MATTOON, Ill., April 30, 2025 (GLOBE NEWSWIRE) -- First Mid Bancshares, Inc. (NASDAQ:FMBH) (the "Company") today announced its financial results for the quarter ended March 31, 2025.

Highlights

Record high quarterly net income of $22.2 million, or $0.93 diluted EPS, an increase of $0.13
Adjusted net income (non-GAAP*) of $23.1 million, or $0.96 diluted EPS, an increase of $0.09 for the quarter
Net interest margin tax equivalent (non-GAAP*) expands to 3.60% helping drive fourth consecutive quarter of growth in net interest income
Tangible book value per share (non-GAAP*) increased 4.4% during the quarter
Board of Directors declares regular quarterly dividend of $0.24 per share

"We kicked off 2025 with a record high quarterly net income that reflects our strategic focus on driving a higher return on assets," said Joe Dively, Chairman and Chief Executive Officer. "We delivered growth in both loans and deposits in what is typically a seasonally pressured quarter, and we significantly expanded our net interest margin through both an increase in earning asset yields and a decrease in the average cost of funds. In addition, we successfully completed our retail online system conversion during the quarter providing a better overall product for our customers and an improved platform to grow relationships across business lines."

"Lastly, while we recognize the uncertainty that exists in the macro environment, we are well-prepared with a disciplined credit culture and diversified revenue sources that position us to weather economic disruptions and continue to deliver exceptional service to our customers and communities," Dively concluded.

Net Interest Income

Net interest income for the first quarter of 2025 increased by $0.5 million, or 0.8% compared to the fourth quarter of 2024. The increase was primarily the result of interest expense declining at a faster pace than interest income. Less days in the quarter drove declines in both interest income and expense. The decline in interest income included $0.5 million in lower accretion income, which totaled $2.9 million compared to $3.4 million of accretion income in the fourth quarter.

In comparison to the first quarter of 2024, net interest income increased $3.9 million, or 7.1%. Interest income was lower by $0.1 million, inclusive of a decline in accretion income of $0.7 million compared to the first quarter last year. Interest expense was lower by $4.1 million compared to the same period last year.

Net Interest Margin

Net interest margin, on a tax equivalent basis (non-GAAP), was 3.60% for the first quarter of 2025 representing an increase of 19 basis points over the prior quarter driven by both an increase to earning asset yields and a decrease to funding costs. Excluding the decline in accretion income, the net interest margin increased 23 basis points in the period. Beginning with the first quarter of 2025, the Company changed the methodology utilized for the calculation of net interest margin to be more consistent with what is typically used by peer banks. The calculation now is the annualized net interest income on a tax equivalent basis divided by average interest earning assets. This change added five-basis points to the net interest margin in the first quarter 2025 compared to the fourth quarter of 2024.

In comparison to the first quarter of last year, the net interest margin increased 35 basis points, with an average earning asset increase of 13 basis points, despite a five-basis point reduction to accretion income.

Loan Portfolio

Total loans ended the quarter at $5.70 billion, representing an increase of $26.4 million, or 0.5%, from the prior quarter, despite elevated payoffs during the period. The increase was primarily in construction and land development, multifamily residential properties, and agriculture operating loans. The largest declines were in commercial real estate and commercial and industrial loans. The average loan balance for the quarter declined compared to the fourth quarter, as a majority of the net loan growth occurred in March 2025.

In comparison to the first quarter last year, loan growth increased $199.6 million, or 3.6%. The largest increases were in construction and development, agriculture operating lines, and commercial and industrial loans.

Asset Quality

The first quarter was another solid performance with respect to the Company's asset quality metrics. The allowance for credit losses ("ACL") ended the period at $70.1 million and the ACL to total loans ratio was 1.23%. In addition to the ACL, an unearned discount of $32.6 million remains at quarter end. Provision expense was recorded in the amount of $1.7 million with net charge-offs of $1.8 million in the quarter. Also, at the end of the first quarter, the ratio of non-performing loans to total loans was 0.47%, the ACL to non-performing loans was 263.4%, and the ratio of nonperforming assets to total assets was 0.38%. Nonperforming loans declined by $3.2 million to $26.6 million at quarter end. Special mention loans increased by $16.2 million to $74.0 million and substandard loans decreased $1.6 million to $33.9 million.

Deposits

Total deposits ended the quarter at $6.13 billion, which represented an increase of $73.3 million, or 1.2%, from the prior quarter. Noninterest bearing and time deposits were the primary drivers of the increase with growth of $65.4 million and $75.4 million for the period, respectively. The increase in time deposits was driven by a combination of the Company retaining a vast majority of customers with maturing CD's, gaining new customers with its promotional offerings, and the addition of $52.0 million in brokered deposits as rates declined and the wholesale market became attractive. With the Company's strong liquidity position, it was able to reduce outstanding FHLB borrowings and subordinated debt during the quarter by a combined $55.5 million helping lower overall funding costs.

Noninterest Income

Noninterest income for the first quarter of 2025 was $24.9 million compared to $26.4 million in the fourth quarter of 2024. The decline was primarily driven by a $1.3 million gain on the sale of property in the fourth quarter. The current quarter included losses on securities sales of $0.2 million. Excluding those two items, noninterest income was flat versus the prior period. The decline of $0.5 million in wealth management revenue was as expected given the seasonal nature of farmland sales. Overall Ag Services revenue was $2.6 million in the period. Insurance revenues achieved a record high quarter of revenue, despite a challenging operating environment for the industry. Debit card fee income was down $0.6 million primarily driven by less usage due to a pullback in consumer spending.

In comparison to the first quarter of 2024, noninterest income increased $0.4 million, or 1.6%, with increases in wealth management and insurance as the key drivers. The combined increase for these two business lines was 8.2% year-over-year. Debit card fee income reflected the largest decline from lower consumer spending in the first quarter of 2025.

Noninterest Expenses

Noninterest expense for the first quarter of 2025 totaled $54.5 million compared to $56.3 million in the prior quarter. The current quarter included $1.0 million of nonrecurring expenses primarily related to the Company's technology initiatives, including the successful conversion of its retail online platform during the first quarter, versus $2.2 million in nonrecurring costs in the prior quarter. Excluding these items, noninterest expenses were down $0.6 million with the largest decreases in salaries and benefits and debit card expenses.

In comparison to the first quarter of 2024, noninterest expenses increased $1.1 million. The increase was primarily driven by annual compensation increases and a $0.9 million credit in the first quarter of last year for a debit card fee negotiated settlement agreement with its primary provider.

The Company's efficiency ratio, as adjusted in the non-GAAP reconciliation table herein, for the first quarter 2025 was 58.9% compared to 58.8% in the prior quarter and 59.1% for the same period last year.

Capital Levels and Dividend

The Company's capital levels remained strong and above the "well capitalized" levels. Capital levels ended the period as follows:

Total capital to risk-weighted assets	15.59%
Tier 1 capital to risk-weighted assets	13.13%
Common equity tier 1 capital to risk-weighted assets	12.73%
Leverage ratio	10.73%

Tangible book value per share (non-GAAP) increased $1.07, or 4.4% during the first quarter of 2025. The increase was driven primarily by earnings growth, which accounted for $0.79 of the increase. The remaining increase of $0.28 was the result of improvement in accumulated other comprehensive income from a lower unrealized loss position in the investment portfolio.

The Company's Board of Directors approved a regular quarterly dividend of $0.24 payable on May 30, 2025, for shareholders of record on May 15, 2025.

About First Mid: First Mid Bancshares, Inc. ("First Mid") is the parent company of First Mid Bank & Trust, N.A., First Mid Insurance Group, Inc., and First Mid Wealth Management Co. First Mid is a $7.6 billion community-focused organization that provides a full-suite of financial services including banking, wealth management, brokerage, Ag services, and insurance through a sizeable network of locations throughout Illinois, Missouri, Texas, and Wisconsin and a loan production office in the greater Indianapolis area. Together, our First Mid team takes great pride in providing solutions and services to the customers and communities and has done so over the last 160 years. More information about the Company is available on our website at www.firstmid.com.

*Non-GAAP Measures: In addition to reports presented in accordance with generally accepted accounting principles ("GAAP"), this release contains certain non-GAAP financial measures. The Company believes that such non-GAAP financial measures provide investors with information useful in understanding the Company's financial performance. Readers of this release, however, are urged to review these non-GAAP financial measures in conjunction with the GAAP results as reported. These non-GAAP financial measures are detailed as supplemental tables and include "Adjusted Net Earnings," "Adjusted Diluted EPS," "Efficiency Ratio," "Net Interest Margin, tax equivalent," "Tangible Book Value per Common Share," "Adjusted Tangible Book Value per Common Share," "Adjusted Return on Assets," and "Adjusted Return on Average Common Equity". While the Company believes these non-GAAP financial measures provide investors with a broader understanding of the capital adequacy, funding profile and financial trends of the Company, this information should be considered as supplemental in nature and not as a substitute to the related financial information prepared in accordance with GAAP. These non-GAAP financial measures may also differ from the similar measures presented by other companies.

Forward Looking Statements

This document may contain certain forward-looking statements about First Mid, such as discussions of First Mid's pricing and fee trends, credit quality and outlook, liquidity, new business results, expansion plans, anticipated expenses and planned schedules. First Mid intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of First Mid are identified by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," or similar expressions. Actual results could differ materially from the results indicated by these statements because the realization of those results is subject to many risks and uncertainties, including, among other things, changes in interest rates; general economic conditions and those in the market areas of First Mid; legislative and/or regulatory changes; monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board; the quality or composition of First Mid's loan or investment portfolios and the valuation of those investment portfolios; demand for loan products; deposit flows; competition, demand for financial services in the market areas of First Mid; accounting principles, policies and guidelines; and the impact of pandemics on First Mid's businesses. Additional information concerning First Mid, including additional factors and risks that could materially affect First Mid's financial results, are included in First Mid's filings with the SEC, including its Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date they are made. Except as required under the federal securities laws or the rules and regulations of the SEC, we do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise.

Investor Contact:

Austin Frank

SVP, Shareholder Relations

217-258-5522

afrank@firstmid.com

Matt Smith

Chief Financial Officer

217-258-1528

msmith@firstmid.com

– Tables Follow –


FIRST MID BANCSHARES, INC.
Condensed Consolidated Balance Sheets
(In thousands, unaudited)

	As of
	March 31,			December 31,			March 31,
	2025			2024			2024

Assets
Cash and cash equivalents	$	201,470		$	121,216		$	355,701
Investment securities		1,049,003			1,073,510			1,149,752
Loans (including loans held for sale)		5,698,858			5,672,462			5,499,295
Less allowance for credit losses		(70,051	)		(70,182	)		(67,936	)
Net loans		5,628,807			5,602,280			5,431,359
Premises and equipment, net		97,446			100,234			101,666
Goodwill and intangibles, net		258,671			261,906			260,699
Bank Owned Life Insurance		171,127			170,854			167,247
Other assets		166,164			189,734			211,822
Total assets	$	7,572,688		$	7,519,734		$	7,678,246

Liabilities and Stockholders' Equity
Deposits:
Non-interest bearing	$	1,394,590		$	1,329,155		$	1,448,299
Interest bearing		4,735,790			4,727,941			4,794,637
Total deposits		6,130,380			6,057,096			6,242,936
Repurchase agreements with customers		219,772			204,122			210,719
Other borrowings		195,000			242,520			238,761
Junior subordinated debentures		24,335			24,280			24,113
Subordinated debt		79,535			87,472			106,862
Other liabilities		52,717			57,853			56,903
Total liabilities		6,701,739			6,673,343			6,880,294

Total stockholders' equity		870,949			846,391			797,952
Total liabilities and stockholders' equity	$	7,572,688		$	7,519,734		$	7,678,246

FIRST MID BANCSHARES, INC.
Condensed Consolidated Statements of Income
(In thousands, except per share data, unaudited)

	Three Months Ended
	March 31,
	2025			2024
Interest income:
Interest and fees on loans	$	79,918		$	77,823
Interest on investment securities		6,777			7,405
Interest on federal funds sold & other deposits		864			2,444
Total interest income		87,559			87,672
Interest expense:
Interest on deposits		23,722			26,096
Interest on securities sold under agreements to repurchase		1,180			2,056
Interest on other borrowings		1,831			2,314
Interest on jr. subordinated debentures		468			542
Interest on subordinated debt		949			1,194
Total interest expense		28,150			32,202
Net interest income		59,409			55,470
Provision for credit losses		1,652			(357	)
Net interest income after provision for credit losses		57,757			55,827
Non-interest income:
Wealth management revenues		5,800			5,322
Insurance commissions		9,925			9,213
Service charges		2,901			2,956
Net securities gains/(losses)		(181	)		0
Mortgage banking revenues		711			706
ATM/debit card revenue		3,646			4,055
Other		2,062			2,226
Total non-interest income		24,864			24,478
Non-interest expense:
Salaries and employee benefits		31,748			30,448
Net occupancy and equipment expense		8,479			7,560
Net other real estate owned (income) expense		101			(21	)
FDIC insurance		849			869
Amortization of intangible assets		3,231			3,497
Stationary and supplies		431			391
Legal and professional expense		3,076			2,449
ATM/debit card expense		1,831			1,191
Marketing and donations		852			862
Other		3,874			6,116
Total non-interest expense		54,472			53,362
Income before income taxes		28,149			26,943
Income taxes		5,978			6,440
Net income	$	22,171		$	20,503

Per Share Information
Basic earnings per common share	$	0.93		$	0.86
Diluted earnings per common share		0.93			0.86

Weighted average shares outstanding		23,858,817			23,872,731
Diluted weighted average shares outstanding		23,959,228			23,960,335

FIRST MID BANCSHARES, INC.
Condensed Consolidated Statements of Income
(In thousands, except per share data, unaudited)

	For the Quarter Ended
	March 31,			December 31,		September 30,			June 30,			March 31,
	2025				2024	2024			2024			2024
Interest income:
Interest and fees on loans	$	79,918		$	81,288	$	81,775		$	79,560		$	77,823
Interest on investment securities		6,777			6,990		7,036			7,405			7,405
Interest on federal funds sold & other deposits		864			1,564		2,371			1,718			2,444
Total interest income		87,559			89,842		91,182			88,683			87,672
Interest expense:
Interest on deposits		23,722			26,144		28,341			26,338			26,096
Interest on securities sold under agreements to repurchase		1,180			1,333		1,444			1,615			2,056
Interest on other borrowings		1,831			1,917		2,195			2,248			2,314
Interest on jr. subordinated debentures		468			510		567			537			542
Interest on subordinated debt		949			988		1,092			1,180			1,194
Total interest expense		28,150			30,892		33,639			31,918			32,202
Net interest income		59,409			58,950		57,543			56,765			55,470
Provision for credit losses		1,652			3,643		1,266			1,083			(357	)
Net interest income after provision for credit losses		57,757			55,307		56,277			55,682			55,827
Non-interest income:
Wealth management revenues		5,800			6,275		5,816			5,405			5,322
Insurance commissions		9,925			6,805		6,003			6,531			9,213
Service charges		2,901			3,058		3,121			3,227			2,956
Net securities gains/(losses)		(181	)		0		(277	)		(156	)		0
Mortgage banking revenues		711			1,104		1,109			1,038			706
ATM/debit card revenue		3,646			4,204		4,267			4,281			4,055
Other		2,062			4,917		2,984			2,096			2,226
Total non-interest income		24,864			26,363		23,023			22,422			24,478
Non-interest expense:
Salaries and employee benefits		31,748			31,957		31,565			30,164			30,448
Net occupancy and equipment expense		8,479			7,285		8,055			7,507			7,560
Net other real estate owned (income) expense		101			240		107			85			(21	)
FDIC insurance		849			863		829			902			869
Amortization of intangible assets		3,231			3,314		3,405			3,340			3,497
Stationary and supplies		431			642		482			370			391
Legal and professional expense		3,076			5,386		2,573			2,536			2,449
ATM/debit card expense		1,831			2,043		1,869			1,281			1,191
Marketing and donations		852			906		836			814			862
Other		3,874			3,661		4,212			4,392			6,116
Total non-interest expense		54,472			56,297		53,933			51,391			53,362
Income before income taxes		28,149			25,373		25,367			26,713			26,943
Income taxes		5,978			6,205		5,885			6,968			6,440
Net income	$	22,171		$	19,168	$	19,482		$	19,745		$	20,503

Per Share Information
Basic earnings per common share	$	0.93		$	0.80	$	0.81		$	0.83		$	0.86
Diluted earnings per common share		0.93			0.80		0.81			0.82			0.86

Weighted average shares outstanding		23,858,817			23,818,806		23,905,099			23,896,210			23,872,731
Diluted weighted average shares outstanding		23,959,228			23,908,340		24,006,647			23,998,152			23,960,335

FIRST MID BANCSHARES, INC.
Consolidated Financial Highlights and Ratios
(Dollars in thousands, except per share data)
(Unaudited)

	As of and for the Quarter Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
	2025			2024			2024			2024			2024

Loan Portfolio
Construction and land development	$	269,148		$	236,093		$	190,857		$	195,389		$	186,851
Farm real estate loans		373,413			390,760			384,620			387,015			388,941
1-4 Family residential properties		488,139			496,597			505,342			507,517			518,641
Multifamily residential properties		356,858			332,644			338,167			334,446			312,758
Commercial real estate		2,397,985			2,417,585			2,440,120			2,406,955			2,396,092
Loans secured by real estate		3,885,543			3,873,679			3,859,106			3,831,322			3,803,283
Agricultural operating loans		296,811			239,671			233,414			213,997			213,217
Commercial and industrial loans		1,303,712			1,335,920			1,283,631			1,268,646			1,227,906
Consumer loans		47,220			53,960			63,222			70,841			79,569
All other loans		165,572			169,232			175,218			175,811			175,320
Total loans		5,698,858			5,672,462			5,614,591			5,560,617			5,499,295

Deposit Portfolio
Non-interest bearing demand deposits	$	1,394,590		$	1,329,155		$	1,387,290		$	1,393,336		$	1,448,299
Interest bearing demand deposits		1,814,427			1,907,733			1,834,123			1,909,993			1,974,857
Savings deposits		643,289			636,427			648,582			673,381			704,777
Money Market		1,215,420			1,196,537			1,183,594			1,127,699			1,107,177
Time deposits		1,062,654			987,244			1,035,245			1,011,370			1,007,826
Total deposits		6,130,380			6,057,096			6,088,834			6,115,779			6,242,936

Asset Quality
Non-performing loans	$	26,598		$	29,835		$	18,242		$	19,079		$	20,064
Non-performing assets		28,703			32,030			20,076			20,557			21,471
Net charge-offs (recoveries)		1,783			2,235			804			708			381
Allowance for credit losses to non-performing loans		263.36	%		235.23	%		377.01	%		358.05	%		338.60	%
Allowance for credit losses to total loans outstanding		1.23	%		1.24	%		1.22	%		1.23	%		1.24	%
Nonperforming loans to total loans		0.47	%		0.53	%		0.32	%		0.34	%		0.36	%
Nonperforming assets to total assets		0.38	%		0.43	%		0.27	%		0.27	%		0.28	%
Special Mention loans		74,019			57,848			38,151			30,767			65,693
Substandard and Doubtful loans		33,884			35,516			29,037			27,594			29,296

Common Share Data
Common shares outstanding		23,981,916			23,895,807			23,904,051			23,895,868			23,888,929
Book value per common share	$	36.32		$	35.42		$	35.91		$	34.05		$	33.40
Tangible book value per common share ⁽¹⁾		25.53			24.46			24.82			23.28			22.49
Tangible book value per common share excluding other comprehensive income at period end ⁽¹⁾		31.21			30.42			29.70			29.43			28.67
Market price of stock		34.90			36.82			38.91			32.88			32.68

Key Performance Ratios and Metrics
End of period earning assets	$	6,844,096		$	6,775,075		$	6,786,458		$	6,812,574		$	6,923,742
Average earning assets		6,769,858			6,884,303			6,857,070			6,815,932			6,884,855
Average rate on average earning assets (tax equivalent)		5.29	%		5.24	%		5.35	%		5.27	%		5.16	%
Average rate on cost of funds		1.74	%		1.83	%		2.00	%		1.91	%		1.91	%
Net interest margin (tax equivalent) ⁽¹⁾⁽²⁾		3.60	%		3.41	%		3.35	%		3.36	%		3.25	%
Return on average assets		1.19	%		1.01	%		1.03	%		1.05	%		1.07	%
Adjusted return on average assets ⁽¹⁾		1.23	%		1.10	%		1.05	%		1.07	%		1.17	%
Return on average common equity		10.35	%		9.04	%		9.40	%		9.92	%		10.37	%
Adjusted return on average common equity ⁽¹⁾		10.78	%		9.80	%		9.58	%		10.11	%		11.28	%
Efficiency ratio (tax equivalent) ⁽¹⁾		58.88	%		58.76	%		61.33	%		59.61	%		59.09	%
Full-time equivalent employees		1,194			1,198			1,207			1,185			1,188


¹ Non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure.
² During the first quarter 2025, the Company changed the methodology utilized for the calculation of net interest margin to be more consistent with what is typically used by peer banks and research analysts. The calculation now is the annualized net interest income on a tax equivalent basis divided by average interest earning assets.

FIRST MID BANCSHARES, INC.
Net Interest Margin
(In thousands, unaudited)

	For the Quarter Ended March 31, 2025
	QTD Average					Average
	Balance			Interest		Rate
INTEREST EARNING ASSETS
Interest bearing deposits	$	70,701		$	827		4.74	%
Federal funds sold		75			1		5.41	%
Certificates of deposits investments		3,162			36		4.62	%
Investment Securities		1,090,099			7,254		2.66	%
Loans (net of unearned income)		5,605,821			80,194		5.80	%

Total interest earning assets		6,769,858			88,312		5.29	%

NONEARNING ASSETS
Other nonearning assets		777,177
Allowance for loan losses		(70,620	)

Total assets	$	7,476,415

INTEREST BEARING LIABILITIES
Demand deposits	$	3,039,621		$	14,900		1.99	%
Savings deposits		640,687			164		0.10	%
Time deposits		1,022,200			8,658		3.44	%
Total interest bearing deposits		4,702,508			23,722		2.05	%
Repurchase agreements		201,679			1,180		2.37	%
FHLB advances		194,324			1,807		3.77	%
Federal funds purchased		-			-		0.00	%
Subordinated debt		82,608			949		4.66	%
Jr. subordinated debentures		24,306			468		7.81	%
Other debt		1,467			24		6.63	%
Total borrowings		504,384			4,428		3.56	%
Total interest bearing liabilities		5,206,892			28,150		2.19	%

NONINTEREST BEARING LIABILITIES
Demand deposits		1,370,107		Average cost of funds			1.74	%
Other liabilities		42,946
Stockholders' equity		856,470

Total liabilities & stockholders' equity	$	7,476,415

Net Interest Earnings / Spread				$	60,162		3.10	%

Tax effected yield on interest earning assets							3.60	%

Tax equivalent net interest margin is a non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure.

FIRST MID BANCSHARES, INC.
Reconciliation of Non-GAAP Financial Measures
(In thousands, unaudited)

	As of and for the Quarter Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
	2025			2024			2024			2024			2024

Net interest income as reported	$	59,409		$	58,950		$	57,543		$	56,765		$	55,470
Net interest income, (tax equivalent)		60,162			59,717			58,627			57,361			56,086
Average earning assets		6,769,858			6,884,303			6,857,070			6,815,932			6,884,855
Net interest margin (tax equivalent)		3.60	%		3.41	%		3.35	%		3.36	%		3.25	%


Common stockholder's equity	$	870,949		$	846,391		$	858,497		$	813,645		$	797,952
Goodwill and intangibles, net		258,671			261,906			265,139			257,377			260,699
Common shares outstanding		23,982			23,896			23,904			23,896			23,889
Tangible Book Value per common share	$	25.53		$	24.46		$	24.82		$	23.28		$	22.49
Accumulated other comprehensive loss (AOCI)		(136,097	)		(142,383	)		(116,692	)		(146,998	)		(147,667	)
Adjusted tangible book value per common share	$	31.21		$	30.42		$	29.70		$	29.43		$	28.67

FIRST MID BANCSHARES, INC.
Reconciliation of Non-GAAP Financial Measures
(In thousands, except per share data, unaudited)

	As of and for the Quarter Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
	2025			2024			2024			2024			2024
Adjusted earnings Reconciliation
Net Income - GAAP	$	22,171		$	19,168		$	19,482		$	19,745		$	20,503
Adjustments (post-tax): ⁽¹⁾
Nonrecurring technology project expenses		728			1,710			-			-			-
Net (gain)/loss on securities sales		143			-			219			123			-
Integration and acquisition expenses		41			-			137			250			1,804
Total non-recurring adjustments (non-GAAP)	$	912		$	1,710		$	356		$	373		$	1,804

Adjusted earnings - non-GAAP	$	23,083		$	20,878		$	19,838		$	20,118		$	22,307
Adjusted diluted earnings per share (non-GAAP)	$	0.96		$	0.87		$	0.83		$	0.84		$	0.93
Adjusted return on average assets - non-GAAP		1.23	%		1.10	%		1.05	%		1.07	%		1.17	%
Adjusted return on average common equity - non-GAAP		10.78	%		9.80	%		9.58	%		10.11	%		11.28	%


Efficiency Ratio Reconciliation
Noninterest expense - GAAP	$	54,472		$	56,297		$	53,933		$	51,391		$	53,362
Other real estate owned property income (expense)		(101	)		(240	)		(107	)		(85	)		21
Amortization of intangibles		(3,231	)		(3,314	)		(3,405	)		(3,340	)		(3,497	)
Nonrecurring technology project expense		(921	)		(2,164	)		-			-			-
Integration and acquisition expenses		(52	)		-			(174	)		(316	)		(2,283	)
Adjusted noninterest expense (non-GAAP)	$	50,167		$	50,579		$	50,247		$	47,650		$	47,603

Net interest income -GAAP	$	59,409		$	58,950		$	57,543		$	56,765		$	55,470
Effect of tax-exempt income ⁽¹⁾		753			767			1,084			596			616
Adjusted net interest income (non-GAAP)	$	60,162		$	59,717		$	58,627		$	57,361		$	56,086

Noninterest income - GAAP	$	24,864		$	26,363		$	23,023		$	22,422		$	24,478
Net (gain)/loss on securities sales		181			0			277			156			0
Adjusted noninterest income (non-GAAP)	$	25,045		$	26,363		$	23,300		$	22,578		$	24,478

Adjusted total revenue (non-GAAP)	$	85,207		$	86,080		$	81,927		$	79,939		$	80,564

Efficiency ratio (non-GAAP)		58.88	%		58.76	%		61.33	%		59.61	%		59.09	%

(1) Nonrecurring items (post-tax) and tax-exempt income are calculated using an estimated effective tax rate of 21%.

First Mid Bancshares, Inc. Announces First Quarter 2025 Results