BankUnited, Inc.

and CEO, Jim Mackey, Chief Financial Officer, and Tom Cornish, Chief Operating Officer. Before we start, I'd like to remind everyone that this call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the company's current views with respect to, among other things, future events and financial performance. Any forward-looking statements made during this call are based on the historical performance of the company and its subsidiaries or on the company's current plans, estimates, and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the company that the future plans, estimates, or expectations contemplated by the company will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions. including those relating to the company's operations, financial results, financial condition, business prospects, growth strategy and liquidity, including as impacted by external circumstances outside the company's direct control, such as adverse events impacting the financial services industry. The company does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments, or otherwise. A number of reporting factors could cause actual results to differ materially from those indicated by the forward-looking statements. These factors should not be construed as exhaustive. Information on these factors can be found in the company's annual report on Form 10-K for the year ended December 31, 2024, and any subsequent quarterly report on Form 10-Q or current report on Form 8-K, which are available at the SEC's website. With that, I'd like to turn the call over to Mr. Raj Singh.

Thank you, Jackie. Good morning, everyone, and welcome to our earnings call. Before I walked in here, I was looking at, I think, CNN or CNBC and realized that we're competing with President Trump's speech at Davos. So for those of you who are listening in, a special thank you, because I know we have stiff competition this morning for your attention. Honestly, if it was up to me, I'd Yeah, if I was the audience, I'd probably be listening to his speech as well more than our earnings call. But nevertheless, thank you. And we are going to walk quickly through the earnings for the quarter. But before we get into quarter, just a couple of minutes on how the year turned out to be. I'll talk about the year, talk about the quarter, give you some guidance for next year. And then I'll turn it over to Tom, who will then turn it over to Jim. By the way, Leslie sends regards from the beach. I believe she's on the call listening in. But coming back to our 2025, this was a great year for us. I mean, there's no other way to describe it. If I was to summarize everything in one sentence, I would say double-digit EPS growth came from double-digit earnings growth, which came from double-digit PPNR growth, which came from double-digit NIDDA growth, which caused margin to expand. by like 22 basis points. I mean, there's a lot more nuance to it. There's fee income, this, that, and the other. But, you know, if I had to summarize it in 20 seconds, that's how I would. We pretty much hit everything we were trying to hit and it just turned out to be an awesome year. Turning to the fourth quarter, again, this is a very strong quarter for us on just about every metric. Earnings came in at 69.3 million, 90 cents a share. There was some one-times, which Jim will walk you through, some software write-downs that we took at the end of the year. But adjusted for that, I think our EPS would have been 94 cents. I think consensus I checked last week was 89. PPNR for the quarter was 115 million, 115.4 compared to 109.5 last quarter. I think it was 104 million fourth quarter of last year. Margin continued to expand, which has been a story with us. Last quarter we were at 3%. Now we're at 3.06%. If you compare it to fourth quarter of last year, we're up 22 basis points. Annualized ROA came in at 78 basis points, but if you adjust for that software write-down, it was about 81 basis points. Deposits and loans, this is like a really strong quarter on both sides of the balance sheet. NIDDA grew on a spot basis by $485 million and for the year was up $1.5 billion. But to be honest, the right way to look at our balance, especially deposits, is always on an average basis because there's a lot of noise that comes from seasonality, a lot of noise that comes in from just last couple of days to quarter. Our average NIDDA for the quarter was up about $500 million, about $505 million. And for the year, average NIDDA was up $844 million. Those are pretty solid numbers, and we're very proud of it. Now, this quarter, we had guided to you that this is a seasonally slow quarter for us. And your question might be, so did the seasonality not show up? The answer is no. The seasonality very much showed up. NTS, which is our title business, was down, as it always is in December. So that happened. What really made up for that and then some was all the other business lines came in very strong on deposit growth, especially on NIDDA growth, and we ended up where we did. So very happy with that performance. NIDDA now stands at 31% of total deposits. Last quarter, we were at 30%. and we want to recapture that peak that we hit during COVID years of 34%, and we are more and more confident of getting there soon. There was obviously a Fed rate move this quarter. Cost of deposits came down. Spot cost of deposits declined by 21 basis points to 210 at the end of the year, which was 231 at the end of September. So just, you know, compared to December of last year, spot cost of deposits down 53 basis points. Now quickly turning to loans. The last couple of quarters, we've been seeing a lot of payoffs and some expected, some unexpected. But this quarter, we've made up a lot of, on the loan growth side, core loans grew by $769 million. By core means commercial and CRE and small business and all that stuff, excluding residential and, you know, that we've been running off. So the core loans growing $759 million. This is a very big quarter for us. We were very busy all through the end of the year. So we're very happy about that, and Tom will talk a little more in detail about where that growth came from. Quickly turning to credit, criticized classified loans were down a little bit by $27 million. NPLs were down a little by $7 million. We did see slightly elevated provision and charge-offs. We are in a lumpy business when these credit costs hit us that do come in large chunks. As an example, up to $25 million, one loan, which was a fraud that we got hit by in the fourth quarter, was $10 million. It's very hard to predict these things. It's very hard to protect yourself against fraud, but it did happen, and we had a complete write-off on a $10 million loan. And that's in the numbers. But overall, we're feeling good about credit and expect NPLs to continue to decline into this year. Capital, set one, was a little lower at 12.3%, partly because of growth, partially because of a little bit of buyback that we did in the fourth quarter. And on a pro forma basis, including AOCI, set one is 11.6%. Tangible common equity to tangible assets got to 8.5%. And tangible book value per share is now over $40 at $40.14. I think that's a 10% growth year over year. So the board met just yesterday, looked at our plan, looked at our numbers, and authorized for an additional $200 million share buyback. Of the 100 that they had authorized a few months ago, we've already used up about half that. So we will have about 50 million left over roughly from the previously announced buyback authorization at another 200 to it. So we'll have 250 million or so of dry powder. Also, they increased dividends by two cents as they often do at this time. So in terms of philosophy on buybacks, I think you've heard me say that in the past. We want to stay in the middle of the pack of our peers. We think our middle of the pack is somewhere in the mid-11s, and that's what we're shooting for. Now, where the herd moves, only time will tell. That number could go lower, and we will address it if it does. But right now, it feels like mid-11s is the middle of the pack. and we're in the mid to low 12s, and we're at the top of that range, and the buyback will bring us in line. So before I hand it over to Tom, let me quickly talk about guidance. And we put a deck out. You can look at it at your leisure. But just for guidance, I would ask you to look at page 14 and then page 15. Phase 14 is sort of a look back of what guidance we gave last year and what were we able to deliver in actual results. We gave you guidance about deposits and NIDDA and loans and expenses and net interest margin and so on. We pretty much got there on everything and did better on most things. And I was up 8% margin. We got it to ending the year at 3. We ended at 3.06%. Deposits, we said mid single digits. We did mid single digits. NIDDA, we said low double digits. We did, you know, period end, we did 20%. On average, we did about 12%. The only one that we missed was core loan growth. We thought we would be in high single digits, but we ended up at 5%. And expenses, we said they'll be controlled or be mid single digits, and we ended up at 3%. So very happy with what the guidance last year worked out to be. So with that, you know, keeping that in perspective, Our guidance for next year is on page 15. It might look like we were being too lazy. It's almost the same guidance that we gave you last year. It's so boring that we think loan growth, deposit growth, between the NIDDA and total revenue growth, Everything will be very similar to last year. The loans should grow, core loans should grow about 6%. Resi and others will shrink at about 8%. Total loan growth will be in the 2-3% range. Deposits, NIDDA will continue to grow at the 12% rate that it has been growing at. Total deposits, excluding brokerage, will be at about 6%. Revenue, which grew last year at 8%, should grow again at 8%. margins slightly more, fee income slightly less, simply because there's least financing income in fee income that is coming down, which has dragged it down a little bit, and expenses will stay controlled. For provision, we're using an assumption that the provision will be similar to last year, though it's a little hard to always pinpoint that, but our best assumption is it will be the same. The difference this year is we're announcing capital actions, which we did not announce last year, Like I just mentioned, the $200 million additional buyback, that's different this year. And all of our assumptions and everything was built on the economic environment staying pretty much what it is, and spreads are tight and tightening. So we did take that into account, which is why you see margin improvement only going from 306 to 320. It's largely because we're seeing much tighter spreads this time than we did 12 months ago. And two Fed rate cuts, but our numbers aren't very sensitive, whether it's one cut or two cuts or three cuts. The balance sheet is fairly hedged. So with that, did I miss anything? Sure, turn it over. All right, let's turn it over to Tom.

Great, thank you, Raj. Just to follow up on Raj's earlier comments, on deposit growth, total deposits increased by $735 million during the quarter. $1.5 billion for the year, and NIDDA was up this quarter by $485 million and $1.5 billion for the year. As Raj mentioned, despite the normal seasonality, we have numerous business lines contributed to strong growth in the fourth quarter, which was really good to see. I would also say if you look at the lending business that we did in the quarter, which was also up strong, the treasury pipeline, operating account pipeline going into the early part of the year is very good because you tend to fund loans first and then you tend to migrate the deposits afterwards. So given the strength that we had in the lending teams at the end of Q4 or during Q4, we'll see some lag time in the development of those operating account businesses. So we remain really optimistic about that. As Rod said, core loans grew by net $769 million. For the quarter, if you break that down, CRE was up by $276 million. The CNI segments were up by $474 million, and Mortgage Warehouse was up by $19 million. We talked in the last few quarters about the fact that production throughout the year remained relatively strong, but we did have You know, these headwinds of, you know, strategic exits and payoffs and sales of companies and whatnot. One of you asked me on the last call, you know, what ending we were in of the exit process. And I said we were kind of in the bottom of the ninth ending. I think if you look at the walkthrough that Jim did on page nine of the deck, you know, you'll see that the production was very strong there. and the level of exits was fairly minor compared to what it had been in previous quarters. So as we move into this year, while there certainly will be one or two things we exit from for various reasons, overall, I think we're in a year where production will continue to be strong, and we've kind of finished the game of looking at things that we want to get out of. Overall, residue was down by 148 million. while franchise equipment and municipal finance were down a combined $50 million. In aggregate, that gets you to your $571 million of total growth. The loan-to-deposit ratio finished the quarter at 82.7%. A few comments on the commercial real estate portfolio. It was a good year for Cree. We grew by 9% on the team. Overall exposure totaled $6.8 billion for 28% of total loans, and as you You can see from the supplemental deck, pretty well diversified across all major asset classes. Again, consistent with last quarter, at December the 31st, the weighted average LTV degree portfolio was 55%, and the weighted average debt service coverage ratio was 1.82. So both very strong metrics. 48% of the portfolio was in Florida, 22% in New York, and obviously the remainder in other areas where we've emphasized growth in the southeastern and Texas over the last couple of years. Our exposure to CREE office was down 98 million or about 6% from the prior quarter end. Criticized and classified CREE loans declined by 36 million in the fourth quarter, primarily as a result of payoffs and paydowns. I think at this point, we continue to see generally positive trends in the overall office book. Obviously, it's down significantly over the last few years. I think this will be a year where we see a lot of rent abatement improvements. And in most of the markets that we're in, when we kind of break it down sub-market by sub-market, we're seeing continued improvement in each of the sub-markets. Page 8 of the investor deck provides greater detail on the CREE portfolio. So with that, I'll turn it over to Jim.