# EDGAR Filing Document

**Accession Number:** 0001564618
**File Stem:** 0001564618-23-000007
**Filing Date:** 2023-1
**Character Count:** 104546
**Document Hash:** 1879152a10993618e2c0e53e181b4af0
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001564618-23-000007.hdr.sgml**: 20230124

**ACCESSION NUMBER**: 0001564618-23-000007

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 41

**CONFORMED PERIOD OF REPORT**: 20230119

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Other Events

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230124

**DATE AS OF CHANGE**: 20230123

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Independent Bank Group, Inc.
- **CENTRAL INDEX KEY:** 0001564618
- **STANDARD INDUSTRIAL CLASSIFICATION:** STATE COMMERCIAL BANKS [6022]
- **IRS NUMBER:** 134219346
- **STATE OF INCORPORATION:** TX
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-35854
- **FILM NUMBER:** 23545553

**BUSINESS ADDRESS:**
- **STREET 1:** 7777 HENNEMAN WAY
- **CITY:** MCKINNEY
- **STATE:** TX
- **ZIP:** 75070
- **BUSINESS PHONE:** (972) 562-9004

**MAIL ADDRESS:**
- **STREET 1:** 7777 HENNEMAN WAY
- **CITY:** MCKINNEY
- **STATE:** TX
- **ZIP:** 75070

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Independent Bank Group Inc
- **DATE OF NAME CHANGE:** 20121213

?xml version="1.0" ? ibtx-20230119

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, DC 20549**

**________________________**

**FORM 8-K** 

________________________

**CURRENT REPORT**

**PURSUANT TO SECTION 13 or 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

________________________

Date of Report (Date of earliest event reported):

**January 19, 2023** 

**Independent Bank Group, Inc.** 

(Exact Name of Registrant as Specified in Charter)

________________________

---

| | | |
|:---|:---|:---|
| **Texas** | **001-35854** | **13-4219346** |
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |

---

**7777 Henneman Way**

**McKinney, TX 75070-1711** 

(Address of principal executive offices) (Zip code)

Registrant's telephone number, including area code:

**(972) 562-9004** 

**Not Applicable**

(Former name or former address, if changed since last report)

**________________________**

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| **Title of Each Class** | **Trading Symbol(s)** | **Name of Exchange on Which Registered** |
| Common Stock, par value, $0.01 per share | IBTX | NASDAQ Global Select Market |

---

Indicate by checkmark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2):

Emerging growth company&nbsp;&nbsp;&nbsp;&nbsp;☐

If an emerging growth company, indicate by checkmark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

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**Item 2.02. &nbsp;&nbsp;&nbsp;&nbsp;Results of Operations and Financial Condition.**

In accordance with Item 2.02 of Form 8-K of the Securities and Exchange Commission (the "SEC"), Independent Bank Group, Inc., a Texas corporation (the "Company"), is furnishing to the SEC a press release that the Company issued on January 23, 2023 (the "Press Release"). The Press Release disclosed certain information regarding the Company's results of operations for the three months and year ended December 31, 2022, and the Company's financial condition as of December 31, 2022. A copy of the text of the Press Release is attached hereto as Exhibit 99.1.

**Item 7.01.**&nbsp;&nbsp;&nbsp;&nbsp;**Regulation FD Disclosure.**

On January 23, 2023, the Company made available earnings release presentation materials regarding its operating and financial results for the quarter ended December 31, 2022. A copy of the earnings release presentation materials is attached hereto as Exhibit 99.2.

In accordance with the General Instruction B.2 of Form 8-K, the information in Item 2.02 and Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1 and Exhibit 99.2 hereto, which are furnished herewith pursuant to and relate to Item 2.02 and Item 7.01, respectively, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise be subject to the liabilities of Section 18 of the Exchange Act. The information in Item 2.02 and Item 7.01 of this Current Report on Form 8-K and Exhibit 99.1 and Exhibit 99.2 hereto shall not be incorporated by reference into any filing or other document filed by the Company with the SEC pursuant to the Securities Act of 1933, as amended, the rules and regulations of the SEC thereunder, the Exchange Act, or the rules and regulations of the SEC thereunder, except as shall be expressly set forth by specific reference in such filing or document.

**Item 8.01.**&nbsp;&nbsp;&nbsp;&nbsp;**Other Events.**

On January 23, 2023, the Company also announced in the Press Release that its Board of Directors approved the establishment of a new stock repurchase program, with a maximum limit of $125 million available for repurchase through December 31, 2023, and declared a quarterly dividend on its common stock in the amount of $0.38 per share. The dividend will be payable on February 16, 2023, to shareholders of record as of the close of business on February 6, 2023.

**Item 9.01. &nbsp;&nbsp;&nbsp;&nbsp; Financial Statements and Exhibits.**

(d)&nbsp;&nbsp;&nbsp;&nbsp;**Exhibits.**

---

| | |
|:---|:---|
| <u>Exhibit No.</u> | <u>Description of Exhibit</u> |
| Exhibit 99.1 | <u>[Text of Press Release issued by Independent Bank Group, Inc., dated January 23, 2023, reporting Fourth Quarter Financial Results, declaring quarterly dividend on its common stock and authorizing share repurchase plan.](exhibit991q42022.htm)</u> |
| Exhibit 99.2 | <u>[Earnings Release Presentation Materials, dated January 23, 2023](exhibit992erpresentation.htm)</u> |
| Exhibit 104 | Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document) |

---

------

**SIGNATURES** 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated January 24, 2023

INDEPENDENT BANK GROUP, INC.

---

| | |
|:---|:---|
| By: | /s/ David R. Brooks |
| Name: | David R. Brooks |
| Title: | Chairman of the Board and Chief Executive Officer |

---

## Exhibit 99.1

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | |
|:---|:---|
| ![ifglogoa05a.jpg](ifglogoa05a.jpg) | **Exhibit 99.1**<br>*Press Release*<br>*For Immediate Release* |

---

&nbsp;&nbsp;&nbsp;&nbsp;

**INDEPENDENT BANK GROUP, INC. REPORTS FOURTH QUARTER FINANCIAL RESULTS, DECLARES QUARTERLY DIVIDEND, AND ANNOUNCES SHARE REPURCHASE PLAN**

January 23, 2023

McKINNEY, Texas, January 23, 2023 -- Independent Bank Group, Inc. (NASDAQ: IBTX) today announced net income of $40.8 million, or $0.99 per diluted share, for the quarter ended December 31, 2022, compared to $54.2 million, or $1.26 per diluted share, for the quarter ended December 31, 2021 and $52.4 million, or $1.27 per diluted share, for the quarter ended September 30, 2022. Adjusted net income for the quarter ended December 31, 2022 was $49.4 million, or $1.20 per diluted share, compared to $55.0 million, or $1.28 per diluted share for the quarter ended December 31, 2021 and $54.9 million, or $1.33 per diluted share for the quarter ended September 30, 2022.

For the year ended December 31, 2022, the Company reported net income of $196.3 million, or $4.70 per diluted share, compared to $224.8 million, or $5.21 per diluted share, for the year ended December 31, 2021. Adjusted net income was $209.7 million, or $5.02 per diluted share in 2022 compared to $225.9 million, or $5.24 per diluted share in 2021.

The Company also announced that its Board of Directors declared a quarterly cash dividend of $0.38 per share of common stock. The dividend will be payable on February 16, 2023 to stockholders of record as of the close of business on February 6, 2023. The Board of Directors additionally authorized the Company to repurchase up to $125 million of its outstanding common stock through December 31, 2023, at the discretion of management.

**Highlights** 

&nbsp;&nbsp;&nbsp;&nbsp;• Net income of $40.8 million, or $0.99 per diluted share and adjusted (non-GAAP) net income of $49.4 million, or $1.20 per diluted share

&nbsp;&nbsp;&nbsp;&nbsp;• Organic loan growth of 9.6% annualized for the quarter (excluding warehouse and PPP)

&nbsp;&nbsp;&nbsp;&nbsp;• Improved credit metrics with nonperforming assets of 0.35% of total assets

&nbsp;&nbsp;&nbsp;&nbsp;• Net charge-offs for the quarter of 0.02%, annualized

&nbsp;&nbsp;&nbsp;&nbsp;• Increase in loan yield, net of acquired loan accretion and PPP income, to 5.01%, compared to 4.62% in the linked quarter

"Our full-year 2022 results illustrate the ability of our business model to deliver healthy loan growth, sustainable earnings, and resilient credit quality throughout the economic cycle," said Independent Bank Group Chairman & CEO David R. Brooks. "Despite both macroeconomic uncertainty and a dynamic interest rate environment, our bankers across Texas and Colorado continued to attract new business and deepen existing relationships through year-end. Our fourth quarter results also included healthy loan growth, resilient credit quality, and a renewed focus on expense discipline. While we will remain vigilant against emerging risks heading into 2023, we are nonetheless encouraged by the momentum generated this past year by our talented bankers across four of the strongest markets in the country."

------

**Fourth Quarter 2022 Operating Results**

**Net Interest Income**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net interest income was $141.8 million for fourth quarter 2022 compared to $132.7 million for fourth quarter 2021 and $147.3 million for third quarter 2022. The increase in net interest income from the prior year was primarily driven by year over year loan growth as well as increased rates on interest earning assets due to Fed Funds rate increases, offset by increased funding costs on deposit accounts in addition to lower acquired loan accretion and PPP income for the year over year period. The decrease from the linked quarter was primarily due to the increased funding costs on our deposit products as a result of the continued rate increases offset to a lesser extent by increased earnings on interest earning assets, primarily loans and interest-bearing cash accounts. The fourth quarter 2022 includes $1.1 million in acquired loan accretion compared to $2.1 million in third quarter 2022 and $5.7 million in fourth quarter 2021. In addition, net PPP fees of $58 thousand were recognized in fourth quarter 2022 compared to $4.0 million in fourth quarter 2021 and $343 thousand in third quarter 2022. Total fees left to be recognized were $101 thousand as of December 31, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The average balance of total interest-earning assets decreased $1.4 billion and totaled $16.1 billion for the quarter ended December 31, 2022 compared to $17.5 billion for the quarter ended December 31, 2021 and increased $68.9 million from $16.0 billion for the quarter ended September 30, 2022. The decrease from the prior year is primarily due to lower average interest bearing cash balances, which decreased approximately $2.9 billion offset by an increase of $1.4 billion in average loan balances for the year over year period. The increase from the linked quarter is primarily due to organic loan growth for the quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The yield on interest-earning assets was 4.67% for fourth quarter 2022 compared to 3.30% for fourth quarter 2021 and 4.30% for third quarter 2022. The increase in asset yield compared to the linked quarter and prior year is primarily a result of increases in the Fed Funds rate, while the prior year increase is also a result of the shift in earning assets from lower yielding interest-bearing deposit balances to higher yielding loans due to the strong loan growth for the year over year period. The average loan yield, net of acquired loan accretion and PPP income was 5.01% for the current quarter, compared to 4.07% for prior year quarter and 4.62% for the linked quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The cost of interest-bearing liabilities, including borrowings, was 1.81% for fourth quarter 2022 compared to 0.46% for fourth quarter 2021 and 1.02% for third quarter 2022. The increase from the linked quarter and prior year is reflective of higher rates on deposit products and short-term borrowings as a result of Fed Funds rate increases.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The net interest margin was 3.49% for fourth quarter 2022 compared to 3.00% for fourth quarter 2021 and 3.64% for third quarter 2022. The net interest margin excluding acquired loan accretion was 3.46% for fourth quarter 2022 compared to 2.87% fourth quarter 2021 and 3.59% for third quarter 2022. The increase in net interest margin from the prior year was primarily due to higher earnings on loans due to organic growth for the year over year period, in addition to higher yields resulting from Fed rate increases, offset by increased funding costs on deposit products. The prior year change also reflects a shift in the asset mix to higher yielding assets due to loan growth. The decrease in the net interest margin from the linked quarter was primarily due to the increased funding costs.

**Noninterest Income** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total noninterest income decreased $3.9 million compared to fourth quarter 2021 and $2.3 million compared to third quarter 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The change from the prior year primarily reflects decreases of $3.2 million and $1.1 million, in mortgage banking revenue and mortgage warehouse purchase fees while the linked quarter change reflects decreases of $936 thousand in mortgage banking revenue, $205 thousand in mortgage warehouse purchase fees, respectively, and $723 thousand in other nonintereset income.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Both mortgage banking revenue and mortgage warehouse purchase fees were lower in fourth quarter 2022 compared to prior year and linked quarter due to decreased demand and lower volumes, as well as narrower margins resulting from rate increases over the year. Offsetting the decrease in mortgage banking revenue was a fair value gain on derivative hedging instruments of $291 thousand in fourth quarter 2022 compared to a fair value loss of $378 thousand in fourth quarter 2021 and a fair value gain of $61 thousand in third quarter 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The decrease in other noninterest income compared to the linked quarter was primarily due to the termination of a correspondent relationship during the quarter.

------

**Noninterest Expense**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total noninterest expense increased $18.9 million compared to fourth quarter 2021 and $7.0 million compared to third quarter 2022. As explained below, $10.4 million of non-recurring transactions related to salaries and benefits expense and impairment charges were recorded during fourth quarter 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in noninterest expense in fourth quarter 2022 compared to the prior year is due primarily to increases of $11.0 million in salaries and benefits expenses, $1.4 million in occupancy expenses, $902 thousand in communications and technology expense and, $1.0 million in professional fees and $3.7 million in other noninterest expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in noninterest expense in fourth quarter 2022 compared to the linked quarter is due primarily to increases of $3.1 million in salaries and benefits expenses, $1.1 million in professional fees and $2.7 million in other noninterest expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in salaries and benefits from the prior year is due primarily to $7.1 million in severance and accelerated stock vesting expenses recognized in fourth quarter 2022 due to a targeted reduction-in-force related to departmental and business line restructurings that occurred mid-quarter. Salaries, bonus, payroll taxes, insurance expense and 401(k) match were $4.6 million higher in the current quarter compared to the same quarter in the prior year due to additional headcount, including several executive and senior positions added during the year over year period. In addition, deferred salaries expense, which reduces overall expense, was $1.3 million lower compared the prior year quarter. Offsetting these changes was $1.2 million in lower mortgage commissions and incentives due to lower volumes for the year over year period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in salaries and benefits expense from the linked quarter was driven by the separation expenses described above, which were $3.8 million higher than the linked quarter, offset by related declines in salaries and bonus expense totaling $1.9 million due to the reduction-in-force. In addition, third quarter 2022 includes a $1.0 million economic development incentive grant related to job growth recorded as an offset to salaries expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in occupancy expenses from the prior year was primarily due to higher depreciation and property tax expense due to the opening of the second phase of the Company's headquarters campus in second quarter 2022. The increase in communications and technology expense from prior year was due to higher data processing costs and software expense for the year over year period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in professional fees compared to prior year and the linked quarter was due primarily to increased consulting fees related to various departmental and infrastructure projects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The increase in other noninterest expense compared to the prior year and linked quarter is primarily due to asset impairment charges of $3.3 million during fourth quarter 2022 including the write-off of capitalized software costs related a terminated infrastructure initiative project during the quarter, as well as the write-off related to a correspondent bank relationship terminated during the quarter as described above.

**Provision for Credit Losses**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Company recorded $2.8 million provision for credit losses for fourth quarter 2022, compared to zero provision expense for fourth quarter 2021 and $3.1 million provision for the linked quarter. Provision expense during a given period is generally dependent on changes in various factors, including economic conditions, credit quality and past due trends, as well as loan growth and charge-offs or specific credit loss allocations taken during the respective period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The allowance for credit losses on loans was $148.8 million, or 1.09% of total loans held for investment, net of mortgage warehouse purchase loans, at December 31, 2022, compared to $148.7 million, or 1.28% at December 31, 2021 and compared to $146.4 million, or 1.10% at September 30, 2022. The dollar increase from the linked quarter is primarily due to provision taken during the quarter in addition to changes in specific credit loss allocations and net charge-offs taken during the period. The percentage decrease from the prior year reflects changes in the economic outlook, specifically related to the COVID pandemic.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The allowance for credit losses on off-balance sheet exposures was $3.9 million at December 31, 2022 compared to $4.7 million at December 31, 2021 compared to $4.3 million at September 30, 2022. Changes in the allowance for unfunded commitments are generally driven by the remaining unfunded amount and the expected utilization rate of a given loan segment.

**Income Taxes**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Federal income tax expense of $10.7 million was recorded for the fourth quarter 2022, an effective rate of 20.7% compared to tax expense of $13.6 million and an effective rate of 20.1% for the prior year quarter and tax expense of $13.5 million and an effective rate of 20.5% for the linked quarter.

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**Fourth Quarter 2022 Balance Sheet Highlights**

**Loans**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total loans held for investment, net of mortgage warehouse purchase loans, were $13.6 billion at December 31, 2022 compared to $13.3 billion at September 30, 2022 and $11.7 billion at December 31, 2021. PPP loans totaled $5.0 million, $7.0 million and $112.1 million as of December 31, 2022, September 30, 2022 and December 31, 2021, respectively. Loans held for investment excluding PPP loans and mortgage warehouse loans increased $320.0 million, or 9.6% on an annualized basis, during fourth quarter 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Average mortgage warehouse purchase loans decreased to $297.1 million for the quarter ended December 31, 2022 from $402.2 million for the quarter ended September 30, 2022, and $801.7 million for the quarter ended December 31, 2021, a decrease of $105.1 million, or 26.1% from the linked quarter and a decrease of $504.6 million, or 62.9% year over year. The changes from the linked quarter and prior year are reflective of decreased demand and lower volumes related to mortgage rate increases and shorter dwell times for the year over year period.

**Asset Quality**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total nonperforming assets decreased to $64.1 million, or 0.35% of total assets at December 31, 2022, compared to $81.1 million or 0.45% of total assets at September 30, 2022, and increased from $57.5 million, or 0.31% of total assets at December 31, 2021.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total nonperforming loans decreased to $40.1 million, or 0.29% of total loans held for investment at December 31, 2022, compared to $57.0 million, or 0.43% at September 30, 2022 and $57.3 million, or 0.49% at December 31, 2021.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The decrease in nonperforming loans and nonperforming assets from the linked quarter is primarily due to the sale of a $7.7 million commercial nonaccrual loan and the payoff and partial charge-off of a $10.2 million commercial nonaccrual loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The decrease in nonperforming loans for the year over year period reflects the sale and payoff of the commercial nonaccrual loans discussed above and the foreclosure of an $11.7 million commercial real estate property that was moved to other real estate owned during third quarter 2022, offset by the addition of a $12.5 million commercial real estate placed on nonaccrual. The increase in nonperforming assets from the prior year also reflects the foreclosure of a $12.9 million commercial real estate property that was both added to nonaccrual and foreclosed upon during the first half of 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Charge-offs were 0.02% annualized in the fourth quarter 2022 compared to 0.04% annualized in the linked quarter and 0.10% annualized in the prior year quarter.

**Deposits, Borrowings and Liquidity**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total deposits were $15.1 billion at December 31, 2022 compared to $15.0 billion at September 30, 2022 and compared to $15.6 billion at December 31, 2021.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total borrowings (other than junior subordinated debentures) were $567.1 million at December 31, 2022, an increase of $100.2 million from September 30, 2022 and an increase of $133.7 million from December 31, 2021. The year over year and linked quarter changes reflect additions of FHLB advances of $150.0 million and $100.0 million, respectively, while the year over year change also reflects reductions of $17.0 million in borrowings on the Company's unsecured line of credit.

**Capital** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Company continues to be well capitalized under regulatory guidelines. At December 31, 2022, the estimated common equity Tier 1 to risk-weighted assets, Tier 1 capital to average assets, Tier 1 capital to risk-weighted assets and total capital to risk-weighted asset ratios were 10.09%, 9.49%, 10.45% and 12.35%, respectively, compared to 10.00%, 9.41%, 10.35%, and 12.27%, respectively, at September 30, 2022 and 11.12%, 8.80%, 11.52%, and 13.67%, respectively at December 31, 2021.

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**Subsequent Events**

The Company is required, under generally accepted accounting principles, to evaluate subsequent events through the filing of its consolidated financial statements for the year ended December 31, 2022 on Form 10-K. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates made as of December 31, 2022 and will adjust amounts preliminarily reported, if necessary.

**About Independent Bank Group, Inc.**

Independent Bank Group, Inc. is a bank holding company headquartered in McKinney, Texas. Through its wholly owned subsidiary, Independent Bank, doing business as Independent Financial, Independent Bank Group serves customers across Texas and Colorado with a wide range of relationship-driven banking services tailored to meet the needs of businesses, professionals and individuals. Independent Bank Group, Inc. operates in four market regions located in the Dallas/Fort Worth, Austin and Houston areas in Texas and the Colorado Front Range area, including Denver, Colorado Springs and Fort Collins.

**Conference Call**

A conference call covering Independent Bank Group's fourth quarter earnings announcement will be held on Tuesday, January 24, 2023 at 8:30 am (ET) and can be accessed by the webcast link, <u>https://www.webcast-eqs.com/indepbankgroup20230124/en</u> or by calling 1-877-407-1878 and by identifying the meeting number 13735285 or by identifying "Independent Bank Group Fourth Quarter 2022 Earnings Conference Call." The conference materials will also be available by accessing the Investor Relations page of our website, https://ir.ifinancial.com. If you are unable to participate in the live event, a recording of the conference call will be accessible via the Investor Relations page of our website.

**Forward-Looking Statements**

From time to time the Company's comments and releases may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties and are made pursuant to the safe harbor provisions of Section 27A of the Securities Act, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and other related federal security laws. Forward-looking statements include information about the Company's possible or assumed future results of operations, including its future revenues, income, expenses, provision for taxes, effective tax rate, earnings per share and cash flows, its future capital expenditures and dividends, its future financial condition and changes therein, including changes in the Company's loan portfolio and allowance for credit losses, the Company's future capital structure or changes therein, the plan and objectives of management for future operations, the Company's future or proposed acquisitions, the future or expected effect of acquisitions on the Company's operations, results of operations and financial condition, the Company's future economic performance and the statements of the assumptions underlying any such statement. Such statements are typically, but not exclusively, identified by the use in the statements of words or phrases such as "aim," "anticipate," "estimate," "expect," "goal," "guidance," "intend," "is anticipated," "is estimated," "is expected," "is intended," "objective," "plan," "projected," "projection," "will affect," "will be," "will continue," "will decrease," "will grow," "will impact," "will increase," "will incur," "will reduce," "will remain," "will result," "would be," variations of such words or phrases (including where the word "could," "may" or "would" is used rather than the word "will" in a phrase) and similar words and phrases indicating that the statement addresses some future result, occurrence, plan or objective. The forward-looking statements that the Company makes are based on its current expectations and assumptions regarding its business, the economy, and other future conditions. Because forward-looking statements relate to future results and occurrences, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. The Company's actual results may differ materially from those contemplated by the forward looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Many possible events or factors could affect the Company's future financial results and performance and could cause those results or performance to differ materially from those expressed in the forward-looking statements. These possible events or factors include, but are not limited to: 1) the effects of infectious disease outbreaks, including the ongoing COVID-19 pandemic and the significant impact that the COVID-19 pandemic and associated efforts to limit its spread have had and may continue to have on economic conditions and the Company's business, employees, customers, asset quality and financial performance; 2) the Company's ability to sustain its current internal growth rate and total growth rate; 3) changes in geopolitical, business and economic events, occurrences and conditions, including changes in rates of inflation or deflation, nationally, regionally and in the Company's target markets, particularly in Texas and Colorado; 4) worsening business and economic conditions nationally, regionally and in the Company's target markets, particularly in Texas and Colorado, and the geographic areas in those states in which the Company operates; 5) the Company's dependence on its management team and its ability to attract, motivate and retain qualified personnel; 6) the concentration of the Company's business within its geographic areas of operation in Texas and Colorado; 7) changes in asset quality, including increases in default rates on loans and higher levels of nonperforming loans and loan charge-offs generally; 8) concentration of the loan portfolio of Independent Financial, before and after the completion of acquisitions of financial institutions, in commercial and

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residential real estate loans and changes in the prices, values and sales volumes of commercial and residential real estate; 9) the ability of Independent Financial to make loans with acceptable net interest margins and levels of risk of repayment and to otherwise invest in assets at acceptable yields and that present acceptable investment risks; 10) inaccuracy of the assumptions and estimates that the managements of the Company and the financial institutions that the Company acquires make in establishing reserves for credit losses and other estimates generally; 11) lack of liquidity, including as a result of a reduction in the amount of sources of liquidity the Company currently has; 12) material increases or decreases in the amount of deposits held by Independent Financial or other financial institutions that the Company acquires and the cost of those deposits; 13) the Company's access to the debt and equity markets and the overall cost of funding its operations; 14) regulatory requirements to maintain minimum capital levels or maintenance of capital at levels sufficient to support the Company's anticipated growth; 15) changes in market interest rates that affect the pricing of the loans and deposits of each of Independent Financial and the financial institutions that the Company acquires and that affect the net interest income, other future cash flows, or the market value of the assets of each of Independent Financial and the financial institutions that the Company acquires, including investment securities; 16) fluctuations in the market value and liquidity of the securities the Company holds for sale, including as a result of changes in market interest rates; 17) effects of competition from a wide variety of local, regional, national and other providers of financial, investment and insurance services; 18) changes in economic and market conditions, that affect the amount and value of the assets of Independent Financial and of financial institutions that the Company acquires; 19) the institution and outcome of, and costs associated with, litigation and other legal proceedings against one or more of the Company, Independent Financial and financial institutions that the Company acquired or will acquire or to which any of such entities is subject; 20) the occurrence of market conditions adversely affecting the financial industry generally; 21) the impact of recent and future legislative regulatory changes, including changes in banking, securities, and tax laws and regulations and their application by the Company's regulators, and changes in federal government policies, as well as regulatory requirements applicable to, and resulting from regulatory supervision of, the Company and Independent Financial as a financial institution with total assets greater than $10 billion; 22) changes in accounting policies, practices, principles and guidelines, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the SEC and the Public Company Accounting Oversight Board, as the case may be; 23) governmental monetary and fiscal policies; 24) changes in the scope and cost of FDIC insurance and other coverage; 25) the effects of war or other conflicts, including, but not limited to, the conflict between Russia and the Ukraine, acts of terrorism (including cyberattacks) or other catastrophic events, including natural disasters such as storms, droughts, tornadoes, hurricanes and flooding, that may affect general economic conditions; 26) the Company's actual cost savings resulting from previous or future acquisitions are less than expected, the Company is unable to realize those cost savings as soon as expected, or the Company incurs additional or unexpected costs; 27) the Company's revenues after previous or future acquisitions are less than expected; 28) the liquidity of, and changes in the amounts and sources of liquidity available to the Company, before and after the acquisition of any financial institutions that the Company acquires; 29) deposit attrition, operating costs, customer loss and business disruption before and after the Company completed acquisitions, including, without limitation, difficulties in maintaining relationships with employees, may be greater than the Company expected; 30) the effects of the combination of the operations of financial institutions that the Company has acquired in the recent past or may acquire in the future with the Company's operations and the operations of Independent Financial, the effects of the integration of such operations being unsuccessful, and the effects of such integration being more difficult, time consuming, or costly than expected or not yielding the cost savings the Company expects; 31) the impact of investments that the Company or Independent Financial may have made or may make and the changes in the value of those investments; 32) the quality of the assets of financial institutions and companies that the Company has acquired in the recent past or may acquire in the future being different than it determined or determine in its due diligence investigation in connection with the acquisition of such financial institutions and any inadequacy of credit loss reserves relating to, and exposure to unrecoverable losses on, loans acquired; 33) the Company's ability to continue to identify acquisition targets and successfully acquire desirable financial institutions to sustain its growth, to expand its presence in the Company's markets and to enter new markets; 34) changes in general business and economic conditions in the markets in which the Company currently operates and may operate in the future; 35) changes occur in business conditions and inflation generally; 36) an increase in the rate of personal or commercial customers' bankruptcies generally; 37) technology-related changes are harder to make or are more expensive than expected; 38) attacks on the security of, and breaches of, the Company's and Independent Financial's digital infrastucture or information systems, the costs the Company or Independent Financial incur to provide security against such attacks and any costs and liability the Company or Independent Financial incurs in connection with any breach of those systems; 38) the potential impact of climate change and related government regulation on the Company and its customers; 39) the potential impact of technology and "FinTech" entities on the banking industry generally; 40) other economic, competitive, governmental, regulatory, technological and geopolitical factors affecting the Company's operations, pricing and services; and 41) the other factors that are described or referenced in Part I, Item 1A, of the Company's Annual Report on Form 10-K filed with the SEC on February 25, 2022, the Company's Quarterly Reports on Form 10-Q, in each case under the caption "Risk Factors"; and The Company urges you to consider all of these risks, uncertainties and other factors carefully in evaluating all such forward-looking statements made by the Company. As a result of these and other matters, including changes in facts, assumptions not being realized or other factors, the actual results relating to the subject matter of any forward-looking statement may differ materially from the anticipated results expressed or implied in that forward-looking statement. Any forward-looking statement made in

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this filing or made by the Company in any report, filing, document or information incorporated by reference in this filing, speaks only as of the date on which it is made. The Company undertakes no obligation to update any such forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. A forward-looking statement may include a statement of the assumptions or bases underlying the forward-looking statement. The Company believes that these assumptions or bases have been chosen in good faith and that they are reasonable. However, the Company cautions you that assumptions as to future occurrences or results almost always vary from actual future occurrences or results, and the differences between assumptions and actual occurrences and results can be material. Therefore, the Company cautions you not to place undue reliance on the forward-looking statements contained in this filing or incorporated by reference herein.

**Non-GAAP Financial Measures**

In addition to results presented in accordance with GAAP, this press release contains certain non-GAAP financial measures. These measures and ratios include "adjusted net income," "adjusted earnings," "tangible book value," "tangible book value per common share," "adjusted efficiency ratio," "tangible common equity to tangible assets," "adjusted net interest margin," "return on tangible equity," "adjusted return on average assets" and "adjusted return on average equity" and are supplemental measures that are not required by, or are not presented in accordance with, accounting principles generally accepted in the United States. We consider the use of select non-GAAP financial measures and ratios to be useful for financial operational decision making and useful in evaluating period-to-period comparisons. We believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding certain expenditures or assets that we believe are not indicative of our primary business operating results. We believe that management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting, analyzing and comparing past, present and future periods.

We believe that these measures provide useful information to management and investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with GAAP; however we acknowledge that our financial measures have a number of limitations relative to GAAP financial measures. Certain non-GAAP financial measures exclude items of income, expenditures, expenses, assets, or liabilities, including provisions for credit losses and the effect of goodwill, other intangible assets and income from accretion on acquired loans arising from purchase accounting adjustments, that we believe cause certain aspects of our results of operations or financial condition to be not indicative of our primary operating results. All of these items significantly impact our financial statements. Additionally, the items that we exclude in our adjustments are not necessarily consistent with the items that our peers may exclude from their results of operations and key financial measures and therefore may limit the comparability of similarly named financial measures and ratios. We compensate for these limitations by providing the equivalent GAAP measures whenever we present the non-GAAP financial measures and by including a reconciliation of the impact of the components adjusted for in the non-GAAP financial measure so that both measures and the individual components may be considered when analyzing our performance.

A reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures is included at the end of the financial statements tables.

**CONTACTS:**

**Analysts/Investors:** 

Paul Langdale<br>Executive Vice President, Chief Financial Officer<br>(972) 562-9004<br>Paul.Langdale@ifinancial.com

**Media:** 

Wendi CostlowExecutive Vice President, Chief Marketing Officer(972) 562-9004 Wendi.Costlow@ifinancial.com

Source: Independent Bank Group, Inc.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Financial Data

Three Months Ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021

(Dollars in thousands, except for share data)

(Unaudited)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended |
| | December 31, 2022 | September 30, 2022 | June 30, 2022 | March 31, 2022 | December 31, 2021 |
| **Selected Income Statement Data** |  |  |  |  |  |
| Interest income | $189769 | $173687 | $150696 | $140865 | $145954 |
| Interest expense | 47982 | 26413 | 12697 | 9717 | 13303 |
| &nbsp;&nbsp;&nbsp;&nbsp; Net interest income | 141787 | 147274 | 137999 | 131148 | 132651 |
| Provision for credit losses | 2833 | 3100 |  | (1443) |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Net interest income after provision for credit losses | 138954 | 144174 | 137999 | 132591 | 132651 |
| Noninterest income | 11227 | 13477 | 13877 | 12885 | 15086 |
| Noninterest expense | 98774 | 91733 | 85925 | 82457 | 79908 |
| Income tax expense | 10653 | 13481 | 13591 | 12279 | 13642 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net income | 40754 | 52437 | 52360 | 50740 | 54187 |
| Adjusted net income <sup>(1)</sup> | 49433 | 54880 | 53304 | 52130 | 54995 |
| **Per Share Data (Common Stock)** |  |  |  |  |  |
| Earnings: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | $0.99 | $1.27 | $1.25 | $1.19 | $1.26 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | 0.99 | 1.27 | 1.25 | 1.18 | 1.26 |
| Adjusted earnings: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic <sup>(1)</sup> | 1.20 | 1.33 | 1.28 | 1.22 | 1.28 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted <sup>(1)</sup> | 1.20 | 1.33 | 1.27 | 1.22 | 1.28 |
| Dividends | 0.38 | 0.38 | 0.38 | 0.38 | 0.36 |
| Book value | 57.91 | 57.19 | 57.45 | 58.94 | 60.26 |
| Tangible book value <sup>(1)</sup> | 32.25 | 31.44 | 31.61 | 34.02 | 35.25 |
| Common shares outstanding | 41190677 | 41165006 | 41156261 | 42795228 | 42756234 |
| Weighted average basic shares outstanding <sup>(2)</sup> | 41193716 | 41167258 | 41737534 | 42768079 | 42874182 |
| Weighted average diluted shares outstanding <sup>(2)</sup> | 41285383 | 41253662 | 41813443 | 42841471 | 42940354 |
| **Selected Period End Balance Sheet Data** |  |  |  |  |  |
| Total assets | $18258414 | $17944493 | $18107093 | $17963253 | $18732648 |
| Cash and cash equivalents | 654322 | 516159 | 776131 | 1604256 | 2608444 |
| Securities available for sale | 1691784 | 1730163 | 1846132 | 1938726 | 2006727 |
| Securities held to maturity | 207059 | 207516 | 207972 | 188047 |  |
| Loans, held for sale | 11310 | 21973 | 26519 | 22743 | 32124 |
| Loans, held for investment <sup>(3)</sup> | 13597264 | 13285757 | 12979938 | 11958759 | 11650598 |
| Mortgage warehouse purchase loans | 312099 | 409044 | 538190 | 569554 | 788848 |
| Allowance for credit losses on loans | 148787 | 146395 | 144170 | 146313 | 148706 |
| Goodwill and other intangible assets | 1057020 | 1060131 | 1063248 | 1066366 | 1069511 |
| Other real estate owned | 23900 | 23900 | 12900 |  |  |
| Noninterest-bearing deposits | 4736830 | 5107001 | 5123321 | 5003728 | 5066588 |
| Interest-bearing deposits | 10384587 | 9854007 | 9940627 | 9846543 | 10487320 |
| Borrowings (other than junior subordinated debentures) | 567066 | 466892 | 509718 | 419545 | 433371 |
| Junior subordinated debentures | 54419 | 54370 | 54320 | 54270 | 54221 |
| Total stockholders' equity | 2385383 | 2354340 | 2364335 | 2522460 | 2576650 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Financial Data

Three Months Ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021

(Dollars in thousands, except for share data)

(Unaudited)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended | As of and for the Quarter Ended |
| | December 31, 2022 | September 30, 2022 | June 30, 2022 | March 31, 2022 | December 31, 2021 |
| **Selected Performance Metrics** |  |  |  |  |  |
| Return on average assets | 0.90% | 1.16% | 1.19% | 1.12% | 1.11% |
| Return on average equity | 6.85 | 8.66 | 8.62 | 7.99 | 8.35 |
| Return on tangible equity <sup>(4)</sup> | 12.42 | 15.52 | 15.32 | 13.64 | 14.30 |
| Adjusted return on average assets <sup>(1)</sup> | 1.09 | 1.22 | 1.21 | 1.15 | 1.13 |
| Adjusted return on average equity <sup>(1)</sup>  | 8.31 | 9.07 | 8.78 | 8.21 | 8.48 |
| Adjusted return on tangible equity <sup>(1) (4)</sup> | 15.07 | 16.24 | 15.60 | 14.02 | 14.51 |
| Net interest margin | 3.49 | 3.64 | 3.51 | 3.22 | 3.00 |
| Efficiency ratio <sup>(5)</sup> | 62.52 | 55.13 | 54.52 | 55.07 | 51.96 |
| Adjusted efficiency ratio <sup>(1) (5)</sup> | 55.51 | 53.23 | 53.75 | 54.37 | 51.33 |
| **Credit Quality Ratios** <sup>(3) (6)</sup> |  |  |  |  |  |
| Nonperforming assets to total assets | 0.35% | 0.45% | 0.46% | 0.40% | 0.31% |
| Nonperforming loans to total loans held for investment | 0.29 | 0.43 | 0.54 | 0.59 | 0.49 |
| Nonperforming assets to total loans held for investment and other real estate | 0.47 | 0.61 | 0.64 | 0.59 | 0.49 |
| Allowance for credit losses on loans to nonperforming loans | 371.14 | 256.65 | 206.28 | 205.99 | 259.35 |
| Allowance for credit losses to total loans held for investment | 1.09 | 1.10 | 1.11 | 1.22 | 1.28 |
| Net charge-offs to average loans outstanding (annualized) | 0.02 | 0.04 | 0.09 | 0.01 | 0.10 |
| **Capital Ratios** |  |  |  |  |  |
| Estimated common equity Tier 1 capital to risk-weighted assets | 10.09% | 10.00% | 9.81% | 11.09% | 11.12% |
| Estimated tier 1 capital to average assets | 9.49 | 9.41 | 9.28 | 9.38 | 8.80 |
| Estimated tier 1 capital to risk-weighted assets | 10.45 | 10.35 | 10.17 | 11.48 | 11.52 |
| Estimated total capital to risk-weighted assets | 12.35 | 12.27 | 12.24 | 13.72 | 13.67 |
| Total stockholders' equity to total assets | 13.06 | 13.12 | 13.06 | 14.04 | 13.75 |
| Tangible common equity to tangible assets <sup>(1)</sup> | 7.72 | 7.67 | 7.63 | 8.62 | 8.53 |

---

**____________**

<sup>(1)</sup> Non-GAAP financial measure. See reconciliation.

<sup>(2)</sup> Total number of shares includes participating shares (those with dividend rights).

<sup>(3)</sup> Loans held for investment excludes mortgage warehouse purchase loans and includes SBA PPP loans of $4,958, $7,029, $26,669, $67,011 and $112,128, respectively. 

<sup>(4)</sup> Non-GAAP financial measure. Excludes average balance of goodwill and net other intangible assets.

<sup>(5)</sup> Efficiency ratio excludes amortization of other intangible assets. See reconciliation of Non-GAAP financial measures.

<sup>(6)</sup> Credit metrics - Nonperforming assets, which consist of nonperforming loans, OREO and other repossessed assets, totaled $64,109, $81,054, $82,905, $71,143 and $57,452, respectively. Nonperforming loans, which consists of nonaccrual loans, loans delinquent 90 days and still accruing interest, and troubled debt restructurings totaled $40,089, $57,040, $69,891, $71,029 and $57,338, respectively.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Annual Selected Financial Information

Years Ended December 31, 2022 and 2021

(Unaudited)

---

| | | |
|:---|:---|:---|
| | **Years Ended December 31,** | **Years Ended December 31,** |
| | **2022** | **2021** |
| Per Share Data |  |  |
| Net income - basic | $4.71 | $5.22 |
| Net income - diluted | 4.70 | 5.21 |
| Cash dividends | 1.52 | 1.32 |
| Book value | 57.91 | 60.26 |
| Outstanding Shares |  |  |
| Period-end shares | 41190677 | 42756234 |
| Weighted average shares - basic <sup>(1)</sup> | 41710829 | 43070452 |
| Weighted average shares - diluted <sup>(1)</sup> | 41794088 | 43129237 |
| Selected Annual Ratios |  |  |
| Return on average assets | 1.09% | 1.21% |
| Return on average equity | 8.04 | 8.86 |
| Net interest margin | 3.46 | 3.10 |

---

<sup>(1)</sup> Total number of shares includes participating shares (those with dividend rights).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Statements of Income

Three Months and Years Ended December 31, 2022 and 2021

(Dollars in thousands)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2022** | **2021** | **2022** | **2021** |
| **Interest income:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest and fees on loans | $174445 | $135619 | $602210 | $547931 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on taxable securities | 8036 | 6686 | 32944 | 22754 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on nontaxable securities | 2631 | 2137 | 10360 | 8344 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on interest-bearing deposits and other | 4657 | 1512 | 9503 | 4533 |
| **Total interest income** | 189769 | 145954 | 655017 | 583562 |
| **Interest expense:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on deposits | 42322 | 8858 | 77628 | 44199 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on FHLB advances | 1231 | 505 | 2017 | 2038 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on other borrowings | 3465 | 3504 | 14451 | 15247 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on junior subordinated debentures | 964 | 436 | 2713 | 1756 |
| **Total interest expense** | 47982 | 13303 | 96809 | 63240 |
| **Net interest income** | 141787 | 132651 | 558208 | 520322 |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for credit losses | 2833 |  | 4490 | (9000) |
| **Net interest income after provision for credit losses** | 138954 | 132651 | 553718 | 529322 |
| **Noninterest income:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Service charges on deposit accounts | 3208 | 2712 | 12204 | 9842 |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment management fees | 2148 | 2247 | 9146 | 8586 |
| &nbsp;&nbsp;&nbsp;&nbsp;Mortgage banking revenue | 1243 | 4443 | 8938 | 23157 |
| &nbsp;&nbsp;&nbsp;&nbsp;Mortgage warehouse purchase program fees | 391 | 1495 | 2676 | 6908 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Loss) gain on sale of loans | (343) | 30 | (1844) | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on sale of other real estate |  |  |  | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on sale of securities available for sale |  | 13 |  | 13 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on sale and disposal of premises and equipment | (184) | (243) | (494) | (304) |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase in cash surrender value of BOLI | 1384 | 1368 | 5371 | 5209 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 3380 | 3021 | 15469 | 12987 |
| **Total noninterest income** | 11227 | 15086 | 51466 | 66517 |
| **Noninterest expense:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Salaries and employee benefits | 57250 | 46268 | 212087 | 180336 |
| &nbsp;&nbsp;&nbsp;&nbsp;Occupancy | 11412 | 9972 | 42938 | 40688 |
| &nbsp;&nbsp;&nbsp;&nbsp;Communications and technology | 6661 | 5759 | 24937 | 22355 |
| &nbsp;&nbsp;&nbsp;&nbsp;FDIC assessment | 2052 | 1366 | 6883 | 5865 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising and public relations | 523 | 217 | 2106 | 1097 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other real estate owned expenses, net | (168) |  | 31 | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of other intangible assets | 3111 | 3145 | 12491 | 12580 |
| &nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 4581 | 3558 | 15571 | 15530 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 13352 | 9623 | 41845 | 35151 |
| **Total noninterest expense** | 98774 | 79908 | 358889 | 313606 |
| **Income before taxes** | 51407 | 67829 | 246295 | 282233 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense | 10653 | 13642 | 50004 | 57483 |
| **Net income** | $40754 | $54187 | $196291 | $224750 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Balance Sheets

As of December 31, 2022 and 2021

(Dollars in thousands)

(Unaudited)

---

| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| <br>**Assets** | **2022** | **2021** |
| Cash and due from banks | $134183 | $243926 |
| Interest-bearing deposits in other banks | 520139 | 2364518 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Cash and cash equivalents** | 654322 | 2608444 |
| Certificates of deposit held in other banks | 496 | 3245 |
| Securities available for sale, at fair value | 1691784 | 2006727 |
| Securities held to maturity, net of allowance for credit losses of $0 and $0, respectively | 207059 |  |
| Loans held for sale (includes $10,612 and $28,249 carried at fair value, respectively) | 11310 | 32124 |
| Loans, net of allowance for credit losses of $148,787 and $148,706, respectively | 13760576 | 12290740 |
| Premises and equipment, net | 355368 | 308023 |
| Other real estate owned | 23900 |  |
| Federal Home Loan Bank (FHLB) of Dallas stock and other restricted stock | 23436 | 21573 |
| Bank-owned life insurance (BOLI) | 240448 | 235637 |
| Deferred tax asset | 78669 | 26178 |
| Goodwill | 994021 | 994021 |
| Other intangible assets, net | 62999 | 75490 |
| Other assets | 154026 | 130446 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $18258414 | $18732648 |
| **Liabilities and Stockholders' Equity** |  |  |
| Deposits: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing | $4736830 | $5066588 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest-bearing | 10384587 | 10487320 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total deposits** | 15121417 | 15553908 |
| FHLB advances | 300000 | 150000 |
| Other borrowings | 267066 | 283371 |
| Junior subordinated debentures | 54419 | 54221 |
| Other liabilities | 130129 | 114498 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities** | 15873031 | 16155998 |
| Commitments and contingencies |  |  |
| **Stockholders' equity:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock (0 and 0 shares outstanding, respectively) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Common stock (41,190,677 and 42,756,234 shares outstanding, respectively) | 412 | 428 |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 1959193 | 1945497 |
| &nbsp;&nbsp;&nbsp;&nbsp;Retained earnings | 638354 | 625484 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive (loss) income | (212576) | 5241 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total stockholders' equity** | 2385383 | 2576650 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and stockholders' equity** | $18258414 | $18732648 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Average Balance Sheet Amounts, Interest Earned and Yield Analysis

Three Months Ended December 31, 2022 and 2021

(Dollars in thousands)

(Unaudited)

The analysis below shows average interest-earning assets and interest-bearing liabilities together with the average yield on the interest-earning assets and the average cost of the interest-bearing liabilities for the periods presented.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Three Months Ended December 31,** |
| | **2022** | **2022** | **2022** | **2021** | **2021** | **2021** |
| | **Average<br>Outstanding<br>Balance** | **Interest** | **Yield/**<br>**Rate** <sup>(4)</sup> | **Average<br>Outstanding<br>Balance** | **Interest** | **Yield/**<br>**Rate** <sup>(4)</sup> |
| **Interest-earning assets:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans <sup>(1)</sup> | $13722274 | $174445 | 5.04% | $12294835 | $135619 | 4.38% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxable securities | 1475585 | 8036 | 2.16 | 1493924 | 6686 | 1.78 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Nontaxable securities | 424519 | 2631 | 2.46 | 376368 | 2137 | 2.25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest-bearing deposits and other | 486369 | 4657 | 3.80 | 3370591 | 1512 | 0.18 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total interest-earning assets** | 16108747 | 189769 | 4.67 | 17535718 | 145954 | 3.30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-earning assets | 1885384 |  |  | 1839196 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $17994131 |  |  | $19374914 |  |  |
| **Interest-bearing liabilities:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Checking accounts | $5989205 | $25440 | 1.69% | $6375607 | $4850 | 0.30% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Savings accounts | 778692 | 98 | 0.05 | 749412 | 223 | 0.12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Money market accounts | 1935083 | 10380 | 2.13 | 2616661 | 2625 | 0.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certificates of deposit | 1280598 | 6404 | 1.98 | 1147917 | 1160 | 0.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total deposits** | 9983578 | 42322 | 1.68 | 10889597 | 8858 | 0.32 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FHLB advances | 218478 | 1231 | 2.24 | 347826 | 505 | 0.58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other borrowings - short-term |  |  |  | 8457 | 40 | 1.88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other borrowings - long-term | 267005 | 3465 | 5.15 | 266311 | 3464 | 5.16 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Junior subordinated debentures | 54402 | 964 | 7.03 | 54204 | 436 | 3.19 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total interest-bearing liabilities** | 10523463 | 47982 | 1.81 | 11566395 | 13303 | 0.46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing checking accounts | 4988091 |  |  | 5106155 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing liabilities | 122940 |  |  | 127990 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stockholders' equity | 2359637 |  |  | 2574374 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and equity** | $17994131 |  |  | $19374914 |  |  |
| **Net interest income** |  | $141787 |  |  | $132651 |  |
| **Interest rate spread** |  |  | 2.86% |  |  | 2.84% |
| **Net interest margin** <sup>(2)</sup> |  |  | 3.49 |  |  | 3.00 |
| **Net interest income and margin (tax equivalent basis)** <sup>(3)</sup> |  | $142845 | 3.52 |  | $133681 | 3.02 |
| **Average interest-earning assets to interest-bearing liabilities** |  |  | 153.07 |  |  | 151.61 |

---

**____________**

<sup>(1)</sup> Average loan balances include nonaccrual loans.

<sup>(2)</sup> Net interest margins for the periods presented represent: (i) the difference between interest income on interest-earning assets and the interest expense on interest-bearing liabilities, divided by (ii) average interest-earning assets for the period.

<sup>(3)</sup> A tax-equivalent adjustment has been computed using a federal income tax rate of 21%.

<sup>(4)</sup> Yield and rates for the three month periods are annualized.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Consolidated Average Balance Sheet Amounts, Interest Earned and Yield Analysis

For The Years Ended December 31, 2022 and 2021

(Dollars in thousands)

(Unaudited)

The analysis below shows average interest-earning assets and interest-bearing liabilities together with the average yield on the interest-earning assets and the average cost of the interest-bearing liabilities for the periods presented.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **For The Years Ended December 31,** | **For The Years Ended December 31,** | **For The Years Ended December 31,** | **For The Years Ended December 31,** | **For The Years Ended December 31,** | **For The Years Ended December 31,** |
| | **2022** | **2022** | **2022** | **2021** | **2021** | **2021** |
| | **Average<br>Outstanding<br>Balance** | **Interest** | **Yield/Rate** | **Average<br>Outstanding<br>Balance** | **Interest** | **Yield/Rate** |
| **Interest-earning assets:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans <sup>(1)</sup> | $13148633 | $602210 | 4.58% | $12501641 | $547931 | 4.38% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxable securities | 1617454 | 32944 | 2.04 | 1204153 | 22754 | 1.89 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Nontaxable securities | 429057 | 10360 | 2.41 | 358261 | 8344 | 2.33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest-bearing deposits and other | 921391 | 9503 | 1.03 | 2693812 | 4533 | 0.17 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total interest-earning assets** | 16116535 | 655017 | 4.06 | 16757867 | 583562 | 3.48 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-earning assets | 1892555 |  |  | 1800301 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $18009090 |  |  | $18558168 |  |  |
| **Interest-bearing liabilities:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Checking accounts | $6002530 | $45405 | 0.76% | $5967655 | $22615 | 0.38% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Savings accounts | 787937 | 387 | 0.05 | 711401 | 1034 | 0.15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Money market accounts | 2130908 | 21562 | 1.01 | 2584386 | 13580 | 0.53 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certificates of deposit | 1027561 | 10274 | 1.00 | 1269736 | 6970 | 0.55 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total deposits** | 9948936 | 77628 | 0.78 | 10533178 | 44199 | 0.42 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FHLB advances | 150890 | 2017 | 1.34 | 362192 | 2038 | 0.56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other borrowings - short-term | 15918 | 593 | 3.73 | 6278 | 118 | 1.88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other borrowings - long-term | 266746 | 13858 | 5.20 | 287860 | 15129 | 5.26 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Junior subordinated debentures | 54328 | 2713 | 4.99 | 54130 | 1756 | 3.24 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total interest-bearing liabilities** | 10436818 | 96809 | 0.93 | 11243638 | 63240 | 0.56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing checking accounts | 5018631 |  |  | 4675667 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing liabilities | 111326 |  |  | 102205 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stockholders' equity | 2442315 |  |  | 2536658 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and equity** | $18009090 |  |  | $18558168 |  |  |
| **Net interest income** |  | $558208 |  |  | $520322 |  |
| **Interest rate spread** |  |  | 3.13% |  |  | 2.92% |
| **Net interest margin** <sup>(2)</sup> |  |  | 3.46 |  |  | 3.10 |
| **Net interest income and margin (tax equivalent basis)** <sup>(3)</sup> |  | $562633 | 3.49 |  | $524260 | 3.13 |
| **Average interest-earning assets to interest-bearing liabilities** |  |  | 154.42 |  |  | 149.04 |

---

**____________**

<sup>(1)</sup> Average loan balances include nonaccrual loans.

<sup>(2)</sup> Net interest margins for the periods presented represent: (i) the difference between interest income on interest-earning assets and the interest expense on interest-bearing liabilities, divided by (ii) average interest-earning assets for the period.

<sup>(3)</sup> A tax-equivalent adjustment has been computed using a federal income tax rate of 21%.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Loan Portfolio Composition

As of December 31, 2022 and 2021

(Dollars in thousands)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Total Loans By Class** | **Total Loans By Class** | **Total Loans By Class** | | |
| | **December 31, 2022** | **December 31, 2022** | **December 31, 2021** | **December 31, 2021** |
| | **Amount** | **% of Total** | **Amount** | **% of Total** |
| Commercial <sup>(1)</sup> | $2240959 | 16.1% | $1983886 | 15.9% |
| Mortgage warehouse purchase loans | 312099 | 2.2 | 788848 | 6.3 |
| Real estate: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Commercial real estate | 7817447 | 56.2 | 6617455 | 53.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Commercial construction, land and land development | 1231071 | 8.8 | 1180181 | 9.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Residential real estate <sup>(2)</sup> | 1604169 | 11.5 | 1332246 | 10.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Single-family interim construction | 508839 | 3.7 | 380627 | 3.0 |
| Agricultural | 124422 | 0.9 | 106512 | 0.8 |
| Consumer | 81667 | 0.6 | 81815 | 0.7 |
| **Total loans** | 13920673 | 100.0% | 12471570 | 100.0% |
| Allowance for credit losses | (148787) |  | (148706) |  |
| **Total loans, net** | $13771886 |  | $12322864 |  |

---

**____________**

<sup>(1)</sup> Includes SBA PPP loans of $4,958 with net deferred loan fees of $101 and $112,128 with net deferred fees of $2,552 at December 31, 2022 and 2021, respectively.

<sup>(2)</sup> Includes loans held for sale of $11,310 and $32,124 at December 31, 2022 and 2021, respectively.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

Three Months Ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021

(Dollars in thousands, except for share data)

(Unaudited)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | For the Three Months Ended | For the Three Months Ended | For the Three Months Ended | For the Three Months Ended | For the Three Months Ended |
| | | December 31, 2022 | September 30, 2022 | June 30, 2022 | March 31, 2022 | December 31, 2021 |
| ***ADJUSTED NET INCOME*** |  |  |  |  |  |  |
| **Net Interest Income - Reported** | (a) | $**141787** | $**147274** | $**137999** | $**131148** | $**132651** |
| **Provision Expense - Reported** | (b) | **2833** | **3100** | **—** | **(1443)** | **—** |
| **Noninterest Income - Reported** | (c) | **11227** | **13477** | **13877** | **12885** | **15086** |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss (gain) on sale of loans |  | 343 |  | 17 | 1484 | (30) |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on sale of securities available for sale |  |  |  |  |  | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on sale and disposal of premises and equipment |  | 184 | 101 | 46 | 163 | 243 |
| &nbsp;&nbsp;&nbsp;&nbsp;Recoveries on loans charged off prior to acquisition |  | (36) | (60) | (45) | (51) | (27) |
| **Adjusted Noninterest Income** | (d) | **11718** | **13518** | **13895** | **14481** | **15259** |
| **Noninterest Expense - Reported** | (e) | **98774** | **91733** | **85925** | **82457** | **79908** |
| &nbsp;&nbsp;&nbsp;&nbsp;Separation expense <sup>(1)</sup> |  | (7131) | (2809) | (1106) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Economic development employee incentive grant |  |  | 1000 |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of assets |  | (3286) | (1156) |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;COVID-19 expense <sup>(2)</sup> |  |  |  |  |  | (614) |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition expense <sup>(3)</sup> |  | (40) | (65) | (65) | (130) | (225) |
| **Adjusted Noninterest Expense** | (f) | **88317** | **88703** | **84754** | **82327** | **79069** |
| **Income Tax Expense - Reported** | (g) | **10653** | **13481** | **13591** | **12279** | **13642** |
| **Net Income - Reported** | (a) - (b) + (c) - (e) - (g) = (h) | **40754** | **52437** | **52360** | **50740** | **54187** |
| **Adjusted Net Income** <sup>(4)</sup> | (a) - (b) + (d) - (f) = (i) | $**49433** | $**54880** | $**53304** | $**52130** | $**54995** |
| ***ADJUSTED PROFITABILITY*** <sup>(5)</sup> |  |  |  |  |  |  |
| Total Average Assets | (j) | $17994131 | $17893072 | $17715989 | $18439352 | $19374914 |
| Total Average Stockholders' Equity | (k) | 2359637 | 2401544 | 2435117 | 2575784 | 2574374 |
| Total Average Tangible Stockholders' Equity <sup>(6)</sup>  | (l) | 1301558 | 1340363 | 1370825 | 1508370 | 1503815 |
| **Reported Return on Average Assets** | (h) / (j) | **0.90%** | **1.16%** | **1.19%** | **1.12%** | **1.11%** |
| **Reported Return on Average Equity** | (h) / (k) | **6.85** | **8.66** | **8.62** | **7.99** | **8.35** |
| **Reported Return on Average Tangible Equity** | (h) / (l) | **12.42** | **15.52** | **15.32** | **13.64** | **14.30** |
| **Adjusted Return on Average Assets** <sup>(7)</sup> | (i) / (j) | **1.09** | **1.22** | **1.21** | **1.15** | **1.13** |
| **Adjusted Return on Average Equity** <sup>(7)</sup> | (i) / (k) | **8.31** | **9.07** | **8.78** | **8.21** | **8.48** |
| **Adjusted Return on Tangible Equity** <sup>(7)</sup> | (i) / (l) | **15.07** | **16.24** | **15.60** | **14.02** | **14.51** |
| ***EFFICIENCY RATIO*** |  |  |  |  |  |  |
| Amortization of other intangible assets | (m) | $3111 | $3117 | $3118 | $3145 | $3145 |
| **Reported Efficiency Ratio** | (e - m) / (a + c) | **62.52%** | **55.13%** | **54.52%** | **55.07%** | **51.96%** |
| **Adjusted Efficiency Ratio** | (f - m) / (a + d) | **55.51** | **53.23** | **53.75** | **54.37** | **51.33** |

---

**____________**

<sup>(1)</sup> Separation expenses include severance and accelerated vesting expense for stock awards related to the separation of certain employees. The quarter ended December 31, 2022 reflects a reduction in workforce due to the restructuring of certain departments and business lines. The quarters ended September 30, 2022 and June 30, 2022 reflect payments made due to the separation of executive officers, while the quarter ended September 30, 2022 also includes $202 thousand in severance payments and accelerated vesting expense for stock awards related to the dissolution of a Company department.

<sup>(2)</sup> COVID-19 expense includes expenses for COVID testing kits, vaccination incentive bonuses, and personal protection and cleaning supplies.

<sup>(3)</sup> Acquisition expenses includes compensation related expenses for equity awards granted at acquisition.

<sup>(4)</sup> Assumes an adjusted effective tax rate of 20.7%, 20.5%, 20.6%, 19.5%, and 20.1%, respectively.

<sup>(5)</sup> Quarterly metrics are annualized.

<sup>(6)</sup> Excludes average balance of goodwill and net other intangible assets.

<sup>(7)</sup> Calculated using adjusted net income.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Independent Bank Group, Inc. and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

As of December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021

(Dollars in thousands, except per share information)

(Unaudited)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** | **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** | **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** | **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** | **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** | **Tangible Book Value & Tangible Common Equity To Tangible Assets Ratio** |
|  | As of the Quarter Ended | As of the Quarter Ended | As of the Quarter Ended | As of the Quarter Ended | As of the Quarter Ended |
|  | **December 31, 2022** | **September 30, 2022** | **June 30, 2022** | **March 31, 2022** | **December 31, 2021** |
| **Tangible Common Equity** |  |  |  |  |  |
| Total common stockholders' equity | $2385383 | $2354340 | $2364335 | $2522460 | $2576650 |
| &nbsp;&nbsp;&nbsp;Adjustments: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill | (994021) | (994021) | (994021) | (994021) | (994021) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other intangible assets, net | (62999) | (66110) | (69227) | (72345) | (75490) |
| **Tangible common equity** | $1328363 | $1294209 | $1301087 | $1456094 | $1507139 |
| **Tangible Assets** |  |  |  |  |  |
| Total assets | $18258414 | $17944493 | $18107093 | $17963253 | $18732648 |
| &nbsp;&nbsp;&nbsp;Adjustments: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill | (994021) | (994021) | (994021) | (994021) | (994021) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other intangible assets, net | (62999) | (66110) | (69227) | (72345) | (75490) |
| **Tangible assets** | $17201394 | $16884362 | $17043845 | $16896887 | $17663137 |
| Common shares outstanding | 41190677 | 41165006 | 41156261 | 42795228 | 42756234 |
| Tangible common equity to tangible assets | 7.72% | 7.67% | 7.63% | 8.62% | 8.53% |
| Book value per common share | $57.91 | $57.19 | $57.45 | $58.94 | $60.26 |
| Tangible book value per common share | 32.25 | 31.44 | 31.61 | 34.02 | 35.25 |

---

## Exhibit 99.2

![](exhibit992erpresentation001.jpg)

Earnings Presentation January 23, 2023 NASDAQ: IBTX Exhibit 99.2

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![](exhibit992erpresentation002.jpg)

NASDAQ: IBTX 2 Safe Harbor Statement The numbers as of and for the quarter ended December 31, 2022 are unaudited. This communication contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the financial condition, results of operations, business plans and the future performance of Independent Bank Group, Inc. ("IBTX"). Words such as "anticipates," "believes," "estimates," "expects," "forecasts," "intends," "plans," "projects," "could," "may," "should," "will" or other similar words and expressions are intended to identify these forward-looking statements. These forward-looking statements are based on IBTX's current expectations and assumptions regarding IBTX's business, the economy, and other future conditions. Because forward-looking statements relate to future results and occurrences, they are subject to inherent uncertainties, assumptions, risks, and changes in circumstances that are difficult to predict. Many possible events or factors could materialize or IBTX's underlying assumptions could prove incorrect and affect IBTX's future financial results and performance and could cause actual results or performance to differ materially from anticipated results or performance. Such risks and uncertainties include, among others, risks relating to the coronavirus (COVID-19) pandemic and its effect on U.S. and world financial markets, potential regulatory actions, changes in consumer behaviors and impacts on and modifications to the operations and business of IBTX relating thereto, and the business, economic and political conditions in the markets in which IBTX operates. Except to the extent required by applicable law or regulation, IBTX disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. Further information regarding IBTX and factors which could affect the forward-looking statements contained herein can be found in IBTX's Annual Report on Form 10-K for the fiscal year ended December 31, 2021, its Quarterly Report on Form 10-Q for the periods ended March 31, 2022, June 30, 2022, September 30, 2022 and its other filings with the Securities and Exchange Commission.

------

![](exhibit992erpresentation003.jpg)

NASDAQ: IBTX 3 Safe Harbor Statement (cont.) Non-GAAP Financial Measures In addition to results presented in accordance with GAAP, this presentation contains certain non-GAAP financial measures. These measures and ratios include "adjusted net income," "tangible book value," "tangible book value per common share," "adjusted efficiency ratio," "tangible common equity to tangible assets," "return on tangible common equity," "adjusted return on average assets," "adjusted return on average common equity," "adjusted return on tangible common equity," "adjusted earnings per share," "adjusted diluted earnings per share," "adjusted net interest margin," "adjusted net interest income," "adjusted noninterest expenses" and "adjusted noninterest income" and are supplemental measures that are not required by, or are not presented in accordance with, accounting principles generally accepted in the United States. We believe that these measures provide useful information to management and investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with GAAP; however we acknowledge that our financial measures have a number of limitations relative to GAAP financial measures. Certain non-GAAP financial measures exclude items of income, expenditures, expenses, assets, or liabilities, including provisions for credit losses and the effect of goodwill, other intangible assets and income from accretion on acquired loans arising from purchase accounting adjustments, that we believe cause certain aspects of our results of operations or financial condition to be not indicative of our primary operating results. All of these items significantly impact our financial statements. Additionally, the items that we exclude in our adjustments are not necessarily consistent with the items that our peers may exclude from their results of operations and key financial measures and therefore may limit the comparability of similarly named financial measures and ratios. We compensate for these limitations by providing the equivalent GAAP measures whenever we present the non-GAAP financial measures and by including a reconciliation of the impact of the components adjusted for in the non-GAAP financial measure so that both measures and the individual components may be considered when analyzing our performance. A reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures is included at the end of this presentation.

------

![](exhibit992erpresentation004.jpg)

NASDAQ: IBTX 4 David R. Brooks Chairman of the Board and CEO, Director • 43 years in the financial services industry; 35 years at Independent Bank • Active in community banking since the early 1980s - led the investor group that acquired Independent Bank in 1988 Paul B. Langdale Executive Vice President, Chief Financial Officer • 12 years in the financial services industry; 4 years at Independent Bank Daniel W. Brooks Vice Chairman, Director • 40 years in the financial services industry; 34 years at Independent Bank • Active in community banking since the early 1980s Today's Presenters

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![](exhibit992erpresentation005.jpg)

NASDAQ: IBTX 5 2022 Q4 Results GAAP $0.99 EPS $40.8 Million Net Income 0.90% Return on Average Assets 6.85% Return on Average Equity 12.35% Total Capital Ratio 9.49% Leverage Ratio Non-GAAP1 $1.20 Adj. EPS $49.4 Million Adj. Net Income 1.09% Adj. Return on Average Assets 8.31% Adj. Return on Average Equity 12.42% Return on Tangible Equity 7.72% TCE Highlights • Net income of $40.8 million, or $0.99 per diluted share and adjusted (non-GAAP) net income of $49.4 million, or $1.20 per diluted share • Organic loan growth of 9.6% annualized for the quarter (excluding warehouse and PPP) • Improved credit metrics with nonperforming assets of 0.35% of total assets • Net charge-offs for the quarter of 0.02%, annualized • Increase in loan yield, net of acquired loan accretion and PPP income, to 5.01%, compared to 4.62% in the linked quarter 1Adjusted (non-GAAP) metrics. See Appendix for reconciliation to the closest applicable GAAP metrics.

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![](exhibit992erpresentation006.jpg)

NASDAQ: IBTX 6 2022 Q4 Selected Financials $ in thousands, except per share data As of and for the Quarter Ended Selected Balance Sheet Data December 31, 2022 September 30, 2022 December 31, 2021 Linked Quarter Change Annual Change Total Assets $18,258,414 $17,944,493 $18,732,648 1.7 % (2.5) % LHFI, Excluding Mortgage Warehouse Loans 1 13,597,264 13,285,757 11,650,598 2.3 % 16.7 % Mortgage Warehouse Loans 312,099 409,044 788,848 (23.7) % (60.4) % Total Deposits 15,121,417 14,961,008 15,553,908 1.1 % (2.8) % Total Borrowings (Other Than Junior Subordinated Debentures) 567,066 466,892 433,371 21.5 % 30.9 % Total Stockholders' Equity 2,385,383 2,354,340 2,576,650 1.3 % (7.4) % Selected Earnings and Profitability Data Net Interest Income $141,787 $147,274 $132,651 (3.7) % 6.9 % Net Interest Margin 3.49 % 3.64 % 3.00 % (4.1) % 16.3 % Noninterest Income $11,227 $13,477 $15,086 (16.7) % (25.6) % Noninterest Expense 98,774 91,733 79,908 7.7 % 23.6 % Net Income 40,754 52,437 54,187 (22.3) % (24.8) % Adjusted Net Income 2 49,433 54,880 54,995 (9.9) % (10.1) % Basic EPS 0.99 1.27 1.26 (22.0) % (21.4) % Adjusted Basic EPS 2 1.20 1.33 1.28 (9.8) % (6.3) % Diluted EPS 0.99 1.27 1.26 (22.0) % (21.4) % Adjusted Diluted EPS 2 1.20 1.33 1.28 (9.8) % (6.3) % Return on Average Assets 0.90 % 1.16 % 1.11 % (22.4) % (18.9) % Adjusted Return on Average Assets 2 1.09 % 1.22 % 1.13 % (10.7) % (3.5) % 1 LHFI excludes mortgage warehouse purchase loans and includes SBA PPP loans of $4,958, $7,029 and $112,128, respectively. 2 Adjusted (non-GAAP) metrics. See Appendix for reconciliation to the closest applicable GAAP metrics.

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NASDAQ: IBTX 7 (1) Adjusted (non-GAAP) metrics. See Appendix for reconciliation to the closest applicable GAAP metrics. (2) Includes a $53,880 reduction to retained earnings due to the January 1, 2021 CECL adoption 7 Year Ending $27.44 $28.99 $33.23 $35.25 $32.25 Tangible Book Value (1) 2018 2019 2020 2021 (2) 2022 Quarter Ending $35.25 $34.02 $31.61 $31.44 $32.25 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Tangible Book Value Trends

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NASDAQ: IBTX 8 Quarter Ending $132.7 $141.8 $15.3 $11.7 $79.1 $88.3 $3.1 $3.1 51.33% 55.51% Q4 2021 Q4 2022 Year Ending $513.2 $520.3 $558.2 $79.7 $66.3 $53.6 $285.7 $312.0 $344.1 $12.7 $12.6 $12.5 46.04% 51.04% 54.20% Adjusted net interest income Adjusted noninterest income Adjusted noninterest expense Amortization of other intangible assets Adjusted efficiency ratio 2020 2021 2022 (1) Adjusted (non-GAAP) metrics. See Appendix for reconciliation to the closest applicable GAAP metrics. 8 $ in Millions Adjusted Efficiency Ratio Trends (1)

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![](exhibit992erpresentation009.jpg)

NASDAQ: IBTX 9 Total Loans by Year and Current Annual Trend ($ in Millions)(1) Quarter Ending $12,472 $13,921 Q4 2021 Q4 2022 (1) Includes loans held for sale 9 Year Ending $13,159 $12,472 $13,921 Organic Mortgage warehouse purchase loans PPP Loans 2020 2021 2022 11.6% Total Increase (12.6% Increase, net PPP)2020 - 2022 CAGR 2.9% Loan Portfolio Growth

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![](exhibit992erpresentation010.jpg)

NASDAQ: IBTX 10 Owner Occupied CRE 23.2% North Texas 37.8% Central Texas 13.0% Houston 24.3% Colorado 24.9% As of December 31, 2022: $13,597 Million LHFI 1 $312 Million Mortgage Warehouse 0.29% NPLs/LHFI 0.02% NCOs/Avg. Total Loans 2022 Q4 Annualized 371.14% Allowance/NPLs LOANS BY REGION (12/31/2022) Non-Owner Occupied CRE 76.8% LOAN COMPOSITION (12/31/2022) 1 LHFI excludes mortgage warehouse purchase loans. Loan Portfolio Overview 4.58% 2022 YTD Loan Yield CRE 56.2% Mortgage Warehouse 2.2% 1-4 Family 11.5% 1-4 Family Construction 3.7% Consumer 0.6% C&I 16.1% Agricultural 0.9% Construction & Development 8.8%

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![](exhibit992erpresentation011.jpg)

NASDAQ: IBTX 11 Land/Land Development 32.4% CRE Construction 42.0% SFR Construction 25.6% Retail 19.8% Office 18.5% Industrial 5.4% Hotel/Motel 0.6% Multifamily 30.5% Healthcare 4.0% Misc. CRE 21.2% Construction & Development As of December 31, 2022: $1.7 Billion C&D Portfolio Size 87% C&D / Bank Regulatory Capital 96.0% # Loans in IBTX Markets1 (Texas and Colorado) $2.0 Million Average Loan Size1 728 C&D Loans1 33.6% Owner Occupied C&D Loans1 CRE CONSTRUCTION PORTFOLIO LOANS > $500 THOUSAND (12/31/2022) C&D PORTFOLIO LOANS > $500 THOUSAND (12/31/2022) 1Loans > $500 thousand

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![](exhibit992erpresentation012.jpg)

NASDAQ: IBTX 12 Multifamily 11.3% Office and Office Warehouse 19.7% Retail 29.4% Hotel/Motel 4.7% Industrial 11.1% Daycare/School 2.8% Healthcare 4.9% Church 1.7% Convenience Store 3.5% Mini Storage 1.5% Restaurant 2.1% Miscellaneous 3.7% Mixed Use (Non-Retail) 0.8% Dealerships 1.1% RV & Mobile Home Parks 1.7% Commercial Real Estate CRE COMPOSITION (12/31/2022) As of December 31, 2022: $7.8 Billion CRE Loans $32.6 Million Largest CRE Loan Size $1.6 Million Average CRE Loan Size 23.2% Owner Occupied

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![](exhibit992erpresentation013.jpg)

NASDAQ: IBTX 13 Retail CRE & C&D As of December 31, 2022: $2.4 Billion Retail Loan Portfolio Size $32.0 Million Largest Retail Loan 1,072 Total Retail Loans 90.0% Loans in IBTX Markets (Texas and Colorado) $2.3 Million Average Loan Size 134 Number of Loans >$5MM $9.8 Million Avg. Size of Loans >$5MM Strip Center 69.1% Big Box 1.4% Mixed Use 16.5% Free Standing / Single Tenant 13.0% RETAIL CRE & C&D COMPOSITION LOANS > $500 THOUSAND 12/31/2022

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NASDAQ: IBTX 14 Office Non-Owner Occupied 49.2% Office Owner Occupied 16.5% Office/Warehouse Non- Owner Occupied 22.5% Office/Warehouse Owner Occupied 11.8% Office CRE & C&D As of December 31, 2022: $1.7 Billion Total Office CRE & C&D $25.8 Million Largest Office Loan $1.2 Million Average Loan Size 28.3% Owner Occupied 34.3% Office/Warehouse OFFICE CRE & C&D COMPOSITION 12/31/2022

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![](exhibit992erpresentation015.jpg)

NASDAQ: IBTX 15 Hotel Loans by Property Location 52.2% 37.1% Texas Colorado Other Hotel & Motel As of December 31, 2022: $371.4 Million Hotel & Motel Loan Portfolio Size $5.0 Million Average Loan Size 50.7% Average LTV We maintain a granular book of hotel loans in our markets, the majority of which are branded, limited/ select service properties in our core markets across Texas and Colorado. Hotel Loans by Type 99.0% 1.0% CRE Construction & Development 10.7% Hotel Loans by Product Type 16.5% 77.1% 6.4% Full Service Brand Limited/Selected Service Brand Boutique/Independent

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![](exhibit992erpresentation016.jpg)

NASDAQ: IBTX 16 Energy Lending As of December 31, 2022: $574.7 Million Size of Energy Portfolio 98.6% / 1.4% E&P Loans / Services Loans 5.1% Energy ACL / Energy Loans 4.2% Energy Loans / Total LHFI Energy assets are well-diversified by basin across the United States. Energy by Type $566.5 $8.2 E&P Services $ in millions

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NASDAQ: IBTX 17 3.03% 3.43% 2.91% 2.36% 1.83% 1.44% 1.49% 1.50% 0.91% 0.68% 0.64% 0.76% 0.53% 0.42% 4.41% 4.15% 4.11% 3.36% 2.67% 2.07% 1.71% 1.57% 1.31% 1.12% 0.98% 1.22% 0.94% 0.80% 1.62% 1.89% 1.14% 0.81% 0.53% 0.32% 0.37% 0.39% 0.24% 0.16% 0.24% 0.44% 0.49% 0.29% IBTX U.S. Average Texas Average 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 1.22% 1.05% 0.74% 0.40% 0.19% 0.11% 0.16% 0.28% 0.18% 0.18% 0.16% 0.26% 0.05% 0.05% 2.67% 2.67% 1.64% 1.12% 0.70% 0.49% 0.43% 0.46% 0.48% 0.46% 0.49% 0.49% 0.24% 0.23% 0.21% 0.31% 0.11% 0.06% 0.09% 0.03% 0.02% 0.12% 0.01% 0.06% 0.07% 0.05% 0.06% 0.04% IBTX U.S. Average Texas Average 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 YTD Historically Strong Credit Culture Source: S&P Capital IQ. Note: Financial data as of and for the YTD period ended September 30, 2022 for U.S. and Texas banking industry aggregate data and December 31, 2022 for IBTX. (1) LHFI excludes mortgage warehouse purchase loans. NCOs / Average Total LoansNPLs / LHFI (1)

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![](exhibit992erpresentation018.jpg)

NASDAQ: IBTX 18 Quarter Ending $— $(1,443) $— $3,100 $2,833 $2,997 $193 $2,891 $1,295 $808 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Year Ending $42,993 $(9,000) $4,490 $6,634 $7,420 $5,187 Provision expense Net charge-offs 2020 2021 2022 $ in Thousands 18 Provision & Charge-offs 0.05% 0.04%0.06% 0.04% 0.02%0.10% 0.09%0.01% NCOs / Avg. Total Loans (1) (1) Quarterly metrics are annualized.

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![](exhibit992erpresentation019.jpg)

NASDAQ: IBTX 19 Period Ending $7,738 $11,941 $14,399 $15,554 $15,121 0.83% 1.08% 0.59% 0.29% 0.52% Deposits Average YTD Rate (1) 2018 2019 2020 2021 2022 Noninterest-Bearing Demand 31.3% Interest-Bearing Checking 31.0% Public Funds 12.0%Savings 5.0% Money Market 12.2% Brokered CDs 0.4% CDs < $100k 1.6% CDs > $100k 6.0% IRAs 0.5% (1) Average rate for total deposits 19 2022 YTD Average Rate for Interest-bearing deposits: 0.78% Total cost of deposits QTD (1) Q4 2022: 1.12% Deposit Mix & Pricing DEPOSIT MIX 12/31/2022 DEPOSIT GROWTH VS. AVERAGE RATE $ in Millions

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NASDAQ: IBTX 20 20 Deposit Funding Vertical Trends $4,954 $6,734 $721 $1,172 $1,973 $4,634 $7,195 $529 $1,072 $1,691 December 31, 2021 December 31, 2022 Branch Deposits - Non- Interest Bearing Branch Deposits - Interest Bearing Brokered Deposits Non-Brokered Specialty Treasury Deposits Public Funds $ in Millions

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![](exhibit992erpresentation021.jpg)

NASDAQ: IBTX 21 CRA 0.2% Agency Securities 20.1% Tax-Exempt Municipals 22.4% Mortgage- Backed Securities 41.0% Taxable Municipals 1.7% U.S. Treasury Securities 12.6% Corporates 2.0% 26.6% 73.4% 57.0% 43.0% Securities Portfolio As of December 31, 2022: 2.23% QTD Yield 7.68 Duration in Years 10.4% of Total Assets $1.7 Billion AFS Portfolio Size $207.1 Million HTM Portfolio Size INVESTMENT PORTFOLIO COMPOSITION 12/31/2022 HTM AFS HTM AFS

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NASDAQ: IBTX 22 Consolidated Capital (1) Adjusted (non-GAAP) metrics. See Appendix for reconciliation to the closest applicable GAAP metrics. Period Ending 10.05% 9.76% 10.33% 11.12% 11.09% 9.81% 10.00% 10.09% 9.57% 9.32% 9.12% 8.80% 9.38% 9.28% 9.41% 9.49% 12.58% 11.83% 13.32% 13.67% 13.72% 12.24% 12.27% 12.35% 9.24% 8.98% 8.60% 8.53% 8.62% 7.63% 7.67% 7.72% 10.41% 10.19% 10.74% 11.52% 11.48% 10.17% 10.35% 10.45% Common equity tier 1 to risk-weighted assets Tier 1 capital to average assets Total capital to risk-weighted assets Tangible common equity to tangible assets (1) Tier 1 capital to risk-weighted assets 12/31/18 12/31/19 12/31/20 12/31/21 2022 Q1 2022 Q2 2022 Q3 2022 Q4

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23 APPENDIX Supplemental Information – Reconciliation of Non-GAAP Financial Measures (Unaudited) Reconciliation of Adjusted Net Income, EPS, Efficiency Ratio and Profitability Ratios – Quarterly Periods As of and for the Quarter Ended ($ in thousands except per share data) December 31, 2022 September 30, 2022 December 31, 2021 Net Interest Income - Reported (a) $141,787 $147,274 $132,651 Provision Expense - Reported (b) 2,833 3,100 — Noninterest Income - Reported (c) 11,227 13,477 15,086 Loss (gain) on sale of loans 343 — (30) Gain on sale of securities available for sale — — (13) Loss on sale and disposal of premises and equipment 184 101 243 Recoveries on loans charged off prior to acquisition (36) (60) (27) Adjusted Noninterest Income (d) 11,718 13,518 15,259 Noninterest Expense - Reported (e) 98,774 91,733 79,908 Separation expense (1) (7,131) (2,809) — Economic development employee incentive grant — 1,000 — Impairment of assets (3,286) (1,156) — COVID-19 expense (2) — — (614) Acquisition expense (3) (40) (65) (225) Adjusted Noninterest Expense (f) 88,317 88,703 79,069 Income Tax Expense - Reported (g) 10,653 13,481 13,642 Net Income - Reported (a) - (b) + (c) - (e) - (g) = (h) 40,754 52,437 54,187 Adjusted Net Income (4) (a) - (b) + (d) - (f) = (i) $49,433 $54,880 $54,995 Average shares for basic EPS (j) 41,193,716 41,167,258 42,874,182 Average shares for diluted EPS (k) 41,285,383 41,253,662 42,940,354 Reported Basic EPS (h) / (j) $0.99 $1.27 $1.26 Reported Diluted EPS (h) / (k) 0.99 1.27 1.26 Adjusted Basic EPS (i) / (j) 1.20 1.33 1.28 Adjusted Diluted EPS (i) / (k) 1.20 1.33 1.28 EFFICIENCY RATIO Amortization of other intangible assets (l) $3,111 $3,117 $3,145 Reported Efficiency Ratio (e - l) / (a + c) 62.52% 55.13% 51.96% Adjusted Efficiency Ratio (f - l) / (a + d) 55.51 53.23 51.33 PROFITABILITY (5) Total Average Assets (m) $17,994,131 $17,893,072 $19,374,914 Total Average Stockholders Common Equity (n) 2,359,637 2,401,544 2,574,374 Total Average Tangible Common Equity (6) (o) 1,301,558 1,340,363 1,503,815 Reported Return on Average Assets (h) / (m) 0.90% 1.16% 1.11% Reported Return on Average Common Equity (h) / (n) 6.85 8.66 8.35 Reported Return on Average Common Tangible Equity (h) / (o) 12.42 15.52 14.30 Adjusted Return on Average Assets (7) (i) / (m) 1.09 1.22 1.13 Adjusted Return on Average Common Equity (7) (i) / (n) 8.31 9.07 8.48 Adjusted Return on Tangible Common Equity (7) (i) / (o) 15.07 16.24 14.51 (1) Separation expenses include severance and accelerated vesting expense for stock awards related to the separation of certain employees. The quarter ended December 31, 2022 reflects a reduction in workforce due to the restructuring of certain departments and business lines. The quarter ended September 30, 2022 reflect payments made due to the separation of executive officers, while the quarter ended September 30, 2022 also includes $202 thousand in severance payments and accelerated vesting expense for stock awards related to the dissolution of a Company department. (2) COVID-19 expense includes expenses for COVID testing kits, vaccination incentive bonuses, and personal protection and cleaning supplies. (3) Acquisition expenses includes compensation related expenses for equity awards granted at acquisition. (4) Assumes an adjusted effective tax rate of 20.7%, 20.5% and 20.1%, respectively. (5) Annualized. (6) Excludes average balance of goodwill and net other intangible assets. (7) Calculated using adjusted net income.

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24 APPENDIX Supplemental Information – Reconciliation of Non-GAAP Financial Measures (Unaudited) Reconciliation of Adjusted Net Income, EPS, Efficiency Ratio and Profitability Ratios – Annual Periods For the Year Ended December 31, ($ in thousands except per share data) 2022 2021 2020 Net Interest Income - Reported (a) $558,208 $520,322 $516,446 Unexpected income recognized on credit impaired acquired loans (1) — — (3,209) Adjusted Net Interest Income (b) 558,208 520,322 513,237 Provision Expense - Reported (c) 4,490 (9,000) 42,993 Noninterest Income - Reported (d) 51,466 66,517 85,063 Gain on sale of loans 1,844 (56) (356) (Gain) loss on sale of other real estate — (63) 36 Gain on sale of securities available for sale — (13) (382) Loss (gain) on sale and disposal of premises and equipment 494 304 (370) Recoveries on loans charged off prior to acquisition (192) (381) (4,312) Adjusted Noninterest Income (e) 53,612 66,308 79,679 Noninterest Expense - Reported (f) 358,889 313,606 306,134 Separation expense (2) (11,046) — — Economic development employee incentive grant 1,000 — OREO impairment — — (784) Impairment of assets (4,442) (124) (462) COVID-19 expense (3) — (614) (1,915) Acquisition expense (4) (300) (900) (17,294) Adjusted Noninterest Expense (g) 344,101 311,968 285,679 Income Tax Expense - Reported (h) 50,004 57,483 51,173 Net Income - Reported (a) - (c) + (d) - (f) - (h) = (i) 196,291 224,750 201,209 Adjusted Net Income (5) (b) - (c) + (e) - (g) = (j) $209,747 $225,893 $210,017 Average shares for basic EPS (k) 41,710,829 43,070,452 43,116,965 Average shares for diluted EPS (l) 41,794,088 43,129,237 43,116,965 Reported Basic EPS (i) / (k) $4.71 $5.22 $4.67 Reported Diluted EPS (i) / (l) 4.70 5.21 4.67 Adjusted Basic EPS (j) / (k) 5.03 5.24 4.87 Adjusted Diluted EPS (j) / (l) 5.02 5.24 4.87 EFFICIENCY RATIO Amortization of other intangible assets (m) $12,491 $12,580 $12,671 Reported Efficiency Ratio (f - m) / (a + d) 56.82% 51.30% 48.79% Adjusted Efficiency Ratio (g - m) / (b + e) 54.20 51.04 46.04 PROFITABILITY Total Average Assets (n) $18,009,090 $18,558,168 $16,357,736 Total Average Stockholders Common Equity (o) 2,442,315 2,536,658 2,435,474 Total Average Tangible Common Equity (6) (p) 1,379,603 1,461,400 1,347,584 Reported Return on Average Assets (i) / (n) 1.09% 1.21% 1.23% Reported Return on Average Common Equity (i) / (o) 8.04 8.86 8.26 Reported Return on Average Common Tangible Equity (i) / (p) 14.23 15.38 14.93 Adjusted Return on Average Assets (7) (j) / (n) 1.16 1.22 1.28 Adjusted Return on Average Common Equity (7) (j) / (o) 8.59 8.91 8.62 Adjusted Return on Tangible Common Equity (7) (j) / (p) 15.20 15.46 15.58 (1) This is not applicable starting in 2021 under the adoption of CECL. (2) Separation expenses include severance and accelerated vesting expense for stock awards related to the separation of certain employees. The year ended December 31, 2022 reflects a reduction in workforce due to the restructuring of certain departments and business lines, payments made due to the separation of executive officers and payments made related to the dissolution of a Company department. (3) COVID-19 expense includes expenses for COVID testing kits, vaccination incentive bonuses, and personal protection and cleaning supplies. (4) Acquisition expenses includes compensation related expenses for equity awards granted at acquisition. (5) Assumes an adjusted effective tax rate of 20.3%, 20.4% and 20.5%, respectively. (6) Excludes average balance of goodwill and net other intangible assets and preferred stock. (7) Calculated using adjusted net income.

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25 APPENDIX Supplemental Information – Reconciliation of Non-GAAP Financial Measures (Unaudited) Reconciliation of Tangible Common Equity to Tangible Assets and Tangible Book Value Per Common Share – Quarterly Periods ($ in thousands, except per share information) December 31, 2022 September 30, 2022 June 30, 2022 March 31, 2022 December 31, 2021 Tangible Common Equity Total common stockholders equity $2,385,383 $2,354,340 $2,364,335 $2,522,460 $2,576,650 Adjustments: Goodwill (994,021) (994,021) (994,021) (994,021) (994,021) Other intangible assets, net (62,999) (66,110) (69,227) (72,345) (75,490) Tangible Common Equity $1,328,363 $1,294,209 $1,301,087 $1,456,094 $1,507,139 Tangible Assets Total Assets $18,258,414 $17,944,493 $18,107,093 $17,963,253 $18,732,648 Adjustments: Goodwill (994,021) (994,021) (994,021) (994,021) (994,021) Other intangible assets, net (62,999) (66,110) (69,227) (72,345) (75,490) Tangible Assets $17,201,394 $16,884,362 $17,043,845 $16,896,887 $17,663,137 Common shares outstanding 41,190,677 41,165,006 41,156,261 42,795,228 42,756,234 Tangible Common Equity To Tangible Assets 7.72% 7.67% 7.63% 8.62% 8.53% Book value per common share $57.91 $57.19 $57.45 $58.94 $60.26 Tangible book value per common share $32.25 $31.44 $31.61 $34.02 $35.25

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![](exhibit992erpresentation026.jpg)

26 APPENDIX Supplemental Information – Reconciliation of Non-GAAP Financial Measures (Unaudited) Reconciliation of Tangible Common Equity to Tangible Assets and Tangible Book Value Per Common Share – Annual Periods ($ in thousands, except per share information) December 31, 2022 December 31, 2021 December 31, 2020 December 31, 2019 December 31, 2018 Tangible Common Equity Total common stockholders equity $2,385,383 $2,576,650 $2,515,371 $2,339,773 $1,606,433 Adjustments: Goodwill (994,021) (994,021) (994,021) (994,021) (721,797) Other intangible assets, net (62,999) (75,490) (88,070) (100,741) (45,042) Tangible Common Equity $1,328,363 $1,507,139 $1,433,280 $1,245,011 $839,594 Tangible Assets Total Assets $18,258,414 $18,732,648 $17,753,476 $14,958,207 $9,849,965 Adjustments: Goodwill (994,021) (994,021) (994,021) (994,021) (721,797) Other intangible assets, net (62,999) (75,490) (88,070) (100,741) (45,042) Tangible Assets $17,201,394 $17,663,137 $16,671,385 $13,863,445 $9,083,126 Common shares outstanding 41,190,677 42,756,234 43,137,104 42,950,228 30,600,582 Tangible Common Equity To Tangible Assets 7.72% 8.53% 8.60% 8.98% 9.24% Book value per common share $57.91 $60.26 $58.31 $54.48 $52.50 Tangible book value per common share $32.25 $35.25 $33.23 $28.99 $27.44

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