Summit State Bank · NASDAQ:SSBI

Summit State Bank — Q2 2026 Earnings Presentation

37 slides from Summit State Bank's earnings presentation, 2026

1. Slide 1: Investor Presentation Q2 2026

   Investor Presentation Q2 2026

2. Slide 2: About Brian J. Reed, President & CEO

   About Brian J. Reed, President & CEO Brian has over 40 years of community banking experience, with over 30 in Sonoma County. 2020 - Selected as President and CEO of Summit State Bank 2016 - Joined Summit State Bank as Chief Credit Officer 2006 – Served as EVP Chief Credit Officer of First Community

3. Slide 3: Core Values

   Core Values Mission Statement Summit State Bank provides 1. Greet customers, colleagues and community with courtesy and enthusiasm customized credit and deposit 2. Treat everyone you encounter with respect – they are important services by partnering with 3. Offer your service and solutions, look for

4. Slide 4: Guiding Principles

   Guiding Principles “ To be a successful community bank, we must be significant in the lives of those we touch - our employees, customers and community. Significance is the legacy that is left behind long after a leader leaves an organization. Their influences on values, attitudes and culture will en

5. Slide 5: Company Overview

   Company Overview • Commercial Bank, headquartered in Santa Rosa, CA • $960 million in assets • 4 branch locations • 109 employees • Founded in 1982 • Listed on NASDAQ in 2006 under the ticker “SSBI” Summit State Bank Locations • Santa Rosa Main, Headquarters • Healdsburg • Rohnert Park • Petaluma Re

6. Slide 6: Executive Leadership

   Executive Leadership Genie Del Secco, Michael Floyd, Brandy Seppi EVP and EVP and EVP and Chief Operating Officer Chief Credit Officer Chief Banking Officer Genie has 36 years of community Michael has over 41 years of Brandy has over 31 years of industry banking experience, with 10 years industry ex

7. Slide 7: 40 years and $960MM in Assets

   40 years and $960MM in Assets 2022 $1B Assets and 40th Anniversary 2020 2017 $135MM PPP Loans 2016 Brand Refresh 500MM in Assets 2006 Reached Listed on NASDAQ 2009 Healdsburg Branch 2007 1982 2003 Petaluma Branch Opens Bicentennial Branch Opens Bank Opened 1990 Opens 1985 Windsor Branch Montgomery V

8. Slide 8: Competitive Advantages and Challenges

   Competitive Advantages and Challenges What Makes Summit State Bank Unique? What sets us apart from our competitors is our ability to deliver personalized solutions and service with excellent customer service along with providing access to local decision-makers. We strive to develop long-term relatio

9. Slide 9: Making a Difference

   Making a Difference Nonprofit Partner Program Results Nonprofit Partner Program $800,000 300 $700,000 250 $600,000 200 $500,000 $400,000 150 $300,000 100 $200,000 50 $100,000 $0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Year 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 202

10. Slide 10: North Bay Nonprofit Event

    • Enhanced the Nonprofit Partner Program with our North Bay Nonprofit Event (NBNE). • This half-day gathering welcomed more than 110 nonprofit leaders representing over 60 North Bay nonprofit organizations in 2026 and featured local experts sharing valuable insights, resources, and best practices. •

11. Slide 11: Awards & Accolades

    Awards & Accolades Best Places to Work - Hall of Fame NorthBay Biz Magazine Corporate Philanthropy Award San Francisco Business Times Best Places to Work North Bay Business Journal Diversity in Business North Bay Business Journal Top Performing Bank American Banker Raymond James Award

12. Slide 12: Market Area Highlights

    Northern California Concentrated in Sonoma County Market Area Highlights  Commercial Property Investment Inventory Remains Low due to limited construction over the past ten years.  Diverse and Resilient Economy:  Healthcare, Manufacturing, Hospitality and Wholesale Trade Comprise > 40% of the Cou

13. Slide 13: Financial Trends

    2020 - 2022:  Strong growth from continued low and stable rate Financial Trends environment resulting in robust loan production and healthy NIM, and strong non-interest income. 2023:  Fed raised rates 5.00% between Mar 2022 - July 2023.  Rapid and sustained rate increases compressed NIM and slowe

14. Slide 14: Drivers of Performance

    Drivers of Performance  Credit Quality  Net Interest Margin and Net Interest Income  Non-Interest Income  Expense Management

15. Slide 15: Loan Growth & Asset Quality

    Loan Growth & Asset Quality  Reduction of loans reflects the Banks decisive actions in reducing nonperforming loans and to strategically improve capital ratios • Credit Loss Reserves sufficiently cover the identifiable risk in the portfolio. Note: CECL Conversion as of January 1, 2021

16. Slide 16: Non-Performing Loans and Loan Loss Reserve

    Non-Performing Loans and Loan Loss Reserve Non-Performing Loans:  Nonperforming loans declined $14MM from Q1 2026 to $18MM as of Q2 2026  Credit Loss Reserves remain strong at 1.69% at Q2 2026 to offset the risks in the Non-Performing portfolio  Just under 88% of Nonaccrual portfolio are current

17. Slide 17: Portfolio Delinquency Trends

    Portfolio Delinquency Trends Delinquency Trends:  Delinquency metrics of the performing portfolio have been stable since Q2 2024  Past Due segment is currently <0.15% of the portfolio *excludes Non-Accrual loans

18. Slide 18: Interest Income & Interest Expense Management

    Interest Income & Interest Expense Management Note: Q2 2025 NII and NIM were inflated due to heightened loan prepayment fees  From the end of 2022 through mid-2024, NIM compression and Net Interest Income declined due to elevated cost of funds, lower volume of new higher priced loans and existing l

19. Slide 19: Yield on Earning Assets vs Cost of Liabilities

    Yield on Earning Assets vs Cost of Liabilities  From end of 2022 though the mid-2024, Cost of Liabilities has risen faster than the Yield on Earning Assets  Since mid-2024 Cost of Liabilities declined while loan yields have improved

20. Slide 20: Deposits & Loans Repricing by Maturity

    Deposits & Loans Repricing by Maturity  Majority of Interest-bearing Deposits may reprice within 1 year  Only 29% of the Loan Portfolio contractually reprices within 1 year  Reprices Immediately  Reprices quarterly  Reprices in 1 month to 1 year  Reprices 1 year to 8 years  Fixed Rate

21. Slide 21: Treasury Indexed CRE – Contracted Rate Resets

    Treasury Indexed CRE – Contracted Rate Resets  Most Treasury Indexed CRE Loans reprice every 5 years based on the corresponding Constant Maturity Treasury index  Repriced rates reflect a snapshot of market rates as of 6/30/2026; Actual repricing rates can differ depending on market rates at the ti

22. Slide 22: Government Guaranteed Loan Programs

    Government Guaranteed Loan Programs  Dedicated Small Business Lending Group Created in 2017  Floating Rate ~ 8.6% (July 2026 adjustment)  Increase in Non-Interest Income based on rolling 4-quarter analysis:  Stable production and servicing income on a monthly basis  Decreased Retained Balance d

23. Slide 23: Managing Infrastructure Costs in an Inflationary Environment

    Managing Infrastructure Costs in an Inflationary Environment  Operating expenses in Q2 2026 were flat at $6.3MM vs $6.3MM in Q2 2025  Assets have been managed down to reduce risk in the balance sheet and improve capital ratios, resulting in expenses to assets ratio remaining relatively constant No

24. Slide 24: Net Operating Income

    Net Operating Income  Net Operating Income = Net Income before loss provision and taxes (excluding Goodwill write-down)  Net Operating Income has been steadily improving from its lowest level in Q2 2024 due to improved net interest margin and implementing operational expense management strategies.

25. Slide 25: Assets Trends

    Assets Trends  Manage Asset reductions to reduce balance sheet risk and improve Capital Ratios  Portfolio Loan Yield as of Q2 2026 at 6.14%  $379MM of Treasury based loans are scheduled to reprice through 2028 at a differential of ~2%  New loan originations are targeted to reduce overall CRE con

26. Slide 26: Loan Portfolio Composition

    Loan Portfolio Composition Portfolio Product Types, % Commercial Real Estate - Invest ▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬● 49.9% Commercial Real Estate - Owner Occupied ▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬● 26.3% Total Commercial C&I ▬▬▬▬▬▬▬● 7.2% Loan Farm ▬▬▬▬▬▬● 7.0% Diversified Portfolio wit

27. Slide 27: Loan Composition

    Loan Composition Total Loan Portfolio CRE Loan Portfolio Concentration: Investment & Owner Occupied

28. Slide 28: Liabilities Trends

    Liabilities Trends  Deposit balances have been stable from YE 2021 to Q2 2026:  Local Non-Maturity Deposits increased from 72% to 75% of Total Deposits  Total Local Deposits increased from 85% to 100% of Total Deposits  Continued Focus on Local Non-Maturity core deposit growth

29. Slide 29: Deposit Composition

    Deposit Composition  Organic Deposit Growth through Strong Relationship Practices  Focused Local Deposit Growth  Q2 2026 Average Cost of Deposits at 2.15%

30. Slide 30: Focus on Liquidity and Quality as of Q2 2026

    Focus on Liquidity and Quality as of Q2 2026  $175MM of Available Primary Liquidity  Includes Cash and Investments Available for Sale  Primary Liquidity is 18.25%  $301MM of Available Secondary Lines  Includes FHLB, Federal Reserve Bank, and Fed Funds lines  Total Liquidity (Primary + Secondar

31. Slide 31: Strong Capital Growth

    Strong Capital Growth Both the Leverage ratio and Total Capital ratios have trended higher due to the following actions:  Reduction of Balance Sheet by deliberate cleansing of nonperforming loans  Retention of improved net profits since 2024.  Strong Capital provides a significant buffer to risks

32. Slide 32: Tangible Book Value Growth

    Tangible Book Value Growth  Tangible Book Value has improved 25% since 2021, or 5.6% annualized growth  Tangible Book Value growth has solely been driven by retention of earnings  As of June 30, 2026, the Bank’s stock price was trading at 0.9x of Book Value ($13.60/share) Note: [1]Tangible Book V

33. Slide 33: Shareholder Value

    Shareholder Value Graph illustrates investment in 1 share of stock beginning in 2016  2016: One share of stock purchased  2017: A five-for-four stock split results in 1.25 shares outstanding  2021: A one time 10% stock dividend results in 1.38 shares outstanding  Stock Value increased 82% since

34. Slide 34: Why Summit State Bank?

    Why Summit State Bank?  Experienced Executive & Management Team  Commitment to a Culture of Success  Focus on Organic Growth and Driving Core Customer Deposits  Lending Platform Positioned to Deliver Results  Steady Growth in Tangible Book Value of shares in last 5 years  Experienced and dedic

35. Slide 35: Forward-Looking Statements

    Forward-Looking Statements This presentation includes forward-looking statements within the meaning of the “safe-harbor” provisions of the Private Securities Litigation Reform Act of 1995, including forward-looking statements regarding our expectations and beliefs about our future financial performa

36. Slide 36: Non-GAAP Financial Measures

    Non-GAAP Financial Measures This presentation contains non-GAAP (Generally Accepted Accounting Principles) financial measures in addition to the results presented in accordance with GAAP. These Non-GAAP financial measures include pre-tax, pre-provision net operating income before goodwill, pre-tax,

37. Slide 37: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Six Months Ended Twelve Months Ended June 30, 2026 December 31, 2025 December 31, 2024 December 31, 2023 December 31, 2022 December 31, 2021 (In thousands) Reconciliation of non-GAAP tangible common equity Total shareholders' equity $ 101,357 $ 101,171 $ 91,723 $ 97,678 $

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