AI Earnings Predictions for Financial Institutions Inc. (FISI)

EX-99.1

2 fisi-ex99_1.htm

EX-99.1

EX-99.1

Exhibit 99.1

Financial Institutions, Inc. Reports Net Income Available to Common Shareholders of $20.8 million, or $1.04 per Diluted Share, for the Second Quarter of 2026

The Company's community bank subsidiary delivered strong loan growth of 2.7% during the quarter and its wealth manager's assets under management surpassed a new milestone of $4.0 billion

WARSAW, N.Y., July 23, 2026 – Financial Institutions, Inc. (NASDAQ: FISI) (the "Company," "we" or "us") today reported financial and operational results for the second quarter ended June 30, 2026, reflecting strong performance by subsidiaries Five Star Bank (the "Bank") and Courier Capital, LLC ("Courier Capital"), including healthy loan growth, all-time-high assets under management ("AUM") and sustained profitability.

KEY FINANCIAL METRICS

Quarter-over-Quarter

("QoQ")

Year-over-Year

("YoY")

Dollars in thousands, except per share data Return metrics annualized

Q2 2026

Q1 2026

Q2 2025

Variance

%

Variance

%

Net income

$

21,184

$

20,985

$

17,532

$

199

0.9

%

$

3,652

20.8

%

Net income available to common shareholders

20,819

20,621

17,168

198

1.0

%

3,651

21.3

%

Diluted earnings per common share

$

1.04

$

1.04

$

0.85

$

-

0.0

%

$

0.19

22.4

%

Return on average assets

1.35

%

1.37

%

1.13

%

(2

)

bps

22

bps

Return on average equity

13.31

%

13.43

%

11.78

%

(12

)

bps

153

bps

Return on average tangible common equity(1)

14.88

%

15.04

%

13.27

%

(16

)

bps

161

bps

Efficiency ratio

55.33

%

57.06

%

59.68

%

(173

)

bps

(435

)

bps

Total loans (end of period)

$

4,752,965

$

4,627,587

$

4,536,002

$

125,378

2.7

%

$

216,963

4.8

%

Total deposits (end of period)

$

5,299,465

$

5,337,881

$

5,156,014

$

(38,416

)

-0.7

%

$

143,451

2.8

%

Second Quarter 2026 Highlights and Key Developments

• Total loans of $4.75 billion at June 30, 2026 grew 2.7% from March 31, 2026, driven by robust commercial lending, while deposits of $5.30 billion were down modestly quarter-over-quarter, reflecting public deposit seasonality.

• Net interest income reached a new quarterly high of $53.4 million and net interest margin of 3.70% reflected expansion of 3 and 21 basis points from the linked and year-ago quarters, respectively.

• Noninterest income of $11.0 million was up 2.6% and 3.2% from the linked and year-ago quarters, respectively, supported by increased investment advisory fees as Courier Capital's AUM surpassed $4.0 billion.

• The efficiency ratio improved to 55%, reflecting both strong revenue generation and disciplined expense management, as noninterest expense of $35.6 million held flat with the linked quarter.

• Net charge-offs were 0.11% of average loans in the second quarter of 2026, while the ratio of allowance for credit losses on loans to total loans increased to 1.00% at June 30, 2026.

"We delivered another quarter of strong and profitable results, highlighted by annualized loan growth of more than 10%, healthy revenue generation and prudent expense management," said President and Chief Executive Officer Martin K. Birmingham. "Commercial loan growth was robust, driven by our core Western and Central New York markets, and our pipelines are healthy heading into the second half of the year. In our wealth business, assets under management grew to more than $4.0 billion as of June 30, 2026, as new business activity complemented market performance. Overall, our results continue to reflect disciplined execution by each of our business lines and our commitment to sustainable profitability and long-term value creation."

Chief Financial Officer and Treasurer W. Jack Plants II added, "Our disciplined approach to managing funding costs supported further net interest margin expansion to 3.70% for the second quarter. Given current rate dynamics, we are beginning to see deposit costs level off and remain focused on preserving margin stability amid a competitive environment. Heading into the third quarter, we remain focused on deposit retention and acquisition, credit disciplined loan growth and effective expense management. Capital strength remains a key pillar of our financial performance, with a tangible common equity ratio(1) of 9.02%, a common equity Tier 1 ratio of 11.44%, and a return on average tangible common equity(1) of 14.88%."

Net Interest Income and Net Interest Margin

NET INTEREST INCOME

QoQ

YoY

Dollars in thousands

Q2 2026

Q1 2026

Q2 2025

Variance

%

Variance

%

Interest income

$

83,076

$

81,563

$

82,867

$

1,513

1.9

%

$

209

0.3

%

Interest expense

29,715

29,570

33,745

145

0.5

%

(4,030

)

-11.9

%

Net interest income

53,361

51,993

49,122

1,368

2.6

%

4,239

8.6

%

Net interest margin (tax-equivalent basis)(2)

3.70

%

3.67

%

3.49

%

3

bps

21

bps

Average interest-earning assets

$

5,785,900

$

5,724,534

$

5,651,374

$

61,366

1.1

%

$

134,526

2.4

%

Average in

EX-99.1

2 fisi-ex99_1.htm

EX-99.1

EX-99.1

Exhibit 99.1

Financial Institutions, Inc. Reports Net Income Available to Common Shareholders of $20.6 million, or $1.04 per Diluted Share, for the First Quarter of 2026

Results highlighted by robust earnings and strong profitability metrics, including a 28.4% year-over-year increase in earnings per diluted share, return on average assets of 1.37%, return on average equity of 13.43% and an efficiency ratio of 57%

WARSAW, N.Y., April 23, 2026 – Financial Institutions, Inc. (NASDAQ: FISI) (the "Company," "we" or "us"), parent company of Five Star Bank (the "Bank") and Courier Capital, LLC ("Courier Capital"), today reported financial and operational results for the first quarter ended March 31, 2026, that reflect the Company's strong focus on high quality earnings and sustained profitability.

The Company reported net income of $21.0 million in the first quarter of 2026, compared to net income of $20.0 million in the fourth quarter of 2025 and $16.9 million in the first quarter of 2025. After preferred stock dividends, net income available to common shareholders was $20.6 million, or $1.04 per diluted share, in the first quarter of 2026, compared to net income of $19.6 million, or $0.96 per diluted share, in the fourth quarter of 2025, and $16.5 million, or $0.81 per diluted share, in the first quarter of 2025.

First Quarter 2026 Highlights and Key Developments:

• Net interest margin of 3.67% reflected expansion of 5 and 32 basis points from the linked and year-ago quarters, respectively.

• Return on average assets of 1.37% and efficiency ratio of 57% reflected strong revenue generation, supported by net interest income of $52.0 million and noninterest income of $10.7 million, as well as disciplined expense management, as noninterest expenses totaled $35.6 million for the first quarter of 2026.

• Total loans of $4.63 billion at March 31, 2026 were up $74.3 million, or 1.6%, from March 31, 2025, driven by commercial lending in the Bank's Western and Central New York markets. While loans were down modestly on a linked quarter basis, reflecting higher payoffs and paydowns, we continue to target full year growth of 5%.

• Total deposits at March 31, 2026 were $5.34 billion, up $131.5 million, or 2.5%, from December 31, 2025, and down modestly from March 31, 2025, primarily due to lower use of brokered deposits year-over-year and the completion of the Company's BaaS wind-down.

• The Company's strong capital position enabled the repurchase of 163,197 common shares at an average price of $31.50 per share, during the quarter. Since December 2025, the Company has repurchased 500,066 shares, reflecting our commitment to maximizing capital in the best interest of shareholders.

• In February, the Company's Board of Directors approved a 3.2% increase in its quarterly cash dividend to $0.32 per common share, a reflection of both its ongoing commitment to building shareholder value and its confidence in the Company’s long-term sustainable growth strategy.

"Our first quarter results demonstrate the strength of our community bank franchise, disciplined execution by our team and focus on profitability, which came together to support a more than 28% year-over-year increase in earnings per diluted share, a 27-basis-point year-over-year expansion of return on average assets, and further improvement in our efficiency ratio," said President and Chief Executive Officer Martin K. Birmingham. "Credit-disciplined loan production remains a priority for our team, and while first quarter originations were offset by higher-than-typical payoffs and paydowns, our pipelines are healthy and continue to build, supporting our confidence in our 5% full year 2026 loan growth target. We also continue to expect full-year charge-off activity to fall within our guided range, even with first quarter’s charge-off of a portion of a single commercial exposure, which as previously disclosed has been on nonaccrual status and for which specific reserve was in place. Heading into the second quarter, we remain committed to building full relationships with current and prospective customers, demonstrating continued expense discipline and generating profitable growth in 2026."

Chief Financial Officer and Treasurer W. Jack Plants II added, "During the first quarter, we continued the execution of our strategic actions to further strengthen our capital position and enhance shareholder value. As previously disclosed, in January we completed the refinancing of $65.0 million of legacy sub-debt issuances. We also continued to return capital to shareholders during the first quarter through the repurchase of 163,197 common shares and the increase of our common stock dividend by 3.2%. We delivered meaningful expansion in our return on average tangible common equity ratio(1), which increased to 15.04%, up 102 basis points from the linked quarter and 168 basis points from the prior year quarter. Collectively, these resul

EX-99.1

2 fisi-ex99_1.htm

EX-99.1

EX-99.1

Exhibit 99.1

Financial Institutions, Inc. Reports Net Income Available to Common Shareholders of $19.6 million, or $0.96 per Diluted Share, for the Fourth Quarter of 2025 and $73.4 million, or $3.61 per Diluted Share, for Full Year 2025

Quarterly and annual results reflect strong performance across the Company's commercial banking, consumer banking and wealth management business lines

WARSAW, N.Y., January 29, 2026 – Financial Institutions, Inc. (NASDAQ: FISI) (the "Company," "we" or "us"), parent company of Five Star Bank (the "Bank") and Courier Capital, LLC ("Courier Capital"), today reported financial and operational results for the fourth quarter and year ended December 31, 2025, that reflect the Company's continued focus on profitable, organic growth.

The Company reported net income of $20.0 million in the fourth quarter of 2025, compared to net income of $20.5 million in the third quarter of 2025 and net loss of $82.8 million in the fourth quarter of 2024. After preferred stock dividends, net income available to common shareholders was $19.6 million, or $0.96 per diluted share, in the fourth quarter of 2025, compared to net income of $20.1 million, or $0.99 per diluted share, in the third quarter of 2025, and net loss of $83.2 million, or $5.07 per diluted share, in the fourth quarter of 2024.

For full year 2025, the Company reported net income of $74.9 million, compared to net loss of $41.6 million in 2024. After preferred dividends, net income available to common shareholders was $73.4 million, or $3.61 per diluted share, for 2025, compared to net loss of $43.1 million, or $2.75 per diluted share, for 2024.

Fourth Quarter and Full Year 2025 Highlights:

• In December 2025, the Company completed a private placement of $80.0 million of fixed-to-floating rate subordinated notes. The Notes received a BBB- rating from Kroll Bond Rating Agency, which revised the Company’s long-term outlook to Stable, reflecting sustained improvement in its profitability and its enhanced capital position.

• Net interest income reached quarterly and annual records of $52.2 million and $200.0 million, respectively, while full year net interest margin of 3.53% expanded 67 basis points year-over-year, and fourth quarter 2025 margin of 3.62% was down 3 basis points from the linked quarter, primarily driven by the impact of the December 2025 subordinated debt offering, and up 71 basis points from the year-ago quarter.

• Noninterest income was $11.9 million and $45.0 million for the quarter and year, respectively, benefiting from robust swap activity, growth in investment advisory income and AUM, and company owned life insurance ("COLI") income benefiting from the surrender and redeploy strategy initiated in January 2025.

• Total loans were $4.66 billion at December 31, 2025, reflecting increases of $67.4 million, or 1.5%, from September 30, 2025, and $178.7 million, or 4.0%, from December 31, 2024. Commercial loans grew $90.9 million, or 3.0%, during the quarter and $215.7 million, or 7.5%, during the year, to reach $3.08 billion.

• Total deposits were $5.21 billion at December 31, 2025, down $151.5 million, or 2.8%, from September 30, 2025, reflecting public deposit seasonality and a reduction in brokered deposits, and up $101.6 million, or 2.0%, from December 31, 2024, led by growth in reciprocal and public deposits that are anchored by commercial and public relationships.

• Strong capital position enabled the repurchase of 336,869 common shares, or 1.7% of shares outstanding, at an average price of $31.98 per share, during the quarter.

• Allowance for credit losses on loans to total loans was 1.02% at year-end 2025, compared to 1.03% at September 30, 2025, and 1.07% one year prior.

"Our 2025 performance reflects our team's strong execution against the targets we laid out at the start of this year and success in delivering profitable organic growth, highlighted by full year return on average assets and return on average

equity of 1.20% and 12.38%, respectively, and an efficiency ratio of 58%. In 2025, our Board also approved a more than 3% increase in our quarterly dividend as well as a new stock repurchase plan, which we've since activated, reflecting its confidence in our ability to deliver consistent financial results and execute against our strategic priorities to deliver long-term value to shareholders," said President and Chief Executive Officer Martin K. Birmingham. "Strong demand from commercial borrowers in our core Upstate New York footprint drove full year loan growth of 4% and annualized fourth quarter growth of 6%. We also saw healthy commercial deposit growth in the fourth quarter, which is a testament to the value that relationship-based community banking provides small and mid-sized businesses in our markets. Deposit retention and acquisition remain a strong focus as we head into 2026."

Chief Financial Officer and Treasurer W. Jack Plants II added, "We