hbt-20260331

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2026

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______ to

Commission file number: 001-39085

HBT Financial, Inc.

(Exact name of registrant as specified in its charter)


Delaware			37-1117216
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

401 North Hershey Rd Bloomington, Illinois 61704			(309) 662-4444
(Address of principal executive offices, including zip code)			(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	HBT	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☐	Accelerated filer	☒

Non-accelerated filer	☐	Smaller reporting company	☐

Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of April 29, 2026, there were 36,381,078 shares outstanding of the registrant’s common stock, $0.01 par value.

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TABLE OF CONTENTS

HBT Financial, Inc.


		Page

PART I. FINANCIAL INFORMATION		3
Item 1.	Consolidated Financial Statements	3
	Consolidated Balance Sheets	3
	Consolidated Statements of Income	4
	Consolidated Statements of Comprehensive Income	5
	Consolidated Statement of Changes in Stockholders’ Equity	6
	Consolidated Statements of Cash Flows	7
	Notes to Consolidated Financial Statements	9
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	52
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	82
Item 4.	Controls and Procedures	84
PART II. OTHER INFORMATION		85
Item 1.	Legal Proceedings	85
Item 1A.	Risk Factors	85
Item 2.	Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities	85
Item 3.	Defaults Upon Senior Securities	85
Item 4.	Mine Safety Disclosures	85
Item 5.	Other Information	86
Item 6.	Exhibits	87

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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain statements contained in this Quarterly Report are forward-looking statements. Forward-looking statements may include statements relating to our plans, strategies and expectations, near-term loan growth, net interest margin, mortgage banking profits, wealth management fees, expenses, asset quality, capital levels, continued earnings, and liquidity. Forward-looking statements are generally identifiable by use of the words "believe," "may," "will," "should," "could," "expect," "estimate," "intend," "anticipate," "project," "plan," "propose," "seek," "continue," "predict" or similar terminology and the negative forms of such words. Forward-looking statements are frequently based on assumptions that may or may not materialize and are subject to numerous uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. Factors that could cause actual results to differ materially from the results anticipated or projected and which could materially and adversely affect our operating results, financial condition or prospects include, but are not limited to:

•the strength of the local, state, national, and international economies and financial markets (including effects of inflationary pressures, global energy market conditions, the threat or implementation of tariffs, immigration enforcement and changes in foreign policy);

•policy changes in, and the interpretation and prioritization of, local, state and federal laws, regulations and governmental policies, including executive orders;

•the economic impact of any future terrorist threats and attacks, widespread disease or pandemics, acts of war or other threats thereof (including the Russian invasion of Ukraine and the conflicts in the Middle East), or other adverse events that could cause economic deterioration or instability in credit markets, and the response of the local, state and national governments to any such adverse external events;

•new and revised accounting policies and practices, as may be adopted by state and federal regulatory banking agencies, the Financial Accounting Standards Board or the Public Company Accounting Oversight Board;

•the imposition of tariffs or other governmental policies impacting the value of products produced by the Company's commercial borrowers;

•changes in interest rates and prepayment rates of the Company’s assets;

•increased competition in the financial services sector, including from non-bank competitors such as credit unions, private credit firms, fintech companies and digital asset service providers and the inability to attract new customers;

•technological changes implemented by us and other parties, including our third-party vendors, which may have unforeseen consequences to us and our customers, including the development and implementation of tools incorporating artificial intelligence;

•unexpected results of acquisitions, which may include failure to realize the anticipated benefits of acquisitions and the possibility that transaction costs may be greater than anticipated, including the acquisition of CNB Bank Shares, Inc. ("CNB");

•the loss of key executives and employees, talent shortages and employee turnover;

•changes in consumer spending;

•unexpected outcomes or costs of existing or new litigation or other legal proceedings and regulatory actions involving the Company;

•the economic impact on the Company and its customers of climate change, natural disasters and of exceptional weather occurrences such as tornadoes, floods and blizzards;

•fluctuations in the value of securities held in our securities portfolio, including as a result of changes in interest rates;

•credit risks and risks from concentrations (by type of borrower, geographic area, collateral and industry) within our loan portfolio (including commercial real estate loans) and large loans to certain borrowers;

•the overall health of the local and national real estate market;

•the ability to maintain an adequate level of allowance for credit losses on loans;

•the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and who may withdraw deposits to diversify their exposure;

•the ability to successfully manage liquidity risk, which may increase dependence on non-core funding sources such as brokered deposits, and may negatively impact the Company’s cost of funds;

•the level of nonperforming assets on our balance sheets;

•interruptions involving our information technology and communications systems or those of our third-party servicers;

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•the occurrence of fraudulent activity, breaches or failures of our third-party vendors’ information security controls or cybersecurity-related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud;

•the effectiveness of the Company’s risk management framework and internal disclosure controls and procedures;

•the ability of the Company to manage the risks associated with the foregoing as well as anticipated; and

•the factors discussed in "Risk Factors", "Management's Discussion and Analysis of Financial Condition and Results of Operations" or elsewhere in this Quarterly Report on Form 10-Q and in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (“SEC”) on March 6, 2026.

These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. Forward-looking statements speak only as of the date they are made. We do not undertake any obligation to update any forward-looking statement in the future, or to reflect circumstances and events that occur after the date on which the forward-looking statement was made.

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PART I. FINANCIAL INFORMATION

ITEM 1. CONSOLIDATED FINANCIAL STATEMENTS

HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS


	(Unaudited)
(dollars in thousands, except per share data)	March 31, 2026		December 31, 2025
ASSETS
Cash and due from banks	$	37,371	$	24,423
Interest-bearing deposits with banks	250,282		97,846
Cash and cash equivalents	287,653		122,269

Interest-bearing time deposits with banks	245		—
Debt securities available-for-sale, at fair value	1,025,992		813,101
Debt securities held-to-maturity (fair value of $420,524 at 2026 and $426,799 at 2025)	453,850		458,746
Equity securities with readily determinable fair value	3,355		3,322
Equity securities with no readily determinable fair value	6,395		2,612
Restricted stock, at cost	6,000		4,979
Loans held for sale	3,247		1,263

Loans, before allowance for credit losses	4,686,951		3,456,209
Allowance for credit losses	(60,474)		(41,690)
Loans, net of allowance for credit losses	4,626,477		3,414,519

Bank owned life insurance	37,677		24,660
Bank premises and equipment, net	90,973		73,642
Bank premises held for sale	337		—
Foreclosed assets	1,149		1,126
Goodwill	83,504		59,820
Intangible assets, net	44,313		15,117
Intangible assets held for sale	649		—
Mortgage servicing rights, at fair value	20,090		16,944
Investments in unconsolidated subsidiaries	1,614		1,614
Accrued interest receivable	35,313		23,779
Other assets	44,891		33,877
Total assets	$	6,773,724	$	5,071,390

LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Deposits:
Noninterest-bearing	$	1,342,192	$	1,049,043
Interest-bearing	4,461,256		3,310,220
Total deposits	5,803,448		4,359,263

Securities sold under agreements to repurchase	5,046		—
Federal Home Loan Bank advances	12,332		12,301
Subordinated notes	84,003		—
Junior subordinated debentures issued to capital trusts	52,924		52,909
Other liabilities	68,566		31,419
Total liabilities	6,026,319		4,455,892

COMMITMENTS AND CONTINGENCIES (Note 16)

Stockholders' Equity
Preferred stock, $0.01 par value; 25,000,000 shares authorized; none issued or outstanding	—		—
Common stock, $0.01 par value; 125,000,000 shares authorized; shares issued of 38,451,113 at 2026 and 32,899,104 at 2025; shares outstanding of 36,381,078 at 2026 and 31,431,924 at 2025	385		329
Surplus	446,555		298,548
Retained earnings	371,093		367,163
Accumulated other comprehensive income (loss)	(27,371)		(23,018)
Treasury stock at cost, 2,070,035 shares at 2026 and 1,467,180 at 2025	(43,257)		(27,524)
Total stockholders’ equity	747,405		615,498
Total liabilities and stockholders’ equity	$	6,773,724	$	5,071,390

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)


	Three Months Ended March 31,
(dollars in thousands, except per share data)		2026		2025

INTEREST AND DIVIDEND INCOME
Loans, including fees:
Taxable		$	58,881	$	53,369
Federally tax exempt		1,317		1,168
Debt securities:
Taxable		9,544		6,936
Federally tax exempt		658		469
Interest-bearing deposits in bank		1,276		1,065
Other interest and dividend income		163		131
Total interest and dividend income		71,839		63,138

INTEREST EXPENSE
Deposits		14,109		12,939
Securities sold under agreements to repurchase		16		22
Borrowings		209		109
Subordinated notes		278		470
Junior subordinated debentures issued to capital trusts		840		890
Total interest expense		15,452		14,430
Net interest income		56,387		48,708
PROVISION FOR CREDIT LOSSES		(156)		576
Net interest income after provision for credit losses		56,543		48,132

NONINTEREST INCOME
Card income		2,751		2,548
Wealth management fees		3,764		2,841
Service charges on deposit accounts		2,160		1,944
Mortgage servicing		983		990
Mortgage servicing rights fair value adjustment		197		(308)
Gains on sale of mortgage loans		331		252

Unrealized gains (losses) on equity securities		(112)		8
Gains (losses) on foreclosed assets		40		13
Gains (losses) on other assets		(210)		54
Income on bank owned life insurance		188		164
Other noninterest income		852		800
Total noninterest income		10,944		9,306

NONINTEREST EXPENSE
Salaries		23,061		17,053
Employee benefits		3,920		3,285
Occupancy of bank premises		3,124		2,625
Furniture and equipment		608		445
Data processing		11,794		2,717
Marketing and customer relations		1,144		1,144
Amortization of intangible assets		887		695

FDIC insurance		588		562
Loan collection and servicing		696		383
Foreclosed assets		60		5
Other noninterest expense		6,555		3,021
Total noninterest expense		52,437		31,935
INCOME BEFORE INCOME TAX EXPENSE		15,050		25,503
INCOME TAX EXPENSE		3,850		6,428
NET INCOME		$	11,200	$	19,075

EARNINGS PER SHARE - BASIC		$	0.34	$	0.60
EARNINGS PER SHARE - DILUTED		$	0.34	$	0.60
WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING		33,180,009		31,584,989

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Unaudited)


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

NET INCOME		$	11,200	$	19,075

OTHER COMPREHENSIVE INCOME (LOSS)
Unrealized gains (losses) on debt securities available-for-sale		(6,495)		11,085

Reclassification adjustment for amortization of net unrealized losses on debt securities transferred to held-to-maturity		449		504
Unrealized gains on derivative instruments		—		1
Reclassification adjustment for net settlements on derivative instruments		—		(36)
Total other comprehensive income (loss), before tax		(6,046)		11,554
Income tax expense (benefit)		(1,693)		3,235
Total other comprehensive income (loss)		(4,353)		8,319
TOTAL COMPREHENSIVE INCOME		$	6,847	$	27,394

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
(Unaudited)


	Common Stock							Accumulated Other Comprehensive Income (Loss)				Total Stockholders’ Equity
(dollars in thousands, except per share data)	Shares Outstanding	Amount		Surplus		Retained Earnings				Treasury Stock

Balance, December 31, 2025	31,431,924	$	329	$	298,548	$	367,163	$	(23,018)	$	(27,524)	$	615,498

Net income	—	—		—		11,200		—		—		11,200
Other comprehensive loss	—	—		—		—		(4,353)		—		(4,353)
Stock-based compensation	—	—		477		—		—		—		477
Issuance of common stock upon vesting of restricted stock units, net of tax withholdings	53,878	1		(645)		—		—		—		(644)
Issuance of common stock in CNB acquisition	5,498,131	55		148,175		—		—		—		148,230
Repurchase of common stock	(602,855)	—		—		—		—		(15,733)		(15,733)
Cash dividends and dividend equivalents ($0.23 per share)	—	—		—		(7,270)		—		—		(7,270)




Balance, March 31, 2026	36,381,078	$	385	$	446,555	$	371,093	$	(27,371)	$	(43,257)	$	747,405

Balance, December 31, 2024	31,559,366	$	328	$	297,297	$	316,764	$	(46,765)	$	(23,019)	$	544,605

Net income	—	—		—		19,075		—		—		19,075
Other comprehensive income	—	—		—		—		8,319		—		8,319
Stock-based compensation	—	—		419		—		—		—		419
Issuance of common stock upon vesting of restricted stock units, net of tax withholdings	72,065	1		(692)		—		—		—		(691)


Cash dividends and dividend equivalents ($0.21 per share)	—	—		—		(6,670)		—		—		(6,670)




Balance, March 31, 2025	31,631,431	$	329	$	297,024	$	329,169	$	(38,446)	$	(23,019)	$	565,057

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	11,200	$	19,075
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense	971		756
Provision for credit losses	(156)		576
Net amortization of debt securities	157		777
Deferred income tax expense	9,732		782
Stock-based compensation	477		419
Net accretion of discount and deferred loan fees on loans	(1,989)		(1,887)

Net unrealized loss (gain) on equity securities	112		(8)
Net loss on disposals of bank premises and equipment	—		5
Net gain on sales of bank premises held for sale	—		(59)
Impairment losses on bank premises held for sale	210		—
Net gain on sales of foreclosed assets	(40)		(27)
Write-down of foreclosed assets	—		14
Amortization of intangibles	887		695
Decrease (increase) in fair value of mortgage servicing rights	(197)		308

Amortization of discount and issuance costs on subordinated notes and debentures	21		35
Amortization of discount on Federal Home Loan Bank advances	31		66

Amortization of premium on time deposits	(252)		—
Mortgage loans originated for sale	(14,533)		(8,315)
Proceeds from sale of mortgage loans	13,167		7,432
Net gain on sale of mortgage loans	(331)		(252)
Increase in cash surrender value of bank owned life insurance	(188)		(164)

Decrease in accrued interest receivable	2,261		2,035
Decrease (increase) in other assets	(5,016)		2,270
Increase in other liabilities	11,997		5,907
Net cash provided by operating activities	28,521		30,440

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)
(Unaudited)


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

CASH FLOWS FROM INVESTING ACTIVITIES


Proceeds from sales of debt securities	313,077		—

Proceeds from paydowns, maturities, and calls of debt securities	40,305		36,553
Purchase of debt securities	(202,650)		(24,367)
Purchase of equity securities	(60)		—
Purchase of loans	—		(9,782)
Net decrease in loans	66,554		15,369

Proceeds from redemption of restricted stock	4,230		—

Purchases of bank premises and equipment	(2,723)		(1,275)

Proceeds from sales of bank premises held for sale	—		186
Proceeds from sales of foreclosed assets	292		159

Net cash received in acquisition of CNB Bank Shares, Inc.	15,036		—
Net cash provided by investing activities	234,061		16,843

CASH FLOWS FROM FINANCING ACTIVITIES
Net increase (decrease) in deposits	(72,401)		66,336
Net decrease in repurchase agreements	(13,308)		(26,271)

Proceeds from long-term Federal Home Loan Bank advances	—		1,800
Repayment of long-term Federal Home Loan Bank advances	(71,839)		(7,888)

Issuance of subordinated notes, net of issuance costs	83,997		—
Taxes paid related to the vesting of restricted stock units	(644)		(691)
Repurchase of common stock	(15,733)		—
Cash dividends and dividend equivalents paid	(7,270)		(6,670)
Net cash provided by (used in) financing activities	(97,198)		26,616

NET INCREASE IN CASH AND CASH EQUIVALENTS	165,384		73,899
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	122,269		137,692
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$	287,653	$	211,591

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid for interest	$	15,509	$	15,039




Net cash paid for income taxes	$	—	$	—

SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING ACTIVITIES
Transfers of loans to foreclosed assets	$	275	$	239

Transfers of bank premises and equipment to bank premises held for sale	$	337	$	—

See accompanying Notes to Consolidated Financial Statements (Unaudited)

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 1 – ACCOUNTING POLICIES

Basis of Presentation

HBT Financial, Inc. (“HBT Financial” or the “Company”) is headquartered in Bloomington, Illinois and is the holding company for Heartland Bank and Trust Company (“Heartland Bank” or the “Bank”). The Bank provides a comprehensive suite of financial products and services to consumers, businesses, and municipal entities throughout Illinois, eastern Iowa, and suburban St. Louis. Additionally, the Company is subject to the regulations of certain federal and state agencies and undergoes periodic examinations by those regulatory agencies.

The unaudited consolidated financial statements, including the notes thereto, have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”) interim reporting requirements. Certain information in footnote disclosures normally included in financial statements prepared in accordance with GAAP has been condensed or omitted pursuant to rules and regulations of the SEC. These interim unaudited consolidated financial statements and notes thereto should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 6, 2026.

The unaudited consolidated financial statements include all normal, recurring adjustments necessary for a fair presentation of the results for the interim periods. The results for interim periods are not necessarily indicative of results for a full year.

Use of Estimates

The accompanying consolidated financial statements have been prepared in conformity with GAAP. In preparing the financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported results of operations for the periods then ended.

Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to significant changes in the near term relate to the determination of the allowance for credit losses and fair value of assets acquired and liabilities assumed in business combinations.

Reclassifications

Certain prior period amounts have been reclassified to conform to the current period presentation without any impact on the reported amounts of net income or stockholders’ equity.

Subsequent Events

In preparing these consolidated financial statements, the Company has evaluated events and transactions for potential recognition or disclosure through the date the financial statements were issued.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Impact of Recently Adopted Accounting Standards

On January 1, 2026, the Company adopted Accounting Standards Update ("ASU") 2025-08, Financial Instruments - Credit Losses (Topic 326): Purchased Loans, which expands the population of acquired financial assets subject to the gross-up approach in Topic 326. Loans (excluding credit cards) acquired without credit deterioration and deemed "seasoned" are purchased seasoned loans and accounted for using the gross-up approach at acquisition. All non-PCD loans (excluding credit cards) that are acquired in a business combination are deemed seasoned. Other non-PCD loans (excluding credit cards) are seasoned if they were purchased at least 90 days after origination and the acquirer was not involved in the origination of the loans. This standard is applied on a prospective basis and eliminates the day 1 provision for credit losses which prior to adoption of ASU 2025-08 would have been recognized on eligible purchased loans, including the non-PCD loans acquired from CNB Bank Shares, Inc. ("CNB").

Recent Accounting Pronouncements

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. ASU 2024-03 provides more decision-useful information about a public entity's expenses by requiring additional detail on expenses reported in income statements. Under the ASU, public entities will provide detailed disclosure in interim and annual periods of specified categories underlying certain expense captions. The ASU requires public entities to apply the amendments prospectively, with an option to use retrospective application. The amendments in this update are effective for years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. This standard is not expected to have a material impact on the Company's consolidated results of operations or financial position.

In November 2025, the FASB issued ASU 2025-09, Derivatives and Hedging (Topic 815): Hedge Accounting Improvements. ASU 2025-09 provides clarification on certain aspects of the guidance on hedge accounting and addresses several incremental hedge accounting issues arising from the global reference rate reform. Consistent with the original objective of ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, the objective of ASU 2025-09 is to more closely align hedge accounting with the economics of an entity's risk management activities. The ASU requires public entities to apply the amendments prospectively. The amendments in this update are effective for years beginning after December 15, 2026, and interim periods within those annual reporting periods. Early adoption is permitted. This standard is not expected to have a material impact on the Company's consolidated results of operations or financial position.

In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements. ASU 2025-11 clarifies interim disclosure requirements and the applicability of Topic 270, Interim Reporting. The amendments result in a comprehensive list of interim disclosures required by GAAP. The amendment also adds a principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. The ASU allows public entities to apply the amendments either prospectively or retrospectively. The amendments in this update are effective for interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. This standard is not expected to have a material impact on the Company's consolidated results of operations or financial position.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 2 – BUSINESS COMBINATIONS

CNB Bank Shares, Inc.

On March 1, 2026, HBT Financial acquired 100% of the issued and outstanding common stock of CNB Bank Shares, Inc., the holding company for CNB Bank & Trust, N.A. (“CNB Bank”), pursuant to an Agreement and Plan of Merger dated October 20, 2025. Under the Agreement and Plan of Merger, CNB merged with and into HBT Financial, with HBT Financial as the surviving entity, immediately followed by the merger of CNB Bank with and into Heartland Bank, with Heartland Bank as the surviving entity.

At the effective time of the merger, each share of CNB was converted into the right to receive, subject to the election and proration procedures as provided in the Merger Agreement, one of the following: (i) 1.0434 shares of HBT Financial's common stock, or (ii) $27.73 in cash, or (iii) a combination of cash and HBT Financial common stock. Total consideration consisted of 5.5 million shares of HBT Financial's common stock and $33.8 million in cash. In lieu of fractional shares of HBT Financial stock, holders of CNB common stock received cash. Based on the closing price of HBT Financial common stock of $26.96 on February 27, 2026, the aggregate transaction value was approximately $182.1 million.

This transaction was accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed, and consideration exchanged were recorded at estimated fair values on the date of acquisition. Given the timing of the acquisition, fair values are subject to refinement up to one year after the closing date of March 1, 2026. Goodwill of $23.7 million was recorded in the acquisition, which reflects expected synergies from combining the operations of HBT Financial and CNB, and is nondeductible for tax purposes.

The acquisition of CNB further enhanced HBT Financial's footprint in the central Illinois, Chicago MSA, and suburban St. Louis markets. Acquisition-related expenses recognized during the three months ended March 31, 2026 and 2025 are summarized below.


	Three Months Ended
(dollars in thousands)		March 31, 2026		March 31, 2025

Salaries		$	4,003	$	—

Occupancy of bank premises		105		—
Furniture and equipment		63		—
Data processing		8,668		—
Marketing and customer relations		69		—


Loan collection and servicing		320		—

Professional fees and other noninterest expense		2,438		—

Total acquisition-related expenses		$	15,666	$	—

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The fair value of the assets acquired and liabilities assumed from CNB on the acquisition date of March 1, 2026 were as follows (dollars in thousands):


	Fair Value
Assets acquired:
Cash and cash equivalents	$	48,873
Interest-bearing time deposits with banks	245
Debt securities	364,930
Equity securities	3,868
Restricted stock	5,251
Loans held for sale	287

Loans, before allowance for credit losses	1,296,340
Allowance for credit losses	(19,957)
Loans, net of allowance for credit losses	1,276,383

Bank owned life insurance	12,829
Bank premises and equipment	16,126

Intangible assets	30,083
Intangible assets held for sale	649
Mortgage servicing rights	2,949

Accrued interest receivable	13,795
Other assets	13,995
Total assets acquired	1,790,263

Liabilities assumed:
Deposits	1,516,838
Repurchase Agreements	18,354
FHLB advances	71,839

Other liabilities	24,849
Total liabilities assumed	1,631,880
Net assets acquired	$	158,383

Consideration paid:
Cash	$	33,837
Common stock	148,230
Total consideration paid	$	182,067

Goodwill	$	23,684

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Of the loans acquired, there were $163.9 million which exhibited more-than-insignificant credit deterioration on the acquisition date. The following table provides a summary of these PCD loans at acquisition (dollars in thousands):


Unpaid principal balance	$	163,879
Allowance for credit losses at acquisition	(2,509)
Non-credit discount	(10,121)
Purchase price	$	151,249

Intangible assets consist of core deposit intangible and customer relationship intangible assets with definite useful lives which are amortized over a 10 year period.

CNB information was fully integrated into HBT Financial's processes and systems during the system conversion in the first quarter of 2026, and as a result standalone CNB financial results are not available.

The following table provides the pro forma information for the results of operations for the three months ended March 31, 2026 and 2025 as if the acquisition of CNB had occurred on January 1, 2025. The pro forma results combine the historical results of CNB into HBT Financial’s consolidated statements of income, including the impact of certain acquisition accounting adjustments, which include loan discount accretion, securities discount accretion, intangible assets amortization, deposit premium amortization, and borrowing premium amortization. The pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results that would have been obtained had the acquisition actually occurred on January 1, 2025. No assumptions have been applied to the pro forma results of operations regarding possible revenue enhancements, provision for credit losses, expense efficiencies or asset dispositions. The acquisition-related expenses that have been recognized are included in net income in the following table.


		Pro Forma
	Three Months Ended
(dollars in thousands, except per share data)			March 31, 2026		March 31, 2025
Total revenues (net interest income and noninterest income)			$	81,045	$	77,942
Net income			22,228		11,757
Earnings per share - basic			0.60		0.32
Earnings per share - diluted			0.60		0.32

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 3 – SECURITIES

Debt Securities

The amortized cost and fair values of debt securities, with gross unrealized gains and losses and allowance for credit losses, are as follows:


	March 31, 2026
(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Allowance for Credit Losses		Fair Value

Available-for-sale:
U.S. Treasury	$	79,825	$	—	$	(4,277)	$	—	$	75,548
U.S. government agency	110,402		187		(1,478)		—		109,111
Municipal	208,692		119		(14,618)		—		194,193
Mortgage-backed:
Agency residential	453,858		1,959		(9,988)		—		445,829
Agency commercial	142,810		95		(6,927)		—		135,978

Corporate	65,666		828		(1,161)		—		65,333
Total available-for-sale	$	1,061,253	$	3,188	$	(38,449)	$	—	$	1,025,992

	March 31, 2026
(dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Fair Value		Allowance for Credit Losses

Held-to-maturity:
U.S. government agency	$	88,501	$	—	$	(5,292)	$	83,209	$	—
Municipal	28,205		186		(90)		28,301		—
Mortgage-backed:
Agency residential	73,534		6		(3,018)		70,522		—
Agency commercial	263,610		16		(25,134)		238,492		—
Total held-to-maturity	$	453,850	$	208	$	(33,534)	$	420,524	$	—

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


	December 31, 2025
(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Allowance for Credit Losses		Fair Value

Available-for-sale:
U.S. Treasury	$	89,796	$	—	$	(4,252)	$	—	$	85,544
U.S. government agency	42,399		146		(1,123)		—		41,422
Municipal	152,144		188		(12,062)		—		140,270
Mortgage-backed:
Agency residential	364,567		3,605		(7,377)		—		360,795
Agency commercial	127,004		107		(7,174)		—		119,937

Corporate	65,957		621		(1,445)		—		65,133
Total available-for-sale	$	841,867	$	4,667	$	(33,433)	$	—	$	813,101

	December 31, 2025
(dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Fair Value		Allowance for Credit Losses

Held-to-maturity:
U.S. government agency	$	88,496	$	—	$	(4,850)	$	83,646	$	—
Municipal	28,214		353		(58)		28,509		—
Mortgage-backed:
Agency residential	75,536		23		(2,544)		73,015		—
Agency commercial	266,500		25		(24,896)		241,629		—
Total held-to-maturity	$	458,746	$	401	$	(32,348)	$	426,799	$	—

As of March 31, 2026 and December 31, 2025, the Bank had debt securities with a carrying value of $515.9 million and $412.8 million, respectively, which were pledged to secure public deposits, securities sold under agreements to repurchase, available borrowing capacity, and for other purposes required or permitted by law.

The amortized cost and fair value of debt securities by contractual maturity, as of March 31, 2026, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.


	Available-for-Sale				Held-to-Maturity
(dollars in thousands)	Amortized Cost		Fair Value		Amortized Cost		Fair Value

Due in 1 year or less	$	41,806	$	41,190	$	7,330	$	7,292
Due after 1 year through 5 years	176,007		164,871		73,183		70,399
Due after 5 years through 10 years	179,918		174,361		34,261		31,952
Due after 10 years	66,854		63,763		1,932		1,867

Mortgage-backed:
Agency residential	453,858		445,829		73,534		70,522
Agency commercial	142,810		135,978		263,610		238,492
Total	$	1,061,253	$	1,025,992	$	453,850	$	420,524

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following table presents gross unrealized losses and fair value of debt securities available-for-sale that do not have an associated allowance for credit losses as of March 31, 2026 and December 31, 2025, aggregated by category and length of time that individual debt securities have been in a continuous unrealized loss position:


	March 31, 2026
	Investments in a Continuous Unrealized Loss Position
	Less than 12 Months				12 Months or More				Total
(dollars in thousands)	Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value

Available-for-sale:
U.S. Treasury	$	—	$	—	$	(4,277)	$	75,548	$	(4,277)	$	75,548
U.S. government agency	(394)		48,259		(1,084)		29,252		(1,478)		77,511
Municipal	(2,072)		56,417		(12,546)		122,850		(14,618)		179,267
Mortgage-backed:
Agency residential	(2,688)		194,821		(7,300)		100,089		(9,988)		294,910
Agency commercial	(146)		26,285		(6,781)		90,814		(6,927)		117,099
Corporate	(31)		7,454		(1,130)		20,191		(1,161)		27,645
Total available-for-sale	$	(5,331)	$	333,236	$	(33,118)	$	438,744	$	(38,449)	$	771,980


	December 31, 2025
	Investments in a Continuous Unrealized Loss Position
	Less than 12 Months				12 Months or More				Total
(dollars in thousands)	Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value

Available-for-sale:
U.S. Treasury	$	—	$	—	$	(4,252)	$	85,544	$	(4,252)	$	85,544
U.S. government agency	(18)		2,956		(1,105)		30,744		(1,123)		33,700
Municipal	(35)		4,525		(12,027)		123,881		(12,062)		128,406
Mortgage-backed:
Agency residential	(231)		45,392		(7,146)		121,114		(7,377)		166,506
Agency commercial	(7)		4,442		(7,167)		95,580		(7,174)		100,022
Corporate	(57)		8,728		(1,388)		24,932		(1,445)		33,660
Total available-for-sale	$	(348)	$	66,043	$	(33,085)	$	481,795	$	(33,433)	$	547,838

As of March 31, 2026, there were 508 debt securities in an unrealized loss position for a period of 12 months or more, and 194 debt securities in an unrealized loss position for a period of less than 12 months.

U.S. Treasury, U.S. government agency, and agency mortgage-backed securities are considered to have no risk of credit loss as they are either explicitly or implicitly guaranteed by the U.S. government. The changes in fair value in these portfolios are considered to be primarily driven by changes in market interest rates and other non-credit risks, such as prepayment and liquidity risks.

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Municipal securities include general obligation bonds, which have a very low historical default rate due to issuers generally having taxing authority to service the debt, and represent approximately 74% of the total fair value of our municipal securities portfolio as of March 31, 2026. The remainder of the municipal securities are also of high credit quality with ratings of A1/A+ or better. The Company evaluates credit risk through monitoring credit ratings and reviews of available financial data. The changes in fair value in municipal securities were considered to be primarily driven by changes in market interest rates and other non-credit risks, such as call and liquidity risks. The estimated allowance for credit losses for the municipal debt securities held-to-maturity was deemed insignificant.

Corporate securities include investment grade corporate and bank subordinated debt securities. The Company evaluates credit risk through monitoring credit ratings, reviews of available issuer financial data, and sector trends. The changes in fair value in corporate securities were considered to be primarily driven by changes in market interest rates and other non-credit risks, such as call and liquidity risks.

As of March 31, 2026, the Company did not intend to sell the debt securities that are in an unrealized loss position, and it was more likely than not that the Company would recover the amortized cost prior to being required to sell the debt securities.

Accrued interest on debt securities is excluded from the estimate of credit losses and totaled $6.7 million and $5.5 million as of March 31, 2026 and December 31, 2025, respectively.

Sales of debt securities were as follows during the three months ended March 31:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Proceeds from sales		$	313,077	$	—
Gross realized gains		—		—
Gross realized losses		—		—

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Equity Securities

Equity securities with readily determinable fair values are measured at fair value with changes in fair value recognized in unrealized gains (losses) on equity securities on the consolidated statements of income. The Company has elected to measure equity securities with no readily determinable fair value at cost minus impairment, if any, plus or minus changes resulting from observable price changes for identical or similar securities of the same issuer.

The initial cost and carrying values of equity securities, with cumulative net unrealized gains and losses were as follows:


	March 31, 2026
(dollars in thousands)	Readily Determinable Fair Value		No Readily Determinable Fair Value

Initial cost	$	3,269	$	6,764
Cumulative net unrealized gains (losses)	86		(369)
Carrying value	$	3,355	$	6,395


	December 31, 2025
(dollars in thousands)	Readily Determinable Fair Value		No Readily Determinable Fair Value

Initial cost	$	3,124	$	2,981
Cumulative net unrealized gains (losses)	198		(369)
Carrying value	$	3,322	$	2,612

As of March 31, 2026 and December 31, 2025, the cumulative net unrealized losses on equity securities with no readily determinable fair value reflect impairments of $0.2 million and downward adjustments based on observable price changes of an identical investment of $0.2 million. There have been no upward adjustments based on observable price changes to equity securities with no readily determinable fair value.

Unrealized gains (losses) on equity securities were as follows during the three months ended March 31, 2026 and 2025:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Readily determinable fair value		$	(112)	$	8
No readily determinable fair value		—		—
Unrealized gains (losses) on equity securities		$	(112)	$	8

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 4 – LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES

Major categories of loans are summarized as follows:


(dollars in thousands)	March 31, 2026		December 31, 2025

Commercial and industrial	$	528,301	$	399,760
Commercial real estate - owner occupied	519,847		320,434
Commercial real estate - non-owner occupied	1,099,784		937,094
Construction and land development	425,335		280,254
Multi-family	638,653		544,941
One-to-four family residential	614,563		445,463
Agricultural and farmland	596,294		275,251
Municipal, consumer, and other	264,174		253,012
Loans, before allowance for credit losses	4,686,951		3,456,209
Allowance for credit losses	(60,474)		(41,690)
Loans, net of allowance for credit losses	$	4,626,477	$	3,414,519

Allowance for Credit Losses

Management estimates the allowance for credit losses using relevant available information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. The discounted cash flow method is used to estimate expected credit losses for all loan categories, except for consumer loans where the weighted average remaining maturity method is utilized.

At March 31, 2026, the economic forecast used by management anticipates that the unemployment rate will remain relatively flat and that gross domestic product ("GDP") will grow at a modest pace during the next four quarters. After the forecast period, the Company reverts to long-term averages over a four-quarter reversion period. Additionally, management has made qualitative adjustments to the loss estimates to reflect other factors that influence credit losses.

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables detail activity in the allowance for credit losses:


	Three Months Ended March 31, 2026
(dollars in thousands)	Commercial and Industrial		Commercial Real Estate Owner Occupied		Commercial Real Estate Non-owner Occupied		Construction and Land Development		Multi-Family		One-to-four Family Residential		Agricultural and Farmland		Municipal, Consumer, and Other		Total

Beginning balance	$	6,975	$	4,383	$	8,705	$	3,899	$	5,484	$	3,535	$	758	$	7,951	$	41,690
Allowance established in acquisition	3,415		3,775		3,103		3,475		2,117		2,202		991		879		19,957
Provision for credit losses	(136)		492		(225)		(867)		(379)		(117)		138		679		(415)
Charge-offs	(584)		(246)		—		(1)		—		(6)		—		(164)		(1,001)
Recoveries	123		2		15		1		3		31		4		64		243
Ending balance	$	9,793	$	8,406	$	11,598	$	6,507	$	7,225	$	5,645	$	1,891	$	9,409	$	60,474

	Three Months Ended March 31, 2025
(dollars in thousands)	Commercial and Industrial		Commercial Real Estate Owner Occupied		Commercial Real Estate Non-owner Occupied		Construction and Land Development		Multi-Family		One-to-four Family Residential		Agricultural and Farmland		Municipal, Consumer, and Other		Total

Beginning balance	$	5,357	$	3,107	$	11,707	$	4,302	$	4,331	$	3,908	$	1,170	$	8,162	$	42,044

Provision for credit losses	1,055		192		(514)		324		(213)		(112)		108		(344)		496
Charge-offs	(385)		(1)		—		(6)		—		(85)		—		(188)		(665)
Recoveries	59		2		—		1		—		44		38		92		236
Ending balance	$	6,086	$	3,300	$	11,193	$	4,621	$	4,118	$	3,755	$	1,316	$	7,722	$	42,111

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Gross charge-offs, further sorted by origination year, were as follows during the three months ended March 31, 2026 and 2025.


	Gross Charge-Offs for the Three Months Ended March 31, 2026
	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
(dollars in thousands)	2026		2025		2024		2023		2022		Prior

Commercial and industrial	$	—	$	402	$	—	$	90	$	58	$	—	$	34	$	—	$	584
Commercial real estate - owner occupied	—		212		—		—		—		—		34		—		246
Commercial real estate - non-owner occupied	—		—		—		—		—		—		—		—		—
Construction and land development	—		—		—		—		—		1		—		—		1
Multi-family	—		—		—		—		—		—		—		—		—
One-to-four family residential	—		—		—		1		1		3		1		—		6
Agricultural and farmland	—		—		—		—		—		—		—		—		—
Municipal, consumer, and other	26		74		7		—		—		—		57		—		164
Total	$	26	$	688	$	7	$	91	$	59	$	4	$	126	$	—	$	1,001

	Gross Charge-Offs for the Three Months Ended March 31, 2025
	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
(dollars in thousands)	2025		2024		2023		2022		2021		Prior

Commercial and industrial	$	—	$	—	$	319	$	—	$	46	$	—	$	20	$	—	$	385
Commercial real estate - owner occupied	—		—		—		—		1		—		—		—		1
Commercial real estate - non-owner occupied	—		—		—		—		—		—		—		—		—
Construction and land development	—		—		—		2		—		4		—		—		6
Multi-family	—		—		—		—		—		—		—		—		—
One-to-four family residential	—		—		—		1		—		81		3		—		85
Agricultural and farmland	—		—		—		—		—		—		—		—		—
Municipal, consumer, and other	67		60		1		—		—		—		60		—		188
Total	$	67	$	60	$	320	$	3	$	47	$	85	$	83	$	—	$	665

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables present loans and the related allowance for credit losses by category:


	March 31, 2026
(dollars in thousands)	Commercial and Industrial		Commercial Real Estate Owner Occupied		Commercial Real Estate Non-owner Occupied		Construction and Land Development		Multi-Family		One-to-four Family Residential		Agricultural and Farmland		Municipal, Consumer, and Other		Total

Loan balances:
Collectively evaluated	$	526,325	$	517,108	$	1,095,556	$	424,335	$	638,591	$	607,233	$	595,366	$	250,675	$	4,655,189
Individually evaluated	1,976		2,739		4,228		1,000		62		7,330		928		13,499		31,762
Total	$	528,301	$	519,847	$	1,099,784	$	425,335	$	638,653	$	614,563	$	596,294	$	264,174	$	4,686,951

Allowance for credit losses:
Collectively evaluated	$	9,135	$	7,482	$	11,598	$	6,501	$	7,225	$	5,519	$	1,891	$	8,039	$	57,390
Individually evaluated	658		924		—		6		—		126		—		1,370		3,084
Total	$	9,793	$	8,406	$	11,598	$	6,507	$	7,225	$	5,645	$	1,891	$	9,409	$	60,474

	December 31, 2025
(dollars in thousands)	Commercial and Industrial		Commercial Real Estate Owner Occupied		Commercial Real Estate Non-owner Occupied		Construction and Land Development		Multi-Family		One-to-four Family Residential		Agricultural and Farmland		Municipal, Consumer, and Other		Total

Loan balances:
Collectively evaluated	$	398,573	$	318,669	$	932,972	$	280,254	$	544,941	$	442,029	$	274,086	$	239,364	$	3,430,888
Individually evaluated	1,187		1,765		4,122		—		—		3,434		1,165		13,648		25,321
Total	$	399,760	$	320,434	$	937,094	$	280,254	$	544,941	$	445,463	$	275,251	$	253,012	$	3,456,209

Allowance for credit losses:
Collectively evaluated	$	6,739	$	3,764	$	8,705	$	3,899	$	5,484	$	3,525	$	758	$	6,691	$	39,565
Individually evaluated	236		619		—		—		—		10		—		1,260		2,125
Total	$	6,975	$	4,383	$	8,705	$	3,899	$	5,484	$	3,535	$	758	$	7,951	$	41,690

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables present collateral dependent loans, by the primary collateral type, which are individually evaluated to determine expected credit losses, and the related allowance for credit losses allocated to these loans:


	March 31, 2026
	Amortized Cost								Allowance for Credit Losses
	Primary Collateral Type
(dollars in thousands)	Real Estate		Vehicles		Other		Total

Commercial and industrial	$	—	$	416	$	1,560	$	1,976	$	658
Commercial real estate - owner occupied	2,562		—		177		2,739		924
Commercial real estate - non-owner occupied	4,177		—		51		4,228		—
Construction and land development	1,000		—		—		1,000		6
Multi-family	62		—		—		62		—
One-to-four family residential	7,330		—		—		7,330		126
Agricultural and farmland	55		—		873		928		—
Municipal, consumer, and other	9,652		8		3,839		13,499		1,370
Total	$	24,838	$	424	$	6,500	$	31,762	$	3,084

	December 31, 2025
	Amortized Cost								Allowance for Credit Losses
	Primary Collateral Type
(dollars in thousands)	Real Estate		Vehicles		Other		Total

Commercial and industrial	$	—	$	362	$	825	$	1,187	$	236
Commercial real estate - owner occupied	1,765		—		—		1,765		619
Commercial real estate - non-owner occupied	4,122		—		—		4,122		—
Construction and land development	—		—		—		—		—
Multi-family	—		—		—		—		—
One-to-four family residential	3,434		—		—		3,434		10
Agricultural and farmland	736		—		429		1,165		—
Municipal, consumer, and other	9,768		—		3,880		13,648		1,260
Total	$	19,825	$	362	$	5,134	$	25,321	$	2,125

Accrued interest on loans is excluded from the estimate of credit losses and totaled $28.2 million and $18.2 million as of March 31, 2026 and December 31, 2025, respectively.

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Past Due and Nonaccrual Status

Past due status is based on the contractual terms of the loan. Typically, loans are placed on nonaccrual when they reach 90 days past due, or when, in management’s opinion, there is reasonable doubt regarding the collection of the amounts due through the normal means of the borrower. Interest accrued and unpaid at the time a loan is placed on nonaccrual status is reversed from interest income. Interest payments received on nonaccrual loans are recognized in accordance with our significant accounting policies. Once a loan is placed on nonaccrual status, the borrower must generally demonstrate at least six months of payment performance and we must believe that all remaining principal and interest is fully collectible, before the loan is eligible to return to accrual status.

The following tables present loans by category based on current payment and accrual status:


	March 31, 2026
	Accruing Interest
(dollars in thousands)	Current		30 - 89 Days Past Due		90+ Days Past Due		Nonaccrual		Total Loans

Commercial and industrial	$	525,532	$	1,264	$	—	$	1,505	$	528,301
Commercial real estate - owner occupied	517,109		522		—		2,216		519,847
Commercial real estate - non-owner occupied	1,098,193		1,435		—		156		1,099,784
Construction and land development	424,236		99		—		1,000		425,335
Multi-family	638,478		113		—		62		638,653
One-to-four family residential	605,555		1,678		—		7,330		614,563
Agricultural and farmland	593,964		1,402		—		928		596,294
Municipal, consumer, and other	263,859		283		—		32		264,174
Total	$	4,666,926	$	6,796	$	—	$	13,229	$	4,686,951


	December 31, 2025
	Accruing Interest
(dollars in thousands)	Current		30 - 89 Days Past Due		90+ Days Past Due		Nonaccrual		Total Loans

Commercial and industrial	$	397,254	$	1,319	$	—	$	1,187	$	399,760
Commercial real estate - owner occupied	318,094		575		—		1,765		320,434
Commercial real estate - non-owner occupied	934,230		2,864		—		—		937,094
Construction and land development	279,980		274		—		—		280,254
Multi-family	544,941		—		—		—		544,941
One-to-four family residential	440,247		1,782		—		3,434		445,463
Agricultural and farmland	274,086		—		—		1,165		275,251
Municipal, consumer, and other	252,814		193		—		5		253,012
Total	$	3,441,646	$	7,007	$	—	$	7,556	$	3,456,209

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables present nonaccrual loans with and without a related allowance for credit losses:


	March 31, 2026
(dollars in thousands)	Nonaccrual With Allowance for Credit Losses		Nonaccrual With No Allowance for Credit Losses		Total Nonaccrual

Commercial and industrial	$	836	$	669	$	1,505
Commercial real estate - owner occupied	740		1,476		2,216
Commercial real estate - non-owner occupied	—		156		156
Construction and land development	6		994		1,000
Multi-family	—		62		62
One-to-four family residential	704		6,626		7,330
Agricultural and farmland	—		928		928
Municipal, consumer, and other	19		13		32
Total	$	2,305	$	10,924	$	13,229

	December 31, 2025
(dollars in thousands)	Nonaccrual With Allowance for Credit Losses		Nonaccrual With No Allowance for Credit Losses		Total Nonaccrual

Commercial and industrial	$	565	$	622	$	1,187
Commercial real estate - owner occupied	886		879		1,765
Commercial real estate - non-owner occupied	—		—		—
Construction and land development	—		—		—
Multi-family	—		—		—
One-to-four family residential	133		3,301		3,434
Agricultural and farmland	—		1,165		1,165
Municipal, consumer, and other	—		5		5
Total	$	1,584	$	5,972	$	7,556

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Credit Quality Indicators

The Company assigns a risk rating to all loans and periodically performs detailed internal reviews of all loans that are part of relationships with over $750 thousand in total exposure to identify credit risks and to assess the overall collectability of the portfolio. During these internal reviews, management monitors and analyzes the financial condition of borrowers and guarantors, trends in the industries in which the borrowers operate and the fair values of collateral securing the loans. These credit quality indicators are used to assign a risk rating to each individual loan. Risk ratings are reviewed annually, at a minimum, and on an as needed basis depending on the specific circumstances of the loan. These risk ratings are also subject to review by the Company’s regulators, external loan review, and internal loan review. Risk ratings are grouped into the following major categories:

Pass – a pass loan is a credit with no existing or known potential weaknesses deserving of management’s close attention.

Pass-Watch – a pass-watch loan is still considered a "pass" credit and is not a classified or criticized asset, but is a reflection of a borrower who exhibits credit weaknesses or downward trends warranting close attention and increased monitoring. These potential weaknesses may result in deterioration of the repayment prospects for the loan. No loss of principal or interest is expected, and the borrower does not pose sufficient risk to warrant a special mention, substandard, or doubtful classification.

Special Mention – a special mention loan has potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the assets or in the institution's credit position at some future date. Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification.

Substandard – a substandard loan is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt. They are characterized as probable that the borrower will not pay principal and interest in accordance with the contractual terms.

Doubtful – a doubtful loan has all the weaknesses inherent in one classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. There were no loans classified as doubtful as of March 31, 2026 and December 31, 2025.

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables present loans by category based on their assigned risk ratings determined by management:


	March 31, 2026
(dollars in thousands)	Pass		Pass-Watch		Special Mention		Substandard		Total

Commercial and industrial	$	472,076	$	32,810	$	10,060	$	13,355	$	528,301
Commercial real estate - owner occupied	480,277		23,607		3,321		12,642		519,847
Commercial real estate - non-owner occupied	1,026,046		64,720		1,600		7,418		1,099,784
Construction and land development	419,964		3,350		702		1,319		425,335
Multi-family	589,997		47,283		—		1,373		638,653
One-to-four family residential	586,920		12,699		1,377		13,567		614,563
Agricultural and farmland	491,430		71,449		13,936		19,479		596,294
Municipal, consumer, and other	250,479		87		17		13,591		264,174
Total	$	4,317,189	$	256,005	$	31,013	$	82,744	$	4,686,951


	December 31, 2025
(dollars in thousands)	Pass		Pass-Watch		Special Mention		Substandard		Total

Commercial and industrial	$	369,941	$	18,960	$	2,591	$	8,268	$	399,760
Commercial real estate - owner occupied	291,831		17,681		3,774		7,148		320,434
Commercial real estate - non-owner occupied	889,380		33,391		308		14,015		937,094
Construction and land development	269,932		540		975		8,807		280,254
Multi-family	503,133		41,808		—		—		544,941
One-to-four family residential	431,553		5,741		1,646		6,523		445,463
Agricultural and farmland	246,820		13,625		2,494		12,312		275,251
Municipal, consumer, and other	239,322		20		—		13,670		253,012
Total	$	3,241,912	$	131,766	$	11,788	$	70,743	$	3,456,209

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Risk ratings of loans, further sorted by origination year, are as follows as of March 31, 2026:


(dollars in thousands)	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
	2026		2025		2024		2023		2022		Prior
Commercial and industrial
Pass	$	27,879	$	68,921	$	49,541	$	47,923	$	40,609	$	28,845	$	206,242	$	2,116	$	472,076
Pass-Watch	774		802		2,295		1,685		512		1,154		25,370		218		32,810
Special Mention	19		39		250		—		174		23		9,255		300		10,060
Substandard	40		1,318		596		1,073		1,545		1,206		6,652		925		13,355
Total	$	28,712	$	71,080	$	52,682	$	50,681	$	42,840	$	31,228	$	247,519	$	3,559	$	528,301

Commercial real estate - owner occupied
Pass	$	17,177	$	94,724	$	84,922	$	43,300	$	85,040	$	132,395	$	22,415	$	304	$	480,277
Pass-Watch	403		4,836		2,315		609		3,729		4,639		7,029		47		23,607
Special Mention	—		1,650		—		—		—		171		1,500		—		3,321
Substandard	1,565		1,319		712		145		3,515		3,105		2,250		31		12,642
Total	$	19,145	$	102,529	$	87,949	$	44,054	$	92,284	$	140,310	$	33,194	$	382	$	519,847

Commercial real estate - non-owner occupied
Pass	$	71,009	$	240,195	$	93,134	$	105,251	$	196,768	$	294,200	$	22,905	$	2,584	$	1,026,046
Pass-Watch	5,057		11,567		6,670		2,442		13,975		24,526		483		—		64,720
Special Mention	—		—		—		—		—		1,600		—		—		1,600
Substandard	4,073		—		407		206		64		2,668		—		—		7,418
Total	$	80,139	$	251,762	$	100,211	$	107,899	$	210,807	$	322,994	$	23,388	$	2,584	$	1,099,784

Construction and land development
Pass	$	68,699	$	238,685	$	72,922	$	24,698	$	2,587	$	6,043	$	4,544	$	1,786	$	419,964
Pass-Watch	2,391		684		243		—		17		15		—		—		3,350
Special Mention	—		333		—		—		—		—		—		369		702
Substandard	—		999		—		271		—		49		—		—		1,319
Total	$	71,090	$	240,701	$	73,165	$	24,969	$	2,604	$	6,107	$	4,544	$	2,155	$	425,335

Multi-family
Pass	$	13,489	$	209,695	$	55,194	$	81,175	$	84,232	$	143,085	$	2,113	$	1,014	$	589,997
Pass-Watch	4,802		—		—		11,984		29,259		1,238		—		—		47,283
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	—		62		—		1,027		—		284		—		—		1,373
Total	$	18,291	$	209,757	$	55,194	$	94,186	$	113,491	$	144,607	$	2,113	$	1,014	$	638,653

One-to-four family residential
Pass	$	60,627	$	98,675	$	43,594	$	59,278	$	94,740	$	146,539	$	77,982	$	5,485	$	586,920
Pass-Watch	2,796		2,363		192		832		1,259		4,589		392		276		12,699
Special Mention	106		—		—		311		901		—		59		—		1,377
Substandard	50		2,841		325		1,920		574		6,807		597		453		13,567
Total	$	63,579	$	103,879	$	44,111	$	62,341	$	97,474	$	157,935	$	79,030	$	6,214	$	614,563

Agricultural and farmland
Pass	$	28,074	$	90,957	$	59,338	$	41,588	$	31,195	$	87,365	$	138,152	$	14,761	$	491,430
Pass-Watch	840		13,453		3,067		5,809		2,950		26,135		19,124		71		71,449
Special Mention	61		3,278		605		1,802		826		3,033		3,186		1,145		13,936
Substandard	122		2,316		782		1,449		2,455		5,814		6,538		3		19,479
Total	$	29,097	$	110,004	$	63,792	$	50,648	$	37,426	$	122,347	$	167,000	$	15,980	$	596,294

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


(dollars in thousands)	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
	2026		2025		2024		2023		2022		Prior
Municipal, consumer, and other
Pass	$	31,925	$	53,852	$	30,154	$	19,515	$	15,394	$	57,460	$	42,159	$	20	$	250,479
Pass-Watch	—		35		—		—		6		33		13		—		87
Special Mention	—		3		—		—		14		—		—		—		17
Substandard	2		23		26		33		5		13,498		4		—		13,591
Total	$	31,927	$	53,913	$	30,180	$	19,548	$	15,419	$	70,991	$	42,176	$	20	$	264,174

Total by risk rating
Pass	$	318,879	$	1,095,704	$	488,799	$	422,728	$	550,565	$	895,932	$	516,512	$	28,070	$	4,317,189
Pass-Watch	17,063		33,740		14,782		23,361		51,707		62,329		52,411		612		256,005
Special Mention	186		5,303		855		2,113		1,915		4,827		14,000		1,814		31,013
Substandard	5,852		8,878		2,848		6,124		8,158		33,431		16,041		1,412		82,744
Total	$	341,980	$	1,143,625	$	507,284	$	454,326	$	612,345	$	996,519	$	598,964	$	31,908	$	4,686,951

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Risk ratings of loans, further sorted by origination year, are as follows as of December 31, 2025:


(dollars in thousands)	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
	2025		2024		2023		2022		2021		Prior
Commercial and industrial
Pass	$	45,966	$	46,995	$	39,709	$	30,655	$	7,983	$	15,680	$	171,444	$	11,509	$	369,941
Pass-Watch	457		145		1,328		254		821		12		15,847		96		18,960
Special Mention	134		—		36		331		—		—		255		1,835		2,591
Substandard	198		514		743		1,122		110		705		3,821		1,055		8,268
Total	$	46,755	$	47,654	$	41,816	$	32,362	$	8,914	$	16,397	$	191,367	$	14,495	$	399,760

Commercial real estate - owner occupied
Pass	$	53,050	$	59,585	$	20,402	$	47,115	$	43,983	$	50,548	$	16,267	$	881	$	291,831
Pass-Watch	4,739		1,352		199		1,729		1,897		681		7,084		—		17,681
Special Mention	2,274		—		—		—		—		—		1,500		—		3,774
Substandard	2,267		—		158		1,842		1,146		713		457		565		7,148
Total	$	62,330	$	60,937	$	20,759	$	50,686	$	47,026	$	51,942	$	25,308	$	1,446	$	320,434

Commercial real estate - non-owner occupied
Pass	$	224,400	$	73,631	$	93,259	$	193,916	$	189,265	$	91,394	$	21,926	$	1,589	$	889,380
Pass-Watch	7,645		5,704		391		1,693		2,898		14,314		746		—		33,391
Special Mention	—		42		—		—		266		—		—		—		308
Substandard	11,307		—		194		—		—		2,514		—		—		14,015
Total	$	243,352	$	79,377	$	93,844	$	195,609	$	192,429	$	108,222	$	22,672	$	1,589	$	937,094

Construction and land development
Pass	$	162,752	$	56,846	$	24,151	$	1,460	$	12,853	$	676	$	10,970	$	224	$	269,932
Pass-Watch	18		245		—		—		—		16		—		261		540
Special Mention	—		—		274		—		—		—		—		701		975
Substandard	—		—		—		8,758		—		49		—		—		8,807
Total	$	162,770	$	57,091	$	24,425	$	10,218	$	12,853	$	741	$	10,970	$	1,186	$	280,254

Multi-family
Pass	$	175,366	$	73,457	$	45,977	$	70,197	$	81,169	$	53,452	$	2,483	$	1,032	$	503,133
Pass-Watch	—		—		11,990		29,246		572		—		—		—		41,808
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	—		—		—		—		—		—		—		—		—
Total	$	175,366	$	73,457	$	57,967	$	99,443	$	81,741	$	53,452	$	2,483	$	1,032	$	544,941

One-to-four family residential
Pass	$	75,509	$	25,965	$	65,431	$	69,197	$	56,878	$	71,763	$	61,555	$	5,255	$	431,553
Pass-Watch	151		146		632		761		1,089		2,498		233		231		5,741
Special Mention	31		—		598		902		—		—		—		115		1,646
Substandard	435		187		484		353		279		4,486		22		277		6,523
Total	$	76,126	$	26,298	$	67,145	$	71,213	$	58,246	$	78,747	$	61,810	$	5,878	$	445,463

Agricultural and farmland
Pass	$	47,469	$	28,223	$	27,972	$	15,041	$	25,152	$	20,220	$	82,342	$	401	$	246,820
Pass-Watch	2,367		513		1,047		2,066		868		805		5,878		81		13,625
Special Mention	1,253		—		8		—		5		—		1,148		80		2,494
Substandard	600		331		2,325		1,819		903		3,094		1,687		1,553		12,312
Total	$	51,689	$	29,067	$	31,352	$	18,926	$	26,928	$	24,119	$	91,055	$	2,115	$	275,251

Table of Contents

HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


(dollars in thousands)	Term Loans by Origination Year												Revolving Loans		Revolving Loans Converted to Term		Total
	2025		2024		2023		2022		2021		Prior
Municipal, consumer, and other
Pass	$	58,427	$	25,595	$	17,346	$	17,779	$	21,868	$	43,957	$	54,349	$	1	$	239,322
Pass-Watch	17		—		—		—		—		1		2		—		20
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	7		5		3		1		9		13,643		2		—		13,670
Total	$	58,451	$	25,600	$	17,349	$	17,780	$	21,877	$	57,601	$	54,353	$	1	$	253,012

Total by risk rating
Pass	$	842,939	$	390,297	$	334,247	$	445,360	$	439,151	$	347,690	$	421,336	$	20,892	$	3,241,912
Pass-Watch	15,394		8,105		15,587		35,749		8,145		18,327		29,790		669		131,766
Special Mention	3,692		42		916		1,233		271		—		2,903		2,731		11,788
Substandard	14,814		1,037		3,907		13,895		2,447		25,204		5,989		3,450		70,743
Total	$	876,839	$	399,481	$	354,657	$	496,237	$	450,014	$	391,221	$	460,018	$	27,742	$	3,456,209

Modifications

There were no loan modifications to borrowers experiencing financial difficulty during the three months ended March 31, 2026 and 2025. As of March 31, 2026 and December 31, 2025, there were no loans modified to borrowers experiencing financial difficulty within the last 12 months.

Pledged Loans

As of March 31, 2026 and December 31, 2025, the Company pledged loans totaling $2.81 billion and $1.96 billion, respectively, to the Federal Home Loan Bank of Chicago (“FHLB”) to secure available FHLB advance borrowing capacity.

NOTE 5 – LOAN SERVICING

Mortgage loans serviced for others, which are not included in the accompanying consolidated balance sheets, amounted to $1.66 billion and $1.42 billion as of March 31, 2026 and December 31, 2025, respectively. Activity in mortgage servicing rights was as follows:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Beginning balance		$	16,944	$	18,827
Acquired		2,949		—
Capitalized servicing rights		199		95
Fair value adjustments attributable to payments and principal reductions		(541)		(453)
Fair value adjustments attributable to changes in valuation inputs and assumptions		539		50
Ending balance		$	20,090	$	18,519

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 6 – FORECLOSED ASSETS

Foreclosed assets activity was as follows:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Beginning balance		$	1,126	$	367

Transfers from loans		275		239

Proceeds from sales		(292)		(159)

Net gain on sales		40		27
Direct write-downs		—		(14)
Ending balance		$	1,149	$	460

Gains (losses) on foreclosed assets included the following:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Direct write-downs		$	—	$	(14)
Net gain on sales		40		27
Gains on foreclosed assets		$	40	$	13

As of March 31, 2026 and December 31, 2025, the carrying value of foreclosed one-to-four family residential real estate properties held was $0.8 million and $0.9 million, respectively. As of March 31, 2026, there were 7 one-to-four family residential real estate loans in the process of foreclosure totaling $0.3 million. As of December 31, 2025, there were three one-to-four family residential real estate loans in the process of foreclosure totaling $0.2 million.

NOTE 7 – DEPOSITS

The Company’s deposits are summarized below:


(dollars in thousands)	March 31, 2026		December 31, 2025

Noninterest-bearing deposits	$	1,342,192	$	1,049,043
Interest-bearing deposits:
Interest-bearing demand	1,365,216		1,144,416
Money market	929,671		839,097
Savings	900,700		564,220
Time	1,265,669		762,487

Total interest-bearing deposits	4,461,256		3,310,220
Total deposits	$	5,803,448	$	4,359,263

Reciprocal deposits included in interest-bearing demand deposits, money market deposits, and time deposits totaled $233.7 million and $289.9 million as of March 31, 2026 and December 31, 2025, respectively. There were no brokered deposits as of March 31, 2026 and December 31, 2025.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The aggregate amounts of time deposits in denominations of $250 thousand or more amounted to $378.4 million and $201.4 million as of March 31, 2026 and December 31, 2025, respectively. The aggregate amounts of time deposits in denominations of $100 thousand or more amounted to $790.3 million and $445.7 million as of March 31, 2026 and December 31, 2025, respectively.

The components of interest expense on deposits were as follows:


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Interest-bearing demand		$	1,931	$	1,453
Money market		4,448		4,397
Savings		704		370
Time		7,026		6,719

Total interest expense on deposits		$	14,109	$	12,939

NOTE 8 - SUBORDINATED NOTES

On March 11, 2026, the Company issued $85.0 million of fixed-to-floating rate subordinated notes with a maturity date of March 15, 2036. The subordinated notes, which are unsecured obligations of the Company, bear a fixed interest rate of 5.75% from and including March 11, 2026 to, but excluding March 15, 2031, or earlier redemption date. From and including March 15, 2031 to, but excluding the maturity date or earlier redemption date, the subordinated notes bear interest at a floating rate equal to the then-current three-month SOFR plus 2.33%. Interest is payable semi-annually during the fixed rate period and quarterly during the subsequent floating rate period. The subordinated notes have an optional redemption in whole or in part on any interest payment date on or after March 15, 2031. The subordinated notes may be redeemed at a price equal to 100% of the principal amount redeemed, plus any accrued but unpaid interest to, but excluding, the redemption date. As of March 31, 2026, 100% of the subordinated notes qualified as Tier 2 capital.

The face value and carrying value of the subordinated notes are summarized below:


(dollars in thousands)	March 31, 2026		December 31, 2025

Subordinated notes, at face value	$	85,000	$	—
Unamortized issuance costs	(997)		—
Subordinated notes, at carrying value	$	84,003	$	—

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 9 – DERIVATIVE FINANCIAL INSTRUMENTS

Derivative financial instruments are negotiated contracts entered into by two issuing counterparties containing specific agreement terms, including the underlying instrument, amount, exercise price, and maturities. The derivatives accounting guidance requires that the Company recognize all derivative financial instruments as either assets or liabilities at fair value in the consolidated balance sheets. The Company may utilize interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position.

Interest Rate Swaps Designated as Cash Flow Hedges

For derivative instruments that are designated and qualify as a cash flow hedge, the gain or loss on interest rate swaps designated as cash flow hedging instruments, net of tax, is reported as a component of accumulated other comprehensive income (loss) and reclassified into earnings in the same period or periods during which the hedged transactions affect earnings.

As of March 31, 2026 and December 31, 2025, there were no interest rate swap agreements designated as a cash flow hedge.

The effect of interest rate swap agreements designated as cash flow hedges on the consolidated statements of income was as follows:


Location of gross gain (loss) reclassified from accumulated other comprehensive income (loss) to income	Amounts of gross gain (loss) reclassified from accumulated other comprehensive income (loss)
	Three Months Ended March 31,
(dollars in thousands)	2026		2025

Designated as cash flow hedges:
Junior subordinated debentures interest expense	$	—	$	36

In April 2026, the Company entered into an $85.0 million receive 3.51% fixed, pay 1-month term SOFR interest rate swap designated as a cash flow hedge. The interest rate swap matures in 2031.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Interest Rate Swaps Not Designated as Hedging Instruments

The Company may offer interest rate swap agreements to its commercial borrowers in connection with their risk management needs. The Company manages the interest rate risk associated with these contracts by entering into an equal and offsetting derivative with a third-party financial institution. While these interest rate swap agreements generally work together as an economic interest rate hedge, the Company did not designate them for hedge accounting treatment. Consequently, changes in fair value of the corresponding derivative financial asset or liability were recorded as either a charge or credit to current earnings during the period in which the changes occurred.

The interest rate swap agreements not designated as hedging instruments were as follows:


	March 31, 2026				December 31, 2025
(dollars in thousands)	Notional Amount		Fair Value		Notional Amount		Fair Value

Fair value recorded in other assets:
Interest rate swaps with a commercial borrower counterparty	$	2,528	$	45	$	6,344	$	75
Interest rate swaps with a financial institution counterparty	73,533		2,987		73,011		2,915
Total fair value recorded in other assets	$	76,061	$	3,032	$	79,355	$	2,990

Fair value recorded in other liabilities:
Interest rate swaps with a commercial borrower counterparty	$	73,533	$	(2,987)	$	73,011	$	(2,915)
Interest rate swaps with a financial institution counterparty	2,528		(45)		6,344		(75)
Total fair value recorded in other liabilities	$	76,061	$	(3,032)	$	79,355	$	(2,990)

As of March 31, 2026, the interest rate swap agreements not designated as hedging instruments had contractual maturities between 2027 and 2040.

The effect of interest rate contracts not designated as hedging instruments recognized in other noninterest income on the consolidated statements of income was as follows:


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

Not designated as hedging instruments:
Gross gains	$	478	$	1,649
Gross losses	(478)		(1,649)
Net gains (losses)	$	—	$	—

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Risk Participation Agreements

We have entered into a risk participation agreement to share credit exposure with a counterparty in an interest rate swap agreement associated with a loan participation. Under the risk participation agreement, the Company sold a portion of its credit exposure, receiving an up-front fee, and will be required to make a payment to the counterparty if the loan customer defaults on its obligations. The risk participation agreement matures in 2035 and is summarized as follows:


(dollars in thousands)	March 31, 2026		December 31, 2025

Risk participation agreements sold
Number of risk participation agreements	1		1
Notional amount	$	5,255	$	5,268
Fair value	(10)		(10)

NOTE 10 – ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The following table presents the activity and accumulated balances for components of other comprehensive income (loss):


	Unrealized Gains (Losses) on Debt Securities
(dollars in thousands)	Available-for-Sale		Held-to-Maturity		Derivatives		Total

Three Months Ended March 31, 2026
Balance, December 31, 2025	$	(17,320)	$	(5,698)	$	—	$	(23,018)
Other comprehensive loss before reclassifications	(6,495)		—		—		(6,495)
Reclassifications	—		449		—		449
Other comprehensive income (loss), before tax	(6,495)		449		—		(6,046)
Income tax expense (benefit)	(1,819)		126		—		(1,693)
Other comprehensive income (loss), after tax	(4,676)		323		—		(4,353)
Balance, March 31, 2026	$	(21,996)	$	(5,375)	$	—	$	(27,371)

Three Months Ended March 31, 2025
Balance, December 31, 2024	$	(39,408)	$	(7,119)	$	(238)	$	(46,765)

Other comprehensive income before reclassifications	11,085		—		1		11,086
Reclassifications	—		504		(36)		468
Other comprehensive income (loss), before tax	11,085		504		(35)		11,554
Income tax expense (benefit)	3,104		141		(10)		3,235
Other comprehensive income (loss), after tax	7,981		363		(25)		8,319
Balance, March 31, 2025	$	(31,427)	$	(6,756)	$	(263)	$	(38,446)

Reclassifications from accumulated other comprehensive income (loss) for unrealized gains (losses) on debt securities available-for-sale are included in either gains (losses) on sales of securities or provision for credit losses in the accompanying consolidated statements of income.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Reclassifications from accumulated other comprehensive income (loss) for unrealized gains on debt securities held-to-maturity are included in securities interest income in the accompanying consolidated statements of income.

Reclassifications from accumulated other comprehensive income (loss) for the fair value of derivative financial instruments represent net interest payments received or made on derivatives designated as cash flow hedges. See Note 9 for additional information.

NOTE 11 – EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income for the period by the weighted average number of common shares outstanding. Diluted earnings per share is computed using the treasury stock method and reflects the potential dilution from the Company’s outstanding restricted stock units and performance restricted stock units.

The following table sets forth the computation of basic and diluted earnings per share:


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

Numerator:
Net income	$	11,200	$	19,075



Denominator:
Weighted average common shares outstanding	33,180,009		31,584,989
Dilutive effect of outstanding restricted stock units	120,087		126,682
Weighted average common shares outstanding, including all dilutive potential shares	33,300,096		31,711,671

Earnings per share - basic	$	0.34	$	0.60
Earnings per share - diluted	$	0.34	$	0.60

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 12 – STOCK-BASED COMPENSATION PLANS

The Company has adopted the HBT Financial, Inc. Omnibus Incentive Plan (the “Omnibus Incentive Plan”). The Omnibus Incentive Plan provides for grants of (i) stock options, (ii) stock appreciation rights, (iii) restricted shares, (iv) restricted stock units, (v) performance awards, (vi) other share-based awards and (vii) other cash-based awards to eligible employees, non-employee directors and consultants of the Company. The maximum number of shares of common stock available for issuance under the Omnibus Incentive Plan is 1,820,000 shares.

The following is a summary of stock-based compensation expense (benefit):


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

Restricted stock units	$	317	$	273
Performance restricted stock units	160		146
Total awards classified as equity	477		419
Stock appreciation rights	43		(9)
Total stock-based compensation expense	$	520	$	410

Restricted Stock Units

A restricted stock unit grants a participant the right to receive one share of the Company’s common stock, following the completion of the requisite service period. Restricted stock units are classified as equity. Compensation cost is based on the Company’s stock price on the grant date and is recognized on a straight-line basis over the service period for the entire award. Dividend equivalents on restricted stock units, which are accrued until vested, are classified as dividends charged to retained earnings.

During the three months ended March 31, 2026 and 2025, the total grant date fair value of the restricted stock units granted was $1.7 million and $1.1 million, respectively, based on the grant date closing prices. The total intrinsic value of restricted stock units that vested during the three months ended March 31, 2026 and 2025 was $1.4 million and $1.4 million, respectively.

The following is a summary of restricted stock unit activity:











	Three Months Ended March 31,
	2026			2025
	Restricted Stock Units	Weighted Average Grant Date Fair Value		Restricted Stock Units	Weighted Average Grant Date Fair Value
Beginning balance	94,947	$	22.20	108,603	$	19.71
Granted	61,428	27.02		43,397	25.00
Vested	(52,225)	21.74		(56,922)	19.59
Forfeited	—	—		(131)	19.06
Ending balance	104,150	$	25.28	94,947	$	22.20

As of March 31, 2026, unrecognized compensation cost related to the non-vested restricted stock units was $2.1 million. This cost is expected to be recognized over the weighted average remaining service period of 2.0 years.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Performance Restricted Stock Units

A performance restricted stock unit is similar to a restricted stock unit, except that the number of shares of the Company’s common stock awarded is based on a performance condition and the completion of the requisite service period. The number of shares of the Company’s common stock that may be earned ranges from 0% to 150% of the number of performance restricted stock units granted. Performance restricted stock units are classified as equity. Compensation cost is based on the Company’s stock price on the grant date and an assessment of the probable outcome of the performance condition. Compensation cost is recognized on a straight-line basis over the service period of the entire award. Changes in the performance condition probability assessment result in cumulative catch-up adjustments to the compensation cost recognized. Dividend equivalents on performance restricted stock units, which are accrued until vested, are classified as dividends charged to retained earnings.

During the three months ended March 31, 2026 and 2025, the total fair value of the performance restricted stock units granted was $0.5 million and $0.4 million, respectively, based on the grant date closing prices and an assessment of the probable outcome of the performance condition on the grant date. The total intrinsic value of performance restricted stock units that vested during the three months ended March 31, 2026 and 2025 was $0.7 million and $1.1 million, respectively.

The following is a summary of performance restricted stock unit activity:












	Three Months Ended March 31,
	2026			2025
	Performance Restricted Stock Units	Weighted Average Grant Date Fair Value		Performance Restricted Stock Units	Weighted Average Grant Date Fair Value
Beginning balance	53,625	$	22.07	70,333	$	19.59
Granted	17,774	26.96		16,662	25.00
Adjustment for performance condition	8,517	22.72		11,864	18.66
Vested	(25,547)	22.72		(42,783)	18.66
Forfeited	—	—		(2,451)	16.27
Ending balance	54,369	$	23.46	53,625	$	22.07

As of March 31, 2026, unrecognized compensation cost related to non-vested performance restricted stock units was $0.6 million, based on the current assessment of the probable outcome of the performance conditions. This cost is expected to be recognized over the weighted average remaining service period of 1.6 year.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Stock Appreciation Rights

A stock appreciation right grants a participant the right to receive an amount of cash, the value of which equals the appreciation in the Company’s stock price between the grant date and the exercise date. Stock appreciation rights are classified as liabilities. The liability is based on an option-pricing model used to estimate the fair value of the stock appreciation rights. Compensation cost for non-vested stock appreciation rights is recognized on a straight-line basis over the service period of the entire award.

The following is a summary of stock appreciation rights activity:












	Three Months Ended March 31,
	2026			2025
	Stock Appreciation Rights	Weighted Average Grant Date Assigned Value		Stock Appreciation Rights	Weighted Average Grant Date Assigned Value
Beginning balance	67,320	$	16.32	73,440	$	16.32
Granted	—	—		—	—
Exercised	—	—		(6,120)	16.32
Expired	—	—		—	—
Forfeited	—	—		—	—
Ending balance	67,320	$	16.32	67,320	$	16.32

As of March 31, 2026, all stock appreciation rights were exercisable and had a weighted average remaining term of 3.4 years. There was no unrecognized compensation cost for stock appreciation rights as of March 31, 2026.

As of March 31, 2026 and December 31, 2025, the liability recorded for outstanding stock appreciation rights was $0.7 million and $0.7 million, respectively. The Company uses an option pricing model to value the stock appreciation rights, using the assumptions in the following table. Expected volatility is derived from the historical volatility of the Company’s stock price.


	March 31, 2026		December 31, 2025
Risk-free interest rate	3.85	%	3.61	%
Expected volatility	29.88	%	29.60	%
Expected life (in years)	3.4		3.7
Expected dividend yield	3.44	%	3.25	%

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 13 – REGULATORY CAPITAL

The Company (on a consolidated basis) and the Bank are each subject to various regulatory capital requirements administered by the federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by the regulators that, if undertaken, could have a direct material effect on the consolidated financial statements of the Company and the Bank. Additionally, the ability of the Company to pay dividends to its stockholders is dependent upon the ability of the Bank to pay dividends to the Company.

Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by regulators about components, risk weightings, and other factors. As allowed under the regulations, the Company and the Bank elected to exclude accumulated other comprehensive income, including unrealized gains and losses on debt securities, in the computation of regulatory capital. Prompt corrective action provisions are not applicable to bank holding companies.

Additionally, the Company and the Bank must maintain a “capital conservation buffer” to avoid becoming subject to restrictions on capital distributions and certain discretionary bonus payments to management. The capital conservation buffer is 2.5% of risk-weighted assets.

As of March 31, 2026 and December 31, 2025, the Company and the Bank each met all capital adequacy requirements to which they were subject.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The actual and required capital amounts and ratios of the Company (on a consolidated basis) and the Bank were as follows:


	March 31, 2026
	Actual				For Capital Adequacy Purposes				To Be Well Capitalized Under Prompt Corrective Action Provisions
(dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio

Consolidated HBT Financial, Inc.
Total Capital (to Risk Weighted Assets)	$	848,235	15.99	%	$	424,463	8.00	%	N/A		N/A
Tier 1 Capital (to Risk Weighted Assets)	710,026		13.38		318,347		6.00		N/A		N/A
Common Equity Tier 1 Capital (to Risk Weighted Assets)	658,716		12.42		238,760		4.50		N/A		N/A
Tier 1 Capital (to Average Assets)	710,026		12.63		224,898		4.00		N/A		N/A

Heartland Bank and Trust Company
Total Capital (to Risk Weighted Assets)	$	819,747	15.46	%	$	424,096	8.00	%	$	530,120	10.00	%
Tier 1 Capital (to Risk Weighted Assets)	765,541		14.44		318,072		6.00		424,096		8.00
Common Equity Tier 1 Capital (to Risk Weighted Assets)	765,541		14.44		238,554		4.50		344,578		6.50
Tier 1 Capital (to Average Assets)	765,541		13.63		224,710		4.00		280,887		5.00


	December 31, 2025
	Actual				For Capital Adequacy Purposes				To Be Well Capitalized Under Prompt Corrective Action Provisions
(dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio

Consolidated HBT Financial, Inc.
Total Capital (to Risk Weighted Assets)	$	663,872	16.82	%	$	315,844	8.00	%	N/A		N/A
Tier 1 Capital (to Risk Weighted Assets)	620,630		15.72		236,883		6.00		N/A		N/A
Common Equity Tier 1 Capital (to Risk Weighted Assets)	569,335		14.42		177,662		4.50		N/A		N/A
Tier 1 Capital (to Average Assets)	620,630		12.26		202,443		4.00		N/A		N/A

Heartland Bank and Trust Company
Total Capital (to Risk Weighted Assets)	$	651,379	16.52	%	$	315,520	8.00	%	$	394,400	10.00	%
Tier 1 Capital (to Risk Weighted Assets)	608,137		15.42		236,640		6.00		315,520		8.00
Common Equity Tier 1 Capital (to Risk Weighted Assets)	608,137		15.42		177,480		4.50		256,360		6.50
Tier 1 Capital (to Average Assets)	608,137		12.02		202,314		4.00		252,893		5.00

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 14 – SEGMENT INFORMATION

The Company’s operations consist of one reportable segment. The President and Chief Executive Officer is the designated chief operating decision maker. The chief operating decision maker uses consolidated financial information for purposes of allocating resources and assessing performance. The chief operating decision maker uses consolidated net income to benchmark the Company against its competitors. The benchmarking analysis coupled with monitoring of budget to actual results are used to assess performance and in establishing compensation. Interest income from loans and investments as well as noninterest income from deposit customer activity, wealth management activities, and mortgage servicing generate the significant revenues. Interest expense, provisions for credit losses, and noninterest expenses such as compensation, occupancy, and data processing costs constitute the significant expenses. Significant revenues and expenses regularly provided to the chief operating decision maker are detailed in the consolidated statements of income.

NOTE 15 – FAIR VALUE OF FINANCIAL INSTRUMENTS

Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values:

Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets that the Company has the ability to access as of the measurement date.

Level 2 - Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data.

Level 3 - Significant unobservable inputs that reflect a Company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

The Company uses fair value to measure certain assets and liabilities on a recurring basis, such as investment securities, mortgage servicing rights, and derivatives. For assets measured at the lower of cost or fair value, the fair value measurement criteria may or may not be met during a reporting period, and such measurements are therefore considered "nonrecurring" for purposes of disclosing the Company's fair value measurements. Fair value is used on a nonrecurring basis to adjust carrying values for loans held for sale, collateral-dependent loans, bank premises held for sale, and foreclosed assets.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Recurring Basis

The following is a description of the methods and significant assumptions used to measure the fair value of assets and liabilities on a recurring basis.

Investment Securities

When available, the Company uses quoted market prices to determine the fair value of securities; such items are classified in Level 1 of the fair value hierarchy. For the Company’s securities where quoted prices are not available for identical securities in an active market, the Company determines fair value utilizing vendors who apply matrix pricing for similar bonds where no price is observable or may compile prices from various sources. These models are primarily industry-standard models that consider various assumptions, including time value, yield curve, volatility factors, prepayment speeds, default rates, loss severity, current market and contractual prices for the underlying financial instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace. Fair values from these models are verified, where possible, against quoted market prices for recent trading activity of assets with similar characteristics to the security being valued. Such methods are generally classified as Level 2; however, when prices from independent sources vary, cannot be obtained or cannot be corroborated, a security is generally classified as Level 3. The change in fair value of debt securities available-for-sale is recorded through an adjustment to the consolidated statement of comprehensive income. The change in fair value of equity securities with readily determinable fair values is recorded through an adjustment to the consolidated statement of income.

Mortgage Servicing Rights

The Company has elected to record its mortgage servicing rights at fair value. Mortgage servicing rights do not trade in an active market with readily observable prices. Accordingly, the Company determines the fair value of mortgage servicing rights by estimating the fair value of the future cash flows associated with the mortgage loans being serviced as calculated by an independent third party. Key economic assumptions used in measuring the fair value of mortgage servicing rights include, but are not limited to, prepayment speeds and discount rates. Due to the nature of the valuation inputs, mortgage servicing rights are classified as Level 3. The change in fair value is recorded through an adjustment to the consolidated statement of income.

Derivative Financial Instruments

Derivative financial instruments are carried at fair value as determined by dealer valuation models. Based on the inputs used, the derivative financial instruments subjected to recurring fair value adjustments are classified as Level 2. For derivative financial instruments designated as hedging instruments, the change in fair value is recorded through an adjustment to the consolidated statement of comprehensive income. For derivative financial instruments not designated as hedging instruments, the change in fair value is recorded through an adjustment to the consolidated statement of income.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables summarize assets and liabilities measured at fair value on a recurring basis as of March 31, 2026 and December 31, 2025 by level within the fair value hierarchy:


	March 31, 2026
(dollars in thousands)	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value

Debt securities available-for-sale:
U.S. Treasury	$	—	$	75,548	$	—	$	75,548
U.S. government agency	—		109,111		—		109,111
Municipal	—		194,193		—		194,193
Mortgage-backed:
Agency residential	—		445,829		—		445,829
Agency commercial	—		135,978		—		135,978
Corporate	—		65,333		—		65,333
Equity securities with readily determinable fair values	3,355		—		—		3,355
Mortgage servicing rights	—		—		20,090		20,090
Derivative financial assets	—		3,032		—		3,032
Derivative financial liabilities	—		3,042		—		3,042


	December 31, 2025
(dollars in thousands)	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value

Debt securities available-for-sale:
U.S. Treasury	$	—	$	85,544	$	—	$	85,544
U.S. government agency	—		41,422		—		41,422
Municipal	—		140,270		—		140,270
Mortgage-backed:
Agency residential	—		360,795		—		360,795
Agency commercial	—		119,937		—		119,937
Corporate	—		65,133		—		65,133
Equity securities with readily determinable fair values	3,322		—		—		3,322
Mortgage servicing rights	—		—		16,944		16,944
Derivative financial assets	—		2,990		—		2,990
Derivative financial liabilities	—		3,000		—		3,000

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables present additional information about the unobservable inputs used in the fair value measurement of the mortgage servicing rights (dollars in thousands):


March 31, 2026	Fair Value		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
Mortgage servicing rights	$	20,090	Discounted cash flows	Constant pre-payment rates (CPR)	4.8% to 94.3% (7.9%)
				Discount rate	9.0% to 12.6% (9.6%)


December 31, 2025	Fair Value		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
Mortgage servicing rights	$	16,944	Discounted cash flows	Constant pre-payment rates (CPR)	4.9% to 94.3% (8.1%)
				Discount rate	9.0% to 11.0% (9.6%)

Nonrecurring Basis

The following is a description of the methods and significant assumptions used to measure the fair value of assets and liabilities on a nonrecurring basis.

Loans Held for Sale

Mortgage loans originated and held for sale are carried at the lower of cost or estimated fair value. The Company obtains quotes or bids on these loans directly from purchasing financial institutions. Typically, these quotes include a premium on the sale and thus these quotes generally indicate fair value of the held for sale loans is greater than cost. Loans held for sale have been classified as Level 2.

Collateral-Dependent Loans

Periodically, a collateral-dependent loan is evaluated individually and is reported at the fair value of the underlying collateral, less estimated costs to sell, if repayment is expected solely from the collateral. If the collateral value is not sufficient, a specific reserve is recorded. Collateral values are estimated using recent appraisals and customized discounting criteria. Due to the significance of unobservable inputs, fair values of collateral-dependent loans have been classified as Level 3.

Bank Premises Held for Sale

Bank premises held for sale are recorded at the lower of cost or fair value, less estimated selling costs, at the date classified as held for sale. Values are estimated using recent appraisals and customized discounting criteria. Due to the significance of unobservable inputs, fair values of bank premises held for sale have been classified as Level 3.

Foreclosed Assets

Foreclosed assets are recorded at fair value based on property appraisals, less estimated selling costs, at the date of the transfer. Subsequent to the transfer, foreclosed assets are carried at the lower of cost or fair value, less estimated selling costs. Values are estimated using recent appraisals and customized discounting criteria. Due to the significance of unobservable inputs, fair values of foreclosed assets have been classified as Level 3.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following tables summarize assets measured at fair value on a nonrecurring basis as of March 31, 2026 and December 31, 2025 by level within the fair value hierarchy:


	March 31, 2026
(dollars in thousands)	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value

Loans held for sale	$	—	$	3,247	$	—	$	3,247
Collateral-dependent loans	—		—		28,678		28,678
Bank premises held for sale	—		—		337		337
Foreclosed assets	—		—		1,149		1,149


	December 31, 2025
(dollars in thousands)	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value

Loans held for sale	$	—	$	1,263	$	—	$	1,263
Collateral-dependent loans	—		—		23,196		23,196

Foreclosed assets	—		—		1,126		1,126

The following tables present quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements (dollars in thousands):


March 31, 2026	Fair Value		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
Collateral-dependent loans	$	28,678	Appraisal of collateral	Appraisal adjustments	Not meaningful
Bank premises held for sale	337		Appraisal	Appraisal adjustments	7% (7%)
Foreclosed assets	1,149		Appraisal	Appraisal adjustments	7% (7%)


December 31, 2025	Fair Value		Valuation Technique	Unobservable Inputs	Range (Weighted Average)
Collateral-dependent loans	$	23,196	Appraisal of collateral	Appraisal adjustments	Not meaningful

Foreclosed assets	1,126		Appraisal	Appraisal adjustments	7% (7%)

Other Fair Value Methods

The following methods and assumptions were used by the Company in estimating fair value disclosures of its other financial instruments.

Cash and Cash Equivalents

The carrying amounts of these financial instruments approximate their fair values.

Restricted Stock

The carrying amount of FHLB stock approximates fair value based on the redemption provisions of the FHLB.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Loans

The fair value estimation process for the loan portfolio uses an exit price concept and reflects discounts the Company believes are consistent with discounts in the marketplace. Fair values are estimated for portfolios of loans with similar characteristics. Loans are segregated by type such as commercial and industrial, agricultural and farmland, commercial real estate – owner occupied, commercial real estate – non-owner occupied, multi-family, construction and land development, one-to-four family residential, and municipal, consumer, and other. The fair value of loans is estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for similar maturities. The fair value analysis also includes other assumptions to estimate fair value, intended to approximate those a market participant would use in an orderly transaction, with adjustments for discount rates, interest rates, liquidity, and credit spreads, as appropriate.

Investments in Unconsolidated Subsidiaries

The fair values of the Company’s investments in unconsolidated subsidiaries are presumed to approximate carrying amounts.

Time Deposits

Fair values of certificates of deposit with stated maturities have been estimated using the present value of estimated future cash flows discounted at rates currently offered for similar instruments. Time deposits also include public funds time deposits.

Securities Sold Under Agreements to Repurchase

The fair values of repurchase agreements with variable interest rates are presumed to approximate their recorded carrying amounts.

FHLB Advances

The fair values of FHLB advances are estimated using discounted cash flow analyses based on current rates offered for borrowings with similar remaining maturities and characteristics.

Subordinated Notes

The fair values of subordinated notes are estimated using discounted cash flow analyses based on rates observed on recent debt issuances by other financial institutions.

Junior Subordinated Debentures

The fair values of subordinated debentures are estimated using discounted cash flow analyses based on rates observed on recent debt issuances by other financial institutions.

Accrued Interest

The carrying amounts of accrued interest approximate fair value.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

The following table provides summary information on the carrying amounts and estimated fair values of the Company’s other financial instruments:


(dollars in thousands)	Fair Value Hierarchy Level	March 31, 2026				December 31, 2025
		Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value

Financial assets:
Cash and cash equivalents	Level 1	$	287,653	$	287,653	$	122,269	$	122,269
Debt securities held-to-maturity	Level 2	453,850		420,524		458,746		426,799
Restricted stock	Level 3	6,000		6,000		4,979		4,979
Loans, net	Level 3	4,626,477		4,589,644		3,414,519		3,379,845
Investments in unconsolidated subsidiaries	Level 3	1,614		1,614		1,614		1,614
Accrued interest receivable	Level 2	35,313		35,313		23,779		23,779

Financial liabilities:
Time deposits	Level 3	1,265,669		1,260,717		762,487		759,589

Securities sold under agreements to repurchase	Level 2	5,046		5,046		—		—
FHLB advances	Level 3	12,332		11,513		12,301		11,465
Subordinated notes	Level 3	84,003		85,232		—		—
Junior subordinated debentures	Level 3	52,924		51,740		52,909		51,696
Accrued interest payable	Level 2	8,394		8,394		3,813		3,813

The Company estimated the fair value of lending related commitments as described in Note 16 to be immaterial based on limited interest rate exposure due to their variable nature, short-term commitment periods, and termination clauses provided in the agreements.

Limitations

Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

Fair values have been estimated using data which management considered the best available and estimation methodologies deemed suitable for the pertinent category of financial instrument.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

NOTE 16 – COMMITMENTS AND CONTINGENCIES

Financial Instruments

The Bank is party to credit-related financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Such instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheets.

The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Bank uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments.

Such commitments and conditional obligations were as follows:


	Contractual Amount
(dollars in thousands)	March 31, 2026		December 31, 2025

Commitments to extend credit	$	1,108,345	$	855,014
Standby letters of credit	35,500		29,727

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary, by the Bank upon extension of credit is based on management’s credit evaluation of the customer. Collateral held varies, but may include real estate, accounts receivable, inventory, equipment, and income-producing properties.

Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Those standby letters of credit are primarily issued to support extensions of credit. The credit risk involved in issuing standby letters of credit is essentially the same as that involved in extending loans to customers. The Bank secures the standby letters of credit with the same collateral used to secure the related loan.

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HBT FINANCIAL, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

Allowance for Credit Losses on Unfunded Lending-related Commitments

The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancelable by the Company. The allowance for credit losses on unfunded commitments is included in other liabilities on the consolidated balance sheets and is adjusted through a charge to provision for credit loss expense on the consolidated statements of income. The allowance for credit losses on unfunded commitments estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The allowance for credit losses on unfunded commitments was $5.9 million and $4.1 million as of March 31, 2026 and December 31, 2025, respectively. The following table sets forth the provision for credit losses on unfunded lending-related commitments for the periods indicated:


	Three Months Ended March 31,
(dollars in thousands)	2026	2025

Provision for credit losses on unfunded lending-related commitments	259	825

Legal Contingencies

Various legal claims arise from time to time in the normal course of business which, in the opinion of management, will have no material effect on the Company's consolidated financial statements.

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Unless the context requires otherwise, references in this report to the “Company,” “we,” “us” and “our” refer to HBT Financial, Inc. and its subsidiaries.

The following is management’s discussion and analysis of the financial condition as of March 31, 2026 (unaudited), as compared with December 31, 2025, and the results of operations for the three months ended March 31, 2026 and 2025 (unaudited). Management’s discussion and analysis should be read in conjunction with the Company’s unaudited consolidated financial statements and notes thereto appearing elsewhere in this Quarterly Report on Form 10-Q, as well as the Company’s audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 6, 2026. Results of operations for the three months ended March 31, 2026 and 2025 are not necessarily indicative of results to be attained for the year ended December 31, 2026, or for any other period.

OVERVIEW

HBT Financial, Inc., headquartered in Bloomington, Illinois, is the holding company for Heartland Bank and Trust Company, and has banking roots that can be traced back to 1920. We provide a comprehensive suite of financial products and services to consumers, businesses, and municipal entities throughout Illinois, eastern Iowa, and suburban St. Louis. As of March 31, 2026, the Company had total assets of $6.8 billion, loans held for investment of $4.7 billion, and total deposits of $5.8 billion.

Market Area

As of March 31, 2026, our branch network included 83 full-service branch locations throughout Illinois, eastern Iowa, and suburban St. Louis. We hold a leading deposit share in many of our central Illinois markets, which we define as a top three deposit share rank, providing the foundation for our strong deposit base. The stability provided by this low-cost funding is a key driver of our strong track record of financial performance. Below is a summary of our loan and deposit balances by geographic region:


	March 31, 2026				December 31, 2025
(dollars in thousands)	Loans		Deposits		Loans		Deposits

Central Illinois	$	1,897,133	$	3,817,251	$	1,428,580	$	2,898,046
Chicago MSA	2,033,019		1,684,119		1,522,963		1,244,319
Suburban St. Louis	399,440		185,160		140,863		107,088
Iowa	357,359		116,918		363,803		109,810
Total	$	4,686,951	$	5,803,448	$	3,456,209	$	4,359,263

CNB Acquisition

On March 1, 2026, HBT Financial completed its acquisition of CNB, the holding company for CNB Bank. The acquisition of CNB further enhanced HBT Financial's footprint in the central Illinois, Chicago MSA, and suburban St. Louis markets. Prior to the acquisition, CNB operated 18 full-service branch locations which now operate as branches of Heartland Bank. The core system conversion was successfully completed in March 2026. After considering business combination accounting adjustments, CNB added total assets of $1.81 billion, total loans held for investment of $1.30 billion, and total deposits of $1.52 billion.

Total consideration consisted of 5.5 million shares of HBT Financial’s common stock and $33.8 million in cash. Based on the closing price of HBT Financial common stock of $26.96 on February 27, 2026, the aggregate consideration was approximately $182.1 million. Goodwill of $23.7 million was recorded in the acquisition. Acquisition-related expenses totaled $15.7 million during the three months ended March 31, 2026. There were no acquisition-related expenses during the three months ended March 31, 2025.

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RESULTS OF OPERATIONS

Overview of Recent Financial Results


	Three Months Ended March 31,
(dollars in thousands, except per share amounts)	2026			2025

Total interest and dividend income	$	71,839		$	63,138
Total interest expense	15,452			14,430
Net interest income	56,387			48,708
Provision for credit losses	(156)			576
Net interest income after provision for credit losses	56,543			48,132
Total noninterest income	10,944			9,306
Total noninterest expense	52,437			31,935
Income before income tax expense	15,050			25,503
Income tax expense	3,850			6,428
Net income	$	11,200		$	19,075

Adjusted net income (1)	$	22,610		$	19,253



Pre-provision net revenue (1)	$	14,894		$	26,079
Pre-provision net revenue less net charge-offs (1)	14,136			25,650
Adjusted pre-provision net revenue (1)	30,569			26,328
Adjusted pre-provision net revenue less net charge-offs (1)	29,811			25,899

Share and Per Share Information
Earnings per share - diluted	$	0.34		$	0.60
Adjusted earnings per share - diluted (1)	0.68			0.61

Weighted average shares of common stock outstanding	33,180,009			31,584,989

Summary Ratios
Net interest margin *	4.20		%	4.12		%
Net interest margin (tax-equivalent basis) * (1) (2)	4.25			4.16
Yield on loans *	6.28			6.39
Yield on interest-earning assets *	5.35			5.34

Cost of total deposits *	1.17			1.21
Cost of funds *	1.25			1.32

Efficiency ratio	76.56		%	53.85		%
Efficiency ratio (tax-equivalent basis) (1) (2)	75.83			53.35
Adjusted efficiency ratio (tax-equivalent basis) (1) (2)	52.68			53.12

Return on average assets *	0.80		%	1.54		%
Return on average stockholders' equity *	6.77			13.95
Return on average tangible common equity * (1)	7.87			16.20

Adjusted return on average assets * (1)	1.60		%	1.55		%
Adjusted return on average stockholders' equity * (1)	13.67			14.08
Adjusted return on average tangible common equity * (1)	15.89			16.36

_________________________________________________

* Annualized measure.

(1)See "Non-GAAP Financial Information" for reconciliation of non-GAAP measures to their most closely comparable GAAP measures.

(2)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state income tax rate of 9.5%.

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Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

For the three months ended March 31, 2026, net income was $11.2 million, decreasing by $7.9 million, or 41.3%, when compared to net income for the three months ended March 31, 2025, primarily as a result of acquisition-related expenses. Notable changes include the following:

•A $7.7 million increase in net interest income, primarily attributable to higher average interest-earning asset balances following the CNB merger, improved yields on debt securities, and lower funding costs;

•CNB acquisition-related expenses totaled $15.7 million during the three months ended March 31, 2026;

•Excluding CNB acquisition-related expenses, noninterest expense increased by $4.8 million, primarily reflecting higher base costs following the CNB merger, including a $2.6 million increase in employee salaries and benefits expense;

•A $0.9 million increase in wealth management fees, primarily driven by an increase in assets under management following the CNB merger;

•A $0.2 million positive mortgage servicing rights ("MSR") fair value adjustment included in the 2026 results, compared to a $0.3 million negative MSR fair value adjustment included in the 2025 results; and

•A $2.6 million decrease in income tax expense, primarily due to a decrease in pre-tax income as a result of CNB acquisition-related expenses.

Net Interest Income

Net interest income equals the excess of interest income on interest earning assets (including discount accretion on acquired loans plus certain loan fees) over interest expense incurred on interest-bearing liabilities. Net interest margin, which is expressed as the percentage of net interest income to average interest-earning assets, is utilized to measure and explain changes in net interest income.

The following table sets forth average balances, average yields and costs, and certain other information. Average balances are daily average balances. Nonaccrual loans are included in the computation of average balances but have been reflected in the table as loans carrying a zero yield. The yields set forth below include the effect of deferred fees and costs as well as purchase accounting adjustments that are accreted or amortized to interest income or expense.

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	Three Months Ended
	March 31, 2026						March 31, 2025
(dollars in thousands)	Average Balance		Interest		Yield/Cost *		Average Balance		Interest		Yield/Cost *

ASSETS
Loans	$	3,890,388	$	60,198	6.28	%	$	3,460,906	$	54,537	6.39	%
Debt securities	1,375,875		10,202		3.01		1,204,424		7,405		2.49
Deposits with banks	163,761		1,276		3.16		120,014		1,065		3.60
Other	14,389		163		4.60		12,677		131		4.19
Total interest-earning assets	5,444,413		$	71,839	5.35	%	4,798,021		$	63,138	5.34	%
Allowance for credit losses	(48,362)						(42,061)
Noninterest-earning assets	317,393						276,853
Total assets	$	5,713,444					$	5,032,813

LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Interest-bearing deposits:
Interest-bearing demand	$	1,223,982	$	1,931	0.64	%	$	1,120,608	$	1,453	0.53	%
Money market	906,663		4,448		1.99		807,728		4,397		2.21
Savings	671,852		704		0.43		569,494		370		0.26
Time	940,019		7,026		3.03		784,099		6,719		3.48

Total interest-bearing deposits	3,742,516		14,109		1.53		3,281,929		12,939		1.60
Securities sold under agreements to repurchase	2,902		16		2.21		8,754		22		1.02
Borrowings	28,886		209		2.94		12,890		109		3.41
Subordinated notes	19,781		278		5.70		39,563		470		4.82
Junior subordinated debentures issued to capital trusts	52,916		840		6.44		52,856		890		6.83
Total interest-bearing liabilities	3,847,001		$	15,452	1.63	%	3,395,992		$	14,430	1.72	%
Noninterest-bearing deposits	1,150,594						1,045,733
Noninterest-bearing liabilities	45,282						36,373
Total liabilities	5,042,877						4,478,098
Stockholders' Equity	670,567						554,715
Total liabilities and stockholders’ equity	$	5,713,444					$	5,032,813

Net interest income/Net interest margin (1)			$	56,387	4.20	%			$	48,708	4.12	%
Tax-equivalent adjustment (2)			649		0.05				545		0.04
Net interest income (tax-equivalent basis)/ Net interest margin (tax-equivalent basis) (2) (3)			$	57,036	4.25	%			$	49,253	4.16	%
Net interest rate spread (4)					3.72	%					3.62	%
Net interest-earning assets (5)	$	1,597,412					$	1,402,029
Ratio of interest-earning assets to interest-bearing liabilities	1.42						1.41
Cost of total deposits					1.17	%					1.21	%
Cost of funds					1.25						1.32

_________________________________________________

*Annualized measure.

(1)Net interest margin represents net interest income divided by average total interest-earning assets.

(2)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state income tax rate of 9.5%.

(3)See "Non-GAAP Financial Information" for reconciliation of non-GAAP measures to their most closely comparable GAAP measures.

(4)Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(5)Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.

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The following table sets forth the components of loan interest income and their contributions to the total loan yield.


	Three Months Ended March 31,
	2026				2025
(dollars in thousands)	Interest		Yield Contribution *		Interest		Yield Contribution *

Contractual interest	$	57,243	5.97	%	$	51,435	6.03	%
Loan fees	1,699		0.18		1,363		0.16
Accretion of acquired loan discounts	992		0.10		1,112		0.13
Nonaccrual interest recoveries	264		0.03		627		0.07

Total loan interest income	$	60,198	6.28	%	$	54,537	6.39	%

_________________________________________________

* Annualized measure.

The following table sets forth the components of net interest income and their contributions to the net interest margin.


	Three Months Ended March 31,
	2026				2025
(dollars in thousands)	Interest		Net Interest Margin Contribution *		Interest		Net Interest Margin Contribution *

Interest income:
Contractual interest on loans	$	57,243	4.26	%	$	51,435	4.35	%
Loan fees	1,699		0.13		1,363		0.12
Accretion of acquired loan discounts	992		0.07		1,112		0.09
Nonaccrual interest recoveries	264		0.02		627		0.05

Debt securities	10,202		0.76		7,405		0.63
Interest-bearing deposits in bank	1,276		0.10		1,065		0.09
Other	163		0.01		131		0.01
Total interest income	71,839		5.35		63,138		5.34

Interest expense:
Deposits	14,109		1.05		12,939		1.09
Other interest-bearing liabilities	1,343		0.10		1,491		0.13
Total interest expense	15,452		1.15		14,430		1.22
Net interest income	56,387		4.20		48,708		4.12
Tax-equivalent adjustment (1)	649		0.05		545		0.04
Net interest income (tax-equivalent) (1) (2)	$	57,036	4.25	%	$	49,253	4.16	%

_________________________________________________

* Annualized measure.

(1)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state income tax rate of 9.5%.

(2)See "Non-GAAP Financial Information" for reconciliation of non-GAAP measures to their most closely comparable GAAP measures.

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Rate/Volume Analysis

The following table sets forth the dollar amount of changes in interest income and interest expense for the major categories of our interest-earning assets and interest-bearing liabilities. Information is provided for each category of interest-earning assets and interest-bearing liabilities with respect to changes attributable to volume (i.e., changes in average balances multiplied by the prior-period average rate), and changes attributable to rate (i.e., changes in average rate multiplied by prior-period average balances). For purposes of this table, changes attributable to both volume and rate that cannot be segregated have been allocated proportionately to the change due to volume and the change due to rate.


	Three Months Ended March 31, 2026 vs. Three Months Ended March 31, 2025
	Increase (Decrease) Due to				Total
(dollars in thousands)	Volume		Rate

Interest-earning assets:
Loans	$	6,661	$	(1,000)	$	5,661
Debt securities	1,143		1,654		2,797
Deposits with banks	353		(142)		211
Other	19		13		32
Total interest-earning assets	8,176		525		8,701

Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing demand	143		335		478
Money market	509		(458)		51
Savings	76		258		334
Time	1,233		(926)		307

Total interest-bearing deposits	1,961		(791)		1,170
Securities sold under agreements to repurchase	(21)		15		(6)
Borrowings	117		(17)		100
Subordinated notes	(267)		75		(192)
Junior subordinated debentures issued to capital trusts	1		(51)		(50)
Total interest-bearing liabilities	1,791		(769)		1,022
Change in net interest income	$	6,385	$	1,294	$	7,679

Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Net interest income for the three months ended March 31, 2026 was $56.4 million, increasing $7.7 million, or 15.8%, when compared to the three months ended March 31, 2025. The increase is primarily attributable to higher average interest-earning asset balances following the CNB merger, improved yields on debt securities, and lower funding costs. Additionally, a $0.4 million decrease in nonaccrual interest recoveries was mostly offset by a $0.3 million increase in loan fees.

Net interest margin increased to 4.20% for the three months ended March 31, 2026, compared to 4.12% for the three months ended March 31, 2025. The increase was primarily attributable to improved yields on debt securities and lower funding costs. Additionally, a 3 basis point decrease in the contribution of nonaccrual interest recoveries was mostly offset by a 1 basis point increase in the contribution of loan fees.

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The quarterly net interest margins were as follows:


	2026		2025
Three months ended:
March 31	4.20	%	4.12	%
June 30	—		4.14
September 30	—		4.13
December 31	—		4.12

From September 2025 to December 2025, the Federal Open Market Committee ("FOMC") lowered the target range for the federal funds rate with three 25 basis point reductions, setting a target range of 3.50% to 3.75% by the end of 2025. These reductions contributed to a decrease in funding costs and yields on variable rate loans while maturing fixed rate loans and securities continued to reprice at higher rates, resulting in a fairly stable net interest margin throughout 2025. Our net interest margin increased in the first quarter of 2026 driven primarily by higher asset yields and the sale of the vast majority of the CNB securities portfolio, with the proceeds used to pay off higher cost sources of funding and purchase higher yield debt securities.

Decreases in market interest rates, and potential future decreases, may put downward pressure on our net interest margin, as the negative impact on floating rate loans may not be fully offset by the positive impacts of maturing fixed rate loans and securities repricing at higher rates or potential decreases in deposit costs. Generally, we expect increases in market interest rates will increase our net interest income and net interest margin in future periods, while decreases in market interest rates may decrease our net interest income and net interest margin in future periods; however, this depends upon the timing and extent of both short-term and long-term interest rate fluctuations and may not always be the case.

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Provision for Credit Losses

The following table sets forth the components of provision for credit losses for the periods indicated:


	Three Months Ended March 31,
(dollars in thousands)	2026		2025

PROVISION FOR CREDIT LOSSES
Loans	$	(415)	$	496
Unfunded lending-related commitments	259		80

Total provision for credit losses	$	(156)	$	576

Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

The Company recorded a negative provision for credit losses of $0.2 million for the three months ended March 31, 2026, compared to a $0.6 million provision during the three months ended March 31, 2025. The 2026 provision for credit losses primarily reflects a $0.3 million decrease in specific reserves, partially offset by changes within the loan portfolio.

The provision for credit losses is highly dependent on current and forecast economic conditions. Potential deterioration of economic conditions may lead to higher credit losses and adversely impact our financial condition and results of operations. The economic forecasts utilized in estimating the allowance for credit losses on loans and unfunded lending-related commitments include the unemployment rate and changes in GDP as macroeconomic variables, although other economic metrics and trends are considered on a qualitative basis.

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Noninterest Income

The following table sets forth the major categories of noninterest income for the periods indicated:


	Three Months Ended March 31,
(dollars in thousands)	2026		2025		$ Change		% Change

Card income	$	2,751	$	2,548	$	203	8.0	%
Wealth management fees	3,764		2,841		923		32.5
Service charges on deposit accounts	2,160		1,944		216		11.1
Mortgage servicing	983		990		(7)		(0.7)
Mortgage servicing rights fair value adjustment	197		(308)		505		NM
Gains on sale of mortgage loans	331		252		79		31.3

Unrealized gains (losses) on equity securities	(112)		8		(120)		NM
Gains (losses) on foreclosed assets	40		13		27		207.7
Gains (losses) on other assets	(210)		54		(264)		NM
Income on bank owned life insurance	188		164		24		14.6
Other noninterest income	852		800		52		6.5
Total	$	10,944	$	9,306	$	1,638	17.6	%

_________________________________________________

NM Not meaningful.

Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Total noninterest income for the three months ended March 31, 2026, was $10.9 million, an increase of $1.6 million, or 17.6%, from the three months ended March 31, 2025. Notable changes in noninterest income include the following:

•A $0.9 million increase in wealth management fees, primarily driven by higher values of assets under management and an increase in assets under management following the CNB merger;

•A $0.2 million positive MSR fair value adjustment included in the 2026 results, compared to a $0.3 million negative MSR fair value adjustment included in the 2025 results; and

•A $0.2 million impairment loss on bank premises related to the relocation of a branch was recognized in the 2026 results which is absent from the 2025 results.

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Noninterest Expense

The following table sets forth the major categories of noninterest expense for the periods indicated:


	Three Months Ended March 31,
(dollars in thousands)	2026		2025		$ Change		% Change

Salaries	$	23,061	$	17,053	$	6,008	35.2	%
Employee benefits	3,920		3,285		635		19.3
Occupancy of bank premises	3,124		2,625		499		19.0
Furniture and equipment	608		445		163		36.6
Data processing	11,794		2,717		9,077		334.1
Marketing and customer relations	1,144		1,144		—		—
Amortization of intangible assets	887		695		192		27.6

FDIC insurance	588		562		26		4.6
Loan collection and servicing	696		383		313		81.7
Foreclosed assets	60		5		55		1100.0
Other noninterest expense	6,555		3,021		3,534		117.0
Total	$	52,437	$	31,935	$	20,502	64.2	%

Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Total noninterest expense for the three months ended March 31, 2026, was $52.4 million, an increase of $20.5 million, or 64.2%, from the three months ended March 31, 2025. Notable changes in noninterest expense include the following:

•CNB acquisition-related expenses totaled $15.7 million during the three months ended March 31, 2026, including $8.7 million in data processing, $4.0 million in salaries, and $2.4 million in professional fees and other noninterest expense;

•The $4.8 million increase in noninterest expenses excluding CNB acquisition-related expenses was primarily attributable to a higher base level of noninterest expense, the majority related to salaries and employee benefits; and

•A $0.6 million increase in employee benefits expense, primarily driven by higher medical benefits cost.

Income Taxes

During the three months ended March 31, 2026 and 2025, we recorded income tax expense of $3.9 million, or an effective tax rate of 25.6%, and $6.4 million, or an effective tax rate of 25.2%, respectively.

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FINANCIAL CONDITION


(dollars in thousands, except per share data)	March 31, 2026			December 31, 2025			$ Change		% Change

Cash and cash equivalents	$	287,653		$	122,269		$	165,384	135.3	%
Debt securities available-for-sale, at fair value	1,025,992			813,101			212,891		26.2
Debt securities held-to-maturity	453,850			458,746			(4,896)		(1.1)
Loans held for sale	3,247			1,263			1,984		157.1

Loans, before allowance for credit losses	4,686,951			3,456,209			1,230,742		35.6
Less: allowance for credit losses	60,474			41,690			18,784		45.1
Loans, net of allowance for credit losses	4,626,477			3,414,519			1,211,958		35.5

Goodwill	83,504			59,820			23,684		39.6
Intangible assets	44,962			15,117			29,845		197.4
Other assets	248,039			186,555			61,484		33.0
Total assets	$	6,773,724		$	5,071,390		$	1,702,334	33.6	%

Total deposits	$	5,803,448		$	4,359,263		$	1,444,185	33.1	%
Securities sold under agreements to repurchase	5,046			—			5,046		NM
Borrowings	12,332			12,301			31		0.3
Subordinated notes	84,003			—			84,003		NM
Junior subordinated debentures	52,924			52,909			15		—
Other liabilities	68,566			31,419			37,147		118.2
Total liabilities	6,026,319			4,455,892			1,570,427		35.2
Total stockholders' equity	747,405			615,498			131,907		21.4
Total liabilities and stockholders' equity	$	6,773,724		$	5,071,390		$	1,702,334	33.6	%

Tangible assets (1)	$	6,645,258		$	4,996,453		$	1,648,805	33.0	%
Tangible common equity (1)	618,939			540,561			78,378		14.5

Core deposits (1)	$	5,425,094		$	4,157,898		$	1,267,196	30.5	%

Share and Per Share Information
Book value per share	$	20.54		$	19.58		$	0.96	4.9	%
Tangible book value per share (1)	17.01			17.20			(0.19)		(1.1)

Shares of common stock outstanding	36,381,078			31,431,924

Balance Sheet Ratios
Loan to deposit ratio	80.76		%	79.28		%
Core deposits to total deposits (1)	93.48			95.38
Stockholders' equity to total assets	11.03			12.14
Tangible common equity to tangible assets (1)	9.31			10.82

_________________________________________________

NM Not meaningful.

(1)See "Non-GAAP Financial Information" for reconciliation of non-GAAP measures to their most closely comparable GAAP measures.

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Notable changes in our consolidated balance sheet include the following:

•The CNB merger added $1.81 billion in total assets, $1.30 billion in loans held for investment, and $1.52 billion in total deposits;

•Following the CNB merger, $313.1 million of the debt securities acquired from CNB were sold with the sales proceeds used to pay off higher cost sources of funding and purchase higher yield debt securities;

•Excluding the impact of the CNB merger, a $72.7 million decrease in total deposits was primarily attributable to an $88.9 million decrease in wealth management customer reciprocal money market deposits, of which $85.0 million was moved off-balance sheet due to strong levels of on-balance sheet liquidity; and

•A private placement of $85.0 million of 5.75% fixed-to-floating rate subordinated notes due in 2036 was completed in March 2026.

Loan Portfolio

The following table sets forth the composition of the loan portfolio, excluding loans held-for-sale, by type of loan.


	March 31, 2026				December 31, 2025
(dollars in thousands)	Balance		Percent		Balance		Percent

Commercial and industrial	$	528,301	11.3	%	$	399,760	11.6	%
Commercial real estate - owner occupied	519,847		11.1		320,434		9.3
Commercial real estate - non-owner occupied	1,099,784		23.5		937,094		27.0
Construction and land development	425,335		9.1		280,254		8.1
Multi-family	638,653		13.6		544,941		15.8
One-to-four family residential	614,563		13.1		445,463		12.9
Agricultural and farmland	596,294		12.7		275,251		8.0
Municipal, consumer, and other	264,174		5.6		253,012		7.3
Loans, before allowance for credit losses	4,686,951		100.0	%	3,456,209		100.0	%
Allowance for credit losses	(60,474)				(41,690)
Loans, net of allowance for credit losses	$	4,626,477			$	3,414,519

Loans, before allowance for credit losses were $4.69 billion at March 31, 2026, an increase of $1.23 billion, or 35.6%, from December 31, 2025. Excluding the impact of the CNB merger, loans decreased by $65.6 million with the following notable changes:

•A seasonal $26.3 million increase in grain elevator lines of credit within the commercial and industrial segment;

•A $8.0 million reduction on two commercial and industrial lines of credit that funded shortly before and paid off after December 31, 2025;

•Larger payoffs due to refinancings across the multi-family, commercial real estate - non-owner occupied, and municipal, consumer, and other segments were partially offset by increases in the construction and land development and one-to-four family residential segments.

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Commercial Real Estate Portfolios

Commercial real estate – owner occupied loans are primarily made based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The commercial real estate – owner occupied portfolio composition, segmented by the owner’s business classification, as of March 31, 2026 was as follows:


	March 31, 2026
(dollars in thousands)	Balance		Substandard Risk Rating

Accommodation and food services	$	101,428	$	1,218
Manufacturing	53,296		449
Health care and social assistance	41,854		1,391
Real estate, rental, and leasing	41,384		503
Auto repair and dealers	39,020		290
Retail trade	31,151		113
Grain elevators	28,071		2,250
Construction	23,999		1,308
Arts, entertainment, and recreation	21,935		1,107
Other services (except public administration)	21,914		301
Wholesale trade	19,191		523
Administrative and support services	11,125		—
Professional, scientific, and technical services	11,103		88
Education services	9,178		1,137
Agriculture, forestry, fishing, and hunting	6,274		—
Finance and insurance	3,310		416
Other	55,614		1,548
Total	$	519,847	$	12,642

Commercial real estate – non-owner occupied loans are primarily made based on projected cash flows from the rental or sale of the underlying collateral. The commercial real estate – non-owner occupied portfolio composition, segmented by the property type, as of March 31, 2026 was as follows:


	March 31, 2026
(dollars in thousands)	Balance		Substandard Risk Rating		Weighted Average LTV(1)

Retail	$	226,412	$	718	52	%
Warehouse and manufacturing	207,449		51		54
Office	177,099		—		57
Hotel	160,727		2,472		57
Senior Living	112,243		4,072		59
Mixed use (commercial and residential)	82,259		22		62
Medical office	34,448		—		56
Gas station	30,843		—		59
Auto repair and dealers	21,495		40		54
Restaurant and bar	18,996		43		55
Other	27,813		—		57
Total	$	1,099,784	$	7,418	56	%

_________________________________________________

(1) Weighted average LTV is based on the most recent appraisals available, which are generally obtained at the time of origination.

Multi-family loans totaled $638.7 million as of March 31, 2026, and are primarily made based on projected cash flows from the rental of the underlying collateral. As of March 31, 2026, multi-family loans had a weighted average LTV of 58%, based on the most recent appraisals available, which are generally obtained at the time of origination.

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Construction and land development loans totaled $425.3 million as of March 31, 2026. The majority of these loans consist of multi-family and one-to-four family residential construction projects either to be sold upon completion or held for long-term investment, but also include other property types that may be rented, sold, or owner occupied upon completion. Construction and land development loans are primarily based on projected cash flows from the rental or sale of the underlying collateral, or based on the identified cash flows of the borrower.

Management’s disciplined approach to credit risk management is exercised through portfolio diversification, robust underwriting policies, and routine loan monitoring practices in order to identify and mitigate any credit weakness as early as possible. Management continually monitors and evaluates commercial real estate concentrations by property class, industry, and relative to the Bank’s regulatory capital to remain in line with board-established limits and adapt to changing industry conditions. A centralized credit underwriting group, independent of the originating lender, evaluates a vast majority of the commercial exposures over $750 thousand annually, if not more frequently, through a standardized credit review process to ensure uniform application of policies and procedures as well as analyze credit performance. All loans require appropriate internal approval, with a centralized credit approval group reviewing the vast majority of exposures over $1 million. Additionally, more than 45% of loan commitments are reviewed on a rolling 24 month basis between a robust internal review process and an annual third-party review of a sample of the portfolio.

For commercial real estate – non-owner occupied and multi-family loans over $1 million, we evaluate, on a quarterly basis, the impact of current interest rates on the underlying cash flows of the properties securing these loans, based on the most recent cash flow data available. Individual credits with a maturity scheduled within the next five quarters that are presenting stress under current renewal terms are identified, so that ample time is available to develop solutions to manage credit risk. This testing is completed in addition to the various sensitivity testing completed at the initial extension of credit.

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Loan Portfolio Maturities

The following table summarizes the scheduled maturities of the loan portfolio as of March 31, 2026. Demand loans (loans having no stated repayment schedule or maturity) and overdraft loans are reported as being due in one year or less.


(dollars in thousands)	1 Year or Less		After 1 Year Through 5 Years		After 5 Years Through 15 Years		After 15 Years		Total

Commercial and industrial	$	252,574	$	196,042	$	79,685	$	—	$	528,301
Commercial real estate - owner occupied	66,882		188,205		150,830		113,930		519,847
Commercial real estate - non-owner occupied	243,696		599,750		159,271		97,067		1,099,784
Construction and land development	205,014		197,751		18,332		4,238		425,335
Multi-family	134,373		376,223		72,086		55,971		638,653
One-to-four family residential	95,116		191,429		93,519		234,499		614,563
Agricultural and farmland	205,917		179,776		99,645		110,956		596,294
Municipal, consumer, and other	73,057		79,718		75,685		35,714		264,174
Total	$	1,276,629	$	2,008,894	$	749,053	$	652,375	$	4,686,951

The following table summarizes loans maturing after one year, segregated into variable and fixed interest rates.


	Variable Interest Rates
(dollars in thousands)	Repricing 1 Year or Less		Repricing After 1 Year		Total Variable Interest Rates		Predetermined (Fixed) Interest Rates		Total

Commercial and industrial	$	78,958	$	28,676	$	107,634	$	168,093	$	275,727
Commercial real estate - owner occupied	100,199		179,463		279,662		173,303		452,965
Commercial real estate - non-owner occupied	144,176		148,282		292,458		563,630		856,088
Construction and land development	83,315		8,921		92,236		128,085		220,321
Multi-family	67,048		64,003		131,051		373,229		504,280
One-to-four family residential	104,472		163,165		267,637		251,810		519,447
Agricultural and farmland	78,353		131,364		209,717		180,660		390,377
Municipal, consumer, and other	23,217		31,361		54,578		136,539		191,117
Total	$	679,738	$	755,235	$	1,434,973	$	1,975,349	$	3,410,322

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Nonperforming Assets

Our nonperforming loans and nonperforming assets were as follows:


(dollars in thousands)	March 31, 2026			December 31, 2025

NONPERFORMING ASSETS
Nonaccrual	$	13,229		$	7,556
Past due 90 days or more, still accruing	—			—
Total nonperforming loans	13,229			7,556
Foreclosed assets	1,149			1,126
Total nonperforming assets	$	14,378		$	8,682

Nonperforming loans that are wholly or partially guaranteed by the U.S. Government	$	2,291		$	2,170

Allowance for credit losses	$	60,474		$	41,690
Loans, before allowance for credit losses	4,686,951			3,456,209

CREDIT QUALITY RATIOS
Allowance for credit losses to loans, before allowance for credit losses	1.29		%	1.21		%
Allowance for credit losses to nonaccrual loans	457.13			551.75
Allowance for credit losses to nonperforming loans	457.13			551.75
Nonaccrual loans to loans, before allowance for credit losses	0.28			0.22
Nonperforming loans to loans, before allowance for credit losses	0.28			0.22
Nonperforming assets to total assets	0.21			0.17
Nonperforming assets to loans, before allowance for credit losses, and foreclosed assets	0.31			0.25

Total nonperforming assets were $14.4 million at March 31, 2026, an increase of 65.6% when compared to $8.7 million at December 31, 2025. The $5.7 million increase in nonperforming assets from December 31, 2025 was primarily attributable to $6.1 million of nonaccrual loans acquired in the CNB merger, with the majority in the construction and land development segment. Additionally, of the $13.2 million of nonperforming loans held as of March 31, 2026, $2.3 million are either wholly or partially guaranteed by the U.S. Government.

Risk Classification of Loans

Our risk classifications of loans were as follows:


(dollars in thousands)	March 31, 2026		December 31, 2025

Pass	$	4,317,189	$	3,241,912
Pass-watch	256,005		131,766
Special mention	31,013		11,788
Substandard	82,744		70,743
Total	$	4,686,951	$	3,456,209

Loans rated pass-watch or worse increased $155.5 million, or 72.5%, from December 31, 2025 to March 31, 2026, primarily attributable to loans acquired in the CNB merger, including $113.0 million of pass-watch loans, $18.0 million of special mention loans, and $20.7 million of substandard loans.

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Net Charge-offs (Recoveries)

The following table summarizes net charge-offs (recoveries) to average loans by loan category.


	Three Months Ended March 31,
(dollars in thousands)	2026			2025

Net charge-offs (recoveries)
Commercial and industrial	$	461		$	326
Commercial real estate - owner occupied	244			(1)
Commercial real estate - non-owner occupied	(15)			—
Construction and land development	—			5
Multi-family	(3)			—
One-to-four family residential	(25)			41
Agricultural and farmland	(4)			(38)
Municipal, consumer, and other	100			96
Total	$	758		$	429

Average loans
Commercial and industrial	$	460,121		$	444,711
Commercial real estate - owner occupied	384,274			323,501
Commercial real estate - non-owner occupied	998,651			890,466
Construction and land development	341,733			368,489
Multi-family	568,948			433,053
One-to-four family residential	503,901			460,809
Agricultural and farmland	377,720			278,054
Municipal, consumer, and other	255,040			261,823
Total	$	3,890,388		$	3,460,906

Charge-offs (recoveries) to average loans *
Commercial and industrial	0.41		%	0.30		%
Commercial real estate - owner occupied	0.26			—
Commercial real estate - non-owner occupied	(0.01)			—
Construction and land development	—			0.01
Multi-family	—			—
One-to-four family residential	(0.02)			0.04
Agricultural and farmland	—			(0.06)
Municipal, consumer, and other	0.16			0.15
Total	0.08		%	0.05		%

_________________________________________________

* Annualized measure.

The net charge-offs (recoveries) to average total loans ratio has remained low for several years. While we believe our continuous credit monitoring and collection efforts have resulted in lower levels of credit losses, we also recognize that the relatively stable economic conditions after the COVID-19 pandemic have also contributed to reduced credit losses.

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Securities

The Company’s investment policy emphasizes safety of the principal, liquidity needs, expected returns, cash flow targets, and consistency with our interest rate risk management strategy. The composition and maturities of the debt securities portfolio as of March 31, 2026, are summarized in the following table. Maturities are based on the final contractual payment dates, and do not reflect the impact of prepayments or early redemptions that may occur. Security yields have not been adjusted to a tax-equivalent basis.


	March 31, 2026
	Available-for-Sale				Held-to-Maturity				Total
(dollars in thousands)	Amortized Cost		Weighted Average Yield		Amortized Cost		Weighted Average Yield		Amortized Cost		Weighted Average Yield

Due in 1 year or less
U.S. Treasury	$	19,948	1.15	%	$	—	—	%	$	19,948	1.15	%
U.S. government agency	10,387		2.02		5,000		1.10		15,387		1.72
Municipal	9,472		2.56		2,330		2.83		11,802		2.62
Mortgage-backed:
Agency residential	896		2.74		—		—		896		2.74
Agency commercial	10,075		1.90		7,454		2.85		17,529		2.30
Corporate	1,999		6.00		—		—		1,999		6.00
Total	$	52,777	1.93	%	$	14,784	2.25	%	$	67,561	2.00	%
Due after 1 year through 5 years
U.S. Treasury	$	59,877	1.46	%	$	—	—	%	$	59,877	1.46	%
U.S. government agency	12,350		2.54		57,887		2.50		70,237		2.51
Municipal	85,542		1.71		15,296		3.21		100,838		1.94
Mortgage-backed:
Agency residential	21,417		2.01		10,551		2.08		31,968		2.03
Agency commercial	63,426		1.78		158,691		1.97		222,117		1.92
Corporate	18,238		5.12		—		—		18,238		5.12
Total	$	260,850	1.97	%	$	242,425	2.18	%	$	503,275	2.07	%
Due after 5 years through 10 years

U.S. government agency	$	80,572	4.12	%	$	25,614	2.70	%	$	106,186	3.78	%
Municipal	58,346		2.35		8,647		3.64		66,993		2.52
Mortgage-backed:
Agency residential	41,236		2.95		2,403		3.11		43,639		2.96
Agency commercial	11,131		3.41		64,588		2.02		75,719		2.23
Corporate	41,000		6.11		—		—		41,000		6.11
Total	$	232,285	3.79	%	$	101,252	2.36	%	$	333,537	3.35	%
Due after 10 years

U.S. government agency	$	7,093	4.39	%	$	—	—	%	$	7,093	4.39	%
Municipal	55,332		3.56		1,932		3.47		57,264		3.55
Mortgage-backed:
Agency residential	390,309		4.59		60,580		3.63		450,889		4.46
Agency commercial	58,178		3.75		32,877		2.03		91,055		3.13
Corporate	4,429		5.96		—		—		4,429		5.96
Total	$	515,341	4.39	%	$	95,389	3.08	%	$	610,730	4.19	%
Total
U.S. Treasury	$	79,825	1.39	%	$	—	—	%	$	79,825	1.39	%
U.S. government agency	110,402		3.77		88,501		2.48		198,903		3.19
Municipal	208,692		2.42		28,205		3.33		236,897		2.53
Mortgage-backed:
Agency residential	453,858		4.31		73,534		3.39		527,392		4.19
Agency commercial	142,810		2.72		263,610		2.02		406,420		2.26
Corporate	65,666		5.82		—		—		65,666		5.82
Total	$	1,061,253	3.54	%	$	453,850	2.41	%	$	1,515,103	3.20	%

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SOURCES OF FUNDS

Deposits

Management continues to focus on growing deposits through the Company’s relationship-driven banking philosophy and community-focused marketing programs.

The following table sets forth the distribution of average deposits, by account type:


	Three Months Ended March 31,												Percent Change in Average Balance
	2026						2025
(dollars in thousands)	Average Balance		Percent of Total Deposits		Weighted Average Cost *		Average Balance		Percent of Total Deposits		Weighted Average Cost *

Noninterest-bearing	$	1,150,594	23.5	%	—	%	$	1,045,733	24.1	%	—	%	10.0	%
Interest-bearing demand	1,223,982		25.0		0.64		1,120,608		25.9		0.53		9.2
Money market	906,663		18.6		1.99		807,728		18.7		2.21		12.2
Savings	671,852		13.7		0.43		569,494		13.2		0.26		18.0
Time	940,019		19.2		3.03		784,099		18.1		3.48		19.9

Total deposits	$	4,893,110	100.0	%	1.17	%	$	4,327,662	100.0	%	1.21	%	13.1	%

_________________________________________________

*Annualized measure.

The average balance of deposits increased 13.1% from the three months ended March 31, 2025 to the three months ended March 31, 2026 primarily due to the CNB acquisition, which added $996.5 million of non-maturity deposits and $520.4 million of time deposits on March 1, 2026.

Despite the continued shift towards higher cost deposit products, a reduction in the target range for the federal funds rate during the second half of 2025 contributed to a decrease in funding costs. As a result, total deposit costs have continued to decline.

The following table sets forth time deposits by remaining maturity as of March 31, 2026:


(dollars in thousands)	3 Months or Less		Over 3 through 6 Months		Over 6 through 12 Months		Over 12 Months		Total

Time deposits:
Amounts less than $100,000	$	178,934	$	130,022	$	128,349	$	38,032	$	475,337
Amounts of $100,000 or more but less than $250,000	158,659		115,708		118,825		18,786		411,978
Amounts of $250,000 or more	156,553		61,818		151,254		8,729		378,354
Total time deposits	$	494,146	$	307,548	$	398,428	$	65,547	$	1,265,669

As of March 31, 2026 and December 31, 2025, the Bank’s uninsured deposits were estimated to be $1.34 billion and $928.7 million, respectively.

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LIQUIDITY

Bank Liquidity

The overall objective of bank liquidity management is to ensure the availability of sufficient cash funds to meet all financial commitments and to take advantage of investment opportunities. The Bank manages liquidity in order to meet deposit withdrawals on demand or at contractual maturity, to repay borrowings as they mature, and to fund new loans and investments as opportunities arise.

The Bank continuously monitors its liquidity positions to ensure that assets and liabilities are managed in a manner that will meet all of our short-term and long-term cash requirements. The Bank manages its liquidity position to meet our daily cash flow needs, while maintaining an appropriate balance between assets and liabilities to meet the return on investment objectives. The Bank also monitors liquidity requirements in light of interest rate trends, changes in the economy, the scheduled maturity and interest rate sensitivity of the investment and loan portfolios and deposits, and regulatory capital requirements.

As part of the Bank’s liquidity management strategy, the Bank is also focused on minimizing costs of liquidity and attempts to decrease these costs by promoting noninterest-bearing and low-cost deposits. While the Bank does not control the types of deposit instruments our clients choose, those choices can be influenced with the rates and the deposit specials offered.

Our on-balance sheet sources of liquidity included cash and cash equivalents as well as unpledged securities which may be sold or pledged as collateral to meet liquidity needs. As of March 31, 2026 and December 31, 2025, our on-balance sheet sources of liquidity included the following:


(dollars in thousands)	March 31, 2026		December 31, 2025

Cash and cash equivalents	$	287,653	$	122,269
Fair value of unpledged securities	950,205		845,524
Total cash and unpledged securities	$	1,237,858	$	967,793

Additional sources of liquidity include borrowings from the FHLB, the Federal Reserve discount window, and federal fund lines of credit. Interest is charged on outstanding borrowings at the prevailing market rate. As of March 31, 2026, our current borrowings and additional available borrowing capacity were as follows:


	March 31, 2026
(dollars in thousands)	Current Balance		Additional Available Capacity

FHLB	$	12,332	$	1,007,862
Federal Reserve	—		108,336
Federal funds lines of credit	—		80,000
Total	$	12,332	$	1,196,198

Furthermore, the Bank has the option to utilize brokered deposits as an additional source of liquidity, as needed.

As of March 31, 2026, management believed the current liquidity and available sources of liquidity are adequate to meet all of the reasonably foreseeable short-term and intermediate-term demands of the Bank. As of March 31, 2026, the Bank had no material commitments for capital expenditures.

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Holding Company Liquidity

The Holding Company, or HBT Financial, Inc. on an unconsolidated basis, is a corporation separate and apart from the Bank and, therefore, it must provide for its own liquidity. As of March 31, 2026, the Holding Company had cash and cash equivalents of $28.7 million.

The Holding Company’s main source of funding is dividends declared and paid to it by the Bank. Dividends paid by the Bank to the Holding Company would be prohibited if the effect thereof would cause the Bank’s capital to be reduced below applicable minimum capital requirements. Management believes that such limitations will not impact the Holding Company’s ability to meet its ongoing short-term or intermediate-term cash obligations. During the three months ended March 31, 2026 and 2025, the Bank paid $56.0 million and $7.5 million in dividends to the Holding Company, respectively. Additionally, the private placement of $85.0 million of subordinated notes completed on March 11, 2026 bolstered the cash reserves at the Holding Company with $60.0 million contributed to the Bank during the first quarter of 2026.

The liquidity needs of the Holding Company on an unconsolidated basis consist primarily of operating expenses, interest payments on debt, and shareholder distributions in the form of dividends and stock repurchases. During the three months ended March 31, 2026 and 2025, holding company operating expenses consisted of interest expense of $1.1 million and $1.4 million, respectively, and other operating expenses of $3.5 million and $1.0 million, respectively. Additionally, the Holding Company paid $7.3 million and $6.7 million of dividends to stockholders during the three months ended March 31, 2026 and 2025, respectively.

As of March 31, 2026, management was not aware of any known trends, events or uncertainties that had or were reasonably likely to have a material impact on the Holding Company’s liquidity.

As of March 31, 2026, management believed the current liquidity and available sources of liquidity are adequate to meet all of the reasonably foreseeable short-term and intermediate-term demands of the Holding Company. As of March 31, 2026, the Holding Company had no material commitments for capital expenditures.

CAPITAL RESOURCES

The overall objectives of capital management are to ensure the availability of sufficient capital to support loan, deposit and other asset and liability growth opportunities and to maintain capital to absorb unforeseen losses or write-downs that are inherent in the business risks associated with the banking industry. The Company seeks to balance the need for higher capital levels to address such unforeseen risks and the goal to achieve an adequate return on the capital invested by our stockholders.

Regulatory Capital Requirements

The Company and Bank are each subject to various regulatory capital requirements administered by federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the financial statements of the Company and the Bank.

In addition to meeting minimum capital requirements, the Company and the Bank must also maintain a “capital conservation buffer” to avoid becoming subject to restrictions on capital distributions and certain discretionary bonus payments to management. The capital conservation buffer requirement is 2.5% of risk-weighted assets.

As of March 31, 2026 and December 31, 2025, the Company and the Bank met all capital adequacy requirements to which they were subject. As of those dates, the Bank was “well capitalized” under the regulatory prompt corrective action provisions.

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The following table sets forth actual capital ratios of the Company and the Bank as of the dates indicated, as well as the minimum ratios for capital adequacy purposes with the capital conservation buffer, and the minimum ratios to be well capitalized under regulatory prompt corrective action provisions.


	March 31, 2026		December 31, 2025		For Capital Adequacy Purposes With Capital Conservation Buffer (1)		To Be Well Capitalized Under Prompt Corrective Action Provisions (2)
Consolidated HBT Financial, Inc.
Total Capital (to Risk Weighted Assets)	15.99	%	16.82	%	10.50	%	N/A
Tier 1 Capital (to Risk Weighted Assets)	13.38		15.72		8.50		N/A
Common Equity Tier 1 Capital (to Risk Weighted Assets)	12.42		14.42		7.00		N/A
Tier 1 Capital (to Average Assets)	12.63		12.26		4.00		N/A

Heartland Bank and Trust Company
Total Capital (to Risk Weighted Assets)	15.46	%	16.52	%	10.50	%	10.00	%
Tier 1 Capital (to Risk Weighted Assets)	14.44		15.42		8.50		8.00
Common Equity Tier 1 Capital (to Risk Weighted Assets)	14.44		15.42		7.00		6.50
Tier 1 Capital (to Average Assets)	13.63		12.02		4.00		5.00

_________________________________________________

(1)The Tier 1 capital to average assets ratio (known as the “leverage ratio”) is not impacted by the capital conservation buffer.

(2)The prompt corrective action provisions are not applicable to bank holding companies.

N/A Not applicable.

As of March 31, 2026, management was not aware of any known trends, events or uncertainties that had or were reasonably likely to have a material impact on the Company’s capital resources.

Cash Dividends

During 2025, the Company paid quarterly cash dividends of $0.21 per share. In January 2026, the Company announced an increase of $0.02 and paid a $0.23 per share dividend during the first quarter of 2026.

Stock Repurchase Program

Under the Company's stock repurchase program, the Company repurchased 602,855 shares of its common stock at a weighted average price of $25.84 during the three months ended March 31, 2026. The Company’s Board of Directors has authorized the repurchase of up to $30.0 million of its common stock under its stock repurchase program in effect until January 1, 2027. As of March 31, 2026, the Company had $14.4 million remaining under the current stock repurchase authorization.

OFF-BALANCE SHEET ARRANGEMENTS

As a financial services provider, the Bank routinely is a party to various financial instruments with off-balance sheet risks, such as commitments to extend credit, standby letters of credit, unused lines of credit, commitments to sell loans, and interest rate swaps. While these contractual obligations represent our future cash requirements, a significant portion of commitments to extend credit may expire without being drawn upon. Such commitments are subject to the same credit policies and approval process afforded to loans originated by the Bank. For additional information, see “Note 16 – Commitments and Contingencies” to the consolidated financial statements.

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CRITICAL ACCOUNTING ESTIMATES

Critical accounting estimates are those that are critical to the portrayal and understanding of the Company’s financial condition and results of operations and require management to make assumptions that are difficult, subjective, or complex. These estimates involve judgments, assumptions, and uncertainties that are susceptible to change. In the event that different assumptions or conditions were to prevail, and depending on the severity of such changes, the possibility of a materially different financial condition or materially different results of operations is a reasonable likelihood. Further, changes in accounting standards could impact the Company’s critical accounting estimates. The following accounting estimates could be deemed critical:

Allowance for Credit Losses

The allowance for credit losses reflects an estimate of lifetime expected credit losses. Measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts. The allowance for credit losses is established through a provision for credit losses which is charged to expense. Additions to the allowance for credit losses are expected to maintain the adequacy of the total allowance for credit losses. Loan losses are charged off against the allowance for credit losses when the Company determines the loan balance to be uncollectible. Cash received on previously charged off amounts is recorded as a recovery to the allowance for credit losses.

Management uses the discounted cash flow method to estimate expected credit losses for all loan categories, except for consumer loans where the weighted average remaining maturity method is utilized. The Company uses regression analysis of historical internal and peer data to determine which macroeconomic variables are most closely correlated with credit losses, such as the unemployment rate and changes in GDP. Management leverages economic projections from a reputable third party to form its economic forecasts with a reversion to historical averages for periods beyond a reasonable and supportable forecast period.

Nonaccrual loans and loans which do not share risk characteristics with other loans in the pool are individually evaluated to determine expected credit losses.

The allowance for credit losses on unfunded commitments is estimated in the same manner as the associated loans, adjusted for anticipated funding rate.

Fair Value of Assets Acquired and Liabilities Assumed in Business Combinations

Business combinations are accounted for using the acquisition method of accounting. Under the acquisition method of accounting, assets acquired and liabilities assumed are recorded at their estimated fair value on the acquisition date. Estimating such fair values may require highly subjective assumptions or the use of a valuation specialist. In the CNB acquisition, the fair value for loans was most significant estimate and relatively small changes in assumptions used in this estimate could result in a materially different conclusion.

The fair value for loans was based on a discounted cash flow methodology that considered credit loss and prepayment expectations, market interest rates and other market factors, such as liquidity, from the perspective of a market participant. Loan cash flows were generated on an individual loan basis. The probability of default, loss given default, exposure at default, and prepayment assumptions are key factors in this analysis.

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NON-GAAP FINANCIAL INFORMATION

This Quarterly Report on Form 10-Q contains certain financial information determined by methods other than those in accordance with GAAP. Management believes that it is a standard practice in the banking industry to present these non-GAAP financial measures, and accordingly believes that providing these measures may be useful for peer comparison purposes. These disclosures should not be viewed as substitutes for the results determined to be in accordance with GAAP; nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies. See our reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures below.


Non-GAAP Financial Measure	Definition	How the Measure Provides Useful Information to Investors
Adjusted Net Income	•Net income, with the following adjustments: -excludes acquisition expenses, -excludes branch closure expenses, -excludes net earnings (losses) from closed or sold operations, -losses on extinguishment of debt, -excludes gains (losses) on closed branch premises, -excludes realized gains (losses) on sales of securities, -excludes mortgage servicing rights fair value adjustment, and -the income tax effect of these pre-tax adjustments.	•Enhances comparisons to prior periods and, accordingly, facilitates the development of future projections and earnings growth prospects. •We also sometimes refer to ratios that include Adjusted Net Income, such as: -Adjusted Return on Average Assets, which is Adjusted Net Income divided by average assets. -Adjusted Return on Average Equity, which is Adjusted Net Income divided by average equity. -Adjusted Earnings Per Share – Basic, which is Adjusted Net Income divided by weighted average common shares outstanding. -Adjusted Earnings Per Share – Diluted, which is Adjusted Net Income divided by weighted average common shares outstanding, including all dilutive potential shares. •Adjusted Return on Average Assets is a performance measure utilized in determining executive compensation.
Pre-Provision Net Revenue	•Net interest income, plus noninterest income, less noninterest expense.	•Provides investors with information regarding profitability excluding provision for credit losses and income tax expense, which may fluctuate from period to period. •We also sometimes refer to measures that include Pre-Provision Net Revenue, such as: -Adjusted Pre-Provision Net Revenue which reflects the adjustments considered in Adjusted Net Income, as necessary. -Pre-Provision Net Revenue Less Charge-offs (Recoveries). -Adjusted Pre-Provision Net Revenue Less Charge-offs (Recoveries) which reflects the adjustments considered in Adjusted Net Income, as necessary. •Adjusted Pre-Provision Net Revenue Less Net Charge-Offs (Recoveries) is a performance measure utilized in determining executive compensation.

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Non-GAAP Financial Measure	Definition	How the Measure Provides Useful Information to Investors
Net Interest Income (Tax-Equivalent Basis)	•Net interest income adjusted for the tax-favored status of tax-exempt loans and securities. (1)	•We believe the tax-equivalent basis is the preferred industry measurement of net interest income. •Enhances comparability of net interest income arising from taxable and tax-exempt sources. •We also sometimes refer to Net Interest Margin (Tax-Equivalent Basis), which is Net Interest Income (Tax-Equivalent Basis) divided by average interest-earning assets.
Efficiency Ratio (Tax-Equivalent Basis)	•Noninterest expense less amortization of intangible assets divided by the sum of net interest income (tax-equivalent basis) and noninterest income. (1)	•Provides a measure of productivity in the banking industry. •Calculated to measure the cost of generating one dollar of revenue. That is, the ratio is designed to reflect the percentage of one dollar which must be expended to generate that dollar of revenue. •We also sometimes refer to Adjusted Efficiency Ratio (Tax-Equivalent Basis) which reflects the adjustments considered in Adjusted Net Income, as necessary. •Adjusted Efficiency Ratio (Tax-Equivalent Basis) is a performance measure utilized in determining executive compensation.
Ratio of Tangible Common Equity to Tangible Assets	•Tangible Common Equity is total stockholders’ equity less goodwill and other intangible assets. •Tangible Assets is total assets less goodwill and other intangible assets.	•Generally used by investors, our management, and banking regulators to evaluate capital adequacy. •Facilitates comparison of our earnings with the earnings of other banking organization with varying amounts of goodwill or intangible assets. •We also sometimes refer to ratios that include Tangible Common Equity, such as: -Tangible Book Value Per Share, which is Tangible Common Equity divided by shares of common stock outstanding. -Return on Average Tangible Common Equity, which is net income divided by average Tangible Common Equity. -Adjusted Return on Average Tangible Common Equity, which is Adjusted Net Income divided by average Tangible Common Equity.
Core Deposits	•Total deposits, excluding: -Time deposits of $250,000 or more, and -Brokered deposits	•Provides investors with information regarding the stability of the Company’s sources of funds. •We also sometimes refer to the ratio of Core Deposits to total deposits.

_________________________________________________

(1)Tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.

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Reconciliation of Non-GAAP Financial Measure —

Adjusted Net Income and Adjusted Return on Average Assets


	Three Months Ended March 31,
(dollars in thousands)	2026			2025

Net income	$	11,200		$	19,075
Less: adjustments
Acquisition expenses	(15,666)			—

Net earnings (losses) on closed or sold operations	4			—

Gains (losses) on closed branch premises	(210)			59

Mortgage servicing rights fair value adjustment	197			(308)
Total adjustments	(15,675)			(249)
Tax effect of adjustments (1)	4,265			71
Total adjustments after tax effect	(11,410)			(178)
Adjusted net income	$	22,610		$	19,253

Average assets	$	5,713,444		$	5,032,813

Return on average assets *	0.80		%	1.54		%
Adjusted return on average assets *	1.60			1.55

_________________________________________________

* Annualized measure.

(1)Assumes a federal income tax rate of 21% and a state tax rate of 9.5%, and excludes non-deductible acquisition expenses.

Reconciliation of Non-GAAP Financial Measure —

Adjusted Earnings Per Share


	Three Months Ended March 31,
(dollars in thousands, except per share amounts)	2026		2025

Numerator:
Net income	$	11,200	$	19,075



Adjusted net income	$	22,610	$	19,253



Denominator:
Weighted average common shares outstanding	33,180,009		31,584,989
Dilutive effect of outstanding restricted stock units	120,087		126,682
Weighted average common shares outstanding, including all dilutive potential shares	33,300,096		31,711,671

Earnings per share - basic	$	0.34	$	0.60
Earnings per share - diluted	$	0.34	$	0.60

Adjusted earnings per share - basic	$	0.68	$	0.61
Adjusted earnings per share - diluted	$	0.68	$	0.61

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Reconciliation of Non-GAAP Financial Measure —

Pre-Provision Net Revenue, Pre-Provision Net Revenue Less Charge-offs (Recoveries),

Adjusted Pre-Provision Net Revenue, and

Adjusted Pre-Provision Net Revenue Less Charge-offs (Recoveries)


	Three Months Ended March 31,
(dollars in thousands)		2026		2025

Net interest income		$	56,387	$	48,708
Noninterest income		10,944		9,306
Noninterest expense		(52,437)		(31,935)
Pre-provision net revenue		14,894		26,079
Less: adjustments
Acquisition expenses		(15,666)		—

Net earnings (losses) on closed or sold operations		4		—

Gains (losses) on closed branch premises		(210)		59

Mortgage servicing rights fair value adjustment		197		(308)
Total adjustments		(15,675)		(249)
Adjusted pre-provision net revenue		$	30,569	$	26,328

Pre-provision net revenue		$	14,894	$	26,079
Less: net charge-offs		758		429
Pre-provision net revenue less net charge-offs		$	14,136	$	25,650

Adjusted pre-provision net revenue		$	30,569	$	26,328
Less: net charge-offs		758		429
Adjusted pre-provision net revenue less net charge-offs		$	29,811	$	25,899

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Reconciliation of Non-GAAP Financial Measure —

Net Interest Income and Net Interest Margin (Tax-Equivalent Basis)


	Three Months Ended March 31,
(dollars in thousands)	2026			2025

Net interest income (tax-equivalent basis)
Net interest income	$	56,387		$	48,708
Tax-equivalent adjustment (1)	649			545
Net interest income (tax-equivalent basis) (1)	$	57,036		$	49,253

Net interest margin (tax-equivalent basis)
Net interest margin *	4.20		%	4.12		%
Tax-equivalent adjustment * (1)	0.05			0.04
Net interest margin (tax-equivalent basis) * (1)	4.25		%	4.16		%

Average interest-earning assets	$	5,444,413		$	4,798,021

_________________________________________________

* Annualized measure.

(1)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.

Reconciliation of Non-GAAP Financial Measure —

Efficiency Ratio (Tax-Equivalent Basis) and Adjusted Efficiency Ratio (Tax-Equivalent Basis)


	Three Months Ended March 31,
(dollars in thousands)		2026			2025

Total noninterest expense		$	52,437		$	31,935
Less: amortization of intangible assets		887			695
Noninterest expense excluding amortization of intangible assets		51,550			31,240
Less: adjustments to noninterest expense
Acquisition expenses		15,666			—

Expenses from closed or sold operations		149			—

Total adjustments to noninterest expense		15,815			—
Adjusted noninterest expense		$	35,735		$	31,240

Net interest income		$	56,387		$	48,708
Total noninterest income		10,944			9,306
Operating revenue		67,331			58,014
Tax-equivalent adjustment (1)		649			545
Operating revenue (tax-equivalent basis) (1)		67,980			58,559
Less: adjustments to noninterest income
Revenue from closed or sold operations		153			—
Gains (losses) on closed branch premises		(210)			59

Mortgage servicing rights fair value adjustment		197			(308)
Total adjustments to noninterest income		140			(249)
Adjusted operating revenue (tax-equivalent basis) (1)		$	67,840		$	58,808

Efficiency ratio		76.56		%	53.85		%
Efficiency ratio (tax-equivalent basis) (1)		75.83			53.35
Adjusted efficiency ratio (tax-equivalent basis) (1)		52.68			53.12

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(1)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.

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Reconciliation of Non-GAAP Financial Measure —

Ratio of Tangible Common Equity to Tangible Assets and Tangible Book Value Per Share


(dollars in thousands, except per share data)	March 31, 2026			December 31, 2025

Tangible Common Equity
Total stockholders' equity	$	747,405		$	615,498
Less: Goodwill	83,504			59,820
Less: Intangible assets	44,962			15,117
Tangible common equity	$	618,939		$	540,561

Tangible Assets
Total assets	$	6,773,724		$	5,071,390
Less: Goodwill	83,504			59,820
Less: Intangible assets	44,962			15,117
Tangible assets	$	6,645,258		$	4,996,453

Total stockholders' equity to total assets	11.03		%	12.14		%
Tangible common equity to tangible assets	9.31			10.82

Shares of common stock outstanding	36,381,078			31,431,924

Book value per share	$	20.54		$	19.58
Tangible book value per share	17.01			17.20

Reconciliation of Non-GAAP Financial Measure —

Return on Average Tangible Common Equity, Adjusted Return on Average Stockholders’ Equity, and Adjusted Return on Average Tangible Common Equity


	Three Months Ended March 31,
(dollars in thousands)	2026			2025

Average Tangible Common Equity
Total stockholders' equity	$	670,567		$	554,715
Less: Goodwill	67,977			59,820
Less: Intangible assets	25,382			17,480
Average tangible common equity	$	577,208		$	477,415

Net income	$	11,200		$	19,075
Adjusted net income	22,610			19,253

Return on average stockholders' equity *	6.77		%	13.95		%
Return on average tangible common equity *	7.87			16.20

Adjusted return on average stockholders' equity *	13.67		%	14.08		%
Adjusted return on average tangible common equity *	15.89			16.36

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* Annualized measure.

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Reconciliation of Non-GAAP Financial Measure —

Core Deposits


(dollars in thousands)	March 31, 2026			December 31, 2025

Core Deposits
Total deposits	$	5,803,448		$	4,359,263
Less: time deposits of $250,000 or more	378,354			201,365
Less: brokered deposits	—			—
Core deposits	$	5,425,094		$	4,157,898

Core deposits to total deposits	93.48		%	95.38		%

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ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Managing risk is an essential part of successfully managing a financial institution. Our most prominent risk exposures are interest rate risk and credit risk.

Interest Rate Risk

Our most significant form of market risk is interest rate risk inherent in the normal course of lending and deposit-taking activities. Interest rate risk is the potential reduction of net interest income as a result of changes in interest rates. Management believes that our ability to successfully respond to changes in interest rates will have a significant impact on our financial results. To that end, management actively monitors and manages our interest rate exposure.

The Company’s Asset/Liability Management Committee (“ALCO”), which is authorized by the Company’s board of directors, monitors our interest rate sensitivity and makes decisions relating to that process. The ALCO’s goal is to structure our asset/liability composition to maximize net interest income while managing interest rate risk so as to minimize the adverse impact of changes in interest rates on net interest income and capital in either a rising or declining interest rate environment. Profitability is affected by fluctuations in interest rates. A sudden and substantial change in interest rates may adversely impact our earnings because the interest rates borne by assets and liabilities do not change at the same speed, to the same extent or on the same basis.

We monitor the impact of changes in interest rates on our net interest income and economic value of equity (“EVE”) using rate shock analysis. Net interest income simulations measure the short-term earnings exposure from changes in market rates of interest in a rigorous and explicit fashion. Our current financial position is combined with assumptions regarding future business to calculate net interest income under varying hypothetical rate scenarios. EVE measures our long-term earnings exposure from changes in market rates of interest. EVE is defined as the present value of assets minus the present value of liabilities at a point in time. A decrease in EVE due to a specified rate change indicates a decline in the long-term earnings capacity of the balance sheet assuming that the rate change remains in effect over the life of the current balance sheet.

The base and shock scenarios in the rate shock analysis assume a static balance sheet, static interest rates, no changes to product mix shift, and cash flow reinvestment at current market interest rates. We also make assumptions for our deposit betas and asset prepayments, based on historical experience.

Deposit Betas

Deposit pricing changes are primarily driven by changes in the federal funds rate, with the relationship between deposit rates and federal funds rate defined as deposit beta. We define cumulative deposit beta as the change in our quarterly cost of deposits divided by the change in the upper level of the stated federal funds rate range over a specified period. During the most recent rising rate cycle, which was from the fourth quarter of 2021 through the second quarter of 2024, our cumulative deposit beta was 23.6%. Since the start of the current falling rate cycle, which began with the third quarter of 2024, our cumulative deposit beta has been 10.7%.

Asset Prepayments

We include prepayment assumptions for both our loan and securities portfolios, based on historical experience. Generally, mortgage portfolio prepayments increase in lower rate environments, while commercial and consumer portfolios have historically remained more consistent throughout rate cycles.

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The following table sets forth the estimated impact on our EVE and net interest income of immediate and parallel changes in interest rates at the specified levels.


Change in Interest Rates (basis points)	Estimated Increase (Decrease) in EVE		Increase (Decrease) in Estimated Net Interest Income
			Year 1		Year 2
March 31, 2026
+400	17.4	%	9.6	%	20.5	%
+300	14.4		7.9		16.3
+200	10.4		5.8		11.6
+100	5.7		3.3		6.4
-100	(6.5)		(2.8)		(6.3)
-200	(13.1)		(4.4)		(11.7)
-300	(6.7)		(6.8)		(18.5)
-400	3.5		(8.4)		(21.5)

December 31, 2025
+400	25.3	%	4.9	%	14.7	%
+300	20.7		4.2		11.8
+200	14.8		3.7		9.0
+100	8.0		2.2		5.0
-100	(9.1)		(4.0)		(7.3)
-200	(16.6)		(4.1)		(11.3)
-300	(9.2)		(5.3)		(16.9)
-400	0.6		(5.5)		(18.0)

Certain shortcomings are inherent in the methodology used in the above interest rate risk measurements. Modeling changes in EVE and net interest income requires that we make certain assumptions that may or may not reflect the manner in which actual yields and costs respond to changes in market interest rates. The EVE and net interest income table presented above assumes that the composition of our interest-rate-sensitive assets and liabilities existing at the beginning of a period remains constant over the period being measured and, accordingly, the data does not reflect any actions that we may undertake in response to changes in interest rates, such as changes in rates paid on certain deposit accounts based on local competitive factors, which could change the actual impact on EVE and net interest income. The table also assumes that a particular change in interest rates is reflected uniformly across the yield curve regardless of the duration to maturity or the repricing characteristics of specific assets and liabilities. Accordingly, although the EVE and net interest income table provides an indication of our sensitivity to interest rate changes at a particular point in time, such measurements are not intended to and do not provide a precise forecast of the effect of changes in market interest rates on our net interest income and will differ from actual results.

Credit Risk

Credit risk is the risk that borrowers or counterparties will be unable or unwilling to repay their obligations in accordance with the underlying contractual terms. We manage credit risk in the loan portfolio by adhering to well-defined underwriting criteria and account administration standards established by management. Our loan policy documents underwriting standards, approval levels, exposure limits and other limits or standards deemed necessary and prudent. Portfolio diversification at the borrower, industry, and product levels is actively managed to mitigate concentration risk. In addition, credit risk management also includes an independent loan review process that assesses compliance with loan policy, compliance with loan documentation standards, accuracy of the risk rating and overall credit quality of the loan portfolio.

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ITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

An evaluation of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) or Rule 15d-15(e) under the Exchange Act) as of the end of the period covered by this report was carried out under the supervision and with the participation of the Company’s Chief Executive Officer, Chief Financial Officer and other members of the Company’s senior management. The Company’s Chief Executive Officer and Chief Financial Officer concluded that, as of March 31, 2026, the end of the period covered by this report, the Company’s disclosure controls and procedures were effective in ensuring that the information required to be disclosed by the Company in the reports it files or submits under the Exchange Act is: (i) accumulated and communicated to the Company’s management (including the Chief Executive Officer and Chief Financial Officer) to allow timely decisions regarding required disclosure; and (ii) recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms.

Changes in Internal Control over Financial Reporting

There were no changes in the Company’s internal control over financial reporting (as defined in Rule 13a-15(f) or Rule 15d-15(f) under the Exchange Act) that occurred during the quarter ended March 31, 2026, that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

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PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

We are sometimes party to legal actions that are routine and incidental to our business. Management, in consultation with legal counsel, does not expect the ultimate disposition of any or a combination of these matters to have a material adverse effect on our assets, business, cash flow, financial condition, liquidity, prospects and results of operations; however, given the nature, scope and complexity of the extensive legal and regulatory landscape applicable to our business, including laws and regulations governing consumer protection, fair lending, fair labor, privacy, information security, and anti-money laundering and anti-terrorism laws, we, like all banking organizations, are subject to heightened legal and regulatory compliance and litigation risk.

ITEM 1A. RISK FACTORS

There have been no material changes to the risk factors disclosed under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 6, 2026.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES, USE OF PROCEEDS, AND ISSUER PURCHASES OF EQUITY SECURITIES

Unregistered Sales of Equity Securities

None.

Issuer Purchases of Equity Securities

On December 16, 2025, the Company’s board of directors approved a stock repurchase program that authorizes the Company to repurchase up to $30.0 million of its common stock. The stock repurchase program will be in effect until January 1, 2027, with the timing of purchases and number of shares repurchased dependent upon a variety of factors including price, trading volume, corporate and regulatory requirements, and market conditions. The Company is not obligated to purchase any shares under the stock repurchase program, and the stock repurchase program may be suspended or discontinued at any time without notice.

The following table sets forth information about the Company’s purchases of its common stock during the first quarter of 2026:


Period	Total Number of Shares Purchased	Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares That May Yet be Purchased Under the Plans or Programs (in thousands)
January 1 - 31, 2026	—	$	—	—	$	30,000
February 1 - 28, 2026	—	—		—	30,000
March 1 - 31, 2026	602,855	25.84		602,855	14,422
Total	602,855	$	25.84	602,855	$	14,422

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. MINE SAFETY DISCLOSURES

None.

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ITEM 5. OTHER INFORMATION

During the fiscal quarter ended March 31, 2026, none of the Company’s directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of Company securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any non-Rule 10b5-1 trading arrangement.

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ITEM 6. EXHIBITS


Exhibit No.						Description

4.1						Indenture, dated March 11, 2026, by and between HBT Financial, Inc. and UMB Bank, N.A., as trustee (incorporated by reference to Exhibit 4.1 to the Company’s Current Report on Form 8-K, filed with the Commission on March 11, 2026).

4.2						Forms of 5.75% Fixed-to-Floating Rate Subordinated Note due 2036 (incorporated by reference to Exhibit 4.2 to the Company’s Current Report on Form 8-K, filed with the Commission on March 11, 2026).

10.1						Subordinated Note Purchase Agreement, dated March 11, 2026, by and among HBT Financial, Inc. and the Purchasers (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Commission on March 11, 2026).

10.2						Form of Registration Rights Agreement, dated March 11, 2026, by and among HBT Financial, Inc. and the Purchasers (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K, filed with the Commission on March 11, 2026).

10.3 §						Amendment to the Amended and Restated Employment Agreement, dated March 13, 2026, by and between the Company, the Bank, and Fred L. Drake

10.4 §						Amendment to the Amended and Restated Employment Agreement, dated March 13, 2026, by and between the Company, the Bank, and J. Lance Carter

10.5 §						Amendment to the Amended and Restated Employment Agreement, dated March 13, 2026, by and between the Company, the Bank, and Peter Chapman

10.6 §						Amendment to the Amended and Restated Employment Agreement, dated March 13, 2026, by and between the Company, the Bank, and Lawrence J. Horvath

10.7 §						Amendment to the Amended and Restated Employment Agreement, dated March 13, 2026, by and between the Company, the Bank, and Mark W. Scheirer

31.1						Certification of the Chief Executive Officer pursuant to Rule 13a-14(a).

31.2						Certification of the Chief Financial Officer pursuant to Rule 13a-14(a).

32.1 *						Certification of the Chief Executive Officer pursuant to 18 U.S.C. 1350.

32.2 *						Certification of the Chief Financial Officer pursuant to 18 U.S.C. 1350.

101.INS						Inline XBRL Instance Document.

101.SCH						Inline XBRL Taxonomy Extension Schema Document.

101.CAL						Inline XBRL Taxonomy Extension Calculation Linkbase Document.

101.LAB						Inline XBRL Taxonomy Extension Label Linkbase Document.

101.PRE						Inline XBRL Taxonomy Extension Presentation Linkbase Document.

101.DEF						Inline XBRL Taxonomy Extension Definition Linkbase Document.

104						Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibits 101).

_________________________________________________

*This exhibit shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent the Company specifically incorporates it by reference.

§ A management contract or compensatory plan or arrangement required to be filed as an exhibit pursuant to Item 601 of Regulation S-K.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


	HBT FINANCIAL, INC.

May 6, 2026	By:	/s/ Peter R. Chapman
		Peter R. Chapman
		Chief Financial Officer
		(on behalf of the registrant and as principal financial officer)