Slide 1: 3Q 2024 Investor Presentation
Exhibit 99.2 3Q 2024 Investor Presentation October 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 institution in growing markets throughout the Midwest and Pacific Northwest Corporate Overview Headquarters Billings, MT Exchange/Listing NASDAQ: FIBK Market Capitalization* $3.2 Billion Annualized Dividend Yield 6.3% Branch Networ
Slide 4: Third Quarter 2024 Highlights
THIRD QUARTER 2024 HIGHLIGHTS • Net income of $55.5 million, or $0.54 per share for the third quarter of 2024. • Net interest margin (NIM), on a fully taxable equivalent (“FTE”) basis1, of 3.04%, an increase of 4 basis points from the second Earnings quarter of 2024; adjusted FTE NIM1 of 2.97%, an i
Slide 5: Diversified Loan Portfolio
DIVERSIFIED LOAN PORTFOLIO Loan Highlights: Revolving Commitments ($B) • Loans decreased $207.9 million during the third quarter of 2024 driven by declines in real estate loans and commercial $3.1 $3.0 $2.9 $2.7 $2.7 loans; the commercial loan decline was driven mostly by lower utilization of lines
Slide 6: Commercial Real Estate and Construction Portfolios
COMMERCIAL REAL ESTATE AND CONSTRUCTION PORTFOLIOS Highlights: Market Type • $10.5 billion portfolio (58% of total loans), well diversified by property type and geography • Non-owner-occupied portfolio of $6.2 billion (34% of total loans) Non-Metro, 87% • $45 million of non-accrual loans (0.43% of c
Slide 7: Metro Office
METRO OFFICE Highlights: • Metro office defined as non-owner occupied or construction real estate general office properties located in Portland, Seattle, Denver, Phoenix, Minneapolis / St. Paul, and Kansas City • Remaining balance of $87.3 million following third quarter activity, reflective of 0.48
Slide 8: Diverse Deposit Base: By Type of Account
DIVERSE DEPOSIT BASE: BY TYPE OF ACCOUNT Deposit Highlights: Mix of Consumer and Business Deposits • Total deposits decreased $6.6 million from the second quarter of 2024. Second quarter balance included a large temporary deposit, which was withdrawn early in the quarter; deposits increased approxim
Slide 9: Capital and Liquidity
CAPITAL AND LIQUIDITY Liquid and flexible balance sheet with strong capital position Capital and Liquidity Highlights: • Annualized dividend yield of 6.3% based on an average share LHFI to Deposit Ratio price of $29.85 for the third quarter of 2024. 76.9% 78.4% 79.8% 79.7% 78.8% • Capital ratios inc
Slide 10: Allowance for Credit Losses (ACL)
ALLOWANCE FOR CREDIT LOSSES (ACL) ACL ($MM) and Funded ACL/LHFI Ratio ACL Highlights: • Funded ACL decreased slightly to 1.25% of loans from 1.28%, supported by loan portfolio characteristics and mix. • Charge-offs were driven by the charge-off of two metro-office $245.5 $246.1 loans; excluding thes
Slide 11: Asset Quality and Reserve Trends
ASSET QUALITY AND RESERVE TRENDS Credit management resulted in stable asset quality Total non-performing loans ($MM) and ACL/NPL Ratios Asset Quality Highlights: $175.0 $174.5 $168.2 • Total criticized loans decreased $14.7 million during the third quarter of 2024, driven mostly by charge-offs. $111
Slide 12: Net Interest Income
NET INTEREST INCOME FTE NII¹ ($MM) and FTE NIM¹ Net Interest Income (NII) and Net Interest Margin (NIM) Highlights: • $4.4 million of loan purchase accounting accretion (PAA) for the $215.4² third quarter of 2024, a decrease from $5.1 million from the prior $5.2 $209.5² $207.1² $203.4² quarter. $210
Slide 13: Investment Portfolio
INVESTMENT PORTFOLIO Projected Cash Flow ($MM) and Yield Roll-Off at Quarter-end* Total Portfolio Duration at Quarter-end (in years) 3.7 3.6 $352.7 3.5 3.5 3.4 $214.4 $214.3 $213.4 $211.4 $179.8 2.75% 2.49% 2.44% 2.38% 2.39% 2.36% 4Q24E 1Q25E 2Q25E 3Q25E 4Q25E 1Q26E 3Q23 4Q23 1Q24 2Q24 3Q24 *Constit
Slide 14: Non-Interest Income
NON-INTEREST INCOME 3Q24 Non-interest Income by Type Dollars in millions 3Q23 2Q24 3Q24 Payment services revenues $ 19.2 $ 18.6 $ 18.7 Payment Services, 40% Mortgage banking revenues 2.0 1.7 1.7 Other Income, 16% Wealth management revenues 8.7 9.4 9.6 Service charges on deposit accounts 6.0 6.4 6.6
Slide 15: Non-Interest Expense
NON-INTEREST EXPENSE Non-interest Expense ($MM) and Efficiency Ratio 166.0 161.1 160.2 156.9 159.4 Dollars in millions 3Q23 2Q24 3Q24 Salaries and wages $ 65.4 $ 66.3 $ 70.9 64.2% 64.6% Employee benefits 19.7 16.9 19.7 62.7% 61.5% 61.8% Occupancy and equipment 17.0 16.9 17.0 Other intangible amortiz
Slide 16: 2024 Guidance Summary
2024 GUIDANCE SUMMARY* • Anticipate ending deposits to be relatively flat through year-end 2024 from September 30 balances Loans and Deposits • Anticipate ending loans to range from relatively flat to modestly lower through year-end 2024 from September 30 balances • Anticipate fourth quarter net int
Slide 17: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES In addition to results presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, this presentation contains the following non-GAAP financial measures that management uses to evaluate our performance relative to our cap
Slide 18: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION 3Q23 4Q23 1Q24 2Q24 3Q24 (Dollars in millions) Total common stockholders' equity (GAAP) (A) $ 3,085.5 $ 3,227.5 $ 3,209.7 $ 3,225.3 $ 3,365.8 Less goodwill and other intangible assets (excluding mortgage servicing rights) 1,214.1 1,210.3 1,206.6 1,202.9 1,199.3 Tangible commo
Slide 19: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION 3Q23 4Q23 1Q24 2Q24 3Q24 (Dollars in millions) Net interest income (A) $ 213.7 $ 207.8 $ 200.1 $ 201.7 $ 205.5 FTE adjustments(1) 1.7 1.7 1.7 1.7 1.6 Net interest income on a FTE basis (Non-GAAP) (B) 215.4 209.5 201.8 203.4 207.1 Less purchase accounting accretion 5.2 5.4 6.5