フルトンファイナンシャルの適時開示・決算・その他

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

October 17, 2023

Date of Report (date of earliest event reported)

Fulton Financial Corporation

(Exact name of registrant as specified in its charter)

Pennsylvania

001-39680

23-2195389

(State or other jurisdiction of incorporation)

(Commission File Number)

(I.R.S. Employer Identification No.)

One Penn Square,

P.O. Box 4887

Lancaster,

Pennsylvania

17604

(Address of Principal Executive Offices)

(Zip Code)

(717) 291-2411

(Registrant's telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $2.50	FULT	The Nasdaq Stock Market, LLC
Depositary Shares, Each Representing 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A	FULTP	The Nasdaq Stock Market, LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02 Results of Operations and Financial Condition.

On October 17, 2023, Fulton Financial Corporation (the "Corporation") issued a press release (the "Press Release") announcing its results of operations for the third quarter ended September 30, 2023. A copy of the Press Release and supplementary financial information which accompanied the Press Release are attached as Exhibit 99.1 to this Current Report on Form 8-K (this "Current Report") and are incorporated herein by reference. The Corporation also posted on its Investor Relations website, www.fultonbank.com, presentation materials the Corporation intends to use during a conference call and webcast to discuss those results on Wednesday, October 18, 2023 at 10:00 a.m. eastern time. A copy of the presentation materials is attached as Exhibit 99.2 to this Current Report and is incorporated herein by reference.

The information included in Exhibit 99.1 shall be deemed filed for purposes of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and therefore may be incorporated by reference in filings under the Securities Act of 1933, as amended (the "Securities Act"). The information included in Exhibit 99.2 is being furnished and shall not be deemed filed for purposes of the Exchange Act or be incorporated by reference in any filing under the Securities Act.

Forward-Looking Statements

This Current Report, including Exhibits 99.1 and 99.2 may contain forward-looking statements with respect to the Corporation's financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," "projects," the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation's future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation's business or financial results. Management’s "2023 Outlook" contained in Exhibit 99.2 to this Current Report is comprised of forward-looking statements.

Forward-looking statements are neither historical facts nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation's business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation's control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2022, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2023 and June 30, 2023 and other current and periodic reports, which have been, or will be, filed with the Securities and Exchange Commission (the "SEC") and are, or will be, available in the Investor Relations section of the Corporation's website (www.fultonbank.com) and on the SEC's website (www.sec.gov).

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.


Exhibit No.			Description
99.1			Press release dated October 17, 2023 containing financial information for the quarter ended September 30, 2023, deemed filed under the Securities Exchange Act of 1934.
99.2			Presentation materials to be discussed during the conference call and webcast on October 18, 2023, deemed furnished under the Securities Exchange Act of 1934.
104			Cover page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


Date: October 17, 2023			FULTON FINANCIAL CORPORATION
			By: /s/ Mark R. McCollom
			Mark R. McCollom
			Senior Executive Vice President and
			Chief Financial Officer

EX-99.1 2 exhibit99193023earningsrel.htm EX-99.1 Document

Exhibit 99.1

FULTON FINANCIAL

CORPORATION

FOR IMMEDIATE RELEASE

Media Contact: Lacey Dean (717) 735-8688

Investor Contact: Matt Jozwiak (717) 327-2657

Fulton Financial Corporation Announces Third Quarter 2023 Results

(October 17, 2023) – Lancaster, PA – Fulton Financial Corporation (NASDAQ: FULT) (“Fulton” or the “Corporation”) reported net income available to common shareholders of $69.5 million, or $0.42 per diluted share, for the third quarter of 2023, a decrease of $7.5 million, or 9.7%, in comparison to the second quarter of 2023. Operating net income available to common shareholders for the three months ended September 30, 2023 was $72.2 million, or $0.43 per diluted share(1).

For the nine months ended September 30, 2023, net income available to common shareholders was $212.3 million, or $1.27 per diluted share, an increase of $14.9 million, or 7.5%, in comparison to the same period in 2022. Operating net income available to common shareholders for the nine months ended September 30, 2023 was $216.1 million, or $1.29 per diluted share(1).

"We were pleased with our third quarter results; operating earnings were solid, we generated deposit and loan growth, we maintained our net interest margin and net interest income grew," said Curtis J. Myers, Chairman and CEO of Fulton Financial Corporation. "Our results reflect solid core business trends, stable credit metrics, and modest growth in our core lines of business."

Net Interest Income and Balance Sheet

Net interest income for the third quarter of 2023 was $213.8 million, an increase of $1.0 million in comparison to the second quarter of 2023. The net interest margin for the third quarter of 2023 was 3.40%, consistent with the second quarter of 2023.

The linked-quarter increase in net interest income was primarily due to higher loan yields and an increase in the average balance of net loans, partially offset by an increase in the rate of average interest-bearing deposits and a shift in the funding mix from noninterest-bearing demand deposits to interest-bearing deposits.

(1) Financial measure derived by methods other than generally accepted accounting principles ("GAAP"). Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of the press release.

A 20 basis points increase in the yield on average net loans and an increase in the average balance of net loans of $255.0 million in the third quarter of 2023 drove an increase in interest income of $15.5 million to $330.4 million in comparison to $314.9 million in the second quarter of 2023.

Interest expense on interest-bearing liabilities for the third quarter of 2023 increased by $14.5 million to $116.5 million in comparison to $102.1 million in the second quarter of 2023. The linked-quarter increase in interest expense in the third quarter of 2023 was primarily due to an increase in the rate on average interest-bearing deposits of 29 basis points, a decline of $348.7 million in the average balance of noninterest-bearing deposits and an increase in the average balance of interest-bearing deposits of $498.8 million in comparison to the second quarter of 2023.

For the third quarter of 2023, net interest income was $213.8 million, a decrease of $1.7 million, or 0.8%, in comparison to the third quarter of 2022. Interest income for the third quarter of 2023 increased by $96.7 million to $330.4 million in comparison to $233.7 million in the third quarter of 2022, primarily driven by rising interest rates resulting in increases in interest income from net loans and other interest-earning assets of $96.2 million and $1.1 million, respectively. Increases in the average balance of net loans in the third quarter of 2023 of $1.6 billion and in yields on net loans of 151 basis points each contributed to the increase in interest income. Interest expense on interest-bearing liabilities for the third quarter of 2023 increased by $98.4 million to $116.5 million in comparison to $18.1 million in the third quarter of 2022, primarily driven by rising interest rates resulting in increases in interest expense from interest-bearing deposits and borrowings and other interest-bearing liabilities of $74.1 million and $24.3 million, respectively. A decrease in the average balance of noninterest-bearing deposits of $1.9 billion, and an increase in the average balances of interest-bearing deposits and borrowings and other interest-bearing liabilities of $1.4 billion and $1.3 billion, respectively, in the third quarter of 2023 in comparison to the third quarter of 2022 also contributed to the increase in interest expense.

Total average interest-earning assets for the third quarter of 2023 were $25.6 billion, a decrease of $47.8 million from the second quarter of 2023 primarily driven by a decrease in average other interest-earning assets of $266.3 million and a decrease in average investment securities of $36.5 million, partially offset by an increase in average net loans of $255.0 million.

Total average interest-earning assets for the third quarter of 2023 increased by $886.0 million from the third quarter of 2022. Average net loans for the third quarter of 2023 were $21.1 billion, an increase of $1.6 billion from the same period in 2022. Compared to the third quarter of 2022, average other interest-earning assets decreased $368.5 million and average investment securities decreased $302.9 million in the third quarter of 2023.

Total average interest-bearing liabilities increased $399.1 million to $18.4 billion in the third quarter of 2023 in comparison to $18.0 billion in the second quarter of 2023. The increase in average interest-bearing liabilities was driven by an increase in the average balance of total interest-bearing deposits of $498.8 million, partially offset by a decrease in the average balance of borrowings and other interest-bearing liabilities of $99.8 million.

Total average interest-bearing liabilities for the third quarter of 2023 increased $2.8 billion to $18.4 billion in comparison to $15.6 billion in the third quarter of 2022, driven by increases in the average balances of total interest-bearing deposits and borrowings and other interest-bearing liabilities of $1.4 billion and $1.3 billion, respectively.

Asset Quality

In the third quarter of 2023, a provision for credit losses of $9.9 million was recorded in comparison to $9.7 million in the second quarter of 2023 and $19.0 million in the third quarter of 2022. The provision for credit losses of $9.9 million recorded in the third quarter of 2023 was primarily due to loan growth and net charge-offs recorded during the period.

Non-performing assets were $143.5 million, or 0.52% of total assets, at September 30, 2023, in comparison to $151.6 million, or 0.55% of total assets, at June 30, 2023, and $198.6 million, or 0.76% of total assets, at September 30, 2022.

Net charge-offs for the third quarter of 2023 were 0.10% of total average loans in comparison to 0.04% and 0.01% in the second quarter of 2023 and the third quarter of 2022, respectively.

Non-interest Income

Non-interest income before investment securities gains (losses) in the third quarter of 2023 was $56.0 million, a decrease of $4.6 million, or 7.6%, from the second quarter of 2023. The decrease in non-interest income was primarily due to a $3.0 million market valuation movement in our commercial customer interest rate swap program resulting from the reference rate transition from the London Inter-Bank Offered Rate ("LIBOR") to the Secured Overnight Financing Rate ("SOFR") and is reflected as a reduction to other non-interest income. Additional contributors to the decrease in non-interest income were a decrease of $3.0 million in commercial customer interest rate swap fee income, reflected in capital markets, partially offset by increases in wealth management, overdraft fees and mortgage banking income of $0.7 million, $0.3 million and $0.3 million, respectively.

Compared to the third quarter of 2022, non-interest income before investment securities gains (losses) in the third quarter of 2023 decreased $3.3 million, or 5.5%, from $59.2 million. The decrease in non-interest income was primarily due to the aforementioned $3.0 million market valuation movement in our commercial customer interest rate swap program resulting from the reference rate transition from LIBOR to SOFR and is reflected as a reduction to other non-interest income.

Non-interest Expense

Non-interest expense was $171.0 million in the third quarter of 2023, an increase of $3.0 million, or 1.8%, compared to $168.0 million in the second quarter of 2023. The increase was primarily due to increases of $2.7 million in salaries and employee benefits expense and $1.3 million in other outside services related to a number of corporate initiatives, partially offset by a decrease of $0.5 million in charitable contributions and $0.5 million in gains on sales from fixed assets disposals, in each case, reflected in other expense.

The $2.7 million increase in salaries and benefits expense was primarily driven by one additional calendar day in the third quarter of 2023 compared to the second quarter of 2023.

Compared to the third quarter of 2022, non-interest expense, excluding merger-related expenses of $7.0 million in the third quarter of 2022, increased $8.5 million, or 5.2%. The increase was primarily due to increases of $2.7 million in other outside services expense driven by a number of corporate initiatives, $2.5 million in salaries and employee benefits expense, $1.6 million in FDIC insurance expense, primarily due to the adoption of a final rule to increase base deposit insurance assessment rates effective January 1, 2023, and $1.1 million in data processing and software expense. The $2.5 million increase in salaries and benefits expense was primarily driven by annual merit increases, lower deferred employee loan origination costs, higher employee benefits expense, due to healthcare claims experience, and higher pension costs, partially offset by lower incentive plan compensation expense.

Income Tax Expense

For the third quarter of 2023, the effective tax rate was 18.9%, in comparison to 17.3% for the full-year of 2022.

Additional information on Fulton is available on the Internet at www.fultonbank.com.

Safe Harbor Statement

This press release may contain forward-looking statements with respect to the Corporation’s financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," “projects,” the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation’s future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation’s business or financial results.

Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation’s business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation’s control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2022, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2023 and June 30, 2023 and other current and periodic reports, which have been, or will be, filed with the Securities and Exchange Commission (the "SEC") and are, or will be, available in the Investor Relations section of the Corporation's website (www.fultonbank.com) and on the SEC's website (www.sec.gov).

Non-GAAP Financial Measures

The Corporation uses certain financial measures in this press release that have been derived from methods other than GAAP. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this press release.


FULTON FINANCIAL CORPORATION
SUMMARY CONSOLIDATED FINANCIAL INFORMATION (UNAUDITED)
(dollars in thousands, except per share data)
	Three months ended
	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
	2023		2023		2023		2022		2022
Ending Balances
Investment securities	$	3,698,601	$	3,867,334	$	3,950,101	$	3,968,023	$	3,936,694
Net loans	21,177,508		21,044,685		20,670,188		20,279,547		19,695,199
Total assets	27,380,836		27,403,163		27,112,176		26,931,702		26,146,042
Deposits	21,421,589		21,206,540		21,316,584		20,649,538		21,376,554
Shareholders' equity	2,566,693		2,642,152		2,618,998		2,579,757		2,471,159

Average Balances
Investment securities	3,834,824		3,916,130		3,964,615		3,936,579		4,254,216
Net loans	21,121,277		20,866,235		20,463,096		20,004,513		19,563,825
Total assets	27,377,836		27,235,567		26,900,653		26,386,355		26,357,095
Deposits	21,357,295		21,207,143		20,574,323		21,027,656		21,788,052
Shareholders' equity	2,645,977		2,647,464		2,613,316		2,489,148		2,604,057

Income Statement
Net interest income	213,842		212,852		215,587		225,911		215,582
Provision for credit losses	9,937		9,747		24,544		14,513		18,958
Non-interest income	55,961		60,585		51,753		54,321		59,162
Non-interest expense	171,020		168,018		159,616		168,462		169,558
Income before taxes	88,846		95,672		83,180		97,257		86,228
Net income available to common shareholders	69,535		77,045		65,752		79,271		68,309
Pre-provision net revenue(1)	102,342		106,495		108,375		115,049		113,631

Per Share
Net income available to common shareholders (basic)	$0.42		$0.46		$0.39		$0.47		$0.41
Net income available to common shareholders (diluted)	$0.42		$0.46		$0.39		$0.47		$0.40
Operating net income available to common shareholders(1)	$0.43		$0.47		$0.39		$0.48		$0.48
Cash dividends	$0.16		$0.16		$0.15		$0.21		$0.15
Common shareholders' equity	$14.47		$14.75		$14.67		$14.24		$13.61
Common shareholders' equity (tangible)(1)	$11.05		$11.36		$11.26		$10.90		$10.26
Weighted average shares (basic)	164,566		165,854		166,605		167,504		167,353
Weighted average shares (diluted)	166,023		167,191		168,401		169,136		168,781

(1) Non-GAAP financial measure. Refer to the calculation on the page titled “Reconciliation of Non-GAAP Measures” at the end of this press release.


	Three months ended
	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
	2023		2023		2023		2022		2022
Asset Quality
Net charge-offs (recoveries) to average loans	0.10	%	0.04	%	0.27	%	0.23	%	0.01	%
Non-performing loans to total net loans	0.67	%	0.70	%	0.80	%	0.85	%	0.98	%
Non-performing assets to total assets	0.52	%	0.55	%	0.62	%	0.66	%	0.76	%
ACL - loans(1) to total loans	1.38	%	1.37	%	1.35	%	1.33	%	1.35	%
ACL - loans(1) to non-performing loans	208	%	195	%	169	%	157	%	138	%







Profitability
Return on average assets	1.04	%	1.17	%	1.03	%	1.23	%	1.07	%
Operating return on average assets(2)	1.08	%	1.18	%	1.04	%	1.26	%	1.25	%
Return on average common shareholders' equity	11.25	%	12.59	%	11.02	%	13.70	%	11.24	%

Return on average common shareholders' equity (tangible)(2)	15.17	%	16.52	%	14.46	%	18.59	%	17.31	%
Net interest margin	3.40	%	3.40	%	3.53	%	3.69	%	3.54	%
Efficiency ratio(2)	61.5	%	60.1	%	58.5	%	58.1	%	57.8	%
Non-interest expenses to total average assets	2.48	%	2.47	%	2.41	%	2.53	%	2.55	%
Operating non-interest expenses to total average assets(2)	2.47	%	2.46	%	2.40	%	2.48	%	2.43	%

Capital Ratios
Tangible common equity ratio ("TCE")(2)	6.8	%	7.0	%	7.0	%	6.9	%	6.7	%
TCE ratio, excluding AOCI(2)(3)	8.4	%	8.3	%	8.3	%	8.2	%	8.3	%
Tier 1 leverage ratio(4)	9.4	%	9.3	%	9.2	%	9.5	%	9.2	%
Common equity Tier 1 capital ratio(4)	10.1	%	10.1	%	9.8	%	10.0	%	10.0	%
Tier 1 risk-based capital ratio(4)	11.0	%	11.0	%	10.6	%	10.9	%	10.9	%
Total risk-based capital ratio(4)	13.8	%	13.8	%	13.4	%	13.6	%	13.6	%

(1) "ACL - loans" relates to the allowance for credit losses ("ACL") specifically on "Net Loans" and does not include the ACL related to off-balance-sheet ("OBS") credit exposures.

(2) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this press release.
(3) Tangible common equity ("TCE") ratio, excluding accumulated other comprehensive income ("AOCI").
(4) Regulatory capital ratios as of September 30, 2023 are preliminary estimates and prior periods are actual.


FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)
(dollars in thousands)

		Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
		2023		2023		2023		2022		2022
ASSETS
	Cash and due from banks	$	304,042	$	123,779	$	129,003	$	126,898	$	143,465
	Other interest-earning assets	222,781		505,141		545,355		685,209		467,164
	Loans held for sale	20,368		14,673		6,507		7,264		14,411
	Investment securities	3,698,601		3,867,334		3,950,101		3,968,023		3,936,694
	Net loans	21,177,508		21,044,685		20,670,188		20,279,547		19,695,199
	Less: ACL - loans(1)	(292,739)		(287,442)		(278,695)		(269,366)		(266,838)
	Loans, net	20,884,769		20,757,243		20,391,493		20,010,181		19,428,361
	Net premises and equipment	215,626		216,322		216,059		225,141		221,496
	Accrued interest receivable	101,624		96,991		90,267		91,579		72,821
	Goodwill and intangible assets	561,284		561,885		563,502		560,824		561,495
	Other assets	1,371,741		1,259,795		1,219,889		1,256,583		1,300,135
	Total Assets	$	27,380,836	$	27,403,163	$	27,112,176	$	26,931,702	$	26,146,042
LIABILITIES AND SHAREHOLDERS' EQUITY
	Deposits	$	21,421,589	$	21,206,540	$	21,316,584	$	20,649,538	$	21,376,554
	Borrowings	2,370,112		2,719,114		2,446,770		2,871,207		1,424,681
	Other liabilities	1,022,442		835,357		729,824		831,200		873,648
	Total Liabilities	24,814,143		24,761,011		24,493,178		24,351,945		23,674,883
	Shareholders' equity	2,566,693		2,642,152		2,618,998		2,579,757		2,471,159
	Total Liabilities and Shareholders' Equity	$	27,380,836	$	27,403,163	$	27,112,176	$	26,931,702	$	26,146,042

LOANS, DEPOSITS AND BORROWINGS DETAIL:
Loans, by type:
	Real estate - commercial mortgage	$	8,106,300	$	7,846,861	$	7,746,920	$	7,693,835	$	7,554,509
	Commercial and industrial	4,577,334		4,599,759		4,596,096		4,473,004		4,240,865
	Real estate - residential mortgage	5,279,681		5,147,262		4,880,919		4,737,279		4,574,228
	Real estate - home equity	1,045,438		1,061,891		1,074,712		1,102,838		1,110,103
	Real estate - construction	1,078,263		1,308,564		1,326,754		1,269,925		1,273,097
	Consumer	743,976		763,530		730,775		699,179		633,666
	Leases and other loans(2)	346,516		316,818		314,012		303,487		308,731
	Total Net Loans	$	21,177,508	$	21,044,685	$	20,670,188	$	20,279,547	$	19,695,199
Deposits, by type:
	Noninterest-bearing demand	$	5,575,374	$	5,865,855	$	6,403,484	$	7,006,388	$	7,372,896
	Interest-bearing demand	5,757,487		5,543,320		5,478,237		5,410,903		5,676,600
	Savings	6,707,729		6,646,448		6,579,806		6,434,621		6,563,003
	Total demand and savings	18,040,590		18,055,623		18,461,527		18,851,912		19,612,499
	Brokered	941,059		949,259		960,919		208,416		226,883
	Time	2,439,940		2,201,658		1,894,138		1,589,210		1,537,172
	Total Deposits	$	21,421,589	$	21,206,540	$	21,316,584	$	20,649,538	$	21,376,554
Borrowings, by type:
	Federal funds purchased	$	544,000	$	555,000	$	525,000	$	191,000	$	136,000
	Federal Home Loan Bank advances	730,000		1,165,000		747,000		1,250,000		265,500
	Senior debt and subordinated debt	540,174		539,994		539,814		539,634		539,461
	Other borrowings	555,938		459,120		634,956		890,573		483,720
	Total Borrowings	$	2,370,112	$	2,719,114	$	2,446,770	$	2,871,207	$	1,424,681

(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.
(2) Includes equipment lease financing, overdraft and net origination fees and costs.


FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(dollars in thousands, except per share)
		Three Months Ended										Nine months ended
		Sep 30		Jun 30		Mar 31		Dec 31		Sep 30		Sep 30
		2023		2023		2023		2022		2022		2023		2022
Interest Income:
	Interest income	$	330,371	$	314,912	$	289,820	$	267,847	$	233,691	$	935,103	$	596,991
	Interest expense	116,529		102,060		74,233		41,936		18,109		292,822		41,268
	Net Interest Income	213,842		212,852		215,587		225,911		215,582		642,281		555,723
	Provision for credit losses	9,937		9,747		24,544		14,513		18,958		44,228		13,508
	Net Interest Income after Provision	203,905		203,105		191,043		211,398		196,624		598,053		542,215
Non-Interest Income:
	Commercial banking:
	Merchant and card	7,626		7,700		6,834		7,223		7,601		22,160		21,053
	Cash management	5,960		5,835		5,515		5,756		6,483		17,310		17,973
	Capital markets	2,960		6,092		2,344		2,627		4,060		11,396		9,629
	Other commercial banking	3,176		3,518		2,820		2,998		2,664		9,514		8,520
	Total commercial banking	19,722		23,145		17,513		18,604		20,808		60,380		57,175
	Wealth management	19,413		18,678		18,062		17,531		17,610		56,152		55,312
	Consumer banking:
	Card	6,770		6,592		6,243		6,331		6,278		19,604		18,141
	Overdraft	2,996		2,696		2,733		3,364		4,463		8,425		12,116
	Other consumer banking	2,407		2,432		2,241		2,380		2,534		7,081		7,164
	Total consumer banking	12,173		11,720		11,217		12,075		13,275		35,110		37,421
	Mortgage banking	3,190		2,940		1,970		2,140		3,720		8,100		12,064
	Other	1,463		4,106		2,968		3,972		3,802		8,539		10,863
	Non-interest income before investment securities gains (losses)	55,961		60,589		51,730		54,322		59,215		168,281		172,835
	Investment securities gains (losses), net	—		(4)		23		(1)		(53)		19		(26)
	Total Non-Interest Income	55,961		60,585		51,753		54,321		59,162		168,300		172,809
Non-Interest Expense:
	Salaries and employee benefits	96,757		94,102		89,283		92,733		94,283		280,142		264,151
	Data processing and software	16,914		16,776		15,796		15,448		15,807		49,486		44,807
	Net occupancy	14,561		14,374		14,438		14,061		14,025		43,373		42,134
	Other outside services	12,094		10,834		10,126		10,860		9,361		33,054		26,292
	FDIC insurance	4,738		4,895		4,795		3,219		3,158		14,427		9,328
	Equipment	3,475		3,530		3,389		3,640		3,548		10,395		10,393
	Marketing	1,913		1,655		1,886		2,380		1,859		5,454		4,505
	Professional fees	1,869		1,829		2,392		2,945		2,373		6,090		6,178
	Intangible amortization	601		1,072		674		688		690		2,347		1,043

	Merger-related expenses	—		—		—		1,894		7,006		—		8,434
	Other	18,098		18,951		16,837		20,594		17,448		53,888		48,001
	Total Non-Interest Expense	171,020		168,018		159,616		168,462		169,558		498,656		465,266
	Income Before Income Taxes	88,846		95,672		83,180		97,257		86,228		267,697		249,758
	Income tax expense	16,749		16,065		14,866		15,424		15,357		47,680		44,610
	Net Income	72,097		79,607		68,314		81,833		70,871		220,017		205,148
	Preferred stock dividends	(2,562)		(2,562)		(2,562)		(2,562)		(2,562)		(7,686)		(7,686)
	Net Income Available to Common Shareholders	$	69,535	$	77,045	$	65,752	$	79,271	$	68,309	$	212,331	$	197,462


		Three Months Ended					Nine months ended
		Sep 30	Jun 30	Mar 31	Dec 31	Sep 30	Sep 30
		2023	2023	2023	2022	2022	2023	2022
PER SHARE:

	Net income available to common shareholders (basic)	$0.42	$0.46	$0.39	$0.47	$0.41	$1.28	$1.21
	Net income available to common shareholders (diluted)	$0.42	$0.46	$0.39	$0.47	$0.40	$1.27	$1.20
	Cash dividends	$0.16	$0.16	$0.15	$0.21	$0.15	$0.47	$0.45

	Weighted average shares (basic)	164,566	165,854	166,605	167,504	167,353	165,667	162,979
	Weighted average shares (diluted)	166,023	167,191	168,401	169,136	168,781	167,181	164,254


FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
(dollars in thousands)
		Three months ended
		September 30, 2023						June 30, 2023						September 30, 2022
		Average				Yield/		Average				Yield/		Average				Yield/
		Balance		Interest(1)		Rate		Balance		Interest(1)		Rate		Balance		Interest(1)		Rate
ASSETS

Interest-earning assets:
	Net loans	$	21,121,277	$	304,167	5.72	%	$	20,866,235	$	287,154	5.52	%	$	19,563,825	$	207,343	4.21	%
	Investment securities(2)	4,197,550		27,274		2.59	%	4,234,096		27,303		2.57	%	4,500,461		28,022		2.49	%
	Other interest-earning assets	263,244		3,372		5.11	%	529,582		4,860		3.68	%	631,771		2,297		1.45	%
	Total Interest-Earning Assets	25,582,071		334,813		5.20	%	25,629,913		319,317		4.99	%	24,696,057		237,662		3.83	%

Noninterest-Earning assets:
	Cash and due from banks	306,496						129,682						152,349
	Premises and equipment	217,447						216,847						223,880
	Other assets	1,562,233						1,541,657						1,545,812
	Less: ACL - loans(3)	(290,411)						(282,532)						(261,003)
	Total Assets	$	27,377,836					$	27,235,567					$	26,357,095

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-Bearing liabilities:
	Demand deposits	$	5,740,229	$	18,690	1.29	%	$	5,535,669	$	14,612	1.06	%	$	5,708,059	$	1,886	0.13	%
	Savings deposits	6,676,792		34,277		2.04	%	6,632,572		29,289		1.77	%	6,681,713		3,414		0.20	%
	Brokered deposits	937,657		12,250		5.18	%	954,773		12,135		5.10	%	247,105		1,346		2.16	%
	Time deposits	2,330,206		18,939		3.22	%	2,063,038		13,763		2.68	%	1,615,384		3,404		0.84	%
	Total Interest-Bearing Deposits	15,684,884		84,156		2.13	%	15,186,052		69,799		1.84	%	14,252,261		10,050		0.28	%

	Borrowings and other interest-bearing liabilities	2,691,087		32,373		4.74	%	2,790,860		32,261		4.60	%	1,359,348		8,060		2.35	%
	Total Interest-Bearing Liabilities	18,375,971		116,529		2.51	%	17,976,912		102,060		2.27	%	15,611,609		18,110		0.47	%

Noninterest-Bearing liabilities:
	Demand deposits	5,672,411						6,021,091						7,535,791
	Other noninterest-bearing liabilities	683,477						590,100						605,638
	Total Liabilities	24,731,859						24,588,103						23,753,038
	Total Deposits/Cost of Deposits	21,357,295				1.56	%	21,207,143				1.32	%	21,788,052				0.18	%
	Total interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds")	24,048,382				1.92	%	23,998,003				1.70	%	23,147,400				0.31	%

	Shareholders' equity	2,645,977						2,647,464						2,604,057
	Total Liabilities and Shareholders' Equity	$	27,377,836					$	27,235,567					$	26,357,095

	Net interest income/net interest margin (fully taxable equivalent)			218,284		3.40	%			217,257		3.40	%			219,552		3.54	%
	Tax equivalent adjustment			(4,442)						(4,405)						(3,970)
	Net Interest Income			$	213,842					$	212,852					$	215,582

	(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.
	(2) Balances include amortized historical cost for available for sale ("AFS") securities. The related unrealized holding gains (losses) are included in other assets.
	(3) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.


FULTON FINANCIAL CORPORATION
AVERAGE LOANS, DEPOSITS AND BORROWINGS DETAIL (UNAUDITED):
(dollars in thousands)
		Three months ended
		Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
		2023		2023		2023		2022		2022
Loans, by type:
	Real estate - commercial mortgage	$	7,912,801	$	7,775,436	$	7,720,975	$	7,696,997	$	7,566,259
	Commercial and industrial	4,611,376		4,629,919		4,565,923		4,372,935		4,250,573
	Real estate - residential mortgage	5,209,105		5,008,295		4,790,868		4,643,784		4,485,649
	Real estate - home equity	1,045,806		1,066,615		1,086,032		1,106,325		1,099,487
	Real estate - construction	1,254,577		1,306,286		1,276,145		1,209,998		1,268,590
	Consumer	761,273		763,407		721,248		679,108		604,634
	Leases and other loans(1)	326,339		316,277		301,905		295,366		288,633




	Total Net Loans	$	21,121,277	$	20,866,235	$	20,463,096	$	20,004,513	$	19,563,825

Deposits, by type:
	Noninterest-bearing demand	$	5,672,411	$	6,021,091	$	6,641,741	$	7,310,824	$	7,535,791
	Interest-bearing demand	5,740,229		5,535,669		5,326,566		5,479,443		5,708,059
	Savings	6,676,792		6,632,572		6,469,468		6,466,775		6,681,713
	Total demand and savings	18,089,432		18,189,332		18,437,775		19,257,042		19,925,563
	Brokered	937,657		954,773		439,670		215,729		247,105
	Time	2,330,206		2,063,038		1,696,878		1,554,885		1,615,384
	Total Deposits	$	21,357,295	$	21,207,143	$	20,574,323	$	21,027,656	$	21,788,052

Borrowings, by type:
	Federal funds purchased	$	634,163	$	679,401	$	505,142	$	261,737	$	96,965
	Federal Home Loan Bank advances	793,098		880,811		1,261,589		564,692		206,152
	Senior debt and subordinated debt	540,086		539,906		539,726		539,550		554,735
	Other borrowings and other interest-bearing liabilities	723,740		690,742		752,227		659,543		501,496
	Total Borrowings	$	2,691,087	$	2,790,860	$	3,058,684	$	2,025,522	$	1,359,348


(1) Includes equipment lease financing, overdraft and net origination fees and costs.


FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
(dollars in thousands)
		Nine months ended September 30
		2023						2022
		Average				Yield/		Average				Yield/
		Balance		Interest(1)		Rate		Balance		Interest(1)		Rate
ASSETS

Interest-earning assets:
	Net loans	$	20,819,280	$	854,384	5.49	%	$	18,865,672	$	524,150	3.71	%
	Investment securities(2)	4,240,093		82,098		2.58	%	4,376,084		78,334		2.39	%
	Other interest-earning assets	427,810		11,882		3.71	%	954,267		5,192		0.73	%
	Total Interest-Earning Assets	25,487,183		948,364		4.97	%	24,196,023		607,676		3.35	%

Noninterest-Earning assets:
	Cash and due from banks	193,083						158,267
	Premises and equipment	219,087						220,218
	Other assets	1,555,891						1,534,314
	Less: ACL - loans(3)	(282,144)						(253,725)
	Total Assets	$	27,173,100					$	25,855,097

LIABILITIES AND SHAREHOLDERS' EQUITY

Interest-Bearing liabilities:
	Demand deposits	$	5,535,671	$	41,756	1.01	%	$	5,657,165	$	3,411	0.08	%
	Savings deposits	6,593,703		84,102		1.71	%	6,515,529		5,561		0.11	%
	Brokered deposits	779,191		29,557		5.07	%	254,100		2,181		1.14	%
	Time deposits	2,032,360		40,160		2.64	%	1,633,053		10,299		0.84	%
	Total Interest-Bearing Deposits	14,940,925		195,575		1.75	%	14,059,847		21,452		0.20	%

	Borrowings and other interest-bearing liabilities	2,848,704		97,247		4.53	%	1,133,524		19,816		2.34	%
	Total Interest-Bearing Liabilities	17,789,629		292,822		2.20	%	15,193,371		41,268		0.36	%

Noninterest-Bearing liabilities:
	Demand deposits	6,108,197						7,538,597
	Other	639,569						515,615
	Total Liabilities	24,537,395						23,247,583
	Total Deposits/Cost of Deposits	21,049,122				1.24	%	21,598,444				0.13	%
	Total interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds")	23,897,826				1.63	%	22,731,968				0.24	%

	Shareholders' equity	2,635,705						2,607,514
	Total Liabilities and Shareholders' Equity	$	27,173,100					$	25,855,097

	Net interest income/net interest margin (fully taxable equivalent)			655,542		3.44	%			566,408		3.13	%
	Tax equivalent adjustment			(13,261)						(10,685)
	Net Interest Income			$	642,281					$	555,723

	(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.
	(2) Balances include amortized historical cost for AFS. The related unrealized holding gains (losses) are included in other assets.
	(3) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.


FULTON FINANCIAL CORPORATION
AVERAGE LOANS, DEPOSITS AND BORROWINGS DETAIL (UNAUDITED):
(dollars in thousands)

		Nine months ended September 30
		2023		2022
Loans, by type:
	Real estate - commercial mortgage	$	7,803,775	$	7,401,094
	Commercial and industrial	4,602,573		4,205,236
	Real estate - residential mortgage	5,004,289		4,143,850
	Real estate - home equity	1,066,003		1,099,310
	Real estate - construction	1,278,923		1,197,947
	Consumer	748,788		532,396
	Leases and other loans(1)	314,929		285,839
	Total Net Loans	$	20,819,280	$	18,865,672

Deposits, by type:
	Noninterest-bearing demand	$	6,108,197	$	7,538,597
	Interest-bearing demand	5,535,671		5,657,165
	Savings	6,593,703		6,515,529
	Total demand and savings	18,237,571		19,711,291
	Brokered	779,191		254,100
	Time	2,032,360		1,633,053
	Total Deposits	$	21,049,122	$	21,598,444

Borrowings, by type:
	Federal funds purchased	$	606,708	$	33,629
	Federal Home Loan Bank advances	976,783		69,473
	Senior debt and subordinated debt	539,907		572,690
	Other borrowings	725,306		457,732
	Total Borrowings	$	2,848,704	$	1,133,524

(1) Includes equipment lease financing, overdraft and net origination fees and costs.


FULTON FINANCIAL CORPORATION
ASSET QUALITY INFORMATION (UNAUDITED)
(dollars in thousands)
		Three months ended															Nine Months Ended
		Sep 30			Jun 30			Mar 31			Dec 31			Sep 30			Sep 30			Sep 30
		2023			2023			2023			2022			2022			2023			2022
Allowance for credit losses related to net loans:
Balance at beginning of period		$	287,442		$	278,695		$	269,366		$	266,838		$	248,564		$	269,366		$	249,001

	CECL Day 1 provision expense	—			—			—			—			7,954			—			7,954

	Initial purchased credit deteriorated loans	—			—			—			—			1,135			—			1,135

	Loans charged off:
	Real estate - commercial mortgage	(860)			(230)			(13,362)			(12,235)			(86)			(14,452)			(238)
	Commercial and industrial	(3,220)			(2,017)			(612)			(179)			(1,783)			(5,849)			(2,211)
	Real estate - residential mortgage	—			(62)			—			—			—			(62)			(66)
	Consumer and home equity	(1,803)			(1,313)			(2,206)			(1,311)			(1,172)			(5,322)			(3,101)

	Leases and other loans(1)	(1,396)			(1,165)			(723)			(505)			(683)			(3,284)			(1,626)
	Total loans charged off	(7,279)			(4,787)			(16,903)			(14,230)			(3,724)			(28,969)			(7,242)
Recoveries of loans previously charged off:
	Real estate - commercial mortgage	101			29			786			183			29			916			3,677
	Commercial and industrial	620			988			1,086			961			2,213			2,694			4,932
	Real estate - residential mortgage	37			58			48			10			101			143			415
	Consumer and home equity	1,023			959			661			683			682			2,643			1,898
	Real estate - construction	—			569			202			530			—			771			44
	Leases and other loans(1)	400			213			116			132			247			729			627
	Recoveries of loans previously charged off	2,181			2,816			2,899			2,499			3,272			7,896			11,593
Net loans recovered (charged off)		(5,098)			(1,971)			(14,004)			(11,731)			(452)			(21,073)			4,351
Provision for credit losses		10,395			10,718			23,333			14,259			9,637			44,446			4,397
Balance at end of period		$	292,739		$	287,442		$	278,695		$	269,366		$	266,838		$	292,739		$	266,838
Net (recoveries) charge-offs to average loans		0.10		%	0.04		%	0.27		%	0.23		%	0.01		%	0.13		%	(0.03)		%

Provision for credit losses related to OBS Credit Exposures


	Provision for credit losses	$	(458)		$	(971)		$	1,211		$	254		$	1,367		$	(218)		$	1,157



NON-PERFORMING ASSETS:
	Non-accrual loans	$	113,022		$	123,280		$	134,303		$	144,443		$	178,204
	Loans 90 days past due and accruing	27,962			24,415			30,336			27,463			14,559
	Total non-performing loans	140,984			147,695			164,639			171,906			192,763
	Other real estate owned	2,549			3,881			3,304			5,790			5,877
	Total non-performing assets	$	143,533		$	151,576		$	167,943		$	177,696		$	198,640

NON-PERFORMING LOANS, BY TYPE:
	Real estate - commercial mortgage	$	44,058		$	55,048		$	61,322		$	72,634		$	96,281
	Commercial and industrial	33,365			30,588			33,555			28,288			29,831
	Real estate - residential mortgage	40,560			39,157			46,576			46,509			41,597
	Consumer and home equity	11,580			10,469			8,983			9,800			10,016
	Real estate - construction	677			1,099			1,509			1,368			1,456
	Leases and other loans(1)	10,744			11,334			12,694			13,307			13,582
	Total non-performing loans	$	140,984		$	147,695		$	164,639		$	171,906		$	192,763

(1) Includes equipment lease financing, overdraft and net origination fees and costs.


FULTON FINANCIAL CORPORATION
RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED)
(dollars in thousands, except per share data)

Explanatory note:	This press release contains supplemental financial information, as detailed below, that has been derived by methods other than GAAP. The Corporation has presented these non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Corporation evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation's industry. Management believes that these non-GAAP financial measures, in addition to GAAP measures, are also useful to investors to evaluate the Corporation's results. Investors should recognize that the Corporation's presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures, and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measure follow:

		Three months ended
		Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
		2023		2023		2023		2022		2022
Operating net income available to common shareholders
Net income available to common shareholders		$	69,535	$	77,045	$	65,752	$	79,271	$	68,309
Plus: Core deposit intangible amortization		441		912		514		514		514
Plus: Merger-related expenses		—		—		—		1,894		7,006
Plus: CECL Day 1 Provision expense		—		—		—		—		7,954
Plus: Interest rate derivative transition valuation(1)		2,958		—		—		—		—
Less: Tax impact of adjustments		(714)		(192)		(108)		(506)		(3,250)
Operating net income available to common shareholders (numerator)		$	72,220	$	77,765	$	66,158	$	81,173	$	80,533

Weighted average shares (diluted) (denominator)		166,023		167,191		168,401		169,136		168,781

Operating net income available to common shareholders, per share (diluted)		$	0.43	$	0.47	$	0.39	$	0.48	$	0.48

Common shareholders' equity (tangible), per share
Shareholders' equity		$	2,566,693	$	2,642,152	$	2,618,998	$	2,579,757	$	2,471,159
Less: Preferred stock		(192,878)		(192,878)		(192,878)		(192,878)		(192,878)
Less: Goodwill and intangible assets		(561,284)		(561,885)		(563,502)		(560,824)		(561,495)
Tangible common shareholders' equity (numerator)		$	1,812,531	$	1,887,389	$	1,862,618	$	1,826,055	$	1,716,786

Shares outstanding, end of period (denominator)		164,084		166,097		165,396		167,599		167,399

Common shareholders' equity (tangible), per share		$	11.05	$	11.36	$	11.26	$	10.90	$	10.26

Operating return on average assets
Net income		$	72,097	$	79,607	$	68,314	$	81,833	$	70,871
Plus: Core deposit intangible amortization		441		912		514		514		514
Plus: Merger-related expenses		—		—		—		1,894		7,006
Plus: CECL Day 1 Provision expense		—		—		—		—		7,954
Plus: Interest rate derivative transition valuation(1)		2,958		—		—		—		—
Less: Tax impact of adjustments		(714)		(192)		(108)		(506)		(3,250)
Operating net income (numerator)		$	74,782	$	80,327	$	68,720	$	83,735	$	83,095

Total average assets		$	27,377,836	$	27,235,567	$	26,900,653	$	26,386,355	$	26,357,095
Less: Average net core deposit intangible		(5,548)		(6,417)		(6,937)		(7,478)		(8,053)
Total operating average assets (denominator)		$	27,372,288	$	27,229,150	$	26,893,716	$	26,378,877	$	26,349,042

Operating return on average assets		1.08%		1.18%		1.04%		1.26%		1.25%

(1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.


	Three months ended
	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
	2023		2023		2023		2022		2022
Return on average common shareholders' equity (tangible)
Net income available to common shareholders	$	69,535	$	77,045	$	65,752	$	79,271	$	68,309
Plus: Intangible amortization	601		1,072		674		688		690
Plus: Merger-related expenses	—		—		—		1,894		7,006
Plus: CECL Day 1 Provision expense	—		—		—		—		7,954
Plus: Interest rate derivative transition valuation(1)	2,958		—		—		—		—
Less: Tax impact of adjustments	(747)		(225)		(142)		(542)		(3,287)
Operating net income available to common shareholders (numerator)	$	72,347	$	77,892	$	66,284	$	81,311	$	80,672

Average shareholders' equity	$	2,645,977	$	2,647,464	$	2,613,316	$	2,489,148	$	2,604,057
Less: Average preferred stock	(192,878)		(192,878)		(192,878)		(192,878)		(192,878)
Less: Average goodwill and intangible assets	(561,578)		(563,146)		(561,744)		(561,219)		(562,285)
Average tangible common shareholders' equity (denominator)	$	1,891,521	$	1,891,440	$	1,858,694	$	1,735,051	$	1,848,894

Return on average common shareholders' equity (tangible)	15.17%		16.52%		14.46%		18.59%		17.31%

Tangible common equity to tangible assets (TCE Ratio)
Shareholders' equity	$	2,566,693	$	2,642,152	$	2,618,998	$	2,579,757	$	2,471,159
Less: Preferred stock	(192,878)		(192,878)		(192,878)		(192,878)		(192,878)
Less: Goodwill and intangible assets	(561,284)		(561,885)		(563,502)		(560,824)		(561,495)
Tangible common shareholders' equity (numerator)	$	1,812,531	$	1,887,389	$	1,862,618	$	1,826,055	$	1,716,786

Total assets	$	27,380,836	$	27,403,163	$	27,112,176	$	26,931,702	$	26,146,042
Less: Goodwill and intangible assets	(561,284)		(561,885)		(563,502)		(560,824)		(561,495)
Total tangible assets (denominator)	$	26,819,552	$	26,841,278	$	26,548,674	$	26,370,878	$	25,584,547

Tangible common equity to tangible assets	6.76%		7.03%		7.02%		6.92%		6.71%

Tangible common equity to tangible assets (TCE Ratio) excluding AOCI
Shareholders' equity	$	2,566,693	$	2,642,152	$	2,618,998	$	2,579,757	$	2,471,159
Less: Preferred stock	(192,878)		(192,878)		(192,878)		(192,878)		(192,878)
Less: Accumulated other comprehensive (income) loss	472,756		379,286		350,992		385,476		442,947
Less: Goodwill and intangible assets	(561,284)		(561,885)		(563,502)		(560,824)		(561,495)
Tangible common shareholders' equity (numerator)	$	2,285,287	$	2,266,675	$	2,213,610	$	2,211,531	$	2,159,733

Total assets	$	27,380,836	$	27,403,163	$	27,112,176	$	26,931,702	$	26,146,042
Less: Goodwill and intangible assets	(561,284)		(561,885)		(563,502)		(560,824)		(561,495)
Plus: AOCI - unrealized losses/(gains) on AFS investments securities	415,369		311,813		282,092		632,456		368,196
Total tangible assets (denominator)	$	27,234,921	$	27,153,091	$	26,830,766	$	27,003,334	$	25,952,743

Tangible common equity to tangible assets, excluding AOCI	8.39%		8.35%		8.25%		8.19%		8.32%

(1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.


	Three months ended
	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
	2023		2023		2023		2022		2022
Efficiency ratio
Non-interest expense	$	171,020	$	168,018	$	159,616	$	168,462	$	169,558
Less: Amortization of tax credit investments	—		—		—		(696)		(696)
Less: Merger-related expenses	—		—		—		(1,894)		(7,006)
Less: Intangible amortization	(601)		(1,072)		(674)		(688)		(690)

Non-interest expense (numerator)	$	170,419	$	166,946	$	158,942	$	165,184	$	161,166

Net interest income	$	213,842	$	212,852	$	215,587	$	225,911	$	215,582
Tax equivalent adjustment	4,442		4,405		4,414		4,310		3,970
Plus: Total non-interest income	55,961		60,585		51,753		54,321		59,162
Plus: Interest rate derivative transition valuation(1)	2,958		—		—		—		—
Less: Investment securities (gains) losses, net	—		4		(23)		1		53
Total revenue (denominator)	$	277,203	$	277,846	$	271,731	$	284,543	$	278,767

Efficiency ratio	61.5%		60.1%		58.5%		58.1%		57.8%


























Operating non-interest expenses to total average assets
Non-interest expense	$	171,020	$	168,018	$	159,616	$	168,462	$	169,558
Less: Amortization of tax credit investments	—		—		—		(696)		(696)
Less: Intangible amortization	(601)		(1,072)		(674)		(688)		(690)
Less: Merger-related expenses	—		—		—		(1,894)		(7,006)

Non-interest expense (numerator)	$	170,419	$	166,946	$	158,942	$	165,184	$	161,166

Total average assets (denominator)	$	27,377,836	$	27,235,567	$	26,900,653	$	26,386,355	$	26,357,095

Operating non-interest expenses to total average assets	2.47%		2.46%		2.40%		2.48%		2.43%


























Pre-provision net revenue
Net interest income	$	213,842	$	212,852	$	215,587	$	225,911	$	215,582
Non-interest income	55,961		60,585		51,753		54,321		59,162
Plus: Interest rate derivative transition valuation(1)	2,958		—		—		—		—
Less: Investment securities (gains) losses, net	—		4		(23)		1		53
Total revenue	$	272,761	$	273,441	$	267,317	$	280,233	$	274,797

Non-interest expense	$	171,020	$	168,018	$	159,616	$	168,462	$	169,558
Less: Amortization on tax credit investments	—		—		—		(696)		(696)
Less: Merger-related expenses	—		—		—		(1,894)		(7,006)
Less: Intangible amortization	(601)		(1,072)		(674)		(688)		(690)

Total non-interest expense	$	170,419	$	166,946	$	158,942	$	165,184	$	161,166

Pre-provision net revenue	$	102,342	$	106,495	$	108,375	$	115,049	$	113,631

	Nine months ended
	Sep 30
	2023
Operating net income available to common shareholders
Net income available to common shareholders	$	212,331
Plus: Core deposit intangible amortization	1,867
Plus: Merger-related expenses	—
Plus: CECL Day 1 Provision expense	—
Plus: Interest rate derivative transition valuation(1)	2,958
Less: Tax impact of adjustments	(1,013)
Operating net income available to common shareholders (numerator)	$	216,143

Weighted average shares (diluted) (denominator)	167,181

Operating net income available to common shareholders, per share (diluted)	$	1.29

(1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.
Note: numbers in this report may not sum due to rounding.

EX-99.2 3 exhibit99293023earningsc.htm EX-99.2 exhibit99293023earningsc

THIRD QUARTER 2023 RESULTS NASDAQ: FULT Data as of or for the period ended September 30, 2023 unless otherwise noted

This presentation may contain forward-looking statements with respect to Fulton Financial Corporation's (the "Corporation") financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," “projects,” the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation’s future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation’s business or financial results. Management’s "2023 Outlook" contained herein is comprised of forward-looking statements. Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation’s business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation’s control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation’s actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2022, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2023 and June 30, 2023 and other current and periodic reports, which have been, or will be, filed with the Securities and Exchange Commission (the "SEC") and are, or will be, available in the Investor Relations section of the Corporation’s website (www.fultonbank.com) and on the SEC’s website (www.sec.gov). The Corporation uses certain financial measures in this presentation that have been derived by methods other than generally accepted accounting principles ("GAAP"). These non-GAAP financial measures are reconciled to the most comparable GAAP measures at the end of this presentation. FORWARD-LOOKING STATEMENTS 2

A DEPOSIT PORTFOLIO THAT REMAINS GRANULAR, TENURED AND DIVERSIFIED 3

4 THE LOAN MIX IS DIVERSIFIED, GRANULAR, WITH LOW CRE AND LOW OFFICE CONCENTRATIONS

THE OFFICE PORTFOLIO HAS BEEN ORIGINATED OVER TIME, WILL MATURE OVER TIME, AND REMAINS GRANULAR AND DIVERSE 5

(1) Non-GAAP financial measure. Please refer to the calculation and management’s reasons for using this measure on the slide titled “Non-GAAP Reconciliation” at the end of this presentation. INCOME STATEMENT SUMMARY 6 3Q23 2Q23 3Q22 (dollars in thousands, except per-share data) Net interest income $213,842 $212,852 $215,582 Provision for credit losses 9,937 9,747 18,958 Non-interest income 55,961 60,589 59,215 Securities gains (losses) — (4) (53) Non-interest expense 171,020 168,018 162,552 Merger-related expenses — — 7,006 Income before income taxes 88,846 95,672 86,228 Income taxes 16,749 16,065 15,357 Net income 72,097 79,607 70,871 Preferred stock dividends (2,562) (2,562) (2,562) Net income available to common shareholders $69,535 $77,045 $68,309 Net income available to common shareholders, per share (diluted) $0.42 $0.46 $0.40 Operating net income available to common shareholders, per share (diluted)(1) $0.43 $0.47 $0.48 ROAA 1.04% 1.17% 1.07% Operating ROAA(1) 1.08% 1.18% 1.25% ROAE 11.25% 12.59% 11.24% ROAE (tangible)(1) 15.17% 16.52% 17.31% Efficiency ratio(1) 61.5% 60.1% 57.8%

THE NONINTEREST-BEARING DEPOSIT MIX HAS TRENDED UP OVER TIME DESPITE PERIODIC CHANGES IN INTEREST RATES 7

NET INTEREST INCOME AND MARGIN Net Interest Income & Net Interest Margin Average Interest-Earning Assets & Yields Average Deposits and Borrowings & Other & Cost of Funds (DOLLARS IN MILLIONS) (DOLLARS IN BILLIONS) (DOLLARS IN BILLIONS) 8 $22 $21 $21 $21 $21 $1 $2 $3 $3 $3 0.31% 0.72% 1.27% 1.70% 1.92% 0.18% 0.42% 0.82% 1.32% 1.56% Cost of Deposits Cost of Funds Borrowings & Other Deposits 3Q22 4Q22 1Q23 2Q23 3Q23 $12 $15 $18 $21 $24 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% $216 $226 $216 $213 $214 3.54% 3.69% 3.53% 3.40% 3.40% Net Interest Income Net Interest Margin (Fully-taxable equivalent basis, or FTE) 3Q22 4Q22 1Q23 2Q23 3Q23 $50 $75 $100 $125 $150 $175 $200 $225 $250 2.50% 2.75% 3.00% 3.25% 3.50% 3.75% 4.00% 4.25% 4.50% $20 $20 $20 $21 $21 $5 $5 $5 $5 $4 3.83% 4.36% 4.73% 4.99% 5.20% Loans Securities & Other Interest-Earning Asset Yield (FTE) 3Q22 4Q22 1Q23 2Q23 3Q23 $5 $10 $15 $20 $25 4.00% 6.00% 8.00% 10.00%

ASSET QUALITY (DOLLARS IN MILLIONS) Provision for Credit Losses Non-Performing Loans ("NPLs") & NPLs to Loans Net Charge-offs ("NCOs") and NCOs to Average Loans ACL(2) to NPLs & Loans 9(1) Includes the CECL Day 1 provision for credit losses of $8.0 million for the acquired Prudential Bancorp, Inc. loan portfolio. (2) The allowance for credit losses (“ACL”) relates specifically to "Loans, net of unearned income" and does not include reserves related to off-balance-sheet credit exposures. $19 $15 $25 $10 $10 3Q22 4Q22 1Q23 2Q23 3Q23 $— $5 $10 $15 $20 $25 $30 $193 $172 $165 $148 $141 0.98% 0.85% 0.80% 0.70% 0.67% NPL NPLs/Loans 3Q22 4Q22 1Q23 2Q23 3Q23 $100 $125 $150 $175 $200 0.00% 0.50% 1.00% $0 $12 $14 $2 $5 0.01% 0.23% 0.27% 0.04% 0.10% Net charge-offs/(recoveries) NCOs/Average Loans (annualized) 3Q22 4Q22 1Q23 2Q23 3Q23 $0 $3 $6 $9 $12 $15 $18 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% 138% 157% 169% 195% 208% 1.35% 1.33% 1.35% 1.37% 1.38% ACL/NPLs ACL/Loans 3Q22 4Q22 1Q23 2Q23 3Q23 50% 75% 100% 125% 150% 175% 200% 225% 1.00% 1.25% 1.50% 1.75% 2.00% (1)

NON-INTEREST INCOME(1) (1) Excluding investment securities gains. Three months ended September 30, 2023 (percent of total non-interest income) 10 Decreases in: n Other income from a $3.0 million market valuation movement in our commercial customer interest rate swap program resulting from the reference rate transition from the London Inter-Bank Offered Rate ("LIBOR") to the Secured Overnight Financing Rate ("SOFR"). n Commercial banking customer interest rate swap fees from ongoing operations. Increases in: n Wealth management due to a favorable impact from the equity markets for the period and stronger revenues from the Fulton Private Bank division of Fulton Bank, N.A.. n Consumer banking primarily due to overdraft fees. 35% 6% 21% 35% 3% 3Q23 2Q23 Change (dollars in thousands) n Commercial Banking $19,722 $23,145 ($3,423) n Wealth Management 19,413 18,678 735 n Consumer Banking 12,173 11,720 453 n Mortgage Banking 3,190 2,940 250 n Other 1,463 4,106 (2,643) Total $55,961 $60,589 ($4,628) Non-interest income decreased 7.6% from 2Q23(1) due primarily to:

NON-INTEREST EXPENSE Three months ended September 30, 2023 (percent of total non-interest expense) 11 57% 10% 8% 7% 3% 2% 1% 12% 3Q23 2Q23 Change (dollars in thousands) n Salaries and Benefits $96,757 $94,102 $2,655 n Data Processing and Software 16,914 16,776 138 n Net Occupancy 14,561 14,374 187 n Other Outside Services 12,094 10,834 1,260 n FDIC Insurance 4,738 4,895 (157) n Equipment 3,475 3,530 (55) n Marketing 1,913 1,655 258 n Other 20,568 21,852 (1,284) Total $171,020 $168,018 $3,002 Increases in: n Salaries and employee benefits expense primarily due to one additional calendar day. n Other outside services driven by a number of corporate initiatives. Decreases in: n Other expense primarily due to a decrease in charitable contributions and gain on sales from fixed asset disposals. . Non-interest expense increased 1.8% from 2Q23 due primarily to:

CAPITAL RATIOS(1) 12 (1) Regulatory capital ratios and excess capital amounts as of September 30, 2023 are preliminary estimates. (2) Excesses shown are to regulatory minimums, including the 250 basis point capital conservation buffer, except for Tier 1 Leverage which is the well- capitalized minimum. 9.4% 10.1% 11.0% 13.8% Regulatory Minimums Excess Tier 1 Leverage CE Tier 1 Tier 1 Risk-Based Total Risk-Based —% 2.5% 5.0% 7.5% 10.0% 12.5% 15.0% 17.5% $1,168 $566 $716 $759 (as of September 30, 2023) (dollars in millions) (2)

CAPITAL RATIOS ADJUSTED FOR UNREALIZED LOSSES ON INVESTMENT SECURITIES(1) 13 (1) Regulatory capital ratios and excess capital amounts as of September 30, 2023 are preliminary estimates. (2) Excesses shown are to regulatory minimums, including the 250 basis point capital conservation buffer, except for Tier 1 Leverage which is the well-capitalized minimum. (3) Tier 1 Leverage and CE Tier 1 capital ratios were adjusted to incorporate unrealized losses, net of tax, on held-to-maturity investment securities of $156.7 million and unrealized losses net of tax, on available-for-sale investment securities of $371.0 million. (4) Non-GAAP financial measure. Please refer to the calculation and management’s reasons for using this measure on the slide titled “Non-GAAP Reconciliation” at the end of this presentation. 6.2% 7.5% 7.8% —% 2.5% 5.0% 7.5% 10.0% 12.5% $653 $183 (as of September 30, 2023) (dollars in millions) n Regulatory Minimums n Excess(2) | | | | | | | | | | | | | Tier 1 Leverage(3) CE Tier 1(3) TCE(4)

A COMMITTED AND HEALTHY LIQUIDITY PROFILE WITH SIGNIFICANT COVERAGE 14 (dollars in thousands)(dollars in thousands)

2023 OUTLOOK 15 Net interest income: $845 - $855 million(1) Non-interest income: $220 - $230 million(2) Provision for credit losses: $55 - $65 million Non-interest expense: $665 million +/-(3) Effective tax rate: 17.5% +/- (1) Assumes Fed Funds Rate increase of 25 bps in November 2023. Updated as of 3Q23, previously: $830 - $840 million. (2) Excludes investment securities gains and the 3Q23 market valuation amount for the movement related to our commercial customer swap program. (3) Updated as of 3Q23, previously: $645 - $660 million.

NON-GAAP RECONCILIATION 16 Note: The Corporation has presented the following non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Corporation evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation's industry. Investors should recognize that the Corporation's presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety. Three months ended (dollars in thousands) Sep 30 Jun 30 Sep 30 2023 2023 2022 Operating net income available to common shareholders Net income available to common shareholders $69,535 $77,045 $68,309 Plus: Core deposit intangible amortization 441 912 514 Plus: Merger-related expenses — — 7,006 Plus: CECL Day 1 Provision expense — — 7,954 Plus: Interest rate derivative transition valuation(1) 2,958 — — Less: Tax impact of adjustments (714) (192) (3,250) Operating net income available to common shareholders (numerator) $72,220 $77,765 $80,533 Weighted average shares (diluted) (denominator) 166,023 167,191 168,781 Operating net income available to common shareholders, per share (diluted) $0.43 $0.47 $0.48 (1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.

NON-GAAP RECONCILIATION 17 Three months ended (dollars in thousands) Sep 30 Jun 30 Sep 30 2023 2023 2022 Operating return on average assets Net income $72,097 $79,607 $70,871 Plus: Core deposit intangible amortization 441 912 514 Plus: Merger-related expenses — — 7,006 Plus: CECL Day 1 Provision expense — — 7,954 Plus: Interest rate derivative transition valuation(1) 2,958 — — Less: Tax impact of adjustments (714) (192) (3,250) Operating net income (numerator) $74,782 $80,327 $83,095 Total average assets $27,377,836 $27,235,567 $26,357,095 Less: Average net core deposit intangible (5,548) (6,417) (8,053) Total average operating assets (denominator) $27,372,288 $27,229,150 $26,349,042 Operating return on average assets 1.08 % 1.18 % 1.25 % (1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.

NON-GAAP RECONCILIATION 18 Three months ended (dollars in thousands) Sep 30 Jun 30 Sep 30 2023 2023 2022 Return on average common shareholders' equity (tangible) Net income available to common shareholders $69,535 $77,045 $68,309 Plus: Intangible amortization 601 1,072 690 Plus: Merger-related expenses — — 7,006 Plus: CECL Day 1 Provision expense — — 7,954 Plus: Interest rate derivative transition valuation(1) 2,958 — — Less: Tax impact of adjustments (747) (225) (3,287) Operating net income available to common shareholders (numerator) $72,347 $77,892 $80,672 Average shareholders' equity $2,645,977 $2,647,464 $2,604,057 Less: Average preferred stock (192,878) (192,878) (192,878) Less: Average goodwill and intangible assets (561,578) (563,146) (562,285) Average tangible common shareholders' equity (denominator) $1,891,521 $1,891,440 $1,848,894 Return on average common shareholders' equity (tangible) 15.17 % 16.52 % 17.31 % (1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.

NON-GAAP RECONCILIATION 19 (dollars in thousands) Three months ended Sep 30 Jun 30 Sep 30 Efficiency ratio 2023 2023 2022 Non-interest expense $171,020 $168,018 $169,558 Less: Amortization of tax credit investments — — (696) Less: Merger-related expenses — — (7,006) Less: Intangible amortization (601) (1,072) (690) Non-interest expense (numerator) $170,419 $166,946 $161,166 Net interest income $213,842 $212,852 $215,582 Tax equivalent adjustment 4,442 4,405 3,970 Plus: Total non-interest income 55,961 60,585 59,162 Plus: Interest rate derivative transition valuation(1) 2,958 — — Less: Investment securities (gains) losses, net — 4 53 Total revenue (denominator) $277,203 $277,846 $278,767 Efficiency ratio 61.5% 60.1% 57.8% (1) Resulting from the reference rate transition from LIBOR to SOFR in the Corporation's commercial customer interest rate swap program.

20 Three months ended (dollars in thousands) Sep 30 2023 Adjusted tangible common equity to tangible assets (TCE Ratio) Shareholders' equity $ 2,566,693 Less: Preferred stock (192,878) Less: Goodwill and intangible assets (561,284) Less: Unrealized gain/(loss) - HTM (202,590) Less: Tax impact of adjustments 45,887 Adjusted tangible common shareholders' equity (numerator) $ 1,655,828 Total assets $ 27,380,836 Less: Goodwill and intangible assets (561,284) Less: Unrealized gain/(loss) - HTM (202,590) Less: Tax impact of adjustments 45,887 Adjusted total tangible assets (denominator) $ 26,662,849 Adjusted tangible common equity to tangible assets 6.2 % NON-GAAP RECONCILIATION