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			NEWS RELEASE

FOR IMMEDIATE RELEASE

SANDY SPRING BANCORP ANNOUNCES FOURTH QUARTER RESULTS

OLNEY, MARYLAND, January 28, 2025 — Sandy Spring Bancorp, Inc. (Nasdaq-SASR), the parent company of Sandy Spring Bank, reported a net loss of $39.5 million ($0.87 per diluted common share) for the quarter ended December 31, 2024, compared to net income of $16.2 million ($0.36 per diluted common share) for the third quarter of 2024 and $26.1 million ($0.58 per diluted common share) for the fourth quarter of 2023. The current quarter's net loss is a result of a $54.4 million goodwill impairment charge determined during our annual goodwill impairment test based on the terms of the merger agreement with Atlantic Union Bankshares Corporation ("AUB"). The goodwill impairment is a non-cash charge and has no impact on the Company's regulatory capital ratios, cash flows, core operating performance or liquidity position.

The current quarter's core earnings were $21.0 million ($0.47 per diluted common share), compared to $17.9 million ($0.40 per diluted common share) for the quarter ended September 30, 2024 and $27.1 million ($0.60 per diluted common share) for the quarter ended December 31, 2023. Core earnings exclude the goodwill impairment charge, merger and acquisition expense, and the after-tax impact of amortization of intangibles, investment securities gains or losses and other non-recurring or extraordinary items. The current quarter's increase in core earnings as compared to the linked quarter was driven by higher net interest income coupled with higher non-interest income, and lower provision for credit losses, partially offset by higher adjusted non-interest expense. The total provision for credit losses was $4.5 million for the fourth quarter of 2024 compared to $6.3 million for the previous quarter and a credit of $3.4 million for the fourth quarter of 2023.

“We are pleased with our fourth quarter results, most notably our improved net interest margin, growth in core earnings, and reductions in brokered deposits,” said Daniel J. Schrider, Chair, President and CEO of Sandy Spring Bank. “We remain focused on serving our clients and building communities in the Greater Washington region.”

Fourth Quarter Highlights

•Total assets at December 31, 2024 decreased by 2% to $14.1 billion compared to $14.4 billion at September 30, 2024. This decline is predominantly driven by a $200.0 million reduction in FHLB advances and a resulting $231.4 million decline in cash and cash equivalents quarter-over-quarter.

•Total loans remained level at $11.5 billion as of December 31, 2024 compared to September 30, 2024. During the current quarter, AD&C and commercial business loans and lines increased by $71.7 million and $32.2 million, respectively, while the commercial investor real estate segment declined by $88.9 million. Total residential mortgage and consumer loan portfolios increased by $19.6 million during this period.

•Total deposits stayed relatively unchanged at $11.7 billion at December 31, 2024 compared to September 30, 2024. Interest-bearing deposits increased $106.1 million, while noninterest-bearing deposits declined $98.1 million. Growth in interest-bearing deposits was mainly experienced within interest checking accounts, which grew $122.9 million during the current quarter, while decline in noninterest-bearing deposit categories was driven by lower balances in commercial checking accounts. Total deposits, excluding brokered deposits, increased by $32.0 million quarter-over-quarter and represented 94% of total deposits as of December 31, 2024.

•The ratio of non-performing loans to total loans was 1.03% at December 31, 2024 compared to 1.09% at September 30, 2024 and 0.81% at December 31, 2023. The current quarter's decline in non-performing loans was mainly related to pay downs on several non-accrual loans along with a single commercial real estate loan that returned to an accrual status.

•Net interest income for the fourth quarter of 2024 grew $4.7 million or 6% compared to the previous quarter and $4.4 million or 5% compared to the fourth quarter of 2023. Compared to the previous quarter, interest income increased by $1.0 million, while interest expense decreased by $3.7 million.

•The net interest margin was 2.53% for the fourth quarter of 2024 compared to 2.44% for the third quarter of 2024 and 2.45% for the fourth quarter of 2023. Compared to the linked quarter, the rate paid on interest-bearing liabilities

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decreased 23 basis points, driven by a 26 basis point decline in the rate on interest-bearing deposits, while the yield on interest-earning assets declined by six basis points. The decline in the rate paid on interest-bearing deposits was attributable to a 50 basis point reduction in the federal funds rate during the current quarter and the associated actions taken by management to re-price the Company's funding base.

•Provision for credit losses directly attributable to the funded loan portfolio was $4.7 million for the current quarter compared to $6.3 million in the previous quarter and a credit of $2.6 million in the prior year quarter. The current quarter's provision expense is mainly attributable to a slight deterioration in the projected economic variables coupled with higher qualitative adjustments, partially offset by lower probability of recession. In addition, during the current quarter, the provision for unfunded commitments declined by $0.2 million, a result of higher utilization rates on lines of credit.

•Non-interest income for the fourth quarter of 2024 increased by 10% or $1.9 million compared to the linked quarter and grew by 31% or $5.1 million compared to the prior year quarter. The quarter-over-quarter increase was mainly due to an increase in income from bank-owned life insurance driven by one-time mortality proceeds received during the current quarter in combination with higher swap fees and higher wealth management income, which was partially offset by lower income from mortgage banking activities.

•Non-interest expense for the fourth quarter of 2024 increased by $61.3 million compared to the third quarter of 2024 and $67.1 million compared to the prior year quarter, due to the goodwill impairment charge of $54.4 million incurred during the current quarter. Excluding the goodwill impairment charge, adjusted non-interest expense was $79.8 million during the current quarter compared to $72.9 million in the linked quarter. This quarterly increase in adjusted non-interest expense was primarily due to a combination of merger and acquisition expense associated with the pending merger with AUB along with higher salaries and compensation benefits, partially offset by lower professional fees and services.

•We perform an annual goodwill impairment test as of October 1st of each year. During the current year, we utilized the terms incorporated in the merger agreement between the Company and AUB. The implied value of the Company utilized the stock conversion ratio in the merger agreement and used a weighted average approach to consider both AUB's most recent closing stock price prior to the merger announcement date, as well as the forward sale price for AUB common stock under the forward sale agreement announced simultaneous with the merger agreement. This valuation method resulted in the estimated fair value of the Company being below its book value and required the recording of a goodwill impairment charge of $54.4 million.

•Return on average assets (“ROA”) for the quarter ended December 31, 2024 was (1.09)% and return on average tangible common equity (“ROTCE”) was 5.46% compared to 0.46% and 5.88%, respectively, for the third quarter of 2024 and 0.73% and 9.26%, respectively, for the fourth quarter of 2023. On a non-GAAP basis, the current quarter's core ROA was 0.58% and core ROTCE was 6.80% compared to 0.50% and 5.88%, respectively, for the previous quarter and 0.76% and 9.26%, respectively, for the fourth quarter of 2023.

•The GAAP efficiency ratio was 124.61% for the fourth quarter of 2024, compared to 72.12% for the third quarter of 2024 and 68.33% for the fourth quarter of 2023. An elevated GAAP efficiency ratio for the current quarter was the result of higher non-interest expense due to the $54.4 million goodwill impairment charge. The non-GAAP efficiency ratio was 67.16% for the fourth quarter of 2024 compared to 69.06% for the third quarter of 2024 and 66.16% for the prior year quarter.

Balance Sheet and Credit Quality

Total assets were $14.1 billion at December 31, 2024, as compared to $14.4 billion at September 30, 2024. At December 31, 2024, total loans remained stable at $11.5 billion compared to the previous quarter. During this period, the growth in AD&C and commercial business loans and lines of $71.7 million or 6% and $32.2 million or 2%, respectively, was mostly offset by the decline in commercial investor real estate loans of $88.9 million or 2%. Total residential mortgage and consumer loan portfolios increased by $19.6 million or 1%.

Deposits stayed relatively unchanged at $11.7 billion at December 31, 2024 compared to September 30, 2024. During this period, noninterest-bearing deposits decreased $98.1 million or 3%, while interest-bearing deposits increased $106.1 million or 1%. The decline in noninterest-bearing deposit categories was driven by decreases in commercial checking accounts. Growth in interest-bearing deposits was seen predominantly in interest checking accounts, which grew $122.9 million or 8% during the current quarter. Total deposits, excluding brokered deposits, increased by $32.0 million quarter-over-quarter and remained at 94% of

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total deposits as of December 31, 2024 compared to September 30, 2024, reflecting continued strength and stability of the core deposit base. Total uninsured deposits at December 31, 2024 were approximately 37% of total deposits.

Total borrowings decreased $201.7 million or 23% at December 31, 2024 as compared to the previous quarter, primarily driven by a $200.0 million reduction in FHLB advances, of which $150 million related to scheduled maturities, while $50 million was prepaid generating a $0.5 million gain on debt extinguishment. At December 31, 2024, available unused sources of liquidity, which consist of available FHLB borrowings, fed funds, funds through the Federal Reserve Bank's discount window, as well as excess cash and unpledged investment securities, totaled $6.3 billion or 147% of uninsured deposits.

The tangible common equity to tangible assets ratio was 8.84% at December 31, 2024, compared to 8.83% at September 30, 2024.

At December 31, 2024, the Company had a total risk-based capital ratio of 15.38%, a common equity tier 1 risk-based capital ratio of 11.36%, a tier 1 risk-based capital ratio of 11.36%, and a tier 1 leverage ratio of 9.39%. These risk-based capital ratios compare to a total risk-based capital ratio of 15.53%, a common equity tier 1 risk-based capital ratio of 11.27%, a tier 1 risk-based capital ratio of 11.27%, and a tier 1 leverage ratio of 9.59% at September 30, 2024. All of these ratios remain well in excess of the mandated minimum regulatory requirements.

Non-performing loans include non-accrual loans and accruing loans 90 days or more past due. At December 31, 2024, non-performing loans totaled $119.4 million, compared to $125.3 million at September 30, 2024 and $91.8 million at December 31, 2023. The ratio of non-performing loans to total loans was 1.03% compared to 1.09% on a linked quarter basis. These levels of non-performing loans compare to 0.81% at December 31, 2023. The current quarter's decline in non-performing loans was mainly related to pay downs on several non-accrual loans along with a single commercial real estate loan that returned to an accrual status based on the borrower's historical payment performance. Total net charge-offs for the current quarter amounted to $1.7 million compared to $0.7 million for the third quarter of 2024 and net recoveries of $0.1 million for the fourth quarter of 2023.

At December 31, 2024, the allowance for credit losses was $134.4 million or 1.16% of outstanding loans and 113% of non-performing loans, compared to $131.4 million or 1.14% of outstanding loans and 105% of non-performing loans at the end of the previous quarter and $120.9 million or 1.06% of outstanding loans and 132% of non-performing loans at the end of the fourth quarter of 2023. The increase in the allowance for the current quarter compared to the previous quarter mainly reflects slight deterioration in the projected economic variables coupled with higher qualitative adjustments, partially offset by lower probability of economic recession.

Income Statement Review

Quarterly Results

Net loss was $39.5 million ($0.87 per diluted common share) for the three months ended December 31, 2024 compared to net income of $16.2 million ($0.36 per diluted common share) for the three months ended September 30, 2024 and $26.1 million ($0.58 per diluted common share) for the prior year quarter. The current quarter's net loss is predominantly related to the $54.4 million goodwill impairment charge. The current quarter's core earnings were $21.0 million ($0.47 per diluted common share), compared to $17.9 million ($0.40 per diluted common share) for the previous quarter and $27.1 million ($0.60 per diluted common share) for the quarter ended December 31, 2023. The increase in the current quarter's core earnings compared to the linked quarter was driven primarily by higher net interest income and non-interest income, and lower provision for credit losses, partially offset by higher adjusted non-interest expense.

Net interest income for the fourth quarter of 2024 increased $4.7 million or 6% compared to the previous quarter and $4.4 million or 5% compared to the fourth quarter of 2023. During the current quarter, interest income increased $1.0 million, while interest expense declined $3.7 million. The higher interest rate environment during the current year was primarily responsible for a $5.4 million year-over-year increase in interest income, which outpaced the $1.0 million year-over-year growth in interest expense.

The net interest margin was 2.53% for the fourth quarter of 2024 compared to 2.44% for the third quarter of 2024 and 2.45% for the fourth quarter of 2023. The increase in the net interest margin during the current quarter was a result of a 23 basis point decrease in the rate paid on interest-bearing liabilities, driven by a 26 basis point decline in the rate paid on interest-bearing deposits, while the yield earned on interest-earning assets declined by six basis points. As compared to the prior year quarter, the yield on interest-earning assets increased eight basis points, while the rate paid on interest-bearing liabilities declined nine basis points, resulting in net interest margin increase of eight basis points.

The total provision for credit losses was $4.5 million for the fourth quarter of 2024 compared to $6.3 million for the previous quarter and a credit of $3.4 million for the fourth quarter of 2023. The provision for credit losses directly attributable to the

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funded loan portfolio was $4.7 million for the current quarter compared to $6.3 million for the third quarter of 2024 and a credit of $2.6 million for the fourth quarter of 2023. The current quarter's provision is mainly a reflection of a slight deterioration in the projected economic variables along with higher qualitative adjustments, partially offset by lower probability of economic recession. In addition, during the current quarter, the reserve for unfunded commitments declined to $1.3 million from $1.5 million in the previous quarter due to higher utilization rates on lines of credit.

Non-interest income for the fourth quarter of 2024 increased by 10% or $1.9 million compared to the linked quarter and grew by 31% or $5.1 million compared to the prior year quarter. The current quarter's increase in non-interest income as compared to the previous quarter was mainly driven by the $1.9 million increase in income from bank owned life insurance, generated by one-time mortality proceeds, $0.4 million of swap fee income, and $0.2 million increase in wealth management income, due to the overall favorable market performance, partially offset by $0.4 million decrease in income from mortgage banking activities, due to lower sales volumes.

Non-interest expense for the fourth quarter of 2024 increased $61.3 million or 84% compared to the third quarter of 2024 and $67.1 million or 100% compared to the fourth quarter of 2023. The increase over the comparative quarters was primarily due to the goodwill impairment charge of $54.4 million in the fourth quarter of 2024. Excluding the goodwill impairment charge, adjusted non-interest expense increased $6.9 million or 9% compared to the linked quarter. This quarter-over-quarter increase is predominantly attributable to $4.2 million in merger and acquisition expenses incurred during the current quarter, a $3.3 million increase in salaries and benefits, due to an increase in employee incentive compensation, and a $0.7 million increase in marketing expense. These increases were partially offset by the $1.8 million reduction in professional fees and services.

For the fourth quarter of 2024, the GAAP efficiency ratio was 124.61% compared to 72.12% for the third quarter of 2024 and 68.33% for the fourth quarter of 2023. The non-GAAP efficiency ratio was 67.16% for the current quarter as compared to 69.06% for the third quarter of 2024 and 66.16% for the fourth quarter of 2023.

ROA for the quarter ended December 31, 2024 was (1.09)% and ROTCE was 5.46% compared to 0.46% and 5.88%, respectively, for the third quarter of 2024 and 0.73% and 9.26%, respectively, for the fourth quarter of 2023. On a non-GAAP basis, the current quarter's core ROA was 0.58% and core ROTCE was 6.80% compared to 0.50% and 5.88% for the third quarter of 2024 and 0.76% and 9.26%, respectively, for the fourth quarter of 2023.

Explanation of Non-GAAP Financial Measures

This news release contains financial information and performance measures determined by methods other than in accordance with generally accepted accounting principles in the United States (“GAAP”). The Company’s management believes that the supplemental non-GAAP information provides a better comparison of period-to-period operating performance. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and, therefore, such information is useful to investors. Non-GAAP measures used in this release consist of the following:

•Tangible common equity and related measures are non-GAAP measures that exclude the impact of goodwill and other intangible assets.

•The non-GAAP efficiency ratio excludes goodwill impairment loss, merger and acquisition expense, amortization of intangible assets, investment securities gains/(losses), pension settlement expense, severance expense, contingent payment expense, and includes tax-equivalent income.

•Core earnings and the related measures of core earnings per diluted common share, core return on average assets and core return on average tangible common equity reflect net income exclusive of goodwill impairment loss, merger and acquisition expense, and after-tax impact of amortization of intangible assets, investment securities gains/(losses) and other non-recurring or extraordinary items.

•Pre-tax pre-provision net income excludes income tax expense and the provision (credit) for credit losses.

These disclosures should not be viewed as a substitute for financial results in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Please refer to the non-GAAP Reconciliation tables included with this release for a reconciliation of these non-GAAP measures to the most directly comparable GAAP measure.

About Sandy Spring Bancorp, Inc.

Sandy Spring Bancorp, Inc., headquartered in Olney, Maryland, is the holding company for Sandy Spring Bank, a premier community bank in the Greater Washington, D.C. region. With over 50 locations, the bank offers a broad range of commercial and retail banking, mortgage, private banking, and trust services throughout Maryland, Virginia, and Washington, D.C. Through

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its subsidiaries, Rembert Pendleton Jackson and West Financial Services, Inc., Sandy Spring Bank also offers a comprehensive menu of wealth management services.

Source: Sandy Spring Bancorp, Inc.

Code: SASR-E

For additional information or questions, please contact:

Daniel J. Schrider, Chair, President & Chief Executive Officer, or

Charles S. Cullum, E.V.P. & Chief Financial Officer

Sandy Spring Bancorp

17801 Georgia Avenue

Olney, Maryland 20832

1-800-399-5919

Email: DSchrider@sandyspringbank.com

CCullum@sandyspringbank.com

Website: www.sandyspringbank.com

Media Contact:

Jennifer E. Schell, Division Executive, Marketing & Corporate Communications

301-774-6400 x8331

jschell@sandyspringbank.com

Forward-Looking Statements

Sandy Spring Bancorp’s forward-looking statements are subject to significant risks and uncertainties that may cause actual results to differ materially from those in such statements. These risks and uncertainties include, but are not limited to, the risks identified in our quarterly and annual reports and the following: changes in general business and economic conditions nationally or in the markets that we serve; changes in consumer and business confidence, investor sentiment, or consumer spending or savings behavior; changes in the level of inflation; changes in the demand for loans, deposits and other financial services that we provide; the possibility that future credit losses may be higher than currently expected; the impact of the interest rate environment on our business, financial condition and results of operations; the impact of compliance with changes in laws, regulations and regulatory interpretations, including changes in income taxes; changes in credit ratings assigned to us or our subsidiaries; competitive pressures among financial services companies; the ability to attract, develop and retain qualified employees; our ability to maintain the security of our data processing and information technology systems; the impact of changes in accounting policies, including the introduction of new accounting standards; the impact of judicial or regulatory proceedings; the impact of fiscal and governmental policies of the United States federal government; the impact of health emergencies, epidemics or pandemics; the effects of climate change; and the impact of natural disasters, extreme weather events, military conflict, terrorism or other geopolitical events; the possibility that the Company’s pending merger with AUB does not close when expected or at all because required regulatory or other approvals or conditions to closing are not received or satisfied on a timely basis or at all (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the merger); the risk that the benefits from the merger may not be fully realized or may take longer to realize than expected; and the risk of disruption to the Company’s business as a result of the pendency of the merger;. Sandy Spring Bancorp provides greater detail regarding some of these factors in its Form 10-K for the year ended December 31, 2023 and its Form 10-Q for the quarter ended September 30, 2024, including in the Risk Factors section of those reports, and in its other SEC reports. Sandy Spring Bancorp’s forward-looking statements may also be subject to other risks and uncertainties, including those that it may discuss elsewhere in this news release or in its filings with the SEC, accessible on the SEC’s Web site at www.sec.gov.

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Sandy Spring Bancorp, Inc. and Subsidiaries

FINANCIAL HIGHLIGHTS - UNAUDITED

						Three Months Ended December 31,												% Change						Year Ended December 31,												% Change
(Dollars in thousands, except per share data)						2024						2023												2024						2023
Results of operations:
Net interest income						$	86,086					$	81,696					5		%				$	327,126					$	354,550					(8)		%
Provision/ (credit) for credit losses						4,468						(3,445)						N/M						14,192						(17,561)						N/M
Non-interest income						21,646						16,560						31						79,315						67,078						18
Non-interest expense						134,241						67,142						100						343,288						275,054						25
Income/ (loss) before income tax expense						(30,977)						34,559						N/M						48,961						164,135						(70)
Net income/ (loss)						(39,453)						26,100						N/M						19,935						122,844						(84)
Net income/ (loss) attributable to common shareholders						$	(39,457)					$	26,066					N/M						$	19,902					$	122,621					(84)
Pre-tax pre-provision net income/ (loss) (1)						$	(26,509)					$	31,114					N/M						$	63,153					$	146,574					(57)
Return on average assets						(1.09)		%				0.73		%										0.14		%				0.87		%
Return on average common equity						(9.70)		%				6.70		%										1.25		%				8.04		%
Return on average tangible common equity (1)						5.46		%				9.26		%										6.73		%				11.06		%
Net interest margin						2.53		%				2.45		%										2.46		%				2.67		%
Efficiency ratio - GAAP basis (2)						124.61		%				68.33		%										84.46		%				65.24		%
Efficiency ratio - Non-GAAP basis (2)						67.16		%				66.16		%										67.07		%				60.99		%
Per share data:
Basic net income/ (loss) per common share						$	(0.87)					$	0.58					N/M						$	0.44					$	2.74					(84)		%
Diluted net income/ (loss) per common share						$	(0.87)					$	0.58					N/M						$	0.44					$	2.73					(84)
Weighted average diluted common shares						45,133,834						45,009,574						—						45,227,487						44,947,263						1
Dividends declared per share						$	0.34					$	0.34					—						$	1.36					$	1.36					—
Book value per common share						$	34.51					$	35.36					(2)						$	34.51					$	35.36					(2)
Tangible book value per common share (1)						$	26.99					$	26.64					1						$	26.99					$	26.64					1
Outstanding common shares						45,140,417						44,913,561						1						45,140,417						44,913,561						1
Financial condition at period-end:
Investment securities						$	1,418,244					$	1,414,453					—		%				$	1,418,244					$	1,414,453					—		%
Loans						11,537,966						11,366,989						2						11,537,966						11,366,989						2
Assets						14,127,480						14,028,172						1						14,127,480						14,028,172						1
Deposits						11,745,665						10,996,538						7						11,745,665						10,996,538						7
Stockholders' equity						1,558,011						1,588,142						(2)						1,558,011						1,588,142						(2)
Capital ratios:
Tier 1 leverage (3)						9.39		%				9.51		%										9.39		%				9.51		%
Common equity tier 1 capital to risk-weighted assets (3)						11.36		%				10.90		%										11.36		%				10.90		%
Tier 1 capital to risk-weighted assets (3)						11.36		%				10.90		%										11.36		%				10.90		%
Total regulatory capital to risk-weighted assets (3)						15.38		%				14.92		%										15.38		%				14.92		%
Tangible common equity to tangible assets (4)						8.84		%				8.77		%										8.84		%				8.77		%
Average equity to average assets						11.26		%				10.97		%										11.31		%				10.87		%
Credit quality ratios:
Allowance for credit losses to loans						1.16		%				1.06		%										1.16		%				1.06		%
Non-performing loans to total loans						1.03		%				0.81		%										1.03		%				0.81		%
Non-performing assets to total assets						0.87		%				0.65		%										0.87		%				0.65		%
Allowance for credit losses to non-performing loans						112.59		%				131.59		%										112.59		%				131.59		%
Annualized net charge-offs/ (recoveries) to average loans (5)						0.06		%				—		%										0.03		%				0.01		%

N/M - not meaningful

(1)Represents a non-GAAP measure.

(2)The efficiency ratio - GAAP basis is non-interest expense divided by net interest income plus non-interest income from the Condensed Consolidated Statements of Income. The traditional efficiency ratio - Non-GAAP basis excludes goodwill impairment loss, merger and acquisition expense, intangible asset amortization, pension settlement expense, severance expense and contingent payment expense from non-interest expense; and investment securities gains/ (losses) from non-interest income; and adds the tax-equivalent adjustment to net interest income. See the Reconciliation Table included with these Financial Highlights.

(3)Estimated ratio at December 31, 2024.

(4)The tangible common equity to tangible assets ratio is a non-GAAP ratio that divides assets excluding goodwill and other intangible assets into stockholders' equity after deducting goodwill and other intangible assets. See the Reconciliation Table included with these Financial Highlights.

(5)Calculation utilizes average loans, excluding residential mortgage loans held-for-sale.

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Sandy Spring Bancorp, Inc. and Subsidiaries

RECONCILIATION TABLE - UNAUDITED (CONTINUED)

OPERATING EARNINGS - METRICS

						Three Months Ended December 31,												Year Ended December 31,
(Dollars in thousands)						2024						2023						2024						2023
Core earnings (non-GAAP):
Net income/ (loss) (GAAP)						$	(39,453)					$	26,100					$	19,935					$	122,844
Plus/ (less) non-GAAP adjustments:
Merger, acquisition and disposal expense(2)						4,164						—						4,164						—
Amortization of intangible assets (net of tax)(1)						1,937						1,047						6,801						3,898
Goodwill impairment loss(2)						54,391						—						54,391						—
Severance expense (net of tax)(1)						—						—						—						1,445
Pension settlement expense (net of tax)(1)						—						—						—						6,088
Investment securities gains/ losses						—						—						—						—
Contingent payment expense (net of tax)(1)						—						—						—						27
Core earnings (Non-GAAP)						$	21,039					$	27,147					$	85,291					$	134,302
Core earnings per diluted common share (non-GAAP):
Weighted average common shares outstanding - diluted (GAAP)						45,133,834						45,009,574						45,227,487						44,947,263
Earnings/ (loss) per diluted common share (GAAP)						$	(0.87)					$	0.58					$	0.44					$	2.73
Core earnings per diluted common share (non-GAAP)						$	0.47					$	0.60					$	1.89					$	2.99
Core return on average assets (non-GAAP):
Average assets (GAAP)						$	14,362,321					$	14,090,423					$	14,129,795					$	14,055,645
Return on average assets (GAAP)						(1.09)		%				0.73		%				0.14		%				0.87		%
Core return on average assets (non-GAAP)						0.58		%				0.76		%				0.60		%				0.96		%
Return/ Core return on average tangible common equity (non-GAAP):
Net Income/ (loss) (GAAP)						$	(39,453)					$	26,100					$	19,935					$	122,844
Plus: Amortization of intangible assets (net of tax)(1)						1,937						1,047						6,801						3,898
Plus: Goodwill impairment loss(2)						54,391						—						54,391						—
Net income adjusted (non-GAAP)						$	16,875					$	27,147					$	81,127					$	126,742
Average total stockholders' equity (GAAP)						$	1,617,633					$	1,546,312					$	1,597,456					$	1,528,242
Average goodwill						(356,341)						(363,436)						(361,653)						(363,436)
Average other intangible assets, net						(30,885)						(20,162)						(30,178)						(18,596)
Average tangible common equity (non-GAAP)						$	1,230,407					$	1,162,714					$	1,205,625					$	1,146,210
Return on average tangible common equity (non-GAAP)						5.46		%				9.26		%				6.73		%				11.06		%
Core return on average tangible common equity (non-GAAP)						6.80		%				9.26		%				7.07		%				11.72		%

(1) Tax adjustments have been determined using the combined marginal federal and state rate of 25.48% and 25.37% for 2024 and 2023, respectively.

(2) Adjustment is not tax-effected as it represents a tax nondeductible item.

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Sandy Spring Bancorp, Inc. and Subsidiaries

RECONCILIATION TABLE - UNAUDITED

						Three Months Ended December 31,												Year Ended December 31,
(Dollars in thousands)						2024						2023						2024						2023
Pre-tax pre-provision net income:
Net income/ (loss) (GAAP)						$	(39,453)					$	26,100					$	19,935					$	122,844
Plus/ (less) non-GAAP adjustments:
Income tax expense						8,476						8,459						29,026						41,291
Provision/ (credit) for credit losses						4,468						(3,445)						14,192						(17,561)
Pre-tax pre-provision net income/ (loss) (non-GAAP)						$	(26,509)					$	31,114					$	63,153					$	146,574
Efficiency ratio (GAAP):
Non-interest expense						$	134,241					$	67,142					$	343,288					$	275,054
Net interest income plus non-interest income						$	107,732					$	98,256					$	406,441					$	421,628
Efficiency ratio (GAAP)						124.61%						68.33		%				84.46		%				65.24		%
Efficiency ratio (Non-GAAP):
Non-interest expense						$	134,241					$	67,142					$	343,288					$	275,054
Less non-GAAP adjustments:
Amortization of intangible assets						2,599						1,403						9,126						5,223
Merger, acquisition and disposal expense						4,164						—						4,164						—
Goodwill impairment loss						54,391						—						54,391						—
Severance expense						—						—						—						1,939
Pension settlement expense						—						—						—						8,157
Contingent payment expense						—						—						—						36
Non-interest expense - as adjusted						$	73,087					$	65,739					$	275,607					$	259,699
Net interest income plus non-interest income						$	107,732					$	98,256					$	406,441					$	421,628
Plus non-GAAP adjustment:
Tax-equivalent income						1,100						1,113						4,459						4,157
Less/ (plus) non-GAAP adjustment:
Investment securities gains/ (losses)						—						—						—						—
Net interest income plus non-interest income - as adjusted						$	108,832					$	99,369					$	410,900					$	425,785
Efficiency ratio (Non-GAAP)						67.16%						66.16		%				67.07		%				60.99		%
Tangible common equity ratio:
Total stockholders' equity						$	1,558,011					$	1,588,142					$	1,558,011					$	1,588,142
Goodwill						(309,045)						(363,436)						(309,045)						(363,436)
Other intangible assets, net						(30,748)						(28,301)						(30,748)						(28,301)
Tangible common equity						$	1,218,218					$	1,196,405					$	1,218,218					$	1,196,405
Total assets						$	14,127,480					$	14,028,172					$	14,127,480					$	14,028,172
Goodwill						(309,045)						(363,436)						(309,045)						(363,436)
Other intangible assets, net						(30,748)						(28,301)						(30,748)						(28,301)
Tangible assets						$	13,787,687					$	13,636,435					$	13,787,687					$	13,636,435
Tangible common equity ratio						8.84%						8.77		%				8.84		%				8.77		%
Outstanding common shares						45,140,417						44,913,561						45,140,417						44,913,561
Tangible book value per common share						$	26.99					$	26.64					$	26.99					$	26.64

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Sandy Spring Bancorp, Inc. and Subsidiaries

CONDENSED CONSOLIDATED STATEMENTS OF CONDITION - UNAUDITED

(Dollars in thousands)						December 31, 2024						December 31, 2023
Assets
Cash and due from banks						$	80,698					$	82,257
Federal funds sold						—						245
Interest-bearing deposits with banks						438,265						463,396
Cash and cash equivalents						518,963						545,898
Residential mortgage loans held for sale (at fair value)						22,757						10,836
SBA loans held for sale						715						—
Investments held-to-maturity (fair values of $177,854 and $200,411 at December 31, 2024 and December 31, 2023, respectively)						215,747						236,165
Investments available-for-sale (at fair value)						1,140,783						1,102,681
Other investments, at cost						61,714						75,607
Total loans						11,537,966						11,366,989
Less: allowance for credit losses - loans						(134,401)						(120,865)
Net loans						11,403,565						11,246,124
Premises and equipment, net						55,998						59,490
Other real estate owned						3,265						—
Accrued interest receivable						45,627						46,583
Goodwill						309,045						363,436
Other intangible assets, net						30,748						28,301
Other assets						318,553						313,051
Total assets						$	14,127,480					$	14,028,172
Liabilities
Noninterest-bearing deposits						$	2,804,930					$	2,914,161
Interest-bearing deposits						8,940,735						8,082,377
Total deposits						11,745,665						10,996,538
Securities sold under retail repurchase agreements						68,911						75,032
Federal Reserve Bank borrowings						—						300,000
Advances from FHLB						250,000						550,000
Subordinated debt						371,400						370,803
Total borrowings						690,311						1,295,835
Accrued interest payable and other liabilities						133,493						147,657
Total liabilities						12,569,469						12,440,030
Stockholders' equity
Common stock -- par value $1.00; shares authorized 100,000,000; shares issued and outstanding 45,140,417 and 44,913,561 at December 31, 2024 and December 31, 2023, respectively.						45,140						44,914
Additional paid in capital						748,905						742,243
Retained earnings						856,613						898,316
Accumulated other comprehensive loss						(92,647)						(97,331)
Total stockholders' equity						1,558,011						1,588,142
Total liabilities and stockholders' equity						$	14,127,480					$	14,028,172

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Sandy Spring Bancorp, Inc. and Subsidiaries

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

						Three Months Ended December 31,												Year Ended December 31,
(Dollars in thousands, except per share data)						2024						2023						2024						2023
Interest income:
Interest and fees on loans						$	153,262					$	148,655					$	609,571					$	579,960
Interest on mortgage loans held for sale						249						199						1,050						896
Interest on SBA loans held for sale						21						—						23						—
Interest on deposits with banks						7,997						8,456						25,398						22,435
Interest and dividend income on investment securities:
Taxable						7,821						6,454						29,140						26,992
Tax-advantaged						1,697						1,848						7,082						7,224
Interest on federal funds sold						—						4						8						17
Total interest income						171,047						165,616						672,272						637,524
Interest expense:
Interest on deposits						76,111						69,813						303,173						225,028
Interest on retail repurchase agreements and federal funds purchased						369						4,075						5,259						14,452
Interest on advances from FHLB						3,865						6,086						20,259						27,709
Interest on subordinated debt						4,616						3,946						16,455						15,785
Total interest expense						84,961						83,920						345,146						282,974
Net interest income						86,086						81,696						327,126						354,550
Provision/ (credit) for credit losses						4,468						(3,445)						14,192						(17,561)
Net interest income after provision/ (credit) for credit losses						81,618						85,141						312,934						372,111
Non-interest income:
Service charges on deposit accounts						2,998						2,749						11,763						10,447
Mortgage banking activities						1,091						792						5,615						5,536
Wealth management income						10,920						9,219						42,071						36,633
Income from bank owned life insurance						3,213						1,207						7,496						4,210
Bank card fees						457						454						1,750						1,769
Other income						2,967						2,139						10,620						8,483
Total non-interest income						21,646						16,560						79,315						67,078
Non-interest expense:
Salaries and employee benefits						44,309						35,482						159,858						160,192
Occupancy expense of premises						4,727						4,558						19,005						18,778
Equipment expenses						4,252						3,987						15,924						15,675
Marketing						2,013						1,242						5,363						5,103
Outside data services						3,228						3,000						12,642						11,186
FDIC insurance						2,761						2,615						11,396						9,461
Amortization of intangible assets						2,599						1,403						9,126						5,223
Merger, acquisition and disposal expense						4,164						—						4,164						—
Professional fees and services						4,805						5,628						21,208						17,982
Goodwill impairment loss						54,391						—						54,391						—
Other expenses						6,992						9,227						30,211						31,454
Total non-interest expense						134,241						67,142						343,288						275,054
Income/ (loss) before income tax expense						(30,977)						34,559						48,961						164,135
Income tax expense						8,476						8,459						29,026						41,291
Net income/ (loss)						$	(39,453)					$	26,100					$	19,935					$	122,844
Net income per share amounts:
Basic net income/ (loss) per common share						$	(0.87)					$	0.58					$	0.44					$	2.74
Diluted net income/ (loss) per common share						$	(0.87)					$	0.58					$	0.44					$	2.73
Dividends declared per share						$	0.34					$	0.34					$	1.36					$	1.36

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Sandy Spring Bancorp, Inc. and Subsidiaries

HISTORICAL TRENDS - QUARTERLY FINANCIAL DATA - UNAUDITED

						2024																								2023
(Dollars in thousands, except per share data)						Q4						Q3						Q2						Q1						Q4						Q3						Q2						Q1
Profitability for the quarter:
Tax-equivalent interest income						$	172,147					$	171,219					$	166,252					$	167,113					$	166,729					$	163,479					$	159,156					$	152,317
Interest expense						84,961						88,686						84,828						86,671						83,920						77,330						67,679						54,045
Tax-equivalent net interest income						87,186						82,533						81,424						80,442						82,809						86,149						91,477						98,272
Tax-equivalent adjustment						1,100						1,121						1,139						1,099						1,113						1,068						1,006						970
Provision/ (credit) for credit losses						4,468						6,316						1,020						2,388						(3,445)						2,365						5,055						(21,536)
Non-interest income						21,646						19,715						19,587						18,367						16,560						17,391						17,176						15,951
Non-interest expense						134,241						72,937						68,104						68,006						67,142						72,471						69,136						66,305
Income/ (loss) before income tax expense						(30,977)						21,874						30,748						27,316						34,559						27,636						33,456						68,484
Income tax expense						8,476						5,665						7,941						6,944						8,459						6,890						8,711						17,231
Net income/ (loss)						$	(39,453)					$	16,209					$	22,807					$	20,372					$	26,100					$	20,746					$	24,745					$	51,253
GAAP financial performance:
Return on average assets						(1.09)		%				0.46		%				0.66		%				0.58		%				0.73		%				0.58		%				0.70		%				1.49		%
Return on average common equity						(9.70)		%				4.01		%				5.81		%				5.17		%				6.70		%				5.35		%				6.46		%				13.93		%
Return on average tangible common equity						5.46		%				5.88		%				8.27		%				7.39		%				9.26		%				7.42		%				8.93		%				19.10		%
Net interest margin						2.53		%				2.44		%				2.46		%				2.41		%				2.45		%				2.55		%				2.73		%				2.99		%
Efficiency ratio - GAAP basis						124.61		%				72.12		%				68.19		%				69.60		%				68.33		%				70.72		%				64.22		%				58.55		%
Non-GAAP financial performance:
Pre-tax pre-provision net income/ (loss)						$	(26,509)					$	28,190					$	31,768					$	29,704					$	31,114					$	30,001					$	38,511					$	46,948
Core after-tax earnings						$	21,039					$	17,936					$	24,400					$	21,916					$	27,147					$	27,766					$	27,136					$	52,253
Core return on average assets						0.58		%				0.50		%				0.70		%				0.63		%				0.76		%				0.78		%				0.77		%				1.52		%
Core return on average common equity						5.17		%				4.44		%				6.21		%				5.56		%				6.97		%				7.16		%				7.09		%				14.20		%
Core return on average tangible common equity						6.80		%				5.88		%				8.27		%				7.39		%				9.26		%				9.51		%				9.43		%				19.11		%
Core earnings per diluted common share						$	0.47					$	0.40					$	0.54					$	0.49					$	0.60					$	0.62					$	0.60					$	1.16
Efficiency ratio - Non-GAAP basis						67.16		%				69.06		%				65.31		%				66.73		%				66.16		%				60.91		%				60.68		%				56.87		%
Per share data:
Net income/ (loss) attributable to common shareholders						$	(39,457)					$	16,205					$	22,800					$	20,346					$	26,066					$	20,719					$	24,712					$	51,084
Basic net income/ (loss) per common share						$	(0.87)					$	0.36					$	0.51					$	0.45					$	0.58					$	0.46					$	0.55					$	1.14
Diluted net income/ (loss) per common share						$	(0.87)					$	0.36					$	0.51					$	0.45					$	0.58					$	0.46					$	0.55					$	1.14
Weighted average diluted common shares						45,133,834						45,242,920						45,145,214						45,086,471						45,009,574						44,960,455						44,888,759						44,872,582
Dividends declared per share						$	0.34					$	0.34					$	0.34					$	0.34					$	0.34					$	0.34					$	0.34					$	0.34
Non-interest income:
Service charges on deposit accounts						2,998						3,009						2,939						2,817						2,749						2,704						2,606						2,388
Mortgage banking activities						1,091						1,529						1,621						1,374						792						1,682						1,817						1,245
Wealth management income						10,920						10,738						10,455						9,958						9,219						9,391						9,031						8,992
Income from bank owned life insurance						3,213						1,307						1,816						1,160						1,207						845						1,251						907
Bank card fees						457						435						445						413						454						450						447						418
Other income						2,967						2,697						2,311						2,645						2,139						2,319						2,024						2,001
Total non-interest income						$	21,646					$	19,715					$	19,587					$	18,367					$	16,560					$	17,391					$	17,176					$	15,951
Non-interest expense:
Salaries and employee benefits						$	44,309					$	41,030					$	37,821					$	36,698					$	35,482					$	44,853					$	40,931					$	38,926
Occupancy expense of premises						4,727						4,657						4,805						4,816						4,558						4,609						4,764						4,847
Equipment expenses						4,252						3,841						3,868						3,963						3,987						3,811						3,760						4,117
Marketing						2,013						1,320						1,288						742						1,242						729						1,589						1,543
Outside data services						3,228						3,025						3,286						3,103						3,000						2,819						2,853						2,514
FDIC insurance						2,761						2,773						2,951						2,911						2,615						2,333						2,375						2,138
Amortization of intangible assets						2,599						2,323						2,135						2,069						1,403						1,245						1,269						1,306
Merger, acquisition and disposal expense						4,164						—						—						—						—						—						—						—
Professional fees and services						4,805						6,577						4,946						4,880						5,628						4,509						4,161						3,684
Goodwill impairment loss						54,391						—						—						—						—						—						—						—
Other expenses						6,992						7,391						7,004						8,824						9,227						7,563						7,434						7,230
Total non-interest expense						$	134,241					$	72,937					$	68,104					$	68,006					$	67,142					$	72,471					$	69,136					$	66,305

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Sandy Spring Bancorp, Inc. and Subsidiaries

HISTORICAL TRENDS - QUARTERLY FINANCIAL DATA - UNAUDITED

						2024																								2023
(Dollars in thousands, except per share data)						Q4						Q3						Q2						Q1						Q4						Q3						Q2						Q1
Balance sheets at quarter end:
Commercial investor real estate loans						$	4,779,593					$	4,868,467					$	4,933,329					$	4,997,879					$	5,104,425					$	5,137,694					$	5,131,210					$	5,167,456
Commercial owner-occupied real estate loans						1,748,772						1,737,327						1,747,708						1,741,113						1,755,235						1,760,384						1,770,135						1,769,928
Commercial AD&C loans						1,327,292						1,255,609						1,184,296						1,090,259						988,967						938,673						1,045,742						1,046,665
Commercial business loans						1,653,135						1,620,926						1,601,510						1,509,592						1,504,880						1,454,709						1,423,614						1,437,478
Residential mortgage loans						1,537,589						1,529,786						1,521,890						1,511,624						1,474,521						1,432,051						1,385,743						1,328,524
Residential construction loans						49,028						53,639						78,027						97,685						121,419						160,345						190,690						223,456
Consumer loans						442,557						426,167						417,161						416,132						417,542						416,436						422,505						421,734
Total loans						11,537,966						11,491,921						11,483,921						11,364,284						11,366,989						11,300,292						11,369,639						11,395,241
Allowance for credit losses - loans						(134,401)						(131,428)						(125,863)						(123,096)						(120,865)						(123,360)						(120,287)						(117,613)
Residential mortgage loans held for sale						22,757						21,489						18,961						16,627						10,836						19,235						21,476						16,262
SBA loans held for sale						715						425						—						—						—						—						—						—
Investment securities						1,418,244						1,440,488						1,401,511						1,405,490						1,414,453						1,392,078						1,463,554						1,528,336
Total assets						14,127,480						14,383,073						14,008,343						13,888,133						14,028,172						14,135,085						13,994,545						14,129,007
Noninterest-bearing demand deposits						2,804,930						2,903,063						2,931,405						2,817,928						2,914,161						3,013,905						3,079,896						3,228,678
Total deposits						11,745,665						11,737,694						11,340,228						11,227,200						10,996,538						11,151,012						10,958,922						11,075,991
Customer repurchase agreements						68,911						70,767						75,038						71,529						75,032						66,581						74,510						47,627
Total stockholders' equity						1,558,011						1,628,837						1,599,004						1,589,364						1,588,142						1,537,914						1,539,032						1,536,865
Quarterly average balance sheets:
Commercial investor real estate loans						$	4,825,594					$	4,874,003					$	4,964,406					$	5,057,334					$	5,125,028					$	5,125,459					$	5,146,632					$	5,136,204
Commercial owner-occupied real estate loans						1,739,686						1,741,663						1,734,106						1,746,042						1,755,048						1,769,717						1,773,039						1,769,680
Commercial AD&C loans						1,300,966						1,253,035						1,133,506						1,030,763						960,646						995,682						1,057,205						1,082,791
Commercial business loans						1,606,641						1,579,001						1,551,798						1,508,336						1,433,035						1,442,518						1,441,489						1,444,588
Residential mortgage loans						1,535,924						1,526,445						1,518,748						1,491,277						1,451,614						1,406,929						1,353,809						1,307,761
Residential construction loans						47,788						64,684						86,638						110,456						142,325						174,204						211,590						223,313
Consumer loans						433,185						421,003						417,206						417,539						419,299						421,189						423,306						424,122
Total loans						11,489,784						11,459,834						11,406,408						11,361,747						11,286,995						11,335,698						11,407,070						11,388,459
Residential mortgage loans held for sale						13,768						19,889						14,497						8,142						10,132						13,714						17,480						8,324
SBA loans held for sale						591						65						—						—						—						—						—
Investment securities						1,542,401						1,531,378						1,538,624						1,536,127						1,544,173						1,589,342						1,639,324						1,679,593
Interest-earning assets						13,713,618						13,474,697						13,292,995						13,411,810						13,462,583						13,444,117						13,423,589						13,316,165
Total assets						14,362,321						14,136,037						13,956,261						14,061,935						14,090,423						14,086,342						14,094,653						13,949,276
Noninterest-bearing demand deposits						2,813,545						2,783,906						2,790,620						2,730,295						2,958,254						3,041,101						3,137,971						3,480,433
Total deposits						11,807,983						11,483,524						11,245,476						11,086,145						11,089,587						11,076,724						10,928,038						11,049,991
Customer repurchase agreements						65,253						63,436						62,161						72,836						66,622						67,298						58,382						60,626
Total interest-bearing liabilities						9,792,134						9,600,905						9,441,015						9,583,074						9,418,666						9,332,617						9,257,652						8,806,720
Total stockholders' equity						1,617,633						1,607,377						1,579,582						1,584,902						1,546,312						1,538,553						1,535,465						1,491,929
Financial measures:
Average equity to average assets						11.26		%				11.37		%				11.32		%				11.27		%				10.97		%				10.92		%				10.89		%				10.70		%
Average investment securities to average earning assets						11.25		%				11.36		%				11.57		%				11.45		%				11.47		%				11.82		%				12.21		%				12.61		%
Average loans to average earning assets						83.78		%				85.05		%				85.81		%				84.71		%				83.84		%				84.32		%				84.98		%				85.52		%
Loans to assets						81.67		%				79.90		%				81.98		%				81.83		%				81.03		%				79.94		%				81.24		%				80.65		%
Loans to deposits						98.23		%				97.91		%				101.27		%				101.22		%				103.37		%				101.34		%				103.75		%				102.88		%
Assets under management						$	6,577,150					$	6,567,752					$	6,215,697					$	6,165,509					$	5,999,520					$	5,536,499					$	5,742,888					$	5,477,560
Capital measures:
Tier 1 leverage (1)						9.39		%				9.59		%				9.70		%				9.56		%				9.51		%				9.50		%				9.42		%				9.44		%
Common equity tier 1 capital to risk-weighted assets (1)						11.36		%				11.27		%				11.28		%				10.96		%				10.90		%				10.83		%				10.65		%				10.53		%
Tier 1 capital to risk-weighted assets (1)						11.36		%				11.27		%				11.28		%				10.96		%				10.90		%				10.83		%				10.65		%				10.53		%
Total regulatory capital to risk-weighted assets (1)						15.38		%				15.53		%				15.49		%				15.05		%				14.92		%				14.85		%				14.60		%				14.43		%
Book value per common share						$	34.51					$	36.10					$	35.45					$	35.37					$	35.36					$	34.26					$	34.31					$	34.37
Outstanding common shares						45,140,417						45,125,078						45,109,671						44,940,147						44,913,561						44,895,158						44,862,369						44,712,497

(1) Estimated ratio at December 31, 2024.

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Sandy Spring Bancorp, Inc. and Subsidiaries

LOAN PORTFOLIO QUALITY DETAIL - UNAUDITED

						2024																								2023
(Dollars in thousands)						December 31,						September 30,						June 30,						March 31,						December 31,						September 30,						June 30,						March 31,
Non-performing assets:
Loans 90 days past due:
Commercial real estate:
Commercial investor real estate						$	—					$	—					$	—					$	—					$	—					$	—					$	—					$	215
Commercial owner-occupied real estate						—						—						—						—						—						—						—						—
Commercial AD&C						—						—						—						—						—						—						—						—
Commercial business						—						—						—						20						20						415						29						3,002
Residential real estate:
Residential mortgage						232						399						338						340						342						—						692						352
Residential construction						—						—						—						—						—						—						—						—
Consumer						—						—						—						—						—						—						—						—
Total loans 90 days past due						232						399						338						360						362						415						721						3,569
Non-accrual loans:
Commercial real estate:
Commercial investor real estate						58,071						57,578						55,498						55,579						58,658						20,108						20,381						15,451
Commercial owner-occupied real estate						7,008						9,639						9,403						4,394						4,640						4,744						4,846						4,949
Commercial AD&C						31,314						31,816						2,127						556						1,259						1,422						569						—
Commercial business						7,590						9,044						8,455						7,164						10,051						9,671						9,393						9,443
Residential real estate:
Residential mortgage						10,939						11,996						12,228						11,835						12,332						10,766						10,153						8,935
Residential construction						521						539						539						542						443						449						—						—
Consumer						3,697						4,258						4,400						4,011						4,102						4,187						3,396						4,900
Total non-accrual loans						119,140						124,870						92,650						84,081						91,485						51,347						48,738						43,678
Total non-performing loans						119,372						125,269						92,988						84,441						91,847						51,762						49,459						47,247
Other real estate owned (OREO)						3,265						3,265						2,700						2,700						—						261						611						645
Total non-performing assets						$	122,637					$	128,534					$	95,688					$	87,141					$	91,847					$	52,023					$	50,070					$	47,892

						For the Quarter Ended,
(Dollars in thousands)						December 31, 2024						September 30, 2024						June 30, 2024						March 31, 2024						December 31, 2023			z			September 30, 2023						June 30, 2023						March 31, 2023
Analysis of non-accrual loan activity:
Balance at beginning of period						$	124,870					$	92,650					$	84,081					$	91,485					$	51,347					$	48,738					$	43,678					$	34,782
Non-accrual balances transferred to OREO						—						(565)						—						(2,700)						—						—						—						—
Non-accrual balances charged-off						(1,698)						(787)						—						(1,550)						—						(183)						(2,049)						(126)
Net payments or draws						(5,065)						(3,095)						(1,427)						(4,017)						(7,619)						(1,545)						(1,654)						(10,212)
Loans placed on non-accrual						2,847						36,667						10,038						1,490						47,920						4,967						9,276						19,714
Non-accrual loans brought current						(1,814)						—						(42)						(627)						(163)						(630)						(513)						(480)
Balance at end of period						$	119,140					$	124,870					$	92,650					$	84,081					$	91,485					$	51,347					$	48,738					$	43,678
Analysis of allowance for credit losses - loans:
Balance at beginning of period						$	131,428					$	125,863					$	123,096					$	120,865					$	123,360					$	120,287					$	117,613					$	136,242
Provision/ (credit) for credit losses - loans						4,653						6,310						2,961						3,331						(2,574)						3,171						4,454						(18,945)
Less loans charged-off, net of recoveries:
Commercial real estate:
Commercial investor real estate						(3)						397						(3)						(2)						(3)						(3)						(14)						(5)
Commercial owner-occupied real estate						(30)						(27)						(27)						(27)						(27)						(25)						(27)						(26)
Commercial AD&C						(23)						111						(23)						(283)						—						—						—						—
Commercial business						1,656						250						(28)						1,550						(105)						15						363						(127)
Residential real estate:
Residential mortgage						(7)						(35)						39						(6)						(6)						(4)						35						21
Residential construction						—						—						—						—						—						—						—						—
Consumer						87						49						236						(132)						62						115						1,423						(179)
Net charge-offs/ (recoveries)						1,680						745						194						1,100						(79)						98						1,780						(316)
Balance at the end of period						$	134,401					$	131,428					$	125,863					$	123,096					$	120,865					$	123,360					$	120,287					$	117,613
Asset quality ratios:
Non-performing loans to total loans						1.03		%				1.09		%				0.81		%				0.74		%				0.81		%				0.46		%				0.44		%				0.41		%
Non-performing assets to total assets						0.87		%				0.89		%				0.68		%				0.63		%				0.65		%				0.37		%				0.36		%				0.34		%
Allowance for credit losses to total loans						1.16		%				1.14		%				1.10		%				1.08		%				1.06		%				1.09		%				1.06		%				1.03		%
Allowance for credit losses to non-performing loans						112.59		%				104.92		%				135.35		%				145.78		%				131.59		%				238.32		%				243.21		%				248.93		%
Annualized net charge-offs/ (recoveries) to average loans						0.06		%				0.03		%				0.01		%				0.04		%				—		%				—		%				0.06		%				(0.01)		%

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Sandy Spring Bancorp, Inc. and Subsidiaries

CONSOLIDATED AVERAGE BALANCES, YIELDS AND RATES - UNAUDITED

						Three Months Ended December 31,
						2024																		2023
(Dollars in thousands and tax-equivalent)						Average Balances						Interest (1)						Annualized Average Yield/Rate						Average Balances						Interest (1)						Annualized Average Yield/Rate
Assets
Commercial investor real estate loans						$	4,825,594					$	57,898					4.77		%				$	5,125,028					$	60,909					4.72		%
Commercial owner-occupied real estate loans						1,739,686						21,497						4.92						1,755,048						21,011						4.75
Commercial AD&C loans						1,300,966						24,303						7.43						960,646						20,510						8.47
Commercial business loans						1,606,641						26,374						6.53						1,433,035						23,822						6.60
Total commercial loans						9,472,887						130,072						5.46						9,273,757						126,252						5.40
Residential mortgage loans						1,535,924						14,676						3.82						1,451,614						12,984						3.58
Residential construction loans						47,788						672						5.59						142,325						1,515						4.22
Consumer loans						433,185						8,496						7.80						419,299						8,543						8.08
Total residential and consumer loans						2,016,897						23,844						4.72						2,013,238						23,042						4.56
Total loans (2)						11,489,784						153,916						5.33						11,286,995						149,294						5.25
Residential mortgage loans held for sale						13,768						249						7.24						10,132						199						7.86
SBA loans held for sale						591						21						14.50						—						—						—
Taxable securities						1,214,327						7,821						2.58						1,193,408						6,454						2.16
Tax-advantaged securities						328,074						2,143						2.61						350,765						2,322						2.64
Total investment securities (3)						1,542,401						9,964						2.58						1,544,173						8,776						2.27
Interest-bearing deposits with banks						667,074						7,997						4.77						621,007						8,456						5.40
Federal funds sold						—						—						—						276						4						5.43
Total interest-earning assets						13,713,618						172,147						5.00						13,462,583						166,729						4.92
Less: allowance for credit losses - loans						(131,565)																		(121,851)
Cash and due from banks						77,280																		89,143
Premises and equipment, net						56,925																		69,162
Other assets						646,063																		591,386
Total assets						$	14,362,321																	$	14,090,423
Liabilities and Stockholders' Equity
Interest-bearing demand deposits						$	1,519,835					$	6,510					1.70		%				$	1,474,748					$	5,612					1.51		%
Regular savings deposits						1,763,353						13,768						3.11						1,153,610						9,715						3.34
Money market savings deposits						3,116,359						26,657						3.40						2,697,930						24,456						3.60
Time deposits						2,594,891						29,176						4.47						2,805,045						30,030						4.25
Total interest-bearing deposits						8,994,438						76,111						3.37						8,131,333						69,813						3.41
Repurchase agreements						65,253						327						2.00						66,622						354						2.11
Federal funds purchased and Federal Reserve Bank borrowings						3,525						42						4.69						300,000						3,721						4.92
Advances from FHLB						357,609						3,865						4.30						550,000						6,086						4.39
Subordinated debt						371,309						4,616						4.97						370,711						3,946						4.26
Total borrowings						797,696						8,850						4.41						1,287,333						14,107						4.35
Total interest-bearing liabilities						9,792,134						84,961						3.45						9,418,666						83,920						3.54
Noninterest-bearing demand deposits						2,813,545																		2,958,254
Other liabilities						139,009																		167,191
Stockholders' equity						1,617,633																		1,546,312
Total liabilities and stockholders' equity						$	14,362,321																	$	14,090,423
Tax-equivalent net interest income and spread												$	87,186					1.55		%										$	82,809					1.38		%
Less: tax-equivalent adjustment												1,100																		1,113
Net interest income												$	86,086																	$	81,696
Interest income/earning assets																		5.00		%																4.92		%
Interest expense/earning assets																		2.47																		2.47
Net interest margin																		2.53		%																2.45		%

(1)Tax-equivalent income has been adjusted using the combined marginal federal and state rate of 25.48% and 25.37% for 2024 and 2023, respectively. The annualized taxable-equivalent adjustments utilized in the above table to compute yields aggregated to $1.1 million and $1.1 million in 2024 and 2023, respectively.

(2)Non-accrual loans are included in the average balances.

(3)Available-for-sale investments are presented at amortized cost.

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Sandy Spring Bancorp, Inc. and Subsidiaries

CONSOLIDATED AVERAGE BALANCES, YIELDS AND RATES - UNAUDITED

						Year Ended December 31,
						2024																		2023
(Dollars in thousands and tax-equivalent)						Average Balances						Interest (1)						Annualized Average Yield/Rate						Average Balances						Interest (1)						Annualized Average Yield/Rate
Assets
Commercial investor real estate loans						$	4,929,894					$	234,402					4.75		%				$	5,133,279					$	237,976					4.64		%
Commercial owner-occupied real estate loans						1,740,376						84,587						4.86						1,766,839						82,049						4.64
Commercial AD&C loans						1,180,100						93,082						7.89						1,023,669						81,515						7.96
Commercial business loans						1,561,616						105,400						6.75						1,440,382						92,080						6.39
Total commercial loans						9,411,986						517,471						5.50						9,364,169						493,620						5.27
Residential mortgage loans						1,518,170						56,644						3.73						1,380,496						48,909						3.54
Residential construction loans						77,276						3,880						5.02						187,599						6,817						3.63
Consumer loans						422,260						34,189						8.10						421,963						32,946						7.81
Total residential and consumer loans						2,017,706						94,713						4.69						1,990,058						88,672						4.46
Total loans (2)						11,429,692						612,184						5.36						11,354,227						582,292						5.13
Residential mortgage loans held for sale						14,089						1,050						7.45						12,421						896						7.21
SBA loans held for sale						165						23						14.17						—						—						—
Taxable securities						1,200,218						29,140						2.43						1,254,739						26,992						2.15
Tax-advantaged securities						336,913						8,928						2.65						357,933						9,049						2.53
Total investment securities (3)						1,537,131						38,068						2.48						1,612,672						36,041						2.23
Interest-bearing deposits with banks						492,649						25,398						5.16						432,392						22,435						5.19
Federal funds sold						216						8						3.79						393						17						4.26
Total interest-earning assets						13,473,942						676,731						5.02						13,412,105						641,681						4.78
Less: allowance for credit losses - loans						(125,131)																		(124,624)
Cash and due from banks						81,761																		93,494
Premises and equipment, net						58,571																		69,886
Other assets						640,652																		604,784
Total assets						$	14,129,795																	$	14,055,645
Liabilities and Stockholders' Equity
Interest-bearing demand deposits						$	1,480,668					$	25,368					1.71		%				$	1,429,219					$	16,077					1.12		%
Regular savings deposits						1,643,305						56,365						3.43						784,575						17,546						2.24
Money market savings deposits						2,914,712						105,847						3.63						2,974,580						93,432						3.14
Time deposits						2,588,713						115,593						4.47						2,695,232						97,973						3.64
Total interest-bearing deposits						8,627,398						303,173						3.51						7,883,606						225,028						2.85
Repurchase agreements						65,913						1,370						2.08						63,259						915						1.45
Federal funds purchased and Federal Reserve Bank borrowings						75,227						3,889						5.17						273,508						13,537						4.95
Advances from FHLB						465,164						20,259						4.36						615,082						27,709						4.50
Subordinated debt						371,085						16,455						4.43						370,487						15,785						4.26
Total borrowings						977,389						41,973						4.29						1,322,336						57,946						4.38
Total interest-bearing liabilities						9,604,787						345,146						3.59						9,205,942						282,974						3.07
Noninterest-bearing demand deposits						2,779,696																		3,152,699
Other liabilities						147,856																		168,762
Stockholders' equity						1,597,456																		1,528,242
Total liabilities and stockholders' equity						$	14,129,795																	$	14,055,645
Tax-equivalent net interest income and spread												$	331,585					1.43		%										$	358,707					1.71		%
Less: tax-equivalent adjustment												4,459																		4,157
Net interest income												$	327,126																	$	354,550
Interest income/earning assets																		5.02		%																4.78		%
Interest expense/earning assets																		2.56																		2.11
Net interest margin																		2.46		%																2.67		%

(1)Tax-equivalent income has been adjusted using the combined marginal federal and state rate of 25.48% and 25.37% for 2024 and 2023, respectively. The annualized taxable-equivalent adjustments utilized in the above table to compute yields aggregated to $4.5 million and $4.2 million in 2024 and 2023, respectively.

(2)Non-accrual loans are included in the average balances.

(3)Available-for-sale investments are presented at amortized cost.