WESBANCO INC

Table 35: Non-Interest Income

*NM = Not Meaningful

(1)

Includes a loss of $0.8 million and a loss of $0.6 million from the fair value adjustments on mortgage loan commitments and related derivatives for the three months ended September 30, 2026 and 2025, respectively.

Non-interest income is a significant source of revenue and an important part of Wesbanco’s results of operations, as it represents 16.8% of total revenue for the three months ended September 30, 2026. Wesbanco offers its customers a wide range of retail, commercial, investment and digital banking services, which are viewed as a vital component of Wesbanco’s ability to attract and maintain customers, as well as providing additional fee income beyond normal spread-related income to Wesbanco. For the third quarter of 2026, non-interest income increased $1.0 million, or 2.2%, compared to the third quarter of 2025, primarily due to increases in net swap fee and valuation income, service charges on deposits, trust fees, and bank-owned life insurance, partially offset by a decline in mortgage banking income and net securities gains.

Trust fees increased $0.7 million, or 7.6%, in the third quarter of 2026 compared to the third quarter of 2025, and $2.6 million, or 9.5%, in the first nine months of 2026 compared to the same period in 2025. The increase in both comparisons was due to a $0.4 billion appreciation of trust assets from the prior year, which increased trust fee revenue.

Service charges on deposits increased $1.1 million, or 9.9%, in the third quarter of 2026 compared to the third quarter of 2025, and $4.5 million, or 15.0%, in the first nine months of 2026 compared to the same period in 2025. The increase in both comparisons was due to an increase in monthly fees that took effect during June, as well as increased general spending and higher transaction volumes.

Net swap fee and valuation income increased $1.6 million in the third quarter of 2026 compared to the third quarter of 2025, due to an increase in fair value adjustments on existing swaps, partially offset by a decrease in swap fee income. For the three months ended September 30, 2026, new swaps executed of $176.4 million in notional principal resulted in $2.8 million of fee income as compared to new swaps executed of $289.1 million in notional principal, resulting in $3.2 million of fee income for the three months ended September 30, 2025. Fair value adjustments on existing swaps for the three months ended September 30, 2026 were a positive $2.1 million compared to a negligible gain for the three months ended September 30, 2025. Net swap fee and valuation income increased $4.1 million in the first nine months of 2026 compared to the same period in 2025, due to an increase in fair value adjustments on existing swaps of $3.9 million and an increase in new swap fee income of $0.2 million.

Bank-owned life insurance increased $0.5 million, or 14.5%, in the third quarter of 2026 compared to the third quarter of 2025, and $1.8 million, or 16.9%, in the first nine months of 2026 compared to the same period in 2025. The increase in both comparisons was primarily due to increases in cash value and mortality benefits.

Net securities gains decreased $1.4 million in the third quarter of 2026 compared to the third quarter of 2025, and $0.8 million, or 35.7% in the first nine months of 2026 compared to the same period in 2025. The decrease in both comparisons was primarily due to a decrease in the market value adjustments of trading securities related to deferred compensation.

Mortgage banking income decreased $1.8 million in the third quarter of 2026 compared to the third quarter of 2025, and $3.3 million in the first nine months of 2026 compared to the same period in 2025. The decrease in both comparisons was due to a decline in actual gain on sale of mortgages and a decrease in fair value adjustments on mortgage derivatives. For the third quarter of 2026, total mortgage production was $301.4 million, which increased 23.5% compared to the third quarter of 2025. For the three months ended September 30, 2026, $95.7 million in mortgages were sold into the secondary market compared to $126.2 million in the comparable 2025 period.

NON-INTEREST EXPENSE