Nicolet Bankshares, Inc. Announces Second Quarter 2026 Earnings

Nicolet Bankshares, Inc. (NYSE: NIC) (“Nicolet”) announced net income of $57 million and earnings per diluted common share of $2.62 for second quarter 2026, compared to net income of $15 million and earnings per diluted common share of $0.81 for first quarter 2026, and net income of $36 million and earnings per diluted common share of $2.34 for second quarter 2025. Net income included certain non-core items, mostly merger-related expenses, that negatively impacted earnings per diluted common share $0.37 for second quarter 2026 and $1.94 for first quarter 2026, resulting in core diluted earnings per common share (non-GAAP) of $2.99 and $2.75, respectively.

“Our second quarter results reflect the strength of the Nicolet model and the disciplined execution of our team,” said Mike Daniels, Chairman, President, and CEO of Nicolet. “Core earnings remained strong, net interest margin expanded, credit quality continued to perform well, allowing us to repurchase stock throughout the quarter, and tangible book value increased. I’m particularly pleased with the progress we’ve made integrating MidWestOne. Throughout the process, our teams have remained focused on serving our clients while executing our integration plan. As we complete our conversion later this summer and begin fully realizing our planned cost savings, we’ll be in a stronger position to restore the high level of profitability and returns that have historically defined Nicolet.”

Daniels added, “From a balance sheet perspective, we continued to improve the composition of both our loan and deposit portfolios during the quarter. While period-end balances were relatively stable, we continue to see a shift toward higher-yielding in-market commercial loans, supported by growth in lower-cost core deposits. This combined with the momentum we’re seeing across our markets and the opportunities we’ve created in Iowa and Minnesota, those trends support continued margin expansion and position us well to deliver solid organic growth through the balance of 2026.”

Nicolet’s financial performance and certain balance sheet line items were impacted by the timing and size of the MidWestOne Financial Group, Inc. (“MidWestOne”) acquisition on February 13, 2026. Certain income statement results, average balances, and related ratios for 2026 include partial contributions from MidWestOne from the acquisition date. At acquisition, MidWestOne added total assets of $6.1 billion, loans of $4.4 billion, and deposits of $5.3 billion.

Balance Sheet Review

At June 30, 2026, period end assets were $15.4 billion, a decrease of $160 million from March 31, 2026, largely due to lower cash and cash equivalents. Total loans decreased $32 million from March 31, 2026, while investments grew $20 million. Total deposits of $12.5 billion at June 30, 2026, decreased $101 million from March 31, 2026, including a $100 million decrease in brokered deposits and a $1 million decrease in core deposits. Long-term borrowings decreased $87 million from the prior quarter due to the early redemption of junior subordinated debentures. Total capital was $2.3 billion at June 30, 2026, an increase of $15 million over March 31, 2026, with earnings offset by common stock repurchases and the quarterly common stock dividend.

Asset Quality

Nonperforming assets were $75 million and represented 0.49% of total assets at June 30, 2026, compared to $79 million (0.51% of total assets) at March 31, 2026. The allowance for credit losses-loans was $134 million and represented 1.23% of total loans at June 30, 2026, compared to $133 million (or 1.23% of total loans) at March 31, 2026. Asset quality trends remain solid and loan net charge-offs were negligible.

Income Statement Review – Quarter

Net income was $57 million for second quarter 2026, compared to net income of $15 million for first quarter 2026.

Net interest income was $141 million for second quarter 2026, $32 million (29%) higher than first quarter 2026, the net of a $43 million increase in interest income and an $11 million increase in interest expense. Average interest-earning assets of $13.9 billion were up $2.6 billion from first quarter 2026, with higher average loans (up $2.1 billion) and higher average securities (up $567 million), mostly due to the inclusion of a full quarter of MidWestOne balances. Average interest-bearing liabilities of $10.4 billion were up $2.0 billion from first quarter 2026, also attributable to a full quarter of MidWestOne balances.

The net interest margin for second quarter 2026 was 4.14%, compared to 3.98% for first quarter 2026, with a portion of the increase attributable to loan purchase accounting accretion (which added 23 bps and 18 bps to second and first quarter net interest margin, respectively). The yield on interest-earning assets increased 13 bps (to 5.86%), including an 8 bps increase in loan yield (to 6.26%) as well as a higher investment yield from the discount accretion on the early call of a municipal bond and a full quarter of purchase accretion. On the funding side, the cost of interest-bearing liabilities for second quarter 2026 decreased 7 bps (to 2.29%), benefitting from a full quarter of the lower core deposit funding costs from MidWestOne.

Noninterest income was $36 million for second quarter 2026, up $11 million compared to first quarter 2026. Excluding net asset gains (losses), noninterest income was up $8 million, including a $1 million increase in wealth management fee income, a $1 million increase in service charges on deposit accounts, and a $2 million increase in card interchange income, all mostly due to the MidWestOne acquisition. Net asset gains were $2 million for second quarter 2026 (mostly due to favorable market valuations on an equity investment), compared to net asset losses of $1 million for first quarter 2026 (comprised primarily of a write-down on an equity investment).

Noninterest expense was $104 million for second quarter 2026, a $6 million decrease from first quarter 2026, mostly due to a $33 million decrease in merger-related expense offset by a full quarter of MidWestOne expenses. Personnel expense increased $12 million from first quarter 2026, reflecting the larger employee base post-acquisition. Non-personnel expense decreased $18 million from first quarter 2026, and included the decrease in merger-related expense, offset by higher overall expense for a full quarter of the larger operating base and a $5 million loss on the early redemption of junior subordinated debentures.

Sale of Denver Branches

On April 21, 2026, Nicolet National Bank entered into a definitive purchase and assumption agreement to sell its Denver, Colorado banking branches (acquired in the MidWestOne transaction) to Sunwest Bank. This transaction is an all-cash deal that has been approved by the respective boards of directors, has received regulatory approval, and is expected to close in third quarter 2026, subject to standard closing conditions. As of June 30, 2026, the Denver locations had total loans of approximately $402 million and deposits of approximately $388 million.

Declaration of Quarterly Cash Dividend to Shareholders

On July 21, 2026, Nicolet’s Board of Directors declared a quarterly cash dividend of $0.36 per share to holders of its common stock. The dividend is payable on September 15, 2026, to shareholders of record as of September 1, 2026.

Next Quarterly Earnings Release

Nicolet expects to issue the third quarter 2026 earnings release on October 20, 2026.

About Nicolet Bankshares, Inc.

Nicolet Bankshares, Inc. is the bank holding company of Nicolet National Bank, a growing, full-service, community bank providing services ranging from commercial, agricultural and consumer banking to wealth management and retirement plan services. Founded in Green Bay in 2000, Nicolet National Bank operates branches primarily in Wisconsin, Iowa, Michigan, and Minnesota. More information can be found at www.nicoletbank.com.

Use of Non-GAAP Financial Measures

This communication contains non-GAAP financial measures, such as core net income, core diluted earnings per common share, core return on average assets, core return on average common equity, return on average tangible common equity, core return on average tangible common equity, tangible book value per common share, and tangible common equity to tangible assets. When non-GAAP financial measures are used, the comparable GAAP financial measures, as well as the reconciliation of the non-GAAP measures to the GAAP financial measures, are provided. See “Reconciliation of Non-GAAP Financial Measures (Unaudited)” below. The non-GAAP net income measure and related reconciliation provide information useful to investors in understanding the operating performance and trends of Nicolet and also aid investors in comparing Nicolet’s financial performance to the financial performance of peer banks. Management considers non-GAAP financial ratios to be critical metrics with which to analyze and evaluate financial condition and capital strengths. While non-GAAP financial measures are frequently used by stakeholders in the evaluation of a company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analyses of results as reported under GAAP.

Forward Looking Statements “Safe Harbor” Statement Under the Private Securities Litigation Reform Act of 1995

This communication contains statements that constitute “forward-looking statements” within the meaning, and subject to the protections of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements. Such statements include, but are not limited to, statements related to the core conversion of the integration process of the Nicolet/MidWestOne merger and resulting cost savings, the expected return to historic levels of profitability, the expected closing date of the sale of our Denver branches, and other statements that may not be historical facts. You can identify these forward-looking statements through the use of words such as “anticipate,” “believe,” “assume,” “aim,” “can,” “conclude,” “continue,” “could,” “estimate,” “expect,” “foresee,” “goal,” “intend,” “may,” “might,” “outlook,” “possible,” “plan,” “predict,” “project,” “potential,” “seek,” “should,” “target,” “will,” “will likely,” “would,” or the negative of these terms or other comparable terminology, as well as similar expressions of the future or otherwise regarding the outlook for Nicolet’s, MidWestOne’s or the combined company’s future businesses and financial performance and/or the performance of the banking industry and economy in general.

Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and express only management’s beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management’s control or predict. A number of factors could cause actual results and outcomes to differ materially from those contemplated by these forward-looking statements. These factors include, but are not limited to: (1) the risk that integration of MidWestOne’s and Nicolet’s respective businesses will be materially delayed or will be more costly or difficult than expected, including as a result of unexpected factors or events; (2) the parties’ inability to meet expectations regarding the timing of the proposed sale of the Denver branches; and (3) the failure to satisfy other conditions to completion of the proposed sale, or any unexpected delay in closing the proposed transaction or the occurrence of any event, change or other circumstances that could give rise to the termination of the purchase and assumption agreement.

All forward-looking statements included in this communication are made as of the date hereof and are based on information available to management at that time. Except as required by law, Nicolet does not assume any obligation to update any forward-looking statement to reflect events or circumstances that occur after the date the forward-looking statements were made.

Nicolet Bankshares, Inc.
Consolidated Balance Sheets (Unaudited)
(In thousands, except share data)		6/30/2026				3/31/2026				12/31/2025				9/30/2025				6/30/2025
Assets
Cash and due from banks		$	153,492			$	123,359			$	107,956			$	94,402			$	129,607
Interest-earning deposits			311,756				492,092				552,276				379,555				293,031
Cash and cash equivalents			465,248				615,451				660,232				473,957				422,638
Securities available for sale, at fair value			2,006,963				1,986,946				859,834				861,534				849,253
Other investments			116,575				99,835				63,247				61,380				59,594
Loans held for sale			19,388				16,627				13,620				11,308				9,955
Other assets held for sale			411,348				400,443				—				—				—
Loans			10,848,164				10,879,694				6,836,345				6,874,711				6,839,141
Allowance for credit losses – loans			(133,584	)			(133,435	)			(68,806	)			(68,785	)			(68,408	)
Loans, net			10,714,580				10,746,259				6,767,539				6,805,926				6,770,733
Premises and equipment, net			189,197				187,876				120,462				121,711				123,723
Bank owned life insurance (“BOLI”)			296,095				293,790				192,498				190,979				189,342
Goodwill and other intangibles, net			961,687				967,843				382,400				383,693				385,107
Accrued interest receivable and other assets			233,538				259,420				125,275				118,942				120,464
Total assets		$	15,414,619			$	15,574,490			$	9,185,107			$	9,029,430			$	8,930,809
Liabilities and Stockholders’ Equity
Liabilities:
Noninterest-bearing demand deposits		$	2,717,610			$	2,537,729			$	1,828,928			$	1,826,453			$	1,800,335
Interest-bearing deposits			9,805,726				10,086,635				5,901,843				5,785,012				5,741,338
Total deposits			12,523,336				12,624,364				7,730,771				7,611,465				7,541,673
Long-term borrowings			92,750				179,968				134,860				134,600				134,340
Other liabilities held for sale			388,060				385,882				—				—				—
Accrued interest payable and other liabilities			138,999				127,399				61,814				68,405				64,698
Total liabilities			13,143,145				13,317,613				7,927,445				7,814,470				7,740,711
Stockholders’ Equity:
Common stock			211				213				148				148				149
Additional paid-in capital			1,552,947				1,589,992				583,257				581,815				601,625
Retained earnings			755,311				706,099				697,799				662,252				625,243
Accumulated other comprehensive income (loss)			(36,995	)			(39,427	)			(23,542	)			(29,255	)			(36,919	)
Total stockholders’ equity			2,271,474				2,256,877				1,257,662				1,214,960				1,190,098
Total liabilities and stockholders’ equity		$	15,414,619			$	15,574,490			$	9,185,107			$	9,029,430			$	8,930,809
Common shares outstanding			21,060,762				21,316,619				14,811,445				14,798,895				14,924,086

Nicolet Bankshares, Inc.
Consolidated Statements of Income (Unaudited)
		For the Three Months Ended																	For the Six Months Ended
(In thousands, except per share data)		6/30/2026			3/31/2026				12/31/2025			9/30/2025			6/30/2025				6/30/2026			6/30/2025
Interest income:
Loans, including loan fees		$	174,705		$	139,784			$	106,579		$	107,930		$	105,976			$	314,489		$	206,642
Taxable investment securities			19,305			11,955				6,294			6,201			6,027				31,260			11,587
Tax-exempt investment securities			1,692			1,358				972			998			1,017				3,050			2,066
Other interest income			5,202			5,115				6,393			5,204			4,618				10,317			10,084
Total interest income			200,904			158,212				120,238			120,333			117,638				359,116			230,379
Interest expense:
Deposits			57,321			46,656				37,622			39,312			40,472				103,977			79,937
Short-term borrowings			—			—				1			—			—				—			—
Long-term borrowings			2,112			1,997				1,721			1,757			2,057				4,109			4,127
Total interest expense			59,433			48,653				39,344			41,069			42,529				108,086			84,064
Net interest income			141,471			109,559				80,894			79,264			75,109				251,030			146,315
Provision for credit losses			1,500			6,050				750			950			1,050				7,550			2,550
Net interest income after provision for credit losses			139,971			103,509				80,144			78,314			74,059				243,480			143,765
Noninterest income:
Wealth management fee income			11,738			10,655				8,196			7,629			6,811				22,393			13,786
Mortgage income, net			3,624			3,539				3,653			3,568			2,907				7,163			4,833
Service charges on deposit accounts			4,139			3,149				2,016			2,000			1,962				7,288			3,987
Card interchange income			6,332			4,228				3,772			3,752			3,699				10,560			7,036
BOLI income			2,305			1,882				1,857			1,654			1,429				4,187			2,849
Asset gains (losses), net			2,364			(867	)			422			1,294			(199	)			1,497			(553	)
Deferred compensation plan asset market valuations			1,947			(277	)			465			972			1,437				1,670			1,482
LSR income, net			778			711				644			668			950				1,489			2,007
Other noninterest income			3,052			2,274				2,067			2,082			1,637				5,326			3,429
Total noninterest income			36,279			25,294				23,092			23,619			20,633				61,573			38,856
Noninterest expense:
Personnel expense			50,612			38,159				30,233			29,437			29,114				88,771			55,635
Occupancy, equipment and office			16,398			12,375				9,169			9,028			9,104				28,773			18,434
Business development and marketing			3,184			2,337				2,093			2,223			1,593				5,521			3,693
Data processing			7,758			6,185				4,691			4,671			4,682				13,943			9,207
Intangibles amortization			6,156			4,096				1,293			1,414			1,481				10,252			3,033
FDIC assessments			1,801			1,275				1,033			1,005			1,029				3,076			1,969
Merger-related expense			7,403			40,686				1,956			—			—				48,089			—
Other noninterest expense			10,452			4,682				2,571			2,310			2,916				15,134			5,735
Total noninterest expense			103,764			109,795				53,039			50,088			49,919				213,559			97,706
Income before income tax expense			72,486			19,008				50,197			51,845			44,773				91,494			84,915
Income tax expense			15,585			3,812				9,873			10,110			8,738				19,397			16,288
Net income		$	56,901		$	15,196			$	40,324		$	41,735		$	36,035			$	72,097		$	68,627
Earnings per common share:
Basic		$	2.68		$	0.83			$	2.72		$	2.81		$	2.40			$	3.65		$	4.53
Diluted		$	2.62		$	0.81			$	2.65		$	2.73		$	2.34			$	3.56		$	4.42
Common shares outstanding:
Basic weighted average			21,208			18,232				14,804			14,836			15,029				19,728			15,142
Diluted weighted average			21,729			18,749				15,227			15,303			15,431				20,246			15,538

Nicolet Bankshares, Inc.
Consolidated Financial Summary (Unaudited)
		For the Three Months Ended																				For the Six Months Ended
(In thousands, except share & per share data)		6/30/2026				3/31/2026				12/31/2025				9/30/2025				6/30/2025				6/30/2026				6/30/2025
Selected Average Balances:
Loans		$	11,259,572			$	9,194,624			$	6,858,444			$	6,843,189			$	6,833,236			$	10,232,803			$	6,772,060
Investment securities			2,046,717				1,479,693				902,147				903,839				900,469				1,764,771				893,280
Interest-earning assets			13,857,424				11,235,506				8,381,031				8,206,651				8,140,178				12,553,708				8,109,756
Cash and cash equivalents			553,075				576,905				634,751				480,208				423,272				564,924				460,363
Goodwill and other intangibles, net			964,140				642,403				382,956				384,296				385,735				804,160				386,494
Total assets			15,479,444				12,429,336				9,163,123				8,984,344				8,909,653				13,962,816				8,879,698
Deposits			12,922,613				10,386,008				7,717,321				7,583,986				7,504,224				11,661,318				7,475,325
Interest-bearing liabilities			10,400,080				8,363,619				5,989,196				5,911,850				5,972,117				9,387,475				5,962,651
Stockholders’ equity (common)			2,262,902				1,792,181				1,234,619				1,194,974				1,183,316				2,028,842				1,181,104
Selected Ratios: (1)
Book value per common share		$	107.85			$	105.87			$	84.91			$	82.10			$	79.74			$	107.85			$	79.74
Tangible book value per common share (2)		$	62.19			$	60.47			$	59.09			$	56.17			$	53.94			$	62.19			$	53.94
Return on average assets			1.47	%			0.50	%			1.75	%			1.84	%			1.62	%			1.04	%			1.56	%
Return on average common equity			10.09				3.44				12.96				13.86				12.21				7.17				11.72
Return on average tangible common equity (2)			19.07				6.49				19.27				20.98				18.72				13.20				18.04
Core return on average assets (non-GAAP) (2)			1.69				1.68				1.80				1.80				1.63				1.68				1.57
Core return on average common equity (non-GAAP) (2)			11.53				11.66				13.35				13.51				12.27				11.59				11.79
Core return on average tangible common equity (non-GAAP) (2)			21.59				19.30				19.84				20.47				18.80				20.52				18.15
Average equity to average assets			14.62				14.42				13.47				13.30				13.28				14.53				13.30
Stockholders’ equity to assets			14.74				14.49				13.69				13.46				13.33				14.74				13.33
Tangible common equity to tangible assets (2)			9.06				8.82				9.94				9.61				9.42				9.06				9.42
Net interest margin			4.14				3.98				3.86				3.86				3.72				4.07				3.65
Efficiency ratio			58.62				80.30				51.00				49.10				51.79				68.07				52.34
Effective tax rate			21.50				20.05				19.67				19.50				19.52				21.20				19.18
Selected Asset Quality Information:
Nonaccrual loans		$	71,545			$	73,494			$	31,679			$	27,463			$	27,735			$	71,545			$	27,735
Other real estate owned			3,459				5,985				667				767				881				3,459				881
Nonperforming assets		$	75,004			$	79,479			$	32,346			$	28,230			$	28,616			$	75,004			$	28,616
Net loan charge-offs (recoveries)		$	651			$	833			$	529			$	573			$	372			$	1,484			$	714
Allowance for credit losses-loans to loans			1.23	%			1.23	%			1.01	%			1.00	%			1.00	%			1.23	%			1.00	%
Net charge-offs to average loans (1)			0.02				0.04				0.03				0.03				0.02				0.03				0.02
Nonperforming loans to total loans			0.66				0.68				0.46				0.40				0.41				0.66				0.41
Nonperforming assets to total assets			0.49				0.51				0.35				0.31				0.32				0.49				0.32
Stock Repurchase Information: (3)
Common stock repurchased ($)		$	40,242			$	22,401			$	—			$	20,525			$	29,989			$	62,643			$	56,036
Common stock repurchased (shares)			267,310				149,499				—				155,393				257,402				416,809				490,609

(1)		Income statement-related ratios for partial-year periods are annualized.
(2)		See Reconciliation of Non-GAAP Financial Measures below for a reconciliation of these financial measures.
(3)		Reflects common stock repurchased under board of director authorizations for the common stock repurchase program.

Nicolet Bankshares, Inc.
Consolidated Loan & Deposit Metrics (Unaudited)
(In thousands)		6/30/2026			3/31/2026			12/31/2025			9/30/2025			6/30/2025
Period End Loan Composition
Commercial & industrial		$	2,350,769		$	2,330,665		$	1,367,522		$	1,415,841		$	1,412,621
Owner-occupied commercial real estate (“CRE”)			1,543,772			1,558,995			939,587			947,390			963,278
Agricultural			1,765,864			1,759,960			1,415,425			1,378,070			1,346,924
Commercial			5,660,405			5,649,620			3,722,534			3,741,301			3,722,823
CRE investment			2,329,696			2,378,946			1,188,351			1,213,301			1,231,423
Construction & land development			571,280			575,030			326,638			324,209			298,122
Commercial real estate			2,900,976			2,953,976			1,514,989			1,537,510			1,529,545
Commercial-based loans			8,561,381			8,603,596			5,237,523			5,278,811			5,252,368
Residential construction			139,823			144,737			95,268			92,325			88,152
Residential first mortgage			1,584,362			1,580,088			1,193,683			1,199,512			1,205,841
Residential junior mortgage			474,964			464,395			268,188			260,167			249,406
Residential real estate			2,199,149			2,189,220			1,557,139			1,552,004			1,543,399
Retail & other			87,634			86,878			41,683			43,896			43,374
Retail-based loans			2,286,783			2,276,098			1,598,822			1,595,900			1,586,773
Total loans		$	10,848,164		$	10,879,694		$	6,836,345		$	6,874,711		$	6,839,141
Period End Deposit Composition
Noninterest-bearing demand		$	2,717,610		$	2,537,729		$	1,828,928		$	1,826,453		$	1,800,335
Interest-bearing demand			2,221,385			2,516,924			1,263,276			1,104,552			1,266,507
Money market			3,007,957			2,955,846			2,056,550			2,044,055			1,900,639
Savings			1,760,294			1,763,204			834,520			825,683			805,300
Time			2,816,090			2,850,661			1,747,497			1,810,722			1,768,892
Total deposits		$	12,523,336		$	12,624,364		$	7,730,771		$	7,611,465		$	7,541,673
Brokered transaction accounts *		$	100,000		$	175,000		$	25,000		$	25,000		$	155,000
Brokered time deposits *			385,080			409,922			382,116			422,516			429,303
Total brokered deposits *		$	485,080		$	584,922		$	407,116		$	447,516		$	584,303
Customer transaction accounts *		$	9,607,246		$	9,598,703		$	5,958,274		$	5,775,743		$	5,617,781
Customer time deposits *			2,431,010			2,440,739			1,365,381			1,388,206			1,339,589
Total customer deposits (core) *		$	12,038,256		$	12,039,442		$	7,323,655		$	7,163,949		$	6,957,370
* During first quarter 2026, Nicolet reclassified fully reciprocated deposit balances with ICS from brokered deposits to core deposits to be more consistent with the presentation typically used by peer banks. The ICS reciprocal deposits are part of the IntraFi Network Deposits program, which is used by financial institutions to distribute deposits that exceed FDIC insurance coverage limits to numerous institutions in order to provide insurance coverage for all participating deposits. Prior periods have been restated to reflect this change. There was no change to total deposits or the deposit categories.

Nicolet Bankshares, Inc.
Net Interest Income and Net Interest Margin Analysis (Unaudited)
		For the Three Months Ended
		June 30, 2026									March 31, 2026										June 30, 2025
		Average						Average			Average							Average			Average							Average
(In thousands)		Balance			Interest			Rate			Balance			Interest				Rate			Balance			Interest				Rate
ASSETS
Total loans (1) (2)		$	11,259,572		$	175,903		6.26	%		$	9,194,624		$	140,412			6.18	%		$	6,833,236		$	106,103			6.23	%
Investment securities (2)			2,046,717			21,413		4.19	%			1,479,693			13,703			3.71	%			900,469			7,371			3.27	%
Other interest-earning assets			551,135			5,202		3.78	%			561,189			5,115			3.69	%			406,473			4,618			4.56	%
Total interest-earning assets			13,857,424		$	202,518		5.86	%			11,235,506		$	159,230			5.73	%			8,140,178		$	118,092			5.82	%
Other assets, net			1,622,020									1,193,830										769,475
Total assets		$	15,479,444								$	12,429,336									$	8,909,653
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing core deposits *		$	9,705,296		$	51,905		2.15	%		$	7,702,195		$	41,762			2.20	%		$	5,167,371		$	33,268			2.58	%
Brokered deposits *			535,443			5,416		4.06	%			502,241			4,894			3.95	%			649,132			7,204			4.45	%
Total interest-bearing deposits			10,240,739			57,321		2.25	%			8,204,436			46,656			2.31	%			5,816,503			40,472			2.79	%
Wholesale funding			159,341			2,112		5.32	%			159,183			1,997			5.09	%			155,614			2,057			5.30	%
Total interest-bearing liabilities			10,400,080		$	59,433		2.29	%			8,363,619		$	48,653			2.36	%			5,972,117		$	42,529			2.86	%
Noninterest-bearing demand deposits			2,681,874									2,181,572										1,687,721
Other liabilities			134,588									91,964										66,499
Stockholders’ equity			2,262,902									1,792,181										1,183,316
Total liabilities and stockholders’ equity		$	15,479,444								$	12,429,336									$	8,909,653
Net interest income and rate spread					$	143,085		3.57	%					$	110,577			3.37	%					$	75,563			2.96	%
Net interest margin								4.14	%									3.98	%									3.72	%
Loan purchase accounting accretion (3)					$	7,989		0.23	%					$	4,896			0.18	%					$	1,475			0.07	%
Loan nonaccrual interest (3)					$	97		—	%					$	780			0.03	%					$	(26	)		—	%
		For the Six Months Ended
		June 30, 2026									June 30, 2025
		Average						Average			Average							Average
(In thousands)		Balance			Interest			Rate			Balance			Interest				Rate
ASSETS
Total loans (1) (2)		$	10,232,803		$	316,315		6.23	%		$	6,772,060		$	206,907			6.15	%
Investment securities (2)			1,764,771			35,116		3.98	%			893,280			14,322			3.21	%
Other interest-earning assets			556,134			10,317		3.74	%			444,416			10,084			4.57	%
Total interest-earning assets			12,553,708		$	361,748		5.80	%			8,109,756		$	231,313			5.74	%
Other assets, net			1,409,108									769,942
Total assets		$	13,962,816								$	8,879,698
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing core deposits *		$	8,709,279		$	93,667		2.17	%		$	5,173,698		$	65,843			2.57	%
Brokered deposits *			518,933			10,310		4.01	%			630,617			14,094			4.51	%
Total interest-bearing deposits			9,228,212			103,977		2.27	%			5,804,315			79,937			2.78	%
Wholesale funding			159,263			4,109		5.20	%			158,336			4,127			5.26	%
Total interest-bearing liabilities			9,387,475		$	108,086		2.32	%			5,962,651		$	84,064			2.84	%
Noninterest-bearing demand deposits			2,433,106									1,671,010
Other liabilities			113,393									64,933
Stockholders’ equity			2,028,842									1,181,104
Total liabilities and stockholders’ equity		$	13,962,816								$	8,879,698
Net interest income and rate spread					$	253,662		3.48	%					$	147,249			2.90	%
Net interest margin								4.07	%									3.65	%
Loan purchase accounting accretion (3)					$	12,885		0.21	%					$	2,950			0.07	%
Loan nonaccrual interest (3)					$	877		0.01	%					$	(330	)		(0.01	)%
* During first quarter 2026, Nicolet reclassified fully reciprocated deposit balances with ICS from brokered deposits to core deposits to be more consistent with the presentation typically used by peer banks. The ICS reciprocal deposits are part of the IntraFi Network Deposits program, which is used by financial institutions to distribute deposits that exceed FDIC insurance coverage limits to numerous institutions in order to provide insurance coverage for all participating deposits. Prior periods have been restated to reflect this change. There was no change to total deposits or the deposit categories.
(1) Nonaccrual loans and loans held for sale are included in the daily average loan balances outstanding.
(2) The yield on tax-exempt loans and tax-exempt investment securities is computed on a tax-equivalent basis using a federal tax rate of 21%, and adjusted for the disallowance of interest expense.
(3) Loan purchase accounting accretion and Loan nonaccrual interest included in Total loans interest above, and the related impact to net interest margin.

Nicolet Bankshares, Inc.
Reconciliation of Non-GAAP Financial Measures (Unaudited)
		For the Three Months Ended																				For the Six Months Ended
(In thousands, except per share data)		6/30/2026				3/31/2026				12/31/2025				9/30/2025				6/30/2025				6/30/2026				6/30/2025
Core net income reconciliation: (1)
Net income (GAAP)		$	56,901			$	15,196			$	40,324			$	41,735			$	36,035			$	72,097			$	68,627
Adjustments:
Provision expense (2)			—				4,700				—				—				—				4,700				—
Assets (gains) losses, net			(2,364	)			867				(422	)			(1,294	)			199				(1,497	)			553
Merger-related expense			7,403				40,686				1,956				—				—				48,089				—
Loss on early extinguishment of debt			5,377				—				—				—				—				5,377				—
Adjustments subtotal			10,416				46,253				1,534				(1,294	)			199				56,669				553
Tax on Adjustments (3)			2,239				9,944				299				(252	)			39				12,184				108
Core net income (non-GAAP)		$	65,078			$	51,505			$	41,559			$	40,693			$	36,195			$	116,582			$	69,072
Intangibles amortization, net of tax		$	4,832			$	3,215			$	1,041			$	1,138			$	1,192			$	8,048			$	2,442
Core net income (non-GAAP) for tangible common equity ratio		$	69,910			$	54,720			$	42,600			$	41,832			$	37,387			$	124,630			$	71,514
Diluted earnings per common share:
Diluted earnings per common share (GAAP)		$	2.62			$	0.81			$	2.65			$	2.73			$	2.34			$	3.56			$	4.42
Core diluted earnings per common share (non-GAAP)		$	2.99			$	2.75			$	2.73			$	2.66			$	2.35			$	5.76			$	4.45
Selected Ratios: (4)
Return on average assets (GAAP)			1.47	%			0.50	%			1.75	%			1.84	%			1.62	%			1.04	%			1.56	%
Return on average common equity (GAAP)			10.09	%			3.44	%			12.96	%			13.86	%			12.21	%			7.17	%			11.72	%
Return on average tangible common equity (non-GAAP) (5)			19.07	%			6.49	%			19.27	%			20.98	%			18.72	%			13.20	%			18.04	%
Core return on average assets (non-GAAP)			1.69	%			1.68	%			1.80	%			1.80	%			1.63	%			1.68	%			1.57	%
Core return on average common equity (non-GAAP)			11.53	%			11.66	%			13.35	%			13.51	%			12.27	%			11.59	%			11.79	%
Core return on average tangible common equity (non-GAAP) (5)			21.59	%			19.30	%			19.84	%			20.47	%			18.80	%			20.52	%			18.15	%
Tangible assets: (5)
Total assets		$	15,414,619			$	15,574,490			$	9,185,107			$	9,029,430			$	8,930,809
Goodwill and other intangibles, net			961,687				967,843				382,400				383,693				385,107
Tangible assets		$	14,452,932			$	14,606,647			$	8,802,707			$	8,645,737			$	8,545,702
Tangible common equity: (5)
Stockholders’ equity (common)		$	2,271,474			$	2,256,877			$	1,257,662			$	1,214,960			$	1,190,098
Goodwill and other intangibles, net			961,687				967,843				382,400				383,693				385,107
Tangible common equity		$	1,309,787			$	1,289,034			$	875,262			$	831,267			$	804,991
Tangible average common equity: (5)
Average stockholders’ equity (common)		$	2,262,902			$	1,792,181			$	1,234,619			$	1,194,974			$	1,183,316			$	2,028,842			$	1,181,104
Average goodwill and other intangibles, net			964,140				642,403				382,956				384,296				385,735				804,160				386,494
Average tangible common equity		$	1,298,762			$	1,149,778			$	851,663			$	810,678			$	797,581			$	1,224,682			$	794,610

Note: Numbers may not sum due to rounding.
(1)		The core net income measure and related reconciliation provide information useful to investors in understanding the operating performance and trends of Nicolet and also to aid investors in the comparison of Nicolet’s financial performance to the financial performance of peer banks.
(2)		Includes the provision expense for the ACL on unfunded commitments related to the MidWestOne merger.
(3)		Assumes an effective tax rate of 21.5% for 2026 and 19.5% for 2025.
(4)		The ratios of core return on average assets and core return on average common equity use core net income as the numerator in place of net income (GAAP).  These financial metrics have been included as they provide information useful to investors in understanding the operating performance and trends of Nicolet.
(5)		The ratios of tangible book value per common share, return on average tangible common equity, core return on average tangible common equity, and tangible common equity to tangible assets exclude goodwill and other intangibles, net. In addition, the ratios of return on average tangible common equity and core return on average tangible common equity remove the intangibles amortization, net of tax, from the numerator.  These financial ratios have been included as they are considered to be critical metrics with which to analyze and evaluate financial condition and capital strength.

 

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