--- title: "PROSPERITY BANCSHARES, INC.® REPORTS SECOND QUARTER 2026 EARNINGS | PB Stock News" type: "News" locale: "en" url: "https://longbridge.com/en/news/294191513.md" description: "Prosperity Bancshares reported Q2 2026 net income of $168.6 million ($1.67 EPS), up 20.4% and 14.1% respectively from the prior year. The company completed the Stellar Bancorp merger on July 1, 2026, bringing total assets to over $53 billion. Excluding non-recurring items, net income was $162.7 million. Key metrics include a 3.47% net interest margin, low nonperforming assets at 0.34%, and strong returns on average assets and equity." datetime: "2026-07-29T02:30:00.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/294191513.md) - [en](https://longbridge.com/en/news/294191513.md) - [zh-HK](https://longbridge.com/zh-HK/news/294191513.md) generator: "portal-rs" --- # PROSPERITY BANCSHARES, INC.® REPORTS SECOND QUARTER 2026 EARNINGS | PB Stock News - **Completed the merger of Stellar Bancorp, Inc. into Prosperity Bancshares on July 1, 2026** - **Second quarter net interest margin increased 29 basis points to 3.47% compared to second quarter 2025** - **Second quarter net income of $168.6 million, and $162.7 million(1) excluding non-recurring items, an increase of 20.4% compared to second quarter 2025** - **Second quarter earnings per share (diluted) of $1.67, or $1.62 excluding non-recurring items, an increase of 14.1% compared to second quarter 2025** - **Noninterest-bearing deposits of $10.7 billion, representing 32.9% of total deposits** - **Allowance for credit losses on loans and on off-balance sheet credit exposure of $420.5 million and allowance for credit losses on loans to total loans, excluding Warehouse Purchase Program loans, of 1.61%(1)** - **Nonperforming assets remain low at 0.34% of second quarter average interest-earning assets** - **Return (annualized) on second quarter average assets of 1.55%, average common equity of 8.14% and average tangible common equity of 15.48%(1)** - **Repurchased 200 thousand shares of common stock during second quarter 2026, and 1.0 million shares during 2026** , /PRNewswire/ -- Prosperity Bancshares, Inc.® (NYSE: PB) ("Prosperity Bancshares"), the parent company of Prosperity Bank® (collectively, "Prosperity"), reported net income of $168.6 million for the quarter ended June 30, 2026, compared with $135.2 million for the same period in 2025. Net income per diluted common share was $1.67 for the quarter ended June 30, 2026, compared with $1.42 for the same period in 2025. On January 1, 2026, American Bank Holding Corporation ("American") merged into Prosperity Bancshares and American Bank, N.A. ("American Bank") merged into Prosperity Bank (collectively, the "American Merger"), and on February 1, 2026, Southwest Bancshares, Inc. ("Southwest") merged into Prosperity Bancshares and Texas Partners Bank ("Texas Partners") merged into Prosperity Bank (collectively, the "Southwest Merger"). During the second quarter of 2026, Prosperity incurred a net gain of $8.2 million, or $0.06(1) per diluted common share as a result of the exchange and conversion of Visa Class B-2 stock and the sale of investment securities, partially offset by merger related expenses of $755 thousand, or $0.01(1)per diluted common share. Excluding the net gain and merger related expenses, net income was $162.7(1) million and net income per diluted common share was $1.62(1) for the second quarter of 2026. The annualized return on second quarter average assets was 1.55%. Nonperforming assets remained low at 0.34% of second quarter average interest-earning assets. Subsequent to quarter end, on July 1, 2026, Stellar Bancorp, Inc. ("Stellar") merged into Prosperity Bancshares and Stellar Bank ("Stellar Bank") merged into Prosperity Bank (collectively, the "Stellar Merger"). "I am excited to announce that on July 1, 2026, Prosperity Bancshares completed the merger of Stellar and its wholly owned subsidiary Stellar Bank, headquartered in Houston, Texas. Stellar Bank operated 52 banking offices including its main office in Houston and banking offices in the Houston, Beaumont and East Texas areas and in Dallas, Texas. I am also pleased to announce that in connection with the mergers, Robert Franklin, former CEO of Stellar, and Joe Swinbank, a former Stellar director, have joined the Prosperity Bancshares Board of Directors and that Ray Vitulli, former CEO of Stellar Bank, and Pat Parsons, a former Stellar Bank director, have joined the Prosperity Bank Board of Directors. Pat was instrumental in building Stellar Bank's Beaumont franchise over the years," said David Zalman, Prosperity's Senior Chairman and Chief Executive Officer. "Texas has one of the strongest and most diverse state economies in the U.S., ranking as the second largest by GDP after California and approximately the 8th largest economy in the world. Oklahoma has a smaller but stable economy, heavily influenced by oil and gas, with more modest growth. Texas continues to shine as more people and companies move to the state because of the business-friendly political structure and no state income tax," stated Zalman. "Excluding the gain on Visa Class B-2 stock exchange net of investment securities sales and merger related expenses, as noted above, net income increased 20.4% and diluted earnings per share increased 14.1% compared with the same period last year," added Zalman. "We are pleased with our growth. Giving effect to the Stellar Bank merger, our assets are over $53 billion compared with $38 billion as of June 30, 2025. This represents a 39% growth over the year. I want to thank everyone involved in our company for helping to make it the success it has become," concluded Zalman. **Results of Operations for the Three Months Ended June 30, 2026** For the three months ended June 30, 2026, net income was $168.6 million(2) or $1.67 per diluted common share compared with $135.2 million(3) or $1.42 per diluted common share for the same period in 2025. Net income and net income per diluted common share for the second quarter of 2026 were primarily impacted by an increase in net interest income and a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million, partially offset by an increase in noninterest expenses related to the American and Southwest operations and an increase in provision for income taxes. On a linked quarter basis, net income was $168.6 million(2) or $1.67 per diluted common share for the three months ended June 30, 2026, compared with $116.3 million(4) or $1.16 for the three months ended March 31, 2026. The change was primarily due to an increase in net interest income, lower merger related expenses and a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million. Annualized returns on average assets, average common equity and average tangible common equity for the three months ended June 30, 2026, were 1.55%, 8.14% and 15.48%(1), respectively. Excluding the gain on Visa Class B-2 stock exchange net of investment securities sales, net of tax, and merger related expenses, net of tax, net income was $162.7(1)million and earnings per diluted common share was $1.62(1) for the three months ended June 30, 2026, and annualized returns on average assets, average common equity and average tangible common equity were 1.50%(1), 7.85%(1) and 14.93%(1), respectively. Prosperity's efficiency ratio (excluding net gains and losses on the sale, write-down or write-up of assets and securities) was 45.99%(1) for the three months ended June 30, 2026, and excluding the merger related expenses, the efficiency ratio was 45.79%(1). Net interest income before provision for credit losses was $330.6 million for the three months ended June 30, 2026, compared with $267.7 million for the same period in 2025, an increase of $62.8 million or 23.5%. The net interest margin on a tax equivalent basis was 3.47% for the three months ended June 30, 2026, compared with 3.18% for the same period in 2025. The changes to both measures were primarily due to the repricing of assets, a decrease in the average balance and average rate on other borrowings and the impact of the American Merger and the Southwest Merger. Net interest income before provision for credit losses increased $9.4 million or 2.9% to $330.6 million for the three months ended June 30, 2026, compared with $321.2 million for the three months ended March 31, 2026. The net interest margin on a tax equivalent basis was 3.47% for the three months ended June 30, 2026, compared with 3.51% for the three months ended March 31, 2026. The decrease was primarily due to one-time loan interest income from a nonaccrual loan in the first quarter of 2026. Noninterest income was $60.7 million for the three months ended June 30, 2026, compared with $43.0 million for the same period in 2025, an increase of $17.7 million or 41.2%. The change was primarily due to the American Merger and the Southwest Merger and a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million. Noninterest income was $60.7 million for the three months ended June 30, 2026, compared with $46.5 million for the three months ended March 31, 2026, an increase of $14.2 million or 30.6%. The change was primarily due to a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million and an increase in other noninterest income. Noninterest expense was $176.2 million for the three months ended June 30, 2026, compared with $138.6 million for the same period in 2025, an increase of $37.6 million. The change was primarily due to an increase in salaries and benefits and an increase in additional expenses related to three months of American and Southwest operations. Noninterest expense was $176.2 million for the three months ended June 30, 2026, compared with $217.3 million for the three months ended March 31, 2026, a decrease of $41.1 million, which was primarily due to lower merger related expenses. **Results of Operations for the Six Months Ended June 30, 2026** For the six months ended June 30, 2026, net income was $284.9 million(5) compared with $265.4 million(6) for the same period in 2025, an increase of $19.5 million or 7.3%. Net income per diluted common share was $2.84 for the six months ended June 30, 2026, compared with $2.79 for the same period in 2025, an increase of 1.8%. Net income and net income per diluted common share for the six months ended June 30, 2026, were impacted by the American Merger and the Southwest Merger, merger related expenses of $43.3 million and a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million. Returns on average assets, average common equity and average tangible common equity for the six months ended June 30, 2026, were 1.33%, 6.93% and 13.02%(1), respectively. Excluding the merger related expenses, net of tax, and gain on Visa Class B-2 stock exchange net of investment securities sales, net of tax, net income was $312.5(1)million and earnings per diluted common share was $3.12(1) for the six months ended June 30, 2026, and annualized returns on average assets, average common equity and average tangible common equity were 1.46%(1), 7.60%(1)and 14.29%(1), respectively. Prosperity's efficiency ratio (excluding net gains and losses on the sale or write-down of assets and securities) was 52.44%(1) for the six months ended June 30, 2026; and excluding merger related expenses, the efficiency ratio was 46.67%(1). Net interest income before provision for credit losses for the six months ended June 30, 2026, was $651.7 million compared with $533.1 million for the same period in 2025, an increase of $118.6 million or 22.2%. The net interest margin on a tax equivalent basis for the six months ended June 30, 2026, was 3.49% compared with 3.16% for the same period in 2025. The changes to both measures were primarily due to the repricing of assets, the impact of the American Merger and the Southwest Merger and a decrease in the average balance and average rate on other borrowings. Noninterest income was $107.2 million for the six months ended June 30, 2026, compared with $84.3 million for the same period in 2025, an increase of $22.9 million or 27.2%, primarily due to the American Merger and the Southwest Merger and a gain on Visa Class B-2 stock exchange net of investment securities sales of $8.2 million. Noninterest expense was $393.5 million for the six months ended June 30, 2026, compared with $278.9 million for the same period in 2025, an increase of $114.6 million, primarily due to an increase in merger related expenses of $43.3 million, an increase in salaries and benefits and an increase in additional expenses related to six months of American operations and five months of Southwest operations. **Balance Sheet Information** Prosperity had $43.873 billion in total assets at June 30, 2026, an increase of $5.455 billion or 14.2%, compared with $38.417 billion at June 30, 2025, primarily due to the American Merger and the Southwest Merger. Linked quarter total assets increased by $253.3 million compared with $43.619 billion at March 31, 2026. Loans were $25.028 billion at June 30, 2026, an increase of $2.831 billion or 12.8% from $22.197 billion at June 30, 2025. Linked quarter loans decreased $260.0 million from $25.288 billion at March 31, 2026. Loans, excluding Warehouse Purchase Program loans, were $23.738 billion at June 30, 2026, compared with $20.910 billion at June 30, 2025, an increase of $2.828 billion or 13.5%, and compared with $23.855 billion at March 31, 2026, a decrease of $117.0 million. Deposits were $32.600 billion at June 30, 2026, an increase of $5.126 billion or 18.7% from $27.473 billion at June 30, 2025, primarily due to the American Merger and the Southwest Merger. Linked quarter deposits decreased $33.1 million from $32.633 billion at March 31, 2026. **Asset Quality** Nonperforming assets totaled $130.6 million or 0.34% of quarterly average interest-earning assets at June 30, 2026, compared with $110.5 million or 0.33% of quarterly average interest-earning assets at June 30, 2025 and $122.1 million or 0.33% of quarterly average interest-earning assets at March 31, 2026. The allowance for credit losses on loans and off-balance sheet credit exposures was $420.5 million at June 30, 2026, compared with $383.7 million at June 30, 2025 and $421.5 million at March 31, 2026. There was no provision for credit losses for the three months and six months ended June 30, 2026 and 2025. The allowance for credit losses on loans was $382.8 million or 1.53% of total loans at June 30, 2026, compared with $346.1 million or 1.56% of total loans at June 30, 2025 and $383.8 million or 1.52% of total loans at March 31, 2026. The allowance for credit losses on loans increased during the six months ended June 30, 2026 due to the American Merger and the Southwest Merger, of which $47.5 million was attributable to the American Merger and $45.1 million was attributable to the Southwest Merger. Excluding Warehouse Purchase Program loans, the allowance for credit losses on loans to total loans was 1.61%(1) at June 30, 2026, compared with 1.66%(1) at June 30, 2025 and 1.61%(1) at March 31, 2026. Net charge-offs were $2.2 million for the three months ended June 30, 2026, compared with net charge-offs of $3.0 million for the three months ended June 30, 2025 and $41.3 million for the three months ended March 31, 2026. Net charge-offs for the three months ended June 30, 2026, included $962 thousand related to resolved purchased credit deteriorated ("PCD") loans, which had specific reserves that were allocated to the charge-offs. For the three months ended June 30, 2026, $10.3 million of reserves on resolved PCD loans without any related charge-offs were released to the general reserve. Net charge-offs were $43.5 million for the six months ended June 30, 2026, compared with net charge-offs of $5.7 million for the six months ended June 30, 2025. Net charge-offs for the six months ended June 30, 2026, included a $39.2 million increase in net charge-offs for commercial and industrial loans. Additionally, due to the American Merger and the Southwest Merger, reserves increased by Day One accounting for PCD loans of $53.3 million and Day One accounting for purchased seasoned loans ("PSLs") of $39.3 million. Further, $12.3 million of reserves on resolved PCD loans without any related charge-offs were released to the general reserve. **Visa Class B-2 Stock Exchange** During the second quarter 2026, Prosperity tendered all of its shares of Visa, Inc. ("Visa") Class B-2 common stock in exchange for a combination of Visa Class B-3 common stock and Visa Class C common stock, pursuant to the terms and subject to the conditions of Visa's public exchange offer, which expired on May 8, 2026. Prosperity recorded an unrealized gain of $12.2 million during the second quarter 2026 based on the conversion privilege of the Class C common stock and the closing price of Visa Class A common stock. In the exchange, Prosperity received 24,246 shares of Class B-3 stock, recorded at zero cost basis, and 9,137 shares of Class C common stock and subsequently sold 3,045 shares of Class C stock. Prosperity intends to sell all remaining shares of Class C stock as permitted by the exchange agreement. **Dividend** Prosperity Bancshares declared a third quarter 2026 cash dividend of $0.60 per share to be paid on October 1, 2026, to all shareholders of record as of September 15, 2026. **Stock Repurchase Program** On January 26, 2026, Prosperity Bancshares announced a stock repurchase program under which up to 5%, or approximately 4.87 million shares, of its outstanding common stock may be acquired over a one-year period expiring on January 26, 2027, at the discretion of management. Under its 2026 stock repurchase program, Prosperity Bancshares repurchased approximately 200 thousand shares of its common stock at an average weighted price of $68.34 per share for a total of $13.7 million during the three months ended June 30, 2026, and approximately 1.04 million shares of its common stock at an average weighted price of $68.19 per share for a total of $70.8 million during the six months ended June 30, 2026. **Acquisition of Stellar Bancorp, Inc.** On July 1, 2026, Prosperity Bancshares completed the merger of Stellar and its wholly owned subsidiary Stellar Bank, headquartered in Houston, Texas. Stellar Bank operated 52 banking offices including its main office in Houston and banking offices in the Houston, Beaumont and East Texas areas and in Dallas, Texas. As of June 30, 2026, Stellar, on a consolidated basis, reported total assets of $10.413 billion, total loans of $7.510 billion and total deposits of $8.716 billion. Pursuant to the terms of the definitive agreement, Prosperity Bancshares issued 19,371,499 shares of its common stock plus approximately $578.66 million in cash for each outstanding share of Stellar common stock. **Acquisition of Southwest Bancshares, Inc.** On February 1, 2026, Prosperity completed the acquisition of Southwest and its wholly owned subsidiary Texas Partners, headquartered in San Antonio, Texas. Texas Partners operated 11 banking offices in Central Texas including its main office in San Antonio, and banking offices in the San Antonio area, Austin and the Hill Country. Pursuant to the terms of the definitive agreement, Prosperity Bancshares issued 4,094,974 shares of its common stock for all outstanding shares of Southwest common stock. This resulted in goodwill of $134.9 million as of June 30, 2026, which does not include all the subsequent fair value adjustments that have not yet been finalized. Additionally, Prosperity recognized $33.8 million of core deposit intangibles as of June 30, 2026. **Acquisition of American Bank Holding Corporation** On January 1, 2026, Prosperity completed the acquisition of American and its wholly owned subsidiary American Bank, headquartered in Corpus Christi, Texas. American Bank operated 18 banking offices and two loan production offices in South and Central Texas including its main office in Corpus Christi, and banking offices in San Antonio, Austin, Victoria and the greater Corpus Christi area including Port Aransas and Rockport and a loan production office in Houston, Texas. Pursuant to the terms of the definitive agreement, Prosperity Bancshares issued 4,439,938 shares of its common stock for all outstanding shares of American common stock. This resulted in goodwill of $185.9 million as of June 30, 2026, which does not include all the subsequent fair value adjustments that have not yet been finalized. Additionally, Prosperity recognized $31.1 million of core deposit intangibles as of June 30, 2026. **Conference Call** Prosperity's management team will host a conference call on Wednesday, July 29, 2026, at 11:30 a.m. Eastern Time (10:30 a.m. Central Time) to discuss Prosperity's second quarter 2026 earnings. Individuals and investment professionals may participate in the call by dialing 877-883-0383 for domestic participants, or 412-902-6506 for international participants. The participant elite entry number is 9578428. Alternatively, individuals may listen to the live webcast of the presentation by visiting Prosperity's website at www.prosperitybankusa.com. The webcast may be accessed from Prosperity's Investor Relations page by selecting "Presentations, Webcasts & Calls" from the menu and following the instructions. **Non-GAAP Financial Measures** Prosperity's management uses certain non-GAAP financial measures to evaluate its performance. Specifically, for internal planning and forecasting purposes, Prosperity reviews each of diluted earnings per share, return on average assets, return on average common equity, and return on average tangible common equity, in each case excluding merger related expenses, net of tax, FDIC special assessment, net of tax and net gain on the sale or write-up of securities; return on average tangible common equity; tangible book value per share; the tangible equity to tangible assets ratio; allowance for credit losses to total loans excluding Warehouse Purchase Program loans; the efficiency ratio, excluding net gains and losses on the sale and securities, write-down or write-up of assets; and the efficiency ratio, excluding net gains and losses on the sale, write-down or write-up of assets and securities, merger related expenses, and FDIC special assessment. Prosperity believes these non-GAAP financial measures provide information useful to investors in understanding Prosperity's financial results and their presentation, together with the accompanying reconciliations, provide a more complete understanding of factors and trends affecting Prosperity's business and allow investors to view performance in a manner similar to management, the entire financial services sector, bank stock analysts and bank regulators. Further, Prosperity believes that these non-GAAP financial measures provide useful information by excluding certain items that may not be indicative of its core operating earnings and business outlook. These non-GAAP financial measures should not be considered a substitute for, nor of greater importance than, GAAP basis financial measures and results; Prosperity strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. Please refer to the "Notes to Selected Financial Data" at the end of this Earnings Release for a reconciliation of these non-GAAP financial measures to the nearest respective GAAP financial measures. **Prosperity Bancshares, Inc. ®** As of June 30, 2026, Prosperity Bancshares, Inc.® is a $43.873 billion Houston, Texas based regional financial holding company providing personal banking services and investments to consumers and businesses throughout Texas and Oklahoma. Founded in 1983, Prosperity believes in a community banking philosophy, taking care of customers, businesses and communities in the areas it serves by providing financial solutions to simplify everyday financial needs. In addition to offering traditional deposit and loan products, Prosperity offers digital banking solutions, credit and debit cards, mortgage services, retail brokerage services, trust and wealth management, and treasury management. Prosperity currently operates 363 full-service banking locations: 62 in the Houston area, including The Woodlands; 36 in the South Texas area including Corpus Christi and Victoria; 61 in the Dallas/Fort Worth area; 21 in the East Texas area; 28 in the Central Texas area including Austin and San Antonio; 45 in the West Texas area including Lubbock, Midland-Odessa, Abilene, Amarillo and Wichita Falls; 15 in the Bryan/College Station area, 6 in the Central Oklahoma area; 8 in the Tulsa, Oklahoma area; 18 in the Central, South Texas and San Antonio areas doing business as American Bank; 11 in the San Antonio area doing business as Texas Partners Bank and 52 in Houston, Beaumont, Dallas and the East Texas areas doing business as Stellar Bank. **Cautionary Notes on Forward-Looking Statements** "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This release contains, and the remarks by Prosperity's management on the conference call may contain, forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. From time to time, oral or written forward-looking statements may also be included in other information released to the public. Such forward-looking statements are typically, but not exclusively, identified by the use in the statements of words or phrases such as "aim," "anticipate," "believe," "estimate," "expect," "goal," "guidance," "intend," "is anticipated," "is expected," "is intended," "objective," "plan," "projected," "projection," "will affect," "will be," "will continue," "will decrease," "will grow," "will impact," "will increase," "will incur," "will reduce," "will remain," "will result," "would be," variations of such words or phrases (including where the word "could," "may," or "would" is used rather than the word "will" in a phrase) and similar words and phrases indicating that the statement addresses some future result, occurrence, plan or objective. Forward-looking statements include all statements other than statements of historical fact, including forecasts or trends, and are based on current expectations, assumptions, estimates and projections about Prosperity Bancshares and its subsidiaries. These forward-looking statements may include information about Prosperity's possible or assumed future economic performance or future results of operations, including future revenues, income, expenses, provision for credit losses, provision for taxes, effective tax rate, earnings per share and cash flows and Prosperity's future capital expenditures and dividends, future financial condition and changes therein, including changes in Prosperity's loan portfolio and allowance for credit losses, changes in deposits, borrowings and the investment securities portfolio, future capital structure or changes therein, as well as the plans and objectives of management for Prosperity's future operations, future or proposed acquisitions, the future or expected effect of acquisitions on Prosperity's operations, results of operations, financial condition, and future economic performance, statements about the anticipated benefits of any proposed transactions, and statements about the assumptions underlying any such statement. These forward‑looking statements are not guarantees of future performance and are based on expectations and assumptions Prosperity currently believes to be valid. Because forward-looking statements relate to future results and occurrences, many of which are outside of Prosperity's control, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. These risks and uncertainties include, but are not limited to, whether Prosperity can: successfully identify acquisition targets and integrate the businesses of acquired companies and banks; continue to sustain its current internal growth rate or total growth rate; provide products and services that appeal to its customers; continue to have access to debt and equity capital markets; and achieve its sales objectives. Other risks include, but are not limited to: the possibility that credit quality could deteriorate; actions of competitors; changes in laws and regulations (including changes in governmental interpretations of regulations and changes in accounting standards); the possibility that the anticipated benefits of an acquisition transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of two companies or as a result of the strength of the economy and competitive factors generally; a deterioration or downgrade in the credit quality and credit agency ratings of the securities in Prosperity's securities portfolio; customer and consumer demand, including customer and consumer response to marketing; effectiveness of spending, investments or programs; fluctuations in the cost and availability of supply chain resources; economic conditions, including currency rate, interest rate and commodity price fluctuations; changes in trade policies by the United States or other countries, such as tariffs or retaliatory tariffs; and the effect, impact, potential duration or other implications of weather and climate-related events. Prosperity disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. These and various other factors are discussed in Prosperity's Annual Report on Form 10-K for the year ended December 31, 2025, and other reports and statements Prosperity has filed with the Securities and Exchange Commission ("SEC"). Copies of the SEC filings for Prosperity may be downloaded from the Internet at no charge from http://www.prosperitybankusa.com. (1) Refer to the "Notes to Selected Financial Data" at the end of this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure. (2) Includes purchase accounting adjustments of $4.6 million, net of tax, primarily comprised of loan discount accretion of $4.0 million, and net gain on sale or write-up of securities of $8.2 million for the three months ended June 30, 2026. (3) Includes purchase accounting adjustments of $2.8 million, net of tax, primarily comprised of loan discount accretion of $3.1 million for the three months ended June 30, 2025. (4) Includes purchase accounting adjustments of $4.8 million, net of tax, primarily comprised of loan discount accretion of $3.7 million, and merger related provision for credit losses of $42.5 million for the three months ended March 31, 2026. (5) Includes purchase accounting adjustments of $9.4 million, net of tax, primarily comprised of loan discount accretion of $7.8 million, merger related provision for credit losses of $43.3 million and net gain on sale or write-up of securities of $8.2 million for the six months ended June 30, 2026. (6) Includes purchase accounting adjustments of $6.0 million, net of tax, primarily comprised of loan discount accretion of $6.4 million for the six months ended June 30, 2025. **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(In thousands)** **Jun 30, 2026** **Mar 31, 2026** **Dec 31, 2025** **Sep 30, 2025** **Jun 30, 2025** **Balance Sheet Data (at period end)** Loans held for sale $ 18,656 $ 21,925 $ 14,155 $ 11,297 $ 6,004 Loans held for investment 23,719,186 23,832,909 20,486,415 20,738,294 20,903,944 Loans held for investment - Warehouse Purchase Program 1,290,156 1,433,152 1,304,798 1,278,178 1,287,440 Total loans 25,027,998 25,287,986 21,805,368 22,027,769 22,197,388 Investment securities(A) 12,339,080 11,951,591 10,613,425 10,232,462 10,608,104 Federal funds sold 194 209 217 210 197 Allowance for credit losses on loans (382,841) (383,840) (333,742) (339,626) (346,084) Cash and due from banks 1,683,062 1,547,967 1,747,511 1,766,115 1,304,993 Goodwill 3,823,920 3,822,283 3,503,127 3,503,127 3,503,127 Core deposit intangibles, net 105,582 111,243 51,605 55,194 58,796 Other real estate owned 11,296 13,257 13,296 13,750 7,874 Fixed assets, net 428,478 429,775 383,449 378,776 374,602 Other assets 835,742 838,712 679,169 692,692 708,355 Total assets $ 43,872,511 $ 43,619,183 $ 38,463,425 $ 38,330,469 $ 38,417,352 Noninterest-bearing deposits $ 10,739,937 $ 10,580,920 $ 9,467,911 $ 9,522,028 $ 9,426,657 Interest-bearing deposits 21,859,750 22,051,836 19,014,573 18,260,066 18,046,754 Total deposits 32,599,687 32,632,756 28,482,484 27,782,094 27,473,411 Other borrowings 2,400,000 2,200,000 1,950,000 2,400,000 2,900,000 Securities sold under repurchase agreements 199,576 176,099 201,216 185,797 183,572 Subordinated notes and junior subordinated debentures 70,000 76,186 — — — Allowance for credit losses on off-balance sheet credit exposures 37,646 37,646 37,646 37,646 37,646 Other liabilities 260,343 288,645 175,939 259,994 222,987 Total liabilities 35,567,252 35,411,332 30,847,285 30,665,531 30,817,616 Shareholders' equity(B) 8,305,259 8,207,851 7,616,140 7,664,938 7,599,736 Total liabilities and equity $ 43,872,511 $ 43,619,183 $ 38,463,425 $ 38,330,469 $ 38,417,352 **(A)** **Includes ($319), $44, ($375), ($1,987) and ($1,657) in unrealized losses on available for sale securities for the quarterly periods ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025, and June 30, 2025, respectively.** **(B)** **Includes ($251), $35, ($296), ($1,570) and ($1,309) in after-tax unrealized losses on available for sale securities for the quarterly periods ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025, and June 30, 2025, respectively.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(In thousands)** **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Income Statement Data** Interest income: Loans $ 369,574 $ 361,756 $ 321,516 $ 329,445 $ 325,490 $ 731,330 $ 644,513 Securities(C) 81,200 70,531 56,767 58,207 57,836 151,731 115,722 Federal funds sold and other earning assets 8,719 9,488 8,364 10,455 9,438 18,207 25,334 Total interest income 459,493 441,775 386,647 398,107 392,764 901,268 785,569 Interest expense: Deposits 107,084 104,237 94,625 95,965 93,790 211,321 189,387 Other borrowings 20,094 14,783 16,028 27,613 30,101 34,877 60,593 Securities sold under repurchase agreements 1,019 902 1,041 1,094 1,151 1,921 2,485 Subordinated notes and junior subordinated debentures 746 703 — — — 1,449 — Total interest expense 128,943 120,625 111,694 124,672 125,042 249,568 252,465 Net interest income 330,550 321,150 274,953 273,435 267,722 651,700 533,104 Provision for credit losses — — — — — — — Net interest income after provision for credit losses 330,550 321,150 274,953 273,435 267,722 651,700 533,104 Noninterest income: Nonsufficient funds (NSF) fees 11,349 10,867 9,715 9,805 8,885 22,216 18,032 Credit card, debit card and ATM card income 10,303 9,483 9,462 9,446 9,761 19,786 18,500 Service charges on deposit accounts 9,235 8,680 7,618 7,317 7,645 17,915 15,053 Trust income 4,943 4,922 3,662 3,526 3,859 9,865 7,460 Mortgage income 1,363 1,280 954 931 965 2,643 1,974 Brokerage income 1,478 1,568 1,570 1,328 1,225 3,046 2,487 Bank owned life insurance income 2,476 2,598 2,117 2,111 1,985 5,074 4,100 Net gain (loss) on sale or write-down of assets (42) 318 35 3 1,414 276 1,179 Net gain on sale or write-up of securities 8,235 — — — — 8,235 — Other noninterest income 11,365 6,758 7,647 6,771 7,243 18,123 15,498 Total noninterest income 60,705 46,474 42,780 41,238 42,982 107,179 84,283 Noninterest expense: Salaries and benefits 110,965 109,211 88,384 87,949 87,296 220,176 176,772 Net occupancy and equipment 10,685 10,654 9,379 9,395 9,168 21,339 18,314 Credit and debit card, data processing and software amortization 16,121 18,114 12,621 12,515 12,056 34,235 23,478 Regulatory assessments and FDIC insurance 5,287 6,041 1,600 5,198 5,508 11,328 11,297 Core deposit intangibles amortization 5,661 5,259 3,588 3,602 3,610 10,920 7,251 Depreciation 5,795 5,548 5,155 4,966 4,779 11,343 9,553 Communications 4,271 3,834 3,528 3,480 3,507 8,105 6,980 Other real estate expense 350 341 219 314 204 691 344 Net (gain) loss on sale or write-down of other real estate (41) (41) 109 (81) (222) (82) (252) Merger related expenses 755 42,516 268 62 — 43,271 — Other noninterest expense 16,327 15,810 13,861 11,235 12,659 32,137 25,129 Total noninterest expense 176,176 217,287 138,712 138,635 138,565 393,463 278,866 Income before income taxes 215,079 150,337 179,021 176,038 172,139 365,416 338,521 Provision for income taxes 46,496 34,070 39,114 38,482 36,984 80,566 73,141 Net income available to common shareholders $ 168,583 $ 116,267 $ 139,907 $ 137,556 $ 135,155 $ 284,850 $ 265,380 **(C)** **Interest income on securities was reduced by net premium amortization of $3,790, $3,829, $4,668, $2,877, and $4,926 for the three months ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025, and June 30, 2025, respectively, and $7,619 and $9,953 for the six months ended June 30, 2026, and 2025, respectively.** **Prosperity Bancshares, Inc. ®** **Financial Highlights (Unaudited)** **(Dollars and share amounts in thousands, except per share data and market prices)** **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Profitability** Net income (D) (E) $ 168,583 $ 116,267 $ 139,907 $ 137,556 $ 135,155 $ 284,850 $ 265,380 Basic earnings per share $ 1.67 $ 1.16 $ 1.49 $ 1.45 $ 1.42 $ 2.84 $ 2.79 Diluted earnings per share $ 1.67 $ 1.16 $ 1.49 $ 1.45 $ 1.42 $ 2.84 $ 2.79 Return on average assets (F) (J) 1.55 % 1.10 % 1.49 % 1.44 % 1.41 % 1.33 % 1.37 % Return on average common equity (F) (J) 8.14 % 5.70 % 7.30 % 7.18 % 7.13 % 6.93 % 7.03 % Return on average tangible common equity (F) (G) (J) 15.48 % 10.59 % 13.61 % 13.43 % 13.44 % 13.02 % 13.33 % Tax equivalent net interest margin (D) (E) (H) 3.47 % 3.51 % 3.30 % 3.24 % 3.18 % 3.49 % 3.16 % Efficiency ratio (G) (I) (K) 45.99 % 59.16 % 43.66 % 44.06 % 44.80 % 52.44 % 45.26 % **Liquidity and Capital Ratios** Equity to assets 18.93 % 18.82 % 19.80 % 20.00 % 19.78 % 18.93 % 19.78 % Common equity tier 1 capital 15.94 % 15.45 % 17.55 % 17.53 % 17.10 % 15.94 % 17.10 % Tier 1 risk-based capital 15.94 % 15.45 % 17.55 % 17.53 % 17.10 % 15.94 % 17.10 % Total risk-based capital 17.38 % 16.63 % 18.80 % 18.78 % 18.35 % 17.38 % 18.35 % Tier 1 leverage capital 11.12 % 11.22 % 11.93 % 11.90 % 11.62 % 11.12 % 11.62 % Period end tangible equity to period end tangible assets (G) 10.96 % 10.77 % 11.63 % 11.81 % 11.58 % 10.96 % 11.58 % **Other Data** Weighted-average shares used in computing earnings per common share Basic 100,783 99,825 94,044 95,093 95,277 100,306 95,271 Diluted 100,783 99,825 94,044 95,093 95,277 100,306 95,271 Period end shares outstanding 100,646 100,835 93,058 94,993 95,277 100,646 95,277 Cash dividends paid per common share $ 0.60 $ 0.60 $ 0.60 $ 0.58 $ 0.58 $ 1.20 $ 1.16 Book value per common share $ 82.52 $ 81.40 $ 81.84 $ 80.69 $ 79.76 $ 82.52 $ 79.76 Tangible book value per common share (G) $ 43.48 $ 42.39 $ 43.64 $ 43.23 $ 42.38 $ 43.48 $ 42.38 Common Stock Market Price High $ 74.37 $ 77.20 $ 73.90 $ 75.44 $ 74.56 $ 77.20 $ 82.75 Low $ 65.90 $ 63.20 $ 61.07 $ 64.27 $ 61.57 $ 63.20 $ 61.57 Period end closing price $ 73.03 $ 67.18 $ 69.11 $ 66.35 $ 70.24 $ 73.03 $ 70.24 Employees – FTE (excluding overtime) 4,324 4,429 3,941 3,937 3,921 4,194 3,921 Number of banking centers 311 312 283 283 283 311 283 **(D)** **Includes purchase accounting adjustments for the periods presented as follows:** **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Loan discount accretion** **Purchased seasoned loans ("PSLs")** **$3,104** **$2,562** **$2,926** **$2,242** **$2,486** **$5,666** **$5.101** **PCD** **$901** **$1,186** **$205** **$613** **$638** **$2,087** **$1,315** **Securities net accretion** **$1,462** **$1,573** **$342** **$1,475** **$409** **$3,035** **$1,114** **Time deposits amortization** **$(357)** **$(699)** **$(1)** **$(1)** **$(2)** **$(1,056)** **$(11)** **(E)** **Using effective tax rate of 21.6%, 22.7%, 21.8%, 21.9% and 21.5% for the three months ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025 and June 30, 2025, respectively, and 22.0% and 21.6% for the six months ended June 30, 2026, and 2025, respectively.** **(F)** **Interim periods annualized.** **(G)** **Refer to the "Notes to Selected Financial Data" at the end of this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.** **(H)** **Net interest margin for all periods presented is based on average balances on an actual 365-day basis.** **(I)** **Calculated by dividing total noninterest expense, excluding credit loss provisions, by net interest income plus noninterest income, excluding net gains and losses on the sale, write-down or write-up of assets and securities. Additionally, taxes are not part of this calculation.** **(J)** **For calculations of the annualized returns on average assets, average common equity and average tangible common equity excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax refer to the "Notes to Selected Financial Data" at the end of this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.** **(K)** **For calculations of the efficiency ratio excluding merger related expenses and FDIC special assessment refer to the "Notes to Selected Financial Data" at the end of this Earnings Release for a reconciliation of these non-GAAP financial measures to the nearest respective GAAP financial measures.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **YIELD ANALYSIS** **Three Months Ended** **Jun 30, 2026** **Mar 31, 2026** **Jun 30, 2025** **Average** **Balance** **Interest** **Earned/** **Interest** **Paid** **Average** **Yield/** **Rate** (L) **Average** **Balance** **Interest** **Earned/** **Interest** **Paid** **Average** **Yield/** **Rate** (L) **Average** **Balance** **Interest** **Earned/** **Interest** **Paid** **Average** **Yield/** **Rate** (L) Interest-earning assets: Loans held for sale $ 17,858 $ 281 6.31 % $ 15,800 $ 238 6.11 % $ 9,813 $ 166 6.79 % Loans held for investment 23,750,036 350,967 5.93 % 23,469,020 344,596 5.95 % 20,907,400 306,671 5.88 % Loans held for investment - Warehouse Purchase Program 1,316,645 18,326 5.58 % 1,207,793 16,922 5.68 % 1,179,307 18,653 6.34 % Total loans 25,084,539 369,574 5.91 % 24,692,613 361,756 5.94 % 22,096,520 325,490 5.91 % Investment securities 12,258,188 81,200 2.66 % (M) 11,469,762 70,531 2.49 % (M) 10,867,856 57,836 2.13 % (M) Federal funds sold and other earning assets 969,502 8,719 3.61 % 1,026,015 9,488 3.75 % 841,933 9,438 4.50 % Total interest-earning assets 38,312,229 459,493 4.81 % 37,188,390 441,775 4.82 % 33,806,309 392,764 4.66 % Allowance for credit losses on loans (383,281) (330,133) (348,310) Noninterest-earning assets 5,508,187 5,361,351 4,933,215 Total assets $ 43,437,135 $ 42,219,608 $ 38,391,214 Interest-bearing liabilities: Interest-bearing demand deposits $ 6,135,720 $ 15,093 0.99 % $ 6,266,423 $ 13,993 0.91 % $ 4,807,864 $ 8,859 0.74 % Savings and money market deposits 10,928,333 53,661 1.97 % 10,583,184 50,719 1.94 % 8,944,897 45,796 2.05 % Certificates and other time deposits 4,787,401 38,330 3.21 % 4,830,369 39,525 3.32 % 4,366,510 39,135 3.59 % Other borrowings 2,174,506 20,094 3.71 % 1,620,556 14,783 3.70 % 2,717,583 30,101 4.44 % Securities sold under repurchase agreements 194,250 1,019 2.10 % 177,719 902 2.06 % 194,577 1,151 2.37 % Subordinated notes and junior subordinated debentures 70,408 746 4.25 % 63,673 703 4.48 % — — — Total interest-bearing liabilities 24,290,618 128,943 2.13 % (N) 23,541,924 120,625 2.08 % (N) 21,031,431 125,042 2.38 % (N) Noninterest-bearing liabilities: Noninterest-bearing demand deposits 10,561,142 10,260,022 9,508,845 Allowance for credit losses on off- balance sheet credit exposures 37,646 38,070 37,646 Other liabilities 259,201 218,810 227,002 Total liabilities 35,148,607 34,058,826 30,804,924 Shareholders' equity 8,288,528 8,160,782 7,586,290 Total liabilities and shareholders' equity $ 43,437,135 $ 42,219,608 $ 38,391,214 Net interest income and margin $ 330,550 3.46 % $ 321,150 3.50 % $ 267,722 3.18 % Non-GAAP to GAAP reconciliation: Tax equivalent adjustment 580 575 574 Net interest income and margin (tax equivalent basis) $ 331,130 3.47 % $ 321,725 3.51 % $ 268,296 3.18 % **(L)** **Annualized and based on an actual 365-day basis.** **(M)** **Yield on securities was impacted by net premium amortization of $3,790, $3,829, and $4,926 for the three months ended June 30, 2026, March 31, 2026, and June 30, 2025, respectively.** **(N)** **Total cost of funds, including noninterest bearing deposits, was 1.48%, 1.45%, and 1.64% for the three months ended June 30, 2026, March 31, 2026, and June 30, 2025, respectively.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **YIELD ANALYSIS** **Year-to-Date** **Jun 30, 2026** **Jun 30, 2025** **Average** **Balance** **Interest** **Earned/** **Interest** **Paid** **Average** **Yield/** **Rate** (O) **Average** **Balance** **Interest** **Earned/** **Interest** **Paid** **Average** **Yield/** **Rate** (O) Interest-earning assets: Loans held for sale $ 16,834 $ 519 6.22 % $ 8,698 $ 293 6.79 % Loans held for investment 23,610,945 695,563 5.94 % 20,933,170 611,739 5.89 % Loans held for investment - Warehouse Purchase Program 1,262,533 35,248 5.63 % 1,028,534 32,481 6.37 % Total loans 24,890,312 731,330 5.93 % 21,970,402 644,513 5.92 % Investment securities 11,866,153 151,731 2.58 % (P) 10,942,215 115,722 2.13 % (P) Federal funds sold and other earning assets 996,109 18,207 3.69 % 1,140,915 25,334 4.48 % Total interest-earning assets 37,752,574 901,268 4.81 % 34,053,532 785,569 4.65 % Allowance for credit losses on loans (356,855) (349,506) Noninterest-earning assets 5,435,129 4,967,987 Total assets $ 42,830,848 $ 38,672,013 Interest-bearing liabilities: Interest-bearing demand deposits $ 6,199,301 $ 29,086 0.95 % $ 5,015,178 $ 17,878 0.72 % Savings and money market deposits 10,757,523 104,380 1.96 % 8,975,919 91,441 2.05 % Certificates and other time deposits 4,808,748 77,855 3.26 % 4,396,350 80,068 3.67 % Other borrowings 1,899,061 34,877 3.70 % 2,746,961 60,593 4.45 % Securities sold under repurchase agreements 186,030 1,921 2.08 % 206,197 2,485 2.43 % Subordinated notes and junior subordinated debentures 67,059 1,449 4.36 % — — — Total interest-bearing liabilities 23,917,722 249,568 2.10 % (Q) 21,340,605 252,465 2.39 % (Q) Noninterest-bearing liabilities: Noninterest-bearing demand deposits 10,412,431 9,506,704 Allowance for credit losses on off-balance sheet credit exposures 37,857 37,646 Other liabilities 238,470 240,789 Total liabilities 34,606,480 31,125,744 Shareholders' equity 8,224,368 7,546,269 Total liabilities and shareholders' equity $ 42,830,848 $ 38,672,013 Net interest income and margin $ 651,700 3.48 % $ 533,104 3.16 % Non-GAAP to GAAP reconciliation: Tax equivalent adjustment 1,155 1,161 Net interest income and margin (tax equivalent basis) $ 652,855 3.49 % $ 534,265 3.16 % **(O)** **Based on an actual 365-day basis.** **(P)** **Yield on securities was impacted by net premium amortization of $7,619 and $9,953 for the six months ended June 30, 2026, and 2025, respectively.** **(Q)** **Total cost of funds, including noninterest bearing deposits, was 1.47% and 1.65% for the six months ended June 30, 2026, and 2025, respectively.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **Three Months Ended** **Jun 30, 2026** **Mar 31, 2026** **Dec 31, 2025** **Sep 30, 2025** **Jun 30, 2025** **YIELD TREND** **(R)** **Interest-Earning Assets:** Loans held for sale 6.31 % 6.11 % 6.27 % 6.64 % 6.79 % Loans held for investment 5.93 % 5.95 % 5.83 % 5.90 % 5.88 % Loans held for investment - Warehouse Purchase Program 5.58 % 5.68 % 5.89 % 6.31 % 6.34 % Total loans 5.91 % 5.94 % 5.83 % 5.92 % 5.91 % Investment securities (S) 2.66 % 2.49 % 2.17 % 2.19 % 2.13 % Federal funds sold and other earning assets 3.61 % 3.75 % 3.99 % 4.44 % 4.50 % Total interest-earning assets 4.81 % 4.82 % 4.64 % 4.71 % 4.66 % **Interest-Bearing Liabilities:** Interest-bearing demand deposits 0.99 % 0.91 % 0.75 % 0.76 % 0.74 % Savings and money market deposits 1.97 % 1.94 % 1.96 % 2.07 % 2.05 % Certificates and other time deposits 3.21 % 3.32 % 3.58 % 3.60 % 3.59 % Other borrowings 3.71 % 3.70 % 3.99 % 4.42 % 4.44 % Securities sold under repurchase agreements 2.10 % 2.06 % 2.23 % 2.32 % 2.37 % Subordinated notes and junior subordinated debentures 4.25 % 4.48 % — — — Total interest-bearing liabilities 2.13 % 2.08 % 2.20 % 2.39 % 2.38 % Net Interest Margin 3.46 % 3.50 % 3.30 % 3.23 % 3.18 % Net Interest Margin (tax equivalent) 3.47 % 3.51 % 3.30 % 3.24 % 3.18 % **(R)** **Annualized and based on average balances on an actual 365-day basis.** **(S)** **Yield on securities was impacted by net premium amortization of $3,790, $3,829, $4,668, $2,877, and $4,926 for the three months ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025, and June 30, 2025, respectively.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **Three Months Ended** **Jun 30, 2026** **Mar 31, 2026** **Dec 31, 2025** **Sep 30, 2025** **Jun 30, 2025** **Balance Sheet Averages** Loans held for sale $ 17,858 $ 15,800 $ 11,077 $ 8,371 $ 9,813 Loans held for investment 23,750,036 23,469,020 20,603,235 20,851,896 20,907,400 Loans held for investment - Warehouse Purchase Program 1,316,645 1,207,793 1,258,036 1,217,579 1,179,307 Total loans 25,084,539 24,692,613 21,872,348 22,077,846 22,096,520 Investment securities 12,258,188 11,469,762 10,378,696 10,530,807 10,867,856 Federal funds sold and other earning assets 969,502 1,026,015 830,926 934,318 841,933 Total interest-earning assets 38,312,229 37,188,390 33,081,970 33,542,971 33,806,309 Allowance for credit losses on loans (383,281) (330,133) (337,892) (343,872) (348,310) Cash and due from banks 315,132 391,668 311,541 291,809 294,379 Goodwill 3,822,507 3,718,640 3,503,127 3,503,127 3,503,127 Core deposit intangibles, net 108,589 50,089 53,553 56,956 60,739 Other real estate 13,278 14,690 14,004 11,533 8,749 Fixed assets, net 430,575 423,530 380,254 377,680 374,486 Other assets 818,106 762,734 659,371 689,659 691,735 Total assets $ 43,437,135 $ 42,219,608 $ 37,665,928 $ 38,129,863 $ 38,391,214 Noninterest-bearing deposits $ 10,561,142 $ 10,260,022 $ 9,543,581 $ 9,451,153 $ 9,508,845 Interest-bearing demand deposits 6,135,720 6,266,423 4,812,342 4,656,452 4,807,864 Savings and money market deposits 10,928,333 10,583,184 9,054,281 8,977,585 8,944,897 Certificates and other time deposits 4,787,401 4,830,369 4,519,742 4,422,996 4,366,510 Total deposits 32,412,596 31,939,998 27,929,946 27,508,186 27,628,116 Other borrowings 2,174,506 1,620,556 1,595,652 2,480,435 2,717,583 Securities sold under repurchase agreements 194,250 177,719 185,289 187,462 194,577 Subordinated notes and junior subordinated debentures 70,408 63,673 — — — Allowance for credit losses on off-balance sheet credit exposures 37,646 38,070 37,646 37,646 37,646 Other liabilities 259,201 218,810 248,593 258,156 227,002 Shareholders' equity 8,288,528 8,160,782 7,668,802 7,657,978 7,586,290 Total liabilities and equity $ 43,437,135 $ 42,219,608 $ 37,665,928 $ 38,129,863 $ 38,391,214 **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **Jun 30, 2026** **Mar 31, 2026** **Dec 31, 2025** **Sep 30, 2025** **Jun 30, 2025** **Period End Balances** **Loan Portfolio** Commercial and industrial $ 2,805,904 11.2 % $ 2,759,190 10.9 % $ 1,864,337 8.6 % $ 1,879,282 8.5 % $ 1,897,117 8.6 % Warehouse purchase program 1,290,156 5.1 % 1,433,152 5.7 % 1,304,798 6.0 % 1,278,178 5.8 % 1,287,440 5.8 % Construction, land development and other land loans 3,143,607 12.6 % 3,253,389 12.9 % 2,741,455 12.6 % 2,865,279 13.0 % 2,873,238 12.9 % 1-4 family residential 7,777,079 31.1 % 7,876,021 31.1 % 7,430,929 34.1 % 7,461,900 33.9 % 7,530,816 33.9 % Home equity 827,696 3.3 % 846,739 3.3 % 843,708 3.8 % 848,740 3.9 % 869,370 3.9 % Commercial real estate (includes multi-family residential) 7,220,978 28.9 % 7,126,212 28.2 % 5,776,397 26.5 % 5,796,937 26.3 % 5,827,645 26.3 % Agriculture (includes farmland) 1,066,122 4.3 % 1,064,540 4.2 % 1,027,904 4.7 % 1,019,589 4.6 % 1,029,250 4.6 % Consumer and other 412,268 1.6 % 406,680 1.6 % 376,241 1.7 % 366,027 1.7 % 368,747 1.7 % Energy 484,188 1.9 % 522,063 2.1 % 439,599 2.0 % 511,837 2.3 % 513,765 2.3 % Total loans $ 25,027,998 $ 25,287,986 $ 21,805,368 $ 22,027,769 $ 22,197,388 **Deposit Types** Noninterest-bearing DDA $ 10,739,937 32.9 % $ 10,580,920 32.4 % $ 9,467,911 33.2 % $ 9,522,028 34.3 % $ 9,426,657 34.3 % Interest-bearing DDA 6,133,954 18.8 % 6,345,797 19.5 % 5,365,795 18.8 % 4,766,146 17.2 % 4,708,251 17.1 % Money market 8,248,194 25.3 % 8,163,557 25.0 % 6,538,213 23.0 % 6,402,591 23.0 % 6,302,770 23.0 % Savings 2,700,522 8.3 % 2,743,732 8.4 % 2,592,873 9.1 % 2,616,196 9.4 % 2,667,859 9.7 % Certificates and other time deposits 4,777,080 14.7 % 4,798,750 14.7 % 4,517,692 15.9 % 4,475,133 16.1 % 4,367,874 15.9 % Total deposits $ 32,599,687 $ 32,632,756 $ 28,482,484 $ 27,782,094 $ 27,473,411 Loan to Deposit Ratio 76.8 % 77.5 % 76.6 % 79.3 % 80.8 % **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **Construction Loans** **Jun 30, 2026** **Mar 31, 2026** **Dec 31, 2025** **Sep 30, 2025** **Jun 30, 2025** Single family residential construction $ 689,081 21.9 % $ 690,393 21.2 % $ 613,288 22.4 % $ 665,194 23.2 % $ 696,569 24.2 % Land development 359,067 11.4 % 407,811 12.5 % 252,650 9.2 % 248,616 8.7 % 227,254 7.9 % Raw land 227,614 7.3 % 276,693 8.5 % 220,169 8.0 % 230,021 8.0 % 248,380 8.7 % Residential lots 224,650 7.1 % 249,071 7.7 % 199,709 7.3 % 203,396 7.1 % 217,835 7.6 % Commercial lots 61,423 2.0 % 61,691 1.9 % 59,683 2.2 % 59,853 2.1 % 55,176 1.9 % Commercial construction and other 1,581,569 50.3 % 1,567,640 48.2 % 1,396,850 50.9 % 1,459,255 50.9 % 1,428,985 49.7 % Net unaccreted premium (discount) 203 90 (894) (1,056) (961) Total construction loans $ 3,143,607 $ 3,253,389 $ 2,741,455 $ 2,865,279 $ 2,873,238 **Non-Owner Occupied Commercial Real Estate Loans by Metropolitan Statistical Area (MSA) as of June 30, 2026** **Houston** **Dallas** **Austin** **OK City** **Tulsa** **Other (T)** **Total** **Collateral Type** Shopping center/retail $ 266,513 $ 207,360 $ 67,619 $ 76,541 $ 4,831 $ 343,777 $ 966,641 Commercial and industrial buildings 213,733 114,459 33,894 28,656 11,056 305,583 707,381 Office buildings 134,384 278,033 77,949 42,894 3,805 111,395 648,460 Medical buildings 111,580 56,722 25,804 41,667 28,826 65,432 330,031 Apartment buildings 136,295 67,268 143,477 10,048 12,385 222,261 591,734 Hotel 108,606 116,419 36,165 15,573 — 252,301 529,064 Other 196,829 68,955 153,008 4,297 5,781 426,209 855,079 Total $ 1,167,940 $ 909,216 $ 537,916 $ 219,676 $ 66,684 $ 1,726,958 $ 4,628,390 (U) **Acquired Loans** **PSL** **PCD Loans** **Total Acquired Loans** **Balance at** **Acquisition** **Date** **Balance at** **Mar 31,** **2026** **Balance at** **Jun 30,** **2026** **Balance at** **Acquisition** **Date** **Balance at** **Mar 31,** **2026** **Balance at** **Jun 30,** **2026** **Balance at** **Acquisition** **Date** **Balance at** **Mar 31,** **2026** **Balance at** **Jun 30,** **2026** **Loan marks:** Acquired banks (V) $ 388,625 $ 15,064 $ 15,986 $ 332,400 $ 5,053 $ 4,483 $ 721,025 $ 20,117 $ 20,469 American Bank (W) 15,473 15,902 16,443 1,923 1,297 1,067 17,396 17,199 17,510 Texas Partners Bank (X) 38,467 37,626 36,199 2,328 2,090 1,894 40,795 39,716 38,093 Total 442,565 68,592 68,628 336,651 8,440 $ 7,444 779,216 77,032 76,072 **Acquired portfolio loan balances:** Acquired banks (V) 14,323,981 1,331,556 1,219,719 1,376,673 293,365 239,094 15,700,654 1,624,921 1,458,813 American Bank (W) 1,810,982 1,684,101 1,488,985 93,300 89,055 75,647 1,904,282 1,773,156 1,564,632 Texas Partners Bank (X) 1,864,565 1,769,908 1,591,030 76,199 70,248 68,004 1,940,764 1,840,156 1,659,034 Total 17,999,528 4,785,565 4,299,734 1,546,172 452,668 382,745 19,545,700 (Y) 5,238,233 4,682,479 **Acquired portfolio loan balances with loan marks** $ 17,556,963 $ 4,716,973 $ 4,231,106 $ 1,209,521 $ 444,228 $ 375,301 $ 18,766,484 $ 5,161,201 $ 4,606,407 **(T)** **Includes other MSA and non-MSA regions.** **(U)** **Represents a portion of total commercial real estate loans of $7.221 billion as of June 30, 2026.** **(V)** **Includes Bank Arlington, American State Bank, Community National Bank, First Federal Bank Texas, Coppermark Bank, First Victoria National Bank, The F&M Bank & Trust Company, Tradition Bank, LegacyTexas Bank, FirstCapital Bank and Lone Star State Bank of West Texas.** **(W)** **The American Merger was completed on January 1, 2026. The American Merger resulted in the addition of $1.904 billion in loans with related purchase accounting adjustments of $17.4 million at acquisition date.** **(X)** **The Southwest Merger was completed on February 1, 2026. The Southwest Merger resulted in the addition of $1.941 billion in loans with related purchase accounting adjustments of $40.8 million at acquisition date.** **(Y)** **Actual principal balances acquired.** **Prosperity Bancshares, Inc.®** **Financial Highlights (Unaudited)** **(Dollars in thousands)** **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Asset Quality** Nonaccrual loans $ 116,911 $ 106,473 $ 137,217 $ 105,529 $ 102,031 $ 116,911 $ 102,031 Accruing loans 90 or more days past due 2,360 2,241 317 268 576 2,360 576 Total nonperforming loans 119,271 108,714 137,534 105,797 102,607 119,271 102,607 Repossessed assets 9 136 12 16 6 9 6 Other real estate 11,296 13,257 13,296 13,750 7,874 11,296 7,874 Total nonperforming assets $ 130,576 $ 122,107 $ 150,842 $ 119,563 $ 110,487 $ 130,576 $ 110,487 Nonperforming assets: Commercial and industrial (includes energy) $ 22,115 $ 17,495 $ 57,237 $ 27,880 $ 27,680 $ 22,115 $ 27,680 Construction, land development and other land loans 3,781 2,054 2,183 583 1,859 3,781 1,859 1-4 family residential (includes home equity) 64,394 63,168 60,296 57,241 50,501 64,394 50,501 Commercial real estate (includes multi-family residential) 19,597 17,880 9,215 11,471 12,865 19,597 12,865 Agriculture (includes farmland) 15,590 16,259 16,713 17,080 17,547 15,590 17,547 Consumer and other 5,099 5,251 5,198 5,308 35 5,099 35 Total $ 130,576 $ 122,107 $ 150,842 $ 119,563 $ 110,487 $ 130,576 $ 110,487 Number of loans/properties 499 484 449 424 392 499 392 Allowance for credit losses on loans $ 382,841 $ 383,840 $ 333,742 $ 339,626 $ 346,084 $ 382,841 $ 346,084 Net charge-offs (recoveries): Commercial and industrial (includes energy) $ 1,386 $ 39,225 $ 5,388 $ 3,341 $ 1,044 $ 40,611 $ 1,374 Construction, land development and other land loans 50 — (154) 34 (3) 50 (159) 1-4 family residential (includes home equity) 314 862 175 853 342 1,176 1,393 Commercial real estate (includes multi-family residential) (1,064) (121) (665) 1,015 55 (1,185) 233 Agriculture (includes farmland) 28 52 (5) (40) (14) 80 (14) Consumer and other 1,469 1,291 1,145 1,255 1,593 2,760 2,894 Total $ 2,183 $ 41,309 $ 5,884 $ 6,458 $ 3,017 $ 43,492 $ 5,721 **Asset Quality Ratios** Nonperforming assets to average interest-earning assets 0.34 % 0.33 % 0.46 % 0.36 % 0.33 % 0.35 % 0.32 % Nonperforming assets to loans and other real estate 0.52 % 0.48 % 0.69 % 0.54 % 0.50 % 0.52 % 0.50 % Net charge-offs to average loans (annualized) 0.03 % 0.67 % 0.11 % 0.12 % 0.05 % 0.35 % 0.05 % Allowance for credit losses on loans to total loans 1.53 % 1.52 % 1.53 % 1.54 % 1.56 % 1.53 % 1.56 % Allowance for credit losses on loans to total loans, excluding Warehouse Purchase Program loans (G) 1.61 % 1.61 % 1.63 % 1.64 % 1.66 % 1.61 % 1.66 % **Prosperity Bancshares, Inc.®** **Notes to Selected Financial Data (Unaudited)** (Dollars and share amounts in thousands, except per share data) **NOTES TO SELECTED FINANCIAL DATA** Prosperity's management uses certain non-GAAP (generally accepted accounting principles) financial measures to evaluate its performance. Specifically, for internal planning and forecasting purposes, Prosperity reviews each of diluted earnings per share, return on average assets, return on average common equity, and return on average tangible common equity, in each case excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax; return on average tangible common equity; tangible book value per share; the tangible equity to tangible assets ratio; allowance for credit losses to total loans excluding Warehouse Purchase Program loans; the efficiency ratio, excluding net gains and losses on the sale, write-down or write-up of assets and securities; and the efficiency ratio, excluding net gains and losses on the sale, write-down or write-up of assets and securities, merger related expenses and FDIC special assessment. In addition, due to the application of purchase accounting, Prosperity uses certain non-GAAP financial measures and ratios that exclude the impact of these items to evaluate its allowance for credit losses to total loans (excluding Warehouse Purchase Program loans). Prosperity has included information below relating to these non-GAAP financial measures for the applicable periods presented. **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Reconciliation of diluted earnings per share to diluted earnings per share excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax:** Diluted earnings per share (unadjusted) $ 1.67 $ 1.16 $ 1.49 $ 1.45 $ 1.42 $ 2.84 $ 2.79 Net income $ 168,583 $ 116,267 $ 139,907 $ 137,556 $ 135,155 $ 284,850 $ 265,380 Merger related expenses, net of tax(Z) 596 33,588 212 49 — 34,184 — FDIC special assessment, net of tax(Z) — — (2,807) — — — — Net gain on sale or write-up of securities, net of tax(Z) (6,506) — — — — (6,506) — Net income excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(Z): $ 162,673 $ 149,855 $ 137,312 $ 137,605 $ 135,155 $ 312,528 $ 265,380 Weighted average diluted shares outstanding 100,783 99,825 94,044 95,093 95,277 100,306 95,271 Merger related expenses, net of tax, per diluted common share(Z) $ 0.01 $ 0.34 $ — $ — $ — $ 0.34 $ — FDIC special assessment, net of tax, per diluted common share(Z) $ — $ — $ (0.03) $ — $ — $ — $ — Net gain on sale or write-up of securities, net of tax, per diluted common share(Z) $ (0.06) $ — $ — $ — $ — $ (0.06) $ — Diluted earnings per share excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax:(Z) $ 1.62 $ 1.50 $ 1.46 $ 1.45 $ 1.42 $ 3.12 $ 2.79 **Reconciliation of return on average assets to return on average assets excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax:** Return on average assets (unadjusted) 1.55 % 1.10 % 1.49 % 1.44 % 1.41 % 1.33 % 1.37 % Net income excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(Z): $ 162,673 $ 149,855 $ 137,312 $ 137,605 $ 135,155 $ 312,528 $ 265,380 Average total assets $ 43,437,135 $ 42,219,608 $ 37,665,928 $ 38,129,863 $ 38,391,214 $ 42,830,848 $ 38,672,013 Return on average assets excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax (F) (Z) 1.50 % 1.42 % 1.46 % 1.44 % 1.41 % 1.46 % 1.37 % **(Z)** **Calculated assuming a federal tax rate of 21.0%.** **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Reconciliation of return on average common equity to return on average common equity excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write- up of securities, net of tax:** Return on average common equity (unadjusted) 8.14 % 5.70 % 7.30 % 7.18 % 7.13 % 6.93 % 7.03 % Net income excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(Z): $ 162,673 $ 149,855 $ 137,312 $ 137,605 $ 135,155 $ 312,528 $ 265,380 Average shareholders' equity $ 8,288,528 $ 8,160,782 $ 7,668,802 $ 7,657,978 $ 7,586,290 $ 8,224,368 $ 7,546,269 Return on average common equity excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(F) (Z) 7.85 % 7.35 % 7.16 % 7.19 % 7.13 % 7.60 % 7.03 % **Reconciliation of return on average common equity to return on average tangible common equity:** Net income $ 168,583 $ 116,267 $ 139,907 $ 137,556 $ 135,155 $ 284,850 $ 265,380 Average shareholders' equity $ 8,288,528 $ 8,160,782 $ 7,668,802 $ 7,657,978 $ 7,586,290 $ 8,224,368 $ 7,546,269 Less: Average goodwill and other intangible assets (3,931,096) (3,768,729) (3,556,680) (3,560,083) (3,563,866) (3,850,361) (3,565,634) Average tangible shareholders' equity $ 4,357,432 $ 4,392,053 $ 4,112,122 $ 4,097,895 $ 4,022,424 $ 4,374,007 $ 3,980,635 Return on average tangible common equity (F) 15.48 % 10.59 % 13.61 % 13.43 % 13.44 % 13.02 % 13.33 % **Reconciliation of return on average common equity to return on average tangible common equity excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(Z):** Net income excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax(Z): $ 162,673 $ 149,855 $ 137,312 $ 137,605 $ 135,155 $ 312,528 $ 265,380 Average shareholders' equity $ 8,288,528 $ 8,160,782 $ 7,668,802 $ 7,657,978 $ 7,586,290 $ 8,224,368 $ 7,546,269 Less: Average goodwill and other intangible assets (3,931,096) (3,768,729) (3,556,680) (3,560,083) (3,563,866) (3,850,361) (3,565,634) Average tangible shareholders' equity $ 4,357,432 $ 4,392,053 $ 4,112,122 $ 4,097,895 $ 4,022,424 $ 4,374,007 $ 3,980,635 Return on average tangible common equity excluding merger related expenses, net of tax, FDIC special assessment, net of tax, and net gain on sale or write-up of securities, net of tax (F) (Z) 14.93 % 13.65 % 13.36 % 13.43 % 13.44 % 14.29 % 13.33 % **Reconciliation of book value per share to tangible book value per share:** Shareholders' equity $ 8,305,259 $ 8,207,851 $ 7,616,140 $ 7,664,938 $ 7,599,736 $ 8,305,259 $ 7,599,736 Less: Goodwill and other intangible assets (3,929,502) (3,933,526) (3,554,732) (3,558,321) (3,561,923) (3,929,502) (3,561,923) Tangible shareholders' equity $ 4,375,757 $ 4,274,325 $ 4,061,408 $ 4,106,617 $ 4,037,813 $ 4,375,757 $ 4,037,813 Period end shares outstanding 100,646 100,835 93,058 94,993 95,277 100,646 95,277 Tangible book value per share $ 43.48 $ 42.39 $ 43.64 $ 43.23 $ 42.38 $ 43.48 $ 42.38 **Reconciliation of equity to assets ratio to period end tangible equity to period end tangible assets ratio:** Tangible shareholders' equity $ 4,375,757 $ 4,274,325 $ 4,061,408 $ 4,106,617 $ 4,037,813 $ 4,375,757 $ 4,037,813 Total assets $ 43,872,511 $ 43,619,183 $ 38,463,425 $ 38,330,469 $ 38,417,352 $ 43,872,511 $ 38,417,352 Less: Goodwill and other intangible assets (3,929,502) (3,933,526) (3,554,732) (3,558,321) (3,561,923) (3,929,502) (3,561,923) Tangible assets $ 39,943,009 $ 39,685,657 $ 34,908,693 $ 34,772,148 $ 34,855,429 $ 39,943,009 $ 34,855,429 Period end tangible equity to period end tangible assets ratio 10.96 % 10.77 % 11.63 % 11.81 % 11.58 % 10.96 % 11.58 % **Three Months Ended** **Year-to-Date** **Jun 30,** **2026** **Mar 31,** **2026** **Dec 31,** **2025** **Sep 30,** **2025** **Jun 30,** **2025** **Jun 30,** **2026** **Jun 30,** **2025** **Reconciliation of allowance for credit losses to total loans to allowance for credit losses on loans to total loans excluding Warehouse Purchase Program:** Allowance for credit losses on loans $ 382,841 $ 383,840 $ 333,742 $ 339,626 $ 346,084 $ 382,841 $ 346,084 Total loans $ 25,027,998 $ 25,287,986 $ 21,805,368 $ 22,027,769 $ 22,197,388 $ 25,027,998 $ 22,197,388 Less: Warehouse Purchase Program loans (1,290,156) (1,433,152) (1,304,798) (1,278,178) (1,287,440) (1,290,156) (1,287,440) Total loans less Warehouse Purchase Program $ 23,737,842 $ 23,854,834 $ 20,500,570 $ 20,749,591 $ 20,909,948 $ 23,737,842 $ 20,909,948 Allowance for credit losses on loans to total loans excluding Warehouse Purchase Program 1.61 % 1.61 % 1.63 % 1.64 % 1.66 % 1.61 % 1.66 % **Reconciliation of efficiency ratio to efficiency ratio excluding net gains and losses on the sale, write- down** **or write-up of assets:** Noninterest expense $ 176,176 $ 217,287 $ 138,712 $ 138,635 $ 138,565 $ 393,463 $ 278,866 Net interest income $ 330,550 $ 321,150 $ 274,953 $ 273,435 $ 267,722 $ 651,700 $ 533,104 Noninterest income 60,705 46,474 42,780 41,238 42,982 107,179 84,283 Less: net (loss) gain on sale or write down of assets (42) 318 35 3 1,414 276 1,179 Less: net gain on sale or write-up of securities 8,235 — — — — 8,235 — Noninterest income excluding net gains and losses on the sale, write-down or write-up of assets 52,512 46,156 42,745 41,235 41,568 98,668 83,104 Total income excluding net gains and losses on the sale, write-down or write-up of assets $ 383,062 $ 367,306 $ 317,698 $ 314,670 $ 309,290 $ 750,368 $ 616,208 Efficiency ratio, excluding net gains and losses on the sale, write-down or write-up of assets 45.99 % 59.16 % 43.66 % 44.06 % 44.80 % 52.44 % 45.26 % **Reconciliation of efficiency ratio to efficiency ratio, excluding net gains and losses on the sale, write- down or write-up of assets, merger related expenses and FDIC special assessment:** Noninterest expense $ 176,176 $ 217,287 $ 138,712 $ 138,635 $ 138,565 $ 393,463 $ 278,866 Less: merger related expenses 755 42,516 268 62 — 43,271 — Less: FDIC special assessment — — (3,554) — — — — Noninterest expense excluding merger related expenses and FDIC special assessment $ 175,421 $ 174,771 $ 141,998 $ 138,573 $ 138,565 $ 350,192 $ 278,866 Net interest income $ 330,550 $ 321,150 $ 274,953 $ 273,435 $ 267,722 $ 651,700 $ 533,104 Noninterest income 60,705 46,474 42,780 41,238 42,982 107,179 84,283 Less: net (loss) gain on sale or write down of assets (42) 318 35 3 1,414 276 1,179 Less: net gain on sale or write-up of securities 8,235 — — — — 8,235 — Noninterest income excluding net gains and losses on the sale, write-down or write-up of assets 52,512 46,156 42,745 41,235 41,568 98,668 83,104 Total income excluding net gains and losses on the sale, write-down or write-up of assets $ 383,062 $ 367,306 $ 317,698 $ 314,670 $ 309,290 $ 750,368 $ 616,208 Efficiency ratio, excluding net gains and losses on the sale, write-down or write-up of assets, merger related expenses and FDIC special assessment 45.79 % 47.58 % 44.70 % 44.04 % 44.80 % 46.67 % 45.26 % SOURCE Prosperity Bancshares, Inc. ### Related Stocks - [PB.US](https://longbridge.com/en/quote/PB.US.md) - [STEL.US](https://longbridge.com/en/quote/STEL.US.md) - [V.US](https://longbridge.com/en/quote/V.US.md) ## Related News & Research - [Prosperity Bancshares director Ned S. 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