# EDGAR Filing Document

**Accession Number:** 0001653242
**File Stem:** 0001653242-25-000024
**Filing Date:** 2025-7
**Character Count:** 215976
**Document Hash:** d4e5117194940b62e130eafe7a9f72ee
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001653242-25-000024.hdr.sgml**: 20250728

**ACCESSION NUMBER**: 0001653242-25-000024

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 31

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250728

**DATE AS OF CHANGE**: 20250728

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Bank of N.T. Butterfield & Son Ltd
- **CENTRAL INDEX KEY:** 0001653242
- **STANDARD INDUSTRIAL CLASSIFICATION:** COMMERCIAL BANKS, NEC [6029]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 000000000
- **STATE OF INCORPORATION:** D0
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-37877
- **FILM NUMBER:** 251156014

**BUSINESS ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 65 FRONT STREET
- **CITY:** HAMILTON
- **PROVINCE COUNTRY:** D0
- **ZIP:** HM12
- **BUSINESS PHONE:** 4412951111

**MAIL ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 65 FRONT STREET
- **CITY:** HAMILTON
- **PROVINCE COUNTRY:** D0
- **ZIP:** HM12

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 6-K**

**REPORT OF FOREIGN PRIVATE ISSUER**

**PURSUANT TO RULE 13A-16 OR 15D-16**

**UNDER THE SECURITIES EXCHANGE ACT OF 1934**

**For the month of July, 2025**

**Commission File Number: 001-37877**

**The Bank of N.T. Butterfield & Son Limited**

(Translation of registrant's name into English)

**65 Front Street**

**Hamilton, HM 12**

**Bermuda**

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F 🗷 Form 40-F □

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): □

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): □

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**DOCUMENTS INCLUDED AS PART OF THIS FORM 6-K**

Attached hereto (i) as Exhibit 99.1 is the earnings release, (ii) as Exhibit 99.2 is the financial statements, and (iii) as Exhibit 99.3 is the earnings call presentation, all for The Bank of N.T. Butterfield & Son Limited for the three months ended June 30, 2025.

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

---

| | | |
|:---|:---|:---|
| Date: July 28, 2025 | **THE BANK OF N.T. BUTTERFIELD & SON LIMITED** | **THE BANK OF N.T. BUTTERFIELD & SON LIMITED** |
|  | By: | /s/ Craig Bridgewater |
|  | Name: | Craig Bridgewater |
|  | Title: | Group Chief Financial Officer |

---

2 <br> 

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**EXHIBIT INDEX**

---

| | |
|:---|:---|
| **Exhibit** | **Description** |
| <u>[99.1](currentearningsrelease.htm)</u> | Earnings release - Second quarter 2025 results |
| <u>[99.2](currentquarterlyfss.htm)</u> | Financial Statements - Second quarter 2025 results |
| <u>[99.3](q22025-currentearningsde.htm)</u> | Earnings call presentation - Second quarter 2025 results |

---

3 <br> 

## Exhibit 99.1

![newsheaderworkivaa02.jpg](newsheaderworkivaa02.jpg)

**Butterfield Reports Second Quarter 2025 Results** 

**Financial highlights for the second quarter of 2025:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Net income of $53.3 million, or $1.25 per share and core net income**<sup>1</sup> **of $53.7 million, or $1.26 per share**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Return on average common equity of 20.3% and core return on average tangible common equity**<sup>1</sup> **of 22.3%**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Net interest margin of 2.64%, cost of deposits of 1.56%**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Redemption of subordinated debt** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Quarterly cash dividend rate increased by 14% to $0.50 per share for the quarter ended June 30, 2025**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Repurchases of 1.1 million shares at an average price of $40.69 per share**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• New share repurchase authorization for up to 1.5 million common shares**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Andrew Henton appointed as Independent Director**

**Hamilton, Bermuda - July 28, 2025:** The Bank of N.T. Butterfield & Son Limited ("Butterfield" or the "Bank") (BSX: NTB.BH; NYSE: NTB) today announced financial results for the quarter ended June 30, 2025.

Net income for the second quarter of 2025 was $53.3 million, or $1.25 per diluted common share, compared to net income of $53.8 million, or $1.23 per diluted common share, for the previous quarter and $50.6 million, or $1.09 per diluted common share, for the second quarter of 2024. Core net income<sup>1</sup> for the second quarter of 2025 was $53.7 million, or $1.26 per diluted common share, compared to $56.7 million, or $1.30 per diluted common share, for the previous quarter and $51.4 million, or $1.11 per diluted common share, for the second quarter of 2024.

The return on average common equity for the second quarter of 2025 was 20.3% compared to 20.9% for the previous quarter and 20.7% for the second quarter of 2024. The core return on average tangible common equity<sup>1</sup> for the second quarter of 2025 was 22.3%, compared to 24.2% for the previous quarter and 23.3% for the second quarter of 2024. The efficiency ratio for the second quarter of 2025 was 61.3%, compared to 61.8% for the previous quarter and 62.4% for the second quarter of 2024. The core efficiency ratio<sup>1</sup> for the second quarter of 2025 was 61.1% compared with 59.8% in the previous quarter and 61.8% for the second quarter of 2024.

The Bank also announced the appointment of a new Independent Director, Andrew Henton, a UK and offshore financial services sector expert, with longstanding experience in the Channel Islands.

Michael Collins, Butterfield's Chairman and Chief Executive Officer, commented, "This strong second quarter performance underscores the consistency of our high risk-adjusted returns, supported by disciplined risk management and high-quality client relationships. Butterfield's proven business model and sustained through-cycle profitability gives our Board the confidence to increase the quarterly cash dividend rate by 14% and authorize a new share repurchase program. As we rebalance our capital return strategy, we continue to evaluate selective, fee-based acquisition opportunities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;See table "Reconciliation of US GAAP Results to Core Earnings" below for reconciliation of US GAAP results to non-GAAP measures.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 1

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"On behalf of the Board of Directors, I am pleased to welcome Andrew Henton to the Group Board, and thank him for his continuing contribution to Butterfield's subsidiary banking business in the Channel Islands, where he also currently serves as a Director. Andrew brings significant experience in governance, private banking, private equity and investment banking. I look forward to working with Andrew and am confident that he will help to further Butterfield's strategic growth and value creation."

Net income and core net income<sup>1</sup> were down in the second quarter of 2025 versus the prior quarter. Net income was down in the second quarter of 2025 compared to the prior quarter, primarily due to a volume driven decrease in foreign exchange revenue and higher allowance for credit losses offset by decreases in non-interest expenses due to lower non-income tax and other non-interest expenses. Core net income<sup>1</sup> was down in the second quarter of 2025 primarily due to a volume driven decrease in foreign exchange revenue, higher allowance for credit losses and higher salaries and other employee benefits.

Net interest income ("NII") for the second quarter of 2025 was $89.4 million, a marginal increase over NII of $89.3 million in the previous quarter and $2.0 million higher compared to $87.4 million in the second quarter of 2024. NII was higher during the second quarter of 2025 compared to the second quarter of 2024, primarily due to a lower cost of deposits from prior quarters' central bank rate cuts, higher yield on investments offset by lower yields on loan and treasury assets following the aforementioned central bank rate cuts.

Net interest margin ("NIM") for the second quarter of 2025 was 2.64%, a decrease of 6 basis points from the previous quarter at 2.70% and consistent with 2.64% in the second quarter of 2024. NIM in the second quarter of 2025 decreased compared to the prior quarter primarily due to lower treasury yields and the early redemption of the Bank's subordinated debt, which resulted in the accelerated amortization of the related unamortized issuance costs of $1.2 million (2 basis points impact on NIM).

Non-interest income for the second quarter of 2025 was $57.0 million, a decrease of $1.4 million from $58.4 million in the previous quarter and $1.4 million higher than $55.6 million in the second quarter of 2024. The decrease in the second quarter of 2025 compared to the prior quarter was due to lower foreign exchange volumes and lower custody and other administrative fees partially offset by higher trust revenue and other non-interest income. Non-interest income in the second quarter of 2025 was higher than the second quarter of 2024 primarily due to higher banking fees from both card volume and incentive programs, higher trust income, increases in asset management fees, and offset by lower foreign exchange volume.

Non-interest expenses were $91.8 million in the second quarter of 2025, compared to $93.2 million in the previous quarter and $91.1 million in the second quarter of 2024. Core non-interest expenses<sup>1</sup> of $91.4 million in the second quarter of 2025 were higher compared to the $90.3 million incurred in the previous quarter and the $90.3 million in the second quarter of 2024. Core non-interest expenses<sup>1</sup> in the second quarter of 2025 were higher compared to the prior quarter due to increased salary and other employee benefits offset by lower non-income taxes and other non-interest expenses. Core non-interest expenses<sup>1</sup> in the second quarter of 2025 were higher compared to the second quarter of 2024, due to increased salary and other employee benefits, and increased property maintenance cost offset by lower technology and communications cost and professional and outside services cost.

Included in salaries and other employee benefits are non-core expenses of $0.4 million which relates to costs arising from group-wide voluntary early retirement and redundancy programs executed in the first and second quarter of 2025, respectively.

Period end deposit balances were $12.8 billion, an increase of 0.7% compared to $12.7 billion at December 31, 2024, primarily due to deposit increases in the Channel Islands and UK segment driven by a stronger Pound Sterling versus the US dollar. Average deposits were $12.7 billion in the quarter ended June 30, 2025, which is higher than the $12.5 billion in the prior quarter.

Tangible book value per share at the end of the second quarter of 2025 was $23.77 per share, higher than $22.94 per share at the end of the prior quarter and an increase over the $20.03 at the end of the second quarter of 2024.

The Board increased the quarterly cash dividend rate by 14% or $0.06 per common share to $0.50 per common share to be paid on August 25, 2025 to shareholders of record on August 11, 2025. During the second quarter of 2025, Butterfield repurchased 1.1 million common shares under the Bank's existing share repurchase program. On July 28, 2025, the Board approved a new share repurchase program authorizing the purchase of up to 1.5 million common shares through to December 31, 2025.

Effective January 1, 2025, the Bank has adopted the Basel Committee on Banking Supervision's ("BCBS") revised standardized approach for credit risk framework as required by the Bermuda Monetary Authority ("BMA"). Comparatives were prepared under the prior credit risk framework. The current total regulatory capital ratio as at

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June 30, 2025 was 26.2%, compared to 25.8% as at December 31, 2024. Both of these ratios remain conservatively above the minimum regulatory requirements applicable to the Bank.

**About Andrew Henton:**

Andrew Henton brings more than three decades of wide-ranging experience and business-building success across the financial services sector in the U.K. and offshore. Initially trained as an accountant, Mr. Henton gained exposure to international investment banking with HSBC and private equity investing with Baring Private Equity Partners, where he launched and then managed a growth fund focused on middle-market companies. From 2001 to 2011, Mr. Henton worked for Close Brothers Group, where he led the transformation of a disparate collection of underperforming offshore financial businesses into a profitable, integrated wealth management entity, the Close Private Bank Group of Companies. After the parent company sold the private bank group to Kleinwort Benson, Mr. Henton stayed on in Guernsey and has rounded out his career by coupling investments in smaller privately owned companies with serving as a professional non-executive director for a select number of Guernsey-based financial institutions.

**ANALYSIS AND DISCUSSION OF SECOND QUARTER RESULTS**

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| | | | |
|:---|:---|:---|:---|
| | **Three months ended (Unaudited)** | **Three months ended (Unaudited)** | **Three months ended (Unaudited)** |
| **Income statement**<br>**(in $ millions)** | **June 30, 2025** | **March 31, 2025** | **June 30, 2024** |
| Non-interest income | 57.0 | 58.4 | 55.6 |
| Net interest income before provision for credit losses | 89.4 | 89.3 | 87.4 |
| **Total net revenue before provision for credit losses and other gains (losses)** | 146.4 | 147.8 | 143.1 |
| Provision for credit (losses) recoveries | (0.2) | 0.4 | (0.5) |
| Total other gains (losses) | 0.1 |  | 0.1 |
| **Total net revenue** | 146.3 | 148.2 | 142.7 |
| Non-interest expenses | (91.8) | (93.2) | (91.1) |
| **Total net income before taxes** | 54.5 | 54.9 | 51.5 |
| Income tax benefit (expense) | (1.2) | (1.2) | (0.9) |
| **Net income** | 53.3 | 53.8 | 50.6 |
| **Net earnings per share** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic  | 1.28 | 1.26 | 1.11 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted  | 1.25 | 1.23 | 1.09 |
| Per diluted share impact of other non-core items <sup>1</sup>  | 0.01 | 0.07 | 0.02 |
| **Core earnings per share on a fully diluted basis** <sup>1</sup>  | **1.26** | **1.30** | **1.11** |
| Adjusted weighted average number of participating shares on a fully diluted basis (in thousands of shares) | 42653 | 43592 | 46298 |
| **Key financial ratios** |  |  |  |
| Return on common equity | 20.3% | 20.9% | 20.7% |
| Core return on average tangible common equity <sup>1</sup> | 22.3% | 24.2% | 23.3% |
| Return on average assets | 1.5% | 1.6% | 1.5% |
| Net interest margin | 2.64% | 2.70% | 2.64% |
| Core efficiency ratio <sup>1</sup> | 61.1% | 59.8% | 61.8% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See table "Reconciliation of US GAAP Results to Core Earnings" below for reconciliation of US GAAP results to non-GAAP measures.

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---

| | | |
|:---|:---|:---|
| | **As at** | **As at** |
| **Balance Sheet**<br>**(in $ millions)** | **June 30, 2025** | **December 31, 2024** |
| Cash and cash equivalents | 1450 | 1998 |
| Securities purchased under agreements to resell | 1135 | 1205 |
| Short-term investments | 1112 | 580 |
| Investments in securities | 5458 | 5513 |
| Loans, net of allowance for credit losses | 4578 | 4474 |
| Premises, equipment and computer software, net | 159 | 154 |
| Goodwill and intangibles, net | 92 | 90 |
| Accrued interest and other assets | 201 | 218 |
| **Total assets** | 14185 | 14231 |
| Total deposits | 12838 | 12746 |
| Long-term debt |  | 99 |
| Securities sold under agreements to repurchase |  | 93 |
| Accrued interest and other liabilities | 278 | 273 |
| **Total liabilities** | 13116 | 13211 |
| Common shareholders' equity | 1069 | 1021 |
| **Total shareholders' equity** | 1069 | 1021 |
| **Total liabilities and shareholders' equity** | 14185 | 14231 |
| **Key Balance Sheet Ratios:** | **June 30, 2025** | **December 31, 2024** |
| Common equity tier 1 capital ratio <sup>2</sup>  | 26.0% | 23.5% |
| Tier 1 capital ratio <sup>2</sup> | 26.0% | 23.5% |
| Total capital ratio <sup>2</sup> | 26.2% | 25.8% |
| Leverage ratio | 7.3% | 7.3% |
| Risk-Weighted Assets (in $ millions) | 4063 | 4539 |
| Risk-Weighted Assets / total assets | 28.6% | 31.9% |
| Tangible common equity ratio | 6.9% | 6.6% |
| Book value per common share (in $) | 26.01 | 23.78 |
| Tangible book value per share (in $) | 23.77 | 21.70 |
| Non-accrual loans/gross loans | 2.0% | 1.7% |
| Non-performing assets/total assets | 0.8% | 1.1% |
| Allowance for credit losses/total loans | 0.6% | 0.6% |

---

<sup>(</sup>2) &nbsp;&nbsp;&nbsp;&nbsp;Effective January 1, 2025, the Bank has adopted the BCBS's revised standardized approach for credit risk framework as required by the BMA. Comparatives were prepared under the prior credit risk framework.

**QUARTER ENDED JUNE 30, 2025 COMPARED WITH THE QUARTER ENDED MARCH 31, 2025** 

**Net Income**

Net income for the quarter ended June 30, 2025 was $53.3 million, down from $53.8 million in the prior quarter.

The change in net income during the quarter ended June 30, 2025 compared to the previous quarter is attributable to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• $1.4 million decrease in non-interest income driven by (i) $0.4 million decrease in banking fees due to lower merchant and international money transfer volumes, partially offset by increased card volumes; (ii) $1.7 million decrease in foreign exchange revenue driven by volume; and (iii) $0.4 million decrease in custody and other administration fees due to lower transaction volumes and assets under custody. This was partially offset by a $0.7 million increase in trust revenue due to annual fee increases, repricing of acquired business relationships, new business, an increase in special fees, and a $0.5 million increase in other non-interest income due to incentives received for new product development;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• $0.6 million increase in provision for credit losses as the prior quarter included a net release; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• $1.5 million decrease in non-interest expenses driven by (i) $0.6 million decrease in payroll taxes related to the annual vesting of share compensation occurring in the prior quarter and (ii) $0.7 million decrease in other expenses driven by the provision for a potential legal settlement recognized in the prior quarter.

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**Non-Core Items**<sup>1</sup>

Non-core items resulted in expenses, net of gains, of $0.4 million for the second quarter of 2025. Non-core items for the quarter relate mainly to costs recognized related to the group-wide voluntary early retirement and redundancy programs which were executed in Q1 2025 and Q2 2025, respectively.

Management does not believe that comparative period expenses, gains or losses identified as non-core are indicative of the results of operations of the Bank in the ordinary course of business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See table "Reconciliation of US GAAP Results to Core Earnings" below for reconciliation of US GAAP results to non-GAAP measures.

**BALANCE SHEET COMMENTARY AT JUNE 30, 2025 COMPARED WITH DECEMBER 31, 2024** 

**Total Assets**

Total assets of the Bank were $14.2 billion at June 30, 2025, a decrease of $46.4 million from December 31, 2024. The Bank maintained a highly liquid position at June 30, 2025, with $9.2 billion of cash, bank deposits, reverse repurchase agreements and liquid investments representing 64.5% of total assets, compared with 65.3% at December 31, 2024.

**Loans Receivable**

The loan portfolio totaled $4.6 billion at June 30, 2025, a $0.1 billion decrease compared to December 31, 2024 balances.

The allowance for credit losses at June 30, 2025 totaled $25.7 million, which remained consistent with the December 31, 2024 balance.

The loan portfolio represented 32.3% of total assets at June 30, 2025 (December 31, 2024: 31.4%), while loans as a percentage of total deposits was 35.7% at June 30, 2025 (December 31, 2024: 35.1%). The increase in both ratios was attributable principally to an increase in loan balances, primarily driven by foreign exchange translation as a result of a strengthened Pound Sterling, at June 30, 2025 compared to December 31, 2024.

As at June 30, 2025, the Bank had gross non-accrual loans of $93.3 million, representing 2.0% of total gross loans, an increase of $16.7 million from $76.7 million, or 1.7% of total loans, at December 31, 2024. The increase in non-accrual loans during the six-month period to June 30, 2025 was driven by two residential mortgage facilities in the Channel Islands and UK segment and partially offset by the settlement of a commercial real estate loan facility in Bermuda.

**Investment in Securities**

The investment portfolio was $5.5 billion at June 30, 2025, which was $0.1 billion lower than the December 31, 2024 balances.

The investment portfolio is made up of high-quality assets with 100% invested in A-or-better-rated securities. The investment book yield was 2.67% during the quarter ended June 30, 2025 compared with 2.68% during the previous quarter. Total net unrealized losses on the available-for-sale portfolio is lower at $120.0 million, an improvement of $43.3 million compared with total net unrealized losses of $163.3 million at December 31, 2024.

**Deposits** 

Average total deposit balances were $12.7 billion for the quarter ended June 30, 2025 which is $0.2 billion higher than the prior quarter, while period end balances as at June 30, 2025 were $12.8 billion, an increase of $0.1 billion compared to December 31, 2024.

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**Average Balance Sheet**<sup>2</sup>

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| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | For the three months ended | For the three months ended | For the three months ended | For the three months ended | For the three months ended | For the three months ended | For the three months ended | For the three months ended | For the three months ended |
| | June 30, 2025 | June 30, 2025 | June 30, 2025 | March 31, 2025 | March 31, 2025 | March 31, 2025 | June 30, 2024 | June 30, 2024 | June 30, 2024 |
| (in $ millions) | Average<br>balance <br>($) | Interest<br>($) | Average<br>rate <br>(%) | Average<br>balance <br>($) | Interest<br>($) | Average<br>rate <br>(%) | Average<br>balance <br>($) | Interest<br>($) | Average<br>rate <br>(%) |
| **Assets** |  |  |  |  |  |  |  |  |  |
| Cash and cash equivalents and short-term investments | 3634.3 | 33.6 | 3.71 | 3519.3 | 34.5 | 3.98 | 3468.8 | 41.4 | 4.78 |
| Investment in securities | 5452.0 | 36.2 | 2.67 | 5462.6 | 36.1 | 2.68 | 5172.6 | 29.6 | 2.30 |
| &nbsp;&nbsp;&nbsp;&nbsp;Available-for-sale | *2292.6* | *18.3* | *3.21* | *2247.5* | *17.8* | *3.21* | *1797.1* | *10.8* | *2.41* |
| &nbsp;&nbsp;&nbsp;&nbsp;Held-to-maturity | *3159.4* | *17.9* | *2.27* | *3215.1* | *18.3* | *2.31* | *3375.4* | *18.8* | *2.24* |
| Loans | 4517.7 | 71.0 | 6.31 | 4455.3 | 69.4 | 6.32 | 4622.7 | 76.6 | 6.65 |
| &nbsp;&nbsp;&nbsp;&nbsp;Commercial | *1290.7* | *21.1* | *6.55* | *1320.3* | *20.6* | *6.32* | *1342.8* | *21.7* | *6.50* |
| &nbsp;&nbsp;&nbsp;&nbsp;Consumer | *3227.0* | *50.0* | *6.21* | *3135.0* | *48.8* | *6.32* | *3279.9* | *54.8* | *6.71* |
| **Interest earning assets** | **13603.9** | **140.9** | **4.15** | **13437.3** | **140.0** | **4.23** | **13264.1** | **147.6** | **4.46** |
| Other assets | 417.6 |  |  | 430.7 |  |  | 430.4 |  |  |
| **Total assets** | **14021.5** |  |  | **13868.0** |  |  | **13694.5** |  |  |
| **Liabilities** |  |  |  |  |  |  |  |  |  |
| Deposits - interest bearing | 10051.2 | (49.2) | (1.96) | 9853.4 | (49.1) | (2.02) | 9807.6 | (58.7) | (2.40) |
| Securities sold under agreements to repurchase | 1.9 |  | (5.94) | 16.3 | (0.2) | (4.42) | 2.9 |  | (4.83) |
| Long-term debt | 77.7 | (2.3) | (11.92) | 98.7 | (1.4) | (5.63) | 98.6 | (1.4) | (5.58) |
| **Interest bearing liabilities** | **10130.8** | **(51.5)** | **(2.04)** | **9968.5** | **(50.7)** | **(2.06)** | **9909.1** | **(60.1)** | **(2.43)** |
| Non-interest bearing current accounts | 2602.5 |  |  | 2622.4 |  |  | 2636.8 |  |  |
| Other liabilities | 253.4 |  |  | 263.6 |  |  | 243.8 |  |  |
| **Total liabilities** | **12986.7** |  |  | **12854.4** |  |  | **12789.6** |  |  |
| Shareholders' equity | 1034.9 |  |  | 1013.5 |  |  | 904.9 |  |  |
| **Total liabilities and shareholders' equity** | **14021.5** |  |  | **13868.0** |  |  | **13694.5** |  |  |
| Non-interest bearing funds net of <br> non-interest earning assets <br> (free balance) | 3473.2 |  |  | 3468.8 |  |  | 3355.0 |  |  |
| **Net interest margin** |  | **89.4** | **2.64** |  | **89.3** | **2.70** |  | **87.4** | **2.64** |

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<sup>(2)</sup> Averages are based upon a daily averages for the periods indicated.

**Assets Under Administration and Assets Under Management** 

Total assets under administration for the trust and custody businesses were $131.0 billion and $26.9 billion, respectively, at June 30, 2025, while assets under management were $6.3 billion at June 30, 2025. This compares with $131.3 billion, $30.5 billion and $6.0 billion, respectively, at December 31, 2024.

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**Reconciliation of US GAAP Results to Core Earnings**

The table below shows the reconciliation of net income in accordance with US GAAP to core earnings, a non-GAAP measure, which excludes certain significant items that are included in our US GAAP results of operations. We focus on core net income, which we calculate by adjusting net income to exclude certain income or expense items that are not representative of our business operations, or "non-core". Core net income includes revenue, gains, losses and expense items incurred in the normal course of business. We believe that expressing earnings and certain other financial measures excluding these non-core items provides a meaningful base for period-to-period comparisons, which management believes will assist investors in analyzing the operating results of the Bank and predicting future performance. We believe that presentation of these non-GAAP financial measures will permit investors to assess the performance of the Bank on the same basis as management.

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| | | | |
|:---|:---|:---|:---|
| | **Three months ended** | **Three months ended** | **Three months ended** |
| **Core Earnings**<br>**(in $ millions except per share amounts)** | **June 30, 2025** | **March 31, 2025** | **June 30, 2024** |
| **Net income** | 53.3 | 53.8 | 50.6 |
| **Non-core items** |  |  |  |
| *Non-core expenses* |  |  |  |
| Early retirement program, voluntary separation, redundancies and other non-core compensation costs | 0.4 | 2.9 | 0.2 |
| Restructuring charges and related professional service fees |  |  | 0.6 |
| Total non-core expenses | 0.4 | 2.9 | 0.8 |
| **Total non-core items** | **0.4** | **2.9** | **0.8** |
| **Core net income** | **53.7** | **56.7** | **51.4** |
| Average common equity | 1055.0 | 1041.3 | 979.4 |
| Less: average goodwill and intangible assets | (91.2) | (89.2) | (95.3) |
| Average tangible common equity | 963.8 | 952.1 | 884.1 |
| **Core earnings per share fully diluted** | **1.26** | **1.30** | **1.11** |
| **Return on common equity** | **20.3%** | **20.9%** | **20.7%** |
| **Core return on average tangible common equity** | **22.3%** | **24.2%** | **23.3%** |
| Shareholders' equity | 1069.1 | 1057.8 | 999.1 |
| Less: goodwill and intangible assets | (92.2) | (89.7) | (94.4) |
| Tangible common equity | 977.0 | 968.1 | 904.7 |
| Basic participating shares outstanding (in millions) | 41.1 | 42.2 | 45.2 |
| **Tangible book value per common share** | **23.77** | **22.94** | **20.03** |
| Non-interest expenses | 91.8 | 93.2 | 91.1 |
| &nbsp;&nbsp;&nbsp;Less: non-core expenses | (0.4) | (2.9) | (0.8) |
| &nbsp;&nbsp;&nbsp;Less: amortization of intangibles | (2.0) | (1.9) | (1.9) |
| Core non-interest expenses before amortization of intangibles | 89.4 | 88.4 | 88.4 |
| Core revenue before other gains and losses and provision for credit losses | 146.4 | 147.8 | 143.1 |
| **Core efficiency ratio** | **61.1%** | **59.8%** | **61.8%** |

---

------

**Conference Call Information:**

Butterfield will host a conference call to discuss the Bank's results on Tuesday, July 29, 2025 at 10:00 a.m. Eastern Time. Callers may access the conference call by dialing +1 (844) 855-9501 (toll-free) or +1 (412) 858-4603 (international) ten minutes prior to the start of the call and referencing the Conference ID: Butterfield Group. A live webcast of the conference call, including a slide presentation, will be available in the investor relations section of Butterfield's website at <u>www.butterfieldgroup.com</u>. A replay of the call will be archived on the Butterfield website for 12 months.

**About Non-GAAP Financial Measures:**

Certain statements in this release involve the use of non-GAAP financial measures. We believe such measures provide useful information to investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with US GAAP; however, our non-GAAP financial measures have a number of limitations. As such, investors should not view these disclosures as a substitute for results determined in accordance with US GAAP, and they are not necessarily comparable to non-GAAP financial measures that other companies use. See "Reconciliation of US GAAP Results to Core Earnings" for additional information.

**Forward-Looking Statements:**

Certain of the statements made in this release are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions estimates, intentions, and future performance, including, without limitation, our intention to make share repurchases or otherwise increase shareholder value, our dividend payout target, our fee/income ratio, our OCI, our growth and expenses, and interest rate levels and impact on our earnings, and business activity levels, and involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause the actual results, performance, capital, ownership or achievements of Butterfield to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements due to a variety of factors, including worldwide economic conditions (including economic growth and general business conditions), changes in trade policies and practices and the resulting uncertainty, market volatility, and potential deterioration in economic conditions, fluctuations of interest rates, inflation, a decline in Bermuda's sovereign credit rating, any sudden liquidity crisis, the successful completion and integration of acquisitions (including our integration of the trust assets acquired from Credit Suisse) or the realization of the anticipated benefits of such acquisitions in the expected time-frames or at all, success in business retention (including the retention of relationships associated with our Credit Suisse acquisition) and obtaining new business, potential impacts of climate change, the success of our updated systems and platforms and other factors. Forward-looking statements can be identified by words such as "anticipate," "assume," "believe," "estimate," "expect," "indicate," "intend," "may," "plan," "point to," "predict," "project," "seek," "target," "potential," "will," "would," "could," "should," "continue," "contemplate" and other similar expressions, although not all forward-looking statements contain these identifying words. All statements other than statements of historical fact are statements that could be forward-looking statements.

All forward-looking statements in this disclosure are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties described in our SEC reports and filings, including under the caption "Risk Factors" in our most recent Form 20-F. Such reports are available upon request from Butterfield, or from the Securities and Exchange Commission ("SEC"), including through the SEC's website at https://www.sec.gov. Any forward-looking statements made by Butterfield are current views as at the date they are made. Except as otherwise required by law, Butterfield assumes no obligation and does not undertake to review, update, revise or correct any of the forward-looking statements included in this disclosure, whether as a result of new information, future events or other developments. You are cautioned not to place undue reliance on the forward-looking statements made by Butterfield in this disclosure. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, and should only be viewed as historical data. BF-All

**Presentation of Financial Information:**

Certain monetary amounts, percentages and other figures included in this report have been subject to rounding adjustments. Accordingly, figures shown as totals in certain tables may not be the arithmetic aggregation of the figures that precede them, and figures expressed as percentages in the text may not total 100% or, as applicable, when aggregated may not be the arithmetic aggregation of the percentages that precede them.

**About Butterfield:**

Butterfield is a full-service bank and wealth manager headquartered in Hamilton, Bermuda, providing services to clients from Bermuda, the Cayman Islands, Guernsey and Jersey, where our principal banking operations are located, and The Bahamas, Switzerland, Singapore and the United Kingdom, where we offer specialized financial services. Banking services comprise deposit, cash management and lending solutions for individual, business and institutional clients. Wealth management services are composed of trust, private banking, asset management and custody. In Bermuda, the Cayman Islands and Guernsey, we offer both banking and wealth management. In The Bahamas, Singapore and Switzerland, we offer select wealth management services. In the UK, we offer residential property lending. In Jersey, we offer select banking and wealth management services. Butterfield is publicly traded on the New York Stock Exchange (symbol: NTB) and the Bermuda Stock Exchange (symbol: NTB.BH). Further details on the Butterfield Group can be obtained from our website at: <u>www.butterfieldgroup.com</u>.

**Investor Relations Contact:**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Media Relations Contact:**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Noah Fields&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Nicky Stevens

Investor Relations &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Group Strategic Marketing & Communications

The Bank of N.T. Butterfield & Son Limited&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Bank of N.T. Butterfield & Son Limited&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Phone: (441) 299 3816&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Phone: (441) 299 1624&nbsp;&nbsp;&nbsp;&nbsp;

E-mail: <u>noah.fields@butterfieldgroup.com</u> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E-mail: <u>nicky.stevens@butterfieldgroup.com</u>

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

## Exhibit 99.2

![bntb_arxcoverxq22025.jpg](bntb_arxcoverxq22025.jpg)

------

**INDEX TO FINANCIAL STATEMENTS**

---

| | |
|:---|:---|
| **Unaudited Consolidated Financial Statements** | **Page** |
| Consolidated Balance Sheets (unaudited) as of June 30, 2025 and December 31, 2024 | [2](#i54b53dfda0d64934a26bc022011a4513_7) |
| Consolidated Statements of Operations (unaudited) for the Three and Six Months Ended June 30, 2025 and 2024 | [3](#i54b53dfda0d64934a26bc022011a4513_10) |
| Consolidated Statements of Comprehensive Income (unaudited) for the Three and Six Months Ended June 30, 2025 and 2024 | [4](#i54b53dfda0d64934a26bc022011a4513_13) |
| Consolidated Statements of Changes in Shareholders' Equity (unaudited) for the Three and Six Months Ended June 30, 2025 and 2024 | [5](#i54b53dfda0d64934a26bc022011a4513_16) |
| Consolidated Statements of Cash Flows (unaudited) for the Six Months Ended June 30, 2025 and 2024 | [6](#i54b53dfda0d64934a26bc022011a4513_19) |
| Notes to the Consolidated Financial Statements (unaudited) | [7](#i54b53dfda0d64934a26bc022011a4513_22) |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Consolidated Balance Sheets (unaudited)**

*(In thousands of US dollars, except share and per share data)*

---

| | | |
|:---|:---|:---|
| | As at | As at |
| | **June 30, 2025** | December 31, 2024 |
| **Assets** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and demand deposits with banks - Non-interest bearing | **99525** | 93145 |
| &nbsp;&nbsp;&nbsp;&nbsp;Demand deposits with banks - Interest bearing | **160754** | 165741 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash equivalents - Interest bearing | **1189783** | 1739226 |
| &nbsp;&nbsp;Cash and cash equivalents | **1450062** | 1998112 |
| &nbsp;&nbsp;Securities purchased under agreements to resell | **1134631** | 1205373 |
| &nbsp;&nbsp;Short-term investments | **1111915** | 580026 |
| &nbsp;&nbsp;Investment in securities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Available-for-sale at fair value (including assets pledged that secured parties are permitted to sell or repledge: Nil (2024: $93,468)) (amortized cost: $2,456,120 (2024: $2,435,752)) | **2336118** | 2272486 |
| &nbsp;&nbsp;&nbsp;&nbsp;Held-to-maturity (fair value: $2,619,039 (2024: $2,671,040)) | **3122134** | 3240290 |
| &nbsp;&nbsp;Total investment in securities | **5458252** | 5512776 |
| &nbsp;&nbsp;Loans |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans | **4603188** | 4499300 |
| &nbsp;&nbsp;&nbsp;&nbsp;Allowance for credit losses | **(25669)** | (25709) |
| &nbsp;&nbsp;Loans, net of allowance for credit losses | **4577519** | 4473591 |
| &nbsp;&nbsp;Premises, equipment and computer software, net | **159157** | 153782 |
| &nbsp;&nbsp;Goodwill | **25831** | 23617 |
| &nbsp;&nbsp;Other intangible assets, net | **66327** | 65992 |
| &nbsp;&nbsp;Equity method investments | **6674** | 6594 |
| &nbsp;&nbsp;Accrued interest and other assets | **194634** | 211533 |
| **Total assets** | **14185002** | 14231396 |
| **Liabilities** |  |  |
| &nbsp;&nbsp;Deposits |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-interest bearing | **2604866** | 2687877 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest bearing | **10232976** | 10058032 |
| &nbsp;&nbsp;Total deposits | **12837842** | 12745909 |
| &nbsp;&nbsp;&nbsp;&nbsp;Securities sold under agreements to repurchase | **—** | 92562 |
| &nbsp;&nbsp;&nbsp;&nbsp;Employee benefit plans | **84167** | 83589 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued interest and other liabilities | **193854** | 189799 |
| &nbsp;&nbsp;Total other liabilities | **278021** | 365950 |
| &nbsp;&nbsp;Long-term debt | **—** | 98725 |
| **Total liabilities** | **13115863** | 13210584 |
| **Commitments, contingencies and guarantees (Note 10)** |  |  |
| **Shareholders' equity** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common share capital (BMD 0.01 par; authorized voting ordinary shares 2,000,000,000 and <br>&nbsp;&nbsp;&nbsp;&nbsp;non-voting ordinary shares 6,000,000,000) issued and outstanding: 41,724,081 (2024: 43,537,979) | **417** | 435 |
| &nbsp;&nbsp;Additional paid-in capital | **881196** | 916394 |
| &nbsp;&nbsp;Retained earnings | **454524** | 422461 |
| &nbsp;&nbsp;Less: treasury common shares, at cost: 619,212 (2024: 619,212) | **(25468)** | (23063) |
| &nbsp;&nbsp;Accumulated other comprehensive income (loss) | **(241530)** | (295415) |
| **Total shareholders' equity** | **1069139** | 1020812 |
| **Total liabilities and shareholders' equity** | **14185002** | 14231396 |

---

The accompanying notes are an integral part of these consolidated financial statements.

------

**The Bank of N.T. Butterfield & Son Limited**

**Consolidated Statements of Operations (unaudited)**

*(In thousands of US dollars, except per share data)*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| **Non-interest income** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Asset management | **9379** | 8884 | **18928** | 17726 |
| &nbsp;&nbsp;&nbsp;Banking | **14725** | 13805 | **29801** | 28064 |
| &nbsp;&nbsp;&nbsp;Foreign exchange revenue | **11953** | 12582 | **25633** | 25774 |
| &nbsp;&nbsp;&nbsp;Trust | **16371** | 15437 | **31999** | 30481 |
| &nbsp;&nbsp;&nbsp;Custody and other administration services | **3152** | 3371 | **6661** | 6685 |
| &nbsp;&nbsp;&nbsp;Other non-interest income | **1439** | 1568 | **2427** | 2010 |
| **Total non-interest income** | **57019** | 55647 | **115449** | 110740 |
| **Interest income** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Interest and fees on loans | **71046** | 76592 | **140481** | 153578 |
| &nbsp;&nbsp;&nbsp;Investments (none of the investment securities are intrinsically tax-exempt) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Available-for-sale | **18326** | 10801 | **36089** | 20374 |
| &nbsp;&nbsp;&nbsp;&nbsp;Held-to-maturity | **17906** | 18820 | **36213** | 38145 |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents, securities purchased under agreements to resell and short-term investments | **33634** | 41368 | **68141** | 78196 |
| Total interest income | **140912** | 147581 | **280924** | 290293 |
| **Interest expense** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Deposits | **49170** | 58738 | **98306** | 112947 |
| &nbsp;&nbsp;&nbsp;Long-term debt | **2310** | 1372 | **3681** | 2743 |
| &nbsp;&nbsp;&nbsp;Securities sold under agreements to repurchase | **27** | 35 | **205** | 89 |
| Total interest expense | **51507** | 60145 | **102192** | 115779 |
| **Net interest income before provision for credit losses** | **89405** | 87436 | **178732** | 174514 |
| &nbsp;&nbsp;&nbsp;Provision for credit (losses) recoveries | **(209)** | (483) | **170** | (74) |
| **Net interest income after provision for credit losses** | **89196** | 86953 | **178902** | 174440 |
| &nbsp;&nbsp;&nbsp;Net gains (losses) on other real estate owned | **—** | 80 | **—** | 68 |
| &nbsp;&nbsp;&nbsp;Net other gains (losses) | **69** | (16) | **94** | 233 |
| **Total other gains (losses)** | **69** | 64 | **94** | 301 |
| **Total net revenue** | **146284** | 142664 | **294445** | 285481 |
| **Non-interest expense** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Salaries and other employee benefits | **45441** | 43855 | **90969** | 86628 |
| &nbsp;&nbsp;&nbsp;Technology and communications | **16294** | 16858 | **32303** | 32985 |
| &nbsp;&nbsp;&nbsp;Professional and outside services | **5152** | 6687 | **10596** | 12200 |
| &nbsp;&nbsp;&nbsp;Property | **8786** | 8232 | **17507** | 16955 |
| &nbsp;&nbsp;&nbsp;Indirect taxes | **5849** | 5587 | **12343** | 11891 |
| &nbsp;&nbsp;&nbsp;Non-service employee benefits expense | **1291** | 983 | **2628** | 1965 |
| &nbsp;&nbsp;&nbsp;Marketing | **1695** | 1583 | **3470** | 2885 |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets | **1977** | 1889 | **3874** | 3820 |
| &nbsp;&nbsp;&nbsp;Other expenses | **5266** | 5468 | **11279** | 10345 |
| **Total non-interest expense** | **91751** | 91142 | **184969** | 179674 |
| **Net income before income taxes** | **54533** | 51522 | **109476** | 105807 |
| &nbsp;&nbsp;&nbsp;Income tax benefit (expense) | **(1208)** | (931) | **(2387)** | (1785) |
| **Net income** | **53325** | 50591 | **107089** | 104022 |
| **Earnings per common share** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic earnings per share | **1.28** | 1.11 | **2.55** | 2.26 |
| &nbsp;&nbsp;&nbsp;Diluted earnings per share | **1.25** | 1.09 | **2.48** | 2.23 |

---

The accompanying notes are an integral part of these consolidated financial statements.

------

**The Bank of N.T. Butterfield & Son Limited**

**Consolidated Statements of Comprehensive Income (unaudited)**

*(In thousands of US dollars)*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| **Net income** | **53325** | 50591 | **107089** | 104022 |
| **Other comprehensive income (loss), net of taxes** |  |  |  |  |
| &nbsp;&nbsp;Unrealized net gains (losses) on translation of net investment in foreign operations | **2329** | (49) | **6260** | (112) |
| &nbsp;&nbsp;Net changes on investments transferred to held-to-maturity | **1982** | 2198 | **3759** | 4199 |
| &nbsp;&nbsp;&nbsp;Unrealized net gains (losses) on available-for-sale investments | **11451** | 1438 | **43362** | (12839) |
| &nbsp;&nbsp;&nbsp;Employee benefit plans adjustments | **143** | 154 | **504** | 1404 |
| **Other comprehensive income (loss), net of taxes** | **15905** | 3741 | **53885** | (7348) |
| **Total comprehensive income (loss)** | **69230** | 54332 | **160974** | 96674 |

---

The accompanying notes are an integral part of these consolidated financial statements.

------

**The Bank of N.T. Butterfield & Son Limited**

**Consolidated Statements of Changes in Shareholders' Equity (unaudited)**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Three months ended | Three months ended | Six months ended | Six months ended | Six months ended | Six months ended |
| | **June 30, 2025** | **June 30, 2025** | June 30, 2024 | June 30, 2024 | **June 30, 2025** | **June 30, 2025** | June 30, 2024 | June 30, 2024 |
| | **Number of shares** | **In thousands of<br>US dollars** | Number of shares | In thousands of<br>US dollars | **Number of shares** | **In thousands of<br>US dollars** | Number of shares | In thousands of<br>US dollars |
| **Common share capital issued and outstanding** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Balance at beginning of period | **42820091** | **428** | 46840139 | 468 | **43537979** | **435** | 47529045 | 475 |
| &nbsp;&nbsp;&nbsp;Retirement of shares | **(1115462)** | **(11)** | (1079530) | (11) | **(2210189)** | **(22)** | (2235320) | (22) |
| &nbsp;&nbsp;&nbsp;Issuance of common shares | **19452** | **—** | 21473 | 1 | **396291** | **4** | 488357 | 5 |
| **Balance at end of period** | **41724081** | **417** | 45782082 | 458 | **41724081** | **417** | 45782082 | 458 |
| **Additional paid-in capital** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Balance at beginning of period |  | **898729** |  | 969670 |  | **916394** |  | 988904 |
| &nbsp;&nbsp;&nbsp;Share-based compensation |  | **5441** |  | 5490 |  | **10782** |  | 10286 |
| &nbsp;&nbsp;&nbsp;Share-based settlements |  | **438** |  | 443 |  | **478** |  | 465 |
| &nbsp;&nbsp;&nbsp;Retirement of shares |  | **(23412)** |  | (22348) |  | **(46454)** |  | (46396) |
| &nbsp;&nbsp;&nbsp;Issuance of common shares, net of underwriting discounts and commissions |  | **—** |  | (1) |  | **(4)** |  | (5) |
| **Balance at end of period** |  | **881196** |  | 953254 |  | **881196** |  | 953254 |
| **Retained earnings** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Balance at beginning of period |  | **439599** |  | 364921 |  | **422461** |  | 342520 |
| &nbsp;&nbsp;&nbsp;Net Income for the period |  | **53325** |  | 50591 |  | **107089** |  | 104022 |
| &nbsp;&nbsp;Common share cash dividends declared and paid, $0.44 and 0.88 per share (2024: $0.44 and $0.88 per share) |  | **(18355)** |  | (20124) |  | **(37124)** |  | (40630) |
| &nbsp;&nbsp;&nbsp;Retirement of shares |  | **(20045)** |  | (11888) |  | **(37902)** |  | (22412) |
| **Balance at end of period** |  | **454524** |  | 383500 |  | **454524** |  | 383500 |
| **Treasury common shares** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Balance at beginning of period | **619212** | **(23511)** | 619212 | (18660) | **619212** | **(23063)** | 619212 | (18104) |
| &nbsp;&nbsp;&nbsp;Purchase of treasury common shares | **1115462** | **(45425)** | 1079530 | (36139) | **2210189** | **(86783)** | 2235320 | (71278) |
| &nbsp;&nbsp;&nbsp;Retirement of shares | **(1115462)** | **43468** | (1079530) | 34247 | **(2210189)** | **84378** | (2235320) | 68830 |
| **Balance at end of period** | **619212** | **(25468)** | 619212 | (20552) | **619212** | **(25468)** | 619212 | (20552) |
| **Accumulated other comprehensive income (loss)** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Balance at beginning of period |  | **(257435)** |  | (321287) |  | **(295415)** |  | (310198) |
| &nbsp;&nbsp;Other comprehensive income (loss), net of taxes |  | **15905** |  | 3741 |  | **53885** |  | (7348) |
| **Balance at end of period** |  | **(241530)** |  | (317546) |  | **(241530)** |  | (317546) |
| **Total shareholders' equity** |  | **1069139** |  | 999114 |  | **1069139** |  | 999114 |

---

The accompanying notes are an integral part of these consolidated financial statements.

------

**The Bank of N.T. Butterfield & Son Limited**

**Consolidated Statements of Cash Flows (unaudited)**

*(In thousands of US dollars)*

---

| | | |
|:---|:---|:---|
| | Six months ended | Six months ended |
| | **June 30, 2025** | June 30, 2024 |
| **Cash flows from operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;**Net income** | **107089** | 104022 |
| &nbsp;&nbsp;&nbsp;**Adjustments to reconcile net income to operating cash flows** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation, accretion and amortization | **20194** | 19966 |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for credit losses (recoveries) | **(170)** | 74 |
| &nbsp;&nbsp;&nbsp;&nbsp;Share-based payments and settlements | **11260** | 10751 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net (gains) losses on other real estate owned | **—** | (68) |
| &nbsp;&nbsp;&nbsp;&nbsp;(Increase) decrease in carrying value of equity method investments | **(140)** | 475 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends received from equity method investments | **60** | 75 |
| &nbsp;&nbsp;&nbsp;**Changes in operating assets and liabilities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;(Increase) decrease in accrued interest receivable and other assets | **36898** | (7380) |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase (decrease) in employee benefit plans, accrued interest payable and other liabilities | **(11636)** | (11657) |
| **Cash provided by (used in) operating activities** | **163555** | 116258 |
| **Cash flows from investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net (increase) decrease in securities purchased under agreements to resell | **144922** | (469502) |
| &nbsp;&nbsp;&nbsp;Short-term investments other than restricted cash: proceeds from maturities and sales | **684845** | 1464436 |
| &nbsp;&nbsp;&nbsp;Short-term investments other than restricted cash: purchases | **(1164603)** | (1084309) |
| &nbsp;&nbsp;&nbsp;Available-for-sale investments: proceeds from maturities and pay downs | **185150** | 230725 |
| &nbsp;&nbsp;&nbsp;Available-for-sale investments: purchases | **(207067)** | (275663) |
| &nbsp;&nbsp;&nbsp;Held-to-maturity investments: proceeds from maturities and pay downs | **120441** | 129263 |
| &nbsp;&nbsp;&nbsp;Net (increase) decrease in loans | **69427** | 146115 |
| &nbsp;&nbsp;&nbsp;Additions to premises, equipment and computer software | **(14401)** | (6295) |
| &nbsp;&nbsp;&nbsp;Proceeds from sale of other real estate owned | **—** | 530 |
| &nbsp;&nbsp;&nbsp;Purchase of intangible assets | **—** | (481) |
| **Cash provided by (used in) investing activities** | **(181286)** | 134819 |
| **Cash flows from financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net increase (decrease) in deposits | **(269670)** | 607064 |
| &nbsp;&nbsp;&nbsp;Net increase (decrease) in securities sold under agreements to repurchase | **(90032)** |  |
| &nbsp;&nbsp;&nbsp;Repayment of long-term debt | **(100000)** |  |
| &nbsp;&nbsp;&nbsp;Common shares repurchased | **(86783)** | (71278) |
| &nbsp;&nbsp;&nbsp;Cash dividends paid on common shares | **(37124)** | (40630) |
| **Cash provided by (used in) financing activities** | **(583609)** | 495156 |
| &nbsp;&nbsp;&nbsp;Net effect of exchange rates on cash, cash equivalents and restricted cash | **60538** | (2052) |
| **Net increase (decrease) in cash, cash equivalents and restricted cash** | **(540802)** | 744181 |
| **Cash, cash equivalents and restricted cash: beginning of period** | **2088542** | 1672260 |
| **Cash, cash equivalents and restricted cash: end of period** | **1547740** | 2416441 |
| **Components of cash, cash equivalents and restricted cash at end of period** |  |  |
| Cash and cash equivalents | **1450062** | 2389806 |
| Restricted cash included in short-term investments on the consolidated balance sheets | **97678** | 26635 |
| **Total cash, cash equivalents and restricted cash at end of period** | **1547740** | 2416441 |
| **Supplemental disclosure of non-cash items** |  |  |
| &nbsp;&nbsp;&nbsp;Transfer to (out of) other real estate owned | **—** | 87 |
| &nbsp;&nbsp;&nbsp;Initial recognition of right-of-use assets and operating lease liabilities | **766** | 1262 |

---

The accompanying notes are an integral part of these consolidated financial statements.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 1: Nature of business**

The Bank of N.T. Butterfield & Son Limited ("Butterfield", the "Bank" or the "Company") is incorporated under the laws of Bermuda and has a banking license under the Banks and Deposit Companies Act, 1999 ("the Act"). Butterfield is regulated by the Bermuda Monetary Authority ("BMA"), which operates in accordance with Basel principles.

Butterfield is a full service bank and wealth manager headquartered in Hamilton, Bermuda. The Bank operates its business through three geographic segments: Bermuda, Cayman, and the Channel Islands and the UK, where its principal banking operations are located and where it offers specialized financial services. Butterfield offers banking services, comprised of retail and corporate banking, and wealth management, which consists of trust, private banking, and asset management. In the Bermuda, Cayman, and Channel Islands and the UK segments, Butterfield offers both banking and wealth management services. Butterfield also has operations in the jurisdictions of The Bahamas, Canada, Mauritius, Singapore and Switzerland, which are included in our Other segment.

The Bank's common shares trade on the New York Stock Exchange under the symbol "NTB" and on the Bermuda Stock Exchange ("BSX") under the symbol "NTB.BH".

**Note 2: Significant accounting policies**

The accompanying unaudited interim consolidated financial statements of the Bank have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and should be read in conjunction with the Bank's audited financial statements for the year ended December 31, 2024.

In the opinion of Management, these unaudited interim consolidated financial statements reflect all adjustments (consisting primarily of normal recurring accruals) considered necessary for a fair statement of the Bank's financial position and results of operations as at the end of and for the periods presented. The Bank's results for interim periods are not necessarily indicative of results for the full year.

The preparation of financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the unaudited consolidated financial statements and the reported amounts of revenues and expenses during the reporting period, and actual results could differ from those estimates. Management believes that the most critical accounting estimates upon which the financial condition depends, and which involve the most complex or subjective decisions or assessments, are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Allowance for credit losses

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Fair value of financial instruments

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Impairment of goodwill

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Employee benefit plans

**New Accounting Pronouncements**

There were no accounting developments issued during the six months ended June 30, 2025 or accounting standards pending adoption which impacted the Bank.

**Note 3: Cash and cash equivalents**

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | December 31, 2024 |
| **Non-interest bearing** |  |  |
| &nbsp;&nbsp;&nbsp;Cash and demand deposits with banks | **99525** | 93145 |
| **Interest bearing** |  |  |
| &nbsp;&nbsp;&nbsp;Demand deposits with banks | **160754** | 165741 |
| &nbsp;&nbsp;&nbsp;Cash equivalents | **1189783** | 1739226 |
| **Sub-total - Interest bearing** | **1350537** | 1904967 |
| **Total cash and cash equivalents** | **1450062** | 1998112 |

---

**Note 4: Short-term investments**

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | December 31, 2024 |
| **Unrestricted** |  |  |
| &nbsp;&nbsp;&nbsp;Maturing within three months | **434419** | 415072 |
| &nbsp;&nbsp;&nbsp;Maturing between three to six months | **251872** | 74524 |
| &nbsp;&nbsp;&nbsp;Maturing between six to twelve months | **327946** |  |
| **Total unrestricted short-term investments** | **1014237** | 489596 |
| **Affected by drawing restrictions related to minimum reserve and derivative margin requirements** | **Affected by drawing restrictions related to minimum reserve and derivative margin requirements** |  |
| &nbsp;&nbsp;&nbsp;Interest earning demand and term deposits | **97678** | 90430 |
| **Total restricted short-term investments** | **97678** | 90430 |
| **Total short-term investments** | **1111915** | 580026 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 5: Investment in securities**

**Amortized Cost, Carrying Amount and Fair Value**

On the consolidated balance sheets, available-for-sale ("AFS") investments are carried at fair value and held-to-maturity ('HTM') investments are carried at amortized cost.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 | December 31, 2024 |
| | **Amortized<br> cost** | **Gross<br> unrealized<br> gains** | **Gross<br> unrealized<br> losses** | **Fair value** | Amortized<br> cost | Gross<br> unrealized<br> gains | Gross<br> unrealized<br> losses | Fair value |
| **Available-for-sale** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **2440034** | **7917** | **(126637)** | **2321314** | 2324841 | 1451 | (162673) | 2163619 |
| &nbsp;&nbsp;&nbsp;Non-US governments debt securities | **—** | **—** | **—** | **—** | 93803 |  | (335) | 93468 |
| &nbsp;&nbsp;&nbsp;Asset-backed securities - Student loans | **—** | **—** | **—** | **—** | 40 |  |  | 40 |
| &nbsp;&nbsp;&nbsp;Residential mortgage-backed securities | **16086** | **—** | **(1282)** | **14804** | 17068 |  | (1709) | 15359 |
| **Total available-for-sale** | **2456120** | **7917** | **(127919)** | **2336118** | 2435752 | 1451 | (164717) | 2272486 |
| **Held-to-maturity¹** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **3122134** | **180** | **(503275)** | **2619039** | 3240290 |  | (569250) | 2671040 |
| **Total held-to-maturity** | **3122134** | **180** | **(503275)** | **2619039** | 3240290 |  | (569250) | 2671040 |

---

¹For the six months ended June 30, 2025 and June 30, 2024, impairments recognized in other comprehensive income for HTM investments were nil.

**Investments with Unrealized Loss Positions**

The Bank does not believe that the AFS debt securities that were in an unrealized loss position as of June 30, 2025, comprising 165 securities representing 63.4% of the AFS portfolios' carrying value (December 31, 2024: 184 and 87.7%), represent credit losses. Total gross unrealized AFS losses were 8.6% of the fair value of the affected securities (December 31, 2024: 8.3%).

The Bank's HTM debt securities are comprised of US government and federal agencies securities and have a zero credit loss assumption under the Current Expected Credit Loss Model ("CECL") model. HTM debt securities that were in an unrealized loss position as of June 30, 2025, were comprised of 218 securities representing 98.8% of the HTM portfolios' carrying value (December 31, 2024: 220 and 100%). Total gross unrealized HTM losses were 19.5% of the fair value of affected securities (December 31, 2024: 21.3%).

Management does not intend to sell and it is likely that management will not be required to sell the securities prior to the anticipated recovery of the cost of these securities. Unrealized losses were attributable primarily to changes in market interest rates, relative to when the investment securities were purchased, and not due to a decrease in the credit quality of the investment securities. The issuers continue to make timely principal and interest payments on the securities. The following describes the processes for identifying credit impairment in security types with the most significant unrealized losses as shown in the preceding tables.

Management believes that all the **US government and federal agencies securities** do not have any credit losses, given the explicit and implicit guarantees provided by the US federal government.

Management believes that all the **Non-US governments debt securities,** which have now matured, did not have any credit losses, given the explicit guarantee provided by the issuing government.

Investments in **Asset-backed securities - Student loans** were composed of securities collateralized by Federal Family Education Loan Program ("FFELP") loans. FFELP loans benefit from a US federal government guarantee of at least 97% of defaulted principal and accrued interest, with additional credit support provided in the form of over-collateralization, subordination and excess spread, which collectively total in excess of 100%.

Investments in **Residential mortgage-backed securities** relate to 13 securities (December 31, 2024: 13) which are rated AAA and possess similar significant credit enhancement as described above. No credit losses were recognized on these securities as the weighted average credit support and the weighted average loan-to-value ratios range from 15.6% - 50.1% and 43.1% - 52.3%, respectively. Current credit support is significantly greater than any delinquencies experienced on the underlying mortgages.

In the following tables, debt securities with unrealized losses that are not deemed to be credit impaired and for which an allowance for credit losses has not been recorded are categorized as being in a loss position for "less than 12 months" or "12 months or more" based on the point in time that the fair value most recently declined below the amortized

cost basis.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **<u>Less than 12 months</u>** | **<u>Less than 12 months</u>** | **<u>12 months or more</u>** | **<u>12 months or more</u>** | | |
|<br>**June 30, 2025** | **Fair<br>value** | **Gross<br> unrealized<br> losses** | **Fair<br>value** | **Gross<br>unrealized<br>losses** |<br>**Total<br> fair value** |<br>**Total gross<br>unrealized<br>losses** |
| **Available-for-sale securities with unrealized losses** | | | | | | |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **293973** | **(1702)** | **1171967** | **(124935)** | **1465940** | **(126637)** |
| &nbsp;&nbsp;&nbsp;Residential mortgage-backed securities | **—** | **—** | **14805** | **(1282)** | **14805** | **(1282)** |
| **Total available-for-sale securities with unrealized losses** | **293973** | **(1702)** | **1186772** | **(126217)** | **1480745** | **(127919)** |
| **Held-to-maturity securities with unrealized losses** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **—** | **—** | **2582872** | **(503275)** | **2582872** | **(503275)** |
|  | <u>Less than 12 months</u> | <u>Less than 12 months</u> | <u>12 months or more</u> | <u>12 months or more</u> |  |  |
| December 31, 2024 | Fair<br>value | Gross<br> unrealized<br> losses | Fair<br>value | Gross<br>unrealized<br>losses | Total<br>fair value | Total gross<br>unrealized<br>losses |
| **Available-for-sale securities with unrealized losses** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | 696835 | (7922) | 1187094 | (154751) | 1883929 | (162673) |
| &nbsp;&nbsp;&nbsp;Non-US governments debt securities |  |  | 93468 | (335) | 93468 | (335) |
| &nbsp;&nbsp;&nbsp;Asset-backed securities - Student loans |  |  | 40 |  | 40 |  |
| &nbsp;&nbsp;&nbsp;Residential mortgage-backed securities |  |  | 15359 | (1709) | 15359 | (1709) |
| **Total available-for-sale securities with unrealized losses** | 696835 | (7922) | 1295961 | (156795) | 1992796 | (164717) |
| **Held-to-maturity securities with unrealized losses** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | 36713 | (476) | 2634326 | (568774) | 2671039 | (569250) |

---

**Investment Maturities**

The following table presents the remaining term to contractual maturity of the Bank's securities. The actual maturities may differ as certain securities offer prepayment options to the borrowers.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Remaining term to maturity** | **Remaining term to maturity** | **Remaining term to maturity** | **Remaining term to maturity** | **Remaining term to maturity** | | |
|<br>**June 30, 2025** | **Within<br> 3 months** | **3 to 12<br> months** | **1 to 5<br> years** | **5 to 10<br> years** | **Over<br>10 years** | **No specific or single<br> maturity** | **Carrying<br> amount** |
| **Available-for-sale** | | | | | | | |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **—** | **244242** | **868869** | **—** | **—** | **1208203** | **2321314** |
| &nbsp;&nbsp;&nbsp;Residential mortgage-backed securities | **—** | **—** | **—** | **—** | **—** | **14804** | **14804** |
| **Total available-for-sale** | **—** | **244242** | **868869** | **—** | **—** | **1223007** | **2336118** |
| **Held-to-maturity** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **—** | **—** | **—** | **—** | **—** | **3122134** | **3122134** |

---

**Pledged Investments**

The Bank pledges certain US government and federal agencies investment securities to further secure the Bank's issued customer deposit products. The secured party does not have the right to sell or repledge the collateral.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 |
| **Pledged investments - secured customer deposit product** | **Amortized<br> cost** | **Fair<br> value** | Amortized<br> cost | Fair<br> value |
| &nbsp;&nbsp;&nbsp;Available-for-sale | **20977** | **19779** | 22888 | 21062 |
| &nbsp;&nbsp;&nbsp;Held-to-maturity | **97470** | **87482** | 95588 | 84003 |

---

As at June 30, 2025, the Bank pledged nil (December 31, 2024: $93.5 million) in non-US governments debt investment securities to secure the Bank's repurchase agreements. Where the secured party has the right to sell or repledge the collateral, the Bank disclosed such pledged financial assets separately in the accompanying consolidated balance sheets.

**Taxability of Interest Income**

None of the investments' interest income have received a specific preferential income tax treatment in any of the jurisdictions in which the Bank owns investments.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 6: Loans**

The principal means of securing residential mortgages, personal, credit card and business loans are entitlements over assets and guarantees. Mortgage loans are generally repayable over periods of up to thirty years and personal and business loans are generally repayable over terms not exceeding five years. Government loans are repayable over a variety of terms which are individually negotiated. Amounts owing on credit cards are revolving and typically a minimum amount is due within 30 days from billing. The credit card portfolio is managed as a single portfolio and includes consumer and business cards. The effective yield on total loans as at June 30, 2025 is 6.06% (December 31, 2024: 6.29%). The interest receivable on total loans as at June 30, 2025 is $10.6 million (December 31, 2024: $8.0 million). The interest receivable is included in Accrued interest and other assets on the consolidated balance sheets and is excluded from all loan amounts disclosed in this note.

**Loans' Credit Quality**

The four credit quality classifications set out in the following tables are defined below and describe the credit quality of the Bank's lending portfolio. These classifications each encompass a range of more granular internal credit rating grades. Loans' internal credit ratings are assigned by the Bank's customer relationship managers as well as members of the Bank's jurisdictional and Group Credit Committees. The borrowers' financial condition is documented at loan origination and maintained periodically thereafter at a frequency which can be up to monthly for certain loans. The loans' performing status, as well as current economic trends, are continuously monitored. The Bank's jurisdictional and Group Credit Committees meet on a monthly basis. The Bank also has a Group Provisions and Impairments Committee which is responsible for approving significant provisions and other impairment charges.

A **pass** loan shall mean a loan that is expected to be repaid as agreed. A loan is classified as pass where the Bank is not expected to face repayment difficulties because the present and projected cash flows are sufficient to repay the debt and the repayment schedule as established by the agreement is being followed. Loans in this category are reviewed by the Bank's management on at least an annual basis.

A **special mention** loan shall mean a loan under close monitoring by the Bank's management on at least a quarterly basis. Loans in this category are currently still performing, but are potentially weak and present an undue credit risk exposure, but not to the point of justifying a classification of substandard.

A **substandard** loan shall mean a loan whose evident unreliability makes repayment doubtful and there is a threat of loss to the Bank unless the unreliability is averted. Loans in this category are under close monitoring by the Bank's management on at least a quarterly basis.

A **non-accrual** loan shall mean either management is of the opinion full payment of principal or interest is in doubt or that the principal or interest is 90 days past due unless it is a residential mortgage loan which is well secured and collection efforts are reasonably expected to result in amounts due. Loans in this category are under close monitoring by the Bank's management on at least a quarterly basis.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

The amortized cost of loans by credit quality classification and allowance for expected credit losses by class of loans is as follows:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Pass** | **Special<br> mention** | **Substandard** | **Non-accrual** | **Total amortized cost** | **Allowance for expected credit losses** | **Total net loans** |
| **Commercial loans** | | | | | | | |
| &nbsp;&nbsp;&nbsp;Government | **278104** | **—** | **—** | **—** | **278104** | **(280)** | **277824** |
| &nbsp;&nbsp;&nbsp;Commercial and industrial | **221531** | **944** | **693** | **17957** | **241125** | **(11929)** | **229196** |
| &nbsp;&nbsp;&nbsp;Commercial overdrafts | **119229** | **1685** | **—** | **254** | **121168** | **(95)** | **121073** |
| **Total commercial loans** | **618864** | **2629** | **693** | **18211** | **640397** | **(12304)** | **628093** |
| **Commercial real estate loans** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial mortgage | **498465** | **531** | **2177** | **2996** | **504169** | **(1137)** | **503032** |
| &nbsp;&nbsp;&nbsp;Construction | **62808** | **—** | **—** | **—** | **62808** | **—** | **62808** |
| **Total commercial real estate loans** | **561273** | **531** | **2177** | **2996** | **566977** | **(1137)** | **565840** |
| **Consumer loans** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Automobile financing | **18569** | **—** | **5** | **109** | **18683** | **(37)** | **18646** |
| &nbsp;&nbsp;&nbsp;Credit card | **91061** | **—** | **372** | **—** | **91433** | **(2268)** | **89165** |
| &nbsp;&nbsp;&nbsp;Overdrafts | **34900** | **—** | **—** | **23** | **34923** | **(390)** | **34533** |
| &nbsp;&nbsp;&nbsp;Other consumer<sup>1</sup> | **41003** | **19** | **821** | **869** | **42712** | **(878)** | **41834** |
| **Total consumer loans** | **185533** | **19** | **1198** | **1001** | **187751** | **(3573)** | **184178** |
| **Residential mortgage loans** | **3039013** | **6708** | **91218** | **71124** | **3208063** | **(8655)** | **3199408** |
| **Total** | **4404683** | **9887** | **95286** | **93332** | **4603188** | **(25669)** | **4577519** |

---

<sup>1</sup> Other consumer loans' amortized cost includes $9 million of cash and portfolio secured lending and $24 million of lending secured by buildings in construction or other collateral.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| December 31, 2024 | Pass | Special<br> mention | Substandard | Non-accrual | Total amortized cost | Allowance for expected credit losses | Total net loans |
| **Commercial loans** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Government | 266303 |  |  |  | 266303 | (462) | 265841 |
| &nbsp;&nbsp;&nbsp;Commercial and industrial | 210911 | 347 | 778 | 18026 | 230062 | (11147) | 218915 |
| &nbsp;&nbsp;&nbsp;Commercial overdrafts | 115558 | 1896 |  | 1 | 117455 | (75) | 117380 |
| **Total commercial loans** | 592772 | 2243 | 778 | 18027 | 613820 | (11684) | 602136 |
| **Commercial real estate loans** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial mortgage | 572875 | 858 | 2301 | 17520 | 593554 | (3267) | 590287 |
| &nbsp;&nbsp;&nbsp;Construction | 48484 |  |  |  | 48484 |  | 48484 |
| **Total commercial real estate loans** | 621359 | 858 | 2301 | 17520 | 642038 | (3267) | 638771 |
| **Consumer loans** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Automobile financing | 18010 |  | 6 | 164 | 18180 | (34) | 18146 |
| &nbsp;&nbsp;&nbsp;Credit card | 90433 |  | 244 |  | 90677 | (1919) | 88758 |
| &nbsp;&nbsp;&nbsp;Overdrafts | 37110 |  |  | 38 | 37148 | (378) | 36770 |
| &nbsp;&nbsp;&nbsp;Other consumer<sup>1</sup> | 45180 |  | 832 | 733 | 46745 | (923) | 45822 |
| **Total consumer loans** | 190733 |  | 1082 | 935 | 192750 | (3254) | 189496 |
| **Residential mortgage loans** | 2849805 | 23619 | 137093 | 40175 | 3050692 | (7504) | 3043188 |
| **Total** | 4254669 | 26720 | 141254 | 76657 | 4499300 | (25709) | 4473591 |

---

<sup>1</sup> Other consumer loans' amortized cost includes $10 million of cash and portfolio secured lending and $27 million of lending secured by buildings in construction or other collateral.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

Based on the most recent analysis performed, the amortized cost of loans by year of origination and credit quality classification is as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Pass** | **Special<br> mention** | **Substandard** | **Non-accrual** | **Total amortized cost** |
| **Loans by origination year** | | | | | |
| &nbsp;&nbsp;&nbsp;2025 | **282072** | **963** | **—** | **—** | **283035** |
| &nbsp;&nbsp;&nbsp;2024 | **517223** | **—** | **257** | **137** | **517617** |
| &nbsp;&nbsp;&nbsp;2023 | **309162** | **—** | **14484** | **44** | **323690** |
| &nbsp;&nbsp;&nbsp;2022 | **788454** | **1490** | **816** | **26** | **790786** |
| &nbsp;&nbsp;&nbsp;2021 | **395262** | **—** | **—** | **14** | **395276** |
| &nbsp;&nbsp;&nbsp;Prior | **1861673** | **5749** | **79357** | **92834** | **2039613** |
| **Overdrafts and credit cards** | **250837** | **1685** | **372** | **277** | **253171** |
| **Total amortized cost** | **4404683** | **9887** | **95286** | **93332** | **4603188** |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| December 31, 2024 | Pass | Special<br> mention | Substandard | Non-accrual | Total amortized cost |
| Loans by origination year |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;2024 | 497053 |  | 267 |  | 497320 |
| &nbsp;&nbsp;&nbsp;2023 | 366278 |  | 506 | 51 | 366835 |
| &nbsp;&nbsp;&nbsp;2022 | 759398 | 888 | 750 | 4 | 761040 |
| &nbsp;&nbsp;&nbsp;2021 | 422496 | 781 |  | 13 | 423290 |
| &nbsp;&nbsp;&nbsp;2020 | 270060 | 451 | 32733 | 7503 | 310747 |
| &nbsp;&nbsp;&nbsp;Prior | 1690525 | 22704 | 106754 | 69047 | 1889030 |
| Overdrafts and credit cards | 248859 | 1896 | 244 | 39 | 251038 |
| Total amortized cost | 4254669 | 26720 | 141254 | 76657 | 4499300 |

---

**Age Analysis of Past Due Loans (Including Non-Accrual Loans)**

The following tables summarize the past due status of the loans. The aging of past due amounts are determined based on the contractual delinquency status of payments under the loan and this aging may be affected by the timing of the last business day at period end. Loans less than 30 days past due are included in current loans.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **30 - 59 <br>days** | **60 - 89 <br>days** | **90 days or more** | **Total past<br> due loans** | **Total <br>current** | **Total <br>amortized cost** |
| **Commercial loans** | | | | | | |
| &nbsp;&nbsp;&nbsp;Government | **—** | **—** | **—** | **—** | **278104** | **278104** |
| &nbsp;&nbsp;&nbsp;Commercial and industrial | **—** | **868** | **17158** | **18026** | **223099** | **241125** |
| &nbsp;&nbsp;&nbsp;Commercial overdrafts | **—** | **—** | **254** | **254** | **120914** | **121168** |
| **Total commercial loans** | **—** | **868** | **17412** | **18280** | **622117** | **640397** |
| **Commercial real estate loans** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial mortgage | **336** | **—** | **2996** | **3332** | **500837** | **504169** |
| &nbsp;&nbsp;&nbsp;Construction | **—** | **—** | **—** | **—** | **62808** | **62808** |
| **Total commercial real estate loans** | **336** | **—** | **2996** | **3332** | **563645** | **566977** |
| **Consumer loans** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Automobile financing | **20** | **8** | **100** | **128** | **18555** | **18683** |
| &nbsp;&nbsp;&nbsp;Credit card | **432** | **156** | **372** | **960** | **90473** | **91433** |
| &nbsp;&nbsp;&nbsp;Overdrafts | **—** | **—** | **23** | **23** | **34900** | **34923** |
| &nbsp;&nbsp;&nbsp;Other consumer | **39** | **25** | **732** | **796** | **41916** | **42712** |
| **Total consumer loans** | **491** | **189** | **1227** | **1907** | **185844** | **187751** |
| **Residential mortgage loans** | **14759** | **6091** | **88991** | **109841** | **3098222** | **3208063** |
| **Total amortized cost** | **15586** | **7148** | **110626** | **133360** | **4469828** | **4603188** |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| December 31, 2024 | 30 - 59 <br>days | 60 - 89 <br>days | 90 days or more | Total past<br> due loans | Total <br>current | Total <br>amortized <br>cost |
| **Commercial loans** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Government |  |  |  |  | 266303 | 266303 |
| &nbsp;&nbsp;&nbsp;Commercial and industrial | 217 |  | 17227 | 17444 | 212618 | 230062 |
| &nbsp;&nbsp;&nbsp;Commercial overdrafts |  |  | 1 | 1 | 117454 | 117455 |
| **Total commercial loans** | 217 |  | 17228 | 17445 | 596375 | 613820 |
| **Commercial real estate loans** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial mortgage | 346 |  | 17520 | 17866 | 575688 | 593554 |
| &nbsp;&nbsp;&nbsp;Construction |  |  |  |  | 48484 | 48484 |
| **Total commercial real estate loans** | 346 |  | 17520 | 17866 | 624172 | 642038 |
| **Consumer loans** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Automobile financing | 83 | 35 | 153 | 271 | 17909 | 18180 |
| &nbsp;&nbsp;&nbsp;Credit card | 514 | 280 | 244 | 1038 | 89639 | 90677 |
| &nbsp;&nbsp;&nbsp;Overdrafts |  |  | 38 | 38 | 37110 | 37148 |
| &nbsp;&nbsp;&nbsp;Other consumer | 739 | 31 | 733 | 1503 | 45242 | 46745 |
| **Total consumer loans** | 1336 | 346 | 1168 | 2850 | 189900 | 192750 |
| **Residential mortgage loans** | 17520 | 5797 | 106965 | 130282 | 2920410 | 3050692 |
| **Total amortized cost** | 19419 | 6143 | 142881 | 168443 | 4330857 | 4499300 |

---

**Changes in Allowances For Credit Losses**

Allowance for expected credit losses remained relatively flat during the six months ended June 30, 2025. As disclosed in Note 2 of the December 31, 2024 Audited Consolidated Financial Statements, the Bank continuously collects and maintains attributes related to financial instruments within the scope of CECL, including current conditions, and reasonable and supportable assumptions about future economic conditions.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** |
| | **Commercial** | **Commercial<br> real estate** | **Consumer** | **Residential<br> mortgage** | **Total** |
| Balance at the beginning of period | **11684** | **3267** | **3254** | **7504** | **25709** |
| &nbsp;&nbsp;&nbsp;Provision increase (decrease) | **865** | **(2087)** | **(24)** | **1073** | **(173)** |
| &nbsp;&nbsp;&nbsp;Recoveries of previous charge-offs | **—** | **—** | **1131** | **86** | **1217** |
| &nbsp;&nbsp;&nbsp;Charge-offs, by origination year |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2025 | **—** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2024 | **—** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2023 | **—** | **—** | **—** | **(30)** | **(30)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2022 | **—** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2021 | **—** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior | **(264)** | **(43)** | **(19)** | **(92)** | **(418)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Overdrafts and credit cards | **(11)** | **—** | **(785)** | **(3)** | **(799)** |
| &nbsp;&nbsp;&nbsp;Other | **30** | **—** | **16** | **117** | **163** |
| **Allowances for expected credit losses at end of period** | **12304** | **1137** | **3573** | **8655** | **25669** |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 |
| | Commercial | Commercial<br> real estate | Consumer | Residential<br> mortgage | Total |
| Balance at the beginning of period | 11248 | 1441 | 3096 | 9974 | 25759 |
| &nbsp;&nbsp;&nbsp;Provision increase (decrease) | (477) | 2488 | 211 | (2148) | 74 |
| &nbsp;&nbsp;&nbsp;Recoveries of previous charge-offs |  |  | 555 | 154 | 709 |
| &nbsp;&nbsp;&nbsp;Charge-offs, by origination year |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2024 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2023 |  |  | (2) |  | (2) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2022 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2021 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2020 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior | (170) | (22) |  | (330) | (522) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Overdrafts and credit cards | (3) |  | (793) |  | (796) |
| &nbsp;&nbsp;&nbsp;Other |  |  |  | (3) | (3) |
| **Allowances for expected credit losses at end of period** | 10598 | 3907 | 3067 | 7647 | 25219 |

---

**Collateral-dependent loans** 

Management identified that the repayment of certain commercial and consumer mortgage loans is expected to be provided substantially through the operation or the sale of the collateral pledged to the Bank ("collateral-dependent loans"). The Bank believes that for the vast majority of loans identified as collateral-dependent, the sale of the collateral will be sufficient to fully reimburse the loan's carrying amount.

**Non-Performing Loans**

During the six months ended June 30, 2025, no interest was recognized on non-accrual loans. No credit deteriorated loans were purchased during the period.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 | December 31, 2024 |
| | **Non-accrual loans with an allowance** | **Non-accrual loans without an allowance** | **Past<br> due 90 days or more and accruing** | **Total non-<br>performing<br> loans** | Non-accrual loans with an allowance | Non-accrual loans without an allowance | Past<br> due 90 days or more and accruing | Total non-<br>performing<br> loans |
| **Commercial loans** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial and industrial | **17157** | **800** | **—** | **17957** | 17209 | 817 |  | 18026 |
| &nbsp;&nbsp;&nbsp;Commercial overdrafts | **—** | **254** | **—** | **254** |  | 1 |  | 1 |
| **Total commercial loans** | **17157** | **1054** | **—** | **18211** | 17209 | 818 |  | 18027 |
| **Commercial real estate loans** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Commercial mortgage | **2903** | **93** | **—** | **2996** | 17410 | 110 |  | 17520 |
| **Total commercial real estate loans** | **2903** | **93** | **—** | **2996** | 17410 | 110 |  | 17520 |
| **Consumer loans** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Automobile financing | **100** | **9** | **—** | **109** | 126 | 38 |  | 164 |
| &nbsp;&nbsp;&nbsp;Credit card | **—** | **—** | **372** | **372** |  |  | 244 | 244 |
| &nbsp;&nbsp;&nbsp;Overdrafts | **—** | **23** | **—** | **23** |  | 38 |  | 38 |
| &nbsp;&nbsp;&nbsp;Other consumer | **518** | **351** | **—** | **869** | 528 | 205 |  | 733 |
| **Total consumer loans** | **618** | **383** | **372** | **1373** | 654 | 281 | 244 | 1179 |
| **Residential mortgage loans** | **50889** | **20235** | **25339** | **96463** | 22630 | 17545 | 72693 | 112868 |
| **Total non-performing loans** | **71567** | **21765** | **25711** | **119043** | 57903 | 18754 | 72937 | 149594 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Loan Modifications Made to Borrowers Experiencing Financial Difficulty**

The following table summarizes the amortized cost basis of loan modifications as at June 30, 2025 and June 30, 2024 made to borrowers experiencing financial difficulty during the six-months ended June 30, 2025 and June 30, 2024.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **<u>Amortized cost basis</u>** | **<u>Amortized cost basis</u>** | **<u>Amortized cost basis</u>** | **<u>Amortized cost basis</u>** | | **<u>Weighted average financial effects</u>** | **<u>Weighted average financial effects</u>** | **<u>Weighted average financial effects</u>** |
|<br>**June 30, 2025** | **Term extension and interest rate<br> reduction** | **Payments delay in # of months** | **Term extension** | **Interest rate<br> reduction** |<br>**In % of the class of loans** | **Months of <br> payment delay** | **Months of term extension** | **Interest rate<br> reduction** |
| Residential mortgage loans | **1855** | **—** | **5977** | **3074** | **0.3%** | **0** | **14** | **3.5%** |

---

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | <u>Amortized cost basis</u> | <u>Amortized cost basis</u> | <u>Amortized cost basis</u> | <u>Amortized cost basis</u> | | <u>Weighted average financial effects</u> | <u>Weighted average financial effects</u> | <u>Weighted average financial effects</u> |
| June 30, 2024 | Term extension and interest rate<br> reduction | Payments delay in # of months | Term extension | Interest rate<br> reduction | In % of the class of loans | Months of <br> payment delay | Months of term extension | Interest rate<br> reduction |
| Commercial mortgage |  |  |  | 648 | 0.1% |  | 0 | 3.0% |
| Other consumer |  |  | 53 | 792 | 1.8% |  | 36 | 3.8% |
| Residential mortgage loans | 19368 |  | 194 | 3768 | 0.7% |  | 26 | 1.7% |

---

**Age analysis and subsequent default of modified loans**.

As at June 30, 2025 and June 30, 2024, all loans for which a concession was granted during the preceding 12 months are current, except for the following:

*<u>Residential mortgage loans:</u>*

–$5.6 million (June 30, 2024: $0.1 million) of residential mortgage loans for which a reduction in interest rate was granted are 30 to 59 days past due; and

–$0.1 million (June 30, 2024: $0.7 million) of residential mortgage loans for which a reduction in interest rate was granted had a payment default and are 90 days or more past due.

**Note 7: Credit risk concentrations**

Concentrations of credit risk in the lending and off-balance sheet credit-related arrangements portfolios arise when a number of customers are engaged in similar business activities, are in the same geographic region, or when they have similar economic features that would cause their ability to meet contractual obligations to be similarly affected by changes in economic conditions. The Bank regularly monitors various segments of its credit risk portfolio to assess potential concentrations of risks and to obtain collateral when deemed necessary. In the Bank's commercial portfolio, risk concentrations are evaluated primarily by industry and by geographic region of loan origination. In the consumer portfolio, concentrations are evaluated primarily by products. Credit exposures include loans, guarantees and acceptances, letters of credit and commitments for undrawn lines of credit. Unconditionally cancellable credit cards and overdraft lines of credit are excluded from the tables below.

The following table summarizes the credit exposure of the Bank by geographic region. The exposure amounts disclosed below do not include accrued interest and are gross of allowances for credit losses and gross of collateral held.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 | December 31, 2024 |
| **Geographic region** | **Cash and cash equivalents, resell agreements and<br> short-term<br> investments** | **Loans** | **Off-balance<br> sheet** | **Total credit<br> exposure** | Cash and cash equivalents, resell agreements and<br> short-term<br> investments | Loans | Off-balance<br> sheet | Total credit<br> exposure |
| &nbsp;&nbsp;&nbsp;Belgium | **3244** | **—** | **—** | **3244** | 2478 |  |  | 2478 |
| &nbsp;&nbsp;&nbsp;Bermuda | **41321** | **1561153** | **203236** | **1805710** | 37227 | 1631461 | 186210 | 1854898 |
| &nbsp;&nbsp;&nbsp;Canada | **1438248** | **—** | **—** | **1438248** | 1417882 |  |  | 1417882 |
| &nbsp;&nbsp;&nbsp;Cayman Islands | **35445** | **1032818** | **214153** | **1282416** | 40675 | 1068142 | 218817 | 1327634 |
| &nbsp;&nbsp;&nbsp;France | **117603** | **—** | **—** | **117603** | 207687 |  |  | 207687 |
| &nbsp;&nbsp;&nbsp;Germany | **2057** | **—** | **—** | **2057** | 1178 |  |  | 1178 |
| &nbsp;&nbsp;&nbsp;Guernsey | **—** | **597903** | **115145** | **713048** | 1 | 552994 | 103979 | 656974 |
| &nbsp;&nbsp;&nbsp;Ireland | **13119** | **—** | **—** | **13119** | 8672 |  |  | 8672 |
| &nbsp;&nbsp;&nbsp;Japan | **56990** | **—** | **—** | **56990** | 121862 |  |  | 121862 |
| &nbsp;&nbsp;&nbsp;Jersey | **—** | **288809** | **59681** | **348490** |  | 223964 | 68217 | 292181 |
| &nbsp;&nbsp;&nbsp;Mauritius | **1391** | **—** | **—** | **1391** | 1055 |  |  | 1055 |
| &nbsp;&nbsp;&nbsp;Norway | **2981** | **—** | **—** | **2981** | 100148 |  |  | 100148 |
| &nbsp;&nbsp;&nbsp;Switzerland | **6674** | **—** | **—** | **6674** | 3377 |  |  | 3377 |
| &nbsp;&nbsp;&nbsp;The Bahamas | **127** | **3218** | **—** | **3345** | 184 | 3791 |  | 3975 |
| &nbsp;&nbsp;&nbsp;United Kingdom | **1359880** | **1119287** | **107181** | **2586348** | 1240116 | 1018948 | 137654 | 2396718 |
| &nbsp;&nbsp;&nbsp;United States | **616235** | **—** | **—** | **616235** | 599264 |  |  | 599264 |
| &nbsp;&nbsp;&nbsp;Other | **1293** | **—** | **—** | **1293** | 1705 |  |  | 1705 |
| **Total gross exposure** | **3696608** | **4603188** | **699396** | **8999192** | 3783511 | 4499300 | 714877 | 8997688 |

---

**Note 8: Deposits**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Demand** | **Demand** | **&nbsp;&nbsp;&nbsp;&nbsp; Total <br>demand <br>deposits** | **Term** | **Term** | **Term** | **Term** | **Total <br>term <br>deposits** | |
| **By Maturity**<br>**June 30, 2025** | **Non-interest<br> bearing** | **Interest <br>bearing** | **&nbsp;&nbsp;&nbsp;&nbsp; Total <br>demand <br>deposits** | **Within 3<br> months** | **3 to 6<br> months** | **6 to 12<br> months** | **After 12 months** | **Total <br>term <br>deposits** |<br>**Total <br>deposits** |
| Demand or less than $100k¹ | **2604866** | **6223187** | **8828053** | **57716** | **13419** | **22595** | **10171** | **103901** | **8931954** |
| Term - $100k or more | **N/A** | **N/A** | **—** | **3097505** | **343127** | **427766** | **37490** | **3905888** | **3905888** |
| **Total deposits** | **2604866** | **6223187** | **8828053** | **3155221** | **356546** | **450361** | **47661** | **4009789** | **12837842** |
|  | Demand | Demand | Total <br>demand <br>deposits | Term | Term | Term | Term | Total <br>term <br>deposits |  |
| December 31, 2024 | Non-interest<br> bearing | Interest <br>bearing | Total <br>demand <br>deposits | Within 3<br> months | 3 to 6<br> months | 6 to 12<br> months | &nbsp;&nbsp;&nbsp;&nbsp;After 12 months | Total <br>term <br>deposits | Total <br>deposits |
| Demand or less than $100k¹ | 2687877 | 5579775 | 8267652 | 51608 | 18035 | 19912 | 10395 | 99950 | 8367602 |
| Term - $100k or more | N/A | N/A |  | 3540636 | 416374 | 348301 | 72996 | 4378307 | 4378307 |
| **Total deposits** | 2687877 | 5579775 | 8267652 | 3592244 | 434409 | 368213 | 83391 | 4478257 | 12745909 |

---

¹The weighted-average interest rate on interest-bearing demand deposits as at June 30, 2025 is 0.79% (December 31, 2024: 0.87%).

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **By Type and Segment** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 |
|  | **Payable <br>on demand** | **Payable on a<br>fixed date** | **Total** | Payable <br>on demand | Payable on a<br>fixed date | Total |
| Bermuda | **3584003** | **901501** | **4485504** | 3535770 | 1245294 | 4781064 |
| Cayman | **2991564** | **1052895** | **4044459** | 2793194 | 1177909 | 3971103 |
| Channel Islands and the UK | **2252486** | **2055393** | **4307879** | 1938688 | 2055054 | 3993742 |
| **Total deposits** | **8828053** | **4009789** | **12837842** | 8267652 | 4478257 | 12745909 |

---

**Note 9: Employee benefit plans**

The Bank maintains trusteed pension plans including non-contributory defined benefit plans and a number of defined contribution plans, and provides post-retirement medical benefits to its qualifying retirees. The defined benefit provisions under the pension plans are generally based upon years of service and average salary during the relevant years of employment. The defined benefit and post-retirement medical plans are not open to new participants and are non-contributory and the funding required is provided by the Bank, based upon the advice of independent actuaries. The defined benefit pension plans are in the Bermuda, Guernsey and UK jurisdictions, and the defined benefit post-retirement medical plan is in Bermuda. The Bank has a residual obligation on top of its defined contribution plan in Mauritius.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

The Bank included an estimate of the 2025 Bank contribution and estimated benefit payments for the next ten years under the pension and post-retirement plans in its audited financial statements for the year ended December 31, 2024. During the six months ended June 30, 2025, there have been no material revisions to these estimates.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | Three months ended | Three months ended | Six months ended | Six months ended |
| |<br>**Line item in the consolidated statements of operations** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| **Defined benefit pension expense (income)** | **Defined benefit pension expense (income)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Interest cost | Non-service employee benefits expense | **1318** | 1277 | **2599** | 2556 |
| &nbsp;&nbsp;&nbsp;Expected return on plan assets | Non-service employee benefits expense | **(1709)** | (1552) | **(3328)** | (3107) |
| &nbsp;&nbsp;&nbsp;Amortization of net actuarial (gains) losses | Non-service employee benefits expense | **587** | 589 | **1170** | 1178 |
| &nbsp;&nbsp;&nbsp;Amortization of prior service (credit) cost | Non-service employee benefits expense | **21** | 19 | **41** | 39 |
| **Total defined benefit pension expense (income)** | **Total defined benefit pension expense (income)** | **217** | 333 | **482** | 666 |
| **Post-retirement medical benefit expense (income)** | **Post-retirement medical benefit expense (income)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Service cost | Salaries and other employee benefits | **11** | 13 | **22** | 27 |
| &nbsp;&nbsp;&nbsp;Interest cost | Non-service employee benefits expense | **1093** | 1097 | **2185** | 2193 |
| &nbsp;&nbsp;&nbsp;Amortization of net actuarial (gains) losses | Non-service employee benefits expense | **131** | 131 | **262** | 262 |
| &nbsp;&nbsp;&nbsp;Amortization of prior service (credit) cost | Non-service employee benefits expense | **(150)** | (578) | **(301)** | (1156) |
| **Total post-retirement medical benefit expense (income)** | **Total post-retirement medical benefit expense (income)** | **1085** | 663 | **2168** | 1326 |

---

The components of defined benefit pension expense (income) and post-retirement benefit expense (income) other than the service cost component are included in the line item non-service employee benefits expense in the consolidated statements of income.

**Note 10: Credit related arrangements, repurchase agreements and commitments**

**Commitments**

The Bank enters into contractual commitments to extend credit, normally with fixed expiration dates or termination clauses, at specified rates and for specific purposes. Substantially all of the Bank's commitments to extend credit are contingent upon customers maintaining specific credit standards at the time of loan funding. Management assesses the credit risk associated with certain commitments to extend credit in determining the level of the allowance for expected credit losses.

The Bank has a facility with one of its custodians, whereby the Bank may offer up to $200 million of standby letters of credit to its customers on a fully secured basis. Under the standard terms of the facility, the custodian has the right to set-off against securities held of 110% of the utilized facility. At June 30, 2025, $136.1 million (December 31, 2024: $138.4 million) of standby letters of credit were issued under this facility.

---

| | | |
|:---|:---|:---|
| **Outstanding unfunded commitments to extend credit** | **June 30, 2025** | December 31, 2024 |
| &nbsp;&nbsp;&nbsp;Commitments to extend credit | **463798** | 475289 |
| &nbsp;&nbsp;&nbsp;Documentary and commercial letters of credit | **1006** | 1576 |
| **Total unfunded commitments to extend credit** | **464804** | 476865 |
| &nbsp;&nbsp;&nbsp;Allowance for credit losses | **(92)** | (90) |

---

**Credit-Related Arrangements**

Standby letters of credit and letters of guarantee are issued at the request of a Bank customer in order to secure the customer's payment or performance obligations to a third party. These guarantees represent an irrevocable obligation of the Bank to pay the third party beneficiary upon presentation of the guarantee and satisfaction of the documentary requirements stipulated therein, without investigation as to the validity of the beneficiary's claim against the customer. Generally, the term of the standby letters of credit does not exceed one year, while the term of the letters of guarantee does not exceed four years. The types and amounts of collateral security held by the Bank for these standby letters of credit and letters of guarantee are generally represented by deposits with the Bank or a charge over assets held in mutual funds.

The Bank considers the fees collected in connection with the issuance of standby letters of credit and letters of guarantee to be representative of the fair value of its obligation undertaken in issuing the guarantee. In accordance with applicable accounting standards related to guarantees, the Bank defers fees collected in connection with the issuance of standby letters of credit and letters of guarantee. The fees are then recognized in income proportionately over the life of the credit agreements. The following table presents the outstanding financial guarantees. Collateral is shown at estimated market value less selling cost. Where the collateral is cash, it is shown gross including accrued income.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 |
| **Outstanding financial guarantees** | **Gross** | **Collateral** | **Net** | Gross | Collateral | Net |
| &nbsp;&nbsp;&nbsp;Standby letters of credit | **233090** | **210940** | **22150** | 236220 | 207267 | 28953 |
| &nbsp;&nbsp;&nbsp;Letters of guarantee | **1502** | **1466** | **36** | 1792 | 1756 | 36 |
| **Total** | **234592** | **212406** | **22186** | 238012 | 209023 | 28989 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Repurchase agreements**

The Bank utilizes repurchase agreements and resell agreements (reverse repurchase agreements) to manage liquidity that are carried at the amounts at which the securities will be subsequently sold or repurchased. The risks of these transactions include changes in the fair value of the securities posted or received as collateral and other credit related events. The Bank manages these risks by ensuring that the collateral involved is appropriate and by monitoring the value of the securities posted or received as collateral on a daily basis.

As at June 30, 2025, the Bank had 12 open positions (December 31, 2024: 15) in resell agreements with a remaining maturity of less than 120 days involving pools of mortgages issued by US federal agencies and Non-US government debt securities. The carrying value of these resell agreements is $1.1 billion (December 31, 2024: $1.2 billion) and are included in securities purchased under agreements to resell on the consolidated balance sheets. As at June 30, 2025, there were no positions (December 31, 2024: no positions) which were offset on the consolidated balance sheets to arrive at the carrying value, and there was no collateral amount which was available to offset against the future settlement amount.

As at June 30, 2025, the Bank had no open positions in a repurchase agreement. As at December 31, 2024, the Bank had one open position in a repurchase agreement with a remaining maturity of less than 30 days involving one Non-US government debt security, with the carrying value of the repurchase agreement being $92.6 million.

**Legal Proceedings**

There are actions and legal proceedings pending against the Bank and its subsidiaries which arose in the normal course of its business. Management, after reviewing all actions and proceedings pending against or involving the Bank and its subsidiaries, considers that the resolution of these matters would in the aggregate not be material to the consolidated financial position of the Bank, except as noted in the following paragraph.

As publicly announced, in November 2013, the US Attorney's Office for the Southern District of New York applied for and secured the issuance of so-called John Doe Summonses to six US financial institutions with which the Bank had correspondent bank relationships in connection with a US cross border tax investigation. On August 3, 2021, the Bank announced it had reached a resolution with the United States Department of Justice concerning this inquiry. The resolution is in the form of a non-prosecution agreement with a three-year term which concluded in July 2024. The Bank paid $5.6 million in respect of Forfeiture and Tax Restitution Amounts which is consistent with that previously provisioned for.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 11: Leases**

The Bank enters into operating lease agreements either as the lessee or the lessor, mostly for office and parking spaces as well as for small office equipment. The terms of the existing leases, including renewal options that are reasonably certain to be exercised, extend up to the year 2038. Certain lease payments will be adjusted during the related lease's term based on movements in the relevant consumer price index.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| **Lease costs** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Operating lease costs | **1944** | 1385 | **3785** | 2773 |
| &nbsp;&nbsp;&nbsp;Short-term lease costs | **312** | 1022 | **607** | 1840 |
| &nbsp;&nbsp;&nbsp;Sublease income | **—** | 861 | **—** | 572 |
| **Total net lease cost** | **2256** | 3268 | **4392** | 5185 |
| **Operating lease income** | **92** | 584 | **198** | 694 |
| **Other information for the period** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Right-of-use assets related to new operating lease liabilities | **—** | 1262 | **766** | 1262 |
| &nbsp;&nbsp;&nbsp;Operating cash flows from operating leases | **1529** | 1925 | **2974** | 3848 |
| **Other information at end of period** |  |  | **June 30, 2025** | December 31, 2024 |
| &nbsp;&nbsp;&nbsp;Operating leases right-of-use assets (included in other assets on the balance sheets) | &nbsp;&nbsp;&nbsp;Operating leases right-of-use assets (included in other assets on the balance sheets) |  | **37372** | 35347 |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities (included in other liabilities on the balance sheets) | &nbsp;&nbsp;&nbsp;Operating lease liabilities (included in other liabilities on the balance sheets) |  | **38236** | 35604 |
| &nbsp;&nbsp;&nbsp;Weighted average remaining lease term for operating leases (in years) |  |  | **11.91** | 11.87 |
| &nbsp;&nbsp;&nbsp;Weighted average discount rate for operating leases |  |  | **5.94%** | 5.93% |
| The following table summarizes the maturity analysis of the Bank's commitments for long-term leases as at December 31, 2024: | The following table summarizes the maturity analysis of the Bank's commitments for long-term leases as at December 31, 2024: | The following table summarizes the maturity analysis of the Bank's commitments for long-term leases as at December 31, 2024: | The following table summarizes the maturity analysis of the Bank's commitments for long-term leases as at December 31, 2024: |  |
| **Year ending December 31** |  |  |  | **Operating Leases** |
| &nbsp;&nbsp;&nbsp;2025 |  |  |  | **5249** |
| &nbsp;&nbsp;&nbsp;2026 |  |  |  | **4910** |
| &nbsp;&nbsp;&nbsp;2027 |  |  |  | **4911** |
| &nbsp;&nbsp;&nbsp;2028 |  |  |  | **4909** |
| &nbsp;&nbsp;&nbsp;2029 |  |  |  | **3667** |
| &nbsp;&nbsp;&nbsp;2030 & thereafter |  |  |  | **16746** |
| **Total commitments** |  |  |  | **40392** |
| &nbsp;&nbsp;&nbsp;Less: effect of discounting cash flows to their present value |  |  |  | **(4788)** |
| **Operating lease liabilities** |  |  |  | **35604** |

---

**Note 12: Segmented information**

The Bank is managed by the Chairman & CEO, its Chief Operating Decision Maker ("CODM"), on a geographic basis. The Bank presents four reportable segments, three geographical and one other: Bermuda, Cayman, Channel Islands and the UK, and Other. The Other segment is composed of several non-reportable operating segments that have been aggregated in accordance with GAAP. Each reportable segment has a managing director who reports to the Chairman & CEO. The Chairman & CEO and the segment managing director have final authority over resource allocation decisions and performance assessment.

The geographic segments reflect this management structure and the manner in which financial information is currently evaluated by the Chairman & CEO in assessing operating

performance. Segment results are determined based on the Bank's management reporting system, which assigns balance sheet and statement of operations items to each of

the geographic segments. The process is designed around the Bank's organizational and management structure and, accordingly, the results derived are not necessarily

comparable with similar information published by other financial institutions. A description of each reportable segment and table of financial results is presented below.

Accounting policies of the reportable segments are the same as those described in Note 2 of the Bank's audited financial statements for the year ended December 31, 2024. Transactions between segments are accounted for on an accrual basis and are all eliminated upon consolidation. The Bank generally does not allocate assets, revenues and expenses among its business segments, with the exception of certain corporate overhead expenses and loan participation revenue and expenses. Loan participation revenue and expenses are allocated pro-rata based upon the percentage of the total loan funded by each jurisdiction participating in the loan. Other expenses are comprised of marketing, non-service employee benefits and other non-interest expenses.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

The **Bermuda** segment provides a comprehensive range of retail, commercial and private banking services. Retail services are offered to individuals and small to medium-sized businesses through three branch locations and through internet banking, mobile banking, automated teller machines and debit cards. Retail services include deposit services,

consumer and mortgage lending, credit cards and personal insurance products. Commercial banking includes commercial lending and mortgages, cash management, payroll

services, remote banking and letters of credit. Treasury services include money market and foreign exchange activities. Bermuda's wealth management offering consists of

Butterfield Asset Management Limited, which provides investment management, advisory and brokerage services and Butterfield Trust (Bermuda) Limited, which provides trust,

estate, company management and custody services. Bermuda is also the location of the Bank's head offices and accordingly, retains the unallocated corporate overhead

expenses.

The **Cayman** segment provides a comprehensive range of retail, commercial and private banking services. Retail services are offered to individuals and small to medium-sized businesses through three branch locations and through internet banking, mobile banking, ATMs and debit cards. Retail services include deposit services, consumer and

mortgage lending, credit cards and property/auto insurance. Commercial banking includes commercial lending and mortgages, cash management, payroll services, remote

banking and letters of credit. Treasury services include money market and foreign exchange activities. Cayman's wealth management offering comprises investment

management, advisory and brokerage services and Butterfield Trust (Cayman) Limited, which provides trust, estate and company management.

The **Channel Islands and the UK** segment includes the jurisdictions of Guernsey and Jersey (Channel Islands), and the UK. In the Channel Islands, a broad range of services

are provided to individuals, private clients, trusts, financial institutions and funds including deposit services, mortgage lending, credit cards, private and corporate banking, treasury services, internet banking, wealth management and fiduciary services. The UK jurisdiction provides mortgage services for high-value residential properties.

The **Other** segment includes the jurisdictions of The Bahamas, Canada, Mauritius, Singapore and Switzerland. These operating segments individually and collectively do not

meet the quantitative threshold for segmented reporting and are therefore aggregated as non-reportable operating segments.

---

| | | |
|:---|:---|:---|
| **Total Assets by Segment** | **June 30, 2025** | December 31, 2024 |
| &nbsp;&nbsp;&nbsp;Bermuda | **5043216** | 5438279 |
| &nbsp;&nbsp;&nbsp;Cayman | **4409304** | 4337829 |
| &nbsp;&nbsp;&nbsp;Channel Islands and the UK | **4773869** | 4526623 |
| &nbsp;&nbsp;&nbsp;Other | **70292** | 62682 |
| **Total assets before inter-segment eliminations** | **14296681** | 14365413 |
| &nbsp;&nbsp;&nbsp;Less: inter-segment eliminations | **(111679)** | (134017) |
| **Total** | **14185002** | 14231396 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Three months ended June 30, 2025** | **Bermuda** | **Cayman** | **Channel Islands and the UK** | **Other** | **Total before eliminations** | **Inter-segment eliminations** | **Total** |
| &nbsp;&nbsp;&nbsp;**Interest income** | | | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | **53527** | **40123** | **47227** | **35** | **140912** | **—** | **140912** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income - Inter-segment | **1** | **795** | **2** | **—** | **798** | **(798)** | **—** |
| &nbsp;&nbsp;&nbsp;**Interest income Total** | **53528** | **40918** | **47229** | **35** | **141710** | **(798)** | **140912** |
| &nbsp;&nbsp;&nbsp;**Interest expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | **11747** | **10480** | **29280** | **—** | **51507** | **—** | **51507** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense - Inter-segment | **788** | **—** | **10** | **—** | **798** | **(798)** | **—** |
| &nbsp;&nbsp;&nbsp;**Interest expense Total** | **12535** | **10480** | **29290** | **—** | **52305** | **(798)** | **51507** |
| &nbsp;&nbsp;&nbsp;**Net interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income | **41780** | **29643** | **17947** | **35** | **89405** | **—** | **89405** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income - Inter-segment | **(787)** | **795** | **(8)** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;**Net interest income Total** | **40993** | **30438** | **17939** | **35** | **89405** | **—** | **89405** |
| &nbsp;&nbsp;&nbsp;**Non-interest income** | **24272** | **17388** | **10456** | **11251** | **63367** | **(6348)** | **57019** |
| &nbsp;&nbsp;**Allowance for credit losses** | **75** | **(36)** | **(248)** | **—** | **(209)** | **—** | **(209)** |
| &nbsp;&nbsp;**Net revenue before gains and losses** | **65340** | **47790** | **28147** | **11286** | **152563** | **(6348)** | **146215** |
| &nbsp;&nbsp;&nbsp;**Gains and losses** | **1** | **—** | **68** | **—** | **69** | **—** | **69** |
| &nbsp;&nbsp;&nbsp;**Total net revenue** | **65341** | **47790** | **28215** | **11286** | **152632** | **(6348)** | **146284** |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and other employee benefits | **19437** | **7106** | **11391** | **7507** | **45441** | **—** | **45441** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Technology and communications | **7875** | **3534** | **2263** | **368** | **14040** | **—** | **14040** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-income taxes | **4439** | **417** | **632** | **361** | **5849** | **—** | **5849** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional and outside services | **3176** | **500** | **1209** | **267** | **5152** | **—** | **5152** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property | **2293** | **742** | **1925** | **643** | **5603** | **—** | **5603** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | **357** | **275** | **914** | **431** | **1977** | **—** | **1977** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | **3434** | **1150** | **724** | **129** | **5437** | **—** | **5437** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax benefit (expense) | **—** | **—** | **932** | **276** | **1208** | **—** | **1208** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other expenses | **10820** | **3586** | **(663)** | **857** | **14600** | **(6348)** | **8252** |
| &nbsp;&nbsp;&nbsp;**Expenses Total** | **51831** | **17310** | **19327** | **10839** | **99307** | **(6348)** | **92959** |
| &nbsp;&nbsp;&nbsp;**Net income** | **13510** | **30480** | **8888** | **447** | **53325** | **—** | **53325** |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| Three months ended June 30, 2024 | Bermuda | Cayman | Channel Islands and the UK | Other | Total before eliminations | Inter-segment eliminations | Total |
| &nbsp;&nbsp;&nbsp;**Interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | 56240 | 39993 | 51289 | 59 | 147581 |  | 147581 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income - Inter-segment | 2036 | 1481 | 819 |  | 4336 | (4336) |  |
| &nbsp;&nbsp;&nbsp;**Interest income Total** | 58276 | 41474 | 52108 | 59 | 151917 | (4336) | 147581 |
| &nbsp;&nbsp;&nbsp;**Interest expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | 13808 | 11409 | 34928 |  | 60145 |  | 60145 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense - Inter-segment | 2289 | 9 | 2038 |  | 4336 | (4336) |  |
| &nbsp;&nbsp;&nbsp;**Interest expense Total** | 16097 | 11418 | 36966 |  | 64481 | (4336) | 60145 |
| &nbsp;&nbsp;&nbsp;**Net interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income | 42432 | 28584 | 16361 | 59 | 87436 |  | 87436 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income - Inter-segment | (253) | 1472 | (1219) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Net interest income Total** | 42179 | 30055 | 15143 | 59 | 87436 |  | 87436 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-interest income | 23216 | 16562 | 10775 | 10602 | 61155 | (5508) | 55647 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Allowance for credit losses | (714) | 262 | (31) |  | (483) |  | (483) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net revenue before gains and losses | 64681 | 46880 | 25886 | 10661 | 148108 | (5508) | 142600 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gains and losses | 82 |  | (18) |  | 64 |  | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total net revenue | 64763 | 46880 | 25868 | 10661 | 148172 | (5508) | 142664 |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and other employee benefits | 19358 | 6881 | 11137 | 6479 | 43855 |  | 43855 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Technology and communications | 7843 | 3573 | 2550 | 345 | 14311 |  | 14311 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-income taxes | 4170 | 443 | 654 | 320 | 5587 |  | 5587 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional and outside services | 3868 | 688 | 1895 | 236 | 6687 |  | 6687 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property | 2228 | 670 | 1897 | 619 | 5414 |  | 5414 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | 357 | 275 | 853 | 404 | 1889 |  | 1889 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 3249 | 1167 | 806 | 144 | 5366 |  | 5366 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax benefit (expense) |  |  | 690 | 241 | 931 |  | 931 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other expenses | 9721 | 3169 | (82) | 734 | 13542 | (5508) | 8034 |
| &nbsp;&nbsp;&nbsp;**Expenses Total** | 50794 | 16866 | 20399 | 9522 | 97581 | (5508) | 92073 |
| &nbsp;&nbsp;&nbsp;**Net income** | 13969 | 30014 | 5469 | 1139 | 50591 |  | 50591 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Six months ended June 30, 2025** | **Bermuda** | **Cayman** | **Channel Islands and the UK** | **Other** | **Total before eliminations** | **Inter-segment eliminations** | **Total** |
| &nbsp;&nbsp;&nbsp;**Interest income** | | | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | **107717** | **79949** | **93185** | **73** | **280924** | **—** | **280924** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income - Inter-segment | **278** | **1761** | **35** | **—** | **2074** | **(2074)** | **—** |
| &nbsp;&nbsp;&nbsp;**Interest income Total** | **107995** | **81710** | **93220** | **73** | **282998** | **(2074)** | **280924** |
| &nbsp;&nbsp;&nbsp;**Interest expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | **23549** | **20781** | **57862** | **—** | **102192** | **—** | **102192** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense - Inter-segment | **1785** | **—** | **289** | **—** | **2074** | **(2074)** | **—** |
| &nbsp;&nbsp;&nbsp;**Interest expense Total** | **25334** | **20781** | **58151** | **—** | **104266** | **(2074)** | **102192** |
| &nbsp;&nbsp;&nbsp;**Net interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income | **84168** | **59168** | **35323** | **73** | **178732** | **—** | **178732** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income - Inter-segment | **(1507)** | **1761** | **(254)** | **—** | **—** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;**Net interest income Total** | **82661** | **60929** | **35069** | **73** | **178732** | **—** | **178732** |
| &nbsp;&nbsp;&nbsp;**Non-interest income** | **47230** | **36993** | **21487** | **22092** | **127802** | **(12353)** | **115449** |
| &nbsp;&nbsp;**Allowance for credit losses** | **2952** | **(156)** | **(2626)** | **—** | **170** | **—** | **170** |
| &nbsp;&nbsp;**Net revenue before gains and losses** | **132843** | **97766** | **53930** | **22165** | **306704** | **(12353)** | **294351** |
| &nbsp;&nbsp;&nbsp;**Gains and losses** | **22** | **—** | **72** | **—** | **94** | **—** | **94** |
| &nbsp;&nbsp;&nbsp;**Total net revenue** | **132865** | **97766** | **54002** | **22165** | **306798** | **(12353)** | **294445** |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and other employee benefits | **38630** | **15007** | **22841** | **14491** | **90969** | **—** | **90969** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Technology and communications | **15805** | **7007** | **4374** | **696** | **27882** | **—** | **27882** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-income taxes | **9307** | **992** | **1242** | **802** | **12343** | **—** | **12343** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional and outside services | **6740** | **972** | **2414** | **470** | **10596** | **—** | **10596** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property | **4639** | **1530** | **3727** | **1263** | **11159** | **—** | **11159** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | **714** | **551** | **1767** | **842** | **3874** | **—** | **3874** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | **6855** | **2224** | **1436** | **254** | **10769** | **—** | **10769** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax benefit (expense) | **—** | **—** | **1862** | **525** | **2387** | **—** | **2387** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other expenses | **20847** | **7182** | **13** | **1688** | **29730** | **(12353)** | **17377** |
| &nbsp;&nbsp;&nbsp;**Expenses Total** | **103537** | **35465** | **39676** | **21031** | **199709** | **(12353)** | **187356** |
| &nbsp;&nbsp;&nbsp;**Net income** | **29328** | **62301** | **14326** | **1134** | **107089** | **—** | **107089** |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| Six months ended June 30, 2024 | Bermuda | Cayman | Channel Islands and the UK | Other | Total before eliminations | Inter-segment eliminations | Total |
| &nbsp;&nbsp;&nbsp;**Interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | 111117 | 81189 | 97865 | 122 | 290293 |  | 290293 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income - Inter-segment | 4147 | 3058 | 911 |  | 8116 | (8116) |  |
| &nbsp;&nbsp;&nbsp;**Interest income Total** | 115264 | 84247 | 98776 | 122 | 298409 | (8116) | 290293 |
| &nbsp;&nbsp;&nbsp;**Interest expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | 27282 | 22690 | 65807 |  | 115779 |  | 115779 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense - Inter-segment | 3943 | 29 | 4144 |  | 8116 | (8116) |  |
| &nbsp;&nbsp;&nbsp;**Interest expense Total** | 31225 | 22719 | 69951 |  | 123895 | (8116) | 115779 |
| &nbsp;&nbsp;&nbsp;**Net interest income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income | 83835 | 58499 | 32058 | 122 | 174514 |  | 174514 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net interest income - Inter-segment | 204 | 3029 | (3233) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Net interest income Total** | 84039 | 61528 | 28825 | 122 | 174514 |  | 174514 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-interest income | 44732 | 33874 | 22096 | 20880 | 121582 | (10842) | 110740 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Allowance for credit losses | (231) | 205 | (48) |  | (74) |  | (74) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net revenue before gains and losses | 128540 | 95607 | 50873 | 21002 | 296022 | (10842) | 285180 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gains and losses | 104 |  | 197 |  | 301 |  | 301 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total net revenue | 128644 | 95607 | 51070 | 21002 | 296323 | (10842) | 285481 |
| &nbsp;&nbsp;&nbsp;**Expenses** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and other employee benefits | 37758 | 13441 | 22534 | 12895 | 86628 |  | 86628 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Technology and communications | 15115 | 7011 | 4841 | 693 | 27660 |  | 27660 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-income taxes | 9033 | 996 | 1145 | 717 | 11891 |  | 11891 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional and outside services | 7340 | 1283 | 3064 | 513 | 12200 |  | 12200 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property | 4649 | 1410 | 4045 | 1225 | 11329 |  | 11329 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible assets | 715 | 551 | 1706 | 848 | 3820 |  | 3820 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 6564 | 2336 | 1750 | 301 | 10951 |  | 10951 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax benefit (expense) |  |  | 1365 | 420 | 1785 |  | 1785 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other expenses | 18375 | 6276 | (104) | 1490 | 26037 | (10842) | 15195 |
| &nbsp;&nbsp;&nbsp;**Expenses Total** | 99549 | 33304 | 40346 | 19102 | 192301 | (10842) | 181459 |
| &nbsp;&nbsp;&nbsp;**Net income** | 29095 | 62303 | 10724 | 1900 | 104022 |  | 104022 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 13: Derivative instruments and risk management**

The Bank uses derivatives for risk management purposes and to meet the needs of its customers. The Bank's derivative contracts principally involve over-the-counter ("OTC") transactions that are negotiated privately between the Bank and the counterparty to the contract and include interest rate contracts and foreign exchange contracts.

The Bank may pursue opportunities to reduce its exposure to credit losses on derivatives by entering into International Swaps and Derivatives Association ("ISDAs"). Depending on the nature of the derivative transaction, bilateral collateral arrangements may be used, as well. When the Bank is engaged in more than one outstanding derivative transaction with the same counterparty, and also has a legally enforceable master netting agreement with that counterparty, the net marked-to-market exposure represents the netting of the positive and negative exposures with that counterparty. When there is a net negative exposure, the Bank regards its credit exposure to the counterparty as being zero. The net marked-to-market position with a particular counterparty represents a reasonable measure of credit risk when there is a legally enforceable master netting agreement between the Bank and that counterparty.

Certain of these agreements contain credit risk-related contingent features in which the counterparty has the option to accelerate cash settlement of the Bank's net derivative liabilities with the counterparty in the event the Bank's credit rating falls below specified levels or the liabilities reach certain levels.

All derivative financial instruments, whether designated as hedges or not, are recorded on the consolidated balance sheets at fair value within other assets or other liabilities. These amounts include the effect of netting. The accounting for changes in the fair value of a derivative in the consolidated statements of operations depends on whether the contract has been designated as a hedge and qualifies for hedge accounting.

**Notional Amounts**

The notional amounts are not recorded as assets or liabilities on the consolidated balance sheets as they represent the face amount of the contract to which a rate or price is applied to determine the amount of cash flows to be exchanged. Notional amounts represent the volume of outstanding transactions and do not represent the potential gain or loss associated with market risk or credit risk of such instruments. Credit risk is limited to the positive fair value of the derivative instrument, which is significantly less than the notional amount.

**Fair Value**

Derivative instruments, in the absence of any compensating up-front cash payments, generally have no market value at inception. They obtain value, positive or negative, as relevant interest rates, exchange rates, equity or commodity prices or indices change. The potential for derivatives to increase or decrease in value as a result of the foregoing factors is generally referred to as market risk. Market risk is managed within clearly defined parameters as prescribed by senior management of the Bank. The fair value is defined as the profit or loss associated with replacing the derivative contracts at prevailing market prices.

**Risk Management Derivatives**

The Bank enters into interest derivative contracts as part of its overall interest rate risk management strategy to minimize significant unplanned fluctuations in earnings that are caused by interest rate volatility. The Bank's goal is to manage interest rate sensitivity by modifying the repricing or maturity characteristics of certain consolidated balance sheet assets and liabilities so that movements in interest rates do not adversely affect the net interest margin. Derivative instruments that are used as part of the Bank's risk management strategy include interest rate swap contracts that have indices related to the pricing of specific consolidated balance sheet assets and liabilities. Interest rate swaps generally involve the exchange of fixed and variable-rate interest payments between two parties, based on a common notional principal amount and maturity date. The Bank uses foreign currency derivative instruments to hedge its exposure to foreign currency risk. Certain hedging relationships are formally designated and qualify for hedge accounting as fair value or net investment hedges. Risk management derivatives comprise fair value hedges, net investment hedges and derivatives not formally designated as hedges as described below.

**Fair value hedges** include designated currency swaps that are used to minimize the Bank's exposure to variability in the fair value of AFS investments due to movements in foreign exchange rates. The effective portion of changes in the fair value of the hedged items attributable to foreign exchange rates is recognized in current year earnings consistent with the related change in fair value of the hedging instrument. For fair value hedges, hedging effectiveness of the hedged item and the hedging instrument are assessed and managed at inception and on an ongoing basis using a partial-term method.

**Net investment hedges** include designated currency swaps and qualifying non-derivative instruments and are used to minimize the Bank's exposure to variability in the foreign

currency translation of net investments in foreign operations. The effective portion of changes in the fair value of the hedging instrument is recognized in Accumulated other comprehensive income (loss) ("AOCIL") consistent with the related translation gains and losses of the hedged net investment. For net investment hedges, all critical terms of the hedged item and the hedging instrument are matched at inception and on an ongoing basis to minimize the risk of hedge ineffectiveness.

For derivatives designated as net investment hedges, the Bank follows the method based on changes in spot exchange rates. Accordingly:

&nbsp;&nbsp;&nbsp;&nbsp;- The change in the fair value of the derivative instrument that is reported in AOCIL (i.e., the effective portion) is determined by the changes in spot exchange rates.

&nbsp;&nbsp;&nbsp;&nbsp;- The change in the fair value of the derivative instrument attributable to changes in the difference between the forward rate and spot rate are excluded from the measure

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;of the hedge ineffectiveness and that difference is reported directly in the consolidated statements of operations under foreign exchange revenue.

Amounts recorded in AOCIL are reclassified to earnings only upon the sale or substantial liquidation of an investment in a foreign subsidiary.

For foreign-currency-denominated financial instruments that are designated as hedges of net investments in foreign operations, the translation gain or loss that is recorded in AOCIL is based on the spot exchange rate between the reporting currency of the Bank and the functional currency of the respective subsidiary. See Note 20**:** Accumulated other comprehensive income (loss) for details on the amount recognized into AOCIL during the current period from translation gain or loss.

**Derivatives not formally designated as hedges** are entered into to manage the foreign exchange risk of the Bank's exposure. Changes in the fair value of derivative instruments not formally designated as hedges are recognized in foreign exchange revenue.

**Client service derivatives**

The Bank enters into foreign exchange contracts primarily to meet the foreign exchange needs of its customers. Foreign exchange contracts are agreements to exchange specific amounts of currencies at a future date at a specified rate of exchange. Changes in the fair value of client services derivative instruments are recognized in foreign exchange revenue.

The following table shows the aggregate notional amounts of derivative contracts outstanding listed by type and respective gross positive or negative fair values and classified by those used for risk management (sub-classified as hedging and those that do not qualify for hedge accounting), client services and credit derivatives. Fair value of derivatives is

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

recorded in the consolidated balance sheets in other assets and other liabilities. Gross positive fair values are recorded in other assets and gross negative fair values are recorded in other liabilities, subject to netting when master netting agreements are in place.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Derivative instrument** | **Number of contracts** | **Notional <br>amounts** | **Gross<br> positive<br>fair value** | **Gross<br> negative<br>fair value** | **Net <br>fair value** |
| **Risk management derivatives** | | | | | | |
| &nbsp;&nbsp;&nbsp;Net investment hedges | Currency swaps | **3** | **85547** | **148** | **(802)** | **(654)** |
| &nbsp;&nbsp;&nbsp;Fair value hedges | Currency swaps | **3** | **135599** | **5038** | **—** | **5038** |
| &nbsp;&nbsp;&nbsp;Derivatives not formally designated as hedging instruments | Currency swaps | **55** | **1647173** | **8308** | **(30814)** | **(22506)** |
| Subtotal risk management derivatives |  |  | **1868319** | **13494** | **(31616)** | **(18122)** |
| **Client services derivatives** | Spot and forward foreign exchange | **145** | **222816** | **1792** | **(1699)** | **93** |
| **Total derivative instruments** |  |  | **2091135** | **15286** | **(33315)** | **(18029)** |
| December 31, 2024 | Derivative instrument | Number of contracts | Notional <br>amounts | Gross<br> positive<br>fair value | Gross<br> negative<br>fair value | Net <br>fair value |
| **Risk management derivatives** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Net investment hedges | Currency swaps | 1 | 23235 | 986 |  | 986 |
| &nbsp;&nbsp;&nbsp;Fair value hedges | Currency swaps | 3 | 139512 |  | (4496) | (4496) |
| &nbsp;&nbsp;&nbsp;Derivatives not formally designated as hedging instruments | Currency swaps | 54 | 2008630 | 44038 | (7181) | 36857 |
| Subtotal risk management derivatives |  |  | 2171377 | 45024 | (11677) | 33347 |
| **Client services derivatives** | Spot and forward foreign exchange | 145 | 217490 | 1681 | (1589) | 92 |
| **Total derivative instruments** |  |  | 2388867 | 46705 | (13266) | 33439 |

---

In addition to the above, as at June 30, 2025 foreign denominated deposits of £229.0 million (December 31, 2024: £277.1 million); SGD1.6 million (December 31, 2024: SGD1.5 million) and CHF0.4 million (December 31, 2024: CHF0.4 million) were designated as a hedge of foreign exchange risk associated with the net investment in foreign operations.

We manage derivative exposure by monitoring the credit risk associated with each counterparty using counterparty specific credit risk limits, using master netting arrangements where appropriate and obtaining collateral. The Bank elected to offset in the consolidated balance sheets certain gross derivative assets and liabilities subject to netting agreements.

The Bank also elected not to offset certain derivative assets or liabilities and all collateral received or paid that the Bank or the counterparties could legally offset in the event of default. In the tables below, these positions are deducted from the net fair value presented in the consolidated balance sheets in order to present the net exposures. The collateral values presented in the following table are limited to the related net derivative asset or liability balance and, accordingly, do not include excess collateral received or paid.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Gross fair<br> value<br> recognized** | **Less: offset<br> applied<br> under master<br> netting<br> agreements** | **Net fair value<br>presented in the<br> consolidated<br> balance sheets** | **Less: positions not offset in the consolidated balance sheets** | **Less: positions not offset in the consolidated balance sheets** | |
|<br>**June 30, 2025** | **Gross fair<br> value<br> recognized** | **Less: offset<br> applied<br> under master<br> netting<br> agreements** | **Net fair value<br>presented in the<br> consolidated<br> balance sheets** | **Gross fair value of derivatives** | **Cash collateral<br> received / paid** |<br>**Net exposures** |
| **Derivative assets** | | | | | | |
| &nbsp;&nbsp;&nbsp;Spot and forward foreign exchange and currency swaps | **15286** | **(10398)** | **4888** | **—** | **—** | **4888** |
| **Derivative liabilities** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Spot and forward foreign exchange and currency swaps | **33315** | **(10398)** | **22917** | **—** | **(9586)** | **13331** |
| **Net negative fair value** |  |  | **(18029)** |  |  |  |
|  | Gross fair<br> value<br> recognized | Less: offset<br> applied<br> under master<br> netting<br> agreements | Net fair value<br>presented in the<br> consolidated<br> balance sheets | Less: positions not offset in the consolidated balance sheets | Less: positions not offset in the consolidated balance sheets |  |
| December 31, 2024 | Gross fair<br> value<br> recognized | Less: offset<br> applied<br> under master<br> netting<br> agreements | Net fair value<br>presented in the<br> consolidated<br> balance sheets | Gross fair value of derivatives | Cash collateral<br> received / paid | Net exposures |
| **Derivative assets** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Spot and forward foreign exchange and currency swaps | 46705 | (11227) | 35478 |  | (250) | 35228 |
| **Derivative liabilities** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Spot and forward foreign exchange and currency swaps | 13266 | (11227) | 2039 |  | (682) | 1357 |
| **Net positive fair value** |  |  | 33439 |  |  |  |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

The following tables show the location and amount of gains (losses) recorded in either the consolidated statements of operations or consolidated statements of comprehensive income on derivative instruments outstanding.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | Three months ended | Three months ended | Six months ended | Six months ended |
| **Derivative instrument** | **Consolidated statements of operations line item** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| &nbsp;&nbsp;&nbsp;Spot and forward foreign exchange | Foreign exchange revenue | **—** | (82) | **1** | (11) |
| &nbsp;&nbsp;&nbsp;Currency swaps, not designated as hedge | Foreign exchange revenue | **(25805)** | 7578 | **(59364)** | 23692 |
| &nbsp;&nbsp;&nbsp;Currency swaps - fair value hedges | Foreign exchange revenue | **2831** | 473 | **9534** | (5474) |
| Total net gains (losses) recognized in net income | Total net gains (losses) recognized in net income | **(22974)** | 7969 | **(49829)** | 18207 |
|  |  | Three months ended | Three months ended | Six months ended | Six months ended |
| **Derivative instrument** | **Consolidated statements of comprehensive income line item** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| &nbsp;&nbsp;&nbsp;Currency swaps - net investment hedge | Unrealized net gains (losses) on translation of net investment in foreign operations | **(1406)** | (1198) | **(1639)** | 190 |
| Total net gains (losses) recognized in comprehensive income | Total net gains (losses) recognized in comprehensive income | **(1406)** | (1198) | **(1639)** | 190 |

---

**Note 14: Fair value measurements**

The following table presents the financial assets and liabilities that are measured at fair value on a recurring basis. Management classifies these items based on the type of inputs used in their respective fair value determination as described in Note 2 of the Bank's audited financial statements for the year ended December 31, 2024.

Management reviews the price of each security monthly, comparing market values to expectations and to the prior month's price. Management's expectations are based upon knowledge of prevailing market conditions and developments relating to specific issuers and/or asset classes held in the investment portfolio. Where there are unusual or significant price movements, or where a certain asset class has performed out-of-line with expectations, the matter is reviewed by management.

Financial instruments in Level 1 include US and UK Government Treasury notes.

Financial instruments in Level 2 include government debt securities, mortgage-backed securities, other asset-backed securities, forward foreign exchange contracts and securities sold under agreements to repurchase.

There were no Level 3 investments as at June 30, 2025 and December 31, 2024.

There were no transfers between Level 1 and Level 2 or Level 2 and Level 3 during the six months ended June 30, 2025 and the year ended December 31, 2024.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | | December 31, 2024 | December 31, 2024 | |
| | **Fair value** | **Fair value** | **Total carrying<br>amount / <br>fair value** | Fair value | Fair value | Total carrying<br>amount / <br>fair value |
| | **Level 1** | **Level 2** | **Total carrying<br>amount / <br>fair value** | Level 1 | Level 2 | Total carrying<br>amount / <br>fair value |
| **Items that are recognized at fair value on a recurring basis:** | **Items that are recognized at fair value on a recurring basis:** | **Items that are recognized at fair value on a recurring basis:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;**Available-for-sale investments** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;US government and federal agencies | **1113112** | **1208202** | **2321314** | 991357 | 1172262 | 2163619 |
| &nbsp;&nbsp;&nbsp;Non-US governments debt securities | **—** | **—** | **—** | 93468 |  | 93468 |
| &nbsp;&nbsp;&nbsp;Asset-backed securities - Student loans | **—** | **—** | **—** |  | 40 | 40 |
| &nbsp;&nbsp;&nbsp;Residential mortgage-backed securities | **—** | **14804** | **14804** |  | 15359 | 15359 |
| &nbsp;&nbsp;&nbsp;**Total available-for-sale** | **1113112** | **1223006** | **2336118** | 1084825 | 1187661 | 2272486 |
| &nbsp;&nbsp;&nbsp;Other assets - Derivatives | **—** | **4888** | **4888** |  | 35478 | 35478 |
| **Financial liabilities** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Other liabilities - Derivatives | **—** | **22917** | **22917** |  | 2039 | 2039 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Items Other Than Those Recognized at Fair Value on a Recurring Basis:** | **Items Other Than Those Recognized at Fair Value on a Recurring Basis:** | **Items Other Than Those Recognized at Fair Value on a Recurring Basis:** | | | | | |
|  |  | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 |
|  | **Level** | **Carrying<br>amount** | **Fair<br> value** | **Appreciation /<br>(depreciation)** | Carrying<br>amount | Fair<br> value | Appreciation /<br>(depreciation) |
| **Financial assets** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | Level 1 | **1450062** | **1450062** | **—** | 1998112 | 1998112 |  |
| &nbsp;&nbsp;&nbsp;Securities purchased under agreements to resell | Level 2 | **1134631** | **1134631** | **—** | 1205373 | 1205373 |  |
| &nbsp;&nbsp;&nbsp;Short-term investments | Level 1 | **1111915** | **1111915** | **—** | 580026 | 580026 |  |
| &nbsp;&nbsp;&nbsp;Investments held-to-maturity | Level 2 | **3122134** | **2619039** | **(503095)** | 3240290 | 2671040 | (569250) |
| &nbsp;&nbsp;&nbsp;Loans, net of allowance for credit losses | Level 2 | **4577519** | **4561169** | **(16350)** | 4473591 | 4433872 | (39719) |
| **Financial liabilities** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Term deposits | Level 2 | **4009789** | **4018174** | **(8385)** | 4478257 | 4482978 | (4721) |
| &nbsp;&nbsp;&nbsp;Securities sold under agreements to repurchase | Level 2 | **—** | **—** | **—** | 92562 | 92562 |  |
| &nbsp;&nbsp;&nbsp;Long-term debt | Level 2 | **—** | **—** | **—** | 98725 | 98361 | 364 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 15: Interest rate risk**

The following tables set out the assets, liabilities and shareholders' equity on the date of the earlier of contractual maturity, expected maturity or repricing date. Use of these tables to derive information about the Bank's interest rate risk position is limited by the fact that customers may choose to terminate their financial instruments at a date earlier than the contractual maturity or repricing date. Examples of this include fixed-rate mortgages, which are shown at contractual maturity but which may be subject to early prepayment, and certain term deposits, which are shown at contractual maturity but which may be withdrawn before their contractual maturity subject to prepayment penalties. Investments are shown based on remaining contractual maturities. The remaining contractual principal maturities for mortgage-backed securities (primarily US government agencies) do not consider prepayments. Remaining expected maturities will differ from contractual maturities because borrowers may have the right to prepay obligations before the underlying mortgages mature.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Earlier of contractual maturity or repricing date** | **Earlier of contractual maturity or repricing date** | **Earlier of contractual maturity or repricing date** | **Earlier of contractual maturity or repricing date** | **Earlier of contractual maturity or repricing date** | | |
| **(in $ millions)** | **Within 3<br> months** | **3 to 6<br> months** | **6 to 12<br> months** | **1 to 5<br> years** | **After<br> 5 years** | **Non-interest<br> bearing funds** | **Total** |
| **Assets** | | | | | | | |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | **1351** | **—** | **—** | **—** | **—** | **99** | **1450** |
| &nbsp;&nbsp;&nbsp;Securities purchased under agreements to resell | **812** | **69** | **254** | **—** | **—** | **—** | **1135** |
| &nbsp;&nbsp;&nbsp;Short-term investments | **524** | **252** | **336** | **—** | **—** | **—** | **1112** |
| &nbsp;&nbsp;&nbsp;Investments | **1** | **7** | **249** | **975** | **4226** | **—** | **5458** |
| &nbsp;&nbsp;&nbsp;Loans | **2607** | **141** | **214** | **1269** | **277** | **70** | **4578** |
| &nbsp;&nbsp;&nbsp;Other assets | **—** | **—** | **—** | **—** | **—** | **452** | **452** |
| **Total assets** | **5295** | **469** | **1053** | **2244** | **4503** | **621** | **14185** |
| **Liabilities and shareholders' equity** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Shareholders' equity | **—** | **—** | **—** | **—** | **—** | **1069** | **1069** |
| &nbsp;&nbsp;&nbsp;Demand deposits | **6223** | **—** | **—** | **—** | **—** | **2605** | **8828** |
| &nbsp;&nbsp;&nbsp;Term deposits | **3155** | **357** | **450** | **48** | **—** | **—** | **4010** |
| &nbsp;&nbsp;&nbsp;Other liabilities | **—** | **—** | **—** | **—** | **—** | **278** | **278** |
| **Total liabilities and shareholders' equity** | **9378** | **357** | **450** | **48** | **—** | **3952** | **14185** |
| Interest rate sensitivity gap | **(4083)** | **112** | **603** | **2196** | **4503** | **(3331)** | **—** |
| Cumulative interest rate sensitivity gap | **(4083)** | **(3971)** | **(3368)** | **(1172)** | **3331** | **—** | **—** |
| December 31, 2024 | Earlier of contractual maturity or repricing date | Earlier of contractual maturity or repricing date | Earlier of contractual maturity or repricing date | Earlier of contractual maturity or repricing date | Earlier of contractual maturity or repricing date |  |  |
| **(in $ millions)** | Within 3<br> months | 3 to 6<br> months | 6 to 12<br> months | 1 to 5<br> years | After<br> 5 years | Non-interest<br> bearing funds | Total |
| **Assets** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | 1905 |  |  |  |  | 93 | 1998 |
| &nbsp;&nbsp;&nbsp;Securities purchased under agreements to resell | 1142 | 63 |  |  |  |  | 1205 |
| &nbsp;&nbsp;&nbsp;Short-term investments | 505 | 75 |  |  |  |  | 580 |
| &nbsp;&nbsp;&nbsp;Investments | 93 | 6 | 22 | 1097 | 4294 |  | 5512 |
| &nbsp;&nbsp;&nbsp;Loans | 2398 | 104 | 229 | 1407 | 283 | 53 | 4474 |
| &nbsp;&nbsp;&nbsp;Other assets |  |  |  |  |  | 462 | 462 |
| **Total assets** | 6043 | 248 | 251 | 2504 | 4577 | 608 | 14231 |
| **Liabilities and shareholders' equity** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Shareholders' equity |  |  |  |  |  | 1021 | 1021 |
| &nbsp;&nbsp;&nbsp;Demand deposits | 5580 |  |  |  |  | 2688 | 8268 |
| &nbsp;&nbsp;&nbsp;Term deposits | 3593 | 434 | 368 | 83 |  |  | 4478 |
| &nbsp;&nbsp;&nbsp;Securities sold under agreements to repurchase | 93 |  |  |  |  |  | 93 |
| &nbsp;&nbsp;&nbsp;Other liabilities |  |  |  |  |  | 273 | 273 |
| &nbsp;&nbsp;&nbsp;Long-term debt |  | 98 |  |  |  |  | 98 |
| **Total liabilities and shareholders' equity** | 9266 | 532 | 368 | 83 |  | 3982 | 14231 |
| Interest rate sensitivity gap | (3223) | (284) | (117) | 2421 | 4577 | (3374) |  |
| Cumulative interest rate sensitivity gap | (3223) | (3507) | (3624) | (1203) | 3374 |  |  |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 16: Long-term debt** &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

On June 11, 2020, the Bank issued US $100 million of Subordinated Lower Tier II capital notes. The notes were issued at par and due on June 15, 2030. The issuance was by way of a registered offering with US institutional investors. The notes were listed on the BSX in the specialist debt securities category. The proceeds of the issue were used, among others, to repay the entire amount of the US $45 million outstanding subordinated notes Series 2005-B which matured on July 2, 2020. The notes issued paid a fixed coupon of 5.25% until June 15, 2025 when they became redeemable in whole at the option of the Bank. The notes were priced at a spread of 4.43% over the 10-year US Treasury yield. The Bank incurred $2.3 million of costs directly related to the issuance of these capital notes which were capitalized directly against the carrying value of these notes on the balance sheet and amortized over the life of the notes. These notes were redeemed at face value in June 2025 at which time, unamortized issuance costs were fully recognized in the Consolidated Statements of Operations as part of interest expense.

No interest was capitalized during the six months ended June 30, 2025, and the year ended December 31, 2024.

**Note 17: Earnings per share**

Earnings per share have been calculated using the weighted average number of common shares outstanding during the period after deduction of the shares held as treasury stock. The dilutive effect of share-based compensation plans was calculated using the treasury stock method, whereby the proceeds received from the exercise of share-based awards are assumed to be used to repurchase outstanding shares, using the average market price of the Bank's shares for the period. Numbers of shares are expressed in thousands.

During the six months ended June 30, 2025, the average number of outstanding awards of unvested common shares was 1.8 million (June 30, 2024: 1.6 million). Only awards for which the sum of 1) the expense that will be recognized in the future (i.e., the unrecognized expense) and 2) its exercise price, if any, was lower than the average market price of the Bank's common shares were considered dilutive and, therefore, included in the computation of diluted earnings per share.

An award's unrecognized expense is also considered to be the proceeds the employees would need to pay to purchase accelerated vesting of the awards. For the purposes of calculating dilution, such proceeds are assumed to be used by the Bank to buy back common shares at the average market price. The weighted-average number of outstanding awards, net of the assumed weighted-average number of common shares bought back, is included in the number of diluted participating shares.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| Net income | **53325** | 50591 | **107089** | 104022 |
| **Basic Earnings Per Share** |  |  |  |  |
| Weighted average number of common shares issued | **42255** | 46261 | **42697** | 46687 |
| Weighted average number of common shares held as treasury stock | **(619)** | (619) | **(619)** | (619) |
| **Weighted average number of common shares (in thousands)** | **41636** | 45642 | **42078** | 46068 |
| **Basic Earnings Per Share** | **1.28** | 1.11 | **2.55** | 2.26 |
| **Diluted Earnings Per Share** |  |  |  |  |
| Weighted average number of common shares | **41636** | 45642 | **42078** | 46068 |
| Net dilution impact related to awards of unvested common shares | **1017** | 656 | **1035** | 662 |
| **Weighted average number of diluted common shares (in thousands)** | **42653** | 46298 | **43113** | 46730 |
| **Diluted Earnings Per Share** | **1.25** | 1.09 | **2.48** | 2.23 |

---

**Note 18: Share-based payments**

The common shares transferred to employees under all share-based payments are either taken from the Bank's common treasury shares or from newly issued shares. All share-based payments are settled by the ultimate parent company which, pursuant to Bermuda law, is not taxed on income. There are no income tax benefits in relation to the issue of such shares as a form of compensation.

In May 2020, the Board of Directors approved the 2020 Omnibus Plan (the "2020 Plan"). Under the 2020 Plan, 3.0 million shares are initially available for grant to employees in the form of stock options or unvested share awards. In February 2025, the Board of Directors approved the Amended and Restated 2020 Omnibus Share Incentive Plan with 5.0 million additional shares available for grant to employees in the form of stock options or unvested share awards. Both types of awards are detailed below.

**Stock Option Awards**

**2020 Plans**

Under the 2020 Plan, options can be awarded to Bank employees and executive management, based on predetermined vesting conditions that entitle the holder to purchase one common share at a subscription price no less than the price of the most recently traded common share when granted and have a maximum term of 10 years.

There were no stock options outstanding as at June 30, 2025 and December 31, 2024.

**Share-Based Incentive Programs**

Recipients of unvested share awards are entitled to the related common shares at no cost, at the time the award vests. Recipients of unvested shares may be entitled to receive additional unvested shares having a value equal to the cash dividends that would have been paid had the unvested shares been issued and vested. Such additional unvested shares granted as dividend equivalents are subject to the same vesting schedule and conditions as the underlying unvested shares.

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

Unvested shares subject only to the time vesting condition generally vest upon retirement, death, disability or upon termination, by the Bank, of the holder's employment unless if in connection with the holder's misconduct. Unvested shares subject to both time vesting and performance vesting conditions remain outstanding and unvested upon retirement and will vest only if the performance conditions are met. Unvested shares can also vest in limited circumstances and if specifically approved by the Board, as stipulated in the holder's employment contract. In all other circumstances, unvested shares are generally forfeited when employment ends.

The grant date weighted average fair value (which equals the actual trading price prevailing on grant date) of unvested share awards granted in the three months ended June 30, 2025 was $37.44 per share (December 31, 2024: $30.11 per share). The Bank expects to settle these awards by issuing new shares.

**Employee Deferred Incentive Program**

Under the Bank's EDIP, shares are awarded to Bank employees and executive management based on the time vesting condition, which states that the shares will vest equally over a three-year period from the effective grant date.

**Employee Long-Term Incentive Share Program**

Under the Bank's ELTIP, performance shares as well as time-vesting shares were awarded to employees and executive management. The performance shares will generally vest upon the achievement of certain performance targets in the three-year period from the effective grant date. The time-vesting shares will generally vest over the three-year period from the effective grant date.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Changes in Outstanding ELTIP and EDIP awards (in thousands of shares transferable upon vesting)** | **Changes in Outstanding ELTIP and EDIP awards (in thousands of shares transferable upon vesting)** | **Changes in Outstanding ELTIP and EDIP awards (in thousands of shares transferable upon vesting)** | | |
|  | Six months ended | Six months ended | Six months ended | Six months ended |
|  | **June 30, 2025** | **June 30, 2025** | June 30, 2024 | June 30, 2024 |
|  | **EDIP** | **ELTIP** | EDIP | ELTIP |
| Outstanding at beginning of period | **628** | **1151** | 665 | 915 |
| &nbsp;&nbsp;&nbsp;Granted | **124** | **332** | 91 | 545 |
| &nbsp;&nbsp;&nbsp;Vested (fair value in 2025: $15.5 million, 2024: $14.1 million,) | **(116)** | **(268)** | (137) | (334) |
| &nbsp;&nbsp;&nbsp;Forfeitures (resignations, retirements, redundancies) | **—** | **(1)** | (3) | (2) |
| **Outstanding at end of period** | **636** | **1214** | 616 | 1124 |

---

**Employee Share Purchase Plan**

The Bank's ESPP was approved in July 2021 and registered in November 2021. The first offering period started in May 2022. Under the Bank's ESPP, eligible employees may elect to contribute up to 15% of their regular compensation toward the purchase of the Bank's shares at a 10% discount from market price on the closing date of each offering period. The ESPP specifies two consecutive six month offering periods per year. In the case of termination of employment or voluntary partial or full withdrawal from the plan, the related current offering period ESPP contributions are refunded to the employee and thus cannot be used to purchase shares under the ESPP. During the six months ended June 30, 2025, 7,186 shares (December 31, 2024: 16,762 shares) were issued under the ESPP.

---

| | | |
|:---|:---|:---|
| **Share-based Compensation Cost Recognized in the Financial Statements** | **Share-based Compensation Cost Recognized in the Financial Statements** | |
|  | Six months ended | Six months ended |
|  | **June 30, 2025** | June 30, 2024 |
| EDIP and ELTIP | **10701** | 10099 |
| ESPP | **292** | 305 |
| **Share-based Compensation Cost Recognized in Net Income** | **10993** | 10404 |
| Deduct: Fair value of awards withheld for employees' payroll tax purposes | **(211)** | (118) |
| **Share-based Compensation Cost Recognized in Additional Paid-in Capital** | **10782** | 10286 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Unrecognized Share-based Compensation Cost** | | | | |
|  | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 |
|  | **Unrecognized cost** | **Weighted average years over which it is expected to be recognized** | Unrecognized cost | Weighted average years over which it is expected to be recognized |
| **EDIP** | **9964** | **1.87** | 8829 | 1.88 |
| **ELTIP** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Time vesting shares | **37** | **0.62** | 66 | 1.12 |
| &nbsp;&nbsp;&nbsp;Performance vesting shares | **21336** | **1.98** | 15877 | 1.79 |
| **Total unrecognized expense** | **31337** |  | 24772 |  |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Note 19: Share repurchase programs**

From time to time, the Bank may seek to repurchase and retire equity securities of the Bank, through cash purchase, privately negotiated transactions, or otherwise. Such transactions, if any, depend on prevailing market conditions, liquidity and capital requirements, contractual restrictions, and other factors.

**Common Share Repurchase Program**

On February 14, 2022, the Board approved a new common share repurchase program, authorizing the purchase of up to 2.0 million common shares through to February 28, 2023.

On February 13, 2023, the Board approved a new common share repurchase program, authorizing the purchase of up to 3.0 million common shares through to February 29, 2024.

On December 5, 2023, the Board approved a new common share repurchase program, authorizing the purchase of up to 3.5 million common shares through to December 31, 2024.

On July 22, 2024, the Board approved a new common share repurchase program, authorizing the purchase of up to 2.1 million common shares through to December 31, 2024.

On December 9, 2024, the Board approved a new common share repurchase program, authorizing the purchase of up to 2.7 million common shares through to December 31,

2025. <br>

On July 28, 2025, the Board approved a new common share repurchase program, authorizing the purchase of up to 1.5 million common shares through to December 31, 2025.

In the six months ended June 30, 2025, the Bank repurchased and retired 2,210,189 shares.

---

| | | | |
|:---|:---|:---|:---|
| | Six months ended | Year ended December 31 | Year ended December 31 |
| **Common share repurchases** | **June 30, 2025** | 2024 | 2023 |
| Acquired number of shares (to the nearest 1) | **2210189** | 4490940 | 3133717 |
| Average cost per common share | **39.26** | 34.58 | 28.27 |
| **Total cost (in US dollars)** | **86782848** | 155305756 | 88590240 |

---

**Note 20: Accumulated other comprehensive income (loss)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Unrealized net gains (losses)<br> on translation of<br> net investment in<br> foreign<br> operations** | **Unrealized net<br> gains (losses)<br> on HTM<br> investments** | **Unrealized net<br> gains (losses)<br> on AFS<br> investments** | **Employee benefit plans adjustments** | **Employee benefit plans adjustments** | **Employee benefit plans adjustments** | |
|<br>**Six months ended June 30, 2025** | **Unrealized net gains (losses)<br> on translation of<br> net investment in<br> foreign<br> operations** | **Unrealized net<br> gains (losses)<br> on HTM<br> investments** | **Unrealized net<br> gains (losses)<br> on AFS<br> investments** | **Pension** | **Post-retirement<br> healthcare** | **Subtotal -<br> employee<br>benefits plans** |<br>**Total AOCIL** |
| **Balance at beginning of period** | **(26191)** | **(73919)** | **(162275)** | **(49282)** | **16252** | **(33030)** | **(295415)** |
| &nbsp;&nbsp;&nbsp;Other comprehensive income (loss), net of taxes | **6260** | **3759** | **43362** | **543** | **(39)** | **504** | **53885** |
| **Balance at end of period** | **(19931)** | **(70160)** | **(118913)** | **(48739)** | **16213** | **(32526)** | **(241530)** |
|  | Unrealized net gains (losses)<br> on translation of<br> net investment in<br> foreign<br> operations | Unrealized net<br> gains (losses)<br> on HTM<br> investments | Unrealized net<br> gains (losses)<br> on AFS<br> investments | Employee benefit plans adjustments | Employee benefit plans adjustments | Employee benefit plans adjustments |  |
| Six months ended June 30, 2024 | Unrealized net gains (losses)<br> on translation of<br> net investment in<br> foreign<br> operations | Unrealized net<br> gains (losses)<br> on HTM<br> investments | Unrealized net<br> gains (losses)<br> on AFS<br> investments | Pension | Post- retirement<br> healthcare | Subtotal -<br> employee<br>benefits plans | Total AOCIL |
| **Balance at beginning of period** | (25478) | (82067) | (162910) | (51563) | 11820 | (39743) | (310198) |
| &nbsp;&nbsp;&nbsp;Other comprehensive income (loss), net of taxes | (112) | 4199 | (12839) | 2298 | (894) | 1404 | (7348) |
| **Balance at end of period** | (25590) | (77868) | (175749) | (49265) | 10926 | (38339) | (317546) |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Net Change of AOCIL Components** |  | Three months ended | Three months ended | Six months ended | Six months ended |
|  | **Line item in the consolidated<br>statements of operations, if any** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| **Net unrealized gains (losses) on translation of net investment in foreign operations adjustments** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | N/A | **(8835)** | 376 | **6260** | (3984) |
| &nbsp;&nbsp;&nbsp;Gains (losses) on net investment hedge | N/A | **11164** | (425) | **—** | 3872 |
| **Net change** |  | **2329** | (49) | **6260** | (112) |
| **Held-to-maturity investment adjustments** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of net gains (losses) to net income | Interest income on investments | **1982** | 2198 | **3759** | 4199 |
| **Net change** |  | **1982** | 2198 | **3759** | 4199 |
| **Available-for-sale investment adjustments** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Gross unrealized gains (losses) | N/A | **10513** | 1568 | **43362** | (13038) |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments of related balances | N/A | **938** | (130) | **—** | 199 |
| **Net change** |  | **11451** | 1438 | **43362** | (12839) |
| **Employee benefit plans adjustments** |  |  |  |  |  |
| **Defined benefit pension plan** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Net actuarial gain (loss) | N/A | **—** |  | **—** | 1029 |
| &nbsp;&nbsp;&nbsp;Amortization of net actuarial (gains) losses | Non-service employee benefits expense | **587** | 589 | **1170** | 1178 |
| &nbsp;&nbsp;&nbsp;Amortization of prior service (credit) cost | Non-service employee benefits expense | **21** | 19 | **41** | 39 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments of related balances | N/A | **(446)** | (7) | **(668)** | 52 |
| **Net change** |  | **162** | 601 | **543** | 2298 |
| **Post-retirement healthcare plan** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of net actuarial (gains) losses | Non-service employee benefits expense | **131** | 131 | **262** | 262 |
| &nbsp;&nbsp;&nbsp;Amortization of prior service (credit) cost | Non-service employee benefits expense | **(150)** | (578) | **(301)** | (1156) |
| **Net change** |  | **(19)** | (447) | **(39)** | (894) |
| **Other comprehensive income (loss), net of taxes** |  | **15905** | 3741 | **53885** | (7348) |

---

**Note 21: Capital structure**

**Authorized Capital**

The par value of each issued common share and each authorized but unissued common share is BM$0.01 and the authorized share capital of the Bank comprises 2,000,000,000 common shares of par value BM$0.01 each, 6,000,000,000 non-voting ordinary shares of par value BM$0.01 each, 110,200,001 preference shares of par value US$0.01 each and 50,000,000 preference shares of par value £0.01 each.

**Dividends Declared**

During the six months ended June 30, 2025, the Bank declared and paid cash dividends of $0.88 (June 30, 2024: $0.88) for each common share as of the related record dates. On July 28, 2025, the Board of Directors declared an interim dividend of $0.50 per common share to be paid on August 25, 2025 to shareholders of record on August 11, 2025.

The Bank is required to comply with Section 54 of the Companies Act 1981 issued by the Government of Bermuda (the "Companies Act") each time a dividend is declared or paid by the Bank and also obtain a letter of no objection from the BMA pursuant to the Banks and Deposit Companies Act 1999 for any dividends declared. The Bank has complied with Section 54 and has obtained the BMA's letter of no objection for all dividends declared during the periods presented.

**Regulatory Capital**

Effective January 1, 2025, the Bank has adopted the Basel Committee on Banking Supervision's revised standardized approach for credit risk framework as required by the BMA. Comparatives were prepared under the prior credit risk framework.

The Bank's regulatory capital is determined in accordance with current Basel guidelines as issued by the BMA. The Bank is fully compliant with all regulatory capital requirements to which it is subject, and it maintains capital ratios in excess of regulatory minimums as at June 30, 2025 and December 31, 2024. The following table sets forth the Bank's capital adequacy in accordance with the relevant Basel framework:

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 |
| | **Actual** | **Regulatory minimum** | Actual | Regulatory minimum |
| **Capital** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;CET 1 capital | **1056576** | **N/A** | 1066058 | N/A |
| &nbsp;&nbsp;&nbsp;Tier 1 capital | **1056576** | **N/A** | 1066058 | N/A |
| &nbsp;&nbsp;&nbsp;Tier 2 capital | **7086** | **N/A** | 107061 | N/A |
| Total capital | **1063661** | **N/A** | 1173119 | N/A |
| **Risk Weighted Assets** | **4063117** | **N/A** | 4539376 | N/A |
| **Leverage Ratio Exposure Measure** | **14563832** | **N/A** | 14679662 | N/A |
| **Capital Ratios (%)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;CET 1 capital | **26.0%** | **10.0%** | 23.5% | 10.0% |
| &nbsp;&nbsp;&nbsp;Tier 1 capital | **26.0%** | **11.5%** | 23.5% | 11.5% |
| &nbsp;&nbsp;&nbsp;Total capital | **26.2%** | **13.5%** | 25.8% | 13.5% |
| &nbsp;&nbsp;&nbsp;Leverage ratio | **7.3%** | **5.0%** | 7.3% | 5.0% |

---

**Note 22: Related party transactions**

**Financing Transactions** 

Certain directors and executives of the Bank, companies in which they are principal owners and/or members of the board, and trusts in which they are involved, have deposits with the Bank, have loans and/or are guarantors for loans with the Bank. Loans to directors were made in the ordinary course of business at normal credit terms, including interest rate and collateral requirements. Loans to executives may be eligible for preferential rates. All of these loans were considered performing loans as at June 30, 2025 and December 31, 2024. Loan balances with directors and executives of the Bank, companies in which they are principal owners and/or members of the board, and trusts in which they are involved were as follows:

---

| | |
|:---|:---|
| **Balance at December 31, 2023** | 19735 |
| Net loans issued (repaid) during the year | (1081) |
| Effect of changes in the composition of related parties | 983 |
| **Balance at December 31, 2024** | 19637 |
| Net loans issued (repaid) during period | **(268)** |
| **Balance at June 30, 2025** | **19369** |

---

---

| | | |
|:---|:---|:---|
| **Consolidated balance sheets** | **June 30, 2025** | December 31, 2024 |
| Deposits | **75,464** | 92,182 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| **Consolidated statement of operations** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| Interest and fees on loans | **279** | 306 | **587** | 632 |
| Total non-interest expense | **190** | 77 | **214** | 115 |
| Other non-interest income | **61** | 46 | **153** | 124 |

---

Certain affiliates of the Bank have loans and deposits with the Bank which were made and are maintained in the ordinary course of business on normal commercial terms. Balances with these parties were as follows:

---

| | | |
|:---|:---|:---|
| **Consolidated balance sheets** | **June 30, 2025** | December 31, 2024 |
| Loans | **8,877** | 9,056 |
| Deposits | **392** | 811 |
| Accrued interest and other liabilities | **403** | 167 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| **Consolidated statement of operations** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| Interest and fees on loans | **178** | 199 | **357** | 402 |
| Total non-interest expense | **228** | 421 | **439** | 820 |
| Other non-interest income | **62** | 61 | **125** | 123 |

---

------

**The Bank of N.T. Butterfield & Son Limited**

**Notes to the Consolidated Financial Statements (unaudited) (continued)**

*(In thousands of US dollars, unless otherwise stated)*

**Investments**

As at June 30, 2025, several Butterfield mutual funds which are managed by a wholly owned subsidiary of the Bank, had loan balances and deposit balances held with the Bank. The Bank also earned asset management revenue and custody and other administration services revenue from funds managed by a wholly-owned subsidiary of the Bank and from directors and executives, companies in which they are principal owners and/or members of the board and trusts in which they are involved, as well as other income from other related parties.

---

| | | |
|:---|:---|:---|
| **Consolidated balance sheets** | **June 30, 2025** | December 31, 2024 |
| Deposits | **9,793** | 9,441 |
| Accrued interest and other assets | **304** |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | Three months ended | Three months ended | Six months ended | Six months ended |
| **Consolidated statement of operations** | **June 30, 2025** | June 30, 2024 | **June 30, 2025** | June 30, 2024 |
| Asset management | **3037** | 2695 | **5773** | 5257 |
| Custody and other administration services | **375** | 341 | **726** | 662 |
| Other non-interest income | **217** |  | **300** |  |

---

**Note 23: Subsequent events**

On July 28, 2025, the Board of Directors declared an interim dividend of $0.50 per common share to be paid on August 25, 2025 to shareholders of record on August 11, 2025.

## Exhibit 99.3

![](q22025-currentearningsde001.jpg)

Second Quarter 2025 The Bank of N.T. Butterfield & Son Limited Earnings Presentation July 29, 2025

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![](q22025-currentearningsde002.jpg)

2 Forward-Looking Statements Forward-Looking Statements: Certain of the statements made in this release are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions estimates, intentions, and future performance, including, without limitation, our intention to make share repurchases or otherwise increase shareholder value, our dividend payout target, our fee/income ratio, our OCI, our growth and expenses, and interest rate levels and impact on our earnings, and business activity levels, and involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause the actual results, performance, capital, ownership or achievements of Butterfield to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements due to a variety of factors, including worldwide economic conditions (including economic growth and general business conditions), changes in trade policies and practices and the resulting uncertainty, market volatility, and potential deterioration in economic conditions, fluctuations of interest rates, inflation, a decline in Bermuda's sovereign credit rating, any sudden liquidity crisis, the successful completion and integration of acquisitions (including our integration of the trust assets acquired from Credit Suisse) or the realization of the anticipated benefits of such acquisitions in the expected time-frames or at all, success in business retention (including the retention of relationships associated with our Credit Suisse acquisition) and obtaining new business, potential impacts of climate change, the success of our updated systems and platforms and other factors. Forward-looking statements can be identified by words such as "anticipate," "assume," "believe," "estimate," "expect," "indicate," "intend," "may," "plan," "point to," "predict," "project," "seek," "target," "potential," "will," "would," "could," "should," "continue," "contemplate" and other similar expressions, although not all forward-looking statements contain these identifying words. All statements other than statements of historical fact are statements that could be forward-looking statements. All forward-looking statements in this disclosure are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties described in our SEC reports and filings, including under the caption "Risk Factors" in our most recent Form 20-F. Such reports are available upon request from Butterfield, or from the Securities and Exchange Commission ("SEC"), including through the SEC's website at https://www.sec.gov. Any forward-looking statements made by Butterfield are current views as at the date they are made. Except as otherwise required by law, Butterfield assumes no obligation and does not undertake to review, update, revise or correct any of the forward- looking statements included in this disclosure, whether as a result of new information, future events or other developments. You are cautioned not to place undue reliance on the forward-looking statements made by Butterfield in this disclosure. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, and should only be viewed as historical data. About Non-GAAP Financial Measures: This presentation contains non-GAAP financial measures including "core" net income and other financial measures presented on a "core" basis. We believe such measures provide useful information to investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with GAAP; however, our non-GAAP financial measures have a number of limitations. As such, investors should not view these disclosures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable to non-GAAP financial measures that other companies use. Reconciliations of these non-GAAP measures to corresponding GAAP financial measures are provided in the Appendix of this presentation. Presentation of Financial Information: Certain monetary amounts, percentages and other figures included in this report have been subject to rounding adjustments. Accordingly, figures shown as totals in certain tables may not be the arithmetic aggregation of the figures that precede them, and figures expressed as percentages in the text may not total 100% or, as applicable, when aggregated may not be the arithmetic aggregation of the percentages that precede them.

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![](q22025-currentearningsde003.jpg)

3 Agenda and Overview Ten International Locations Butterfield Overview Michael Collins Chairman and Chief Executive Officer Craig Bridgewater Group Chief Financial Officer Michael Schrum President and Group Chief Risk Officer • Leading Bank in Attractive Markets • Strong Capital Generation and Return • Resilient, Capital Efficient, Diversified Fee Revenue Model • Efficient, Conservative Balance Sheet • Experienced Leadership Team • Overview • Second Quarter 2025 Financials • Q&A Presenters Agenda • Leading market positions in Bermuda & Cayman • Expanding retail offerings in The Channel Islands • Well-secured lending in all markets • Award winning banking and wealth management offerings Sustainability Awards

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![](q22025-currentearningsde004.jpg)

4 Second Quarter 2025 Highlights Net Income (In US$ millions) Return on Equity (In US$ millions) vs. Q1 2025 vs. Q2 2024 Q2 2025 $% $% Net Interest Income $89.4 $0.1 $2.0 Non-Interest Income 57.0 (1.4) 1.4 Provision for Credit Losses (0.2) (0.6) 0.3 Non-Interest Expenses\* (93.0) 1.4 (0.9) Other Gains (Losses) 0.1 — — Net Income $53.3 $(0.4) (0.8) % $2.7 5.4 % Non-Core Items\*\* 0.4 2.6 (0.5) Core Net Income\*\* $53.7 $(3.0) (5.3) % $2.3 4.4 % • Net income of $53.3 million or $1.25 per share • Core net income\*\*of $53.7 million, or $1.26 per share • Return on average common equity of 20.3%; core return on average tangible common equity\*\* of 22.3% • Net Interest Margin of 2.64%, cost of deposits of 1.56% • Redemption of subordinated debt • Quarterly cash dividend rate increased by 14% to $0.50 per common share • Repurchases of 1.1 million shares at an average price of $40.69 per share • New share repurchase authorization for up to 1.5 million common shares • Andrew Henton appointed as Independent Director \* Includes income taxes \*\* See the Appendix for a reconciliation of the non-GAAP measure $50.6 $52.7 $59.6 $53.8 $53.3$51.4 $52.8 $59.6 $56.7 $53.7 Net income Core Net Income\*\* Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 20.7% 20.3% 22.9% 20.9% 20.3% 23.3% 22.5% 25.2% 24.2% 22.3% Return on Equity Core Return on Average Tangible Common Equity\*\* Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025

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Financials

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6 Net Interest Income before Provision for Credit Losses -Trend (In US$ millions) $87.4 $89.3 $89.4 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Net Interest Margin & Yields Income Statement Net Interest Income • Net interest income ("NII") increased marginally over the prior quarter driven by an increase in average interest earning assets offset by lower yields on treasury assets • Net interest margin ("NIM") was lower at 2.64% compared to 2.70% in the prior quarter, primarily due to lower treasury yields and accelerated amortization of unamortized issuance costs on the early redemption of the Bank's subordinated debt • Average loan balances were higher compared to the prior quarter, primarily driven by foreign exchange translation resulting from a strengthening of Pound Sterling, whilst volume decreased as amortizations and paydowns continued to outpace originations (In US$ millions) Q2 2025 vs Q1 2025 Avg. Balance Yield Avg. Balance Yield Cash, S/T Inv. & Repos $3,634.3 3.71 % $115.0 (0.27) % Investments 5,452.0 2.67 % (10.7) (0.01) % Loans (net) 4,517.7 6.31 % 62.4 (0.01) % Interest Earning Assets 13,603.9 4.15 % 166.7 (0.08) % Interest Bearing Liabilities 10,130.8 (2.04) % 162.3 0.02 % Net Interest Margin 2.64 % (0.06) %

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7 Non-Interest Income Trend (In US$ millions)(In US$ millions) Q2 2025 vs. Q1 2025 Asset management $9.4 $(0.2) Banking 14.7 (0.4) Foreign exchange revenue 12.0 (1.7) Trust 16.4 0.7 Custody and other 3.2 (0.4) Other 1.4 0.5 Total Non-Interest Income $57.0 $(1.4) $55.6 $58.4 $57.0 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 • Total non-interest income was down $1.4 million versus the prior quarter, primarily due to: ◦ lower banking fees due to reduced merchant and International Money Transfer volumes, partially offset by increased card volumes; ◦ a decrease in foreign exchange revenue driven by a seasonal reduction in volumes; ◦ a decrease in custody and other administration fees due to lower transaction volumes and assets under custody; ◦ an increase in trust revenue due to annual fee increases, repricing of acquired business relationships, new business and an increase in special fees; and ◦ an increase in other non-interest income due to new product development incentives received • The fee income ratio was 39.0% in the second quarter of 2025 which compares favorably to historical peer\* averages Income Statement Non-Interest Income \* Includes US banks identified by management as a peer group. Please see the Appendix for a list of these banks.

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8 Core Non-Interest Expense\* Trend (In US$ millions) Core Non-Interest Expenses\* vs. Q1 2025 (In US$ millions) Q2 2025 $% Salaries & Benefits\*\* $46.4 $2.3 5.3 % Technology & Comm. 16.3 0.3 1.8 % Professional & O/S Services 5.1 (0.3) (5.3) % Property 8.8 0.1 0.7 % Indirect Taxes 5.8 (0.5) (8.3) % Marketing 1.7 (0.1) (4.5) % Intangible Amortization 2.0 0.1 4.2 % Other 5.3 (0.7) (12.4) % Total Core Non-Interest Expenses\* $91.4 $1.1 1.2 % Non-Core Expenses\* 0.4 (2.6) >100% Non-Interest Expenses $91.8 $(1.5) (1.6) % $90.3 $90.3 $91.4 61.8% 59.8% 61.1% Core Efficiency Ratio\* Core Non-Interest Expenses\* Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 • Core non-interest expenses\* were higher compared to the prior quarter with the following underlying movements: ◦ higher core salaries and other employee benefits primarily due to performance-based incentive accruals, better-than-expected experience on staff health care costs realized in the prior quarter, and foreign exchange translation as a result of the strengthened Pound Sterling relative to the US Dollar; ◦ a decrease in payroll taxes (indirect taxes) due to the annual vesting of share compensation occurring in the prior quarter and not recurring in the current quarter; and ◦ a decrease in other expenses driven by the provision for a potential legal settlement in the Channel Islands and UK segment recognized in the prior quarter and not recurring this quarter • Core efficiency ratio\* of 61.1% increased compared to the prior quarter and was above the Bank's through-cycle core efficiency ratio target of 60% \* See the Appendix for a reconciliation of the non-GAAP measure \*\* Includes Non-Service Employee Benefits Expense Income Statement Non-Interest Expenses

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9 Balance Sheet Total Assets (In US$ billions) • Period end deposit balances increased by $0.1 billion to $12.8 billion compared to prior year end • Average deposit balances increased by $0.2 billion to $12.7 billion in Q2 2025 compared to the prior year end • Butterfield's balance sheet remained low in risk density (risk weighted assets/total assets) at 28.6% vs Q4 2024 (In US$ millions) Q2 2025 Q4 2024 % Cash and cash equivalents $1,450 $1,998 (27) % Reverse Repos & S/T Investments 2,247 1,785 26 % Investments 5,458 5,513 (1) % Loans (net) 4,578 4,474 2 % Other Assets 453 462 (2) % Total Assets $14,185 $14,231 — % Int. Bearing Deposits $10,233 $10,058 2 % Non-Int. Bearing Deposits 2,605 2,688 (3) % Other Liabilities 278 465 (40) % Shareholders' Equity 1,069 1,021 5 % Total Liab. & Equity $14,185 $14,231 — % $13.9 $14.0 $14.2 $5.2 $5.4 $5.5 $4.6 $4.5 $4.6 Total assets Investments Loans Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 $12.5 $12.6 $12.8 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Total Deposits (In US$ billions)

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10 Asset Quality Non-Accrual Loans (In US$ millions) $70.0 $103.8 $93.3 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Res Mtg 69.7% Consumer 4.1% Comm'l R/E 12.3% Other Comm'l 7.9% Government 6.0% Loan Distribution 0.01% 0.00% 0.00% Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 0.00% 0.05% 0.10% 0.15% 0.20% Net Charge-Off Ratio $4.6 billion $5.5 billion Investment Portfolio Rating Distribution • 70% of the total loan portfolio consists of full-recourse residential mortgages of which 81% have loans-to-values below 70% • Non-accrual loans decreased to 2.0% of gross loans, down from 2.3% in the prior quarter, driven by the recovery of a commercial real estate loan facility in Bermuda • Allowance for credit losses at $25.7 million represented an ACL/Total loans ratio of 0.6%, consistent with the prior quarter • The net charge-off ratio remained at a negligible level as a % of total gross loans AAA 0.3% AA 99.7%

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11 Interest Rate Sensitivity Interest Rate SensitivityAverage Balance - Balance Sheet Average Balances (US$Mil) Weighted Average Life Q2 2025 vs. Q1 2025 Duration vs. Q1 2025 Cash & Reverse Repos & S/T Invest. $3,634.3 $115.0 0.1 — N/A AFS 2,292.6 45.0 3.1 (0.2) 3.8 HTM\*\* 3,159.4 (55.7) 7.1 — 8.3 Total $9,086.3 $104.3 (4.3)% 3.0% 6.0% (1.9)% 1.4% 2.6% NTB US Peer Median \* -100bps +100bps +200bps • Total investment portfolio duration decreased to 5.4 years compared to 5.5 years in the prior quarter • Net unrealized losses on AFS securities improved to $120.0 million as at June 30, 2025 compared with net unrealized losses of $131.4 million as at the end of the first quarter of 2025 • Based on implied forward rates, the AFS OCI expected to improve by 33% in the next 12 months and a cumulative 42% in 24 months \* Includes US banks identified by management as a peer group. Please see the Appendix for a list of these banks. Q1 2025 comparative data is used as Q2 2025 peer information was not widely available at time of publication. \*\* The HTM portfolio is comprised of securities with negative convexity which typically exhibit lower prepayment speeds when assuming higher future rates.

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12 Capital Requirements and Dividend Return Leverage Capital • Regulatory capital levels remain conservatively above minimum requirements • Quarterly dividend rate increased by 14% to $0.50 per common share • TCE/TA ratio of 6.9%, conservatively above the targeted range of 6.0% to 6.5% • Tangible book value per share increased by 3.6% compared to the prior quarter at $23.77 • New Basel 4 rules effective on January 1, 2025 resulted in lower risk weighted assets and improved the regulatory capital ratio by 1.9% • Repayment of subordinated debt resulting in a decrease in regulatory capital (tier 2) by 2.4% Regulatory Capital - Total Capital Ratio\* 26.2% 13.5% 15.2% Butterfield Current BMA Minimum US Peer Median\*\*\* \*\*\* Includes US banks identified by management as a peer group. Please see the Appendix for a list of these banks. Q1 2025 comparative data is used as Q2 2025 peer information was not widely available at time of publication. 7.7% 11.6% 6.9% 11.0% 0.8% 0.7% TCE/TA TCE/TA Ex Cash Butterfield - Current US Peer Median\*\*\* $87.3 $86.2 $79.9 $37.1 $3.9 $88.6 $155.3 $86.8 Combined Payout Ratio Share Repurchases Cash Dividend 2022 2023 2024 Q2 2025 Combined Payout Ratio \* Effective January 1, 2025, the Bank has adopted the BCBS's revised standardized approach for credit risk framework as required by the BMA. \*\* 2025 is based on year-to-date cash dividends, share repurchases and net income 43% 78% 109% 116% \*\*

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Appendix

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14 Group (US$ Billions) Bermuda (US$ Billions) Deposit Composition by Segment Cayman (US$ Billions) Channel Islands (US$ Billions) 20% 19% 21% 20% 20% 47% 47% 44% 49% 49% 33% 34% 35% 31% 31% $12.5 $12.7 $12.7 $12.6 $12.8 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 23% 22% 27% 25% 24% 51% 45% 44% 47% 50% 27% 33% 30% 28% 26% $3.9 $3.8 $4.0 $3.9 $4.0 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 34% 34% 33% 35% 36% 45% 46% 40% 45% 44% 21% 19% 26% 20% 20% $4.6 $4.6 $4.8 $4.5 $4.5 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 1% 1% 1% 1% 1% 46% 49% 48% 54% 52% 53% 50% 51% 45% 48% $4.0 $4.4 $4.0 $4.2 $4.3 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025

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15 29% 29% 29% 28% 26% 21% 23% 22% 21% 19% 50% 49% 49% 50% 55% $3.6 $3.6 $3.3 $3.1 $3.2 Bermuda Cayman UK and Channel Islands 2021 2022 2023 2024 Q2 2025 26% 24% 21% 23% 23% 7% 9% 9% 10% 10% 18% 21% 22% 22% 22% 48% 46% 48% 46% 45% $1.4 $1.4 $1.3 $1.3 $1.2 Commercial and Industrial Commercial Overdrafts Government Commercial Real Estate 2021 2022 2023 2024 Q2 2025 Residential Mortgage Loans (US$ Billions) Commercial Loans (US$ Billions) Loans 39% 37% 37% 34% 33% 20% 24% 25% 24% 23% 41% 39% 38% 42% 44% $5.2 $5.1 $4.7 $4.5 $4.6 Bermuda Cayman UK and Channel Islands 2021 2022 2023 2024 Q2 2025 Loan Portfolio Composition by Originating Segment (US$ Billions) 19% 43% 51% 47% 46% 81% 57% 49% 53% 54% $5.2 $5.1 $4.7 $4.5 $4.6 Fixed Floating 2021 2022 2023 2024 Q2 2025 Fixed vs. Floating Rate Loans (US$ Billions)

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16 Balance Sheet Movements Deposit Composition by Currency (US$ billions)Deposit Movements (US$ millions) $+230 $+90 Change vs Q1 2025 Change vs Q4 2024 Loan Movements (US$ millions) Loan Composition by Currency (US$ billions) -30 +260 $+60 $+105 Change vs Q1 2025 Change vs Q4 2024 Volume FX Translation 73% 71% 70% 22% 21% 24% 6% 8% 6% $12.5 $12.6 $12.8 USD / USD Pegged GBP Other Total deposits Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 61% 59% 57% 38% 40% 43% 1% 1% —% $4.6 $4.5 $4.6 USD / USD Pegged GBP Other Total loans Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 -55 +115 -285 +375 -70 +175

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17 Loan-to-Deposit Ratio Balance Sheet Asset Mix Liquidity: Cash & Cash Equivalents\*\* to Total Assets 37% 37% 35% 36% 36% 71% 70% 71% 71% NTB US Peer Median\* Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 26% 27% 27% 26% 26% 4% 5% 4% 5% NTB US Peer Median\* Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 • Butterfield takes a conservative approach to managing the liquidity and funding risk profile of its balance sheet. This involves the retention of a significant liquidity holding of cash or cash equivalent balances, comprised of interbank deposits and short-dated sovereign Canadian, UK and US Treasury Bills, as well as maintaining significant liquidity facilities with correspondent banks • Butterfield also maintains capital, liquidity and funding buffers conservatively in excess of regulatory requirements \* Includes US banks identified by management as a peer group. Please see the Appendix for a list of these banks. Q2 2025 peer information was not widely available at time of publication and therefore not included. \*\* Includes securities purchased under agreements to resell and short-term investments.

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18 (in millions of US Dollars, unless otherwise indicated) 2025 2024 2023 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Assets Cash and cash equivalents $1,450 $2,097 $1,998 $2,067 $2,390 $1,746 $1,647 $1,750 $1,795 Reverse Repos & S/T Investments 2,247 1,498 1,785 1,750 1,289 1,480 1,225 893 729 Investments 5,458 5,448 5,513 5,468 5,168 5,168 5,292 5,319 5,546 Loans, Net 4,578 4,518 4,474 4,648 4,585 4,644 4,746 4,750 5,003 Other Assets 453 458 462 441 506 490 464 468 435 Total Assets $14,185 $14,020 $14,231 $14,373 $13,939 $13,528 $13,374 $13,180 $13,510 Liabilities and Equity Total Deposits $12,838 $12,608 $12,746 $12,738 $12,548 $12,131 $11,987 $11,861 $12,192 Long-Term Debt — 99 99 99 99 99 98 98 98 Other Liabilities 278 256 366 472 293 304 285 297 269 Total Liabilities $13,116 $12,962 $13,211 $13,309 $12,940 $12,533 $12,370 $12,257 $12,559 Common Equity $1,069 $1,058 $1,021 $1,064 $999 $995 $1,004 $923 $950 Total Equity $1,069 $1,058 $1,021 $1,064 $999 $995 $1,004 $923 $950 Total Liabilities and Equity $14,185 $14,020 $14,231 $14,373 $13,939 $13,528 $13,374 $13,180 $13,510 Key Metrics CET 1 Ratio 26.0 % 25.2 % 23.5 % 22.1 % 22.5 % 22.6 % 23.0 % 23.4 % 22.7 % Total Tier 1 Capital Ratio 26.0 % 25.2 % 23.5 % 22.1 % 22.5 % 22.6 % 23.0 % 23.4 % 22.7 % Total Capital Ratio 26.2 % 27.7 % 25.8 % 24.3 % 24.8 % 24.9 % 25.4 % 25.8 % 25.1 % Leverage ratio 7.3 % 7.4 % 7.3 % 7.1 % 7.3 % 7.5 % 7.6 % 7.8 % 7.6 % Risk-Weighted Assets (in $ millions) 4,063 4,207 4,539 4,776 4,668 4,648 4,541 4,522 4,628 Risk-Weighted Assets / total assets 28.6 % 30.0 % 31.9 % 33.2 % 33.5 % 34.4 % 34.0 % 34.3 % 34.3 % Tangible common equity ratio 6.9 % 6.9 % 6.6 % 6.8 % 6.5 % 6.7 % 6.8 % 6.5 % 6.5 % Book value per common share (in $) 26.01 25.07 23.78 24.09 22.12 21.53 21.39 19.20 19.34 Tangible book value per share (in $) 23.77 22.94 21.70 21.90 20.03 19.45 19.29 17.73 17.83 Non-accrual loans/gross loans 2.0 % 2.3 % 1.7 % 1.9 % 1.5 % 1.3 % 1.3 % 1.2 % 1.2 % Non-performing assets/total assets 0.8 % 1.1 % 1.1 % 1.5 % 1.1 % 1.2 % 1.0 % 0.8 % 0.7 % Allowance for credit losses/total loans 0.6 % 0.6 % 0.6 % 0.6 % 0.5 % 0.5 % 0.5 % 0.5 % 0.5 % Balance Sheet Trends \* Effective January 1, 2025, the Bank has adopted the BCBS's revised standardized approach for credit risk framework as required by the BMA. Comparatives were prepared under the prior credit risk framework.

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19 (in millions of US Dollars, unless otherwise indicated) Q2 2025 Q1 2025 Q2 2024 Assets Average balance ($) Interest ($) Average rate (%) Average balance ($) Interest ($) Average rate (%) Average balance ($) Interest ($) Average rate (%) Cash and cash equivalents, reverse repurchase agreements and short-term investments $3,634.3 $33.6 3.71 % $3,519.3 $34.5 3.98 % $3,468.8 $41.4 4.78 % Investment in securities 5,452.0 36.2 2.67 % 5,462.6 36.1 2.68 % 5,172.6 29.6 2.30 % AFS 2,292.6 18.3 3.21 % 2,247.5 17.8 3.21 % 1,797.1 10.8 2.41 % HTM 3,159.4 17.9 2.27 % 3,215.1 18.3 2.31 % 3,375.4 18.8 2.24 % Loans 4,517.7 71.0 6.31 % 4,455.3 69.4 6.32 % 4,622.7 76.6 6.65 % Commercial 1,290.7 21.1 6.55 % 1,320.3 20.6 6.32 % 1,342.8 21.7 6.50 % Consumer 3,227.0 50.0 6.21 % 3,135.0 48.8 6.32 % 3,279.9 54.8 6.71 % Total interest earning assets 13,603.9 140.9 4.15 % 13,437.3 140.0 4.23 % 13,264.1 147.6 4.46 % Other assets 417.6 430.7 430.4 Total assets $14,021.5 $13,868.0 $13,694.5 Liabilities Deposits - interest bearing $10,051.2 $(49.2) (1.96) % $9,853.4 $(49.1) (2.02) % $9,807.6 $(58.7) (2.40) % Securities sold under agreement to repurchase 1.9 — (5.94) % 16.3 (0.2) (4.42) % 2.9 — (4.83) % Long-term debt 77.7 (2.3) (11.92) % 98.7 (1.4) (5.63) % 98.6 (1.4) (5.58) % Interest bearing liabilities 10,130.8 (51.5) (2.04) % 9,968.5 (50.7) (2.06) % 9,909.1 (60.1) (2.43) % Non-interest bearing customer deposits 2,602.5 2,622.4 2,636.8 Other liabilities 253.4 263.6 243.8 Total liabilities $12,986.7 $12,854.4 $12,789.6 Shareholders' equity 1,034.9 1,013.5 904.9 Total liabilities and shareholders' equity $14,021.5 $13,868.0 $13,694.5 Non-interest bearing funds net of non- interest earning assets (free balance) $3,473.2 $3,468.8 $3,355.0 Net interest margin $89.4 2.64 % $89.3 2.70 % $87.4 2.64 % Average Balance Sheet Trends

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20 (in millions of US Dollars, unless otherwise indicated) 2025 2024 2023 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Net Interest Income $89.4 $89.3 $88.6 $88.1 $87.4 $87.1 $86.9 $90.2 $92.5 Non-Interest Income 57.0 58.4 63.2 56.0 55.6 55.1 60.0 52.0 50.2 Prov. for Credit (Losses) Recovery (0.2) 0.4 (0.3) (1.3) (0.5) 0.4 (1.7) (0.5) (1.5) Non-Interest Expenses\* 93.0 94.4 92.2 90.0 92.1 89.4 91.4 92.9 84.1 Other Gains (Losses) 0.1 — 0.1 (0.1) 0.1 0.2 (0.3) — 4.0 Net Income $53.3 $53.8 $59.6 $52.7 $50.6 $53.4 $53.5 $48.7 $61.0 Non-Core Items\*\* $0.4 $2.9 $— $0.1 $0.8 $1.6 $1.8 $8.2 $(4.0) Core Net Income\*\* $53.7 $56.7 $59.6 $52.8 $51.4 $55.0 $55.3 $57.0 $57.0 Key Metrics Loan Yield 6.31 % 6.32 % 6.43 % 6.64 % 6.65 % 6.58 % 6.68 % 6.51 % 6.42 % Securities Yield 2.67 2.68 2.51 2.39 2.30 2.23 2.16 2.06 2.07 Cost of Deposits 1.56 1.60 1.73 1.91 1.89 1.78 1.72 1.52 1.27 Net Interest Margin 2.64 2.70 2.61 2.61 2.64 2.68 2.73 2.76 2.83 Core Efficiency Ratio\*\* 61.1 59.8 58.2 60.2 61.8 59.8 60.5 58.3 57.6 Core ROATCE\*\* 22.3 24.2 25.2 22.5 23.3 24.5 25.4 26.1 26.3 Fee Income Ratio 39.0 39.4 41.7 39.2 39.0 38.6 41.3 36.7 35.5 Fully Diluted Share Count (in millions of common shares) 42.7 43.6 44.6 45.6 46.3 47.2 48.1 49.1 49.9 \* Includes income taxes \*\* See the reconciliation of non-GAAP measures on pages 23-24 Income Statement Trends

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21 (in millions of US Dollars, unless otherwise indicated) 2025 2024 2023 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Non-Interest Income Asset Management $9.4 $9.5 $9.1 $9.5 $8.9 $8.8 $8.3 $8.0 $8.2 Banking 14.7 15.1 21.2 14.4 13.8 14.3 18.6 14.1 12.6 FX Revenue 12.0 13.7 13.2 12.2 12.6 13.2 12.8 11.4 11.3 Trust 16.4 15.6 15.1 15.8 15.4 15.0 16.0 14.7 14.3 Custody & Other Admin. 3.2 3.5 3.6 3.5 3.4 3.3 3.3 3.3 3.3 Other 1.4 1.0 0.9 0.7 1.6 0.4 1.0 0.6 0.5 Total Non-Interest Income $57.0 $58.4 $63.2 $56.0 $55.6 $55.1 $60.0 $52.0 $50.2 Non-Interest Expense Salaries & Benefits\* $46.7 $46.9 $44.7 $44.7 $44.8 $43.8 $45.9 $51.3 $42.6 Technology & Comm. 16.3 16.0 16.6 16.5 16.9 16.1 17.2 16.0 14.9 Professional & O/S Services 5.2 5.4 5.7 4.8 6.7 5.5 7.0 4.3 4.8 Property 8.8 8.7 8.6 8.6 8.2 8.7 8.7 7.7 7.5 Indirect Taxes 5.8 6.5 5.3 5.5 5.6 6.3 5.0 5.4 5.3 Marketing 1.7 1.8 2.4 1.3 1.6 1.3 1.7 1.5 1.7 Intangible Amortization 2.0 1.9 2.2 1.9 1.9 1.9 1.4 1.4 1.4 Other 5.3 6.0 5.2 5.6 5.5 4.9 5.2 4.8 5.4 Total Non-Interest Expense $91.8 $93.2 $90.6 $88.8 $91.1 $88.5 $92.2 $92.5 $83.5 Income Taxes 1.2 1.2 1.5 1.2 0.9 0.9 (0.8) 0.4 0.5 Total Expense incld. Taxes $93.0 $94.4 $92.2 $90.0 $92.1 $89.4 $91.4 $92.9 $84.1 \*Includes non-service employee benefits Non-Interest Income & Expense Trends

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22 (in millions of US Dollars, unless otherwise indicated) 2025 2024 2023 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Salaries & Benefits\* $46.4 $44.1 $44.7 $44.7 $44.7 $42.5 $46.2 $43.4 $42.6 Technology & Comm. 16.3 16.0 16.6 16.5 16.9 16.1 17.2 16.0 14.9 Professional & O/S Services 5.1 5.4 5.7 4.7 6.1 5.2 4.9 4.3 4.7 Property 8.8 8.7 8.6 8.6 8.2 8.7 8.7 7.7 7.5 Indirect Taxes 5.8 6.3 5.3 5.5 5.5 6.3 5.0 5.1 5.3 Marketing 1.7 1.8 2.4 1.3 1.6 1.3 1.7 1.5 1.7 Intangible Amortization 2.0 1.9 2.2 1.9 1.9 1.9 1.4 1.4 1.4 Other 5.3 6.0 5.2 5.6 5.5 4.9 5.2 4.8 5.4 Total Core Non-Interest Expense\*\* $91.4 $90.3 $90.6 $88.6 $90.3 $86.9 $90.4 $84.3 $83.6 Income Taxes 1.2 1.2 1.5 1.2 0.9 0.9 (0.8) 0.4 0.5 Total Core Expense incld. Taxes\*\* $92.6 $91.5 $92.1 $89.8 $91.2 $87.8 $89.6 $84.7 $84.1 \* Includes non-service employee benefits \*\* See the reconciliation of non-GAAP measures on pages 23-24 Core Non-Interest Expense\* Trends

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23 (in millions of US Dollars, unless otherwise indicated) 2025 2024 Q2 Q1 Q4 Q3 Q2 Net income A $53.3 $53.8 $59.6 $52.7 $50.6 Non-core (gains), losses and expenses Non-core expenses Early retirement program, voluntary separation, redundancies and other non-core compensation costs 0.4 2.9 — — 0.2 Tax compliance review costs — — — — 0.1 Restructuring charges and related professional service fees — — — 0.1 0.5 Total non-core expenses C $0.4 $2.9 $— $0.1 $0.8 Total non-core (gains), losses and expenses D=B+C 0.4 2.9 — 0.1 0.8 Core net income to common shareholders E=A+D $53.7 $56.7 $59.6 $52.8 $51.4 Average shareholders' equity 1,055.0 1,041.3 1,030.0 1,029.2 979.4 Average common equity F 1,055.0 1,041.3 1,030.0 1,029.2 979.4 Less: average goodwill and intangible assets (91.2) (89.2) (92.9) (95.5) (95.3) Average tangible common equity G 963.8 952.1 937.2 933.7 884.1 Return on equity A/F 20.3 % 20.9 % 22.9 % 20.3 % 20.7 % Core return on average tangible common equity E/G 22.3 % 24.2 % 25.2 % 22.5 % 23.3 % Core earnings per common share fully diluted Adjusted weighted average number of diluted common shares (in thousands) H 42.7 43.6 44.6 45.6 46.3 Earnings per common share fully diluted A/H 1.25 1.23 1.34 1.16 1.09 Non-core items per share D/H 0.01 0.07 — — 0.02 Core earnings per common share fully diluted E/H 1.26 1.30 1.34 1.16 1.11 Core return on average tangible assets Total average assets I $14,111.5 $13,993.7 $13,970.1 $14,053.9 $13,790.9 Less: average goodwill and intangible assets (91.2) (89.2) (92.9) (95.5) (95.3) Average tangible assets J $14,020.3 $13,904.5 $13,877.2 $13,958.3 $13,695.6 Return on average assets A/I 1.5 % 1.6 % 1.7 % 1.5 % 1.5 % Core return on average tangible assets E/J 1.5 % 1.7 % 1.7 % 1.5 % 1.5 % Non-GAAP Reconciliation

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24 (in millions of US Dollars, unless otherwise indicated) 2025 2024 Q2 Q1 Q4 Q3 Q2 Tangible equity to tangible assets Shareholders' equity K $1,069.1 $1,057.8 $1,020.8 $1,064.2 $999.1 Less: goodwill and intangible assets (92.2) (89.7) (89.6) (96.7) (94.4) Tangible common equity L 977.0 968.1 931.2 967.5 904.7 Total assets M 14,185.0 14,019.8 14,231.4 14,373.0 13,939.1 Less: goodwill and intangible assets (92.2) (89.7) (89.6) (96.7) (94.4) Tangible assets N $14,092.8 $13,930.1 $14,141.8 $14,276.3 $13,844.7 Tangible common equity to tangible assets L/N 6.9 % 6.9 % 6.6 % 6.8 % 6.5 % Tangible book value per share Basic participating shares outstanding (in millions) O 41.1 42.2 42.9 44.2 45.2 Tangible book value per common share L/O 23.77 22.94 21.70 21.90 20.03 Efficiency ratio Non-interest expenses $91.8 $93.2 $90.6 $88.8 $91.1 Less: Amortization of intangibles (2.0) (1.9) (2.2) (1.9) (1.9) Non-interest expenses before amortization of intangibles P 89.8 91.3 88.4 86.8 89.3 Non-interest income 57.0 58.4 63.2 56.0 55.6 Net interest income before provision for credit losses 89.4 89.3 88.6 88.1 87.4 Net revenue before provision for credit losses and other gains/losses Q $146.4 $147.8 $151.9 $144.1 $143.1 Efficiency ratio P/Q 61.3 % 61.8 % 58.2 % 60.3 % 62.4 % Core efficiency ratio Non-interest expenses $91.8 $93.2 $90.6 $88.8 $91.1 Less: non-core expenses (C) (0.4) (2.9) — (0.1) (0.8) Less: amortization of intangibles (2.0) (1.9) (2.2) (1.9) (1.9) Core non-interest expenses before amortization of intangibles R 89.4 88.4 88.4 86.7 88.4 Net revenue before provision for credit losses and other gains/losses Q 146.4 147.8 151.9 144.1 143.1 Core efficiency ratio R/Q 61.1 % 59.8 % 58.2 % 60.2 % 61.8 % Non-GAAP Reconciliation (continued)

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25 Our peer group includes the following banks, noted by their ticker symbols: Peer Group • First Hawaiian, Inc. (FHB) • Bank of Hawaii Corporation (BOH) • East West Bancorp, Inc. (EWBC) • Cullen/Frost Bankers, Inc. (CFR) • Associated Banc-Corp (ASB) • Wintrust Financial Corporation (WTFC) • Commerce Bancshares, Inc. (CBSH) • Trustmark Corporation (TRMK) • International Bancshares Corporation (IBOC) • Community Financial System, Inc. (CBU) • First Financial Bankshares, Inc. (FFIN) • Westamerica Bancorporation (WABC) • UMB Financial Corporation (UMBF)

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