# EDGAR Filing Document

**Accession Number:** 0000763901
**File Stem:** 0001193125-23-014744
**Filing Date:** 2023-1
**Character Count:** 135357
**Document Hash:** 993f936bd31b09f1b7beddae25b4bfff
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-23-014744.hdr.sgml**: 20230125

**ACCESSION NUMBER**: 0001193125-23-014744

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 39

**CONFORMED PERIOD OF REPORT**: 20230125

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

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230125

**DATE AS OF CHANGE**: 20230125

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** POPULAR, INC.
- **CENTRAL INDEX KEY:** 0000763901
- **STANDARD INDUSTRIAL CLASSIFICATION:** STATE COMMERCIAL BANKS [6022]
- **IRS NUMBER:** 660667416
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-34084
- **FILM NUMBER:** 23549769

**BUSINESS ADDRESS:**
- **STREET 1:** 209 MUNOZ RIVERA AVE
- **STREET 2:** POPULAR CENTER BUILDING
- **CITY:** HATO REY
- **STATE:** PR
- **ZIP:** 00918
- **BUSINESS PHONE:** 7877659800

**MAIL ADDRESS:**
- **STREET 1:** P.O. BOX 362708
- **CITY:** SAN JUAN
- **STATE:** PR
- **ZIP:** 00936-2708

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** POPULAR INC
- **DATE OF NAME CHANGE:** 19970428

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** BANPONCE CORP
- **DATE OF NAME CHANGE:** 19920703

?xml version="1.0" encoding="utf-8" ? Form 8-K

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### UNITED STATES

### SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

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### Form 8-K

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#### 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 25, 2023

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## POPULAR, INC.

#### (Exact name of registrant as specified in its charter)

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| | | |
|:---|:---|:---|
| **Puerto Rico** | **001-34084** | **66-0667416** |
| **(State or other jurisdiction of**<br> **incorporation or organization)** | **(Commission**<br> **File Number)** | **(IRS Employer**<br> **Identification Number)** |

---

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| | |
|:---|:---|
| **209 Muñoz Rivera Avenue**<br> **Hato Rey, Puerto Rico** | **00918** |
| **(Address of principal executive offices)** | **(Zip code)** |

---

(787) 765-9800

#### (Registrant's telephone number, including area code)

#### NOT APPLICABLE

#### (Former name, former address and former fiscal year, if changed since last report)

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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 (*see* General Instruction A.2. below):

☐ Written communication 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 communication pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communication 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**<br> **Symbol(s)** | **Name of each exchange**<br> **on which registered** |
| Common Stock ($0.01 par value) | BPOP | The NASDAQ Stock Market |
| 6.125% Cumulative Monthly Income Trust Preferred Securities | BPOPM | The NASDAQ Stock Market |

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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark 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.** | **Results of Operations and Financial Condition.**  |

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On January 25, 2023, Popular, Inc. (the "Corporation") issued a press release announcing its unaudited financial results for the quarter ended December 31, 2022, a copy of which is attached as Exhibit 99.1 to this Current Report on Form 8-K.

The information furnished pursuant to this Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for purposes of the Securities Exchange Act of 1934, as amended, nor shall it be incorporated by reference into any of the Corporation's filings under the Securities Act of 1933, as amended, unless otherwise expressly stated in such filing.

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| | |
|:---|:---|
| **Item 7.01.** | **Regulation FD Disclosure.**  |

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The Corporation is furnishing information regarding its conference call to discuss its financial results for the quarter ended December 31, 2022. A copy of the presentation to be used by the Corporation on the conference call is attached hereto as Exhibit 99.2.

The information furnished pursuant to this Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.2, shall not be deemed "filed" for purposes of the Securities Exchange Act of 1934, as amended, nor shall it be incorporated by reference into any of the Corporation's filings under the Securities Act of 1933, as amended, unless otherwise expressly stated in such filing.

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| | |
|:---|:---|
| **Item 9.01.** | **Financial Statements and Exhibits.**  |

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Exhibits 99.1 and 99.2 shall not be deemed to be "filed" for purposes of the Securities Exchange Act of 1934, as amended.

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| | |
|:---|:---|
| 99.1 | [Press Release dated January 25, 2023 – Fourth Quarter 2022 Financial Results.](d398344dex991.htm) |
| 99.2 | [Popular, Inc. Conference Call Presentation – Fourth Quarter 2022 Financial Results.](d398344dex992.htm) |
| 101 | Pursuant to Rule 406 of Regulation S-T, the cover page is formatted in Inline XBRL (Inline eXtensible Business Reporting Language). |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document and included in Exhibit 101). |

---

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

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| | | |
|:---|:---|:---|
|  | **<u>POPULAR, INC.</u>**<br> (Registrant) | **<u>POPULAR, INC.</u>**<br> (Registrant) |
| Date: January 25, 2023 | By: | **/s/ Jorge J. García** |
|  |  | Jorge J. García |
|  |  | Senior Vice President and Corporate Comptroller |

---

## Exhibit 99.1

**Exhibit 99.1**![LOGO](g398344g0124002947969.jpg)

**Popular, Inc. Announces Fourth Quarter 2022 Financial Results** 

**•** **Net income of $257.1 million in Q4 2022, compared to net income of $422.4 million in Q3 2022; the results of Q4 2022 included a tax benefit of $68.2 million related to the partial release of the deferred tax valuation allowance in the U.S., while the Q3 2022 results included the benefit of the Evertec Transactions (as defined below) and related accounting adjustments of $226.6 million.** 

**•** **Net income of $1.1 billion for the year 2022, compared to net income of $934.9 million for the year 2021.** 

**•** **Net interest margin of 3.28% in Q4 2022, compared to 3.32% in Q3 2022; net interest margin on a taxable equivalent basis of 3.64% in Q4 2022, compared to 3.71% in Q3 2022.** 

**•** **Credit Quality:** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**•** **Non-performing loans held-in-portfolio ("NPLs") decreased by $14.0 million from Q3 2022; NPLs to loans ratio remained flat at 1.4%;** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**•** **Net charge-offs ("NCOs") increased by $13 million from Q3 2022; annualized NCOs at 0.39% of average loans held-in-portfolio vs. 0.24% in Q3 2022;** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**•** **Allowance for credit losses ("ACL") to loans held-in-portfolio at 2.25% vs. 2.23% in Q3 2022; and** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**•** **ACL to NPLs at 163.9% vs. 155.1% in Q3 2022.** 

**•** **Common Equity Tier 1 ratio of 16.39%, Common Equity per Share of $56.66 and Tangible Book Value per Share of $44.97 at December 31, 2022.** 

SAN JUAN, Puerto Rico – (BUSINESS WIRE) – Popular, Inc. (the "Corporation," "Popular," "we," "us," "our") (NASDAQ:BPOP) reported net income of $257.1 million for the quarter ended December 31, 2022, compared to net income of $422.4 million for the quarter ended September 30, 2022. Excluding the effects of the partial release of $68.2 million of the deferred tax asset valuation allowance, the net income for the fourth quarter was $188.9 million. The net income for the third quarter was $195.8 million after excluding the impact of the completed Evertec Transactions (as defined below) and related accounting adjustments.

Ignacio Alvarez, President and Chief Executive Officer, said: "We ended 2022 with a solid performance in the fourth quarter helping us achieve record earnings of $1.1 billion for the year. During the quarter, we continued to see broad-based loan growth and strong credit quality metrics, although our net interest income was impacted by higher deposit costs, primarily related to our portfolio of P.R. public deposits.

Our record annual earnings are the product of focusing on long-term customer relationships and sustainable growth strategies. In addition to outstanding earnings, during 2022, we also completed important strategic initiatives such as the acquisition of key customer-facing channels from Evertec and launched a broad-based multi-year, technological and business process transformation across the entire Company. We also returned $631 million to our shareholders through common stock share repurchases and increased our quarterly common stock dividend to $0.55 per share.

During 2023, we will continue to leverage the benefits of the Evertec transaction and will focus on growing and deepening our strong commercial and retail franchise in P.R. as we continue to look for appropriate opportunities in the U.S. market.

While we are aware of the macroeconomic headwinds related to inflation and geopolitical risks, we are confident that given the amount of stimulative support from federal funds, P.R. will continue its growth path, albeit perhaps at a slower pace.

2023 marks our 130th anniversary. During this time, we adapted and transformed ourselves on multiple occasions to address many political, economic and competitive changes that have occurred. We are committed to continuing that transformation by investing in the future of our organization, our people and the communities we serve to meet future challenges and continue to provide value to our shareholders."

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***Significant Events***

***<u>Transformation Initiative:</u>***

Popular has launched a significant, multi-year corporate transformation initiative designed to expand its digital capabilities, modernize its technology platform, and implement agile and efficient business processes across the Corporation.

Since completing the Evertec Transactions on July 1, 2022, through December 31, 2022, excluding compensation costs of our employees involved in the initiative, we expensed $24 million toward this effort, primarily in professional fees and technology related expenses. In 2023, we plan an expense of approximately $50 million toward this effort, excluding employee compensation and capitalized costs. We expect the expenses tied to this transformation initiative, which will continue through 2025 to result in an enhanced digital experience for our clients, as well as better technology and more efficient processes for our employees. We expect this effort to contribute to better efficiency and higher earnings, resulting in a targeted sustainable return on tangible common equity of 14% by the end of 2025.

To facilitate the transparency of our progress with these efforts, we have now separated technology, professional fees and transactional activities as standalone expense categories in the statement of operations.

***<u>Transfer of Securities from Available-for Sale to Held-To-Maturity</u>***

In October 2022, the Corporation transferred U.S. Treasury securities with a fair value of $6.5 billion (par value of $7.4 billion) from its available-for-sale portfolio to its held-to-maturity portfolio. Management changed its intent to hold these securities to maturity, given the Corporation's liquidity position and its intention to reduce the impact on accumulated other comprehensive income ("AOCI") and tangible capital of further increases in interest rates.

The securities were reclassified at fair value at the time of the transfer. At the date of the transfer, these securities had pre-tax unrealized losses of $873.0 million recorded in AOCI. This fair value discount is being accreted to interest income and the unrealized loss remaining in AOCI is being amortized, offsetting each other through the remaining life of the securities. There were no realized gains or losses recorded as a result of this transfer.

While changes in the amount of unrealized gains and losses in AOCI have an impact on the Corporation's and its wholly-owned banking subsidiaries' tangible capital ratios, they do not impact regulatory capital ratios, in accordance with the regulatory framework.

***<u>Capital Actions</u>***

On December 7, 2022 the Corporation completed the settlement of its previously announced accelerated share repurchase agreement ("ASR Agreement") for the repurchase of an aggregate $231 million of Popular's common stock, for which an initial 2,339,241 shares (the "Initial Shares") were delivered on August 26, 2022. The transaction was accounted for as a treasury stock transaction. As a result of the receipt of the Initial Shares, the Corporation recognized in shareholders' equity approximately $185 million in treasury stock and $46 million as a reduction of capital surplus. Upon the final settlement of the ASR Agreement, the Corporation received an additional 840,024 shares of common stock and recognized approximately $60 million as treasury stock with a corresponding increase in its capital surplus account. The Corporation repurchased a total of 3,179,265 shares at an average purchase price of $72.66 under the ASR Agreement.

***<u>Partial Release of the Deferred tax Asset Valuation Allowance</u>***

During the fourth quarter of 2022, the Corporation recorded a partial reversal of the deferred tax asset valuation allowance of the U.S. operations of $68.2 million. As of December 31, 2022 the deferred tax asset ("DTA") for the U.S. operations, mainly related to net operating losses ("NOLs"), was valued at $278 million, net of the corresponding valuation allowance of $423 million. The additional reversal during the fourth quarter was determined based on management's expectation of the realization of additional amounts of federal and states NOLs over their remining carryover period. The determination was based on the U.S. operations' sustained profitability during the years ended December 31, 2021 and 2022, together with evidence of stable credit metrics and the length of the expiration of the net operating losses. As of December 31, 2022, the Corporation had approximately $525 million in DTA related to federal NOLs with expiration dates between 2028 and 2033 and approximately $155 million in DTA related to state NOLs with expiration dates between 2031 and 2036.

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**Earnings Highlights** 

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| (Unaudited) | Quarters ended | Quarters ended | Quarters ended | Years ended | Years ended |
| (Dollars in thousands, except per share information) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | 31-Dec-22 | 31-Dec-21 |
|  Net interest income | $559566 | $579619 | $501283 | $2167359 | $1957590 |
|  Provision for credit losses (benefit) | 49531 | 39637 | (33050) | 83030 | (193464) |
|  Net interest income after provision for credit losses (benefit) | 510035 | 539982 | 534333 | 2084329 | 2151054 |
|  Other non-interest income | 158465 | 426494 | 164677 | 897062 | 642128 |
|  Operating expenses | 461708 | 476095 | 417394 | 1746420 | 1549275 |
|  Income before income tax | 206792 | 490381 | 281616 | 1234971 | 1243907 |
|  Income tax (benefit) expense | (50347) | 67986 | 75552 | 132330 | 309018 |
|  Net income | $257139 | $422395 | $206064 | $1102641 | $934889 |
|  Net income applicable to common stock | $256786 | $422042 | $205711 | $1101229 | $933477 |
|  Net income per common share-basic | $3.56 | $5.71 | $2.59 | $14.65 | $11.49 |
|  Net income per common share-diluted | $3.56 | $5.70 | $2.58 | $14.63 | $11.46 |

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***Net interest income on a taxable equivalent basis – Non-GAAP financial measure***

Net interest income, on a taxable equivalent basis, is presented with its different components in Table D and E for the quarter and year ended December 31, 2022 and comparable periods. Net interest income on a taxable equivalent basis is a non-GAAP financial measure. Management believes that this presentation provides meaningful information since it facilitates the comparison of revenues arising from taxable and tax-exempt sources.

Non-GAAP financial measures used by the Corporation may not be comparable to similarly named non-GAAP financial measures used by other companies.

Net interest income for the quarter ended December 31, 2022 was $559.6 million, compared to $579.6 million in the previous quarter, a decrease of $20.0 million. Net interest income on a taxable equivalent basis for the fourth quarter of 2022 was $621.5 million compared to $646.6 million in the previous quarter, a decrease of $25.1 million.

Net interest margin for the quarter was 3.28% compared to 3.32% in the previous quarter. On a taxable equivalent basis, net interest margin for the fourth quarter of 2022 was 3.64%, compared to 3.71% in the prior quarter. The decrease in net interest margin is mainly related to a higher interest expense on deposits, partially offset by higher volume of loans and change to the earning asset mix, with increases in loan balances and reductions to lower yielding money markets, investments and trading securities. The main variances in net interest income on a taxable equivalent basis were:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher interest expense on deposits by $78.4 million due to the increase in rates, mainly from Puerto Rico
government deposits.

partially offset by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher interest income from money market deposits by $13.9 million, resulting from higher yield of the
portfolio by 166 basis points driven mainly by the full quarter's effect of increases in the interest on excess funds at the Federal Reserve at the end of July and September, fully impacting the fourth quarter, and further increases at the
beginning of November and mid-December, partially offset by lower volume by $1.5 billion mainly related to a decrease in deposits and a higher loan volume; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• quarter-over-quarter, the Corporation's loan portfolio's average balance increased by $980 million
reflecting increases in the U.S. and P.R. and across all major loan segments except construction loans. Loan origination in a higher interest rate environment and the repricing of adjustable-rate loans resulted in a higher yield on loans by 31 basis
points. The categories with the highest impact were commercial loans with an increase of $29.5 million in interest income or 49 basis points and consumer loans that increased $8.1 million or 52 basis points

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Net interest income for the Banco Popular de Puerto Rico ("BPPR") segment amounted to $472.4 million for the fourth quarter of 2022, compared to $488.1 million in the third quarter of 2022. Net interest margin remained flat at 3.26% compared to 3.27% in the third quarter of 2022. The decrease in net interest income of $15.7 million was mostly driven by a higher cost of deposits, partially offset by the improvement in the yield on earning assets and the change to the asset mix. The yield on earning assets increased 45 basis points driven by the repricing of money market investments and adjustable-rate loans and a higher volume of average loans by $671 million. Earning assets decreased by $1.6 billion mainly driven by the decrease of P.R. public sector and commercial interest-bearing deposits. The cost of interest-bearing deposits increased 67 basis points to 1.13% from 0.46% the previous quarter. The increase in the cost of deposits was mainly impacted by the repricing of public funds and corporate clients. Total deposit cost for the quarter increased by 49 basis points from 0.34% to 0.83%.

Net interest income for Popular Bank ("PB") was $94.2 million for the quarter ended December 31, 2022, compared to $98.9 million during the previous quarter, a decrease of $4.7 million. Net interest margin decreased 29 basis points in the quarter to 3.55% compared to 3.84% in the third quarter of the year. The decrease in net interest margin was mostly driven by a higher cost of deposits, partially offset by higher volume of loans and the repricing, of adjustable-rate loans driven by the changes in interest rates. The cost of interest-bearing deposits was 1.71% compared to 0.85%, or an increase of 86 basis points while total deposit cost was 1.34% compared to 0.67% in the previous quarter.

***Non-interest income***

Non-interest income amounted to $158.5 million for the fourth quarter of 2022, a decrease of $268.0 million compared to $426.5 million in the previous quarter. The results for the third quarter of 2022 included $257.7 million from the gain on the sale of the Corporation's shares from Evertec, Inc. ("Evertec"), including those sold in connection BPPR's acquisition of certain assets from Evertec Group, LLC, a wholly owned subsidiary of Evertec, to service certain BPPR channels (the "Evertec Business Acquisition"), the subsequent the sale of BPPR's remaining 7,065,634 shares of common stock of Evertec, Inc. (together with the Evertec Business Acquisition, the "Evertec Transactions") and related accounting adjustments. Other factors that contributed to the variance in non-interest income were:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lower service charges on deposit accounts by $5.3 million due to lower overdraft related charges and lower
cash management service charges from commercial clients due to higher earnings credits on transactional accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lower mortgage banking activities by $2.9 million due to a negative variance in the valuation of mortgage
servicing rights by $2.1 million and a negative variance of $1.0 million in gains from loans securitization activity, net of valuation adjustments on loans held-for-sale;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an unfavorable variance in the adjustments for indemnity reserves on loans previously sold of $1.9 million;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a favorable adjustment recorded in the third quarter of $9.2 million in the fair value of the contingent
consideration related to purchase price adjustments for the Popular Equipment Finance ("PEF") acquisition of the K2 Capital Group LLC business in 2021 (''K2 Acquisition''), after the Corporation updated its estimates
related to the realizability of the earnings targets for the contingent payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lower earnings from the portfolio of equity method investments by $2.2 million, excluding Evertec;

partially offset by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a gain of $8.2 million from the sale of an investment which had been previously written off;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher other service fees by $2.6 million mainly due to higher credit and debit card fees related to
interchange income and seasonal activity, partially offset by lower insurance fees, including contingent payments of approximately $500,000 received during the third quarter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a favorable variance of $1.8 million on the fair value adjustments to the portfolio of equity securities
related to deferred benefit plans, which have an offsetting effect recorded as higher personnel costs;

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*Refer to Table B for further details.* 

***Operating expenses***

Operating expenses for the fourth quarter of 2022 totaled $461.7 million, a decrease of $14.4 million when compared to the third quarter of 2022. The variance in operating expenses was driven primarily by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lower personnel costs by $3.7 million mainly due to a decrease in health insurance costs by
$4.7 million, lower profit-sharing accrual and lower commissions, incentives and other bonuses by $2.6 million partially offset by higher salaries and other personnel costs by $3.6 million;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lower credit and debit card processing and transactional expenses by $3.3 million mainly due to transaction
volume rebates and incentives recognized during the quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher other real estate owned (OREO) benefit by $6.7 million mainly due to higher gain on sale of mortgage
and commercial properties and higher expense claim reimbursement from federal government agency programs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lower other operating expenses by $12.0 million, mainly due to the effect of a previous quarter expense
related to the Evertec Transactions of $17.3 million, partially offset by $2.0 million of higher sundry loss reserves and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a goodwill impairment charge of $9.0 million recorded during the previous quarter due to a decrease in
PEF's projected earnings considered as part of the Corporation's annual goodwill impairment analysis.

partially offset by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher equipment expenses by $1.1 million due to higher maintenance and repair costs of equipment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher professional fees by $1.5 million mainly due to higher advisory expense related to corporate
initiatives;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher technology and software expenses by $9.9 million mainly due to various ongoing technology projects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher other processing and transactional services by $3.7 million mainly due to higher incentives received
during the prior quarter related to the ATH Network Participation Agreement entered into in connection with the Evertec Business Acquisition; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• higher business promotion expenses by $3.8 million mainly due to seasonal projects and sponsorships during
the quarter.

Full-time equivalent employees were 8,813 as of December 31, 2022 compared to 8,747 as of September 30, 2022.

*For a breakdown of operating expenses by category refer to Table B.* 

***Income Taxes***

For the quarter ended December 31, 2022, the Corporation recorded an income tax benefit of $50.3 million compared to an income tax expense of $68.0 million for the previous quarter. The favorable variance in income tax expense was mainly attributable to a partial reversal of the deferred tax asset valuation allowance of the U.S. operation during the fourth quarter of $68.2 million and lower income before tax, higher benefit from tax-exempt income, including true-up adjustment of $9.5 million in relation to the fiscal year 2021 tax returns for the P.R. subsidiaries filed in the fourth quarter and related year-to-date adjustments for the same concept. The effective tax rate ("ETR") for the fourth quarter was of (24)%. Excluding the impact of the partial release of the valuation allowance and true up adjustment, the ETR for the fourth quarter was of 12%, compared to 14% for the previous quarter. The ETR of the Corporation is impacted by the composition and source of its taxable income. The Corporation expects its ETR for the year 2023 to be within a range from 18% to 22%.

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***Credit Quality***

During the fourth quarter of 2022, the Corporation continued to reflect stable credit quality trends with low levels of NCOs and decreasing NPLs. We continue to closely monitor changes in the macroeconomic environment and on borrower performance, given inflationary pressures and geopolitical uncertainty. However, management believes that the improvement over recent years in the risk profile of the Corporation's loan portfolios positions Popular to operate successfully under the current environment.

The following presents credit quality results for the fourth quarter of 2022:

• At December 31, 2022, total non-performing loans held-in-portfolio decreased by $14.0 million from September 30, 2022. BPPR's NPLs decreased by $8.2 million, mostly driven by lower mortgage and commercial
NPLs by $10.4 million and $5.3 million, respectively, in part offset by higher auto loans NPLs by $6.5 million. PB's NPLs decreased by $5.8 million quarter-over-quarter, mostly due to a $8.7 million charge-off on a previously reserved commercial borrower in the healthcare industry that was placed in non-accrual status the previous quarter. At December 31, 2022, the
ratio of NPLs to total loans held-in-portfolio remained flat at 1.4%, compared to the third quarter of 2022.

• Inflows of NPLs held-in-portfolio, excluding consumer loans, decreased by $2.7 million quarter-over-quarter. In BPPR, total inflows increased by $5.0 million, mostly driven by
higher mortgage inflows of $5.1 million. Mortgage inflows continued trending lower than pre-pandemic levels. NPL inflows at PB decreased by $7.6 million quarter-over-quarter, mainly driven by the
abovementioned commercial healthcare loan placed in non-accrual in the previous quarter.

• NCOs amounted to $31.2 million, an increase of $13.0 million when compared to the third quarter of
2022. BPPR's NCOs remained stable, increasing by $1.5 million quarter-over-quarter, mainly driven by higher consumer NCOs by $5.5 million, mostly due to higher auto NCOs, in part offset by lower mortgage NCOs by $4.0 million.
PB's NCOs increased by $11.5 million quarter-over-quarter, mainly due to the charge-off on the abovementioned healthcare loan. During the fourth quarter of 2022, the Corporation's ratio of
annualized net charge-offs to average loans held-in-portfolio was 0.39%, compared to 0.24% in the third quarter of 2022. Refer to Table M for further information on net
charge-offs and related ratios.

• At December 31, 2022, the ACL increased by $17.2 million, or 2.5%, from the third quarter of 2022 to
$720.3 million. The ACL incorporated updated macroeconomic scenarios for Puerto Rico and the United States. Given that any one economic outlook is inherently uncertain, the Corporation leverages multiple scenarios to estimate its ACL. The
baseline scenario continues to be assigned the highest probability, followed by the pessimistic scenario.

• The baseline scenario assumes a 2023 annualized GDP growth for Puerto Rico and the United States of 1.3% and
0.7%, respectively, compared to 2.2% and 1.5% in the previous quarter. For 2022, annualized expected growth was 2.6% and 1.8% for Puerto Rico and United States, respectively. The reduction in 2023 is due to the expected slowdown in the economy as a
result of tight monetary policy, weaker job growth and persistent inflation.

• The 2023 average unemployment rate remained largely consistent quarter-over-quarter forecasted at 7.8% and 4.0%
for Puerto Rico and United States, respectively, compared to 7.8% and 3.9% respectively, in the previous forecast. In 2023, weaker job growth due to the expected slowdown in the economy will contribute to the increase in unemployment rate from 2022
average levels of 6.4% for Puerto Rico and 3.7% for the United States.

• In BPPR, the ACL increased by $24.6 million, mostly driven by changes in the economic scenario, higher loan
volumes and changes in credit quality. The ACL for the PB segment decreased by $7.4 million quarter-over-quarter, mainly driven by an $8.7 million charge-off on the previously mentioned commercial
healthcare NPL. The Corporation's ratio of the allowance for credit losses to loans held-in-portfolio was 2.25% in the fourth quarter of 2022, compared to 2.23% in
the previous quarter. The ratio of the allowance for credit losses to NPLs held-in-portfolio stood at 163.9%, compared to 155.1% in the previous quarter.

• The provision for credit losses for the loan portfolios for the fourth quarter of 2022 was an expense of
$48.3 million, compared to an expense of $39.5 million in the previous quarter, reflecting the previously mentioned changes in the allowance for credit losses. The provision for the BPPR segment was an expense of $44.4 million,
compared to an expense of $28.7 million in the previous quarter, while the provision for the PB segment was an expense of $3.9 million, compared to an expense of $10.8 million in the previous quarter.

------

• The provision for unfunded commitments for the third quarter of 2022 was an expense of $1.5 million,
compared to an expense of $0.4 million in the previous quarter. The provision for credit losses in our investment portfolio was a benefit of $0.3 million, flat quarter-over-quarter. The provision for unfunded loan commitments, provision
for credit losses on our loan and lease portfolios and provision for credit losses on our investment portfolio are aggregated and presented in the provision for credit losses caption in our Statement of Operations.

**Non-Performing Assets** 

---

| | | | |
|:---|:---|:---|:---|
| (Unaudited) |  |  |  |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Non-performing loans held-in-portfolio | $439441 | $453419 | $547877 |
|  Other real estate owned ("OREO") | 89126 | 93239 | 85077 |
|  Total non-performing assets  | $528567 | $546658 | $632954 |
|  Net charge-offs (recoveries) for the quarter | $31200 | $18232 | $(7881) |

---

---

| | | | |
|:---|:---|:---|:---|
| Ratios: |  |  |  |
|  Loans held-in-portfolio | $32077769 | $31523188 | $29240557 |
|  Non-performing loans held-in-portfolio to loans held-in-portfolio | 1.37% | 1.44% | 1.87% |
|  Allowance for credit losses to loans held-in-portfolio | 2.25 | 2.23 | 2.38 |
|  Allowance for credit losses to non-performing loans, excluding loans held-for-sale | 163.91 | 155.07 | 126.92 |

---

*Refer to Table K for additional information.*

------

**Provision for Credit Losses (Benefit) - Loan Portfolios** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| (Unaudited) | Quarters ended | Quarters ended | Quarters ended | Years ended | Years ended |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | 31-Dec-22 | 31-Dec-21 |
|  Provision for credit losses (benefit) - loan portfolios: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; BPPR | $44383 | $28694 | $(30562) | $69544 | $(129018) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Popular U.S. | 3949 | 10825 | (859) | 13763 | (54327) |
|  Total provision for credit losses (benefit) - loan portfolios | $48332 | $39519 | $(31421) | $83307 | $(183345) |

---

**Credit Quality by Segment** 

---

| | | | |
|:---|:---|:---|:---|
| (Unaudited) <br> (In thousands) | Quarters ended | Quarters ended | Quarters ended |
| **BPPR** | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Provision for credit losses (benefit) - loan portfolios | $44383 | $28694 | $(30562) |
|  Net charge-offs (recoveries) | 19846 | 18396 | (7615) |
|  Total non-performing loans held-in-portfolio | 402009 | 410215 | 514289 |
|  Allowance / loans held-in-portfolio | 2.73% | 2.65% | 2.85% |
|  Allowance / non-performing loans held-in-portfolio | 153.12% | 144.05% | 115.53% |

---

---

| | | | |
|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended |
| **Popular U.S.** | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Provision for credit losses (benefit) - loan portfolios | $3949 | $10825 | $(859) |
|  Net charge-offs (recoveries) | 11354 | (164) | (266) |
|  Total non-performing loans held-in-portfolio | 37432 | 43204 | 33588 |
|  Allowance / loans held-in-portfolio | 1.10% | 1.21% | 1.21% |
|  Allowance / non-performing loans held-in-portfolio | 279.86% | 259.61% | 301.31% |

---

**Financial Condition Highlights** 

---

| | | | |
|:---|:---|:---|:---|
| (Unaudited) |  |  |  |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Cash and money market investments | $6084096 | $5992360 | $17965152 |
|  Investment securities | 26553317 | 30434052 | 25267418 |
|  Loans | 32077769 | 31523188 | 29240557 |
|  Total assets | 67637917 | 70729675 | 75097899 |
|  Deposits | 61227227 | 64819327 | 67005088 |
|  Borrowings | 1400319 | 1300984 | 1155166 |
|  Total liabilities | 63544492 | 67054837 | 69128502 |
|  Stockholders' equity | 4093425 | 3674838 | 5969397 |

---

------

Total assets amounted to $67.6 billion at December 31, 2022, a decrease of $3.1 billion from the third quarter of 2022, driven by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A decrease in debt securities of $3.9 billion due to maturities and paydowns, partially offset by purchases
and a favorable variance of $193.4 million in net unrealized losses in the portfolio of available-for-sale securities.

partially offset by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an increase in loans held-in-portfolio of $0.6 billion across all loan categories, except construction loans. The increase was mainly due to commercial loan growth at both BPPR and PB
and an increase in mortgage and consumer loans at BPPR, mainly in personal loans and credit cards.

Total liabilities decreased by $3.5 billion from the third quarter of 2022, driven by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a decrease of $3.6 billion in deposits, mainly in Puerto Rico public sector deposits by $2.2 billion,
and non-public deposits by $1.4 billion mainly from commercial interest-bearing accounts in Puerto Rico;

partially offset by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an increase in borrowings of $115.0 million, mainly due to advances from the FHLB at PB.

Stockholders' equity increased by $418.6 million from the third quarter of 2022, principally due to net income for the quarter of $257.1 million and a favorable variance of $193.4 million in net unrealized losses in the portfolio of available-for-sale securities, partially offset by dividends declared for the quarter.

Common equity tier-1 ratio ("CET1"), common equity per share and tangible book value per share were 16.39%, $56.66 and $44.97, respectively, at December 31, 2022, compared to 16.04%, $50.26 and $38.69 at September 30, 2022. Refer to Table A for capital ratios.

*Refer to Table C for the Statements of Financial Condition.* 

------

**<u>Cautionary Note Regarding Forward-Looking Statements</u>**

This press release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including without limitation those regarding Popular's business, financial condition, results of operations, plans, objectives and future performance. These statements are not guarantees of future performance, are based on management's current expectations and, by their nature, involve risks, uncertainties, estimates and assumptions. Potential factors, some of which are beyond the Corporation's control, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. Risks and uncertainties include, without limitation, the effect of competitive and economic factors, and our reaction to those factors, the adequacy of the allowance for loan losses, delinquency trends, market risk and the impact of interest rate changes, capital market conditions, capital adequacy and liquidity, the effect of legal and regulatory proceedings, new accounting standards on the Corporation's financial condition and results of operations, the scope and duration of the COVID-19 pandemic (including the appearance of new strains of the virus), actions taken by governmental authorities in response thereto, and the direct and indirect impact of the pandemic on Popular, our customers, service providers and third parties. Other factors include Popular's ability to successfully execute its transformation initiative, including, but not limited to, achieving projected earnings, efficiencies and return on tangible common equity and accurately anticipating costs and expenses associated therewith. The Corporation's ability to successfully transition and integrate the assets acquired as part of the Evertec Business Acquisition, related operations, employees and third party contractors; unexpected costs, including, without limitation, costs due to exposure to any unrecorded liabilities or issues not identified during due diligence investigation of the Evertec Business Acquisition or that are not subject to indemnification or reimbursement by Evertec; operational risks that may affect Popular and other risks arising from the acquisition of the acquired assets or by adverse effects on relationships with customers, employees and service providers and business and other risks arising from the extension of Popular's current commercial agreements with Evertec may also cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. All statements contained herein that are not clearly historical in nature, are forward-looking, and the words "anticipate," "believe," "continues," "expect," "estimate," "intend," "project" and similar expressions, and future or conditional verbs such as "will," "would," "should," "could," "might," "can," "may" or similar expressions, are generally intended to identify forward-looking statements.

More information on the risks and important factors that could affect the Corporation's future results and financial condition is included in our Form 10-K for the year ended December 31, 2021, in our Form 10-Q for the quarters ended March 31, 2022, June 30, 2022 and September 30, 2022, and in our Form 10-K for the year ended December 31, 2022 to be filed with the Securities and Exchange Commission. Our filings are available on the Corporation's website (<u>www.popular.com</u>) and on the Securities and Exchange Commission website (<u>www.sec.gov</u>). The Corporation assumes no obligation to update or revise any forward-looking statements or information which speak as of their respective dates.

**<u>About Popular, Inc.</u>**

Popular, Inc. (NASDAQ: BPOP) is the leading financial institution in Puerto Rico, by both assets and deposits, and ranks among the top 50 U.S. bank holding companies by assets. Founded in 1893, Banco Popular de Puerto Rico, Popular's principal subsidiary, provides retail, mortgage and commercial banking services in Puerto Rico and the U.S. Virgin Islands. Popular also offers in Puerto Rico auto and equipment leasing and financing, investment banking, broker-dealer and insurance services through specialized subsidiaries. In the mainland United States, Popular provides retail, mortgage and commercial banking services through its New York-chartered banking subsidiary, Popular Bank, which has branches located in New York, New Jersey and Florida.

**<u>Conference Call</u>**

Popular will hold a conference call to discuss its financial results today Wednesday, January 25, 2023 at 10:00 a.m. Eastern Time. The call will be broadcast live over the Internet and can be accessed through the Investor Relations section of the Corporation's website: www.popular.com.

Listeners are recommended to go to the website at least 15 minutes prior to the call to download and install any necessary audio software. The call may also be accessed through a dial-in telephone number 1-844-200-6205 (Toll Free) or 1-646-904-5544 (Local). The dial-in access code is 922986.

A replay of the webcast will be archived in Popular's website. A telephone replay will be available one hour after the end of the conference call through Friday, February 24, 2023. The replay dial in is: 1-866-813-9403 or 1-929-458-6194. The replay passcode is 431712.

An electronic version of this press release can be found at the Corporation's website: www.popular.com.

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

Table A - Selected Ratios and Other Information

Table B - Consolidated Statement of Operations

Table C - Consolidated Statement of Financial Condition

Table D - Analysis of Levels and Yields on a Taxable Equivalent Basis (Non-GAAP) - QUARTER

Table E - Analysis of Levels and Yields on a Taxable Equivalent Basis (Non-GAAP) - YEAR-TO-DATE

Table F - Mortgage Banking Activities and Other Service Fees

Table G - Loans and Deposits

Table H - Loan Delinquency - BPPR OPERATIONS

Table I - Loan Delinquency - POPULAR U.S. OPERATIONS

Table J - Loan Delinquency - CONSOLIDATED

Table K - Non-Performing Assets

Table L - Activity in Non-Performing Loans

Table M - Allowance for Credit Losses, Net Charge-offs and Related Ratios

Table N - Allowance for Credit Losses - Loan Portfolios - CONSOLIDATED

Table O - Allowance for Credit Losses - Loan Portfolios - BPPR OPERATIONS

Table P - Allowance for Credit Losses - Loan Portfolios - POPULAR U.S. OPERATIONS

Table Q - Reconciliation to GAAP Financial Measures

------

**POPULAR, INC.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table A - Selected Ratios and Other Information** 

**(Unaudited)** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended | Years ended | Years ended |
|  | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | 31-Dec-22 | 31-Dec-21 |
|  Basic EPS | $3.56 | $5.71 | $2.59 | $14.65 | $11.49 |
|  Diluted EPS | $3.56 | $5.70 | $2.58 | $14.63 | $11.46 |
|  Average common shares outstanding | 72101177 | 73955184 | 79477823 | 75147263 | 81263027 |
|  Average common shares outstanding - assuming dilution | 72192680 | 74057332 | 79652836 | 75274003 | 81420154 |
|  Common shares outstanding at end of period | 71853720 | 72673344 | 79851169 | 71853720 | 79851169 |
|  Market value per common share | $66.32 | $72.06 | $82.04 | $66.32 | $82.04 |
|  Market capitalization - (In millions) | $4765 | $5237 | $6551 | $4765 | $6551 |
|  Return on average assets | 1.46% | 2.31% | 1.09% | 1.52% | 1.31% |
|  Return on average common equity | 16.59% | 27.72% | 13.74% | 18.39% | 16.22% |
|  Net interest margin (non-taxable equivalent basis) | 3.28% | 3.32% | 2.78% | 3.11% | 2.88% |
|  Net interest margin (taxable equivalent basis) - non-GAAP | 3.64% | 3.71% | 3.02% | 3.46% | 3.19% |
|  Common equity per share | $56.66 | $50.26 | $74.48 | $56.66 | $74.48 |
|  Tangible common book value per common share (non-GAAP) [1] | $44.97 | $38.69 | $65.26 | $44.97 | $65.26 |
|  Tangible common equity to tangible assets (non-GAAP) [1] | 4.84% | 4.02% | 7.01% | 4.84% | 7.01% |
|  Return on average tangible common equity [1] | 19.23% | 31.86% | 15.66% | 21.13% | 18.47% |
|  Tier 1 capital | 16.45% | 16.10% | 17.49% | 16.45% | 17.49% |
|  Total capital | 18.26% | 17.92% | 19.35% | 18.26% | 19.35% |
|  Tier 1 leverage | 8.15% | 7.65% | 7.41% | 8.15% | 7.41% |
|  Common Equity Tier 1 capital | 16.39% | 16.04% | 17.42% | 16.39% | 17.42% |

---

[1] Refer to Table Q for reconciliation to GAAP financial measures.

------

**POPULAR, INC.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table B - Consolidated Statement of Operations** 

**(Unaudited)** 

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Variance | Quarter ended | Variance | Years ended | Years ended |
|  | | | Q4 2022 | | Q4 2022 | | |
| (In thousands, except per share information) | 31-Dec-22 | 30-Sep-22 | vs. Q3 2022 | 31-Dec-21 | vs. Q4 2021 | 31-Dec-22 | 31-Dec-21 |
|  Interest income: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loans | $522042 | $481088 | $40954 | $444101 | $77941 | $1876166 | $1747827 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Money market investments | 50908 | 36966 | 13942 | 6847 | 44061 | 118080 | 21147 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investment securities | 140244 | 133181 | 7063 | 88315 | 51929 | 471665 | 353663 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest income | 713194 | 651235 | 61959 | 539263 | 173931 | 2465911 | 2122637 |
|  Interest expense: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deposits | 139338 | 60897 | 78441 | 26331 | 113007 | 252845 | 111621 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Short-term borrowings | 4488 | 921 | 3567 | 60 | 4428 | 5737 | 319 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Long-term debt | 9802 | 9798 | 4 | 11589 | (1787) | 39970 | 53107 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest expense | 153628 | 71616 | 82012 | 37980 | 115648 | 298552 | 165047 |
|  Net interest income | 559566 | 579619 | (20053) | 501283 | 58283 | 2167359 | 1957590 |
|  Provision for credit losses (benefit) | 49531 | 39637 | 9894 | (33050) | 82581 | 83030 | (193464) |
|  Net interest income after provision for credit losses (benefit) | 510035 | 539982 | (29947) | 534333 | (24298) | 2084329 | 2151054 |
|  Service charges on deposit accounts | 34682 | 40006 | (5324) | 41613 | (6931) | 157210 | 162698 |
|  Other service fees | 89022 | 86402 | 2620 | 83793 | 5229 | 334009 | 311248 |
|  Mortgage banking activities | 6562 | 9448 | (2886) | 17035 | (10473) | 42450 | 50133 |
|  Net gain on sale of debt securities |  |  |  |  |  |  | 23 |
|  Net gain (loss), including impairment, on equity securities | 317 | (1448) | 1765 | (1454) | 1771 | (7334) | 131 |
|  Net gain (loss) on trading account debt securities | 162 | (274) | 436 | (355) | 517 | (784) | (389) |
|  Net loss on sale of loans, including valuation adjustments on loans held-for-sale |  |  |  |  |  |  | (73) |
|  Adjustments to indemnity reserves on loans sold | (221) | 1715 | (1936) | 1398 | (1619) | 919 | 4406 |
|  Other operating income | 27941 | 290645 | (262704) | 22647 | 5294 | 370592 | 113951 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total non-interest income | 158465 | 426494 | (268029) | 164677 | (6212) | 897062 | 642128 |
|  Operating expenses: |  |  |  |  |  |  |  |
|  Personnel costs |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Salaries | 116503 | 115887 | 616 | 96830 | 19673 | 432910 | 371644 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commissions, incentives and other bonuses | 39570 | 42209 | (2639) | 34853 | 4717 | 155889 | 142212 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Pension, postretirement and medical insurance | 12452 | 17120 | (4668) | 13971 | (1519) | 56085 | 52077 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other personnel costs, including payroll taxes | 21612 | 18627 | 2985 | 14818 | 6794 | 74880 | 65869 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total personnel costs | 190137 | 193843 | (3706) | 160472 | 29665 | 719764 | 631802 |
|  Net occupancy expenses | 27812 | 27420 | 392 | 26755 | 1057 | 106169 | 102226 |
|  Equipment expenses | 9828 | 8735 | 1093 | 9656 | 172 | 35626 | 32919 |
|  Other taxes | 16142 | 15966 | 176 | 15160 | 982 | 63603 | 56783 |
|  Professional fees | 49159 | 47662 | 1497 | 32607 | 16552 | 172043 | 126721 |
|  Technology and software expenses | 78264 | 68341 | 9923 | 70916 | 7348 | 291902 | 277979 |
|  Processing and transactional services |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit and debit cards | 10278 | 13531 | (3253) | 7578 | 2700 | 45455 | 40383 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other processing and transactional services | 22509 | 18837 | 3672 | 21370 | 1139 | 81690 | 80984 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total processing and transactional services | 32787 | 32368 | 419 | 28948 | 3839 | 127145 | 121367 |
|  Communications | 3857 | 3858 | (1) | 3559 | 298 | 14885 | 14029 |
|  Business promotion |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Rewards and customer loyal programs | 13538 | 14344 | (806) | 11752 | 1786 | 51832 | 38919 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other business promotion | 14596 | 10004 | 4592 | 14081 | 515 | 37086 | 34062 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total business promotion | 28134 | 24348 | 3786 | 25833 | 2301 | 88918 | 72981 |
|  FDIC deposit insurance | 6342 | 6610 | (268) | 6688 | (346) | 26787 | 25579 |
|  Other real estate owned (OREO) income  | (9180) | (2444) | (6736) | (3860) | (5320) | (22143) | (14414) |

---

------

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  Other operating expenses |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Operational losses | 9018 | 7145.0 | 1873 | 16820 | (7802) | 32049.0 | 38391 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; All other | 18614 | 32448.0 | (13834) | 17795 | 819 | 77397.0 | 53778 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total other operating expenses | 27632 | 39593.0 | (11961) | 34615 | (6983) | 109446.0 | 92169 |
|  Amortization of intangibles | 794 | 795.0 | (1) | 6045 | (5251) | 3275.0 | 9134 |
|  Goodwill impairment charge |  | 9000.0 | (9000) |  |  | 9000.0 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses | 461708 | 476095.0 | (14387) | 417394 | 44314 | 1746420.0 | 1549275 |
|  Income before income tax | 206792 | 490381.0 | (283589) | 281616 | (74824) | 1234971.0 | 1243907 |
|  Income tax (benefit) expense | (50347) | 67986.0 | (118333) | 75552 | (125899) | 132330.0 | 309018 |
|  **Net income** | $257139 | $422395.0 | $(165256) | $206064 | $51075 | $1102641.0 | $934889 |
|  **Net income applicable to common stock** | $256786 | $422042.0 | $(165256) | $205711 | $51075 | $1101229.0 | $933477 |
|  **Net income per common share - basic** | $3.56 | $5.71 | $(2.15) | $2.59 | $0.97 | $14.65 | $11.49 |
|  **Net income per common share - diluted** | $3.56 | $5.7 | $(2.14) | $2.58 | $0.98 | $14.63 | $11.46 |
|  **Dividends Declared per Common Share** | $0.55 | $0.55 | $— | $0.45 | $0.10 | $2.2 | $1.75 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table C - Consolidated Statement of Financial Condition** 

**(Unaudited)** 

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | | Variance |
|  | | | | Q4 2022 vs. |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | Q3 2022 |
|  Assets: |  |  |  |  |
|  Cash and due from banks | $469501 | $2017312 | $428433 | $(1547811) |
|  Money market investments | 5614595 | 3975048 | 17536719 | 1639547 |
|  Trading account debt securities, at fair value | 27723 | 30271 | 29711 | (2548) |
|  Debt securities available-for-sale, at fair value | 17804374 | 28264148 | 24968269 | (10459774) |
|  Debt securities held-to-maturity, at amortized cost | 8525366 | 1953710 | 79461 | 6571656 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Less: Allowance for credit losses | 6911 | 7210 | 8096 | (299) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total debt securities held-to-maturity, net | 8518455 | 1946500 | 71365 | 6571955 |
|  Equity securities | 195854 | 185923 | 189977 | 9931 |
|  Loans held-for-sale, at lower of cost or fair value | 5381 | 8065 | 59168 | (2684) |
|  Loans held-in-portfolio | 32372925 | 31805921 | 29506225 | 567004 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Less: Unearned income | 295156 | 282733 | 265668 | 12423 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Allowance for credit losses | 720302 | 703096 | 695366 | 17206 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total loans held-in-portfolio, net | 31357467 | 30820092 | 28545191 | 537375 |
|  Premises and equipment, net | 498711 | 492685 | 494240 | 6026 |
|  Other real estate | 89126 | 93239 | 85077 | (4113) |
|  Accrued income receivable | 240195 | 224307 | 203096 | 15888 |
|  Mortgage servicing rights, at fair value | 128350 | 130541 | 121570 | (2191) |
|  Other assets | 1847813 | 1700378 | 1628571 | 147435 |
|  Goodwill | 827428 | 827428 | 720293 |  |
|  Other intangible assets | 12944 | 13738 | 16219 | (794) |
|  Total assets | $67637917 | $70729675 | $75097899 | $(3091758) |
|  Liabilities and Stockholders' Equity: |  |  |  |  |
|  Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deposits: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-interest bearing | $15960557 | $17605339 | $15684482 | $(1644782) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest bearing | 45266670 | 47213988 | 51320606 | (1947318) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total deposits | 61227227 | 64819327 | 67005088 | (3592100) |
|  Assets sold under agreements to repurchase | 148609 | 162450 | 91603 | (13841) |
|  Other short-term borrowings | 365000 | 250000 | 75000 | 115000 |
|  Notes payable | 886710 | 888534 | 988563 | (1824) |
|  Other liabilities | 916946 | 934526 | 968248 | (17580) |
|  Total liabilities | 63544492 | 67054837 | 69128502 | (3510345) |
|  Stockholders' equity: |  |  |  |  |
|  Preferred stock | 22143 | 22143 | 22143 |  |
|  Common stock | 1047 | 1046 | 1046 | 1 |
|  Surplus | 4790993 | 4652508 | 4650182 | 138485 |
|  Retained earnings | 3834348 | 3694020 | 2973745 | 140328 |
|  Treasury stock | (2030178) | (1970548) | (1352650) | (59630) |
|  Accumulated other comprehensive loss, net of tax | (2524928) | (2724331) | (325069) | 199403 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total stockholders' equity | 4093425 | 3674838 | 5969397 | 418587 |
|  Total liabilities and stockholders' equity | $67637917 | $70729675 | $75097899 | $(3091758) |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table D - Analysis of Levels and Yields on a Taxable Equivalent Basis (Non-GAAP) - QUARTER** 

**(Unaudited)** 

---

| | | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Quarters ended | Variance | Variance | Variance | Variance | Variance | Variance |
|  | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 31-Dec-21 | 31-Dec-21 | 31-Dec-21 | Q4 2022 vs. Q3 2022 | Q4 2022 vs. Q3 2022 | Q4 2022 vs. Q3 2022 | Q4 2022 vs. Q4 2021 | Q4 2022 vs. Q4 2021 | Q4 2022 vs. Q4 2021 |
| ($ amounts in millions) | Average<br>balance | Income/<br>Expense | Yield/<br>Rate | Average<br>balance | Income/<br>Expense | Yield/<br>Rate | Average<br>balance | Income/<br>Expense | Yield/<br>Rate | Average<br>balance | Income/<br>Expense | Yield/<br>Rate | Average<br>balance | Income/<br>Expense | Yield/<br>Rate |
|  Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  Interest earning assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Money market investments | 5262 | 50.9 | 3.84% | 6721 | 37.0 | 2.18% | 17885 | 6.9 | 0.15% | (1459) | 13.9 | 1.66% | (12623) | 44.0 | 3.69% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investment securities | 30843 | 189.2 | 2.44% | 31859 | 186.8 | 2.33% | 24797 | 118.4 | 1.90% | (1016) | 2.4 | 0.11% | 6046 | 70.8 | 0.54% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trading securities | 30 | 0.3 | 4.28% | 40 | 0.6 | 6.09% | 82 | 1.1 | 5.43% | (10) | (0.3) | (1.81)% | (52) | (0.8) | (1.15)% |
| &nbsp;&nbsp;&nbsp;&nbsp; Total money market, investment and trading securities | $36135 | $240.4 | 2.65% | $38620 | $224.4 | 2.31% | $42764 | $126.4 | 1.18% | 2485) | $16.0 | 0.34% | 6629) | $114.0 | 1.47% |
| &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: | &nbsp;&nbsp;&nbsp;&nbsp; Loans: |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | 15503 | 234.7 | 6.01 | 14750 | 205.2 | 5.52 | 13395 | 188.6 | 5.59 | 753 | 29.5 | 0.49 | 2108 | 46.1 | 0.42 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction | 769 | 14.6 | 7.54 | 835 | 13.4 | 6.38 | 777 | 10.7 | 5.46 | (66) | 1.2 | 1.16 | (8) | 3.9 | 2.08 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | 7346 | 98.9 | 5.38 | 7264 | 98.4 | 5.42 | 7504 | 96.4 | 5.14 | 82 | 0.5 | (0.04) | (158) | 2.5 | 0.24 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 2961 | 91.5 | 12.26 | 2818 | 83.4 | 11.74 | 2471 | 68.1 | 10.93 | 143 | 8.1 | 0.52 | 490 | 23.4 | 1.33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 3576 | 71.9 | 7.98 | 3562 | 71.2 | 7.93 | 3432 | 71.3 | 8.24 | 14 | 0.7 | 0.05 | 144 | 0.6 | (0.26) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Lease financing | 1557 | 23.1 | 5.92 | 1503 | 22.2 | 5.90 | 1359 | 20.3 | 5.97 | 54 | 0.9 | 0.02 | 198 | 2.8 | (0.05) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total loans | 31712 | 534.7 | 6.70 | 30732 | 493.8 | 6.39 | 28938 | 455.4 | 6.26 | 980 | 40.9 | 0.31 | 2774 | 79.3 | 0.44 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total interest earning assets | $67847 | $775.1 | 4.54% | $69352 | $718.2 | 4.12% | $71702 | $581.8 | 3.23% | $(1505) | $56.9 | 0.42% | $(3855) | $193.3 | 1.31% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Allowance for credit losses - loan portfolio | (711) |  |  | (691) |  |  | (719) |  |  | (20) |  |  | 8 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Allowance for credit losses - investment securities | (7) |  |  | (7) |  |  | (9) |  |  |  |  |  | 2 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other non-interest earning assets | 2921 |  |  | 3822 |  |  | 3844 |  |  | (901) |  |  | (923) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Total average assets | $70050 |  |  | $72476 |  |  | $74818 |  |  | $(2426) |  |  | $(4768) |  |  |
|  Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: |
| &nbsp;&nbsp;&nbsp;&nbsp; Interest bearing deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NOW and money market | $24399 | $106.5 | 1.73% | $25993 | $36.4 | 0.56% | $28205 | $7.7 | 0.11% | $(1594) | $70.1 | 1.17% | $(3806) | $98.8 | 1.62% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Savings | 15248 | 11.0 | 0.29 | 15514 | 8.0 | 0.20 | 16324 | 6.8 | 0.17 | (266) | 3.0 | 0.09 | (1076) | 4.2 | 0.12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Time deposits | 6675 | 21.8 | 1.29 | 6957 | 16.5 | 0.94 | 6793 | 11.8 | 0.69 | (282) | 5.3 | 0.35 | (118) | 10.0 | 0.60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest-bearing deposits | 46322 | 139.3 | 1.19 | 48464 | 60.9 | 0.50 | 51322 | 26.3 | 0.20 | (2142) | 78.4 | 0.69 | (5000) | 113.0 | 0.99 |
| &nbsp;&nbsp;&nbsp;&nbsp; Borrowings | 1363 | 14.3 | 4.18 | 1068 | 10.7 | 4.01 | 1163 | 11.6 | 4.01 | 295 | 3.6 | 0.17 | 200 | 2.7 | 0.17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest-bearing liabilities | 47685 | 153.6 | 1.28 | 49532 | 71.6 | 0.57 | 52485 | 37.9 | 0.29 | (1847) | 82.0 | 0.71 | (4800) | 115.7 | 0.99 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net interest spread |  |  | 3.26% |  |  | 3.55% |  |  | 2.94% |  |  | (0.29)% |  |  | 0.32% |
| &nbsp;&nbsp;&nbsp;&nbsp; Non-interest bearing deposits | 16110 |  |  | 15872 |  |  | 15455 |  |  | 238 |  |  | 655 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Other liabilities | 930 |  |  | 1010 |  |  | 917 |  |  | (80) |  |  | 13 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Stockholders' equity | 5325 |  |  | 6062 |  |  | 5961 |  |  | (737) |  |  | (636) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total average liabilities and stockholders' equity | $70050 |  |  | $72476 |  |  | $74818 |  |  | $(2426) |  |  | $(4768) |  |  |
|  Net interest income / margin on a taxable equivalent basis (Non-GAAP) | Net interest income / margin on a taxable equivalent basis (Non-GAAP) | $621.5 | 3.64% |  | $646.6 | 3.71% |  | $543.9 | 3.02% |  | ($25.1) | (0.07)% |  | $77.6 | 0.62% |
|  Taxable equivalent adjustment | Taxable equivalent adjustment | 61.9 |  |  | 67.0 |  |  | 42.6 |  |  | (5.1) |  |  | 19.3 |  |
|  Net interest income / margin non-taxable equivalent basis (GAAP) | Net interest income / margin non-taxable equivalent basis (GAAP) | $559.6 | 3.28% |  | $579.6 | 3.32% |  | $501.3 | 2.78% |  | ($20.0) | (0.04)% |  | $58.3 | 0.50% |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table E - Analysis of Levels and Yields on a Taxable Equivalent Basis (Non-GAAP) - YEAR-TO-DATE** 

**(Unaudited)** 

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Years ended | Years ended | Years ended | Years ended | Years ended | Years ended | | | |
|  | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-21 | 31-Dec-21 | 31-Dec-21 | Variance | Variance | Variance |
|  | Average | Income/ | Yield/ | Average | Income/ | Yield/ | Average | Income/ | Yield/ |
| ($ amounts in millions) | balance | Expense | Rate | balance | Expense | Rate | balance | Expense | Rate |
|  Assets: |  |  |  |  |  |  |  |  |  |
|  Interest earning assets: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Money market investments | 9531 | 118.1 | 1.24% | 16000 | 21.2 | 0.13% | (6469) | 96.9 | 1.11% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investment securities | 29743 | 664.3 | 2.23% | 22931 | 508.1 | 2.22% | 6812 | 156.2 | 0.01% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trading securities | 51 | 3.0 | 5.94% | 84 | 4.3 | 5.16% | (33) | (1.3) | 0.78% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total money market, investment and trading securities | $39325 | $785.4 | 2.00% | $39015 | $533.6 | 1.37% | $310 | $251.8 | 0.63% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loans: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | 14562 | 795.1 | 5.46 | 13455 | 723.8 | 5.39 | 1107 | 71.3 | 0.07 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction | 778 | 48.9 | 6.29 | 849 | 45.8 | 5.41 | (71) | 3.1 | 0.88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | 7323 | 391.1 | 5.34 | 7696 | 392.0 | 5.09 | (373) | (0.9) | 0.25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 2743 | 320.0 | 11.67 | 2463 | 275.1 | 11.17 | 280 | 44.9 | 0.50 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 3525 | 282.5 | 8.02 | 3322 | 280.7 | 8.47 | 203 | 1.8 | (0.45) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Lease financing | 1475 | 87.3 | 5.92 | 1289 | 77.4 | 6.00 | 186 | 9.9 | (0.08) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total loans | 30406 | 1924.9 | 6.33 | 29074 | 1794.8 | 6.19 | 1332 | 130.1 | 0.14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest earning assets | $69731 | $2710.3 | 3.89% | $68089 | $2328.4 | 3.43% | $1642 | $381.9 | 0.46% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Allowance for credit losses - loan portfolio | (695) |  |  | (796) |  |  | 101 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Allowance for credit losses - investment securities | (8) |  |  | (10) |  |  | 2 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other non-interest earning assets | 3570 |  |  | 3886 |  |  | (316) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total average assets | $72598 |  |  | $71169 |  |  | $1429 |  |  |
|  Liabilities and Stockholders' Equity: | Liabilities and Stockholders' Equity: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest bearing deposits: |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NOW and money market | $25884 | $158.6 | 0.61% | $25959 | $31.9 | 0.12% | (75) | $126.7 | 0.49% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Savings | 15886 | 32.4 | 0.20 | 15429 | 27.1 | 0.18 | 457 | 5.3 | 0.02 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Time deposits | 6853 | 61.8 | 0.90 | 7028 | 52.6 | 0.75 | (175) | 9.2 | 0.15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest-bearing deposits | 48623 | 252.8 | 0.52 | 48416 | 111.6 | 0.23 | 207 | 141.2 | 0.29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Borrowings | 1145 | 45.7 | 3.99 | 1276 | 53.4 | 4.19 | (131) | (7.7) | (0.20) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total interest-bearing liabilities | 49768 | 298.5 | 0.60 | 49692 | 165.0 | 0.33 | 76 | 133.5 | 0.27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net interest spread |  |  | 3.29% |  |  | 3.10% |  |  | 0.19% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-interest bearing deposits | 16094 |  |  | 14687 |  |  | 1407 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other liabilities | 938 |  |  | 1012 |  |  | (74) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stockholders' equity | 5798 |  |  | 5778 |  |  | 20 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total average liabilities and stockholders' equity | $72598 |  |  | $71169 |  |  | $1429 |  |  |
|  Net interest income / margin on a taxable equivalent basis (Non-GAAP) | Net interest income / margin on a taxable equivalent basis (Non-GAAP) | $2411.8 | 3.46% |  | $2163.4 | 3.19% |  | $248.4 | 0.27% |
|  Taxable equivalent adjustment | Taxable equivalent adjustment | 244.4 |  |  | 205.8 |  |  | 38.6 |  |
|  Net interest income / margin non-taxable equivalent basis (GAAP) | Net interest income / margin non-taxable equivalent basis (GAAP) | $2167.4 | 3.11% |  | $1957.6 | 2.88% |  | $209.8 | 0.23% |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table F - Mortgage Banking Activities and Other Service Fees** 

**(Unaudited)** 

**Mortgage Banking Activities** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended | Variance | Variance | Years ended | Years ended | Variance |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | Q4 2022<br>vs.Q3 2022 | Q4 2022<br>vs.Q4 2021 | 31-Dec-22 | 31-Dec-21 | 2022 vs.<br>2021 |
|  Mortgage servicing fees, net of fair value adjustments: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage servicing fees | $8852 | $9126 | $9492 | $(274) | $(640) | $36487 | $38105 | $(1618) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage servicing rights fair value adjustments | (2610) | (499) | 1500 | (2111) | (4110) | 236 | (10206) | 10442 |
|  Total mortgage servicing fees, net of fair value adjustments | 6242 | 8627 | 10992 | (2385) | (4750) | 36723 | 27899 | 8824 |
|  Net gain (loss) on sale of loans, including valuation on loans held-for-sale | 123 | 1124 | 5428 | (1001) | (5305) | (251) | 21684 | (21935) |
|  Trading account profit (loss): |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Realized gains (losses) on closed derivative positions | 310 | (240) | 691 | 550 | (381) | 6635 | 1323 | 5312 |
|  Total trading account profit (loss) | 310 | (240) | 691 | 550 | (381) | 6635 | 1323 | 5312 |
|  Losses on repurchased loans, including interest advances | (113) | (63) | (76) | (50) | (37) | (657) | (773) | 116 |
|  Total mortgage banking activities | $6562 | $9448 | $17035 | $(2886) | $(10473) | $42450 | $50133 | $(7683) |

---

**Other Service Fees<u> </u>** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended | Variance | Variance | Years ended | Years ended | Variance |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | Q4 2022<br>vs.Q3 2022 | Q4 2022<br>vs.Q4 2021 | 31-Dec-22 | 31-Dec-21 | 2022 vs.<br>2021 |
|  Other service fees: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Debit card fees | $13379 | $12133 | $12392 | $1246 | $987 | $50173 | $48637 | $1536 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Insurance fees | 14587 | 15697 | 17848 | (1110) | (3261) | 56457 | 57834 | (1377) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit card fees | 39777 | 37829 | 35649 | 1948 | 4128 | 149403 | 130475 | 18928 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Sale and administration of investment products | 5793 | 5952 | 5908 | (159) | (115) | 23553 | 23634 | (81) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trust fees | 5223 | 5506 | 5858 | (283) | (635) | 22799 | 24318 | (1519) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other fees | 10263 | 9285 | 6138 | 978 | 4125 | 31624 | 26350 | 5274 |
|  Total other service fees | $89022 | $86402 | $83793 | $2620 | $5229 | $334009 | $311248 | $22761 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table G - Loans and Deposits** 

**(Unaudited)** 

**Loans - Ending Balances** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | | | Variance | Variance |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | Q4 2022 vs.Q3<br>2022 | Q4 2022 vs.Q4<br>2021 |
|  Loans held-in-portfolio: | Loans held-in-portfolio: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | $15739132 | $15366859 | $13732701 | $372273 | $2006431 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction | 757984 | 816290 | 716220 | (58306) | 41764 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Leasing | 1585739 | 1538504 | 1381319 | 47235 | 204420 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | 7397471 | 7311713 | 7427196 | 85758 | (29725) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 3512530 | 3528904 | 3412187 | (16374) | 100343 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 3084913 | 2960918 | 2570934 | 123995 | 513979 |
|  Total loans held-in-portfolio | $32077769 | $31523188 | $29240557 | $554581 | $2837212 |
|  Loans held-for-sale: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | $5381 | $8065 | $59168 | $(2684) | $(53787) |
|  Total loans held-for-sale | $5381 | $8065 | $59168 | $(2684) | $(53787) |
|  Total loans | $32083150 | $31531253 | $29299725 | $551897 | $2783425 |

---

**Deposits - Ending Balances** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | | | Variance | Variance |
| (In thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 | Q4 2022 vs. Q3<br>2022 | Q4 2022 vs.Q4<br>2021 |
|  Demand deposits [1] | $26382605 | $28773328 | $25889732 | $(2390723) | $492873 |
|  Savings, NOW and money market deposits (non-brokered) | 27265156 | 28388057 | 33674134 | (1122901) | (6408978) |
|  Savings, NOW and money market deposits (brokered) | 798064 | 728651 | 729073 | 69413 | 68991 |
|  Time deposits (non-brokered) | 6442886 | 6731588 | 6685938 | (288702) | (243052) |
|  Time deposits (brokered CDs) | 338516 | 197703 | 26211 | 140813 | 312305 |
|  Total deposits | $61227227 | $64819327 | $67005088 | $(3592100) | $(5777861) |

---

[1] Includes interest and non-interest bearing demand deposits.

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table H - Loan Delinquency - BPPR Operations** 

**(Unaudited)** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $425 | $— | $242 | $667 | $280706 | $281373 | $242 | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 941 | 428 | 23662 | 25031 | 2732296 | 2757327 | 23662 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | 729 | 245 | 23990 | 24964 | 1563092 | 1588056 | 23990 |  |
|  Commercial and industrial | 3036 | 941 | 35777 | 39754 | 3756754 | 3796508 | 34277 | 1500 |
|  Construction |  |  |  |  | 147041 | 147041 |  |  |
|  Mortgage | 222926 | 91881 | 579993 | 894800 | 5215479 | 6110279 | 242391 | 337602 |
|  Leasing | 11983 | 3563 | 5941 | 21487 | 1564252 | 1585739 | 5941 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | 7106 | 5049 | 11910 | 24065 | 1017766 | 1041831 |  | 11910 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit |  |  |  |  | 2954 | 2954 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 13232 | 8752 | 18082 | 40066 | 1545621 | 1585687 | 18082 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 68868 | 19243 | 40978 | 129089 | 3383441 | 3512530 | 40978 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | 487 | 87 | 12682 | 13256 | 124324 | 137580 | 12446 | 236 |
|  Total | $329733 | $130189 | $753257 | $1213179 | $21333726 | $22546905 | $402009 | $351248 |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $546 | $— | $251 | $797 | $276521 | $277318 | $251 | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 3005 | 789 | 21443 | 25237 | 2820803 | 2846040 | 21443 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | 10992 | 7834 | 28379 | 47205 | 1540932 | 1588137 | 28379 |  |
|  Commercial and industrial | 7105 | 1139 | 38003 | 46247 | 3547841 | 3594088 | 37375 | 628 |
|  Construction |  | 1087 |  | 1087 | 210480 | 211567 |  |  |
|  Mortgage | 237316 | 89802 | 581378 | 908496 | 5147347 | 6055843 | 252773 | 328605 |
|  Leasing | 14487 | 2740 | 5697 | 22924 | 1515580 | 1538504 | 5697 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | 7268 | 4481 | 10361 | 22110 | 966406 | 988516 |  | 10361 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit |  |  |  |  | 2957 | 2957 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 13725 | 7348 | 18137 | 39210 | 1478746 | 1517956 | 18117 | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 71230 | 21852 | 34432 | 127514 | 3401390 | 3528904 | 34432 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | 708 | 768 | 12025 | 13501 | 124950 | 138451 | 11748 | 277 |
|  Total | $366382 | $137840 | $750106 | $1254328 | $21033953 | $22288281 | $410215 | $339891 |

---

------

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $(121) | $— | $(9) | $(130) | $4185 | $4055 | $(9) | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | (2064) | (361) | 2219 | (206) | (88507) | (88713) | 2219 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | (10263) | (7589) | (4389) | (22241) | 22160 | (81) | (4389) |  |
|  Commercial and industrial | (4069) | (198) | (2226) | (6493) | 208913 | 202420 | (3098) | 872 |
|  Construction |  | (1087) |  | (1087) | (63439) | (64526) |  |  |
|  Mortgage | (14390) | 2079 | (1385) | (13696) | 68132 | 54436 | (10382) | 8997 |
|  Leasing | (2504) | 823 | 244 | (1437) | 48672 | 47235 | 244 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | (162) | 568 | 1549 | 1955 | 51360 | 53315 |  | 1549 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit |  |  |  |  | (3) | (3) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | (493) | 1404 | (55) | 856 | 66875 | 67731 | (35) | (20) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | (2362) | (2609) | 6546 | 1575 | (17949) | (16374) | 6546 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | (221) | (681) | 657 | (245) | (626) | (871) | 698 | (41) |
|  Total | $(36649) | $(7651) | $3151 | $(41149) | $299773 | $258624 | $(8206) | $11357 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table I - Loan Delinquency - Popular U.S. Operations** 

**(Unaudited)** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $2177 | $— | $— | $2177 | $2038163 | $2040340 | $— | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 484 |  | 1454 | 1938 | 1740405 | 1742343 | 1454 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied |  |  | 5095 | 5095 | 1485398 | 1490493 | 5095 |  |
|  Commercial and industrial | 12960 | 2205 | 4685 | 19850 | 2022842 | 2042692 | 4319 | 366 |
|  Construction |  |  |  |  | 610943 | 610943 |  |  |
|  Mortgage | 16131 | 5834 | 20488 | 42453 | 1244739 | 1287192 | 20488 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards |  |  |  |  | 39 | 39 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 413 | 161 | 4110 | 4684 | 64278 | 68962 | 4110 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 1808 | 1467 | 1958 | 5233 | 232659 | 237892 | 1958 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other |  |  | 8 | 8 | 9960 | 9968 | 8 |  |
|  Total | $33973 | $9667 | $37798 | $81438 | $9449426 | $9530864 | $37432 | $366 |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $— | $— | $— | $— | $1926791 | $1926791 | $— | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied |  | 136 | 10631 | 10767 | 1660668 | 1671435 | 10631 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied |  | 5106 | 606 | 5712 | 1472699 | 1478411 | 606 |  |
|  Commercial and industrial | 924 | 2144 | 5803 | 8871 | 1975768 | 1984639 | 5191 | 612 |
|  Construction |  |  |  |  | 604723 | 604723 |  |  |
|  Mortgage | 1501 | 4558 | 21533 | 27592 | 1228278 | 1255870 | 21533 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards |  |  |  |  | 34 | 34 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 256 | 577 | 3970 | 4803 | 65036 | 69839 | 3970 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 1495 | 1529 | 1261 | 4285 | 233780 | 238065 | 1261 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | 704 |  | 12 | 716 | 4384 | 5100 | 12 |  |
|  Total | $4880 | $14050 | $43816 | $62746 | $9172161 | $9234907 | $43204 | $612 |

---

------

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $2177 | $— | $— | $2177 | $111372 | $113549 | $— | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 484 | (136) | (9177) | (8829) | 79737 | 70908 | (9177) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied |  | (5106) | 4489 | (617) | 12699 | 12082 | 4489 |  |
|  Commercial and industrial | 12036 | 61 | (1118) | 10979 | 47074 | 58053 | (872) | (246) |
|  Construction |  |  |  |  | 6220 | 6220 |  |  |
|  Mortgage | 14630 | 1276 | (1045) | 14861 | 16461 | 31322 | (1045) |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards |  |  |  |  | 5 | 5 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 157 | (416) | 140 | (119) | (758) | (877) | 140 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 313 | (62) | 697 | 948 | (1121) | (173) | 697 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | (704) |  | (4) | (708) | 5576 | 4868 | (4) |  |
|  Total | $29093 | $(4383) | $(6018) | $18692 | $277265 | $295957 | $(5772) | $(246) |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table J - Loan Delinquency - Consolidated** 

**(Unaudited)** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $2602 | $— | $242 | $2844 | $2318869 | $2321713 | $242 | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 1425 | 428 | 25116 | 26969 | 4472701 | 4499670 | 25116 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | 729 | 245 | 29085 | 30059 | 3048490 | 3078549 | 29085 |  |
|  Commercial and industrial | 15996 | 3146 | 40462 | 59604 | 5779596 | 5839200 | 38596 | 1866 |
|  Construction |  |  |  |  | 757984 | 757984 |  |  |
|  Mortgage | 239057 | 97715 | 600481 | 937253 | 6460218 | 7397471 | 262879 | 337602 |
|  Leasing | 11983 | 3563 | 5941 | 21487 | 1564252 | 1585739 | 5941 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | 7106 | 5049 | 11910 | 24065 | 1017805 | 1041870 |  | 11910 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 413 | 161 | 4110 | 4684 | 67232 | 71916 | 4110 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 15040 | 10219 | 20040 | 45299 | 1778280 | 1823579 | 20040 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 68868 | 19243 | 40978 | 129089 | 3383441 | 3512530 | 40978 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | 487 | 87 | 12690 | 13264 | 134284 | 147548 | 12454 | 236 |
|  Total | $363706 | $139856 | $791055 | $1294617 | $30783152 | $32077769 | $439441 | $351614 |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. | Popular, Inc. |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $546 | $— | $251 | $797 | $2203312 | $2204109 | $251 | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | 3005 | 925 | 32074 | 36004 | 4481471 | 4517475 | 32074 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | 10992 | 12940 | 28985 | 52917 | 3013631 | 3066548 | 28985 |  |
|  Commercial and industrial | 8029 | 3283 | 43806 | 55118 | 5523609 | 5578727 | 42566 | 1240 |
|  Construction |  | 1087 |  | 1087 | 815203 | 816290 |  |  |
|  Mortgage | 238817 | 94360 | 602911 | 936088 | 6375625 | 7311713 | 274306 | 328605 |
|  Leasing | 14487 | 2740 | 5697 | 22924 | 1515580 | 1538504 | 5697 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | 7268 | 4481 | 10361 | 22110 | 966440 | 988550 |  | 10361 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 256 | 577 | 3970 | 4803 | 67993 | 72796 | 3970 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | 15220 | 8877 | 19398 | 43495 | 1712526 | 1756021 | 19378 | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 71230 | 21852 | 34432 | 127514 | 3401390 | 3528904 | 34432 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | 1412 | 768 | 12037 | 14217 | 129334 | 143551 | 11760 | 277 |
|  Total | $371262 | $151890 | $793922 | $1317074 | $30206114 | $31523188 | $453419 | $340503 |

---

------

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance | Variance |
|  | Past due | Past due | Past due | Past due |  |  | Past due 90 days or more | Past due 90 days or more |
|  | 30-59 | 60-89 | 90 days | Total |  |  | Non-accrual | Accruing |
| (In thousands) | days | days | or more | past due | Current | Loans HIP | loans | loans |
|  Commercial multi-family | $2056 | $— | $(9) | $2047 | $115557 | $117604 | $(9) | $— |
|  Commercial real estate: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-owner occupied | (1580) | (497) | (6958) | (9035) | (8770) | (17805) | (6958) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Owner occupied | (10263) | (12695) | 100 | (22858) | 34859 | 12001 | 100 |  |
|  Commercial and industrial | 7967 | (137) | (3344) | 4486 | 255987 | 260473 | (3970) | 626 |
|  Construction |  | (1087) |  | (1087) | (57219) | (58306) |  |  |
|  Mortgage | 240 | 3355 | (2430) | 1165 | 84593 | 85758 | (11427) | 8997 |
|  Leasing | (2504) | 823 | 244 | (1437) | 48672 | 47235 | 244 |  |
|  Consumer: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit cards | (162) | 568 | 1549 | 1955 | 51365 | 53320 |  | 1549 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Home equity lines of credit | 157 | (416) | 140 | (119) | (761) | (880) | 140 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Personal | (180) | 1342 | 642 | 1804 | 65754 | 67558 | 662 | (20) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | (2362) | (2609) | 6546 | 1575 | (17949) | (16374) | 6546 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other | (925) | (681) | 653 | (953) | 4950 | 3997 | 694 | (41) |
|  Total | $(7556) | $(12034) | $(2867) | $(22457) | $577038 | $554581 | $(13978) | $11111 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table K - Non-Performing Assets** 

**(Unaudited)** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | | | | | | | Variance | Variance |
| (Dollars in thousands) | 31-Dec-22 | As a % of<br>loans HIP by<br>category | 30-Sep-22 | As a % of<br>loans HIP by<br>category | 31-Dec-21 | As a % of<br>loans HIP by<br>category | Q4 2022 vs.<br>Q3 2022 | Q4 2022 vs.<br>Q4 2021 |
|  Non-accrual loans: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | $93039 | 0.6% | $103876 | 0.7% | $125579 | 0.9% | $(10837) | $(32540) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction |  |  |  |  | 485 | 0.1 |  | (485) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Leasing | 5941 | 0.4 | 5697 | 0.4 | 3102 | 0.2 | 244 | 2839 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | 262879 | 3.6 | 274306 | 3.8 | 355856 | 4.8 | (11427) | (92977) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Auto | 40978 | 1.2 | 34432 | 1 | 23085 | 0.7 | 6546 | 17893 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 36604 | 1.2 | 35108 | 1.2 | 39770 | 1.5 | 1496 | (3166) |
|  Total non-performing loans held-in-portfolio | 439441 | 1.4% | 453419 | 1.4% | 547877 | 1.9% | (13978) | (108436) |
|  Other real estate owned ("OREO") | 89126 |  | 93239 |  | 85077 |  | (4113) | 4049 |
|  Total non-performing assets [1] | $528567 |  | $546658 |  | $632954 |  | $(18091) | $(104387) |
|  Accruing loans past due 90 days or more [2] | $351614 |  | $340503 |  | $480767 |  | $11111 | $(129153) |
|  **Ratios:** |  |  |  |  |  |  |  |  |
|  Non-performing assets to total assets | 0.78% |  | 0.77% |  | 0.84% |  |  |  |
|  Non-performing loans held-in-portfolio to loans held-in-portfolio | 1.37 |  | 1.44 |  | 1.87 |  |  |  |
|  Allowance for credit losses to loans held-in-portfolio | 2.25 |  | 2.23 |  | 2.38 |  |  |  |
|  Allowance for credit losses to non-performing loans, excluding loans held-for-sale | 163.91 |  | 155.07 |  | 126.92 |  |  |  |

---

[1] There were no non-performing loans held-for-sale as of December 31, 2022, September 30, 2022 and December 31, 2021.

---

| | |
|:---|:---|
| [2] | It is the Corporation's policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. The balance of these loans includes $14 million at December 31, 2022, related to the rebooking of loans previously pooled into GNMA securities, in which the Corporation had a buy-back option as further described below (September 30, 2022 - $9 million; December 31, 2021 - $13 million). Under the GNMA program, issuers such as BPPR have the option but not the obligation to repurchase loans that are 90 days or more past due. For accounting purposes, these loans subject to the repurchase option are required to be reflected (rebooked) on the financial statements of BPPR with an offsetting liability. These balances include $190 million of residential mortgage loans insured by FHA or guaranteed by the VA that are no longer accruing interest as of December 31, 2022 (September 30, 2022 - $198 million; December 31, 2021 - $304 million). Furthermore, the Corporation has approximately $42 million in reverse mortgage loans which are guaranteed by FHA, but which are currently not accruing interest. Due to the guaranteed nature of the loans, it is the Corporation's policy to exclude these balances from non-performing assets (September 30, 2022 - $42 million; December 31, 2021 - $50 million).  |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table L - Activity in Non-Performing Loans** 

**(Unaudited)** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** | **Commercial loans held-in-portfolio:** |
|  | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended |
|  | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| (In thousands) | BPPR | Popular U.S. | Popular, Inc. | BPPR | Popular U.S. | Popular, Inc. |
|  Beginning balance NPLs | $87448 | $16428 | $103876 | $96493 | $7446 | $103939 |
|  Plus: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; New non-performing loans | 5770 | 8572 | 14342 | 5913 | 14965 | 20878 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Advances on existing non-performing loans |  | 7 | 7 |  | 12 | 12 |
|  Less: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans transferred to OREO | (445) |  | (445) | (352) |  | (352) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans charged-off | (131) | (8725) | (8856) | (4534) | (48) | (4582) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loans returned to accrual status / loan collections | (10471) | (5414) | (15885) | (10072) | (5947) | (16019) |
|  Ending balance NPLs | $82171 | $10868 | $93039 | $87448 | $16428 | $103876 |
| **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** | **Mortgage loans held-in-portfolio:** |
|  | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended |
|  | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| (In thousands) | BPPR | Popular U.S. | Popular, Inc. | BPPR | Popular U.S. | Popular, Inc. |
|  Beginning balance NPLs | $252773 | $21533 | $274306 | $284670 | $20192 | $304862 |
|  Plus: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; New non-performing loans | 34449 | 3561 | 38010 | 29345 | 4739 | 34084 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Advances on existing non-performing loans |  | 1 | 1 |  | 55 | 55 |
|  Less: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans transferred to OREO | (7242) |  | (7242) | (5604) |  | (5604) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans charged-off | (90) |  | (90) | (689) |  | (689) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loans returned to accrual status / loan collections | (37499) | (4607) | (42106) | (54949) | (3453) | (58402) |
|  Ending balance NPLs | $242391 | $20488 | $262879 | $252773 | $21533 | $274306 |

---

------

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** | **Total non-performing loans held-in-portfolio (excluding consumer):** |
|  | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended | Quarter ended |
|  | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| (In thousands) | BPPR | Popular U.S. | Popular, Inc. | BPPR | Popular U.S. | Popular, Inc. |
|  Beginning balance NPLs | $340221 | $37961 | $378182 | $381163 | $27638 | $408801 |
|  Plus: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; New non-performing loans | 40219 | 12133 | 52352 | 35258 | 19704 | 54962 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Advances on existing non-performing loans |  | 8 | 8 |  | 67 | 67 |
|  Less: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans transferred to OREO | (7687) |  | (7687) | (5956) |  | (5956) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-performing loans charged-off | (221) | (8725) | (8946) | (5223) | (48) | (5271) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loans returned to accrual status / loan collections | (47970) | (10021) | (57991) | (65021) | (9400) | (74421) |
|  Ending balance NPLs | $324562 | $31356 | $355918 | $340221 | $37961 | $378182 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table M - Allowance for Credit Losses, Net Charge-offs and Related Ratios** 

**(Unaudited)** 

---

| | | | |
|:---|:---|:---|:---|
|  | Quarters ended | Quarters ended | Quarters ended |
| (Dollars in thousands) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Balance at beginning of period - loans held-in-portfolio | $703096 | $681750 | $718575 |
|  Provision for credit losses (benefit) | 48332 | 39519 | (31421) |
|  Initial allowance for credit losses - PCD Loans | 74 | 59 | 331 |
|  | 751502 | 721328 | 687485 |
|  Net loans charged-off (recovered): |  |  |  |
|  BPPR |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | (2100) | (1150) | (11346) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction |  |  | (1518) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Lease financing | 2221 | 1338 | 564 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | (6135) | (2165) | (4398) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 25860 | 20373 | 9083 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total BPPR | 19846 | 18396 | (7615) |
|  Popular U.S. |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | 8394 | (511) | (387) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction |  |  | (213) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | (32) | (23) | 569 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 2992 | 370 | (235) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total Popular U.S. | 11354 | (164) | (266) |
|  Total loans charged-off (recovered) - Popular, Inc. | 31200 | 18232 | (7881) |
|  Balance at end of period - loans held-in-portfolio | $720302 | $703096 | $695366 |
|  Balance at beginning of period - unfunded commitments | $7307 | $6904 | $8400 |
|  Provision for credit losses (benefit) | 1498 | 403 | (503) |
|  Balance at end of period - unfunded commitments [1] | $8805 | $7307 | $7897 |
|  POPULAR, INC. |  |  |  |
|  Annualized net charge-offs (recoveries) to average loans held-in-portfolio | 0.39% | 0.24% | (0.11)% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 154.91% | 216.76% | N.M. |
|  BPPR |  |  |  |
|  Annualized net charge-offs (recoveries) to average loans held-in-portfolio | 0.35% | 0.34% | (0.15)% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 223.64% | 155.98% | N.M. |
|  Popular U.S. |  |  |  |
|  Annualized net charge-offs (recoveries) to average loans held-in-portfolio | 0.49% | (0.01)% | (0.01)% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 34.78% | N.M. | N.M. |

---

N.M. - Not meaningful.

[1] Allowance for credit losses of unfunded commitments is presented as part of Other Liabilities in the Consolidated Statements of Financial Condition.

------

---

| | | |
|:---|:---|:---|
|  | Year ended | Year ended |
| (Dollars in thousands) | 31-Dec-22 | 31-Dec-21 |
|  | Total | Total |
|  Balance at beginning of period - loans held-in-portfolio | $695366 | $896250 |
|  Provision for credit losses (benefit) | 83307 | (183345) |
|  Initial allowance for credit losses - PCD Loans | 915 | 3142 |
|  | 779588 | 716047 |
|  Net loans charged-off (recovered): |  |  |
|  BPPR |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | (10892) | (18300) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction | (811) | 1697 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Lease financing | 3792 | 1379 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | (15743) | 2729 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 72730 | 32207 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total BPPR | 49076 | 19712 |
|  Popular U.S. |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial | 7393 | (1247) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction | (1132) | (120) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mortgage | (12) | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consumer | 3961 | 2318 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total Popular U.S. | 10210 | 969 |
|  Total loans charged-off - Popular, Inc. | 59286 | 20681 |
|  Balance at end of period - loans held-in-portfolio | $720302 | $695366 |
|  Balance at beginning of period - unfunded commitments | $7897 | $15851 |
|  Provision for credit losses (benefit) | 908 | (7954) |
|  Balance at end of period - unfunded commitments [1] | $8805 | $7897 |
|  POPULAR, INC. |  |  |
|  Annualized net charge-offs to average loans held-in-portfolio | 0.20% | 0.07% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 140.52% | N.M. |
|  BPPR |  |  |
|  Annualized net charge-offs to average loans held-in-portfolio | 0.23% | 0.09% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 141.71% | N.M. |
|  Popular U.S. |  |  |
|  Annualized net charge-offs to average loans held-in-portfolio | 0.12% | 0.01% |
|  Provision for credit losses (benefit) - loan portfolios to net charge-offs | 134.80% | N.M. |

---

N.M. - Not meaningful.

[1] Allowance for credit losses of unfunded commitments is presented as part of Other Liabilities in the Consolidated Statements of Financial Condition.

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table N - Allowance for Credit Losses "ACL"- Loan Portfolios - CONSOLIDATED** 

**(Unaudited)** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| (Dollars in thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  Total ACL | $235376 | $4246 | $135254 | $20618 | $324808 | $720302 |
|  Total loans held-in-portfolio | $15739132 | $757984 | $7397471 | $1585739 | $6597443 | $32077769 |
|  ACL to loans held-in-portfolio | 1.50% | 0.56% | 1.83% | 1.30% | 4.92% | 2.25% |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| (Dollars in thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  Total ACL | $229857 | $6199 | $138534 | $19814 | $308692 | $703096 |
|  Total loans held-in-portfolio | $15366859 | $816290 | $7311713 | $1538504 | $6489822 | $31523188 |
|  ACL to loans held-in-portfolio | 1.50% | 0.76% | 1.89% | 1.29% | 4.76% | 2.23% |
| Variance | Variance | Variance | Variance | Variance | Variance | Variance |
| (Dollars in thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  Total ACL | $5519 | $(1953) | $(3280) | $804 | $16116 | $17206 |
|  Total loans held-in-portfolio | $372273 | $(58306) | $85758 | $47235 | $107621 | $554581 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table O - Allowance for Credit Losses "ACL"- Loan Portfolios - BPPR OPERATIONS** 

**(Unaudited)** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR |
| (In thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  ACL | $174295 | $2978 | $117344 | $20618 | $300310 | $615545 |
|  Loans held-in-portfolio | $8423264 | $147041 | $6110279 | $1585739 | $6280582 | $22546905 |
|  ACL to loans held-in-portfolio | 2.07% | 2.03% | 1.92% | 1.30% | 4.78% | 2.73% |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| BPPR | BPPR | BPPR | BPPR | BPPR | BPPR | BPPR |
| (In thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  ACL | $161775 | $4255 | $120606 | $19814 | $284484 | $590934 |
|  Loans held-in-portfolio | $8305583 | $211567 | $6055843 | $1538504 | $6176784 | $22288281 |
|  ACL to loans held-in-portfolio | 1.95% | 2.01% | 1.99% | 1.29% | 4.61% | 2.65% |
| Variance | Variance | Variance | Variance | Variance | Variance | Variance |
| (In thousands) | Commercial | Construction | Mortgage | Lease financing | Consumer | Total |
|  ACL | $12520 | $(1277) | $(3262) | $804 | $15826 | $24611 |
|  Loans held-in-portfolio | $117681 | $(64526) | $54436 | $47235 | $103798 | $258624 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table P - Allowance for Credit Losses "ACL"- Loan Portfolios - POPULAR U.S. OPERATIONS** 

**(Unaudited)** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 | 31-Dec-22 |
| Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. |
| (In thousands) | Commercial | Construction | Mortgage | Consumer | Total |
|  ACL | $61081 | $1268 | $17910 | $24498 | $104757 |
|  Loans held-in-portfolio | $7315868 | $610943 | $1287192 | $316861 | $9530864 |
|  ACL to loans held-in-portfolio | 0.83% | 0.21% | 1.39% | 7.73% | 1.10% |
| 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 | 30-Sep-22 |
| Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. | Popular U.S. |
| (In thousands) | Commercial | Construction | Mortgage | Consumer | Total |
|  ACL | $68082 | $1944 | $17928 | $24208 | $112162 |
|  Loans held-in-portfolio | $7061276 | $604723 | $1255870 | $313038 | $9234907 |
|  ACL to loans held-in-portfolio | 0.96% | 0.32% | 1.43% | 7.73% | 1.21% |
| Variance | Variance | Variance | Variance | Variance | Variance |
| (In thousands) | Commercial | Construction | Mortgage | Consumer | Total |
|  ACL | $(7001) | $(676) | $(18) | $290 | $(7405) |
|  Loans held-in-portfolio | $254592 | $6220 | $31322 | $3823 | $295957 |

---

------

**Popular, Inc.** 

**Financial Supplement to Fourth Quarter 2022 Earnings Release** 

**Table Q - Reconciliation to GAAP Financial Measures** 

**(Unaudited)** 

---

| | | | |
|:---|:---|:---|:---|
| (In thousands, except share or per share information) | 31-Dec-22 | 30-Sep-22 | 31-Dec-21 |
|  Total stockholders' equity | $4093425 | $3674838 | $5969397 |
|  Less: Preferred stock | (22143) | (22143) | (22143) |
|  Less: Goodwill | (827428) | (827428) | (720293) |
|  Less: Other intangibles | (12944) | (13738) | (16219) |
|  Total tangible common equity | $3230910 | $2811529 | $5210742 |
|  Total assets | $67637917 | $70729675 | $75097899 |
|  Less: Goodwill | (827428) | (827428) | (720293) |
|  Less: Other intangibles | (12944) | (13738) | (16219) |
|  Total tangible assets | $66797545 | $69888509 | $74361387 |
|  Tangible common equity to tangible assets | 4.84% | 4.02% | 7.01% |
|  Common shares outstanding at end of period | 71853720 | 72673344 | 79851169 |
|  Tangible book value per common share | $44.97 | $38.69 | $65.26 |
|  | Quarterly average | Quarterly average | Quarterly average |
|  Total stockholders' equity [1] | $6161634 | $6061748 | $5961214 |
|  Less: Preferred Stock | (22143) | (22143) | (22143) |
|  Less: Goodwill | (827427) | (759318) | (706184) |
|  Less: Other intangibles | (13440) | (24038) | (19889) |
|  Total tangible equity | $5298624 | $5256249 | $5212998 |
|  Return on average tangible common equity | 19.23% | 31.86% | 15.66% |

---

[1] Average balances exclude unrealized gains or losses on debt securities available-for-sale.

---

| | | |
|:---|:---|:---|
|  | Year-to-date average | Year-to-date average |
|  Total stockholders' equity [1] | $6009225 | $5777652 |
|  Less: Preferred Stock | (22143) | (22143) |
|  Less: Goodwill | (757133) | (679959) |
|  Less: Other intangibles | (17113) | (20861) |
|  Total tangible equity | $5212836 | $5054689 |
|  Return on average tangible common equity | 21.13% | 18.47% |

---

[1] Average balances exclude unrealized gains or losses on debt securities available-for-sale.

------

**CONTACTS:** 

**Popular, Inc.** 

**Investor Relations:** 

Paul J. Cardillo, 212-417-6721

Investor Relations Officer

<u>pcardillo@popular.com</u>

**or** 

**Media Relations:** 

MC González Noguera, 917-804-5253

Executive Vice President and Chief Communications & Public Affairs Officer

<u>mc.gonzalez@popular.com</u>

## Exhibit 99.2

![Slide 1](g398344ex99_2s1g1.jpg)

INVESTOR PRESENTATION Fourth Quarter 2022 Exhibit 99.2

------

![Slide 2](g398344ex99_2s2g1.jpg)

Cautionary Note Regarding Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance, are based on the current expectations of Popular, Inc.'s (the "Corporation") management and, by their nature, involve risks, uncertainties, estimates and assumptions. Potential factors, some of which are beyond the Corporation's control, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. More information on the risks and important factors that could affect the Corporation's future results and financial condition is included in our Annual Report on Form 10-K for the year ended December 31, 2021, in our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2022, June 30, 2022 and September 2022 and in our Annual Report on Form 10-K for the year ended December 31, 2022 to be filed with the Securities and Exchange Commission. Our filings are available on the Corporation's website (www.popular.com) and on the Securities and Exchange Commission website (www.sec.gov). The Corporation assumes no obligation to update or revise any forward-looking statements which speak as of their respective dates.

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![Slide 3](g398344ex99_2s3g1.jpg)

NPLs decreased $108 million; NPL ratio at 1.4% vs. 1.9% NCO ratio at 0.20% compared to 0.07% ACL-to-NPL ratio at 164% compared to 127% Credit Metrics vs. 2021 Net income of $1.1 billion, compared to $935 million in 2021 Net interest margin: Popular 3.11%, BPPR 3.05%, Popular U.S. 3.68% Earnings Capital Common Equity Tier 1 capital ratio of 16.4% Tangible book value per share of $44.97 compared to $65.26 in 2021; primarily due to unrealized losses on investment securities 2022 Annual Highlights Acquired key customer channels from Evertec, amended commercial contracts and subsequently sold our remaining ownership stake in Evertec. The transactions resulted in an after-tax gain of $227 million Increased quarterly common stock dividend to $0.55 per share from $0.45 Completed $631 million in Accelerated Share Repurchase Agreements (ASR); 8.2 million shares repurchased at an average price of $76.52 Recorded a partial reversal of the deferred tax asset valuation allowance of the U.S. operations of $68 million Year Events

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NPLs decreased $14 million; NPL ratio flat at 1.4% NCO ratio at 0.39% compared to 0.24% ACL-to-NPL ratio at 164% vs. 155% Credit Metrics vs. Prior Quarter Net income of $257 million; excluding the partial reversal of the deferred tax asset valuation allowance of $68 million, net income was $189 million Net interest margin: Popular 3.28%, BPPR 3.26%, Popular U.S. 3.55% Earnings Capital Common Equity Tier 1 capital ratio of 16.4% Tangible book value per share of $44.97 compared to $38.69 in Q3 2022 Q4 2022 Highlights In October, transferred $6.5 billion in U.S. Treasury securities with accumulated unrealized losses of $873 million from available-for-sale to held-to-maturity portfolio to reduce the impact on tangible capital to the increases in interest rates going forward Completed an ASR of $231 million; 3.2 million total shares repurchased at an average price of $72.66 Recorded a partial reversal of the deferred tax asset valuation allowance of the U.S. operations of $68 million given the sustained profitability in Popular U.S. Quarter Events

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Business Metrics Popular: Loan growth for the quarter was $555 million ($259 million in BPPR and $296 million in Popular U.S.) Total deposit cost increased 51 basis points QoQ to 0.89% BPPR: Commercial loans increased $118 million from Q3 2022 Mortgage originations were 29% lower than Q4 2021 due to lower refinance activity Credit and debit card sales (in dollars) were 6% higher than Q4 2021 P.R. public funds2 at $15.2 billion down from $17.5 billion in Q3 2022 Deposits, excluding P.R. public funds, decreased $1.4 billion, mainly interest-bearing commercial accounts Total deposit cost increased 49 basis points QoQ to 0.83% Popular U.S.: Commercial loans increased $255 million or 4% from Q3 2022 Total deposit cost increased 67 basis points QoQ to 1.34% 1 Customers who have logged on to Popular's web and/or mobile platform in the past 30 days 2 P.R. public funds exclude $595 million and $727 million, respectively in Q4 and Q3, 2022, in deposits managed by the Corporation's Fiduciary Services Division, where it acts as custodian or escrow agent BPPR Customer Engagement Total customers at 1.98 million in Q4 2022, an increase of 28,000 from Q4 2021 1.1 million customers or 56% of our total customers are active online users1 Deposits captured through digital channels were 62% in Q4 2022, compared to 63% in Q3 2022 Business Highlights

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6 Financial Summary (Unaudited) ($ in thousands) Q4 2022 Q3 2022 Net interest income 559,566 $579,619 $(20,053) $ Service charges on deposits 34,682 40,006 (5,324) Other service fees 89,022 86,402 2,620 Mortgage banking activities 6,562 9,448 (2,886) Other non-interest income 28,199 290,638 (262,439) Gross revenues 718,031 1,006,113 (288,082) Provision for credit losses 49,531 39,637 9,894 Net revenues 668,500 966,476 (297,976) Personnel costs 190,137 193,843 (3,706) Net occupancy expenses 27,812 27,420 392 Equipment expenses 9,828 8,735 1,093 Professional fees 49,159 47,662 1,497 Technology and software expenses 78,264 68,341 9,923 Total processing and transactional services 32,787 32,368 419 Business promotion 28,134 24,348 3,786 Other real estate owned (OREO) income (9,180) (2,444) (6,736) Goodwill impairment charge - 9,000 (9,000) Other operating expenses 54,767 66,822 (12,055) Total operating expenses 461,708 476,095 (14,387) Income before income tax 206,792 490,381 (283,589) Income tax (benefit) expense (50,347) 67,986 (118,333) Net income 257,139 $422,395 $(165,256) $ EPS 3.56 $5.71 $(2.15) $ ROTE 19.23% 31.86% -12.63% Variance

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Money Market and Investment Securities ($ in billions)² ¹ FTE net interest margin represents a non-GAAP financial measure. See the Corporation's earnings press release, Form 10-Q and Form 10-K filed with the U.S. Securities and Exchange Commission for the applicable periods for a GAAP to non-GAAP reconciliation. FTE stands for fully taxable equivalent basis 2 Balances are at end of period Differences due to rounding Total Loans and Deposits ($ in billions)² Loan Yields, Deposit Cost and NIM (FTE) Net Interest Margin Dynamics Net interest margin at 3.28%; FTE net interest margin1 at 3.64%, a decrease of 7 basis points Money market and investment securities to earning assets ratio at 50% FTE loan yield increased 31 basis points QoQ to 6.70% Total deposit cost at 0.89%, 51 basis points higher than Q3 2022

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Total deposit cumulative beta of 21% at period end1, as high beta P.R. public sector deposits now account for 26% of total deposits Retail and commercial deposit betas have historically been low, but they now represent a lower proportion of total deposits Public sector deposit betas are 100% with a quarter lag, expect costs to increase while short-term rates continue to rise Deposit Mix and Historical Betas

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Investment Portfolio Conservative investment portfolio, with the majority invested in short to intermediate U.S. Treasuries, which are tax exempt for P.R. corporations The rapid rise in interest rates during 2022 increased unrealized losses; expect to fully recover these unrealized losses as the bonds approach maturity In October, transferred $6.5 billion in intermediate term U.S. Treasuries from Available for Sale ("AFS") to Held To Maturity ("HTM") to reduce future fluctuations in tangible book value At the time of transfer, the securities had an unrealized loss of $873 million, which will be amortized (back into capital) throughout their remaining life at a rate of approximately 5% per quarter through 2026. At the end of the fourth quarter, this balance stood at $832 million The yield on the transferred securities remains the same and no losses were recognized as a result of this transfer 1 Maturity expressed in years; In the case of mortgage-backed securities and CMO's, it represents the weighted average life of the bonds assuming market consensus prepayment speeds $ in millions 1

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Robust regulatory capital levels Common Equity Tier 1 of 16.4% Leverage ratio of 8.2% impacted by the high proportion of zero-risk weighted assets on the balance sheet, which represented 39% of total assets Q4-2022 capital actions: Completed an ASR of $231 million; 3.2 million total shares repurchased at an average price of $72.66 TCE1 at 4.8% compared to 4.0% in Q3 2022; BPPR at 3.0% Tangible book value per share of $44.97 compared to $38.69 in Q3 2022; primarily due to lower unrealized losses on debt securities Note: Current period ratios are estimated 1 TCE is defined as the ratio of tangible common equity to tangible assets Capital Capital Ratios

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Non-Performing Assets NPAs and NPLs decreased by $18 million and $14 million QoQ, respectively NPL inflows decreased by $3 million QoQ, mostly due to lower U.S. commercial inflows by $6 million, partially offset by higher P.R. mortgage inflows by $5 million P.R. NPLs at $402 million, or 1.8% of loans, down by $8 million, mainly driven by lower mortgage and commercial NPLs by $10 million and $5 million, respectively, offset in part by higher consumer NPLs by $7 million, mainly auto loans U.S. NPLs at $37 million, or 0.4% of loans, down by $6 million QoQ due to charge-off activity OREOs decreased by $4 million QoQ Dollars in millions Differences due to rounding Total NPL Inflows Non – Performing Assets Non-Performing Loans $738 $698 $685 $633 $548 $520 $478 $453 $439 2.5% 2.4% 2.4% 2.2% 1.9% 1.8% 1.6% 1.4% 1.4% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Commercial & Construction Mortgage Other NPL/Loans $12 $18 $12 $6 $15 $10 $11 $20 $12 $102 $66 $83 $46 $39 $44 $38 $35 $40 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Popular U.S. BPPR

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NCOs and NCO-to-Loan Ratio ($ in millions) Differences due to rounding NCOs amounted to $31 million, increasing by $13 million QoQ BPPR's NCOs at $20 million, increasing by $2 million QoQ, mostly driven by higher consumer NCOs by $6 million, mainly due to the auto loans segment, offset by lower mortgage NCOs by $4 million Popular U.S.' NCOs at $11 million, increasing by $12 million QoQ, driven by a $9 million charge-off on a previously reserved commercial borrower in the healthcare industry NCO ratio at 0.39% vs. 0.24% in Q3 2022 ACL at $720 million, increasing by $17 million from the previous quarter ACL-to-Loans ratio at 2.25% vs. 2.23% in Q3 2022 ACL-to-NPLs at 164% vs. 155% in Q3 2022 1 NCOs and Allowance for Credit Losses

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Differences due to rounding Allowance for Credit Losses – Q4 2022 Movement ACL Movement: Moody's November 2022 forecast reflects the expected slowdown in the economy with lower 2023 GDP growth for both P.R. and U.S. $8.7 million in charge-offs recorded for a specific commercial healthcare NPL Changes in the forecast of employment and income-based variables contributed to the increase in ACL Lower qualitative reserves mainly due to changes in volume mix and the incorporation of risks in our economic models that were previously considered in our qualitative reserves Portfolio changes are mainly influenced by changes in loan growth and credit quality Economic Scenario: Baseline scenario is assigned the highest probability, followed by the S3 (pessimistic) scenario Reductions in the 2023 forecasted GDP growth for P.R. and U.S. reflect the impact of tight monetary policy, weaker job growth, and persistent inflation Unemployment rate is expected to increase through 2023 due to slower economic growth ACL Movement ($ in millions)

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2022 Capital Actions Acquired key customer channels from Evertec, amended commercial contracts and subsequently sold the entire ownership stake in Evertec Increased quarterly common stock dividend to $0.55 per share from $0.45 Completed $631 million in Accelerated Share Repurchase Agreements (ASR); total shares repurchased were 8.2 million at an average price of $76.52 Franchise Market leader in Puerto Rico Well-positioned to take advantage of ongoing economic recovery Focus on customer service supported by broad branch network Differentiated digital offering Diversified fee income driven by unmatched product breadth Strong risk-adjusted loan margins driven by a well-diversified portfolio Substantial liquidity with strong deposit franchise Mainland U.S. banking operation provides geographic diversification Commercial led strategy directed at small and medium sized businesses National niche banking focused on homeowners' associations, healthcare and non-profit organizations Branch footprint in South Florida and New York Metro Driving Value ESG Our business provides a powerful platform to make a difference in the lives of our customers, colleagues, communities and shareholders Milestones: included in the Bloomberg Gender Equality Index; issued our ninth Corporate Sustainability Report (CSR); following hurricane Fiona, provided immediate relief to affected communities and clients, and assisted impacted colleagues Transformation Broad-based multi-year, digital, technological and business process transformation Implement more agile and efficient business processes across the entire company Unlock opportunity for growth in our primary market and within our existing customer base

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INVESTOR PRESENTATION Fourth Quarter Appendix 2022

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Franchise Summary Corporate Structure Assets = $56 billion Assets = $12 billion Puerto Rico Operations United States Operations Assets = $68 billion Information as of December 31, 2022 ¹ Doing business as Popular Selected equity investments Banco BHD León under Corporate segment Dominican Republic bank 15.84% stake 2021 net income of $179 million Industry Financial services Headquarters San Juan, Puerto Rico Assets $68 billion (among top 50 BHCs in the U.S.) Loans $32 billion Deposits $61 billion Banking branches 158 in Puerto Rico, 39 in the U.S. (28 in New York and New Jersey and 11 in Florida) and 10 in the U.S. and British Virgin Islands NASDAQ ticker symbol BPOP Market Cap $5 billion Corporate Structure – Popular Inc. Banco Popular de Puerto Rico Popular's Insurance Subsidaries Popular North America, Inc. Popular Securities LLC Holding Companies (Including Equity Investments) Popular Bank 1 Popular Auto, LLC

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Differences due to rounding 2022 Financial Summary (Unaudited) ($ in thousands) YTD 2022 YTD 2021 Net interest income 2,167,359 $1,957,590 $209,769 $ Service charges on deposits 157,210 162,698 (5,488) Other service fees 334,009 311,248 22,761 Mortgage banking activities 42,450 50,133 (7,683) Other non-interest income 363,393 118,049 245,344 Gross revenues 3,064,421 2,599,718 464,703 Provision for credit losses (benefit) 83,030 (193,464) 276,494 Net revenues 2,981,391 2,793,182 188,209 Personnel costs 719,764 631,802 87,962 Net occupancy expenses 106,169 102,226 3,943 Equipment expenses 35,626 32,919 2,707 Professional fees 172,043 126,721 45,322 Technology and software expenses 291,902 277,979 13,923 Total processing and transactional services 127,145 121,367 5,778 Business promotion 88,918 72,981 15,937 Other real estate owned (OREO) income (22,143) (14,414) (7,729) Goodwill impairment charge 9,000 - 9,000 Other operating expenses 217,996 197,694 20,302 Total operating expenses 1,746,420 1,549,275 197,145 Income before income tax 1,234,971 1,243,907 (8,936) Income tax expense 132,330 309,018 (176,688) Net income 1,102,641 $934,889 $167,752 $ EPS 14.65 $11.49 $3.16 $ ROTE 21.13% 18.47% 2.66% Variance

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Differences due to rounding Q4 2022 vs. Q3 2022 Business Segments

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Differences due to rounding 2022 vs. 2021 Business Segments

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Municipalities Obligations of municipalities are backed by real and personal property taxes, municipal excise taxes, and/or a percentage of the sales and use tax Indirect exposure includes loans or securities that are payable by non-governmental entities, but which carry a government guarantee to cover any shortfall in collateral in the event of borrower default. Majority are single-family mortgage related Indirect Exposure The Corporation does not own any loans issued by the P.R. central government or its public corporations. As of December 31, 2022, our direct exposure to P.R. municipalities was $327 million, up by $5 million QoQ P.R. Public Sector Exposure

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FICO Mix of Consumer Originations

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Senior Unsecured Ratings Fitch BBB- Stable Outlook S&P BB+ Stable Outlook Moody's Ba1 Stable Outlook 2018 May Fitch revised outlook to Positive 2019 April Moody's upgrades to B1 from B2 S&P revised outlook to Positive May Fitch upgrades to BB from BB- 2020 March S&P lowers outlook to Stable 2021 March Moody's revised outlook to Positive April Moody's upgrades to Ba3 from B1 Fitch and S&P revised outlook to Positive June Fitch upgrades to BBB- from BB, revised outlook to Stable Popular Inc. Credit Ratings 2022 April S&P upgrades to BB+ from BB-, revised outlook to Stable September Moody's upgrades to Ba1 from Ba3, revised outlook to Stable

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INVESTOR PRESENTATION Fourth Quarter 2022