Horizon Bancorp, Inc.

Good morning, everyone, and welcome to the Horizon Bancorp, Inc. conference call to discuss financial results for the third quarter of 2025. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star and then one on your touchtone phones. To withdraw your questions, you may press star and two. At this time, I'd like to turn the floor over to Todd Etzler, Executive Vice President, Corporate Secretary, and General Counsel for the opening introduction.

Good morning and welcome to our third quarter conference call. Please remember that today's call may contain statements that are forward-looking in nature. These statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those discussed, including those factors noted in the slide presentation. Additional information about factors that could cause actual results to differ materially is contained in Horizon's most recent Form 10-K and its later filings with the Securities and Exchange Commission. In addition, Management may refer to certain non-GAAP financial measures that are intended to help investors understand Horizon's business. Reconciliations for these measures are contained in the presentation. The company assumes no obligation to update any forward-looking statements made during the call. For anyone who does not already have a copy of the press release and the supplemental presentation issued by Horizon yesterday, They may be accessed at the company's website, horizonbank.com. Representing Horizon today are Executive Vice President and Senior Operations Officer Kathy DeRuiter, Executive Vice President, Corporate Secretary and General Counsel Todd Etzler, Executive Vice President and Chief Commercial Banking Officer Lynn Kerber, Executive Vice President and Chief Financial Officer John Stewart, and Chief Executive Officer and President, Thomas Prem. At this time, I will turn the call over to Thomas Prem. Thomas.

Thank you, Todd. Good morning, and we appreciate you joining us. Horizon's third quarter results, highlighted on slide three, display the successful execution of our previously announced strategic balance sheet repositioning and the continued excellent performance of our community banking franchise. The balance sheet restructuring efforts has exceeded our initial expectations, and it is on pace to achieve the top-tier financial outcomes outlined in our plan. The team did an outstanding job on the equity and debt raises, as well as the subsequent execution optimizing the securities and loan portfolios, as well as the funding sources of our balance sheet. Additionally, our third quarter results further evidence the continued strength of the organization's exceptional core community banking franchise. Our net interest margin continued to expand with the commercial loan engine producing solid results and the core client-driven deposit franchise displaying its strength. Horizon's credit quality remained excellent and the management team remains diligent on managing core operating expenses. A few key items to note within the quarter results. The margin continued to expand for the eighth consecutive quarter with an exit run rate in September above 4%. Loan balances for the quarter reflect the plan runoff and sale of the lower yielding indirect auto portfolio. None of these activities, loans would have increased approximately 48 million led by the efforts of our commercial banking teams. Our relationship-based deposit portfolios remain resilient in the quarter We're predicting outflows within higher cost, non-core transactional accounts as outlined in our balance sheet restructuring plan. Additionally, the combined relationship-based fee income categories of service charges, wealth, card, and mortgage income performed well in an increase from the third quarter. And expenses outside of the transaction-related activities remain well-managed and aligned with our internal and market expectations. This provides confidence in our ability to deliver additional positive operating leverage moving forward with a more effective balance sheet. Heading into Q4 in 2026, we are confident in delivering a superior community banking model to our shareholders consisting of top-tier financial performance and a balance sheet producing peer-leading capital generation metrics. As we move forward in a front-footed position and with significant positive momentum, we will remain steadfast in our disciplined approach to create durable returns and sustainable long-term value for our shareholders. Turning the slide forward, as I mentioned previously, the team did a great job on the balance sheet restructuring with the majority of the initiatives comparing favorably to our expectations in terms of financial outcomes and timing. Our execution left minimal activities for the fourth quarter, which included the redemption of the previous sub-debt that has already been completed, and the continued modest reduction of select non-relationship high-cost transactional accounts. As previously mentioned, the team has already seen a significant positive increase in performance in September, and we are confident the fourth quarter will provide a clear outlook of Horizon's top-tier financial performance and peer-leading capital generation model. John will provide additional insight into our Q4 outlook and 2026 guidance during this presentation. Overall, a very solid quarter, reflecting the disciplined execution of the balance sheet initiative combined with the continued strength of the high-performing core banking franchise. A key element of our goal-forward plan will be continued profitable loan growth and excellent credit quality that has been a cornerstone of Horizon's success. I will transition the presentation to our Executive Vice President and Chief Commercial Banking Officer, Lynn Kerber, who will share highlights for the third quarter on our loan growth and continued excellent credit performance. Lynn?