S&T Bancorp, Inc. Q1 FY2026 earnings call

• Chris mentioned the busy week in Pittsburgh with the NFL draft, customer engagement events, and appreciation for employees. - Discussed strong deposit growth, loan balance decline factors, credit results, managed income, non-interest income, expenses, and share repurchases. - Dave talked about loan growth factors, adjusted loan growth guidance to low single digits for Q2, and credit results. - Mark discussed managed income decline reasons, NIM, non-interest income, expenses, and capital and TTE ratio changes.

Net income was $35 million, equating to $0.94 per share, up almost 6% from Q4 2025 and 8% from first quarter a year ago. ROA was 1.44%, up seven basis points; ROTCE was 13.22%, up almost 1% from Q4 2025. NIM was 3.92% and efficiency ratio was 55.3%. Customer deposits grew over $300 million, surpassing $8 billion, with DDA levels relative to total deposits at 28% in the quarter. Loan balances declined by $113 million in Q1. Non-performing assets were down $5.7 million to $50 million or 63 basis points. Loan charge-offs were $1.7 million or 9 basis points. Managed income declined by $2.6 million in first quarter. Non-interest income decreased by $0.7 million. Expenses were in line, down about $500,000 compared to fourth quarter. Capital and TTE ratio decreased by 43 basis points due to share purchases.

• Expect relative NIM stability to continue with net interest income growth from return of loan growth. - Adjusted loan growth guidance to low single digits for Q2. - Expect 2026 non-existent expense year-over-year increase to around 3%, implying quarterly run rate of around $58 million. - Target capital ratios to be above median peer level, between median and 75th percentile.

Justin Crowley asked about loan growth origination vs PAF activity and pipeline, hiring focus. Daniel Tomeo asked about capital, buyback authorization, and hiring in new markets. Kelly Mata asked about M&A conversations and deposit growth drivers. Tyler Cacciatore asked about M&A target ideal size and credit charge-offs. David Bishop asked about cash earmarked for loan growth and fee income augmentation.