Burke & Herbert Financial Services Corp. · NASDAQ:BHRB
Burke & Herbert Financial Services — Debt Investor Presentation (September 2026)
43 slides from Burke & Herbert Financial Services's debt investor presentation, Sep 18, 2026
Slide 1: Fixed Income Investor Presentation
1 September 2026 Fixed Income Investor Presentation
Slide 2: Forward-Looking Statements
2 Forward - Looking Statements This presentation contains statements that Burke & Herbert Financial Services Corp . (the “Company”) believes are, or may be considered to be, “forward - looking statements,” within the meaning of the Private Securities Litigation Reform Act of 1995 , Section 27 A of t
Slide 3: Disclaimer
3 Disclaimer This presentation is not an offer to sell securities, and the Company is not soliciting an offer to buy securities in any jurisdiction where such offer or sale is not permitted . Neither the Securities and Exchange Commission (“SEC”), the Federal Deposit Insurance Corporation (“FDIC”),
Slide 4: Non-GAAP Financial Measures
4 Non - GAAP Financial Measures This presentation contains certain financial measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”) . Management uses these non - GAAP financial measures to assess the performance
Slide 5: Executive Leadership
5 Executive Leadership David Boyle Chairman & Chief Executive Officer ▪ Chairman since January 2023, Chief Executive Officer since 2020 ▪ President & Chief Operating Officer (2019 – 2020) ▪ Executive VP & Chief Financial Officer, Orrstown Bank (2012 – 2019) ▪ Executive roles at PNC / National City (
Slide 6: Company Overview
Company Overview Burke®:Herbert® Financial Services Corp.
Slide 7: Overview
7 Delaware Maryland West Virginia Kentucky Virginia Pennsylvania Lexington Charleston Huntington Bluefield Richmond Harrisonburg Moorefield Morgantown Martinsburg Washington D.C. Harrisburg Allentown Overview Headquarters: Alexandria, VA 174 Years Providing Service Beyond Expectations More than 100
Slide 8: Diverse Deposit Base Across Attractive Markets
8 Market Data Source: S&P Capital IQ Pro; Deposit market share and demographic data as of June 30, 2025. Diverse Deposit Base Across Attractive Markets West Virginia Branches: 28 Deposits: $2.3bn Pennsylvania Branches: 8 Deposits: $1.2bn Other Branches: 6 Deposits: $340mm Virginia Branches: 42 Depos
Slide 9: Core Values
9 Core Values Driven by our values, we endeavor to be your quintessential community bank — delivering service beyond expectations Serve & Lead We are dedicated to serving our customers and our teams, leading with quiet confidence and integrity to inspire the trust of all those we serve. Deliver More
Slide 10: Our Value Proposition
10 Our Value Proposition Strong & Consistent Financial Performance Market Leadership in a High - Growth Region Community Banking with a Competitive Edge • Well - capitalized and resilient with low earnings volatility across economic cycles • Moderate risk profile with a fortress balance sheet • Stab
Slide 11: Historical Net Charge-Offs
11 0.07% 0.06% 0.09% 0.27% 0.39% 0.19% 0.10% 0.00% 0.05% 0.01% 0.00% 0.27% 0.00% (0.03%) 0.22% 0.00% 0.18% 0.00% 0.03% 0.05% 0.04% 0.39% 0.59% 1.41% 2.56% 2.56% 1.57% 1.10% 0.69% 0.49% 0.44% 0.47% 0.50% 0.48% 0.51% 0.50% 0.25% 0.27% 0.51% 0.68% 0.63% 0.58% 2006 2007 2008 2009 2010 2011 2012 2013 201
Slide 12: Financial Overview
Financial Overview Burke®:Herbert® Financial Services Corp. 42
Slide 13: 2Q2026 At a Glance
13 June 30, March 31, ($ in thousands, except for per share data) 2026 2026 3 months ended 3 months ended Net income applicable to common shares 9,257$ 27,124$ Addback significant items (tax effected): Merger-related expenses 28,221 1,114 Total significant items 28,221 1,114 Operating net income 1 3
Slide 14: LINKBANCORP Merger Overview
14 Delaware Maryland West Virginia Kentucky Virginia Acquired Branches BHRB Pennsylvania Lexington Charleston Huntington Bluefield Richmond Harrisonburg Moorefield Morgantown Martinsburg Washington D.C. Harrisburg Allentown Impacts at a Glance LINKBANCORP Merger Overview Transaction Overview 100% co
Slide 15: LNKB Announcement Estimates vs. 2Q2026 Actual
15 Reported as of June 30, 2026 Forecasted at Announcement 1 ( in millions ) unless otherwise noted $55.4 $35.7 Accretable loan rate mark 48.2 45.1 Core deposit intangible 0.2 0.2 Time deposit mark 0.5 (3.5) Subordinated - debt mark 82.1 105.6 Goodwill creation 11.1% 9.7% Leverage ratio 11.8% 11.4%
Slide 16: Balance Sheet Highlights
16 $5,672 $5,388 $5,405 $8,000 2024 2025 1Q2026 2Q2026 $7,812 $7,921 $7,928 $10,991 2024 2025 1Q2026 2Q2026 Total Assets Balance Sheet Highlights ($ in millions) Total Deposits Gross Loans HFI
Slide 17: Profitability Metrics
17 59.8% 56.6% 56.3% 56.0% 60.7% 87.5% 59.8% 56.6% 56.3% 56.0% 59.0% 57.2% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 4.13% 4.11% 4.00% 4.04% 4.00% 4.06% 4.18% 4.17% 4.08% 4.11% 4.09% 4.15% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 16.5% 17.4% 16.6% 15.6% 13.9% 4.1% 16.5% 17.4% 16.6% 15.6% 14.4% 16.5
Slide 18: Net Interest Income and Yield on Loans and Cost of Deposits
18 3.5% 1.7% 0.5% 0.5% (0.4%) (300) (200) (100) 100 200 6.96% 6.90% 6.76% 6.79% 6.64% 6.54% 1.99% 1.90% 1.87% 1.80% 1.71% 1.75% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 $73.0 $74.2 $73.8 $74.9 $71.8 $93.0 $73.9 $75.3 $75.1 $76.3 $73.5 $95.1 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 • Net interest i
Slide 19: Non-Interest Income
19 $10.0 $12.9 $11.6 $11.6 $12.9 $13.8 12.1% 14.8% 13.6% 13.4% 15.2% 13.0% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 Fiduciary and Wealth Management 22% Service Charges and Fees 17% Income from Company - Owned Life Insurance 23% Bank Debit and Other Card Revenue 25% Other 13% Non - Interest Income 1
Slide 20: Non-Interest Expense
20 $49.7 $49.3 $48.1 $48.5 $51.4 $93.5 $50.0 $61.1 59.8% 56.6% 56.3% 56.0% 60.7% 87.5% 59.8% 56.6% 56.3% 56.0% 59.0% 57.2% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 Non - Interest Expense Adjusted Efficiency Ratio 1 2 NIE (GAAP) Efficiency Ratio (GAAP) (1) Please refer to the appendix for a reconcil
Slide 21: Loan Portfolio and Asset Quality
21 Loan Portfolio and Asset Quality
Slide 22: Loan Portfolio as of 2Q2026
22 • Originations of new relationship - based commitments totaled $333.0 million • The commercial real estate (CRE) portfolio is well - diversified across asset classes: - Regulatory CRE as a percentage of Bank total risk - based capital was 335% as of June 30, 2026 • In line with our overall strate
Slide 23: CRE Portfolio as of 2Q2026
23 Owner - Occupied CRE 23% Non Owner - Occupied CRE 77% 337% 320% 313% 335% 2024 2025 1Q2026 2Q2026 State Total ($ in 000s) Virginia $1,995,293 39.5% Maryland $1,105,677 21.9 Pennsylvania $691,329 13.7 West Virginia $417,537 8.3 District of Columbia $289,961 5.7 Other $551,339 10.9 Total $5,051,136
Slide 24: Non Owner-Occupied CRE Portfolio as of 2Q2026
24 State Total ($ in 000s) Virginia $1,603,689 41.1% Maryland $808,317 20.7 Pennsylvania $492,061 12.6 West Virginia $293,981 7.5 District of Columbia $287,258 7.4 Other $413,081 10.6 Total $3,898,387 100% Non Owner - Occupied CRE Portfolio as of 2Q2026 2Q2026 Non Owner - Occupied CRE Composition by
Slide 25: Office & Multi-Family Portfolios as of 2Q2026
25 Office & Multi - Family Portfolios as of 2Q2026 Excludes AD&C and owner - occupied commercial real estate. Multi - F amily Non Owner - Occupied Office Key Portfolio Metrics 8.7% / 17.8% 8.8% / 18.2% % of Total Gross Loans / % of Non Owner - Occupied CRE 411 / $1.7 million 372 / $1.9 million Numbe
Slide 26: Asset Quality Trends
26 1.15% 1.53% 1.60% 1.38% 1.45% 1.19% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 104.6% 78.6% 75.9% 91.4% 86.5% 99.1% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 0.08% 0.09% 0.02% (0.01%) 0.01% 0.06% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 1.20% 1.20% 1.22% 1.26% 1.26% 1.18% 1Q2025 2Q2025 3Q2025 4Q2
Slide 27: Funding and Liquidity
Funding and Liquidity Burke®Herbert’ Financial Services Corp. 27
Slide 28: Deposit Portfolio as of 2Q2026
28 Average Rate 2Q2026 Category 0.00 % Demand (non - interest bearing) 1.96 % Demand (interest bearing) 1.95 % Money Market & Savings 3.27 % Brokered CDs & Time Deposits 2.25 % Total Interest - Bearing Deposits 1.75 % Total Deposits Deposit Portfolio as of 2Q2026 2Q2026 Highlights • Loan - to - depo
Slide 29: Securities Portfolio as of 2Q2026
29 • Portfolio duration is approximately 4.4 years • Securities representing 68% of the unrealized loss position have an average duration of approximately 5.5 years • Unrealized losses are the result of the interest rate environment • Majority of non - agency CMBS and ABS are equity enhanced through
Slide 30: Liquidity Position as of 2Q2026
30 • Total available borrowing capacity of $6.0 billion as of June 30, 2026 • Other sources of contingent liquidity include brokered deposit capacity, unencumbered securities, cash, overnight funds sold, over collateralized securities, and other investments • Available borrowing capacity represented
Slide 31: Capital Position
Capital Position Burke®:Herbert® Financial Services Corp. 31
Slide 32: Capital Ratio Trends
32 10.1% 10.4% 10.7% 10.9% 11.3% 11.1% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 12.2% 12.7% 13.2% 13.9% 14.2% 12.1% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 14.8% 15.3% 15.4% 16.2% 16.5% 14.4% 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 11.8% 12.2% 12.8% 13.5% 13.8% 11.8% 1Q2025 2Q2025 3Q2025 4Q2025
Slide 33: Appendix
Appendix Burke®:Herbert® Financial Services Corp. 33
Slide 34: Acquisition, Development & Construction Portfolio as of 2Q2026
34 State Total ($ in 000s) Virginia $159,659 35.3% Maryland $86,427 19.1 Pennsylvania $40,941 9.0 West Virginia $37,163 8.2 District of Columbia $31,274 6.9 Other $97,174 21.5 Total $452,638 100% Acquisition, Development & Construction Portfolio as of 2Q2026 2Q2026 Composition by Geography 2Q2026 Co
Slide 35: Debt and Hybrid Securities Profile
35 Debt and Hybrid Securities Profile Issue Entity Rank Maturity Call Amount ($000) 1 Front-End Coupon Back-End Coupon Current Coupon 2 Subordinated Debt 2031 Sub Notes (10NC5) HoldCo Subordinated 12/1/2031 12/1/2026 75,000 3.250% 3M SOFR + 230 bps 3.250% 2032 Sub Notes (10NC5) HoldCo Subordinated 4
Slide 36: Income Statement
36 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, Income Statement ($ in 000s) 2026 2026 2025 2025 2025 2025 Interest income $ 136,987 $ 105,456 $ 111,140 $ 111,209 $ 111,858 $ 110,786 Interest expense 43,945 33,613 36,218 37,439 37,625 37,799 Noninterest income 13,849 12,853 11,625 11,585
Slide 37: Balance Sheet
37 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, Balance sheet (at period end), $ in 000s 2026 2026 2025 2025 2025 2025 Assets 10,991,300$ 7,927,711$ 7,920,626$ 7,889,037$ 8,053,084$ 7,838,090$ Average interest-earning assets 9,198,632 7,279,297 7,363,743 7,308,536 7,248,238 7,171,931 Gro
Slide 38: 2026 Q2 Non-Interest Expense Composition
38 June 30, 2026 Non-Interest expense ($ in 000s) Unadjusted Merger-Related Charges Adjusted Salaries and Wages 41,378 16,349 25,029 Pensions and Other Employee Benefits 5,787 – 5,787 Occupancy 6,654 1,600 5,054 Equipment Rentals, Depreciation and Amortization 6,934 2,024 4,910 ATM, Card and Network
Slide 39: Notes on Non-GAAP Financial Measures: Tangible Book Value
39 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, 2026 2026 2025 2025 2025 2025 Common Shareholders’ Equity $ 1,191,766 $ 854,091 $ 844,236 $ 811,818 $ 769,605 $ 747,587 Less: Goodwill and intangible assets, net 199,099 74,316 75,896 79,580 83,263 85,844 Tangible common equity (non- GAAP)
Slide 40: Notes on Non-GAAP Financial Measures: Net Interest Margin
40 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, 2026 2026 2025 2025 2025 2025 Net interest income $ 93,042 $ 71,843 $ 74,922 $ 73,770 $ 74,233 $ 72,987 Taxable-equivalent adjustments 2,036 1,628 1,420 1,305 1,059 881 Net interest income (Fully Taxable-Equivalent - FTE) $ 95,078 $ 73,471
Slide 41: Notes on Non-GAAP Financial Measures: Returns
41 Appendix: Notes on Non - GAAP Financial Measures Return and Adjusted Return on Average Tangible Common Equity and Average Assets : In management’s view, adjusted return on average common equity, return on average tangible common equity, adjusted return on average tangible common equity, and adjus
Slide 42: Return on Average Tangible Common Equity and Assets Reconciliation
42 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, 2026 2026 2025 2025 2025 2025 Average common shareholders' equity $ 1,053,502 $ 861,274 $ 832,411 $ 782,577 $ 757,354 $ 740,417 Average goodwill and other intangibles (159,202) (76,923) (79,338) (83,079) (85,562) (88,899) Average deferred t
Slide 43: Operating Net Income and Efficiency Ratio Reconciliation
43 June 30, March 31, Dec. 31, Sept. 30, June 30, March 31, 2026 2026 2025 2025 2025 2025 Net income applicable to common shares $ 9,257 $ 27,124 $ 30,019 $ 29,739 $ 29,672 $ 26,976 Add back significant items (tax effected): Merger-related 28,221 1,114 - - - - Total significant items 28,221 1,114 -
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