Western Alliance Bancorporation · NYSE:WAL
Western Alliance Bancorporation — Q3 2026 Earnings Presentation
24 slides from Western Alliance Bancorporation's earnings presentation, Oct 20, 2026
Slide 1: Earnings Call 3rd Quarter 2026
EARNINGS CALL 3rd Quarter 2026 October 20, 2026
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements that relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Examples of forward-looking statemen
Slide 3: Highlights: Executing on Investor Day Strategic Objectives
Highlights Executing on Investor Day Strategic Objectives 1. Deposit optimization strategy to enhance profitability NIM & Deposit Costs Reported NIM Deposit Costs • Remixed $4.5Bn of higher cost deposits over last two quarters; on track for +$5.0Bn in 2026 ps 3.57% $(9.7)mm • Commercial Banking depo
Slide 4: 3rd Quarter 2026 Financial Highlights
Q3 2026 Highlights 3rd Quarter 2026 | Financial Highlights Earnings & Profitability Q3 2026 Q2 2026 Q3 2025 Net Income EPS Earnings per Share $ 2.45 $ 2.36 $ 2.28 $277.2 million $2.45 Net Income 277.2 268.8 260.5 Net Income Available to Common Stockholders 266.9 258.5 250.2 6.4% Y-o-Y 7.5% Y-o-Y Net
Slide 5: Quarterly Income Statement
Q3 2026 Highlights Quarterly Income Statement Q3-26 Q2-26 Q3-25 Net Interest Income increased $10.7 million, or 1.3%, Interest Income1 $ 1,257.3 $ 1,231.9 $ 1,225.5 1 from Q2 as average HFI loans increased $1.5 billion or Interest Expense (449.7) (435.0) (475.1) 2.5% Net Interest Income $ 807.6 1 $
Slide 6: Consolidated Balance Sheet
Q3 2026 Highlights Consolidated Balance Sheet Securities and Cash decreased $991 million, or Q3-26 Q2-26 Q3-25 1 3.7%, to $25.6 billion, and increased $970 million, Securities and Cash $ 25,567 1 $ 26,558 $ 24,597 or 3.9%, over prior year Loans, HFS 3,951 2 4,347 3,502 Loans, HFS decreased $396 mill
Slide 7: Loan Composition
Q3 2026 Highlights Loan Composition Loan growth trends continue to reflect diversified C&I momentum throughout the year $4.9 Billion Year-over-Year Growth Increase (Decrease) by Loan Type: (in millions) QoQ YoY Total Loans, HFI $56.6 $58.7 $59.1 $60.9 $61.5 CRE, Non-OO $ 396 $ 210 Qtr Change +$0.7 +
Slide 8: Deposit Composition
Q3 2026 Highlights Deposit Composition Q3 deposit trends reflect $4.5 billion of cumulative optimization since inception, primarily Increase (Decrease) by Deposit Type: from non-interest bearing ECR-related deposits (in millions) QoQ YoY $4.5 Billion Year-over-Year Growth Interest-Bearing DDA $ 871
Slide 9: Net Interest Drivers
Q3 2026 Highlights Net Interest Drivers Securities Portfolio and Yield1 Loans and HFI Yield1, 2 • Securities Portfolio yields decreased 2 bps reflecting a mix shift 6.18% 6.01% 5.85% 5.82% 5.84% 4.72% 4.54% 4.59% 4.64% 4.62% • Loan yields increased 2 bps from higher commercial $4.3 $4.0 $3.5 $3.5 $3
Slide 10: Net Interest Income
Q3 2026 Highlights Net Interest Income Net Interest Income1 and Net Interest Margin Average Earning Assets & Average Yield1 • Average Earning Assets declined $785 million, or Dollars in millions Dollars in billions 3.4% annualized, primarily reflecting a $1.7 billion reduction in average cash and pa
Slide 11: Non-Interest Expense and Efficiency
Q3 2026 Highlights Non-Interest Expense and Efficiency Non-Interest Expense and Efficiency Ratio1 Breakdown of Non-Interest Expenses • Efficiency ratio1 increased 10 bps compared to the prior quarter, and increased 70 bps from the same period last year 57.4% 58.0% 58.1% 55.7% 55.8% 50.0% • Adjusted
Slide 12: Interest Rate Sensitivity
Q3 2026 Highlights Interest Rate Sensitivity Net Interest Income (NII) Sensitivity - Ramp Scenario1 • A Ramp Scenario assumes a dynamic balance sheet and reflects an asset sensitive position on NII and a 2.6% neutral position on EaR2 – -100bps ramp to reduce NII by (2.5)% – +100bps ramp to increase
Slide 13: Asset Quality
Q3 2026 Highlights Asset Quality Special Mention Loans Asset Quality Ratios • Classified Assets decreased $37 million to less than $1.1 billion 1.24% 0.52% 0.55% 0.68% 0.52% 0.65% 1.17% 1.14% – Nonaccrual Loans decreased $77 million to 1.08% 1.11% $485 million (79 bps to Funded HFI Loans) 0.92% 0.92
Slide 14: Credit Losses and ACL Ratios
Q3 2026 Highlights Credit Losses and ACL Ratios Allowance for Credit Losses on Loans Loan Charge-offs and Recoveries • Provision Expense of $80.0 million, primarily reflective of net charge-offs, loan growth, and 1.45% $62 macroeconomic risks associated with the higher rate $52 environment $53 $513
Slide 15: Capital Accumulation
Q3 2026 Highlights Capital Accumulation Common Capital Ratios Regulatory Capital Ratios 11.3% • Continue to exceed “well-capitalized” levels with 11.0% 11.0% 11.0% 10.9% CET1 of 10.9% Tangible Common Equity / Tangible Assets1 7.1% 7.3% 7.0% 6.9% • TCE/TA decreased 10 bps to 6.9%, primarily from 6.8%
Slide 16: Tangible Book Value Growth
Q3 2026 Highlights Tangible Book Value Growth Long-Term Growth in TBV per Share1 Tangible Book Value per Share1 5x • TBVPS decreased $1.02 to $62.22 from AOCI WAL 478% WAL with Dividends Added Back changes and share repurchases, partially offset by Peer Median organic earnings Peer Median with Divid
Slide 17: Management Outlook
Management Outlook 2025 Baseline Prior 2026 Outlook Revised 2026 Outlook Commentary Loans (HFI): $58.7 bn L (HFI): Up $5.0 bn L (HFI): Up $4.0 bn • Deposit range subject to ongoing Balance Sheet Growth Deposits: $77.2 bn optimization strategy & mix shift into D: Up $6.0 bn D: Up $3.5 bn - $4.0 bn Co
Slide 18: Questions & Answers
Questions & Answers
Slide 19: Appendix
NVA Western Alliance Bancorporation® Appendix
Slide 20: WAL's Industry-Leading Performance
Highlights WAL's Industry-Leading Performance Top-tier balance sheet growth and profitability • Growth-oriented business model, focused 10-Year EPS Growth1 10-Year TBVPS Growth1 10-Year Loan Growth1 on low risk, high return loan composition, has produced consistent, superior financial 15% 17% 14% 2
Slide 21: Consistent Growth with Disciplined Credit Performance
Consistent Growth with Disciplined Credit Performance Over 10 years, our asset quality has consistently outpaced our peers WAL Peer Median Special Mention Loans / Loans (HFI) Classified Loans / Loans (HFI) Criticized Loans / Loans (HFI) 3.0% 3.0% 5.0% 2.6% 4.1% 2.3% 4.0% 3.8% 3.6% + = 2.1% 2.0% 2.0%
Slide 22: Key Reserve Level Ratios
Q3 2026 Highlights Key Reserve Level Ratios Concentration in low-loss loan categories skews ACL lower relative to peers • Reserve levels enhanced by credit protection and Adjusted Total Loan ACL / Funded Loans: Q3-26 no-to-low-loss loan categories (Fund Banking, Residential & Mortgage Warehouse) 1.5
Slide 23: Non-Depository Financial Institution (NDFI) Loans
Non-Depository Financial Institution (NDFI) Loans NDFI loan mix adjusted for low-loss Mortgage Credit Intermediaries aligns with peer average % Total Loans1 Commercial Banks Mtg Credit Bus. Credit Private Equity Cons. Credit Other NDFI (>$50 bn Assets) Ticker Intermediaries Intermediaries Funds Inte
Slide 24: Commercial Real Estate: Office
Highlights Commercial Real Estate: Office • Total Committed: $3.1 billion CRE Office Portfolio – Total Criticized: $361 million (12%) Stabilized – 54% appraised within 18 months 2% – 38% originated in 2023 and later W.A. Debt W.A. LTV W.A. DSCR Yield • Stabilized: $2.4 billion (78%) 20% 58% 11% 1.3x
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