² 101.5% 105.2% CRE / Bank-Level Total RBC 181.1% 173.5% 1 Reflects the issuance of $100 million
Slide 38: Interest Coverage
Interest Coverage For the Twelve Months Ended Dec. 31, LTM as of Offering Pro Forma for Adjustments¹ ($ in thousands) 2024 2025 2Q26 Debt Raise Total Deposit Interest Expense $386,127 $344,279 $349,838 $349,838 Other Borrowing Expense 40,765 44,500 49,136 7,000 56,136 Total Interest Expense $426,892