Slide 1: Investor Presentation: Q4'24 and FY'24
Let’s take on tomorrow. Investor Presentation: Q4’24 and FY’24 January 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Let’s take on tomorrow. In addition to historical information, this press release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include s
Slide 3: Customers Bancorp Franchise
Customers Bancorp Franchise Let’s take on tomorrow. Net Promoter Score Loans-HFI1 Deposits2 Measuring business customer satisfaction and loyalty 73 41 Community Banking Customers Bank Banking Industry Serves small and medium sized businesses and individuals Benchmark3 • Regional Community C&I • Mult
Slide 4: What Makes Customers Bank Unique?
What Makes Customers Bank Unique? Let’s take on tomorrow. Ranked #1 among banks with $10 billion to $50 billion in assets CULTURE Client Centric Entrepreneurial Consistent Focus Culture Banking Recruiter of Top Entrepreneurs Talent ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED FOCUS Target Top
Slide 5: Sustainable Organic Growth and Improved Capital and Liquidity
Customers Bank has Demonstrated Sustainable Organic Growth While Significantly Improving Our Capital and Liquidity Position… Let’s take on tomorrow. Total Assets Gross Loans - HFI $ billions $ billions 14% $22.3 9% $14.5 $11.5 $9.6 ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED 2019 2024 2019 2
Slide 6: Increasing EPS and NIM Over the Last Five Years
…and Increasing Our EPS by Approximately 2.5x and NIM By 40 basis points Over the Last Five Years Let’s take on tomorrow. NII Core Diluted EPS1 $ millions per share $654 $5.60 19% 20% $277 $2.28 ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED 2019 2024 2019 2024 NIM Core ROCE1 percent percent 3.
Slide 7: 2025 Priorities
2025 Priorities Let’s take on tomorrow. 1 Client-centric culture resulting in high client satisfaction rates 2 Continue deposit transformation and grow loan portfolio Let’s take on tomorrow. ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED Grow net interest income led by interest expense reductio
Slide 8: Q4'24 – Key Accomplishments
Q4’24 – Key Accomplishments Let’s take on tomorrow. Let’s take on tomorrow. Accretive Strategic Balance Sheet Net Interest Income & Robust Loan Growth Deposit Performance Repositioning Net Interest Margin (NIM) Over $1 billion of gross deposit Bucking the industry trend with Executed targeted securi
Slide 9: Financial Highlights - GAAP
EARNINGS REVIEW Financial Highlights - GAAP Let’s take on tomorrow. Q4’24 FY’24 Q4’24 (vs. Q3’24) Highlights Profitability Balance Sheet Credit Diluted EPS 3.11% $22.3B 0.25% $0.71 $5.09 vs. 3.06% +4% +3 bps ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED NIM Total Assets NPA Ratio Net Income 0.
Slide 10: Financial Highlights - Core
EARNINGS REVIEW Financial Highlights - Core Let’s take on tomorrow. Q4’24 FY’24 Q4’24 (vs. Q3’24) Highlights Profitability Balance Sheet Credit Core EPS1,2 3.11% $22.3B 0.25% $1.36 $5.60 vs. 3.06% +4% +3 bps ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED NIM Total Assets NPA Ratio Core Earnings
Slide 11: Continued Execution of Deposit Franchise Transformation
ACCRETIVE DEPOSIT PERFORMANCE Continued Execution of Deposit Franchise Transformation Let’s take on tomorrow. Total Deposits New Banking Team Deposits2 $ billions $ millions $1,729 • Over $1.0 billion of gross inflows in Q4’24 $1,396 $889 $536 • Average cost of deposits declined 39 basis points in Q
Slide 12: Industry Leading Loan Growth Across The Franchise
ROBUST LOAN GROWTH Industry Leading Loan Growth With Contributions Across The Franchise Let’s take on tomorrow. Loans - HFI FY 2024 Loan Growth2 by Verticals $ billions $ billions • Total HFI loan growth of 12% YoY (5% industry average1) and 4% QoQ • Top growth verticals included mortgage finance, f
Slide 13: Net Interest Income Grew by 6% in Q4'24
NET INTEREST INCOME & NET INTEREST MARGIN Net Interest Income Grew by 6% in Q4’24 Let’s take on tomorrow. Net Interest Income Key Highlights $ millions $172.5 $167.8 $158.5 +6% • Interest expense reduction led growth in net interest income and net interest margin • 5 basis points margin expansion in
Slide 14: Industry-Leading Efficiency While Investing In Our Business
OPERATIONAL EFFICIENCY AND STRATEGIC INVESTMENTS Industry-Leading Efficiency While Investing In Our Business Let’s take on tomorrow. Core Non-Interest Expense1 Core Non-Interest Expense1 / Average Assets $ millions percent • Strong efficiency ratio while continuing to invest in the franchise • CUBI’
Slide 15: On Track To Achieve $20 Million Operational Excellence Target
OPERATIONAL EFFICIENCY AND STRATEGIC INVESTMENTS On Track To Achieve $20 Million Operational Excellence Target Let’s take on tomorrow. TARGET STATUS Treasury management fee income from clients Achieved $5+ Million Annual Run- Fees using instant payments and other products Rate Higher Fee in Q4’24 ©2
Slide 16: Tangible Book Value Has Crossed $54 Per Share
TANGIBLE BOOK VALUE GROWTH Tangible Book Value Has Crossed $54 Per Share Let’s take on tomorrow. Tangible Book Value1 Key Highlights per share • Tangible book value1 increased by approximately $6.47 per share in 2024 (14%) $57.163 ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED • Tangible book v
Slide 17: Strong Capital Levels Provide Significant Flexibility
STRONG CAPITAL AND LIQUIDITY Strong Capital Levels Provide Significant Flexibility Let’s take on tomorrow. Q4’23 Q1’24 Q2’24 Q3’24 Q4’241 Key Highlights CET1 Risk-Based Capital percent ` 12.2% 12.6% 12.8% 12.5% 12.0% • TCE/TA3 up over 60 bps YoY inclusive of balance sheet growth, securities repositi
Slide 18: Credit Metrics Remain Stable
MAINTAINING SUPERIOR CREDIT QUALITY Credit Metrics Remain Stable Let’s take on tomorrow. Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 NPAs % of Total Assets Q4’24, percent NPAs % of Total Assets 0.42% percent 0.25% 0.13% 0.17% 0.23% 0.22% 0.25% CUBI Regional Bank Peers1 Commercial NCOs CRE % of Loans-HFI percent p
Slide 19: 2025 Management Outlook
2025 Management Outlook Let’s take on tomorrow. Metrics FY 2024 Outlook for FY 2025 Commentary Deposit Growth $18.8B 5% - 9% Gross deposit inflows higher given remix Loan Growth $14.7B 7% - 10% ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED Net Interest Income $654M 3% - 7% Impacted by higher d
Slide 20: Concluding Perspectives
Concluding Perspectives Let’s take on tomorrow. Let’s take on tomorrow. Deposit Franchise Transformation Robust Loan Growth Once again delivered over $1 billion in gross deposit inflows and lowered 12% loan growth1 in 2024 contrasting with industry trends deposit costs by 39 basis points in the quar
Slide 21: Analyst Coverage
ANALYST COVERAGE B. Riley Securities, Inc. Piper Sandler Companies Hal Goetsch Frank Schiraldi D.A. Davidson Companies Raymond James Peter Winter Steve Moss Hovde Group Stephens Inc. David Bishop Matt Breese Keefe, Bruyette & Woods Inc. Wedbush Securities Inc. Kelly Motta Maxim Group LLC Michael Dia
Slide 22: Appendix
APPENDIX SSeeeeseeaeoeS& SSeeeeeeeSe8e& SSeeeseeees8eS& SSeeaaeoeeee8& SEeeeeeeoeoeeSe2®&
Slide 23: Sustainable Organic Growth: Revenue, EPS and TBVPS CAGR
Demonstrated Sustainable Organic Growth Increasing Revenue, EPS and TBVPS at 15%+ CAGR Over the Last Five Years Let’s take on tomorrow. Total Revenue CAGR Core EPS CAGR FY’19-FY’24, percent FY’19-FY’24, percent 15% 20% 11% 5% ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED CUBI Top Quartile CUBI
Slide 24: Robust Liquidity Position
STRONG CAPITAL AND LIQUIDITY Robust Liquidity Position Let’s take on tomorrow. Immediately Available Liquidity Loans-HFI to Deposits $ billions Q4’24, percent $9.1 $8.3 +$0.8 86% 77% $3.8 $3.1 $1.0 $0.9 ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED CUBI Regional Bank Peers2 $4.2 $4.4 Q3’24 Q4’
Slide 25: Consumer Installment Loans – Portfolio Credit Metrics
Consumer Installment Loans – Portfolio Credit Metrics Let’s take on tomorrow. Weighted average life of ~2.2 years FICO Score 1 Debt to Income Ratio 1 Borrower Income Average FICO Score1 ~742 Average DTI1 ~20% Average Borrower Income ~$102k 660-679 700-749 0-9.99% 40 – 49.99% <$50K >$100K 680-699 750
Slide 26: Opportunistic Balance Sheet Repositioning
Opportunistic Balance Sheet Repositioning Let’s take on tomorrow. Details Use of Proceeds 1 Higher Yielding ~$180 million fixed rate GNMA pass Securities Reduced $480 million Securities through securities at 5.4% yield and 0% RWA 2 Book Yield 2.91% Strategically Aligned ~$300 million in loans, align
Slide 27: Securities Portfolio Generating Attractive Returns
Securities Portfolio Generating Attractive Returns Let’s take on tomorrow. Investment Securities – AFS Investment Securities – HTM percent, Q4’24 percent, Q4’24 • Spot yield: 5.62% • Spot yield: 4.13% • Effective duration: 2.6 years • Effective duration: 3.5 years • Floating rate securities: 32% • F
Slide 28: Selected 2024 Proxy Peers
Selected 2024 Proxy Peers Let’s take on tomorrow. • BankUnited • Independent • Commerce • Old National • Community Bank System • Pinnacle ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED • FB Financial • TowneBank • F.N.B. • United Community • Fulton • WesBanco Note: Excludes the following banks
Slide 29: Robust Sources of Liquidity
Robust Sources of Liquidity Let’s take on tomorrow. Liquidity Sources ($000's) 4Q 24 3Q 24 QoQ Change Cash and Cash Equivalents $3,785,931 $3,088,022 $697,910 FHLB Available Borrowing Capacity $947,968 $986,770 ($38,802) FRB Available Borrowing Capacity $4,357,519 $4,180,824 $176,695 ©2025 CUSTOMERS
Slide 30: Allowance for Credit Losses for Loans and Leases
Allowance for Credit Losses for Loans and Leases Let’s take on tomorrow. December 31, 2024 September 30, 2024 Allowance for Credit Lifetime Amortized Allowance for Lifetime Loss Amortized Cost(1) Losses Loss Rate(2) Cost Credit Losses Rate(3) ($ in thousands) Loans and Leases Receivable: Commercial:
Slide 31: Reconciliation of Non-GAAP Measures - Unaudited
Reconciliation of Non-GAAP Measures - Unaudited Let’s take on tomorrow. Customers believes that the non-GAAP measurements disclosed within this document are useful for investors, regulators, management and others to evaluate our core results of operations and financial condition relative to other fi
Slide 32: Core Earnings and Adjusted Core Earnings
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Earnings and Adjusted Core Earnings - Customers Bancorp Twelve Months Ended December 31, Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 2024 2023 (dollars in thousands, except per share data) USD Per share USD Per share U
Slide 33: Core Earnings and Adjusted Core Earnings (Annual 2019-2024)
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Earnings and Adjusted Core Earnings - Customers Bancorp 2024 2023 2022 2021 2020 2019 (dollars in thousands, except per share data) USD Per share USD Per share USD Per share USD Per share USD Per share USD Per shar
Slide 34: Core Return on Average Assets
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Return on Average Assets and Adjusted Core Return on Average Assets - Customers Bancorp Twelve Months Ended December 31, (dollars in thousands except per share data) Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 2024 202
Slide 35: Core Return on Average Common Equity
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Return on Average Common Equity and Adjusted Core Return on Average Common Equity - Customers Bancorp Twelve Months Ended December 31, (dollars in thousands except per share data) Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4
Slide 36: Core Return on Average Common Equity (Annual)
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Return on Average Common Equity and Adjusted Core Return on Average Common Equity - Customers Bancorp (dollars in thousands except per share data) 2024 2023 2022 2021 2020 2019 GAAP net income to common shareholder
Slide 37: Core Pre-Tax Pre-Provision Net Income and ROAA
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Pre-Tax Pre-Provision Net Income and ROAA and Adjusted Core Pre-Tax Pre-Provision Net Income and ROAA - Customers Bancorp Twelve Months Ended December 31, (dollars in thousands except per share data) Q4 2024 Q3 202
Slide 38: Core Efficiency Ratio and Adjusted Core Efficiency Ratio
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Efficiency Ratio and Adjusted Core Efficiency Ratio - Customers Bancorp Twelve Months Ended December 31, (dollars in thousands except per share data) Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 2024 2023 GAAP net inter
Slide 39: Core Non-Interest Expense to Average Total Assets
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Core Non-Interest Expense to Average Total Assets and Adjusted Core Non- Interest Expense to Average Total Assets- Customers Bancorp Twelve Months Ended December 31, (dollars in thousands except per share data) Q4 2024
Slide 40: Business Unit Deposits
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Business Unit Deposits (formerly, Core Deposits, Total Deposits, excluding Wholesale CDs and BMTX student deposits) - Customers Bancorp ©2025 CUSTOMERS BANCORP, INC. / ALL RIGHTS RESERVED (Dollars in thousands, except p
Slide 41: Tangible Common Equity to Tangible Assets
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Tangible Common Equity to Tangible Assets - Customers Bancorp (dollars in thousands except per share data) Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 GAAP total shareholders' equity $ 1,836,683 $ 1,801,180 $ 1,746,865 $ 1,
Slide 42: Tangible Book Value per Common Share
Reconciliation of Non-GAAP Measures – Unaudited (Contd.) Let’s take on tomorrow. Tangible Book Value per Common Share - Customers Bancorp (dollars in thousands except per share data) Q4 2024 Q4 2023 Q4 2022 Q4 2021 Q4 2020 Q4 2019 GAAP total shareholders' equity $ 1,836,683 $ 1,638,394 $ 1,402,961 $