Slide 1: 1Q 2024 Investor Presentation
1Q 2024 Investor Presentation Exhibit 99.2 April 24, 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 $30.1 Billion Total RBC3** 13.64% LHFI1 $18.2 Billion CET14** 11.37% Deposits $22.8 Billion Leverage** 8.28
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: First Quarter 2024 Earnings and Balance Sheet Highlights
Earnings • Net income of $58.4 million, or $0.57 per share for the first quarter of 2024 • Net interest margin (NIM), on a fully taxable equivalent (“FTE”) basis1, of 2.93%, a decrease of 8 basis points from the fourth quarter of 2023; adjusted NIM1 of 2.84%, a decrease of 10 basis points from the f
Slide 6: Diversified Loan Portfolio
DIVERSIFIED LOAN PORTFOLIO Loans Held for Investment Commercial RE, 50% Construction RE, 9% Residential RE, 12% Agriculture RE, 4% Consumer, 5%Commercial, 16% Agriculture, 4% Loans by Geography MT, 19% WY, 7% ID, 7% WA, 9% OR, 10%NE, 7% SD, 12% ND, 2% IA, 10% KS, 2% AZ, 6% CO, 8% Other, 1% Revolving
Slide 7: Term Commercial Real Estate Portfolio
TERM COMMERCIAL REAL ESTATE PORTFOLIO Property Type Multifamily, 17% Medical, 12% Retail, 23% Industrial/Warehouse, 20% Office, 10% Hotel, 10% Other CRE, 7% Residential 1-4 Family, 1% Market Type Metro, 6% Mid-Metro, 8% Non-Metro, 86% 7 Highlights: • $9.1 billion portfolio (50% of total loans) well
Slide 8: Diverse Deposit Base: By Type of Account
Deposits by State MT, 24% WY, 12% ID, 7% WA, 4% OR, 11% SD, 15% NE, 9% IA, 10% MO, 1% AZ, 3% CO, 4% Mix of Consumer and Business Deposits 54% 53% 53% 53% 54% 46% 47% 47% 47% 46% Total Consumer Deposits Total Business Deposits 1Q23 2Q23 3Q23 4Q23 1Q24 8 Average Deposit Balances 28% 27% 27% 27% 27% 34
Slide 9: Capital and Liquidity
Total Risk-Based Capital Ratios 12.63% 12.90% 13.19% 13.28% 13.64% 10.52% 10.76% 11.02% 11.08% 11.37% 2.11% 2.14% 2.17% 2.20% 2.27% CET1 Total RBC 1Q23 2Q23 3Q23 4Q23 1Q24² CAPITAL AND LIQUIDITY Liquid and flexible balance sheet with strong capital position Common Equity (CE) and Tangible Common Equ
Slide 10: Allowance for Credit Losses (ACL)
ACL Highlights: • Funded ACL remained unchanged at 1.25% of loans • Off-balance sheet commitments declined, leading to a modest unfunded commitment release • On-balance sheet construction loans declined, due generally to projects moving to permanent financing; Construction loans receive a higher pro
Slide 11: Asset Quality and Reserve Trends
Asset Quality Highlights: • Total criticized loans decreased $58.3 million during the first quarter of 2024, driven by both upgrades and payoffs • Total non-performing loans increased by $63.7 million, or 57.2% during the first quarter of 2024, driven by the movement of a $54.4 million C&I relations
Slide 12: Net Interest Income and Net Interest Margin
Net Interest Income (NII) and Net Interest Margin (NIM) Highlights: • $6.5 million of loan purchase accounting accretion (PAA) for the first quarter of 2024, an increase from $5.4 million from the prior quarter • Total remaining PAA of $63.2 million for the first quarter of 2024 ◦ Scheduled accretio
Slide 13: Investment Portfolio
INVESTMENT PORTFOLIO 13 Total Portfolio Duration at Quarter-end 3.8 3.7 3.7 3.5 3.6 1Q23 2Q23 3Q23 4Q23 1Q24 (in years) Projected Cash Flow ($MM) and Yield Roll-Off at Quarter-end* $187.8 $202.1 $227.8 $187.9 $220.0 $349.1 2.45% 2.48% 2.62% 2.55% 2.72% 2.96% 2Q24E 3Q24E 4Q24E 1Q25E 2Q25E 3Q25E *Cons
Slide 14: Non-Interest Income
14 1Q24 Non-interest Income by Type Payment Services, 44% Mortgage Banking, 4% Wealth Management, 22% Deposit Service Charges, 14% Other Service Charges & Fees, 5% Other Income, 11% Dollars in millions 1Q23 4Q23 1Q24 Payment services revenues $ 18.7 $ 18.4 $ 18.4 Mortgage banking revenues 2.3 1.5 1.
Slide 15: Non-Interest Expense
NON-INTEREST EXPENSE 15 Dollars in millions 1Q23 4Q23 1Q24 Salaries and wages $ 65.6 $ 64.0 $ 65.2 Employee benefits 22.8 13.5 19.3 Occupancy and equipment 18.4 17.4 17.3 Other intangible amortization 4.0 3.9 3.7 Other expenses 54.8 67.0 52.7 Other real estate owned expense 0.2 0.2 2.0 Total Reporte
Slide 16: 2024 Outlook
Loans and Deposits • Anticipate ending deposits to increase 1-2% from March 31 levels through year-end 2024, with normal seasonality • Anticipate ending loans to be relatively flat from end-of-year 2023 Net Interest Income • Anticipate net interest income to decline mid-single digits for 2024 compar
Slide 17: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES 17 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 18: Non-GAAP Reconciliation: Tangible Common Equity
1Q23 2Q23 3Q23 4Q23 1Q24 (Dollars in millions) Total common stockholders' equity (GAAP) (A) $ 3,160.3 $ 3,121.2 $ 3,085.5 $ 3,227.5 $ 3,209.7 Less goodwill and other intangible assets (excluding mortgage servicing rights) 1,221.9 1,218.0 1,214.1 1,210.3 1,206.6 Tangible common stockholders' equity (
Slide 19: Non-GAAP Reconciliation: Net Interest Margin
1Q23 2Q23 3Q23 4Q23 1Q24 (Dollars in millions) Net interest income (A) $ 238.9 $ 218.4 $ 213.7 $ 207.8 $ 200.1 FTE adjustments(1) 1.8 1.8 1.7 1.7 1.7 Net interest income on a FTE basis (B) 240.7 220.2 215.4 209.5 201.8 Less purchase accounting accretion 5.2 4.6 5.2 5.4 6.5 Adjusted net interest inco