Lakeland Financial Corporation · NASDAQ:LKFN
Lakeland Financial — Q3 2026 Earnings Presentation
63 slides from Lakeland Financial's earnings presentation, 2026
Slide 1: A Proven History of Shareholder Value Creation
Lakeland Financial Corporation A Proven History of Shareholder Value Creation And Commitment to Our Communities 3rd Quarter 2026 LKFN LISTED
Slide 2: Executive contacts
David M. Findlay Chairman & Chief Executive Officer [email protected] (574) 267-9197 Kristin L. Pruitt President [email protected] (574) 371-9220 Lisa M. O’Neill Executive Vice President & Chief Financial Officer [email protected] (574) 267-9125 2
Slide 3: Forward-Looking Information
Forward-Looking Information This presentation contains, and future oral and written statements of the company and its management may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of oper
Slide 4: Long Term Success for Shareholders
Long Term Success for Shareholders 4 Institutions (including LKFN) LTM ROE >14% LTM ROE >13% 20-Year TBVPS 17 Institutions CAGR >8%(3) 132 Institutions Profitable for the Last 10 Years(2) 176 Institutions Exchange Traded Depositories with Assets Between $1B and $10B(1) Source: S&P Capital IQ Pro. Fi
Slide 5: Strong Capital Structure
Strong Capital Structure Tangible Book Value(1) Per Share Allowance for Credit $36.39 * Losses $40.00 7.0% $35.00 Tangible Common $30.00 Equity 93.0% $25.00 $20.00 Key Ratios and Per Share Data as of September 30, 2026 $15.00 TCE/Tangible Assets 10.11% $10.00 Adj. TCE/Adj. Tangible Assets 12.32% Tot
Slide 6: Lake City Bank Today
Lake City Bank Today • An entrepreneurial 154-year-old de novo bank • A long-term and consistent organic growth story • Headquartered in Warsaw, Indiana • 55 branch offices - $7.2 billion banking assets • $3.7 billion in Wealth Advisory assets • A forward-thinking technology adopter • Focused on exe
Slide 7: 34 Years of Organic Growth
34 Years of Organic Growth A History of Balance Sheet and Income Statement Expansion $103,361 (000’s) $120,000 Compound Annual Growth 1991 – 2025 $100,000 • Loans = 10% • Deposits = 10% $80,000 • Net Income = 11% • Earnings Per Share = 11% $60,000 $40,000 $2,707 $20,000 $0 2023 1991 1993 1995 1997 1
Slide 8: Established Market Presence
Established Market Presence Organic Growth Potential in Mature and Expanding Markets 8
Slide 9: Projected Population Growth Reflects Strength of Economy
Projected Population Growth Reflects Strength of Economy • 67% of Lake City Bank counties are growth and high growth counties • 40% of Lake City Bank counties are high growth counties • Indiana is poised to experience continued economic strength and vitality 9
Slide 10: Indiana Generates 24% of its GDP from Manufacturing
Indiana Generates 24% of its GDP from Manufacturing1 The Most Manufacturing Focused State in the Country2 (1) https://www.visualcapitalist.com/u-s-states-depend-most-on-manufacturing/ (2) https://www.statsamerica.org/sip/rank_list.aspx?rank_label=gsp2_b&item_in=12&ct=S18 10
Slide 11: Indiana Is Poised For Continued Economic Growth
Indiana Is Poised For Continued Economic Growth • In 2026, Herb Simon, the owner of the Pacers Sports & Entertainment, broke ground on a mixed-use development downtown featuring the first Ritz-Carlton in Indianapolis and a 4,000-person capacity live music venue operated by Live Nation for the entert
Slide 12: Strong Regional and Statewide Economy
Strong Regional and Statewide Economy Indiana Unemployment Rate is Lower than the National Average 12.0% 10.0% 8.0% 8.5% Unemployment 6.0% 6.3% 7.2% 5.3% 5.2% 5.0% 5.9% 4.0% 4.5% 4.5% 4.4% 4.3% 4.5% 4.5% 4.4% 3.9% 3.9% 3.8% 3.8% 3.6% 4.0% 4.0% 3.8% 3.6% 3.6% 5.7% 4.2% 4.1% 3.7% 3.4% 3.0% 3.2% 7.5% 3
Slide 13: Fortress Balance Sheet
Fortress Balance Sheet LKFN Above Peer Long-Term Profitability has Contributed to a Strong Capital Foundation Proxy Peer Average RBC 18.0% Q2’26 15.2% 17.0% 16.0% 15.0% 14.0% 13.0% 12.0% 11.0% Well Capitalized Threshold 10.0% for Consolidated Risk-Based Capital 10.0% 9.0% 8.0% Q4'10 Q4'11 Q4'12 Q4'1
Slide 14: Net Interest Margin by Quarter
Net Interest Margin by Quarter NIM Expansion of 8 Basis Points Over the Third Quarter 2025 3.50% 3.58% 3.50% 3.48% 3.49% 3.49% 3.40% 3.42% 3.25% 3.16% 3.00% Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 LKFN Quarterly NIM 14
Slide 15: Net Interest Margin
Net Interest Margin Interest Rate Risk Posture Shifts to Asset Sensitive • Quarterly net interest margin expanded by 8 basis points in 2026 compared to 2025 • Loan growth contributing to net interest margin expansion • Deposit repricing lags loan repricing in first move of tightening cycle • Average
Slide 16: Interest Rate Sensitivity
Interest Rate Sensitivity Growth in Variable Rate Loans and Steeper Yield Curve Contribute to Loan Repricing • 87% of loan portfolio consists of FHLB/Other commercial loans and 71% of $649,395 commercial loans are tied to variable 13% interest rates Fixed Rate • Approximately $677.2 million of fixed
Slide 17: Projected Impact of Rising/Falling Rates
Projected Impact of Rising/Falling Rates Asset Sensitivity Increases During the Third Quarter 2026 5.75% 6.00% 3.83% 4.00% 1.96% 2.00% 1.02% 0.52% 0.00% -0.55% -2.00% -1.13% -2.37% -4.00% -6.00% -5.06% -8.00% -8.17% -10.00% Dn 300 Dn 200 Dn 100 Dn 50 Dn 25 Up 25 Up 50 Up 100 Up 200 Up 300 Graph pres
Slide 18: Diversified Deposit Base
Diversified Deposit Base Deposit Franchise Consists of Broad-based, Tenured and Deep Relationships • Deposit composition is stable and commercial deposits account for 35% of total deposits • Since 2019 the number of checking accounts have grown by: Commercial +26%, Retail +14% and Public Funds +33%
Slide 19: Deposit Mix Reflects Strength of Franchise
Deposit Mix Reflects Strength of Franchise Core Deposit Growth Consistently Funds Loan Growth Brokered Deposits $241,849 4% Total Commercial $2,210,358 35% Total Retail $1,817,961 29% Total Public Fund $2,024,628 32% September 30, 2026 Total Deposits - $6.3 billion DDA $1.3 billion DDA % of Total De
Slide 20: Checking Account Trends by Deposit Sector
Checking Accounting Trends by Deposit Sector Number of Commercial Accounts Grow by 26% since December 2019 (000) Checking Account Average Balances $2,500,000 by Deposit Type (000) Public Commercial Retail Funds 9/30/26 $123 $15 $7,169 $2,129,952 $2,000,000 $2,105,411 $2,027,196 $2,005,937 12/31/25 $
Slide 21: Shareholder Value Strategy
Shareholder Value Strategy 1. Commercial Banking Focus 2. High Quality Team Members 3. Proven Organic Growth Experience 4. Focus on Core Deposit Funding 5. Commitment to Technology 21
Slide 22: Commercial Banking Focus
Commercial Banking Focus Experienced Relationship Driven Team • 52 credit “smart” commercial bankers • Average 23 years in banking & 13 years at Lake City Bank • We live where we lend • Face to face calling matters and is a team effort • Deep organizational structure provides credit and administrati
Slide 23: Business Development Program Momentum
Business Development Program Momentum • The core foundation of future revenue growth • Enhanced focus on the in-person calling program will drive market share growth strategies • 4,488 sales calls in the third quarter, an increase of 2% over 2025 • Prospect Calls are critical- 2,111 prospect calls,
Slide 24: Credit Process
Credit Process Commercial Banking Focus • Our credit discipline has never changed • We have a centralized committee structure • We are in-market lender to in-market clients • Character matters – we lend to people first • We focus on management/cash flow • Structure is important and is disciplined •
Slide 25: Lake City Bank Culture
Lake City Bank Culture High Quality Team Members • Our culture is our greatest asset and we will preserve it • Lake City University drives our culture • Every employee attends on average, 20 hours of instructor- led training annually • Our community involvement is real and critical to our strategy •
Slide 26: Mature Market Deposit Performance
Mature1 Market Deposit Performance Organic Growth 2016 – 2026 $3,500 $3,000 $2,774 Lake City Bank has grown $2,500 $2,326 deposits by 96% over the $2,000 last ten-year period. $1,502 $1,500 $1,000 $545 $482 $500 $383 $379 $234 $100 $0 -$500 -$1,000 -$1,500 -$2,000 -$1,764 Lake City Bank 1st Source J
Slide 27: Commitment to Technology
Commitment to Technology Innovation and Competitive Technology is a Focus • Fintech partnerships play a significant role in our technology stack and enable delivery of innovative solutions to our customers • Investments in Lake City Bank Digital, a Q2 product implemented in 2021 with ongoing user an
Slide 28: Artificial Intelligence Initiatives
Artificial Intelligence Initiatives AI Task Force Brings Bank-Wide Focus to Initiatives Revenue Risk Management & Operating Efficiency Enhancement Fraud Detection Service Agent Sales Agents BSA/AML Solution Automation Customer Dark Web Deposit Account Segmentation Monitoring Onboarding Agents AI BOT
Slide 29: Channel Utilization Today versus Pre-Pandemic
Channel Utilization Today versus Pre-Pandemic Mobile Adoption Significantly Outpacing All Other Delivery Channels Total Total Channel Transactions % of Transactions % of Period Type 2019(1) Total 2026(1) Total Change Branch Transactions 2,279,975 18% 1,994,359 13% (13)% ATM/ITM 944,785 7% 682,045 4%
Slide 30: Customer Composition and Digital Adoption
Customer Composition and Digital Adoption Digital Adoption Across All Generations Is Strong and Increasing Customer Composition and Digital Adoption Over Three Years Customer Generation(1) Breakdown 9/30/26 9/30/25 9/30/24 Gen Alpha (2010 - Current) 5% 13% 5% 2% Gen Z (1996 - 2009) 16% 77% 73% 69% M
Slide 31: Financial Performance
Qoake City Bank Financial Performance
Slide 32: Income Performance Metrics
Income Performance Metrics LKFN Performance Exceeds National Peers and Contributes to Strong Capital Levels ROAE and ROATE LTM Peer Average Data1 22.00% National Indiana ROAE 11.2% 11.9% 2.70% ROATE 12.7% 13.3% 20.00% 17.52% 18.00% 16.03% 2.20% 17.40% 14.67% 16.00% 14.27% 14.20% 14.47% ROAE and ROAT
Slide 33: Net Income and EPS
Net Income and EPS Year-to-Date Net Income Improves by 14% as of September 30, 2026 $5.00 $120,000 $103,817 $103,361 $4.50 $100,000 $95,733 $93,767 $93,478 $4.00 $4.04 $4.01 $83,775 Net Income $3.74 $3.50 $80,000 $3.65 $3.63 $73,455 EPS $3.31 $3.00 $60,000 $2.85 $2.50 $40,000 $2.00 $1.50 $20,000 $1.
Slide 34: Pretax Pre-Provision Earnings
Pretax Pre-Provision Earnings Pretax Pre-Provision Earnings Improves by 7% in 2026 $160,000 6.00% $134,539 $137,383 $140,000 $128,439 Pretax Pre-Provision Earnings/Average Assets 5.00% $118,521 $116,183 $120,000 $107,845 Pretax Pre-Provision Earnings $101,032 4.00% $100,000 $80,000 3.00% $60,000 2.0
Slide 35: Average Loans
Average Loans Average YTD Loan Growth of $313 million or 6% Compared to Prior Year $6,000,000 $5,520,526 $5,223,458 120% $5,039,406 $5,000,000 $4,813,678 $4,421,094 $4,427,166 110% $4,000,000 100% Loans to Deposit Ratio 90% $3,000,000 Loans 89% 86% 86% 86% 80% 83% $2,000,000 77% 70% $1,000,000 60% $
Slide 36: Commercial & Industrial Line of Credit Utilization
30% 35% 40% 45% 50% 55% 60% 65% 70% 75% 25% $812 $816 $1,628 50% $789 $877 $1,666 47% PPP $720 $1,054 $1,774 41% $707 $1,112 $1,819 39% $761 $1,083 $1,844 41% $792 $1,049 $1,841 $811 $1,090 $1,901 43% 43% $865 $1,076 $1,941 $863 $1,052 $1,915 45% 45% $843 $1,137 $1,980 43% $798 $1,211 $2,009 40% $77
Slide 37: Loan Portfolio Breakdown
Loan Portfolio Breakdown C&I Drives Lending Business Agri-business - Other Residential Commercial RE - Agriculture Commercial Mortgage Construction $348,186 $120,661 $308,959 $409,682 6% 2% 5% 7% Home Equity $296,641 5% Commercial RE - Multifamily $598,456 11% Installment - Other Consumer $130,338 2
Slide 38: Top Industry Concentrations
Top 10 Industry Concentrations Loan Portfolio is Diversified Commercial Office Real Estate Restaurants Automobile Dealers $117,362 $105,535 Lessor of Residential $134,034 2% 2% Buildings & Dwellings 2% $102,164 Hotels 2% $186,745 3% Senior Living RV & Marine $110,670 Industry 2% $229,976 4% Industri
Slide 39: Average Deposits
Average Deposits Average YTD Deposit Growth of $236 million or 4% Compared to Prior Year (000’s) $6,236,470 150% $6,039,821 $6,000,000 $5,717,358 $5,836,025 $5,357,284 $5,604,228 140% 130% Deposits as a Percent of Total Funding $5,000,000 120% $4,000,000 110% Deposits 100% $3,000,000 99% 100% 99% 99
Slide 40: Deposit Breakdown
Deposit Breakdown Deposit Costs Repricing Lag Loan Repricing with Federal Funds Rate Hike Brokered Deposits Annual Cost of Deposits $241,849 3.00% 4% 2.00% 1.00% 0.00% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD 2026 Total Total Retail Commercial $1,817,961 $2,210,658 2
Slide 41: Net Interest Income
Net Interest Income Loan Growth and Net Interest Margin Expansion Contribute to Growth (000’s) $250,000 $221,017 4.50% $202,887 Net Interest Margin, fully tax equivalent $197,035 $196,679 $200,000 $178,088 $175,795 Net Interest Income $163,824 4.00% $150,000 3.50% $100,000 3.52% 3.40% 3.45% 3.44% 3.
Slide 42: Asset Quality: Nonperforming Assets
Asset Quality Total Individually Analyzed and Watchlist Loans Remain at Historic Lows 6.00% 14.00% 5.00% Watch List Loans to Total Loans excluding PPP Nonperforming Assets to Total Assets 12.00% 4.00% 10.00% 8.86% 8.17% 8.06% 3.00% 7.46% 8.00% 6.64% 6.75% 2.00% 5.75% 5.50% 6.00% 4.64% 4.77% 4.28%4.5
Slide 43: Asset Quality: Allowance Levels
Asset Quality Allowance Levels Remain at Historical Levels 2.70% 1.40% 2.39% 2.28% 2.40% ACL to Total Loans, excluding PPP 2.15% 1.20% 2.10% Net Chargeoffs to Average Loans 1.92% 1.00% 1.67% 1.68% 1.80% 1.59% 1.59% 1.54% 0.80% 1.42% 1.45% 1.46% 1.50% 1.26% 1.23% 1.24% 1.25% 1.28% 1.21% 0.60% 1.20% 0
Slide 44: Noninterest Income
Noninterest Income Fee-Based Revenue Contributes to High Single Digit Growth (000’s) $60,000 $56,844 60% Non-Interest Income as % of Total Revenue $49,858 $50,000 $47,971 50% $44,720 $41,862 Non-Interest Income $40,000 $37,779 40% $35,368 $30,000 30% $20,000 20% 22% 20% 20% 17% 18% 18% 18% $10,000 1
Slide 45: Total Revenue
Total Revenue Revenue Benefits from Growth in Net Interest Income and Noninterest Income (000’s) $300,000 $268,988 $246,893 $253,523 $250,000 $244,749 $222,808 $213,574 $199,192 $200,000 $150,000 $100,000 $50,000 $0 2021 2022 2023 2024 2025 YTD 2025 YTD 2026 Compound annual growth rate “CAGR” is bas
Slide 46: Noninterest Expense
Noninterest Expense Disciplined Investment in People, Strategic Branch Expansion and Technology Continues (000’s) $140,000 $130,710 $131,605 $125,084 $120,000 $110,210 $105,729 $104,287 $98,160 $100,000 $80,000 $60,000 $40,000 $20,000 $0 2021 2022 2023 2024(1) 2025 YTD 2025 YTD 2026 (1) Noninterest
Slide 47: Efficiency Ratio
Efficiency Ratio Efficiency Ratio is Stable 70% Constant investment in human capital, technology and facilities 60% 53% 51% 52% 50% 50% 48% 49% 49% 50% 50% 46% 45% 45% 47% 45% 43% 40% 30% 20% 10% 0% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD 2026 Efficiency Ratio 47
Slide 48: Stable Healthy Dividend
Stable Healthy Dividend Growth in Dividend Reflects Strength of Capital 8.00% $2.10 $2.00 $1.92 7.00% $1.84 $1.60 6.00% $1.56 $1.60 $1.50 Dividend per Share $1.36 5.00% Dividend Yield 3.51% 4.00% $1.10 2.82% 2.79% 3.62% 3.00% 2.19% 3.12% 1.70% $0.60 2.00% 1.00% $0.10 0.00% 2021 2022 2023 2024 2025 Y
Slide 49: LKFN Shareholder Value
LKFN Shareholder Value Total Return Performance from 12/31/00 to 9/30/26 3,000.00 2,632.12% 2,500.00 2,000.00 1,500.00 1,000.00 833.97% 500.00 438.49% 283.23% 0.00 (500.00) 2002 2014 2000 2001 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20
Slide 50: Investment Highlights
Investment Highlights • Proven History of Organic Growth • Disciplined and Focused Strategy • Strong Internal Culture • Consistent Execution and Financial Results • Service Excellence Drives Shareholder Value • Unwavering Focus on Core Business Strategy • Dedication to Long-term Shareholder Value Cr
Slide 51: Supplemental Information
Supplemental Information Qoake City Bank
Slide 52: Lake City Bank Capital Adequacy
Lake City Bank Capital Adequacy Capital Strength Contributes to Fortress Balance Sheet Non-GAAP Non-GAAP Non-GAAP Adjusted September Well- Capital AOCI and Excess Capital Regulatory Ratio 30, 2026 Capitalized Cushion HTM Capital Ratios with Description * Actual Threshold (in 000’s) Losses- after AOC
Slide 53: Robust Liquidity Sources
Robust Liquidity Sources • Available liquidity is stable at $3.6 billion, an increase from $3.4 billion at June 30, 2026 • Sources of liquidity are varied and represent wholesale funding and brokered deposits • Brokered deposits represent 4% of total deposits down from 5% at June 30, 2026 • Noncore
Slide 54: Liquidity Preparedness
Liquidity Preparedness September 30, 2026 Additional Loan Collateral Liquidity Available for (000) Availability Used Unused/ Available Pledge Secured/Committed Borrowings: Federal Home Loan Bank-Indianapolis(1) $ 684,058 $ 101,300 $ 582,758 $ -- Federal Reserve Bank Discount Window 1,325,814 -- 1,32
Slide 55: Public Fund Deposit Trends
Public Fund Deposit Trends 84% of Public Fund Large Depositors include Operating Relationships (000) $2,024,628 $1,979,327 $2,000,000 $1,809,631 $1,563,015 $1,429,873 $1,500,000 $1,284,641 $1,127,111 $1,162,457 $1,000,000 $500,000 $0 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-24 Dec-25 Sep-26 Checking a
Slide 56: Commercial Loans by County
Commercial Loans by County Commercial Customers in 57 Indiana Counties and 20 Other States Other IN Counties (1) Marshall 16% 4% Outside IN 9% Marion 15% Allen 14% Hamilton 11% Commercial Loans Outstanding as of Elkhart 9/30/2026 Kosciusko 14% $4.9 billion 8% St. Joseph 9% (1) All other counties ind
Slide 57: Investment Portfolio
Investment Portfolio Recurring Cash Flows Used to Fund Organic Loan Growth 25% 20% MV Investments as a % of Assets 21% 20% US Govt Remics US Govt 15% 18% 17% 17% 7% 15% US Govt Pools 14% Agencies 31% 10% 12% 12% 10% 12% HTM 5% Municipals 10% 0% AFS 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 M
Slide 58: Investment Security Portfolio Cashflows
Investment Security Portfolio Cashflows Cash Flows of $423 million Expected Over the Next Four Years (000,000) Investment Portfolio Expected to 40,000 Generate $102 million in Cash Flows over the next Twelve Months 35,000 8,559 30,000 7,903 7,268 9,108 7,003 8,224 25,000 8,835 6,754 7,636 9,297 6,35
Slide 59: Investment Portfolio Analysis
Investment Portfolio Analysis Portfolio Shrinking as a Percentage of Total Assets 9/30/2026 12/31/2025 Weighted Market % of Weighted Market % of Maturity Value Total Maturity Value Total US Govt REMICS 5.77 75,709 7% 5.21 90,111 8% US Govt Pools 5.80 335,404 32% 6.17 364,052 31% US Agencies 6.91 103
Slide 60: Larger Market Organic Expansion
Larger Market Organic Expansion Organic Growth State LCB LCB Deposit Rank County Primary City Population* Entry Market Share** # of offices 22. Kosciusko Warsaw 80,892 1872 66% 12 6. Elkhart Elkhart 208,774 1990 24% 11 5. St. Joseph South Bend 272,861 1997 8% 4 3. Allen Fort Wayne 402,329 1999 16% 5
Slide 61: Branch Expansion Strategy for Growth
Branch Expansion Strategy for Growth Indianapolis Deposits Total $692 Million at June 30, 2026 and Improved by $86 Million, or 14% Compared to 2025 Lake City Lake City Bank Bank 2026 2050 25- year 2026 Deposits 2026 Deposit Lake City Indiana 2025 Projected projected in Market Deposits Market Bank Co
Slide 62: Mature Market Strength and Growth
Mature Market Strength and Growth Market Share Improves by 96% in Mature Markets Over the Past Decade (millions)1 2026 2016 2026 # of Deposits Share Deposits Share Increase Offices 1. Lake City Bank $5,652 19.27% $2,878 14.92% 96.39% 55 2. 1st Source $5,426 18.50% $3,100 16.08% 75.03% 51 3. JPM Chas
Slide 63: Lake City Bank
Qiake City Bank LAKECITYBANK.COM