Byline Bancorp (BY) investor relations material

Executive summary

• Net income for Q1 2026 was $37.6 million, up 33% year-over-year and 8.9% sequentially, with diluted EPS of $0.83, driven by higher net interest income and lower provision for credit losses.

• Return on average assets (ROAA) reached 1.56%, and return on average tangible common equity (ROTCE) was 13.77%.

• Total assets reached $9.9 billion, with $7.5 billion in loans and leases and $7.8 billion in deposits as of March 31, 2026.

• Tangible book value per share increased to $23.79, up 1.5% sequentially and 14% year-over-year.

• Recognized as a top employer and continued leadership as the #1 SBA 7 lender in Illinois for the 16th year.

Financial highlights

• Net interest income was $99.9 million, up 13.2% year-over-year but down 1.4% sequentially, with a stable net interest margin of 4.33%.

• Non-interest income was $12.5 million, impacted by negative fair value marks on loan servicing assets and equity securities, and lower swap fee income.

• Non-interest expense was $57.2 million, down 5.3% sequentially, with an improved efficiency ratio of 49.78%.

• Provision for credit losses dropped to $5.5 million, reflecting improved asset quality.

• Return on average equity was 11.43%.

Outlook and guidance

• Expecting full-year loan growth in the mid-single digits, with strong pipelines across all business segments.

• Net interest income guidance for Q2 is $99–$101 million, assuming no rate changes in 2026.

• Non-interest income expected in the $14–$15 million range for Q2; gain on sale to average $5.5 million per quarter.

• Non-interest expense guidance remains at $58–$60 million per quarter for the year.

• Management expects the effective tax rate for 2026 to be approximately 25-27%.