S&T BANCORP INC

Previous wording

Management’s Discussion and Analysis of Financial Condition and Results of Operations, or MD&A, represents an overview of our consolidated results of operations and financial condition and highlights material changes in our financial condition and results of operations for the three and nine months ended September 30, 2025 and 2024. Our MD&A should be read in conjunction with our Condensed Consolidated Financial Statements and Notes. The results of operations reported in the accompanying Condensed Consolidated Financial Statements are not necessarily indicative of results to be expected in future periods.

Current wording

Management’s Discussion and Analysis of Financial Condition and Results of Operations, or MD&A, represents an overview of our consolidated results of operations and financial condition and highlights material changes in our financial condition and results of operations for the three months ended March 31, 2026 and 2025. Our MD&A should be read in conjunction with our Condensed Consolidated Financial Statements and Notes. The results of operations reported in the accompanying Condensed Consolidated Financial Statements are not necessarily indicative of results to be expected in future periods.

Previous wording

This Quarterly Report on Form 10-Qcontains or incorporates statements that we believe are “forward-looking statements”within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to our financial condition, results of operations, plans, objectives, outlook for earnings, revenues, expenses, capital and liquidity levels and ratios, asset levels, asset quality, financial position and other matters regarding or affecting S&T and its future business and operations. Forward-looking statements are typically identified by words or phrases such as “will likely result,” “expect,” “anticipate,” “estimate,” “forecast,” “project,” “intend,” “believe,” “assume,” “strategy,” “trend,” “plan,” “outlook,” “outcome,” “continue,” “remain,” “potential,” “opportunity,” “comfortable,” “current,” “position,” “maintain,” “sustain,” “seek,” “achieve” and variations of such words and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could” or “may.” Although we believe the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate and the forward-looking statements based on these assumptions could be incorrect. The matters discussed in these forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results and trends to differ materially from those made, projected or implied in or by the forward-looking statements depending on a variety of uncertainties or other factors including, but not limited to: credit losses and the credit risk of our commercial and consumer loan products; changes in the level of charge-offs and changes in estimates of the adequacy of the allowance for credit losses, or ACL; cybersecurity concerns; rapid technological developments and changes; operational risks or risk management failures by us or critical third parties, including fraud risk; our ability to manage our reputational risks; sensitivity to the interest rate environment, a rapid increase in interest rates or a change in the shape of the yield curve; a change in spreads on interest-earning assets and interest-bearing liabilities; regulatory supervision and oversight, including changes in regulatory capital requirements and our ability to address those requirements; unanticipated changes in our liquidity position; unanticipated changes in regulatory and governmental policies impacting interest rates and financial markets; changes in accounting policies, practices or guidance; legislation affecting the financial services industry as a whole, and S&T, in particular; developments affecting the industry and the soundness of financial institutions and further disruption to the economy and U.S. banking system; the outcome of pending and future litigation and governmental proceedings; increasing price and product/service competition; the ability to continue to introduce co…

Excerpt shortened here; the source contains the full paragraph.

Current wording

This Quarterly Report on Form 10-Q contains or incorporates statements that we believe are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to our financial condition, results of operations, plans, objectives, outlook for earnings, revenues, expenses, capital and liquidity levels and ratios, asset levels, asset quality, financial position and other matters regarding or affecting S&T and its future business and operations. Forward-looking statements are typically identified by words or phrases such as “will likely result,” “expect,” “anticipate,” “estimate,” “forecast,” “project,” “intend,” “believe,” “assume,” “strategy,” “trend,” “plan,” “outlook,” “outcome,” “continue,” “remain,” “potential,” “opportunity,” “comfortable,” “current,” “position,” “maintain,” “sustain,” “seek,” “achieve” and variations of such words and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could” or “may.” Although we believe the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate and the forward-looking statements based on these assumptions could be incorrect. The matters discussed in these forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results and trends to differ materially from those made, projected or implied in or by the forward-looking statements depending on a variety of uncertainties or other factors including, but not limited to: credit losses and the credit risk of our commercial and consumer loan products; changes in the level of charge-offs and changes in estimates of the adequacy of the allowance for credit losses, or ACL; cybersecurity concerns; rapid technological developments and changes, including the use of artificial intelligence and digital assets; operational risks or risk management failures by us or critical third parties, including fraud risk; our ability to manage our brand risks; sensitivity to the interest rate environment, a rapid increase in interest rates or a change in the shape of the yield curve; a change in spreads on interest-earning assets and interest-bearing liabilities; regulatory supervision and oversight, including changes in regulatory capital requirements and our ability to address those requirements; unanticipated changes in our liquidity position; unanticipated changes in regulatory and governmental policies impacting interest rates and financial markets; changes in accounting policies, practices or guidance; legislation affecting the financial services industry as a whole, and S&T, in particular; developments affecting the industry and the soundness of financial institutions and further disruption to the economy and U.S. banking system; the outcome of pending and future litigation and governmental proceedings; increasing price and product/…

Excerpt shortened here; the source contains the full paragraph.

Previous wording

We believe the above non-GAAP financial measures provide information useful to investors in understanding our underlying business, operational performance and performance trends as they facilitate comparisons with the performance of other companies in the financial services industry. Although we believe that these non-GAAP financial measures enhance investors’ understanding of our business and performance, these non-GAAP financial measures should not be considered alternatives to GAAP or considered to be more important than financial results determined in accordance with GAAP, nor are they necessarily comparable with non-GAAP measures which may be presented by other companies.

Current wording

We believe these non-GAAP financial measures provide information useful to investors in understanding our underlying business, operational performance and performance trends as they facilitate comparisons with the performance of other companies in the financial services industry. Although we believe that these non-GAAP financial measures enhance investors’ understanding of our business and performance, these non-GAAP financial measures should not be considered alternatives to GAAP or considered to be more important than financial results determined in accordance with GAAP, nor are they necessarily comparable with non-GAAP measures which may be presented by other companies.

Previous wording

In addition to traditional financial measures presented in accordance with GAAP, our management uses, and this report contains or references, certain non-GAAP financial measures, such as interest income on interest-earning assets, net interest income and net interest margin presented on a fully taxable equivalent, or FTE, basis (non-GAAP). The FTE basis (non-GAAP) adjusts for the tax benefit of income on certain tax-exempt loans and securities and the dividend-received deduction for equity securities using the federal statutory tax rate of 21 percent for each period. We believe this to be the preferred industry measurement of net interest income that provides a relevant comparison combining both taxable and non-taxable sources of interest income.

Current wording

The following table reconciles interest and dividend income and net interest income per the Condensed Consolidated Statements of Comprehensive Income to interest income, net interest income and net interest margin on an FTE basis (non-GAAP) for the periods presented. The FTE basis (non-GAAP) adjusts for the tax benefit of income on certain tax-exempt loans and securities and the dividend-received deduction for equity securities using the federal statutory tax rate of 21 percent for each period. We believe this to be the preferred industry measurement of net interest income that provides a relevant comparison combining both taxable and non-taxable sources of interest income.

Previous wording

We are a bank holding company that is headquartered in Indiana, Pennsylvania with assets of $9.8 billion at September 30, 2025. We operate in Pennsylvania and Ohio providing a full range of financial services with retail and commercial banking products, cash management services, trust and brokerage services. Our common stock trades on the NASDAQ Global Select Market under the symbol “STBA.”

Current wording

We are a bank holding company that is headquartered in Indiana, Pennsylvania with assets of $9.9 billion at March 31, 2026. We operate in Pennsylvania and Ohio providing a full range of financial services with retail, business banking and commercial banking products and trust and brokerage services. Our common stock trades on the NASDAQ Global Select Market under the symbol “STBA.”

Previous wording

Our purpose is building our future together through people-forward banking. We believe that all banking should be personal. We cultivate relationships rooted in trust, strengthened by going above and beyond and renewed with every interaction. Our strategic priorities for 2025 and beyond will be focused on growing our deposit franchise, core profitability, asset quality and talent and engagement.

Current wording

Our purpose is building our future together through people-forward banking. We believe that all banking should be personal. We cultivate relationships rooted in trust, strengthened by going above and beyond and renewed with every interaction. Our strategic priorities for 2026 and beyond will be focused on growing our deposit franchise, improving core profitability, maintaining asset quality and ensuring a high level of talent and engagement.

Previous wording

We recognized net income of $35.0 million, or $0.91 per diluted share, for the three months ended September 30, 2025 compared to net income of $32.6 million, or $0.85 per diluted share, for the same period in 2024 and net income of $100.3 million, or $2.60 per diluted share, for the nine months ended September 30, 2025 compared to net income of $98.2 million, or $2.55 per diluted share, for the same period in 2024.

Current wording

We recognized net income of $35.1 million, or $0.94 per diluted share, for the three months ended March 31, 2026 compared to net income of $33.4 million, or $0.87 per diluted share, for the same period in 2025. This represents a 5.0 percent increase in net income and an 8.0 percent increase in diluted earnings per share for the three months ended March 31, 2026 compared to the same period in 2025. During the first quarter of 2026, 1,146,100 shares were repurchased at an average price of $43.30 per share for $49.6 million excluding excise tax and commissions. Total share repurchases for both the fourth quarter of 2025 and the first quarter of 2026 were 2,094,370 shares at an average price of $40.99 per share totaling $85.8 million excluding excise tax and commissions. The remaining capacity under the existing share repurchase program was $50.4 million at March 31, 2026.

Previous wording

Net interest income increased $4.8 million, or 5.64 percent, and $7.6 million, or 3.02 percent, for the three and nine months ended September 30, 2025 compared to the same periods in 2024. Net interest margin, or NIM, on an FTE basis (non-GAAP) increased 11 basis points to 3.93% for the three months ended September 30, 2025 compared to 3.82% in the same period in 2024 and increased 3 basis points to 3.87 percent for the nine months ended September 30, 2025 compared to 3.84 percent in the same period in 2024. These improvements in both net interest income and NIM on an FTE basis (non-GAAP) were primarily due to the impact of lower interest rates on interest bearing liabilities, an improvement in our overall funding mix and strong earnings retention. Customer deposit growth in 2024 and 2025 has reduced our levels of borrowings and brokered deposits.

Current wording

Net interest income increased $5.1 million, or 6.1 percent to $88.4 million for the three months ended March 31, 2026 compared to $83.3 million for the same period in 2025. The net interest margin, or NIM, on an FTE basis (non-GAAP) increased 11 basis points to 3.92 percent for the three months ended March 31, 2026 compared to 3.81 percent for the same period in 2025. The increases in net interest income and NIM on an FTE basis (non-GAAP) were primarily due to the impact of lower interest rates on interest-bearing liabilities and an improvement in our funding mix due to strong customer growth which allowed for reduced levels of brokered deposits and borrowings.

Previous wording

The provision for income taxes remained unchanged at $8.9 million and $25.3 million for the three and nine months ended September 30, 2025 compared to the same periods in 2024. Our effective tax rate was 20.2 percent and 20.1 percent for the three and nine months ended September 30, 2025 compared to 21.4 percent and 20.5 percent for the same periods in 2024. The decrease in our effective tax rate for the three and nine month periods ended September 30, 2025 was primarily due to an increase in low-income housing tax credits partially offset by a decrease in tax-exempt interest income compared to the same periods in 2024.

Current wording

The provision for income taxes increased $0.7 million to $9.0 million for the three months ended March 31, 2026 compared to $8.3 million for the same period in 2025. Our effective tax rate was 20.4 percent for the three months ended March 31, 2026 compared to 19.9 percent for the three months ended March 31, 2025. The increase in our effective tax rate for the three month period ended March 31, 2026 was primarily due to an increase in pretax income and state income tax expense compared to the same period in 2025.

Previous wording

Three and nine months ended September 30, 2025 Compared to Three and nine months ended September 30, 2024

Current wording

Three months ended March 31, 2026 compared to Three months ended March 31, 2025

Previous wording

Net interest income on an FTE basis (non-GAAP) increased $4.7 million, or 5.5 percent, and $7.4 million, or 2.9 percent, for the three and nine months ended September 30, 2025 compared to the same periods in 2024. The NIM on an FTE basis (non-GAAP) increased 11 and 3 basis points for the three and nine months ended September 30, 2025 compared to the same periods in 2024. These improvements in both net interest income and NIM on an FTE basis (non-GAAP) were primarily due to the impact of lower interest rates on interest bearing liabilities, an improvement in our overall funding mix and strong earnings retention. Customer deposit growth in 2024 and 2025 has reduced our levels of borrowings and brokered deposits.

Current wording

Net interest income on an FTE basis (non-GAAP) increased $5.1 million, or 6.06 percent, for the three months ended March 31, 2026 compared to the same period in 2025. The net interest margin, or NIM, on an FTE basis (non-GAAP) increased 11 basis points to 3.92 percent for the three months ended March 31, 2026 compared to 3.81 percent in the same period in 2025. The increases in net interest income and NIM on an FTE basis (non-GAAP) were primarily due to the impact of lower interest rates on interest-bearing liabilities.

Previous wording

Interest income on an FTE basis (non-GAAP) remained relatively unchanged for the three months ended September 30, 2025 and decreased $2.9 million for the nine months ended September 30, 2025 compared to the same periods in 2024. The decrease in interest income on an FTE basis (non-GAAP) for the nine months ended September 30, 2025 was primarily due to lower interest rates. The average yield on loan balances decreased 26 basis points for both the three and nine months ended September 30, 2025 compared to the same periods in 2024. Average loan balances increased $276.9 million and $187.7 million for the three and nine months ended September 30, 2025 compared to the same periods in 2024. Offsetting the lower interest income on loans was higher interest income on securities primarily due to the repositioning of $193.6 million of securities during 2024 and 2025. The average yield on securities increased 68 and 77 basis points for the three and nine months ended September 30, 2025 compared to the same periods in 2024. Overall, the FTE rate (non-GAAP) on interest-earning assets decreased 16 and 15 basis points for the three and nine months ended September 30, 2025 compared to the same periods in 2024.

Current wording

Interest income on an FTE basis (non-GAAP) increased $1.5 million for the three months ended March 31, 2026 compared to the same period in 2025. The increase in interest income on an FTE basis (non-GAAP) was primarily driven by a $245.7 million increase in total portfolio loans that more than offset the impact of declining loan yields. The average yield on loans decreased 13 basis points compared to the same period in 2025 due to lower interest rates. Interest income on an FTE basis (non-GAAP) also improved due to an increase in securities yield of 19 basis points to 3.78 percent compared to 3.59 percent in the same period in 2025. Overall, the FTE rate (non-GAAP) on interest-earning assets decreased 10 basis points for the three months ended March 31, 2026 compared to the same period in 2025.

Previous wording

Interest expense decreased $4.6 million and $10.2 million for the three and nine months ended September 30, 2025 compared to the same periods in 2024. The decrease in interest expense was primarily due to lower levels of borrowings and decreased interest rates. Average interest-bearing deposits increased $224.0 million and $254.6 million for the three and nine months ended September 30, 2025 compared to the same periods in 2024 primarily due to increases in certificates of deposit and money market balances. Average borrowings decreased $118.4 million and $170.4 million for the three and nine months ended September 30, 2025 compared to the same periods in 2024 primarily due to increased customer deposits. Overall, the cost of interest-bearing liabilities decreased 36 and 26 basis points for the three and nine months ended September 30, 2025 compared to the same periods in 2024.

Current wording

Interest expense decreased $3.6 million for the three months ended March 31, 2026 compared to the same period in 2025. The decrease in interest expense was primarily due to a decline in interest rates. Average interest-bearing deposits increased $250.4 million for the three months ended March 31, 2026 compared to the same period in 2025. Average borrowings decreased $43.6 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to an increase in deposits. Overall, the cost of interest-bearing liabilities decreased 33 basis points for the three months ended March 31, 2026 compared to the same period in 2025.

Previous wording

The following table sets forth for the periods presented a summary of the changes in interest earned and interest paid resulting from changes in volume and changes in rates:

Current wording

The following table sets forth a summary of the changes in interest earned and interest paid resulting from changes in volume and changes in rates for the periods presented:

Previous wording

The provision for credit losses includes a provision for losses on loans and on unfunded commitments. The provision for credit losses fluctuates based on changes in loan balances, loan risk ratings, net loan charge-offs and recoveries, the macro environment and our CECL forecast.

Current wording

The provision for credit losses includes provisions for losses on loans and on unfunded loan commitments. The provision for credit losses fluctuates based on changes in loan balances, loan risk ratings, net loan charge-offs and recoveries, the macro environment and our Current Expected Credit Losses, or CECL, forecast.

Previous wording

Net loan charge-offs were $2.4 million and $3.5 million for the three and nine months ended September 30, 2025 compared to net loan charge-offs of $2.1 million and $8.3 million for the same periods in 2024.

Current wording

Net loan charge-offs were $1.7 million for the three months ended March 31, 2026 compared to net loan charge-offs of $0.0 million for the same period in 2025. Refer to the "Allowance for Credit Losses" section of this MD&A for further details.

Previous wording

Our effective tax rate was 20.2 percent and 20.1 percent for the three and nine months ended September 30, 2025 compared to 21.4 percent and 20.5 percent for the three and nine months ended September 30, 2024. The decrease in the effective tax rate for the three and nine months ended September 30, 2025 was primarily due to an increase in low-income housing tax credits partially offset by a decrease in tax-exempt interest income compared to the same periods in 2024.

Current wording

The provision for income taxes increased $0.7 million to $9.0 million for the three months ended March 31, 2026 compared to $8.3 million for the same period in 2025. Our effective tax rate was 20.4 percent for the three months ended March 31, 2026 compared to 19.9 percent for the for the three months ended March 31, 2025. The increase in our effective tax rate for the three months ended March 31, 2026 was primarily due to an increase in pretax income and state income tax expense compared to the same period in 2025.

Previous wording

Securities increased $13.6 million to $1.0 billion at September 30, 2025 compared to December 31, 2024 mainly due to a decrease in unrealized losses. The securities portfolio was in a net unrealized loss position of $38.8 million at September 30, 2025 compared to a net unrealized loss position of $71.7 million at December 31, 2024. The improvement in the net unrealized loss position of the securities portfolio of $32.9 million was primarily due to a decline in interest rates from December 31, 2024.

Current wording

Securities increased $21.9 million to $1.0 billion at March 31, 2026 compared to December 31, 2025. The increase in the debt securities portfolio was primarily due to purchases offset by an increase in unrealized losses as a result of higher interest rates. The securities portfolio was in a net unrealized loss position of $42.7 million at March 31, 2026 compared to a net unrealized loss position of $34.9 million at December 31, 2025.

Previous wording

Our debt securities portfolio was in a net unrealized loss position of $38.8 million at September 30, 2025 compared to a net unrealized loss position of $71.7 million at December 31, 2024. At September 30, 2025, our debt securities portfolio had gross unrealized losses of $46.1 million offset by $7.3 million of gross unrealized gains compared to gross unrealized losses of $72.7 million offset by gross unrealized gains of $1.0 million at December 31, 2024.

Current wording

The securities portfolio increased $21.9 million to $1.0 billion at March 31, 2026 compared to December 31, 2025. The increase in the debt securities portfolio was primarily related to purchases offset by an increase in unrealized losses of $7.8 million at March 31, 2026 compared to December 31, 2025 as a result of higher interest rates. Our debt securities portfolio was in a net unrealized loss position of $42.7 million at March 31, 2026 compared to a net unrealized loss position of $34.9 million at December 31, 2025. At March 31, 2026, our debt securities portfolio had gross unrealized losses of $46.3 million offset by $3.6 million of gross unrealized gains compared to gross unrealized losses of $42.4 million offset by gross unrealized gains of $7.5 million at December 31, 2025.

Previous wording

The following table summarizes our loan portfolio as of the dates presented:

Current wording

The following table summarizes our loan portfolio at the dates presented:

Previous wording

Commercial loans, including CRE, C&I and commercial construction comprised 68.2 percent of total portfolio loans at both September 30, 2025 and December 31, 2024. The commercial loan portfolio increased $158.8 million at September 30, 2025 compared to December 31, 2024 due to an increase of $265.8 million in CRE offset by decreases of $74.3 million in C&I and $32.7 million in commercial construction.

Current wording

Commercial loans, including CRE, C&I and commercial construction comprised 68.4 percent of total portfolio loans at March 31, 2026 compared to 68.5 percent at December 31, 2025. The commercial loan portfolio decreased $79.0 million at March 31, 2026 compared to December 31, 2025 due to decreases of $94.7 million in CRE and $8.3 million in C&I offset by an increase of $23.9 million in commercial construction.

Previous wording

Total portfolio loans were $8.0 billion at September 30, 2025 compared to $7.7 billion at December 31, 2024. As of September 30, 2025, 23 percent of our total loans were adjustable rate, 37 percent were floating rate and 40 percent were fixed rate compared to 24 percent adjustable rate loans, 37 percent floating rate loans and 39 percent fixed rate loans at December 31, 2024.

Current wording

Consumer loans represent 31.6 percent of our total portfolio loans at March 31, 2026 compared to 31.5 percent at December 31, 2025. The consumer loan portfolio decreased $33.6 million at March 31, 2026 compared to December 31, 2025 due to decreases of $26.2 million in consumer real estate and $7.3 million in other consumer loans. At both March 31, 2026 and December 31, 2025, 23 percent of our total loans were adjustable rate, 37 percent were floating rate and 40 percent were fixed rate.

Previous wording

Nonperforming assets, or NPAs, consist of nonaccrual loans and OREO. The following represents NPAs as of the dates presented:

Current wording

Nonperforming assets, or NPAs, consist of nonaccrual loans and OREO. The following represents NPAs at the dates presented:

Previous wording

Our policy is to place loans in all categories in nonaccrual status when collection of interest or principal is doubtful, or generally when interest or principal payments are 90 days or more past the contractual due date. Nonaccrual loans increased $21.7 million to $49.6 million at September 30, 2025 compared to $27.9 million at December 31, 2024. Nonaccrual loans have increased from an exceptionally low level and remain manageable. The increase in nonaccrual loans was primarily due to the addition of two CRE relationships totaling $23.4 million and a C&I relationship totaling $5.0 million that moved to nonaccrual during the three months ended September 30, 2025.

Current wording

Our policy is to place loans in all categories in nonaccrual status when collection of interest or principal is doubtful, or generally when interest or principal payments are 90 days or more past the contractual due date. Nonaccrual loans decreased $5.7 million to $49.9 million at March 31, 2026 compared to $55.6 million at December 31, 2025. The decrease in nonaccrual loans was primarily due to paydowns in the C&I portfolio.

Previous wording

Deposits are our primary source of funds. The following table presents the mix of deposits as of the dates presented:

Current wording

Deposits are our primary source of funds. The following table presents the composition of deposits at the dates presented:

Previous wording

Total deposits increased $138.8 million, or 1.8 percent, at September 30, 2025 compared to December 31, 2024 as a result of our continued focus on growing our deposit franchise. Customer deposits increased $163.6 million, or 2.2 percent compared to December 31, 2024. Total brokered deposits decreased $24.8 million from December 31, 2024. Brokered deposits are an additional source of funds utilized by ALCO as a way to diversify funding sources, as well as manage our funding costs and structure.

Current wording

Total deposits increased $226.4 million, or 2.8 percent, at March 31, 2026 compared to December 31, 2025 as a result of our continued focus on growing our deposit franchise. Customer deposits increased $306.5 million, or 3.9 percent, compared to December 31, 2025, driven by broad-based growth across all lines of business and nearly all product categories. While most of this increase reflects growth in our customer deposit base, a portion relates to seasonality and temporary inflows that are not expected to remain. Growth in customer deposits also enabled a reduction in brokered deposits, which decreased $80.1 million from December 31, 2025. Brokered deposits are an additional source of funds utilized by ALCO as a way to diversify funding sources, as well as manage our funding costs and structure.

Previous wording

As a member of the IntraFi network, we are able to offer our customers insurance coverage on interest-bearing demand, money market and certificates of deposit balances in excess of the FDIC insurance limits. IntraFi balances were $292.4 million at September 30, 2025 compared to $324.8 million at December 31, 2024.

Current wording

As a member of the IntraFi network, we are able to offer our customers insurance coverage on interest-bearing demand, money market and certificates of deposit balances in excess of the FDIC insurance limits. IntraFi balances were $330.4 million at March 31, 2026 compared to $317.3 million at December 31, 2025.

Previous wording

We had total uninsured deposits of $2.7 billion, or 34.5 percent of our total deposit base, at September 30, 2025 compared to $2.6 billion, or 33.5 percent of our total deposit base, at December 31, 2024.

Current wording

We had total uninsured deposits of $2.9 billion, or 35.8 percent of our total deposit base, at March 31, 2026 compared to $2.7 billion, or 33.7 percent of our total deposit base, at December 31, 2025.

Previous wording

Borrowings are an additional source of funding for us. Short-term borrowings are for terms under or equal to one year at September 30, 2025 and are comprised of FHLB Advances. Long-term borrowings are for original terms greater than one year and are comprised of FHLB advances and finance leases. Total borrowings were $235.3 million at September 30, 2025 compared to $250.3 million at December 31, 2024.

Current wording

Borrowings are an additional source of funding for us. Short-term borrowings are for terms under or equal to one year and are comprised of FHLB Advances. Long-term borrowings are for original terms greater than one year and are comprised of FHLB advances and finance leases. Total borrowings decreased $115.0 to $150.3 million at March 31, 2026 compared to $265.3 million at December 31, 2025 due to strong customer deposit growth and lower loan balances.

Previous wording

The following table presents the composition of deposits for the periods presented:

Current wording

The following table presents the composition of total borrowings at the dates presented:

Previous wording

Information pertaining to short-term borrowings is summarized in the table below for the nine months ended September 30, 2025 and for the twelve months ended December 31, 2024.

Current wording

Information pertaining to short-term borrowings is summarized in the table below for the three months ended March 31, 2026 and for the twelve months ended December 31, 2025:

Previous wording

Information pertaining to long-term borrowings and junior subordinated debt securities is summarized in the tables below for the nine months ended September 30, 2025 and for the twelve months ended December 31, 2024.

Current wording

Information for long-term borrowings and junior subordinated debt securities is summarized in the tables below for the three months ended March 31, 2026 and for the twelve months ended December 31, 2025:

Previous wording

Our primary funding and liquidity source is a stable customer deposit base. We believe S&T has the ability to retain existing deposits and attract new deposits, mitigating any funding dependency on other more volatile funding sources. Refer to the "Financial Condition as of September 30, 2025 - Deposits" section of this MD&A, for additional discussion on deposits. Although deposits are the primary source of funds, we have identified various other funding sources that can be used as part of our normal funding program. Additional funding sources accessible to S&T include borrowing availability at the FHLB, federal funds lines with other financial institutions and the brokered deposit market. We also have borrowing availability at the Federal Reserve Discount Window through the Borrower-in-Custody Program.

Current wording

Our primary funding and liquidity source is a stable customer deposit base. We believe S&T has the ability to retain existing deposits and attract new deposits, mitigating any funding dependency on other more volatile funding sources. Refer to the "Financial Condition at March 31, 2026 - Deposits" section of this MD&A, for additional discussion on deposits. Although deposits are the primary source of funds, we have identified various other funding sources that can be used as part of our normal funding program. Additional funding sources accessible to us include borrowing availability at the FHLB, Federal Reserve Discount Window through the Borrower-in-Custody Program, federal funds lines with other financial institutions and the brokered deposit market.

Previous wording

Available borrowing capacity exceeds uninsured deposits of $2.7 billion at September 30, 2025. The following table summarizes funding sources available as of the dates presented:

Current wording

Available borrowing capacity exceeds uninsured deposits of $2.9 billion at March 31, 2026. The following table summarizes funding sources available at the dates presented:

Previous wording

We have contractual obligations representing required future payments on certificates of deposit, junior subordinated debt securities, short-term borrowings, long-term borrowings, operating and capital leases, funding commitments on tax credit equity investments and purchase obligations. See the "Liquidity and Capital Resources" section presented in our Form 2024 10-K under Part II, Item 7- "Management’s Discussion and Analysis of Financial Condition and Results of Operations" for more information on these future cash outflows. There have been no material changes to the contractual obligations previously disclosed in our 2024 Form 10-K.

Current wording

We have contractual obligations representing required future payments on certificates of deposit, junior subordinated debt securities, short-term borrowings, long-term borrowings, operating and capital leases, funding commitments on tax credit equity investments and purchase obligations. See the "Liquidity and Capital Resources" section presented in our 2025 Form 10-K under Part II, Item 7- "Management’s Discussion and Analysis of Financial Condition and Results of Operations" for more information on these future cash outflows. There have been no material changes to the contractual obligations previously disclosed in our 2025 Form 10-K.

Previous wording

An important component of our ability to effectively respond to potential liquidity stress events is maintaining a cushion of highly liquid assets. Highly liquid assets are those that can be converted to cash quickly to meet financial obligations. ALCO policy guidelines define a ratio of highly liquid assets to total assets by graduated risk tolerance levels of minimal, moderate and high. At September 30, 2025, S&T Bank had $872.8 million in highly liquid assets, which consisted primarily of $121.2 million in interest-bearing deposits with banks and $751.6 million in unpledged securities. This resulted in a highly liquid assets to total assets ratio of 8.9 percent at September 30, 2025.

Current wording

An important component of our ability to effectively respond to potential liquidity stress events is maintaining a cushion of highly liquid assets. Highly liquid assets are those that can be converted to cash quickly to meet financial obligations. ALCO policy guidelines define a ratio of highly liquid assets to total assets by graduated risk tolerance levels of minimal, moderate and high. At March 31, 2026, S&T Bank had $1.0 billion in highly liquid assets which consisted primarily of $276.0 million in interest-bearing deposits with banks and $763.0 million in unpledged securities. This resulted in a highly liquid assets to total assets ratio of 10.5 percent at March 31, 2026.

Previous wording

We continue to maintain a strong capital position with our capital ratios in excess of the well-capitalized regulatory guidelines. The following table summarizes capital amounts and ratios for S&T and S&T Bank as of the dates presented:

Current wording

We continue to maintain a strong capital position with our capital ratios in excess of the well-capitalized regulatory guidelines. The following table summarizes capital amounts and ratios for S&T and S&T Bank at the dates presented: