Bank of Hawai‘i Corporation Second Quarter 2026 Financial Results

About this update from Bank Of Hawaii Corporation

Bank of Hawai‘i Corporation (NYSE: BOH) (the “Company”) today reported diluted earnings per common share of $1.47 for the second quarter of 2026, compared with $1.30 during the linked quarter. Net income for the quarter was $63.8 million, up 11.1% from the linked quarter. The return on average common equity for the second quarter of 2026 was 15.47% compared with 13.90% during the linked quarter. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260727404067/en/ “Bank of Hawai‘i delivered solid second quarter results reflecting steady execution and disciplined balance sheet management,” said Jim Polk, President and CEO. “Net interest margin expanded for the ninth consecutive quarter, supported by the ongoing repricing of cash flows. Total loans and leases increased from the prior quarter, while average total deposits were modestly lower during a seasonally lower period. Credit quality remained strong, and we continued to maintain a disciplined approach to expenses.” Financial Highlights Net interest income for the second quarter of 2026 was $153.6 million, an increase of 1.7% from the linked quarter. The increase was primarily driven by a 5 basis point increase in earning asset yield as fixed-rate assets rolled off and were reinvested at higher rates (fixed asset repricing), partially offset by a shift from noninterest-bearing deposits and interest-bearing deposits yielding less than 10 basis points to higher yielding interest-bearing deposits accounts (deposit mix shift) and higher deposit costs. Net interest margin was 2.78% in the second quarter of 2026, an increase of 4 basis points from the linked quarter, reflecting the same asset yield and deposit cost dynamics as previously mentioned. The average yield on total earning assets was 4.08% and the average yield on loans and leases was 4.79% in the second quarter of 2026, up 5 basis points and 4 basis points, respectively, from the linked quarter. The increase in loan yield from the linked quarter was primarily driven by fixed asset repricing and additional loan production at higher current rates. Loan originations of all loans, including floating rate loans, during the quarter were originated at an average rate of 5.90%. The average rate of interest-bearing deposits was 1.73% and the average quarterly rate of total deposits, including noninterest-bearing deposits, was 1.27%, both up 1 basis point from the linked quarter. The increase in the rate on total deposits was primarily driven by deposit mix shift and higher rates on interest-bearing demand and savings deposits, partially offset by maturing time deposits renewing at lower rates. The deposit beta for the downward rate cycle was 35.5% as of the second quarter of 2026. Noninterest income was $43.3 million in the second quarter of 2026, an increase of 4.8% from the linked quarter. Noninterest income included a $0.4 million and a $0.2 million charge related to a Visa Class B share conversion ratio change in the second quarter of 2026 and linked quarter, respectively. Adjusted for these items, noninterest income for the second quarter of 2026 was up 5.3% from the linked quarter. The increase was primarily due to increases in trust and asset management fees and commissions earned on our annuity and insurance business. Noninterest expense was $111.2 million in the second quarter of 2026, a decrease of 4.2% from the linked quarter. Noninterest expense in the second quarter included a $0.5 million net benefit related to the forfeiture of restricted stock awards. Noninterest expense in the linked quarter included $3.5 million in expenses related to the accelerated vesting of restricted stock awards pursuant to the retirement provision of performance-based restricted stock granted in 2024 and 2025 and $0.7 million in separation expenses. Adjusted for these items, noninterest expense for the second quarter of 2026 decreased by 0.2% from the linked quarter. The effective tax rate for the second quarter of 2026 was 22.31% compared to 22.91% during the linked quarter. The lower effective tax rate in the current quarter as compared to the linked quarter was primarily due to higher benefits from certain tax advantaged investments and an increase in tax benefits from discrete items. Asset Quality The Company’s overall asset quality remained strong during the second quarter of 2026. Provision for credit losses for the second quarter of 2026 was $3.6 million, up $1.9 million from the linked quarter. This increase was primarily driven by higher net loan and lease charge-offs during the second quarter of 2026 as compared to the linked quarter, which included a $1.6 million recovery on a single commercial mortgage loan. Total non-performing assets were $11.5 million at June 30, 2026, down $0.6 million from March 31, 2026. Non-performing assets as a percentage of total loans and leases and foreclosed real estate were 0.08% at the end of the quarter, a decrease of 1 basis point from the linked quarter. Net loan and lease charge-offs during the second quarter of 2026 were $3.4 million or 10 basis points annualized of total average loans and leases outstanding. Gross charge-offs of $4.7 million were partially offset by gross recoveries of $1.3 million. Compared to the linked quarter, net loan and lease charge-offs increased by $2.3 million or 7 basis points annualized on total average loans and leases outstanding. The allowance for credit losses on loans and leases was $147.0 million at June 30, 2026, unchanged from March 31, 2026. The ratio of the allowance for credit losses to total loans and leases outstanding was 1.03% at the end of the quarter, a decrease of 1 basis point from March 31, 2026. Balance Sheet Total assets were $23.8 billion at June 30, 2026, a decrease of 1.4% from December 31, 2025. The decrease from December 31, 2025 was primarily due to decreases in cash and cash equivalents and held-to-maturity securities, partially offset by increases in loans and leases and available-for-sale securities. The investment securities portfolio was $7.7 billion at June 30, 2026, a decrease of 0.9% from December 31, 2025. The decrease was primarily due to portfolio runoff, including maturities and paydowns, partially offset by purchases in available-for-sale securities. The investment securities portfolio remains largely comprised of securities issued by U.S. government agencies and U.S. government-sponsored enterprises. Total loans and leases were $14.3 billion at June 30, 2026, an increase of 1.5% from December 31, 2025. Total commercial loans were $6.2 billion at June 30, 2026, an increase of 2.6% from December 31, 2025. The increase was primarily due to commercial mortgage and commercial and industrial production. Total consumer loans were $8.0 billion at June 30, 2026, an increase of 0.6% from December 31, 2025. The increase was primarily due to increased production in the residential mortgage portfolio, partially offset by amortization and paydowns. Total deposits were $20.9 billion at June 30, 2026, a decrease of 1.4% from December 31, 2025. Noninterest-bearing deposits made up 26.7% of total deposit balances at June 30, 2026, down from 27.2% at December 31, 2025. Average total deposits were $20.8 billion for the second quarter of 2026, down 0.7% from December 31, 2025. Capital and Dividends The Company’s capital levels remain well above regulatory well-capitalized minimums. The Tier 1 Capital Ratio was 14.45% at June 30, 2026 compared with 14.49% at December 31, 2025. The decrease from December 31, 2025 was due to an increase in risk-weighted assets and share repurchases, as discussed below, partially offset by an increase in retained earnings. The Tier 1 Leverage Ratio was 8.70% at June 30, 2026, compared with 8.57% at December 31, 2025. The increase from December 31, 2025 was due to a decline in average assets and an increase in retained earnings. The Company repurchased 216 thousand shares of common stock at a total cost of $17.0 million under the share repurchase program in the second quarter of 2026. Total remaining buyback authority under the share repurchase program was $88.9 million at June 30, 2026. The Company’s Board of Directors declared a quarterly cash dividend of $0.70 per share on the Company’s outstanding common shares. The dividend will be payable on September 15, 2026 to shareholders of record at the close of business on August 31, 2026. On July 6, 2026, the Company announced that the Board of Directors declared a quarterly dividend payment of $10.94 per share, equivalent to $0.2735 per depositary share, of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A, and a quarterly dividend payment of $20.00 per share, equivalent to $0.5000 per depositary share, of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series B. The depositary shares representing the Series A Preferred Stock and Series B Preferred Stock are traded on the NYSE under the symbol “BOH.PRA” and “BOH.PRB”, respectively. The dividends on the Series A Preferred Stock and Series B Preferred Stock will be payable on August 3, 2026 to shareholders of record of the preferred stock as of the close of business on July 17, 2026. Conference Call Information The Company will review its second quarter financial results today at 8:00 a.m. Hawai‘i Time (2:00 p.m. Eastern Time). The live call, including a slide presentation, will be accessible on the investor relations link of Bank of Hawai‘i Corporation's website, www.boh.com . The webcast can be accessed via the link: https://register-conf.media-server.com/register/BIbf819fb4b2824119b0496adf4c769c13 . A replay of the conference call will be available for one year beginning at approximately 11:00 a.m. Hawai‘i Time on Monday, July 27, 2026. The replay will be available on the Company's website, www.boh.com . Investor Announcements Investors and others should note that the Company intends to announce financial and other information to the Company’s investors using the Company’s investor relations website at https://ir.boh.com , social media channels, press releases, SEC filings and public conference calls and webcasts, all for purposes of complying with the Company’s disclosure obligations under Regulation FD. Accordingly, investors should monitor these channels, as information is updated, and new information is posted. Forward-Looking Statements This news release, and other statements made by the Company in connection with it may contain "forward-looking statements" (as defined in the Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties that could cause results to be materially different from expectations. Forecasts of our financial results and condition, expectations for our operations and business prospects, and our assumptions used in those forecasts and expectations are examples of certain of these forward-looking statements. Do not unduly rely on forward-looking statements. Actual results might differ significantly from our forecasts and expectations because of a variety of factors. More information about these factors is contained in Bank of Hawai‘i Corporation's Annual Report on Form 10-K for the year ended December 31, 2025, which was filed with the U.S. Securities and Exchange Commission. These forward-looking statements are not guarantees of future performance and speak only as of the date made, and, except as required by law, the Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events, new information or future circumstances. Bank of Hawai‘i Corporation is an independent regional financial services company serving businesses, consumers, and governments in Hawai‘i and the West Pacific. The Company's principal subsidiary, Bank of Hawai‘i, was founded in 1897. For more information about Bank of Hawai‘i Corporation, see the Company’s website, www.boh.com . Bank of Hawai‘i Corporation is a trade name of Bank of Hawaii Corporation.   Bank of Hawai‘i Corporation and Subsidiaries Financial Highlights   Table 1     Three Months Ended   Six Months Ended (dollars in thousands, except per share amounts)   June 30, 2026   March 31, 2026   June 30, 2025   June 30, 2026   June 30, 2025 For the Period:                     Operating Results                     Net Interest Income   $ 153,604     $ 150,990     $ 129,683     $ 304,594     $ 255,490   Provision for Credit Losses     3,600       1,750       3,250       5,350       6,500   Total Noninterest Income     43,299       41,332       44,795       84,631       88,853   Total Noninterest Expense     111,186       116,071       110,783       227,257       221,242   Pre-Provision Net Revenue     85,717       76,251       63,695       161,968       123,101   Net Income     63,799       57,432       47,637       121,231       91,622   Net Income Available to Common Shareholders     58,530       52,163       42,368       110,693       81,084   Basic Earnings Per Common Share     1.48       1.32       1.07       2.80       2.05   Diluted Earnings Per Common Share     1.47       1.30       1.06       2.78       2.03   Dividends Declared Per Common Share     0.70       0.70       0.70       1.40       1.40   Performance Ratios                     Return on Average Assets     1.07 %     0.97 %     0.81 %     1.02 %     0.78 % Return on Average Shareholders' Equity     13.74       12.47       11.21       13.11       10.93   Return on Average Common Equity     15.47       13.90       12.50       14.69       12.16   Efficiency Ratio 1     56.47       60.35       63.49       58.39       64.25   Net Interest Margin 2     2.78       2.74       2.39       2.76       2.36   Dividend Payout Ratio 3     47.30       53.03       65.42       50.00       68.29   Average Shareholders' Equity to Average Assets     7.81       7.81       7.22       7.81       7.16   Average Balances                     Average Loans and Leases   $ 14,218,951     $ 14,083,875     $ 14,049,025     $ 14,151,786     $ 14,055,563   Average Assets     23,861,848       23,915,334       23,596,955       23,888,444       23,617,398   Average Deposits     20,826,923       20,915,443       20,699,694       20,870,939       20,684,700   Average Shareholders' Equity     1,862,499       1,867,165       1,704,415       1,864,819       1,690,073   Per Share of Common Stock                     Book Value   $ 38.81     $ 38.10     $ 35.16     $ 38.81     $ 35.16   Tangible Book Value     38.01       37.31       34.37       38.01       34.37   Market Value                     Closing     81.49       74.25       67.53       81.49       67.53   High     83.18       80.61       71.35       83.18       76.00   Low     70.07       67.04       57.45       67.04       57.45       June 30, 2026   March 31, 2026   December 31, 2025   June 30, 2025 As of Period End:                 Balance Sheet Totals                 Loans and Leases   $ 14,286,625     $ 14,192,811     $ 14,082,050     $ 14,002,178   Total Assets     23,842,940       23,909,933       24,176,364       23,709,752   Total Deposits     20,892,775       20,957,930       21,188,495       20,798,914   Other Debt     508,124       558,150       558,176       558,226   Total Shareholders' Equity     1,875,467       1,854,563       1,851,212       1,743,107   Asset Quality                 Non-Performing Assets   $ 11,478     $ 12,090     $ 14,171     $ 17,881   Allowance for Credit Losses - Loans and Leases     146,995       146,962       146,766       148,543   Allowance to Loans and Leases Outstanding 4     1.03 %     1.04 %     1.04 %     1.06 % Capital Ratios 5                 Common Equity Tier 1 Capital Ratio 6     12.12 %     12.06 %     12.14 %     11.81 % Tier 1 Capital Ratio     14.45       14.40       14.49       14.17   Total Capital Ratio     15.48       15.44       15.54       15.23   Tier 1 Leverage Ratio     8.70       8.62       8.57       8.46   Total Shareholders' Equity to Total Assets     7.87       7.76       7.66       7.35   Tangible Common Equity to Tangible Assets 7     6.30       6.19       6.11       5.77   Tangible Common Equity to Risk-Weighted Assets 7     10.38       10.28       10.35       9.62   Non-Financial Data                 Full-Time Equivalent Employees     1,910       1,866       1,877       1,921   Branches     52       52       51       51   ATMs     315       319       320       317   1 Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income). 2 Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets. 3 Dividend payout ratio is defined as dividends declared per common share divided by basic earnings per common share. 4 The numerator comprises the Allowance for Credit Losses - Loans and Leases. 5 Regulatory capital ratios as of June 30, 2026 are preliminary. 6 Capital Ratio as of December 31, 2025 has been updated to reflect final reported ratio. 7 Tangible common equity to tangible assets and tangible common equity to risk-weighted assets are Non-GAAP financial measures. Tangible common equity is defined by the Company as common shareholders' equity minus goodwill. See Table 8 “Reconciliation of Non-GAAP Financial Measures”.   Bank of Hawai‘i Corporation and Subsidiaries Consolidated Statements of Income   Table 2     Three Months Ended   Six Months Ended (dollars in thousands, except per share amounts)   June 30, 2026   March 31, 2026   June 30, 2025   June 30, 2026   June 30, 2025 Interest Income                     Interest and Fees on Loans and Leases   $ 168,624     $ 164,469     $ 166,779     $ 333,093     $ 329,861   Income on Investment Securities                     Available-for-Sale     36,397       34,575       27,007       70,972       51,375   Held-to-Maturity     18,056       18,541       19,835       36,597       40,126   Cash and Cash Equivalents     1,726       3,329       3,817       5,055       9,277   Other     1,313       1,293       1,097       2,606       2,182   Total Interest Income     226,116       222,207       218,535       448,323       432,821   Interest Expense                     Deposits     65,804       64,886       82,476       130,690       164,168   Securities Sold Under Agreements to Repurchase     491       486       491       977       1,235   Other Debt     6,217       5,845       5,885       12,062       11,928   Total Interest Expense     72,512       71,217       88,852       143,729       177,331   Net Interest Income     153,604       150,990       129,683       304,594       255,490   Provision for Credit Losses     3,600       1,750       3,250       5,350       6,500   Net Interest Income After Provision for Credit Losses     150,004       149,240       126,433       299,244       248,990   Noninterest Income                     Trust and Asset Management     13,712       12,445       12,097       26,157       23,838   Fees, Exchange, and Other Service Charges     11,127       10,928       14,383       22,055       28,820   Service Charges on Deposit Accounts     8,353       8,440       8,119       16,793       16,378   Bank-Owned Life Insurance     3,923       4,147       3,714       8,070       7,325   Annuity and Insurance     2,017       1,469       1,437       3,486       2,992   Mortgage Banking     839       876       849       1,715       1,837   Investment Securities Losses, Net     (1,287 )     (1,272 )     (1,126 )     (2,559 )     (2,733 ) Other     4,615       4,299       5,322       8,914       10,396   Total Noninterest Income     43,299       41,332       44,795       84,631       88,853   Noninterest Expense                     Salaries and Benefits     62,642       68,457       61,308       131,099       124,192   Net Occupancy     10,868       10,782       10,499       21,650       21,058   Net Equipment     10,604       10,611       9,977       21,215       20,169   Data Processing     5,463       5,581       5,456       11,044       10,723   Professional Fees     5,276       4,226       4,263       9,502       8,527   FDIC Insurance     2,978       2,719       3,640       5,697       5,282   Other     13,355       13,695       15,640       27,050       31,291   Total Noninterest Expense     111,186       116,071       110,783       227,257       221,242   Income Before Provision for Income Taxes     82,117       74,501       60,445       156,618       116,601   Provision for Income Taxes     18,318       17,069       12,808       35,387       24,979   Net Income   $ 63,799     $ 57,432     $ 47,637     $ 121,231     $ 91,622   Preferred Stock Dividends     5,269       5,269       5,269       10,538       10,538   Net Income Available to Common Shareholders   $ 58,530     $ 52,163     $ 42,368     $ 110,693     $ 81,084   Basic Earnings Per Common Share   $ 1.48     $ 1.32     $ 1.07     $ 2.80     $ 2.05   Diluted Earnings Per Common Share   $ 1.47     $ 1.30     $ 1.06     $ 2.78     $ 2.03   Dividends Declared Per Common Share   $ 0.70     $ 0.70     $ 0.70     $ 1.40     $ 1.40   Basic Weighted Average Common Shares     39,513,447       39,568,000       39,622,998       39,540,239       39,588,916   Diluted Weighted Average Common Shares     39,734,782       39,981,356       39,895,093       39,839,337       39,888,294     Bank of Hawai‘i Corporation and Subsidiaries Consolidated Statements of Condition           Table 3 (dollars in thousands, except per share amounts)   June 30, 2026   March 31, 2026   December 31, 2025   June 30, 2025 Assets                 Cash and Cash Equivalents   $ 452,814     $ 425,080     $ 946,520     $ 768,683   Investment Securities                 Available-for-Sale     3,618,515       3,722,405       3,510,652       3,111,504   Held-to-Maturity (Fair Value of $3,452,980; $3,549,687; $3,651,966; and $3,754,794)     4,070,908       4,163,261       4,245,681       4,441,353   Loans Held for Sale     5,089       3,609       4,369       1,867   Loans and Leases     14,286,625       14,192,811       14,082,050       14,002,178   Allowance for Credit Losses     (146,995 )     (146,962 )     (146,766 )     (148,543 ) Net Loans and Leases     14,139,630       14,045,849       13,935,284       13,853,635   Premises and Equipment, Net     223,463       215,859       199,747       192,221   Operating Lease Right-of-Use Assets     84,519       82,244       83,424       83,594   Accrued Interest Receivable     70,646       70,555       69,899       67,204   Mortgage Servicing Rights     16,626       17,036       17,455       18,362   Goodwill     31,517       31,517       31,517       31,517   Bank-Owned Life Insurance     508,869       499,681       499,795       488,028   Other Assets     620,344       632,837       632,021       651,784   Total Assets   $ 23,842,940     $ 23,909,933     $ 24,176,364     $ 23,709,752   Liabilities                 Deposits                 Noninterest-Bearing Demand   $ 5,575,291     $ 5,653,265     $ 5,755,371     $ 5,424,471   Interest-Bearing Demand     4,075,694       3,884,305       3,910,952       3,855,120   Savings     8,705,102       8,683,875       8,741,090       8,481,328   Time     2,536,688       2,736,485       2,781,082       3,037,995   Total Deposits     20,892,775       20,957,930       21,188,495       20,798,914   Securities Sold Under Agreements to Repurchase     50,000       50,000       50,000       50,000   Other Debt     508,124       558,150       558,176       558,226   Operating Lease Liabilities     93,568       91,213       92,402       92,381   Retirement Benefits Payable     25,496       25,686       20,139       23,528   Accrued Interest Payable     16,390       19,757       22,370       26,732   Other Liabilities     381,120       352,634       393,570       416,864   Total Liabilities     21,967,473       22,055,370       22,325,152       21,966,645   Shareholders’ Equity                 Preferred Stock (Series A, $.01 par value; authorized 180,000 shares issued and outstanding)     180,000       180,000       180,000       180,000   Preferred Stock (Series B, $.01 par value; authorized 165,000 shares issued and outstanding)     165,000       165,000       165,000       165,000   Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: June 30, 2026 - 59,020,336 / 39,439,677; March 31, 2026 - 59,000,929 / 39,620,563; December 31, 2025 - 58,780,253 / 39,725,698 and June 30, 2025 - 58,775,870 / 39,765,375)     590       590       587       587   Capital Surplus     675,654       672,584       664,781       655,479   Accumulated Other Comprehensive Loss     (243,475 )     (247,217 )     (244,438 )     (299,194 ) Retained Earnings     2,260,152       2,229,539       2,205,707       2,158,450   Treasury Stock, at Cost (Shares: June 30, 2026 - 19,580,659; March 31, 2026 - 19,380,366; December 31, 2025 - 19,054,555; and June 30, 2025 - 19,010,495)     (1,162,454 )     (1,145,933 )     (1,120,425 )     (1,117,215 ) Total Shareholders’ Equity     1,875,467       1,854,563       1,851,212       1,743,107   Total Liabilities and Shareholders’ Equity   $ 23,842,940     $ 23,909,933     $ 24,176,364     $ 23,709,752     Bank of Hawai‘i Corporation and Subsidiaries Average Balances and Interest Rates - Taxable-Equivalent Basis 1 Table 4a   Three Months Ended June 30, 2026 Three Months Ended March 31, 2026 Three Months Ended June 30, 2025 (dollars in millions) Average Balance Income/Expense 2 Yield/Rate Average Balance Income/Expense 2 Yield/Rate Average Balance Income/Expense 2 Yield/Rate Earning Assets                   Cash and Cash Equivalents $ 196.2   $ 1.7   3.48 % $ 372.5   $ 3.3   3.58 % $ 353.7   $ 3.8   4.27 % Investment Securities                   Available-for-Sale                   Taxable   3,669.5     36.1   3.93     3,598.1     34.2   3.82     2,987.2     26.7   3.58   Non-Taxable   31.7     0.4   5.08     32.1     0.4   5.07     27.4     0.4   5.85   Held-to-Maturity                   Taxable   4,091.6     17.9   1.75     4,175.4     18.4   1.76     4,462.1     19.7   1.77   Non-Taxable   33.4     0.2   2.10     33.5     0.2   2.10     34.0     0.2   2.10   Total Investment Securities   7,826.2     54.6   2.79     7,839.1     53.2   2.72     7,510.7     47.0   2.50   Loans Held for Sale   2.7     0.0   6.20     3.6     0.1   5.22     2.2     0.0   5.66   Loans and Leases 3                   Commercial Mortgage   4,314.9     55.7   5.17     4,220.6     54.1   5.19     4,025.2     53.7   5.35   Commercial and Industrial   1,624.6     19.5   4.83     1,583.4     18.7   4.79     1,668.1     21.1   5.07   Construction   209.7     3.3   6.30     215.7     3.4   6.46     366.2     6.7   7.30   Commercial Lease Financing   84.6     0.9   4.26     86.9     0.9   4.29     93.4     1.0   4.07   Residential Mortgage   4,812.6     48.9   4.06     4,781.9     47.8   4.00     4,626.5     45.6   3.95   Home Equity   2,085.3     24.1   4.63     2,103.1     23.6   4.55     2,141.5     23.3   4.37   Automobile   677.4     9.5   5.65     684.6     9.4   5.57     730.1     9.4   5.19   Other   409.9     7.9   7.74     407.7     7.8   7.76     398.0     7.5   7.53   Total Loans and Leases   14,219.0     169.8   4.79     14,083.9     165.7   4.75     14,049.0     168.3   4.80   Other   82.8     1.4   6.34     81.9     1.3   6.31     65.2     1.1   6.72   Total Earning Assets   22,326.9     227.5   4.08     22,381.0     223.6   4.03     21,980.8     220.2   4.01   Non-Earning Assets   1,534.9         1,534.3         1,616.2       Total Assets $ 23,861.8       $ 23,915.3       $ 23,597.0                           Interest-Bearing Liabilities                   Interest-Bearing Deposits                   Demand $ 3,781.7   $ 7.4   0.78 % $ 3,839.0   $ 6.6   0.69 % $ 3,705.5   $ 7.6   0.82 % Savings   8,750.0     39.9   1.83     8,668.4     38.7   1.81     8,578.6     48.1   2.25   Time   2,707.6     18.5   2.75     2,753.6     19.6   2.89     3,050.0     26.8   3.52   Total Interest-Bearing Deposits   15,239.3     65.8   1.73     15,261.0     64.9   1.72     15,334.1     82.5   2.16   Securities Sold Under Agreements to Repurchase   50.0     0.5   3.88     50.0     0.5   3.89     50.0     0.5   3.88   Other Debt   593.3     6.2   4.20     560.9     5.8   4.23     558.3     5.9   4.23   Total Interest-Bearing Liabilities   15,882.6     72.5   1.83     15,871.9     71.2   1.82     15,942.4     88.9   2.24   Net Interest Income   $ 155.0       $ 152.4       $ 131.3     Interest Rate Spread     2.25 %     2.21 %     1.77 % Net Interest Margin     2.78 %     2.74 %     2.39 % Noninterest-Bearing Demand Deposits   5,587.6         5,654.4         5,365.6       Other Liabilities   529.1         521.8         584.6       Shareholders' Equity   1,862.5         1,867.2         1,704.4       Total Liabilities and Shareholders' Equity $ 23,861.8       $ 23,915.3       $ 23,597.0       1 Due to rounding, the amounts presented in this table may not tie to other amounts presented elsewhere in this report. 2 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $1.4 million, $1.4 million, and $1.6 million for the three months ended June 30, 2026, March 31, 2026, and June 30, 2025, respectively. 3 Non-performing loans and leases are included in the respective average loan and lease balances. Bank of Hawai‘i Corporation and Subsidiaries Average Balances and Interest Rates - Taxable-Equivalent Basis 1 Table 4b   Six Months Ended June 30, 2026   Six Months Ended June 30, 2025 (dollars in millions) Average Balance   Income/Expense 2   Yield/Rate   Average Balance   Income/Expense 2   Yield/Rate Earning Assets             Cash and Cash Equivalents $ 283.8   $ 5.1   3.54 % $ 426.4   $ 9.3   4.33 % Investment Securities             Available-for-Sale             Taxable   3,634.0     70.3   3.88     2,889.3     50.8   3.53   Non-Taxable   31.9     0.8   5.08     24.3     0.7   5.77   Held-to-Maturity             Taxable   4,133.2     36.3   1.76     4,505.1     39.8   1.77   Non-Taxable   33.5     0.4   2.10     34.1     0.4   2.10   Total Investment Securities   7,832.6     107.8   2.76     7,452.8     91.7   2.47   Loans Held for Sale   3.1     0.1   5.65     2.2     0.1   5.87   Loans and Leases 3             Commercial Mortgage   4,268.0     109.7   5.18     4,020.3     106.2   5.33   Commercial and Industrial   1,604.1     38.2   4.81     1,685.8     42.3   5.06   Construction   212.7     6.7   6.38     352.4     12.7   7.26   Commercial Lease Financing   85.7     1.8   4.27     92.3     1.8   3.95   Residential Mortgage   4,797.3     96.8   4.03     4,621.6     90.5   3.91   Home Equity   2,094.2     47.7   4.59     2,147.9     45.8   4.30   Automobile   681.0     18.9   5.61     741.3     18.8   5.10   Other   408.8     15.7   7.75     394.0     14.6   7.47   Total Loans and Leases   14,151.8     335.5   4.77     14,055.6     332.7   4.76   Other   82.5     2.6   6.33     65.2     2.1   6.70   Total Earning Assets   22,353.8     451.1   4.05     22,002.2     435.9   3.98   Non-Earning Assets   1,534.6         1,615.2       Total Assets $ 23,888.4       $ 23,617.4                     Interest-Bearing Liabilities             Interest-Bearing Deposits             Demand $ 3,810.2   $ 14.0   0.74 % $ 3,739.2   $ 14.7   0.79 % Savings   8,709.4     78.6   1.82     8,561.7     95.2   2.24   Time   2,730.5     38.1   2.82     3,043.7     54.3   3.60   Total Interest-Bearing Deposits   15,250.1     130.7   1.73     15,344.6     164.2   2.16   Securities Sold Under Agreements to Repurchase   50.0     1.0   3.89     63.3     1.2   3.88   Other Debt   577.2     12.0   4.21     568.2     11.9   4.23   Total Interest-Bearing Liabilities   15,877.3     143.7   1.83     15,976.1     177.3   2.24   Net Interest Income   $ 307.4       $ 258.6     Interest Rate Spread     2.22 %     1.74 % Net Interest Margin     2.76 %     2.36 % Noninterest-Bearing Demand Deposits   5,620.8         5,340.1       Other Liabilities   525.5         611.1       Shareholders’ Equity   1,864.8         1,690.1       Total Liabilities and Shareholders’ Equity $ 23,888.4       $ 23,617.4       1 Due to rounding, the amounts presented in this table may not tie to other amounts presented elsewhere in this report. 2 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $2.8 million and $3.1 million for the six months ended June 30, 2026 and June 30, 2025, respectively. 3 Non-performing loans and leases are included in the respective average loan and lease balances.   Bank of Hawai‘i Corporation and Subsidiaries Loan and Lease Portfolio Balances   Table 5 (dollars in thousands) June 30, 2026   March 31, 2026   December 31, 2025   September 30, 2025   June 30, 2025 Commercial                   Commercial Mortgage $ 4,319,221     $ 4,341,448     $ 4,205,791     $ 4,040,711     $ 4,038,956   Commercial and Industrial   1,676,535       1,575,207       1,584,245       1,581,232       1,597,560   Construction   164,504       204,993       208,584       380,944       374,768   Lease Financing   85,338       84,651       88,303       92,213       92,842   Total Commercial   6,245,598       6,206,299       6,086,923       6,095,100       6,104,126   Consumer                   Residential Mortgage   4,864,875       4,800,256       4,775,502       4,685,214       4,637,014   Home Equity   2,079,127       2,095,521       2,114,809       2,129,599       2,139,025   Automobile   674,899       680,570       690,376       699,244       715,688   Other   422,126       410,165       414,440       412,422       406,325   Total Consumer   8,041,027       7,986,512       7,995,127       7,926,479       7,898,052   Total Loans and Leases $ 14,286,625     $ 14,192,811     $ 14,082,050     $ 14,021,579     $ 14,002,178   Deposits (dollars in thousands) June 30, 2026   March 31, 2026   December 31, 2025   September 30, 2025   June 30, 2025 Consumer $ 10,454,082     $ 10,530,223     $ 10,466,617     $ 10,393,932     $ 10,429,271   Commercial   8,167,262       8,340,279       8,597,265       8,348,396       8,243,898   Public and Other   2,271,431       2,087,428       2,124,613       2,338,341       2,125,745   Total Deposits $ 20,892,775     $ 20,957,930     $ 21,188,495     $ 21,080,669     $ 20,798,914   Average Deposits   Three Months Ended (dollars in thousands) June 30, 2026   March 31, 2026   December 31, 2025   September 30, 2025   June 30, 2025 Consumer $ 10,474,385     $ 10,461,004     $ 10,373,200     $ 10,387,715     $ 10,435,867   Commercial   8,436,028       8,431,519       8,478,592       8,504,078       8,316,893   Public and Other   1,916,510       2,022,920       2,128,407       2,176,493       1,946,933   Total Deposits $ 20,826,923     $ 20,915,443     $ 20,980,199     $ 21,068,286     $ 20,699,693     Bank of Hawai‘i Corporation and Subsidiaries Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More Table 6 (dollars in thousands) June 30, 2026   March 31, 2026   December 31, 2025   September 30, 2025   June 30, 2025 Non-Performing Assets                   Non-Accrual Loans and Leases                   Commercial                   Commercial Mortgage $ -     $ -     $ 2,085     $ 2,498     $ 2,566   Commercial and Industrial   1,734       1,860       1,940       3,506       3,744   Total Commercial   1,734       1,860       4,025       6,004       6,310   Consumer                   Residential Mortgage   5,348       5,410       5,382       5,628       5,842   Home Equity   4,225       4,525       4,469       5,107       5,387   Total Consumer   9,573       9,935       9,851       10,735       11,229   Total Non-Accrual Loans and Leases   11,307       11,795       13,876       16,739       17,539   Foreclosed Real Estate   171       295       295       125       342   Total Non-Performing Assets $ 11,478     $ 12,090     $ 14,171     $ 16,864     $ 17,881   Accruing Loans and Leases Past Due 90 Days or More                   Consumer                   Residential Mortgage $ 8,887     $ 10,733     $ 8,834     $ 7,456     $ 9,070   Home Equity   3,503       1,556       2,152       2,765       1,867   Automobile   763       672       520       525       680   Other   965       764       753       578       630   Total Consumer   14,118       13,725       12,259       11,324       12,247   Total Accruing Loans and Leases Past Due 90 Days or More $ 14,118     $ 13,725     $ 12,259     $ 11,324     $ 12,247   Total Loans and Leases $ 14,286,625     $ 14,192,811     $ 14,082,050     $ 14,021,579     $ 14,002,178   Ratio of Non-Accrual Loans and Leases to Total Loans and Leases   0.08 %     0.08 %     0.10 %     0.12 %     0.13 % Ratio of Non-Performing Assets to Total Loans and Leases and Foreclosed Real Estate   0.08 %     0.09 %     0.10 %     0.12 %     0.13 % Ratio of Non-Performing Assets to Total Assets   0.05 %     0.05 %     0.06 %     0.07 %     0.08 % Ratio of Commercial Non-Performing Assets to Total Commercial Loans and Leases and Commercial Foreclosed Real Estate   0.03 %     0.03 %     0.07 %     0.10 %     0.10 % Ratio of Consumer Non-Performing Assets to Total Consumer Loans and Leases and Consumer Foreclosed Real Estate   0.12 %     0.13 %     0.13 %     0.14 %     0.15 % Ratio of Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More to Total Loans and Leases and Foreclosed Real Estate   0.18 %     0.18 %     0.19 %     0.20 %     0.22 %   Bank of Hawai‘i Corporation and Subsidiaries   Reserve for Credit Losses   Table 7   Three Months Ended   Six Months Ended (dollars in thousands) June 30, 2026   March 31, 2026   June 30, 2025   June 30, 2026   June 30, 2025 Balance at Beginning of Period $ 149,078   $ 148,403   $ 149,496   $ 148,403   $ 150,649   Loans and Leases Charged-Off           Commercial           Commercial and Industrial   (385 )   (230 )   (206 )   (615 )   (1,605 ) Consumer           Residential Mortgage   —     (15 )   —     (15 )   —   Home Equity   (219 )   (6 )   (155 )   (225 )   (230 ) Automobile   (1,735 )   (1,417 )   (1,253 )   (3,152 )   (3,004 ) Other   (2,400 )   (2,394 )   (2,397 )   (4,794 )   (4,881 ) Total Loans and Leases Charged-Off   (4,739 )   (4,062 )   (4,011 )   (8,801 )   (9,720 ) Recoveries on Loans and Leases Previously Charged-Off           Commercial           Commercial Mortgage   —     1,617     —     1,617     —   Commercial and Industrial   72     53     78     125     155   Consumer           Residential Mortgage   22     11     11     33     22   Home Equity   77     137     180     214     308   Automobile   626     579     557     1,205     1,190   Other   540     590     567     1,130     1,024   Total Recoveries on Loans and Leases   1,337     2,987     1,393     4,324     2,699   Net Charged-Off - Loans and Leases   (3,402 )   (1,075 )   (2,618 )   (4,477 )   (7,021 ) Provision for Credit Losses:           Loans and Leases   3,435     1,271     3,454     4,706     7,036   Unfunded Commitments   165     479     (204 )   644     (536 ) Total Provision for Credit Losses   3,600     1,750     3,250     5,350     6,500   Balance at End of Period $ 149,276   $ 149,078   $ 150,128   $ 149,276   $ 150,128   Components           Allowance for Credit Losses - Loans and Leases $ 146,995   $ 146,962   $ 148,543   $ 146,995   $ 148,543   Reserve for Unfunded Commitments   2,281     2,116     1,585     2,281     1,585   Total Reserve for Credit Losses $ 149,276   $ 149,078   $ 150,128   $ 149,276   $ 150,128   Average Loans and Leases Outstanding $ 14,218,951   $ 14,083,875   $ 14,049,025   $ 14,151,786   $ 14,055,563   Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding (annualized)   0.10 %   0.03 %   0.07 %   0.06 %   0.10 % Ratio of Allowance for Credit Losses to Loans and Leases Outstanding 1   1.03 %   1.04 %   1.06 %   1.03 %   1.06 % 1 The numerator comprises the Allowance for Credit Losses - Loans and Leases.   Bank of Hawai‘i Corporation and Subsidiaries     Reconciliation of Non-GAAP Financial Measures   Table 8 (dollars in thousands)   June 30, 2026   March 31, 2026   December 31, 2025   June 30, 2025 Total Shareholders' Equity   $ 1,875,467     $ 1,854,563     $ 1,851,212     $ 1,743,107   Less: Preferred Stock     345,000       345,000       345,000       345,000   Goodwill     31,517       31,517       31,517       31,517   Tangible Common Equity   $ 1,498,950     $ 1,478,046     $ 1,474,695     $ 1,366,590                     Total Assets   $ 23,842,940     $ 23,909,933     $ 24,176,364     $ 23,709,752   Less: Goodwill     31,517       31,517       31,517       31,517   Tangible Assets   $ 23,811,423     $ 23,878,416     $ 24,144,847     $ 23,678,235                     Risk-Weighted Assets, determined in accordance with prescribed regulatory requirements 1, 2   $ 14,442,396     $ 14,382,622     $ 14,246,238     $ 14,208,032                     Total Shareholders' Equity to Total Assets     7.87 %     7.76 %     7.66 %     7.35 % Tangible Common Equity to Tangible Assets (Non-GAAP)     6.30 %     6.19 %     6.11 %     5.77 %                   Tier 1 Capital Ratio 1     14.45 %     14.40 %     14.49 %     14.17 % Tangible Common Equity to Risk-Weighted Assets (Non-GAAP) 1     10.38 %     10.28 %     10.35 %     9.62 % 1 Regulatory capital ratios as of June 30, 2026 are preliminary. 2 Risk-Weighted Assets as of December 31, 2025 has been updated to reflect final reported amount.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260727404067/en/

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