Company: WBS-PG
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0000801337-25-000104
Chunk: 93

Company: WEBSTER FINANCIAL CORP
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 2
Chunk 93
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$1,016,110 $948,836 Net interest income$631,667 $589,883 $1,865,041 $1,729,919 Add: FTE adjustment14,258 13,659 41,739 43,853  Non-interest income100,906 57,741 288,169 199,392  Other income (2)9,234 7,448 30,794 22,876 Less: Operating lease depreciation3 197 28 1,420         Gain (loss) on sale of investment securities, net— (19,597)220 (79,338)Net (loss) on sale of factored receivables portfolio— (15,977)— (15,977)Net gain on sale of mortgage servicing rights— — — 11,655 Adjusted income$756,062 $704,108 $2,225,495 $2,078,280 Efficiency ratio45.79 %45.49 %45.66 %45.65 %Non-interest expense as a percentage of total revenue (GAAP)48.69 %53.88 %48.58 %52.40 %

(1)Strategic restructuring costs and other primarily includes severance, technology contract termination costs, and the partial impairment of the payroll finance customer relationship intangible asset for the three and nine months ended September 30, 2024.

(2)Other income (non-GAAP) includes the taxable equivalent of net income generated from LIHTC investments.

4

Net Interest Income Analysis

The following tables summarize daily average balances, interest, and average yield/rate by major category, and net interest margin on an FTE basis: Three months ended September 30, 20252024(Dollars in thousands)AverageBalanceInterest Income/ExpenseAverage Yield/RateAverageBalanceInterest Income/ExpenseAverage Yield/RateAssetsInterest-earning assets:Loans and leases (1)$54,372,960 $806,695 5.83 %$51,752,193 $820,209 6.22 %Investment securities: (2)Taxable17,445,699 196,509 4.50 16,374,528 171,217 4.18 Non-taxable926,078 7,043 3.04