S&T Bancorp, Inc.

Welcome to the S&T Bancorp second quarter 2025 conference call. After the management's remarks, there will be a question and answer session. Now, I would like to turn the call over to Chief Financial Officer Mark Kochvar. Please go ahead. All right, thank you.

Good afternoon, everyone, and thank you for participating in today's earnings call. Before we begin the presentation, I want to take time to refer you to our statement about forward-looking statements and risk factors. This statement provides cautionary language required by the Securities Exchange Commission for forward-looking statements that may be included in this presentation. A copy of the second quarter 2025 earnings release, as well as this earnings supplement slide deck, can be obtained by clicking on the materials button in the lower right section of your screen. I'll open up a panel on the right where you can download these items. You can also obtain a copy of these materials by visiting our investor relations website at stbankcorp.com. With me today are Chris McCommish, S&T's CEO, and Dave Antolik, S&T's President. I'd now like to turn the program over to Chris.

Chris? Mark, thank you, and good afternoon, everybody, and thank you for being on the call. I'm going to begin my comments on page three, and we look forward to your questions as we get to the wrapping up our comments. Before I get started, I do want to thank our employees and shareholders and others listening on to the call. And to our leadership team, as always, thank you for your great work. These results are yours, and you should certainly be very proud. Over the past several years, we've made significant strides in positioning our company for long-term success. You will see that focus in the numbers we discussed today, including first by strategically repositioning our balance sheet to reduce asset sensitivity. We've enhanced our ability to drive consistent net interest income growth throughout the interest rate cycle. Second, our focus on improving asset quality has laid a strong foundation for growth. enabling our shift and our intentions to that growth. And finally, our continued investment in our deposit franchise has resulted in a solid deposit mix with non-interest-bearing deposits representing 28% of our total deposits and eight straight quarters of deposit growth while maintaining a very healthy net interest margin. Together, these strategic initiatives have created a solid platform for current strong performance and our confidence in our future. Additionally, this quarter's loan growth has driven total assets to over $9.8 billion. As we've shared on previous calls, we remain very optimistic about our ability to pursue future inorganic growth opportunities. Our robust capital level certainly gives us a lot of flexibility. At the same time, we are committed to a disciplined approach that aligns with our long-term strategic objectives. and we have a clear path to $10 billion through organic growth in the coming quarters. In summary, I'm very excited about how we're executing, delivering for our customers, and building our company for the future. Turning to page three, looking at the quarter, Q2 was another quarter of strong earnings and returns. EPS of 83 cents and net income of $32 million, while ROA came in at 1.32%. And our PPNR remained very solid at 1.73%. Our PPNR was aided by both NIM expansion increasing to a robust 3.88%, up seven basis points linked quarter, while net interest income rose almost 4%. Asset quality and asset growth were both solid as loans increased 5% while the ACL dropped two basis points linked quarter. While customer deposit growth was somewhat muted, as I said earlier, DDA balances remained very impressive at 28%. while contributing almost two-thirds of our overall deposit growth in the quarter. Expenses were a little bit higher this quarter due primarily to some incentive accrual catch-up because of our performance, and Mark's going to get into that detail. I'm going to stop right now, turn it over to both Dave and Mark. Don't want to steal their thunder. Dave's going to talk a little bit more about the balance sheet as well as asset quality.