Western Alliance Bancorporation · NYSE:WAL
Western Alliance Bancorporation — Q4 2025 Earnings Presentation
25 slides from Western Alliance Bancorporation's earnings presentation, Jan 27, 2026
Slide 1: Earnings Call 4th Quarter 2025
EARNINGS CALL 4th Quarter 2025 January 27, 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: Q4 2025 Highlights
Q4 2025 Highlights 4th Quarter 2025 | Financial Highlights Earnings & Profitability Q4 2025 Q3 2025 Q4 2024 Net Income EPS Earnings per Share $ 2.59 $ 2.28 $ 1.95 $293.2 million $2.59 Net Income 293.2 260.5 216.9 Net Income Available to Common Stockholders 282.9 250.2 213.7 35.2% Y-o-Y 32.8% Y-o-Y N
Slide 4: 2025 Highlights: Annual Consolidated Financial Results
2025 Highlights Annual Consolidated Financial Results 2025 2024 Net Interest Income increased $245.9 million, or Interest Income1 $ 4,692.9 $ 4,541.1 1 9.4%, primarily from strong organic average Interest Expense (1,828.1) (1,922.2) earning asset growth of $8.5 billion Net Interest Income $ 2,864.8
Slide 5: Quarterly Income Statement
Q4 2025 Highlights Quarterly Income Statement Net Interest Income increased $15.8 million, or 8.4% Q4-25 Q3-25 Q4-24 1 annualized, over the prior quarter primarily due to Interest Income1 $ 1,217.4 $ 1,225.5 $ 1,138.6 significant average earning asset growth of $2.5 billion Interest Expense (451.2)
Slide 6: Consolidated Balance Sheet
Q4 2025 Highlights Consolidated Balance Sheet Securities and Cash decreased $563 million, or Q4-25 Q3-25 Q4-24 1 2.3%, to $24.0 billion, and increased $4.8 billion, or Securities and Cash $ 24,034 1 $ 24,597 $ 19,191 25.2%, over prior year Loans, HFS 3,498 3,502 2,286 Loans, HFI 58,677 2 56,646 53,6
Slide 7: Loan Composition
Q4 2025 Highlights Loan Composition Loan growth from C&I businesses within Regional Banking and National Business Lines $5.0 Billion Year-over-Year Growth Increase (Decrease) by Loan Type: (in millions) QoQ YoY Total Loans, HFI $53.7 $54.8 $55.9 $56.6 $58.7 C&I $ 2,194 $ 4,800 Qtr Change +$0.3 +$1.1
Slide 8: Deposit Composition
Q4 2025 Highlights Deposit Composition Diversified deposit growth across Specialty Escrow Services and National Business Lines $10.8 Billion Year-over-Year Growth Increase (Decrease) by Deposit Type: (in millions) QoQ YoY Total Deposits $66.3 $69.3 $71.1 $77.2 $77.2 Non-Interest Bearing $ (2,275) $
Slide 9: Net Interest Drivers
Q4 2025 Highlights Net Interest Drivers Securities Portfolio and Yield Loans and HFI Yield1 • Securities Portfolio yields decreased 18 bps, as a result of Fed rate cuts, which reduced yields on 4.81% 6.34% 6.20% 6.17% 6.18% 6.01% floating rate and newly acquired securities 4.67% 4.63% 4.72% 4.54% $3
Slide 10: Net Interest Income
Q4 2025 Highlights Net Interest Income Net Interest Income1 and Net Interest Margin Average Earning Assets & Average Yield1 • Average Earning Assets increased $2.5 billion, or 11.7% annualized, primarily from growth in average Dollars in millions Dollars in billions cash and HFI loan balances 5.91%
Slide 11: Non-Interest Expense and Efficiency
Q4 2025 Highlights Non-Interest Expense and Efficiency Non-Interest Expense and Efficiency Ratio1 Breakdown of Non-Interest Expenses • Efficiency ratio1 decreased 170 bps to 55.7%, and decreased 550 bps from the same period last year 63.5% 61.2% 60.1% 57.4% 55.7% • Adjusted efficiency ratio1 (exclud
Slide 12: Interest Rate Sensitivity
Q4 2025 Highlights Interest Rate Sensitivity NII Sensitivity - Ramp Scenario1 • A Ramp Scenario assumes a dynamic balance sheet and reflects an asset sensitive position on NII and a relatively neutral position on EaR 2.7% – WAL estimates a -100 bps ramp to reduce NII by 2.7% • EaR is interest rate n
Slide 13: Asset Quality
Q4 2025 Highlights Asset Quality Special Mention Loans Asset Quality Ratios • Criticized Loans decreased $15 million quarterly to 1.44% 1.45% $1.3 billion 0.73% 0.84% 0.79% 1.25% 1.24% – Special Mention Loans increased $33 million to 0.52% 0.55% 1.17% $325 million (55 bps to Funded Loans) 0.92% 0.82
Slide 14: Credit Losses and ACL Ratios
Q4 2025 Highlights Credit Losses and ACL Ratios • Provision Expense of $73.0 million, primarily Allowance for Credit Losses Loan Charge-offs and Recoveries reflective of C&I-weighted loan growth and higher C&I net charge-offs, unrelated to Cantor Group V loan $13 0.31% $12 $50 0.25% • Net Loan Charg
Slide 15: Capital Accumulation
Q4 2025 Highlights Capital Accumulation Common Capital Ratios Regulatory Capital Ratios 11.3% • Continue to exceed “well-capitalized” levels with 11.3% 11.1% 11.2% 11.0% CET1 of 11.0% Tangible Common Equity / Tangible Assets1 7.2% 7.2% 7.2% 7.1% 7.3% • TCE/TA increased 20 bps to 7.3% Capital Accreti
Slide 16: Tangible Book Value Growth
Q4 2025 Highlights Tangible Book Value Growth Long-Term Growth in TBV per Share1 Tangible Book Value per Share1 5x • TBVPS increased $2.73 to $61.29 from organic WAL WAL with Dividends Added Back 459% earnings Peer Median – Increased 4.7% quarter-over-quarter, non- Peer Median with Dividends Added B
Slide 17: WAL's Industry-Leading Performance
Highlights WAL's Industry-Leading Performance Superior total shareholder returns driven by top-tier balance sheet growth and profitability • Growth-oriented business model, focused 10-Year TSR1 10-Year EPS Growth2 10-Year TBVPS Growth2 on low risk, high return loan composition, has 231% 18% 19% prod
Slide 18: Management Outlook
Management Outlook 2025 Baseline 2026 Outlook Commentary Loans (HFI): $58.7 bn L (HFI): Up $6 bn • Strong pipelines across business Balance Sheet Growth Deposits: $77.2 bn lines are supported by macro D: Up $8 bn tailwinds • Aggregate Preferred dividends of Capital (CET1) 11.0% ~ 11% $46 million. Sh
Slide 19: Questions & Answers
Questions & Answers
Slide 20: Appendix
NVA Western Alliance Bancorporation® Appendix
Slide 21: Key Reserve Level Ratios
Q4 2025 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: Q4-25 no-to-low-loss loan categories (Fund Banking, Residential & Mortgage Warehouse) 1.4
Slide 22: Fortified Adjusted Capital
Fortified Adjusted Capital CET1 capital adjusted for AOCI securities marks & reserves remains in line peer median levels Adjusted CET1 (incl. of AOCI Unrealized Securities Marks & Loan Loss Reserves) 15% 14% 13% 12.3%: 75th pctl 12% Q4 11.2%1 11.4%: Median 11% 10.8%: 25th pctl 10% 9% 8% 7% 6% 5% r1
Slide 23: Commercial Real Estate Investor Statistics
Commercial Real Estate Investor Statistics $10.3 billion; 18% of Total Loans Underwriting Criteria and Mitigating Factors CRE Investor Portfolio (At Origination or Most Recent Appraisal) • Low LTV & LTC (50% to low 60%) range underwriting in areas minimizes tail risk • Simple capital structure - no
Slide 24: Commercial Real Estate Investor: Office
Commercial Real Estate Investor: Office $2.1 Billion; 21% of Total CRE Investor; 4% of Total Loans Distribution by LTV (At Origination or Most Recent Appraisal) Underwriting Criteria and Mitigating Factors • Primarily shorter-term bridge loans for repositioning or redevelopment projects • Strong spo
Slide 25: Non-Depository Financial Institution (NDFI) Loans
Non-Depository Financial Institution (NDFI) Loans NDFI loan mix adjusted for low-loss Mortgage Credit Intermediaries nominally higher than peer average levels 1 Source: S&P Global Market Intelligence (peer data). Western Alliance data are preliminary as of December 31, 2025. Peer data as of Septembe
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