Company: FRME
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000712534-25-000197
Chunk: 204

Company: FIRST MERCHANTS CORP
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 204
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335,139 Total Liabilities16,269,610 16,109,033 Stockholders' Equity2,367,971 2,251,547 Total Liabilities and Stockholders' Equity$18,637,581 $18,360,580 Net Interest Income (FTE)$139,874 $136,993 Net Interest Spread (FTE) (4)2.64 %2.54 %Net Interest Margin (FTE):Interest Income (FTE) / Average Earning Assets5.58 %5.82 %Interest Expense / Average Earning Assets2.34 %2.59 %Net Interest Margin (FTE) (5)3.24 %3.23 %(1) Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments.  Annualized amounts are computed utilizing a 30/360 day basis.(2)  Tax-exempt securities and loans are presented on an FTE basis, using a marginal tax rate of 21 percent for 2025 and 2024.  These totals equal $6,209 and $5,883 for the three months ended September 30, 2025 and 2024, respectively.  (3) Nonaccruing loans have been included in the average balances.(4) Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.(5) Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.

48

PART I: FINANCIAL INFORMATIONITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

(Dollars in Thousands)Nine Months EndedSeptember 30, 2025September 30, 2024Average BalanceInterest Income /ExpenseAverageRateAverage BalanceInterest Income /ExpenseAverageRateAssets:  Federal Funds SoldInterest-bearing deposits$258,396 $5,940 3.07 %$383,007 $11,642 4.05 %Federal Home Loan Bank stock45,964 3,172 9.20 41,748 2,569 8.20 Investment Securities: (1) Taxable1,602,343 24,926