{"success":true,"data":{"pressRelease":{"id":"93089","rtpr_id":"nPn8x6LRHa","ticker":"WASH","exchange":"NASDAQ","all_tickers":["WASH"],"title":"Washington Trust Reports Second Quarter 2026 Results","author":"PR Newswire","published_at":"2026-07-20T20:05:00.585Z","article_body":"Washington Trust Reports Second Quarter 2026 Results\n\nPR Newswire\n\nWESTERLY, R.I., July 20, 2026\n\nWESTERLY, R.I., July 20, 2026 /PRNewswire/ -- Washington Trust Bancorp, Inc.\n(Nasdaq: WASH; \"Washington Trust\" or the \"Corporation\"), today reported second\nquarter 2026 net income of $16.0 million, or $0.83 per diluted share, up by\n$3.4 million, or $0.17 per diluted share, from the preceding quarter.\nCompared to the second quarter of 2025, net income was up by $2.7 million, or\n$0.15 per diluted share.\n\n\"We are pleased with our second quarter performance, as strong execution\nacross the company drove higher profitability, and solid loan and deposit\ngrowth,\" said Washington Trust Chairman and Chief Executive Officer Edward O.\n\"Ned\" Handy III.  \"The success of our institutional banking team was a key\nhighlight of the quarter, helping drive growth in our commercial and\nindustrial loan portfolio and also contributing meaningfully to overall\ndeposits.  Combined with our strong capital position, these results reinforce\nour confidence in the outlook for the remainder of 2026 and our ability to\ndeliver sustainable, profitable growth.\"\n\nSECOND QUARTER HIGHLIGHTS (Q2 2026 vs. Q1 2026, unless otherwise noted):\n\n * Returns on average equity and average assets were 11.61% and 0.99% for the\nsecond quarter.\n * Net interest margin (\"NIM\") was 2.73%, up by 10 basis points.\n * The provision for credit losses was $1.6 million for the second quarter.\n * Wealth management revenues increased by 5%.\n * Mortgage banking revenues were up by 14%.\n * Loan balances were up by 2% from March 31, 2026.\n * Deposits were up by 4% from March 31, 2026.\n * Capital ratios remained strong, with a common equity tier 1 ratio of 11.89% at\nJune 30, 2026.\nRESULTS OF OPERATIONS (Q2 2026 vs. Q1 2026, unless otherwise noted):\n\nNet Interest Income\nNet interest income was up by $1.3 million, or 3%, and NIM was up by 10 basis\npoints.  Compared to the second quarter of 2025, net interest income was up\nby $4.6 million, or 12%, and NIM was up by 37 basis points.\n\n * As of May 1, 2026, the remaining deferred loss from a previously terminated\ncash flow hedge was fully amortized, eliminating this expense from the Bank's\nongoing run rate.  The second quarter reflected approximately two months of\nbenefit from the cessation of this amortization, contributing $1.4 million to\nnet interest income and 9 basis points to NIM.  Beginning in third quarter,\nthere will be no amortization expense and the Bank's results will reflect a\npermanent improvement to its earnings and margin run rate.\n * Average interest-earning assets decreased by $95 million, and the yield was\nup by 4 basis points.\n * Average interest-bearing liabilities decreased by $122 million, and the rate\nwas down by 5 basis points.\nNoninterest Income\nNoninterest income was up by $1.4 million, or 8%.  Compared to the second\nquarter of 2025, noninterest income was up by $1.6 million, or 9%.\n\n * Wealth management revenues increased by $554 thousand, or 5%.  This included\nan increase of $265 thousand in transaction-based revenues, which was\nconcentrated in seasonal tax servicing fee income.  Asset-based revenues were\nup by $289 thousand, or 3%.  Compared to the second quarter of 2025, wealth\nmanagement revenues increased by $1.1 million, or 11%.\n * Mortgage banking revenues were up by $428 thousand, or 14%, largely driven by\nhigher sales volume.   Compared to the second quarter of 2025, mortgage\nbanking revenues were also up by 14%.\n * Loan related derivative income totaled $583 thousand, up by $356 thousand.\nNoninterest Expense\nNoninterest expense was up by $832 thousand, or 2%.  Compared to the second\nquarter of 2025, noninterest expense was up by $2.1 million, or 6%.\n\n * Salaries and employee benefits expense increased by $972 thousand, or 4%,\nreflecting staffing additions in our commercial and retail banking business\nlines, as well as volume- and performance-related compensation changes.\nCompared to the second quarter of 2025, salaries and employee benefits expense\nincreased by $2.3 million, or 10%, reflecting annual merit and staffing\nincreases, including the addition of resources in our commercial banking and\nwealth management business lines.\n * All other categories of noninterest expenses decreased by a net\n$140 thousand.  Compared to the second quarter of 2025, these were down by a\nnet $220 thousand.\nIncome Tax\nIncome tax expense was up by $824 thousand.  The effective tax rate was\n21.2%, compared to 21.6%.  The Corporation expects its full-year 2026\neffective tax rate to be approximately 21.5%.\n\nFINANCIAL CONDITION (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted):\n\nInvestment Securities\nThe securities portfolio totaled $885 million, down by $27 million, or 3%,\nand remained at 14% of total assets.\n\nLoans\nTotal loans amounted to $5.1 billion, up by $88 million, or 2%.\n\n * Commercial loans increased by $63 million, or 2%, driven by growth in the\ncommercial & industrial loan portfolio, primarily from our institutional\nbanking team.\n * Residential real estate loans increased by $13 million, or 1%.\n * Consumer loans increased by $12 million, or 4%.\nDeposits and Borrowings\nTotal deposits amounted to $5.4 billion, and were up by $194 million, or\n4%.  Compared to June 30, 2025, deposits were up by $314 million, or 6%.\n\nThere were no wholesale brokered deposits at June 30, 2026 or March 31,\n2026, compared to $2 million at June 30, 2025.\n\nFHLB advances totaled $456 million, and were down by $120 million, or 21%.\nCompared to June 30, 2025, FHLB advances were down by $545 million, or 54%.\n\nContingent liquidity amounted to $2.1 billion at June 30, 2026 and consisted\nof available cash, unencumbered securities, and unused collateralized\nborrowing capacity.\n\nCapital and Dividends\nTotal shareholders' equity was $553.5 million, up by $6.8 million, or 1%.\n\n * The Board of Directors declared a quarterly dividend of 56 cents per share\nfor the second quarter.  The dividend was paid on July 10, 2026 to\nshareholders of record on July 1, 2026.\n * Capital levels exceeded the regulatory minimum levels to be considered well\ncapitalized, with a common equity tier 1 ratio of 11.89%, compared to 11.99%.\n * Book value per share was $29.02, compared to $28.72.\nASSET QUALITY (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted):\nNonaccrual loans were $39.8 million, or 0.78% of total loans, down from\n$40.4 million, or 0.81%.\n\nPast due loans were $41.4 million, or 0.81% of total loans, up from\n$16.4 million, or 0.33%.  The increase was attributable to a single\ncommercial real estate office loan that had already been placed on nonaccrual\nstatus in the preceding quarter and did not reflect broader deterioration in\nportfolio credit quality during the quarter.\n\nThe provision for credit losses totaled $1.6 million in the second quarter,\ncompared to $4.0 million in the prior quarter.  The second quarter provision\nprovided for loan growth and an increase in specific reserves.  The\nCorporation recorded $55 thousand of net charge-offs in the second quarter,\ncompared to $10 thousand of net charge-offs in the preceding quarter.\n\nThe allowance for credit losses (\"ACL\") on loans amounted to $42.6 million,\nor 0.83% of total loans, compared to $41.1 million, or 0.82%.\n\nConference Call\nWashington Trust will host a conference call to discuss its second quarter\nresults, business highlights, and outlook on July 21, 2026, at 8:30 a.m.\n(Eastern Time).  Individuals may dial in to the call at 1-833-461-5787 and\nenter Meeting ID 369767940.  A replay of the call will be available on\nWashington Trust's investor relations website, https://ir.washtrust.com\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4734293-1&h=2215616711&u=https%3A%2F%2Fir.washtrust.com%2F&a=https%3A%2F%2Fir.washtrust.com)\n, in the events section under \"Q2 - 2026 Washington Trust Bancorp, Inc.\nEarnings Conference Call Webcast\".\n\nBackground\nWashington Trust Bancorp, Inc. is the parent of The Washington Trust\nCompany.  Founded in 1800, Washington Trust is the oldest community bank in\nthe nation, the largest state-chartered bank headquartered in Rhode Island and\none of the Northeast's premier financial services companies.  Washington\nTrust offers a full range of financial services, including commercial banking,\nmortgage banking, personal banking, and wealth management and trust services\nthrough its offices located in Rhode Island, Connecticut, and Massachusetts.\nThe Corporation's common stock trades on NASDAQ under the symbol WASH.\nInvestor information is available on the Corporation's website at\nhttps://ir.washtrust.com\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4734293-1&h=2215616711&u=https%3A%2F%2Fir.washtrust.com%2F&a=https%3A%2F%2Fir.washtrust.com)\n.\n\nForward-Looking Statements\nThis press release contains statements that are \"forward-looking\nstatements.\"  We may also make forward-looking statements in other documents\nwe file with the U.S. Securities and Exchange Commission (\"SEC\"), in our\nannual reports to shareholders, in press releases and other written materials,\nand in oral statements made by our officers, directors, or employees.  You\ncan identify forward-looking statements by the use of the words \"believe,\"\n\"expect,\" \"anticipate,\" \"intend,\" \"estimate,\" \"assume,\" \"outlook,\" \"will,\"\n\"should,\" and other expressions that predict or indicate future events and\ntrends and which do not relate to historical matters.  You should not rely on\nforward-looking statements, because they involve known and unknown risks,\nuncertainties, and other factors, some of which are beyond our control.\nThese risks, uncertainties, and other factors may cause our actual results,\nperformance, or achievements to be materially different from the anticipated\nfuture results, performance, or achievements expressed or implied by the\nforward-looking statements.\n\nSome of the factors that might cause these differences include the following:\n\n * changes in general business and economic conditions (including the impact of\nongoing armed conflicts, tariffs, inflation, future U.S government shutdowns,\nand concerns about liquidity) on a national basis and in the local markets in\nwhich we operate;\n * interest rate changes or volatility, as well as changes in the balance and mix\nof loans and deposits;\n * changes in customer behavior due to political, business and economic\nconditions;\n * changes in loan demand and collectability;\n * the possibility that future credit losses are higher than currently expected\ndue to changes in economic assumptions or adverse economic developments;\n * ongoing volatility in national and international financial markets;\n * reductions in the market value or outflows of wealth management assets under\nadministration;\n * decreases in the value of securities and other assets;\n * increases in defaults and charge-off rates;\n * changes in the size and nature of our competition;\n * changes in, and evolving interpretations of, existing and future laws, rules\nand regulations;\n * changes in accounting principles, policies and guidelines;\n * operational risks including, but not limited to, changes in information\ntechnology, cybersecurity incidents, fraud, natural disasters, war, terrorism,\ncivil unrest and future pandemics;\n * regulatory, litigation and reputational risks; and\n * changes in the assumptions used in making such forward-looking statements.\nIn addition, the factors described under \"Risk Factors\" in Item 1A of our\nAnnual Report on Form 10-K for the fiscal year ended December 31, 2025, as\nupdated by our Quarterly Reports on Form 10-Q and other filings submitted to\nthe SEC, may result in these differences. You should carefully review all of\nthese factors, and you should be aware that there may be other factors that\ncould cause these differences. The forward-looking statements in this report\nwere based on information, plans, and estimates at the date of this report,\nand we assume no obligation to update any forward-looking statements to\nreflect changes in underlying assumptions or factors, new information, future\nevents or other changes.\n\nSupplemental Information - Explanation of Non-GAAP Financial Measures\nIn addition to results presented in accordance with generally accepted\naccounting principles (\"GAAP\"), this press release contains certain non-GAAP\nfinancial measures.  Washington Trust's management believes that the\nsupplemental non-GAAP information, such as adjusted noninterest income,\nadjusted noninterest expense, adjusted income before income taxes, adjusted\nincome tax expense, adjusted net income, adjusted diluted earnings per common\nshare, adjusted return on average assets, adjusted return on average equity,\nand adjusted efficiency ratio, as well as measurements and ratios based on\ntangible equity and tangible assets, is utilized by regulators and market\nanalysts to evaluate a company's financial condition and therefore, such\ninformation is useful to investors.  These disclosures should not be viewed\nas a substitute for financial results determined in accordance with GAAP, nor\nare they necessarily comparable to non-GAAP performance measures, which may be\npresented by other companies.  Because non-GAAP financial measures are not\nstandardized, it may not be possible to compare these financial measures with\nother companies' non-GAAP financial measures having the same or similar names.\n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED BALANCE SHEETS\n (Unaudited; Dollars in thousands)\n                                                                                           Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                                           Mar 31, 2026              Jun 30, 2025\n                                                     Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                                                     2026        2026        2025\n Assets:\n Cash and due from banks                             $26,443     $27,781     $43,997       (1,338)     (4.8 %)       ($17,554)   (39.9 %)\n Interest-earning deposits with correspondent banks  89,069      60,090      119,582       28,979      48.2          (30,513)    (25.5)\n Short-term investments                              11,883      12,313      4,145         (430)       (3.5)         7,738       186.7\n Mortgage loans held for sale, at fair value         33,608      32,127      35,681        1,481       4.6           (2,073)     (5.8)\n Available for sale debt securities, at fair value   885,321     911,958     971,341       (26,637)    (2.9)         (86,020)    (8.9)\n Federal Home Loan Bank stock, at cost               23,809      28,273      45,273        (4,464)     (15.8)        (21,464)    (47.4)\n Loans:\n Total loans                                         5,103,069   5,014,885   5,140,260     88,184      1.8           (37,191)    (0.7)\n Less: allowance for credit losses on loans          42,571      41,126      41,059        1,445       3.5           1,512       3.7\n Net loans                                           5,060,498   4,973,759   5,099,201     86,739      1.7           (38,703)    (0.8)\n Premises and equipment, net                         26,171      25,900      25,574        271         1.0           597         2.3\n Operating lease right-of-use assets                 35,029      35,855      35,578        (826)       (2.3)         (549)       (1.5)\n Investment in bank-owned life insurance             116,914     116,010     113,372       904         0.8           3,542       3.1\n Goodwill                                            63,909      63,909      63,909        —           —             —           —\n Identifiable intangible assets, net                 3,992       4,148       2,478         (156)       (3.8)         1,514       61.1\n Other assets                                        171,258     167,073     185,036       4,185       2.5           (13,778)    (7.4)\n Total assets                                        $6,547,904  $6,459,196  $6,745,167    $88,708     1.4 %         ($197,263)  (2.9 %)\n Liabilities:\n Deposits:\n Noninterest-bearing deposits                        $644,011    $585,415    $646,584      $58,596     10.0 %        ($2,573)    (0.4 %)\n Interest-bearing deposits                           4,714,862   4,579,218   4,398,664     135,644     3.0           316,198     7.2\n Total deposits                                      5,358,873   5,164,633   5,045,248     194,240     3.8           313,625     6.2\n Federal Home Loan Bank advances                     456,000     576,000     1,001,000     (120,000)   (20.8)        (545,000)   (54.4)\n Junior subordinated debentures                      22,681      22,681      22,681        —           —             —           —\n Operating lease liabilities                         37,935      38,724      38,299        (789)       (2.0)         (364)       (1.0)\n Other liabilities                                   118,892     110,385     110,420       8,507       7.7           8,472       7.7\n Total liabilities                                   5,994,381   5,912,423   6,217,648     81,958      1.4           (223,267)   (3.6)\n Shareholders' Equity:\n Common stock                                        1,223       1,223       1,223         —           —             —           —\n Paid-in capital                                     198,088     198,654     197,392       (566)       (0.3)         696         0.4\n Retained earnings                                   449,650     444,508     437,520       5,142       1.2           12,130      2.8\n Accumulated other comprehensive loss                (77,360)    (78,435)    (95,949)      1,075       1.4           18,589      19.4\n Treasury stock, at cost                             (18,078)    (19,177)    (12,667)      1,099       5.7           (5,411)     (42.7)\n Total shareholders' equity                          553,523     546,773     527,519       6,750       1.2           26,004      4.9\n Total liabilities and shareholders' equity          $6,547,904  $6,459,196  $6,745,167    $88,708     1.4 %         ($197,263)  (2.9 %)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED STATEMENTS OF INCOME\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n                                                                                           Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                           Q2 2026   Q1 2026   Q2 2025     $            %              $            %\n Interest income:\n Interest and fees on loans                                $64,711   $64,338   $67,345     $373         0.6 %          ($2,634)     (3.9 %)\n Interest on mortgage loans held for sale                  478       375       442         103          27.5           36           8.1\n Taxable interest on debt securities                       8,468     8,768     9,230       (300)        (3.4)          (762)        (8.3)\n Nontaxable interest on debt securities                    8         7         8           1            14.3           —            —\n Dividends on Federal Home Loan Bank stock                 506       585       792         (79)         (13.5)         (286)        (36.1)\n Other interest income                                     998       909       1,029       89           9.8            (31)         (3.0)\n Total interest and dividend income                        75,169    74,982    78,846      187          0.2            (3,677)      (4.7)\n Interest expense:\n Deposits                                                  27,567    27,370    30,864      197          0.7            (3,297)      (10.7)\n Federal Home Loan Bank advances                           5,491     6,777     10,451      (1,286)      (19.0)         (4,960)      (47.5)\n Junior subordinated debentures                            308       310       346         (2)          (0.6)          (38)         (11.0)\n Total interest expense                                    33,366    34,457    41,661      (1,091)      (3.2)          (8,295)      (19.9)\n Net interest income                                       41,803    40,525    37,185      1,278        3.2            4,618        12.4\n Provision for credit losses                               1,600     4,000     600         (2,400)      (60.0)         1,000        166.7\n Net interest income after provision for credit losses     40,203    36,525    36,585      3,678        10.1           3,618        9.9\n Noninterest income:\n Wealth management revenues                                11,201    10,647    10,120      554          5.2            1,081        10.7\n Mortgage banking revenues                                 3,473     3,045     3,034       428          14.1           439          14.5\n Card interchange fees                                     1,305     1,385     1,247       (80)         (5.8)          58           4.7\n Service charges on deposit accounts                       842       785       808         57           7.3            34           4.2\n Loan related derivative income                            583       227       676         356          156.8          (93)         (13.8)\n Income from bank-owned life insurance                     904       885       826         19           2.1            78           9.4\n Other income                                              354       329       367         25           7.6            (13)         (3.5)\n Total noninterest income                                  18,662    17,303    17,078      1,359        7.9            1,584        9.3\n Noninterest expense:\n Salaries and employee benefits                            25,312    24,340    23,025      972          4.0            2,287        9.9\n Outsourced services                                       4,266     4,383     4,404       (117)        (2.7)          (138)        (3.1)\n Net occupancy                                             2,735     2,890     2,662       (155)        (5.4)          73           2.7\n Equipment                                                 887       903       930         (16)         (1.8)          (43)         (4.6)\n Legal, audit, and professional fees                       824       936       726         (112)        (12.0)         98           13.5\n FDIC deposit insurance costs                              952       935       1,235       17           1.8            (283)        (22.9)\n Advertising and promotion                                 771       547       717         224          41.0           54           7.5\n Amortization of intangibles                               156       155       203         1            0.6            (47)         (23.2)\n Other expenses                                            2,694     2,676     2,628       18           0.7            66           2.5\n Total noninterest expense                                 38,597    37,765    36,530      832          2.2            2,067        5.7\n Income before income taxes                                20,268    16,063    17,133      4,205        26.2           3,135        18.3\n Income tax expense                                        4,287     3,463     3,888       824          23.8           399          10.3\n Net income                                                $15,981   $12,600   $13,245     $3,381       26.8 %         $2,736       20.7 %\n\n Weighted avg common shares outstanding - basic            19,064    19,039    19,285\n Weighted avg common shares outstanding - diluted          19,204    19,173    19,374\n\n Per share information:\n Basic earnings per common share                           $0.84     $0.66     $0.69       $0.18        27.3 %         $0.15        21.7 %\n Diluted earnings per common share                         $0.83     $0.66     $0.68       $0.17        25.8 %         $0.15        22.1 %\n Cash dividends declared                                   $0.56     $0.56     $0.56       $—           — %            $—           — %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED STATEMENTS OF INCOME\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n                                                                                      Change\n For the Six Months Ended Jun 30,                               2026      2025        $         %\n Interest income:\n Interest and fees on loans                                     $129,049  $134,001    ($4,952)  (3.7 %)\n Interest on mortgage loans held for sale                       853       1,400       (547)     (39.1)\n Taxable interest on debt securities                            17,236    18,057      (821)     (4.5)\n Nontaxable interest on debt securities                         15        15          —         —\n Dividends on Federal Home Loan Bank stock                      1,091     1,814       (723)     (39.9)\n Other interest income                                          1,907     3,022       (1,115)   (36.9)\n Total interest and dividend income                             150,151   158,309     (8,158)   (5.2)\n Interest expense:\n Deposits                                                       54,937    62,612      (7,675)   (12.3)\n Federal Home Loan Bank advances                                12,268    21,397      (9,129)   (42.7)\n Junior subordinated debentures                                 618       693         (75)      (10.8)\n Total interest expense                                         67,823    84,702      (16,879)  (19.9)\n Net interest income                                            82,328    73,607      8,721     11.8\n Provision for credit losses                                    5,600     1,800       3,800     211.1\n Net interest income after provision for credit losses          76,728    71,807      4,921     6.9\n Noninterest income:\n Wealth management revenues                                     21,848    20,011      1,837     9.2\n Mortgage banking revenues                                      6,518     5,338       1,180     22.1\n Card interchange fees                                          2,690     2,756       (66)      (2.4)\n Service charges on deposit accounts                            1,627     1,552       75        4.8\n Loan related derivative income                                 810       777         33        4.2\n Income from bank-owned life insurance                          1,789     1,595       194       12.2\n Gain on sale of bank-owned properties, net                     —         6,994       (6,994)   (100.0)\n Other income                                                   683       698         (15)      (2.1)\n Total noninterest income                                       35,965    39,721      (3,756)   (9.5)\n Noninterest expense:\n Salaries and employee benefits                                 49,652    45,447      4,205     9.3\n Outsourced services                                            8,649     8,750       (101)     (1.2)\n Net occupancy                                                  5,625     5,403       222       4.1\n Equipment                                                      1,790     1,821       (31)      (1.7)\n Legal, audit, and professional fees                            1,760     1,476       284       19.2\n FDIC deposit insurance costs                                   1,887     2,497       (610)     (24.4)\n Advertising and promotion                                      1,318     1,127       191       16.9\n Amortization of intangibles                                    311       407         (96)      (23.6)\n Pension plan settlement charge                                 —         6,436       (6,436)   (100.0)\n Other expenses                                                 5,370     5,362       8         0.1\n Total noninterest expense                                      76,362    78,726      (2,364)   (3.0)\n Income before income taxes                                     36,331    32,802      3,529     10.8\n Income tax expense                                             7,750     7,378       372       5.0\n Net income                                                     $28,581   $25,424     $3,157    12.4 %\n\n Weighted avg common shares outstanding - basic                 19,051    19,280\n Weighted avg common shares outstanding - diluted               19,189    19,372\n\n Per share information:\n Basic earnings per common share                                $1.50     $1.32       $0.18     13.6 %\n Diluted earnings per common share                              $1.49     $1.31       $0.18     13.7 %\n Cash dividends declared                                        $1.12     $1.12       $—        — %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n\n                                                     Jun 30,   Mar 31,   Jun 30,     Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                     2026      2026      2025        Mar 31, 2026              Jun 30, 2025\n Share and Equity Related Data:\n Book value per share                                $29.02    $28.72    $27.36      $0.30       1.0 %         $1.66       6.1 %\n Tangible book value per share (non-GAAP) (1)        $25.46    $25.14    $23.91      $0.32       1.3 %         $1.55       6.5 %\n Market value per share                              $36.48    $33.46    $28.28      $3.02       9.0 %         $8.20       29.0 %\n Shares issued at end of period                      19,562    19,562    19,562      — shs       — %           — shs       — %\n Shares outstanding at end of period                 19,071    19,041    19,283      30 shs      0.2 %         (212) shs   (1.1 %)\n\n Capital Ratios (2):\n Tier 1 risk-based capital                           12.36 %   12.46 %   12.17 %     (10) bps                  19 bps\n Total risk-based capital                            13.28 %   13.38 %   13.06 %     (10) bps                  22 bps\n Tier 1 leverage ratio                               9.02 %    8.80 %    8.66 %      22 bps                    36 bps\n Common equity tier 1                                11.89 %   11.99 %   11.71 %     (10) bps                  18 bps\n\n Balance Sheet Ratios:\n Equity to assets                                    8.45 %    8.47 %    7.82 %      (2) bps                   63 bps\n Tangible equity to tangible assets (non-GAAP) (1)   7.49 %    7.49 %    6.90 %      — bps                     59 bps\n Loans to deposits (3)                               95.1 %    96.9 %    101.8 %     (180) bps                 (670) bps\n\n \n                                                                                   Q2 2026                   For the Six Months        YTD\n                                                                                                             Ended                     2026\n                                                   Q2 2026   Q1 2026   Q2 2025      vs.         vs.          Jun 30,     Jun 30,        vs.\n                                                                                   Q1 2026     Q2 2025       2026        2025          2025\n                                                                                   (bps)       (bps)                                   (bps)\n Performance Ratios (4):\n Net interest margin (5)                           2.73 %    2.63 %    2.36 %      10          37            2.68 %      2.32 %        36\n\n Return on average assets (6)                      0.99 %    0.78 %    0.80 %      21          19            0.88 %      0.76 %        12\n Adjusted return on average assets (non-GAAP) (1)  0.99 %    0.78 %    0.80 %      21          19            0.88 %      0.75 %        13\n Return on average tangible assets (non-GAAP) (1)  1.00 %    0.79 %    0.81 %      21          19            0.89 %      0.76 %        13\n\n Return on average equity (7)                      11.61 %   9.23 %    10.14 %     238         147           10.43 %     9.89 %        54\n Adjusted return on average equity (non-GAAP) (1)  11.61 %   9.23 %    10.14 %     238         147           10.43 %     9.73 %        70\n Return on average tangible equity (non-GAAP) (1)  13.24 %   10.53 %   11.62 %     271         162           11.89 %     11.16 %       73\n\n Efficiency ratio (8)                              63.8 %    65.3 %    67.3 %      (150)       (350)         64.6 %      69.5 %        (490)\n Adjusted efficiency ratio (non-GAAP) (1)          63.8 %    65.3 %    67.3 %      (150)       (350)         64.6 %      68.0 %        (340)\n\n (1)  See the section labeled \"Supplemental Information - Calculation of Non-GAAP\n      Financial Measures\" at the end of this document.\n (2)  Estimated for Jun 30, 2026 and actuals for prior periods.\n (3)  Period-end balances of net loans and mortgage loans held for sale as a\n      percentage of total deposits.\n (4)  Annualized based on the actual number of days in the period.\n (5)  Fully taxable equivalent (FTE) net interest income as a percentage of\n      average-earnings assets.\n (6)  Net income divided by average assets.\n (7)  Net income divided by average equity.\n (8)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars in thousands)\n                                                                                      Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                Q2 2026     Q1 2026     Q2 2025       $            %              $            %\n Wealth Management Results\n Wealth Management Revenues:\n Asset-based revenues                           $10,869     $10,580     $9,745        $289         2.7 %          $1,124       11.5 %\n Transaction-based revenues                     332         67          375           265          395.5          (43)         (11.5)\n Total wealth management revenues               $11,201     $10,647     $10,120       $554         5.2 %          $1,081       10.7 %\n\n Assets Under Administration (AUA):\n Market value at the end of the period (1)      $7,916,933  $7,495,602  $7,181,715    $421,331     5.6 %          $735,218     10.2 %\n\n Percentage of AUA that are managed assets      91 %        91 %        91 %\n\n Mortgage Banking Results\n Mortgage Banking Revenues:\n Realized gains on loan sales, net (2)          $2,733      $2,370      $2,460        $363         15.3 %         $273         11.1 %\n Changes in fair value, net (3)                 226         164         19            62           37.8           207          1089.5\n Loan servicing fee income, net (4)             514         511         555           3            0.6            (41)         (7.4)\n Total mortgage banking revenues                $3,473      $3,045      $3,034        $428         14.1 %         $439         14.5 %\n\n Residential Mortgage Loan Originations:\n Originations for retention in portfolio (5)    $78,934     $36,813     $51,331       $42,121      114.4 %        $27,603      53.8 %\n Originations for sale to secondary market (6)  137,134     118,351     130,212       18,783       15.9           6,922        5.3\n Total mortgage loan originations               $216,068    $155,164    $181,543      $60,904      39.3 %         $34,525      19.0 %\n\n Percentage of originations for sale to total   63 %        76 %        72 %\n   mortgage loan originations\n\n Residential Mortgage Loans Sold:\n Sold with servicing rights retained            $7,586      $4,670      $7,762        $2,916       62.4 %         ($176)       (2.3 %)\n Sold with servicing rights released (6)        128,535     116,853     109,013       11,682       10.0           19,522       17.9\n Total mortgage loans sold                      $136,121    $121,523    $116,775      $14,598      12.0 %         $19,346      16.6 %\n\n (1)  Includes the impact of $195 million of managed assets acquired from Lighthouse\n      Financial Management, LLC on Jul 31, 2025.\n (2)  Includes gains on loan sales, commission income on loans originated for\n      others, servicing right gains, and gains (losses) on forward loan commitments.\n (3)  Represents fair value changes on mortgage loans held for sale and forward loan\n      commitments.\n (4)  Represents loan servicing fee income, net of servicing right amortization and\n      valuation adjustments.\n (5)  Includes the full commitment amount of homeowner construction loans.\n (6)  Includes brokered loans (loans originated for others).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars in thousands)\n                                                                                                    Change\n For the Six Months Ended Jun 30,                                         2026        2025          $          %\n Wealth Management Results\n Wealth Management Revenues:\n Asset-based revenues                                                     $21,449     $19,514       $1,935     9.9 %\n Transaction-based revenues                                               399         497           (98)       (19.7)\n Total wealth management revenues                                         $21,848     $20,011       $1,837     9.2 %\n\n Assets Under Administration (AUA):\n Market value at the end of the period (1)                                $7,916,933  $7,181,715    $735,218   10.2 %\n\n Percentage of AUA that are managed assets                                91 %        91 %\n\n Mortgage Banking Results\n Mortgage Banking Revenues:\n Realized gains on loan sales, net (2)                                    $5,103      $4,035        $1,068     26.5 %\n Changes in fair value, net (3)                                           390         152           238        156.6\n Loan servicing fee income, net (4)                                       1,025       1,151         (126)      (10.9)\n Total mortgage banking revenues                                          $6,518      $5,338        $1,180     22.1 %\n\n Residential Mortgage Loan Originations:\n Originations for retention in portfolio (5)                              $115,747    $78,993       $36,754    46.5 %\n Originations for sale to secondary market (6)                            255,485     205,731       49,754     24.2\n Total mortgage loan originations                                         $371,232    $284,724      $86,508    30.4 %\n\n Percentage of originations for sale to total mortgage loan originations  69 %        72 %\n\n Residential Mortgage Loans Sold:\n Sold with servicing rights retained                                      $12,256     $24,581       ($12,325)  (50.1 %)\n Sold with servicing rights released (6)                                  245,388     167,693       77,695     46.3\n Total mortgage loans sold                                                $257,644    $192,274      $65,370    34.0 %\n\n (1)  Includes the impact of $195 million of managed assets acquired from Lighthouse\n      Financial Management, LLC on Jul 31, 2025.\n (2)  Includes gains on loan sales, commission income on loans originated for\n      others, servicing right gains, and gains (losses) on forward loan commitments.\n (3)  Represents fair value changes on mortgage loans held for sale and forward loan\n      commitments.\n (4)  Represents loan servicing fee income, net of servicing right amortization and\n      valuation adjustments.\n (5)  Includes the full commitment amount of homeowner construction loans.\n (6)  Includes brokered loans (loans originated for others).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD LOAN COMPOSITION\n (Unaudited; Dollars in thousands)\n                                                                    Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                    Mar 31, 2026              Jun 30, 2025\n                              Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                              2026        2026        2025\n Loans:\n Commercial real estate (1)   $2,050,249  $2,084,804  $2,178,925    ($34,555)   (1.7 %)       ($128,676)  (5.9 %)\n Commercial & industrial      665,855     568,177     547,318       97,678      17.2          118,537     21.7\n Total commercial             2,716,104   2,652,981   2,726,243     63,123      2.4           (10,139)    (0.4)\n\n Residential real estate (2)  2,042,406   2,029,092   2,096,250     13,314      0.7           (53,844)    (2.6)\n\n Home equity                  328,802     316,353     300,917       12,449      3.9           27,885      9.3\n Other                        15,757      16,459      16,850        (702)       (4.3)         (1,093)     (6.5)\n Total consumer               344,559     332,812     317,767       11,747      3.5           26,792      8.4\n Total loans                  $5,103,069  $5,014,885  $5,140,260    $88,184     1.8 %         ($37,191)   (0.7 %)\n\n (1)  Commercial real estate loans consist of commercial mortgages and construction\n      and development loans.  Commercial mortgages are loans secured by income\n      producing property.\n (2)  Residential real estate loans consist of mortgage and homeowner construction\n      loans secured by one- to four-family residential properties.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD LOAN COMPOSITION\n (Unaudited; Dollars in thousands)\n                                                      Jun 30, 2026              Dec 31, 2025              Balance Change\n                                                      Balance     % of Total    Balance     % of Total    $           %\n Commercial Real Estate Portfolio Segmentation:\n Multi-family                                         $644,249    31 %          $667,388    31 %          ($23,139)   (3.5 %)\n Retail                                               420,295     20            436,961     20            (16,666)    (3.8)\n Industrial and warehouse                             325,720     16            380,403     17            (54,683)    (14.4)\n Hospitality                                          242,261     12            230,549     11            11,712      5.1\n Office                                               212,074     10            237,706     11            (25,632)    (10.8)\n Healthcare Facility                                  132,488     6             156,871     7             (24,383)    (15.5)\n Mixed-use                                            28,349      1             26,440      1             1,909       7.2\n Other                                                44,813      4             47,667      2             (2,854)     (6.0)\n Total commercial real estate loans                   $2,050,249  100 %         $2,183,985  100 %         ($133,736)  (6.1 %)\n\n Commercial & Industrial Portfolio Segmentation:\n Healthcare and social assistance                     $150,391    23 %          $150,061    27 %          $330        0.2 %\n Educational services                                 135,253     20            54,245      10            81,008      149.3\n Retail trade                                         71,933      11            48,289      9             23,644      49.0\n Transportation and warehousing                       55,038      8             55,315      10            (277)       (0.5)\n Accommodation and food services                      32,585      5             26,431      5             6,154       23.3\n Manufacturing                                        27,592      4             23,714      4             3,878       16.4\n Finance and insurance                                27,017      4             22,727      4             4,290       18.9\n Arts, entertainment, and recreation                  24,306      4             22,043      4             2,263       10.3\n Information                                          21,196      3             21,843      4             (647)       (3.0)\n Professional, scientific, and technical services     20,936      3             12,490      2             8,446       67.6\n Real estate rental and leasing                       20,600      3             57,113      10            (36,513)    (63.9)\n Public administration                                6,026       1             1,448       —             4,578       316.2\n Other                                                72,982      11            68,363      11            4,619       6.8\n Total commercial & industrial loans                  $665,855    100 %         $564,082    100 %         $101,773    18.0 %\n\n \n                                                                         Weighted Average        Asset Quality                      Supplemental\n                                                                                                                                    - Nonaccrual\n                                                                                                                                    (included in\n                                                                                                                                    Classified)\n                                                   Balance    Average    Loan to    Debt         Pass       Special   Classified\n                                                   (2) (3)\n Loan     Value\nService                Mention\n\nSize (4)             Coverage\n Non-Owner Occupied Commercial\n Real Estate Office (inclusive of Construction):\n Class A                                           $71,256    $11,931    58 %       1.65x        $42,812    $—        $28,444       $22,349\n Class B                                           70,313     3,516      54 %       1.48x        66,563     3,750     —             —\n Class C                                           10,333     1,476      56 %       1.34x        10,333     —         —             —\n Medical Office                                    25,694     6,424      54 %       1.66x        25,694     —         —             —\n Lab Space                                         34,478     18,288     103 %      —x           —          27,904    6,574         6,574\n Total office at Jun 30, 2026 (1)                  $212,074   $5,500     64 %       1.30x        $145,402   $31,654   $35,018       $28,923\n Total office at Mar 31, 2026                      $231,007   $5,567     64 %       1.29x        $164,665   $31,294   $35,048       $28,923\n Jun 30, 2026 vs. Mar 31, 2026                     ($18,933)  ($67)      — %        0.01x        ($19,263)  $360      ($30)         $—\n\n (1)  Approximately 62% of the total commercial real estate office balance of $212\n      million is secured by income producing properties located in suburban areas.\n      Additionally, approximately 57% of the total commercial real estate office\n      balance is scheduled to mature before Jun 30, 2028.\n (2)  Balance of commercial real estate office consists of 39 loans as of Jun 30,\n      2026.\n (3)  Does not include $2.4 million of unfunded commitments as of Jun 30, 2026.\n (4)  Total commitment (outstanding loan balance plus unfunded commitments) divided\n      by number of loans.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD DEPOSIT COMPOSITION & CONTINGENT LIQUIDITY\n (Unaudited; Dollars in thousands)\n                                                                                     Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                                     Mar 31, 2026              Jun 30, 2025\n                                               Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                                               2026        2026        2025\n Deposits:\n Noninterest-bearing demand deposits           $644,011    $585,415    $646,584      $58,596     10.0 %        ($2,573)    (0.4 %)\n Interest-bearing demand deposits (in-market)  745,273     758,524     668,483       (13,251)    (1.7)         76,790      11.5\n NOW accounts                                  701,615     690,987     680,246       10,628      1.5           21,369      3.1\n Money market accounts                         1,270,616   1,132,421   1,147,792     138,195     12.2          122,824     10.7\n Savings accounts                              863,856     830,855     693,055       33,001      4.0           170,801     24.6\n Time deposits (in-market)                     1,133,502   1,166,431   1,207,255     (32,929)    (2.8)         (73,753)    (6.1)\n In-market deposits                            5,358,873   5,164,633   5,043,415     194,240     3.8           315,458     6.3\n Wholesale brokered time deposits              —           —           1,833         —           —             (1,833)     (100.0)\n Total deposits                                $5,358,873  $5,164,633  $5,045,248    $194,240    3.8 %         $313,625    6.2 %\n\n \n                                   Jun 30,       Dec 31,       Jun 30, 2026 vs.\n                                   2026          2025          Dec 31, 2025\n Contingent Liquidity:\n Federal Home Loan Bank of Boston  $1,448,030    $1,356,005    $92,025     6.8 %\n Federal Reserve Bank of Boston    98,557        104,379       (5,822)     (5.6)\n Available cash liquidity (1)      42,678        17,460        25,218      144.4\n Unencumbered securities           494,925       539,830       (44,905)    (8.3)\n Total                             $2,084,190    $2,017,674    $66,516     3.3 %\n\n (1)  Available cash liquidity excludes amounts restricted for collateral purposes\n      and designated for operating needs.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n\n                                                                                                             Jun 30, 2026 vs.\n                                                                Jun 30,    Mar 31,            Jun 30,        Mar 31,     Jun 30,\n                                                                2026       2026               2025           2026        2025\n                                                                                                             (bps)       (bps)\n Asset Quality Ratios:\n Nonperforming assets to total assets                           0.61 %     0.63 %             0.39 %         (2)         22\n Nonaccrual loans to total loans                                0.78 %     0.81 %             0.51 %         (3)         27\n Total past due loans to total loans                            0.81 %     0.33 %             0.27 %         48          54\n ACL on loans to nonaccrual loans                               106.92 %   101.70 %           157.27 %       522         (5,035)\n ACL on loans to total loans                                    0.83 %     0.82 %             0.80 %         1           3\n\n                                                                                  Jun 30, 2026 vs.           Jun 30, 2026 vs.\n                                                                                  Mar 31, 2026               Jun 30, 2025\n                                              Jun 30,  Mar 31,  Jun 30,           $           %              $           %\n                                              2026     2026     2025\n Nonperforming Assets:\n Commercial real estate                       $28,923  $28,923  $4,276            $—          — %            $24,647     576.4 %\n Commercial & industrial                      126      126      9,711             —           —              (9,585)     (98.7)\n Total commercial                             29,049   29,049   13,987            —           —              15,062      107.7\n Residential real estate                      9,072    9,631    10,614            (559)       (5.8)          (1,542)     (14.5)\n Home equity                                  1,695    1,757    1,507             (62)        (3.5)          188         12.5\n Other consumer                               —        3        —                 (3)         (100.0)        —           —\n Total consumer                               1,695    1,760    1,507             (65)        (3.7)          188         12.5\n Total nonaccrual loans                       39,816   40,440   26,108            (624)       (1.5)          13,708      52.5\n Other real estate owned                      —        —        —                 —           —              —           —\n Total nonperforming assets                   $39,816  $40,440  $26,108           ($624)      (1.5 %)        $13,708     52.5 %\n\n Past Due Loans (30 days or more past due):\n Commercial real estate                       $28,923  $6,574   $—                $22,349     340.0 %        $28,923     100.0 %\n Commercial & industrial                      464      470      1,799             (6)         (1.3)          (1,335)     (74.2)\n Total commercial                             29,387   7,044    1,799             22,343      317.2          27,588      1,533.5\n Residential real estate                      9,908    6,627    9,772             3,281       49.5           136         1.4\n Home equity                                  2,086    2,746    2,430             (660)       (24.0)         (344)       (14.2)\n Other consumer                               27       31       34                (4)         (12.9)         (7)         (20.6)\n Total consumer                               2,113    2,777    2,464             (664)       (23.9)         (351)       (14.2)\n Total past due loans                         $41,408  $16,448  $14,035           $24,960     151.8 %        $27,373     195.0 %\n\n Accruing loans 90 days or more past due      $—       $—       $—                $—          — %            $—          — %\n Nonaccrual loans included in past due loans  $36,152  $12,297  $8,186            $23,855     194.0 %        $27,966     341.6 %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n                                                          For the Three Months Ended\n                                                          Jun 30,    Mar 31,    Jun 30,\n                                                          2026       2026       2025\n Nonaccrual Loan Activity:\n Balance at beginning of period                           $40,440    $12,923    $21,626\n Additions to nonaccrual status                           2,457      29,064     10,454\n Loans returned to accruing status                        (2,318)    (69)       (1,493)\n Loans charged-off                                        (78)       (84)       (667)\n Loans transferred to other real estate owned             —          —          —\n Payments, payoffs, and other changes                     (685)      (1,394)    (3,812)\n Balance at end of period                                 $39,816    $40,440    $26,108\n\n Allowance for Credit Losses on Loans:\n Balance at beginning of period                           $41,126    $37,236    $41,056\n Provision for credit losses on loans (1)                 1,500      3,900      650\n Charge-offs                                              (78)       (84)       (667)\n Recoveries                                               23         74         20\n Balance at end of period                                 $42,571    $41,126    $41,059\n\n Allowance for Credit Losses on Unfunded Commitments:\n Balance at beginning of period                           $1,240     $1,140     $1,240\n Provision for credit losses on unfunded commitments (1)  100        100        (50)\n Balance at end of period (2)                             $1,340     $1,240     $1,190\n\n (1)  Included in provision for credit losses in the Consolidated Statements of\n      Income.\n (2)  Included in other liabilities in the Consolidated Balance Sheets.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n                                                                                         Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                      Q2 2026    Q1 2026    Q2 2025      $            %              $            %\n Provision for Credit Losses:\n Provision for credit losses on loans                 $1,500     $3,900     $650         ($2,400)     (61.5 %)       $850         130.8 %\n Provision for credit losses on unfunded commitments  100        100        (50)         —            —              150          300.0\n Provision for credit losses                          $1,600     $4,000     $600         ($2,400)     (60.0 %)       $1,000       166.7 %\n\n Net Loan Charge-Offs (Recoveries):\n Commercial real estate                               $—         $—         $274         $—           — %            ($274)       (100.0 %)\n Commercial & industrial                              —          (42)       307          42           100.0          (307)        (100.0)\n Total commercial                                     —          (42)       581          42           100.0          (581)        (100.0)\n Residential real estate                              —          (1)        —            1            100.0          —            —\n Home equity                                          —          (1)        (1)          1            100.0          1            100.0\n Other consumer                                       55         54         67           1            1.9            (12)         (17.9)\n Total consumer                                       55         53         66           2            3.8            (11)         (16.7)\n Total                                                $55        $10        $647         $45          450.0 %        ($592)       (91.5 %)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis)\n (Unaudited; Dollars in thousands)\n\n The following tables present daily average balance, interest, and yield/rate\n information, as well as net interest margin on an FTE basis.  Tax-exempt\n income is converted to an FTE basis using the statutory federal income tax\n rate.  Unrealized gains (losses) on available for sale securities, changes\n in fair value on mortgage loans held for sale, and basis adjustments\n associated with fair value hedges are excluded from the average balance and\n yield calculations.  Nonaccrual loans are included in amounts presented for\n loans.  Interest income attributable to nonaccrual loans is included in\n accordance with accounting policy as disclosed in our Annual Report on Form\n 10-K for the fiscal year ended December 31, 2025.\n For the Three Months Ended                  Jun 30, 2026                     Mar 31, 2026                     Change\n                                             Average     Interest  Yield/     Average     Interest  Yield/     Average     Interest  Yield/\n                                             Balance\nRate      Balance\nRate      Balance\nRate\n\n Assets:\n Cash, federal funds sold, and short-term    $111,434    $998      3.59 %     $101,091    $909      3.65 %     $10,343     $89       (0.06 %)\n   investments\n Mortgage loans held for sale                31,413      478       6.10       24,760      375       6.14       6,653       103       (0.04)\n Taxable debt securities                     996,894     8,468     3.41       1,022,612   8,768     3.48       (25,718)    (300)     (0.07)\n Nontaxable debt securities                  650         8         4.94       650         8         4.99       —           —         (0.05)\n Total securities                            997,544     8,476     3.41       1,023,262   8,776     3.48       (25,718)    (300)     (0.07)\n FHLB stock                                  25,557      506       7.94       30,566      585       7.76       (5,009)     (79)      0.18\n Commercial real estate                      2,049,760   28,593    5.60       2,148,792   28,718    5.42       (99,032)    (125)     0.18\n Commercial & industrial                     592,347     8,346     5.65       571,498     7,921     5.62       20,849      425       0.03\n Total commercial                            2,642,107   36,939    5.61       2,720,290   36,639    5.46       (78,183)    300       0.15\n Residential real estate                     2,027,688   22,698    4.49       2,035,597   22,723    4.53       (7,909)     (25)      (0.04)\n Home equity                                 322,709     5,052     6.28       316,660     4,931     6.32       6,049       121       (0.04)\n Other                                       15,760      208       5.29       16,589      215       5.26       (829)       (7)       0.03\n Total consumer                              338,469     5,260     6.23       333,249     5,146     6.26       5,220       114       (0.03)\n Total loans                                 5,008,264   64,897    5.20       5,089,136   64,508    5.14       (80,872)    389       0.06\n Total interest-earning assets               6,174,212   75,355    4.90       6,268,815   75,153    4.86       (94,603)    202       0.04\n Noninterest-earning assets                  289,814                          297,871                          (8,057)\n Total assets                                $6,464,026                       $6,566,686                       ($102,660)\n Liabilities and Shareholders' Equity:\n Interest-bearing demand deposits (in-       $730,215    $5,751    3.16 %     $748,233    $5,889    3.19 %     ($18,018)   ($138)    (0.03 %)\n   market)\n NOW accounts                                685,098     265       0.16       676,240     259       0.16       8,858       6         —\n Money market accounts                       1,196,679   8,429     2.83       1,162,609   7,788     2.72       34,070      641       0.11\n Savings accounts                            833,804     3,656     1.76       810,040     3,418     1.71       23,764      238       0.05\n Time deposits (in-market)                   1,143,511   9,466     3.32       1,190,414   10,016    3.41       (46,903)    (550)     (0.09)\n Interest-bearing in-market deposits         4,589,307   27,567    2.41       4,587,536   27,370    2.42       1,771       197       (0.01)\n Wholesale brokered time deposits            —           —         —          —           —         —          —           —         —\n Total interest-bearing deposits             4,589,307   27,567    2.41       4,587,536   27,370    2.42       1,771       197       (0.01)\n FHLB advances                               536,879     5,491     4.10       660,667     6,777     4.16       (123,788)   (1,286)   (0.06)\n Junior subordinated debentures              22,681      308       5.45       22,681      310       5.54       —           (2)       (0.09)\n Total interest-bearing liabilities          5,148,867   33,366    2.60       5,270,884   34,457    2.65       (122,017)   (1,091)   (0.05)\n Noninterest-bearing demand deposits         621,882                          604,302                          17,580\n Other liabilities                           141,165                          138,126                          3,039\n Shareholders' equity                        552,112                          553,374                          (1,262)\n Total liabilities and shareholders' equity  $6,464,026                       $6,566,686                       ($102,660)\n Net interest income (FTE)                               $41,989                          $40,696                          $1,293\n Interest rate spread                                              2.30 %                           2.21 %                           0.09 %\n Net interest margin                                               2.73 %                           2.63 %                           0.10 %\n\n Interest income amounts presented in the preceding table include the following\n adjustments for taxable equivalency:\n\n For the Three Months Ended  Jun 30, 2026  Mar 31, 2026    Change\n Commercial loans            $180          $168            $12\n Nontaxable debt securities  —             1               (1)\n Total                       $180          $169            $11\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis)\n (Unaudited; Dollars in thousands)\n For the Six Months Ended                    Jun 30, 2026                     Jun 30, 2025                     Change\n                                             Average     Interest  Yield/     Average     Interest  Yield/     Average     Interest  Yield/\n                                             Balance\nRate      Balance\n Rate     Balance\n Rate\n\n Assets:\n Cash, federal funds sold and short-term     $106,290    $1,907    3.62 %     $138,950    $3,022    4.39 %     ($32,660)   ($1,115)  (0.77 %)\n   investments\n Mortgage loans for sale                     28,105      853       6.12       66,145      1,400     4.27       (38,040)    (547)     1.85\n Taxable debt securities                     1,009,682   17,236    3.44       1,055,109   18,057    3.45       (45,427)    (821)     (0.01)\n Nontaxable debt securities                  650         17        5.27       650         16        4.96       —           1         0.31\n Total securities                            1,010,332   17,253    3.44       1,055,759   18,073    3.45       (45,427)    (820)     (0.01)\n FHLB stock                                  28,048      1,091     7.84       42,482      1,814     8.61       (14,434)    (723)     (0.77)\n Commercial real estate                      2,099,003   57,311    5.51       2,150,209   61,579    5.78       (51,206)    (4,268)   (0.27)\n Commercial & industrial                     581,981     16,267    5.64       544,352     15,841    5.87       37,629      426       (0.23)\n Total commercial                            2,680,984   73,578    5.53       2,694,561   77,420    5.79       (13,577)    (3,842)   (0.26)\n Residential real estate                     2,031,620   45,421    4.51       2,108,429   46,350    4.43       (76,809)    (929)     0.08\n Home equity                                 319,702     9,984     6.30       297,695     10,229    6.93       22,007      (245)     (0.63)\n Other                                       16,171      422       5.26       17,174      423       4.97       (1,003)     (1)       0.29\n Total consumer                              335,873     10,406    6.25       314,869     10,652    6.82       21,004      (246)     (0.57)\n Total loans                                 5,048,477   129,405   5.17       5,117,859   134,422   5.30       (69,382)    (5,017)   (0.13)\n Total interest-earning assets               6,221,252   150,509   4.88       6,421,195   158,731   4.98       (199,943)   (8,222)   (0.10)\n Noninterest-earning assets                  293,820                          282,682                          11,138\n Total assets                                $6,515,072                       $6,703,877                       ($188,805)\n Liabilities and Shareholders' Equity:\n Interest-bearing demand deposits (in-       $739,174    $11,640   3.18 %     $646,489    $12,126   3.78 %     $92,685     ($486)    (0.60 %)\n   market)\n NOW accounts                                680,693     524       0.16       674,985     685       0.20       5,708       (161)     (0.04)\n Money market accounts                       1,179,738   16,217    2.77       1,207,072   19,806    3.31       (27,334)    (3,589)   (0.54)\n Savings accounts                            821,989     7,074     1.74       614,573     4,932     1.62       207,416     2,142     0.12\n Time deposits (in-market)                   1,166,833   19,482    3.37       1,209,927   22,611    3.77       (43,094)    (3,129)   (0.40)\n Interest-bearing in-market deposits         4,588,427   54,937    2.41       4,353,046   60,160    2.79       235,381     (5,223)   (0.38)\n Wholesale brokered time deposits            —           —         —          97,939      2,452     5.05       (97,939)    (2,452)   (5.05)\n Total interest-bearing deposits             4,588,427   54,937    2.41       4,450,985   62,612    2.84       137,442     (7,675)   (0.43)\n FHLB advances                               598,431     12,268    4.13       946,906     21,397    4.56       (348,475)   (9,129)   (0.43)\n Junior subordinated debentures              22,681      618       5.49       22,681      693       6.16       —           (75)      (0.67)\n Total interest-bearing liabilities          5,209,539   67,823    2.63       5,420,572   84,702    3.15       (211,033)   (16,879)  (0.52)\n Noninterest-bearing demand deposits         613,141                          618,373                          (5,232)\n Other liabilities                           139,652                          146,524                          (6,872)\n Shareholders' equity                        552,740                          518,408                          34,332\n Total liabilities and shareholders' equity  $6,515,072                       $6,703,877                       ($188,805)\n Net interest income (FTE)                               $82,686                          $74,029                          $8,657\n Interest rate spread                                              2.25 %                           1.83 %                           0.42 %\n Net interest margin                                               2.68 %                           2.32 %                           0.36 %\n\n Interest income amounts presented in the preceding table include the following\n adjustments for taxable equivalency:\n\n For the Six Months Ended    Jun 30, 2026  Jun 30, 2025    Change\n Commercial loans            $348          $425            ($77)\n Nontaxable debt securities  2             1               1\n Total                       $350          $426            ($76)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (Unaudited; Dollars in thousands, except per share amounts)\n\n The following table presents adjusted noninterest income, adjusted noninterest\n expense, adjusted income before income taxes, adjusted income tax\n expense, and adjusted net income, adjusted diluted earnings per common share,\n and adjusted efficiency ratio:\n\n For the Six Months Ended Jun 30,                             2026     2025       Change\n Adjusted Noninterest Income:\n Noninterest income, as reported                              $35,965  $39,721    ($3,756)   (9.5 %)\n Less adjustments:\n Gain on sale of bank-owned properties, net                   —        6,994      (6,994)    (100.0)\n Adjusted noninterest income (non-GAAP)                       $35,965  $32,727    $3,238     9.9 %\n\n Adjusted Noninterest Expense:\n Noninterest expense, as reported                             $76,362  $78,726    ($2,364)   (3.0 %)\n Less adjustments:\n Pension plan settlement charge                               —        6,436      (6,436)    (100.0)\n Adjusted noninterest expense (non-GAAP)                      $76,362  $72,290    $4,072     5.6 %\n\n Adjusted Income Before Income Taxes:\n Income before income taxes                                   $36,331  $32,802    $3,529     10.8 %\n Less: total adjustments, pre-tax                             —        558        (558)      (100.0)\n Adjusted income before income taxes (non-GAAP)               $36,331  $32,244    $4,087     12.7 %\n\n Adjusted Income Tax Expense:\n Income tax expense, as reported                              $7,750   $7,378     $372       5.0 %\n Less: tax on total adjustments                               —        141        (141)      (100.0)\n Adjusted income tax expense (non-GAAP)                       $7,750   $7,237     $513       7.1 %\n\n Adjusted Net Income:\n Net income, as reported                                      $28,581  $25,424    $3,157     12.4 %\n Less: total adjustments, after-tax                           —        417        (417)      (100.0)\n Adjusted net income (non-GAAP)                               $28,581  $25,007    $3,574     14.3 %\n\n Adjusted Diluted Earnings per Common Share:\n Diluted earnings (loss) per common share, as reported (1)    $1.49    $1.31      $0.18      13.7 %\n Less: impact of total adjustments                            —        0.02       (0.02)     (100.0)\n Adjusted diluted earnings per common share (non-GAAP) (2)    $1.49    $1.29      $0.20      15.5 %\n\n Adjusted Efficiency Ratio:\n Efficiency ratio, as reported (3)                            64.6 %   69.5 %     (490) bps\n Less: impact of total adjustments                            —        1.5        (150) bps\n Adjusted efficiency ratio (non-GAAP) (4)                     64.6 %   68.0 %     (340) bps\n\n (1)  Net income divided by weighted average diluted common and potential shares\n      outstanding.\n (2)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by weighted average diluted common and potential\n      shares outstanding.\n (3)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income).\n (4)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income), each adjusted for the pre-tax impact of adjustments\n      as outlined in the table above.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands)\n\n The following tables present return on average tangible assets and adjusted\n return on average assets:\n\n                                                    Q2 2026     Q1 2026     Q2 2025       Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n Return on Average Tangible Assets:\n Net income, as reported                            $15,981     $12,600     $13,245       $3,381       26.8 %         $2,736       20.7 %\n\n Total average assets, as reported                  $6,464,026  $6,566,686  $6,643,370    ($102,660)   (1.6 %)        ($179,344)   (2.7 %)\n Less average balances of:\n Goodwill                                           63,909      63,909      63,909        —            —              —            —\n Identifiable intangible assets, net                4,068       4,224       2,577         (156)        (3.7)          1,491        57.9\n Total average tangible assets                      $6,396,049  $6,498,553  $6,576,884    ($102,504)   (1.6 %)        ($180,835)   (2.7 %)\n\n Return on average assets (1)                       0.99 %      0.78 %      0.80 %        21 bps                      19 bps\n Return on average tangible assets (non-GAAP) (2)   1.00 %      0.79 %      0.81 %        21 bps                      19 bps\n\n \n For the Six Months Ended Jun 30,                     2026        2025          Change\n Adjusted Return on Average Assets:\n Net income, as reported                              $28,581     $25,424       $3,157      12.4 %\n Less: total adjustments, after-tax                   —           417           (417)       (100.0)\n Adjusted net income (non-GAAP)                       $28,581     $25,007       $3,574      14.3 %\n\n Total average assets, as reported                    $6,515,072  $6,703,877    ($188,805)  (2.8 %)\n\n Return on average assets (1)                         0.88 %      0.76 %        12 bps\n Adjusted return on average assets (non-GAAP) (3)     0.88 %      0.75 %        13 bps\n\n Return on Average Tangible Assets:\n Adjusted net income (non-GAAP)                       $28,581     $25,007       $3,574      14.3 %\n\n Total average assets, as reported                    $6,515,072  $6,703,877    ($188,805)  (2.8 %)\n Less average balances of:\n Goodwill                                             63,909      63,909        —           —\n Identifiable intangible assets, net                  4,145       2,679         1,466       54.7\n Total average tangible assets                        $6,447,018  $6,637,289    ($190,271)  (2.9 %)\n\n Return on average assets (1)                         0.88 %      0.76 %        12 bps\n Return on average tangible assets (non-GAAP) (4)     0.89 %      0.76 %        13 bps\n\n (1)  Net income divided by total average assets.\n (2)  Net income divided by total average tangible assets.\n (3)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average assets.\n (4)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average tangible assets.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands)\n\n The following tables present return on average tangible equity and adjusted\n return on average equity:\n\n                                           Q2 2026   Q1 2026   Q2 2025     Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n Return on Average Tangible Equity:\n Net income, as reported                   $15,981   $12,600   $13,245     $3,381       26.8 %         $2,736       20.7 %\n\n Total average equity, as reported         $552,112  $553,374  $523,709    ($1,262)     (0.2 %)        $28,403      5.4 %\n Less average balances of:\n Goodwill                                  63,909    63,909    63,909      —            —              —            —\n Identifiable intangible assets, net       4,068     4,224     2,577       (156)        (3.7)          1,491        57.9\n Total average tangible equity (non-GAAP)  $484,135  $485,241  $457,223    ($1,106)     (0.2 %)        $26,912      5.9 %\n\n Return on average equity (1)              11.61 %   9.23 %    10.14 %     238 bps                     147 bps\n Return on average tangible equity         13.24 %   10.53 %   11.62 %     271 bps                     162 bps\n\n  (non-GAAP) (2)\n\n \n For the Six Months Ended Jun 30,                    2026      2025        Change\n Adjusted Return on Average Equity:\n Net income, as reported                             $28,581   $25,424     $3,157   12.4 %\n Less: total adjustments, after-tax                  —         417         (417)    (100.0)\n Adjusted net income (non-GAAP)                      $28,581   $25,007     $3,574   14.3\n\n Total average equity, as reported                   $552,740  $518,408    $34,332  6.6\n\n Return on average equity (1)                        10.43 %   9.89 %      54 bps\n Adjusted return on average equity (non-GAAP) (3)    10.43 %   9.73 %      70 bps\n\n Return on Average Tangible Equity:\n Adjusted net income (non-GAAP)                      $28,581   $25,007     $3,574   14.3 %\n\n Total average equity, as reported                   $552,740  $518,408    $34,332  6.6\n Less average balances of:\n Goodwill                                            63,909    63,909      —        —\n Identifiable intangible assets, net                 4,145     2,679       1,466    54.7\n Total average tangible equity (non-GAAP)            $484,686  $451,820    $32,866  7.3\n\n Return on average equity (1)                        10.43 %   9.89 %      54 bps\n Return on average tangible equity (non-GAAP) (4)    11.89 %   11.16 %     73 bps\n\n (1)  Net income divided by total average equity.\n (2)  Net income divided by total average tangible equity.\n (3)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average equity.\n (4)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average tangible equity.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands, except per share amounts)\n\n The following table presents tangible book value per share and the ratio of\n tangible equity to tangible assets:\n\n                                                 Jun 30,      Mar 31,      Jun 30,                   Jun 30, 2026 vs.            Jun 30, 2026 vs.\n                                                 2026         2026         2025                      Mar 31, 2026                Jun 30, 2025\n Tangible Book Value per Share:\n Total shareholders' equity, as reported         $553,523     $546,773     $527,519                  $6,750       1.2 %          $26,004     4.9 %\n Less end of period balances of:\n Goodwill                                        63,909       63,909       63,909                    —            — %            —           — %\n Identifiable intangible assets, net             3,992        4,148        2,478                     (156)        (3.8) %        1,514       61.1 %\n Total tangible shareholders' equity (non-GAAP)  $485,622     $478,716     $461,132                  $6,906       1.4 %          $24,490     5.3 %\n\n Shares outstanding, as reported                 19,071       19,041       19,283                    30           0.2 %          (212)       (1.1 %)\n\n Book value per share                            $29.02       $28.72       $27.36                    $0.30        1.0 %          $1.66       6.1 %\n Tangible book value per share (non-GAAP)        $25.46       $25.14       $23.91                    $0.32        1.3 %          $1.55       6.5 %\n\n Tangible Equity to Tangible Assets:\n Total tangible shareholders' equity             $485,622     $478,716     $461,132                  $6,906       1.4 %          $24,490     5.3 %\n\n Total assets, as reported                       $6,547,904   $6,459,196   $6,745,167                $88,708      1.4 %          ($197,263)  (2.9 %)\n Less end of period balances of:\n Goodwill                                        63,909       63,909       63,909                    —            — %            —           — %\n Identifiable intangible assets, net             3,992        4,148        2,478                     (156)        (3.8 %)        1,514       61.1 %\n Total tangible assets (non-GAAP)                $6,480,003   $6,391,139   $6,678,780                $88,864      1.4 %          ($198,777)  (3.0 %)\n\n Equity to assets                                8.45 %       8.47 %       7.82 %                    (2) bps                     63 bps\n Tangible equity to tangible assets (non-GAAP)   7.49 %       7.49 %       6.90 %                    0 bps                       59 bps\n\nCategory: Earnings\n\nView original content to download\nmultimedia:https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html\n(https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html)\n\nSOURCE Washington Trust Bancorp, Inc.\n\n\n\nKathleen Hart, VP, Public Relations Manager, Telephone: (401) 348-1495, E-mail: kahart@washtrust.com\n\nPhoto: \nhttps://mmx.prnewswire.com/media/MS878938/Washington-Trust-Bancorp-Inc-Logo.jpg?id=OA2769537\n\nCopyright (c) 2026 PR Newswire Association,LLC. All Rights Reserved.","article_body_html":"","raw_payload":{"data":{"id":"nPn8x6LRHa","title":"Washington Trust Reports Second Quarter 2026 Results","author":"PR Newswire","ticker":"WASH","created":"2026-07-20T20:05:00.585Z","tickers":["WASH"],"exchange":"NASDAQ","article_body":"Washington Trust Reports Second Quarter 2026 Results\n\nPR Newswire\n\nWESTERLY, R.I., July 20, 2026\n\nWESTERLY, R.I., July 20, 2026 /PRNewswire/ -- Washington Trust Bancorp, Inc.\n(Nasdaq: WASH; \"Washington Trust\" or the \"Corporation\"), today reported second\nquarter 2026 net income of $16.0 million, or $0.83 per diluted share, up by\n$3.4 million, or $0.17 per diluted share, from the preceding quarter.\nCompared to the second quarter of 2025, net income was up by $2.7 million, or\n$0.15 per diluted share.\n\n\"We are pleased with our second quarter performance, as strong execution\nacross the company drove higher profitability, and solid loan and deposit\ngrowth,\" said Washington Trust Chairman and Chief Executive Officer Edward O.\n\"Ned\" Handy III.  \"The success of our institutional banking team was a key\nhighlight of the quarter, helping drive growth in our commercial and\nindustrial loan portfolio and also contributing meaningfully to overall\ndeposits.  Combined with our strong capital position, these results reinforce\nour confidence in the outlook for the remainder of 2026 and our ability to\ndeliver sustainable, profitable growth.\"\n\nSECOND QUARTER HIGHLIGHTS (Q2 2026 vs. Q1 2026, unless otherwise noted):\n\n * Returns on average equity and average assets were 11.61% and 0.99% for the\nsecond quarter.\n * Net interest margin (\"NIM\") was 2.73%, up by 10 basis points.\n * The provision for credit losses was $1.6 million for the second quarter.\n * Wealth management revenues increased by 5%.\n * Mortgage banking revenues were up by 14%.\n * Loan balances were up by 2% from March 31, 2026.\n * Deposits were up by 4% from March 31, 2026.\n * Capital ratios remained strong, with a common equity tier 1 ratio of 11.89% at\nJune 30, 2026.\nRESULTS OF OPERATIONS (Q2 2026 vs. Q1 2026, unless otherwise noted):\n\nNet Interest Income\nNet interest income was up by $1.3 million, or 3%, and NIM was up by 10 basis\npoints.  Compared to the second quarter of 2025, net interest income was up\nby $4.6 million, or 12%, and NIM was up by 37 basis points.\n\n * As of May 1, 2026, the remaining deferred loss from a previously terminated\ncash flow hedge was fully amortized, eliminating this expense from the Bank's\nongoing run rate.  The second quarter reflected approximately two months of\nbenefit from the cessation of this amortization, contributing $1.4 million to\nnet interest income and 9 basis points to NIM.  Beginning in third quarter,\nthere will be no amortization expense and the Bank's results will reflect a\npermanent improvement to its earnings and margin run rate.\n * Average interest-earning assets decreased by $95 million, and the yield was\nup by 4 basis points.\n * Average interest-bearing liabilities decreased by $122 million, and the rate\nwas down by 5 basis points.\nNoninterest Income\nNoninterest income was up by $1.4 million, or 8%.  Compared to the second\nquarter of 2025, noninterest income was up by $1.6 million, or 9%.\n\n * Wealth management revenues increased by $554 thousand, or 5%.  This included\nan increase of $265 thousand in transaction-based revenues, which was\nconcentrated in seasonal tax servicing fee income.  Asset-based revenues were\nup by $289 thousand, or 3%.  Compared to the second quarter of 2025, wealth\nmanagement revenues increased by $1.1 million, or 11%.\n * Mortgage banking revenues were up by $428 thousand, or 14%, largely driven by\nhigher sales volume.   Compared to the second quarter of 2025, mortgage\nbanking revenues were also up by 14%.\n * Loan related derivative income totaled $583 thousand, up by $356 thousand.\nNoninterest Expense\nNoninterest expense was up by $832 thousand, or 2%.  Compared to the second\nquarter of 2025, noninterest expense was up by $2.1 million, or 6%.\n\n * Salaries and employee benefits expense increased by $972 thousand, or 4%,\nreflecting staffing additions in our commercial and retail banking business\nlines, as well as volume- and performance-related compensation changes.\nCompared to the second quarter of 2025, salaries and employee benefits expense\nincreased by $2.3 million, or 10%, reflecting annual merit and staffing\nincreases, including the addition of resources in our commercial banking and\nwealth management business lines.\n * All other categories of noninterest expenses decreased by a net\n$140 thousand.  Compared to the second quarter of 2025, these were down by a\nnet $220 thousand.\nIncome Tax\nIncome tax expense was up by $824 thousand.  The effective tax rate was\n21.2%, compared to 21.6%.  The Corporation expects its full-year 2026\neffective tax rate to be approximately 21.5%.\n\nFINANCIAL CONDITION (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted):\n\nInvestment Securities\nThe securities portfolio totaled $885 million, down by $27 million, or 3%,\nand remained at 14% of total assets.\n\nLoans\nTotal loans amounted to $5.1 billion, up by $88 million, or 2%.\n\n * Commercial loans increased by $63 million, or 2%, driven by growth in the\ncommercial & industrial loan portfolio, primarily from our institutional\nbanking team.\n * Residential real estate loans increased by $13 million, or 1%.\n * Consumer loans increased by $12 million, or 4%.\nDeposits and Borrowings\nTotal deposits amounted to $5.4 billion, and were up by $194 million, or\n4%.  Compared to June 30, 2025, deposits were up by $314 million, or 6%.\n\nThere were no wholesale brokered deposits at June 30, 2026 or March 31,\n2026, compared to $2 million at June 30, 2025.\n\nFHLB advances totaled $456 million, and were down by $120 million, or 21%.\nCompared to June 30, 2025, FHLB advances were down by $545 million, or 54%.\n\nContingent liquidity amounted to $2.1 billion at June 30, 2026 and consisted\nof available cash, unencumbered securities, and unused collateralized\nborrowing capacity.\n\nCapital and Dividends\nTotal shareholders' equity was $553.5 million, up by $6.8 million, or 1%.\n\n * The Board of Directors declared a quarterly dividend of 56 cents per share\nfor the second quarter.  The dividend was paid on July 10, 2026 to\nshareholders of record on July 1, 2026.\n * Capital levels exceeded the regulatory minimum levels to be considered well\ncapitalized, with a common equity tier 1 ratio of 11.89%, compared to 11.99%.\n * Book value per share was $29.02, compared to $28.72.\nASSET QUALITY (Jun 30, 2026 vs. Mar 31, 2026, unless otherwise noted):\nNonaccrual loans were $39.8 million, or 0.78% of total loans, down from\n$40.4 million, or 0.81%.\n\nPast due loans were $41.4 million, or 0.81% of total loans, up from\n$16.4 million, or 0.33%.  The increase was attributable to a single\ncommercial real estate office loan that had already been placed on nonaccrual\nstatus in the preceding quarter and did not reflect broader deterioration in\nportfolio credit quality during the quarter.\n\nThe provision for credit losses totaled $1.6 million in the second quarter,\ncompared to $4.0 million in the prior quarter.  The second quarter provision\nprovided for loan growth and an increase in specific reserves.  The\nCorporation recorded $55 thousand of net charge-offs in the second quarter,\ncompared to $10 thousand of net charge-offs in the preceding quarter.\n\nThe allowance for credit losses (\"ACL\") on loans amounted to $42.6 million,\nor 0.83% of total loans, compared to $41.1 million, or 0.82%.\n\nConference Call\nWashington Trust will host a conference call to discuss its second quarter\nresults, business highlights, and outlook on July 21, 2026, at 8:30 a.m.\n(Eastern Time).  Individuals may dial in to the call at 1-833-461-5787 and\nenter Meeting ID 369767940.  A replay of the call will be available on\nWashington Trust's investor relations website, https://ir.washtrust.com\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4734293-1&h=2215616711&u=https%3A%2F%2Fir.washtrust.com%2F&a=https%3A%2F%2Fir.washtrust.com)\n, in the events section under \"Q2 - 2026 Washington Trust Bancorp, Inc.\nEarnings Conference Call Webcast\".\n\nBackground\nWashington Trust Bancorp, Inc. is the parent of The Washington Trust\nCompany.  Founded in 1800, Washington Trust is the oldest community bank in\nthe nation, the largest state-chartered bank headquartered in Rhode Island and\none of the Northeast's premier financial services companies.  Washington\nTrust offers a full range of financial services, including commercial banking,\nmortgage banking, personal banking, and wealth management and trust services\nthrough its offices located in Rhode Island, Connecticut, and Massachusetts.\nThe Corporation's common stock trades on NASDAQ under the symbol WASH.\nInvestor information is available on the Corporation's website at\nhttps://ir.washtrust.com\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4734293-1&h=2215616711&u=https%3A%2F%2Fir.washtrust.com%2F&a=https%3A%2F%2Fir.washtrust.com)\n.\n\nForward-Looking Statements\nThis press release contains statements that are \"forward-looking\nstatements.\"  We may also make forward-looking statements in other documents\nwe file with the U.S. Securities and Exchange Commission (\"SEC\"), in our\nannual reports to shareholders, in press releases and other written materials,\nand in oral statements made by our officers, directors, or employees.  You\ncan identify forward-looking statements by the use of the words \"believe,\"\n\"expect,\" \"anticipate,\" \"intend,\" \"estimate,\" \"assume,\" \"outlook,\" \"will,\"\n\"should,\" and other expressions that predict or indicate future events and\ntrends and which do not relate to historical matters.  You should not rely on\nforward-looking statements, because they involve known and unknown risks,\nuncertainties, and other factors, some of which are beyond our control.\nThese risks, uncertainties, and other factors may cause our actual results,\nperformance, or achievements to be materially different from the anticipated\nfuture results, performance, or achievements expressed or implied by the\nforward-looking statements.\n\nSome of the factors that might cause these differences include the following:\n\n * changes in general business and economic conditions (including the impact of\nongoing armed conflicts, tariffs, inflation, future U.S government shutdowns,\nand concerns about liquidity) on a national basis and in the local markets in\nwhich we operate;\n * interest rate changes or volatility, as well as changes in the balance and mix\nof loans and deposits;\n * changes in customer behavior due to political, business and economic\nconditions;\n * changes in loan demand and collectability;\n * the possibility that future credit losses are higher than currently expected\ndue to changes in economic assumptions or adverse economic developments;\n * ongoing volatility in national and international financial markets;\n * reductions in the market value or outflows of wealth management assets under\nadministration;\n * decreases in the value of securities and other assets;\n * increases in defaults and charge-off rates;\n * changes in the size and nature of our competition;\n * changes in, and evolving interpretations of, existing and future laws, rules\nand regulations;\n * changes in accounting principles, policies and guidelines;\n * operational risks including, but not limited to, changes in information\ntechnology, cybersecurity incidents, fraud, natural disasters, war, terrorism,\ncivil unrest and future pandemics;\n * regulatory, litigation and reputational risks; and\n * changes in the assumptions used in making such forward-looking statements.\nIn addition, the factors described under \"Risk Factors\" in Item 1A of our\nAnnual Report on Form 10-K for the fiscal year ended December 31, 2025, as\nupdated by our Quarterly Reports on Form 10-Q and other filings submitted to\nthe SEC, may result in these differences. You should carefully review all of\nthese factors, and you should be aware that there may be other factors that\ncould cause these differences. The forward-looking statements in this report\nwere based on information, plans, and estimates at the date of this report,\nand we assume no obligation to update any forward-looking statements to\nreflect changes in underlying assumptions or factors, new information, future\nevents or other changes.\n\nSupplemental Information - Explanation of Non-GAAP Financial Measures\nIn addition to results presented in accordance with generally accepted\naccounting principles (\"GAAP\"), this press release contains certain non-GAAP\nfinancial measures.  Washington Trust's management believes that the\nsupplemental non-GAAP information, such as adjusted noninterest income,\nadjusted noninterest expense, adjusted income before income taxes, adjusted\nincome tax expense, adjusted net income, adjusted diluted earnings per common\nshare, adjusted return on average assets, adjusted return on average equity,\nand adjusted efficiency ratio, as well as measurements and ratios based on\ntangible equity and tangible assets, is utilized by regulators and market\nanalysts to evaluate a company's financial condition and therefore, such\ninformation is useful to investors.  These disclosures should not be viewed\nas a substitute for financial results determined in accordance with GAAP, nor\nare they necessarily comparable to non-GAAP performance measures, which may be\npresented by other companies.  Because non-GAAP financial measures are not\nstandardized, it may not be possible to compare these financial measures with\nother companies' non-GAAP financial measures having the same or similar names.\n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED BALANCE SHEETS\n (Unaudited; Dollars in thousands)\n                                                                                           Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                                           Mar 31, 2026              Jun 30, 2025\n                                                     Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                                                     2026        2026        2025\n Assets:\n Cash and due from banks                             $26,443     $27,781     $43,997       (1,338)     (4.8 %)       ($17,554)   (39.9 %)\n Interest-earning deposits with correspondent banks  89,069      60,090      119,582       28,979      48.2          (30,513)    (25.5)\n Short-term investments                              11,883      12,313      4,145         (430)       (3.5)         7,738       186.7\n Mortgage loans held for sale, at fair value         33,608      32,127      35,681        1,481       4.6           (2,073)     (5.8)\n Available for sale debt securities, at fair value   885,321     911,958     971,341       (26,637)    (2.9)         (86,020)    (8.9)\n Federal Home Loan Bank stock, at cost               23,809      28,273      45,273        (4,464)     (15.8)        (21,464)    (47.4)\n Loans:\n Total loans                                         5,103,069   5,014,885   5,140,260     88,184      1.8           (37,191)    (0.7)\n Less: allowance for credit losses on loans          42,571      41,126      41,059        1,445       3.5           1,512       3.7\n Net loans                                           5,060,498   4,973,759   5,099,201     86,739      1.7           (38,703)    (0.8)\n Premises and equipment, net                         26,171      25,900      25,574        271         1.0           597         2.3\n Operating lease right-of-use assets                 35,029      35,855      35,578        (826)       (2.3)         (549)       (1.5)\n Investment in bank-owned life insurance             116,914     116,010     113,372       904         0.8           3,542       3.1\n Goodwill                                            63,909      63,909      63,909        —           —             —           —\n Identifiable intangible assets, net                 3,992       4,148       2,478         (156)       (3.8)         1,514       61.1\n Other assets                                        171,258     167,073     185,036       4,185       2.5           (13,778)    (7.4)\n Total assets                                        $6,547,904  $6,459,196  $6,745,167    $88,708     1.4 %         ($197,263)  (2.9 %)\n Liabilities:\n Deposits:\n Noninterest-bearing deposits                        $644,011    $585,415    $646,584      $58,596     10.0 %        ($2,573)    (0.4 %)\n Interest-bearing deposits                           4,714,862   4,579,218   4,398,664     135,644     3.0           316,198     7.2\n Total deposits                                      5,358,873   5,164,633   5,045,248     194,240     3.8           313,625     6.2\n Federal Home Loan Bank advances                     456,000     576,000     1,001,000     (120,000)   (20.8)        (545,000)   (54.4)\n Junior subordinated debentures                      22,681      22,681      22,681        —           —             —           —\n Operating lease liabilities                         37,935      38,724      38,299        (789)       (2.0)         (364)       (1.0)\n Other liabilities                                   118,892     110,385     110,420       8,507       7.7           8,472       7.7\n Total liabilities                                   5,994,381   5,912,423   6,217,648     81,958      1.4           (223,267)   (3.6)\n Shareholders' Equity:\n Common stock                                        1,223       1,223       1,223         —           —             —           —\n Paid-in capital                                     198,088     198,654     197,392       (566)       (0.3)         696         0.4\n Retained earnings                                   449,650     444,508     437,520       5,142       1.2           12,130      2.8\n Accumulated other comprehensive loss                (77,360)    (78,435)    (95,949)      1,075       1.4           18,589      19.4\n Treasury stock, at cost                             (18,078)    (19,177)    (12,667)      1,099       5.7           (5,411)     (42.7)\n Total shareholders' equity                          553,523     546,773     527,519       6,750       1.2           26,004      4.9\n Total liabilities and shareholders' equity          $6,547,904  $6,459,196  $6,745,167    $88,708     1.4 %         ($197,263)  (2.9 %)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED STATEMENTS OF INCOME\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n                                                                                           Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                           Q2 2026   Q1 2026   Q2 2025     $            %              $            %\n Interest income:\n Interest and fees on loans                                $64,711   $64,338   $67,345     $373         0.6 %          ($2,634)     (3.9 %)\n Interest on mortgage loans held for sale                  478       375       442         103          27.5           36           8.1\n Taxable interest on debt securities                       8,468     8,768     9,230       (300)        (3.4)          (762)        (8.3)\n Nontaxable interest on debt securities                    8         7         8           1            14.3           —            —\n Dividends on Federal Home Loan Bank stock                 506       585       792         (79)         (13.5)         (286)        (36.1)\n Other interest income                                     998       909       1,029       89           9.8            (31)         (3.0)\n Total interest and dividend income                        75,169    74,982    78,846      187          0.2            (3,677)      (4.7)\n Interest expense:\n Deposits                                                  27,567    27,370    30,864      197          0.7            (3,297)      (10.7)\n Federal Home Loan Bank advances                           5,491     6,777     10,451      (1,286)      (19.0)         (4,960)      (47.5)\n Junior subordinated debentures                            308       310       346         (2)          (0.6)          (38)         (11.0)\n Total interest expense                                    33,366    34,457    41,661      (1,091)      (3.2)          (8,295)      (19.9)\n Net interest income                                       41,803    40,525    37,185      1,278        3.2            4,618        12.4\n Provision for credit losses                               1,600     4,000     600         (2,400)      (60.0)         1,000        166.7\n Net interest income after provision for credit losses     40,203    36,525    36,585      3,678        10.1           3,618        9.9\n Noninterest income:\n Wealth management revenues                                11,201    10,647    10,120      554          5.2            1,081        10.7\n Mortgage banking revenues                                 3,473     3,045     3,034       428          14.1           439          14.5\n Card interchange fees                                     1,305     1,385     1,247       (80)         (5.8)          58           4.7\n Service charges on deposit accounts                       842       785       808         57           7.3            34           4.2\n Loan related derivative income                            583       227       676         356          156.8          (93)         (13.8)\n Income from bank-owned life insurance                     904       885       826         19           2.1            78           9.4\n Other income                                              354       329       367         25           7.6            (13)         (3.5)\n Total noninterest income                                  18,662    17,303    17,078      1,359        7.9            1,584        9.3\n Noninterest expense:\n Salaries and employee benefits                            25,312    24,340    23,025      972          4.0            2,287        9.9\n Outsourced services                                       4,266     4,383     4,404       (117)        (2.7)          (138)        (3.1)\n Net occupancy                                             2,735     2,890     2,662       (155)        (5.4)          73           2.7\n Equipment                                                 887       903       930         (16)         (1.8)          (43)         (4.6)\n Legal, audit, and professional fees                       824       936       726         (112)        (12.0)         98           13.5\n FDIC deposit insurance costs                              952       935       1,235       17           1.8            (283)        (22.9)\n Advertising and promotion                                 771       547       717         224          41.0           54           7.5\n Amortization of intangibles                               156       155       203         1            0.6            (47)         (23.2)\n Other expenses                                            2,694     2,676     2,628       18           0.7            66           2.5\n Total noninterest expense                                 38,597    37,765    36,530      832          2.2            2,067        5.7\n Income before income taxes                                20,268    16,063    17,133      4,205        26.2           3,135        18.3\n Income tax expense                                        4,287     3,463     3,888       824          23.8           399          10.3\n Net income                                                $15,981   $12,600   $13,245     $3,381       26.8 %         $2,736       20.7 %\n\n Weighted avg common shares outstanding - basic            19,064    19,039    19,285\n Weighted avg common shares outstanding - diluted          19,204    19,173    19,374\n\n Per share information:\n Basic earnings per common share                           $0.84     $0.66     $0.69       $0.18        27.3 %         $0.15        21.7 %\n Diluted earnings per common share                         $0.83     $0.66     $0.68       $0.17        25.8 %         $0.15        22.1 %\n Cash dividends declared                                   $0.56     $0.56     $0.56       $—           — %            $—           — %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONDENSED CONSOLIDATED STATEMENTS OF INCOME\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n                                                                                      Change\n For the Six Months Ended Jun 30,                               2026      2025        $         %\n Interest income:\n Interest and fees on loans                                     $129,049  $134,001    ($4,952)  (3.7 %)\n Interest on mortgage loans held for sale                       853       1,400       (547)     (39.1)\n Taxable interest on debt securities                            17,236    18,057      (821)     (4.5)\n Nontaxable interest on debt securities                         15        15          —         —\n Dividends on Federal Home Loan Bank stock                      1,091     1,814       (723)     (39.9)\n Other interest income                                          1,907     3,022       (1,115)   (36.9)\n Total interest and dividend income                             150,151   158,309     (8,158)   (5.2)\n Interest expense:\n Deposits                                                       54,937    62,612      (7,675)   (12.3)\n Federal Home Loan Bank advances                                12,268    21,397      (9,129)   (42.7)\n Junior subordinated debentures                                 618       693         (75)      (10.8)\n Total interest expense                                         67,823    84,702      (16,879)  (19.9)\n Net interest income                                            82,328    73,607      8,721     11.8\n Provision for credit losses                                    5,600     1,800       3,800     211.1\n Net interest income after provision for credit losses          76,728    71,807      4,921     6.9\n Noninterest income:\n Wealth management revenues                                     21,848    20,011      1,837     9.2\n Mortgage banking revenues                                      6,518     5,338       1,180     22.1\n Card interchange fees                                          2,690     2,756       (66)      (2.4)\n Service charges on deposit accounts                            1,627     1,552       75        4.8\n Loan related derivative income                                 810       777         33        4.2\n Income from bank-owned life insurance                          1,789     1,595       194       12.2\n Gain on sale of bank-owned properties, net                     —         6,994       (6,994)   (100.0)\n Other income                                                   683       698         (15)      (2.1)\n Total noninterest income                                       35,965    39,721      (3,756)   (9.5)\n Noninterest expense:\n Salaries and employee benefits                                 49,652    45,447      4,205     9.3\n Outsourced services                                            8,649     8,750       (101)     (1.2)\n Net occupancy                                                  5,625     5,403       222       4.1\n Equipment                                                      1,790     1,821       (31)      (1.7)\n Legal, audit, and professional fees                            1,760     1,476       284       19.2\n FDIC deposit insurance costs                                   1,887     2,497       (610)     (24.4)\n Advertising and promotion                                      1,318     1,127       191       16.9\n Amortization of intangibles                                    311       407         (96)      (23.6)\n Pension plan settlement charge                                 —         6,436       (6,436)   (100.0)\n Other expenses                                                 5,370     5,362       8         0.1\n Total noninterest expense                                      76,362    78,726      (2,364)   (3.0)\n Income before income taxes                                     36,331    32,802      3,529     10.8\n Income tax expense                                             7,750     7,378       372       5.0\n Net income                                                     $28,581   $25,424     $3,157    12.4 %\n\n Weighted avg common shares outstanding - basic                 19,051    19,280\n Weighted avg common shares outstanding - diluted               19,189    19,372\n\n Per share information:\n Basic earnings per common share                                $1.50     $1.32       $0.18     13.6 %\n Diluted earnings per common share                              $1.49     $1.31       $0.18     13.7 %\n Cash dividends declared                                        $1.12     $1.12       $—        — %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars and shares in thousands, except per share amounts)\n\n                                                     Jun 30,   Mar 31,   Jun 30,     Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                     2026      2026      2025        Mar 31, 2026              Jun 30, 2025\n Share and Equity Related Data:\n Book value per share                                $29.02    $28.72    $27.36      $0.30       1.0 %         $1.66       6.1 %\n Tangible book value per share (non-GAAP) (1)        $25.46    $25.14    $23.91      $0.32       1.3 %         $1.55       6.5 %\n Market value per share                              $36.48    $33.46    $28.28      $3.02       9.0 %         $8.20       29.0 %\n Shares issued at end of period                      19,562    19,562    19,562      — shs       — %           — shs       — %\n Shares outstanding at end of period                 19,071    19,041    19,283      30 shs      0.2 %         (212) shs   (1.1 %)\n\n Capital Ratios (2):\n Tier 1 risk-based capital                           12.36 %   12.46 %   12.17 %     (10) bps                  19 bps\n Total risk-based capital                            13.28 %   13.38 %   13.06 %     (10) bps                  22 bps\n Tier 1 leverage ratio                               9.02 %    8.80 %    8.66 %      22 bps                    36 bps\n Common equity tier 1                                11.89 %   11.99 %   11.71 %     (10) bps                  18 bps\n\n Balance Sheet Ratios:\n Equity to assets                                    8.45 %    8.47 %    7.82 %      (2) bps                   63 bps\n Tangible equity to tangible assets (non-GAAP) (1)   7.49 %    7.49 %    6.90 %      — bps                     59 bps\n Loans to deposits (3)                               95.1 %    96.9 %    101.8 %     (180) bps                 (670) bps\n\n \n                                                                                   Q2 2026                   For the Six Months        YTD\n                                                                                                             Ended                     2026\n                                                   Q2 2026   Q1 2026   Q2 2025      vs.         vs.          Jun 30,     Jun 30,        vs.\n                                                                                   Q1 2026     Q2 2025       2026        2025          2025\n                                                                                   (bps)       (bps)                                   (bps)\n Performance Ratios (4):\n Net interest margin (5)                           2.73 %    2.63 %    2.36 %      10          37            2.68 %      2.32 %        36\n\n Return on average assets (6)                      0.99 %    0.78 %    0.80 %      21          19            0.88 %      0.76 %        12\n Adjusted return on average assets (non-GAAP) (1)  0.99 %    0.78 %    0.80 %      21          19            0.88 %      0.75 %        13\n Return on average tangible assets (non-GAAP) (1)  1.00 %    0.79 %    0.81 %      21          19            0.89 %      0.76 %        13\n\n Return on average equity (7)                      11.61 %   9.23 %    10.14 %     238         147           10.43 %     9.89 %        54\n Adjusted return on average equity (non-GAAP) (1)  11.61 %   9.23 %    10.14 %     238         147           10.43 %     9.73 %        70\n Return on average tangible equity (non-GAAP) (1)  13.24 %   10.53 %   11.62 %     271         162           11.89 %     11.16 %       73\n\n Efficiency ratio (8)                              63.8 %    65.3 %    67.3 %      (150)       (350)         64.6 %      69.5 %        (490)\n Adjusted efficiency ratio (non-GAAP) (1)          63.8 %    65.3 %    67.3 %      (150)       (350)         64.6 %      68.0 %        (340)\n\n (1)  See the section labeled \"Supplemental Information - Calculation of Non-GAAP\n      Financial Measures\" at the end of this document.\n (2)  Estimated for Jun 30, 2026 and actuals for prior periods.\n (3)  Period-end balances of net loans and mortgage loans held for sale as a\n      percentage of total deposits.\n (4)  Annualized based on the actual number of days in the period.\n (5)  Fully taxable equivalent (FTE) net interest income as a percentage of\n      average-earnings assets.\n (6)  Net income divided by average assets.\n (7)  Net income divided by average equity.\n (8)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars in thousands)\n                                                                                      Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                Q2 2026     Q1 2026     Q2 2025       $            %              $            %\n Wealth Management Results\n Wealth Management Revenues:\n Asset-based revenues                           $10,869     $10,580     $9,745        $289         2.7 %          $1,124       11.5 %\n Transaction-based revenues                     332         67          375           265          395.5          (43)         (11.5)\n Total wealth management revenues               $11,201     $10,647     $10,120       $554         5.2 %          $1,081       10.7 %\n\n Assets Under Administration (AUA):\n Market value at the end of the period (1)      $7,916,933  $7,495,602  $7,181,715    $421,331     5.6 %          $735,218     10.2 %\n\n Percentage of AUA that are managed assets      91 %        91 %        91 %\n\n Mortgage Banking Results\n Mortgage Banking Revenues:\n Realized gains on loan sales, net (2)          $2,733      $2,370      $2,460        $363         15.3 %         $273         11.1 %\n Changes in fair value, net (3)                 226         164         19            62           37.8           207          1089.5\n Loan servicing fee income, net (4)             514         511         555           3            0.6            (41)         (7.4)\n Total mortgage banking revenues                $3,473      $3,045      $3,034        $428         14.1 %         $439         14.5 %\n\n Residential Mortgage Loan Originations:\n Originations for retention in portfolio (5)    $78,934     $36,813     $51,331       $42,121      114.4 %        $27,603      53.8 %\n Originations for sale to secondary market (6)  137,134     118,351     130,212       18,783       15.9           6,922        5.3\n Total mortgage loan originations               $216,068    $155,164    $181,543      $60,904      39.3 %         $34,525      19.0 %\n\n Percentage of originations for sale to total   63 %        76 %        72 %\n   mortgage loan originations\n\n Residential Mortgage Loans Sold:\n Sold with servicing rights retained            $7,586      $4,670      $7,762        $2,916       62.4 %         ($176)       (2.3 %)\n Sold with servicing rights released (6)        128,535     116,853     109,013       11,682       10.0           19,522       17.9\n Total mortgage loans sold                      $136,121    $121,523    $116,775      $14,598      12.0 %         $19,346      16.6 %\n\n (1)  Includes the impact of $195 million of managed assets acquired from Lighthouse\n      Financial Management, LLC on Jul 31, 2025.\n (2)  Includes gains on loan sales, commission income on loans originated for\n      others, servicing right gains, and gains (losses) on forward loan commitments.\n (3)  Represents fair value changes on mortgage loans held for sale and forward loan\n      commitments.\n (4)  Represents loan servicing fee income, net of servicing right amortization and\n      valuation adjustments.\n (5)  Includes the full commitment amount of homeowner construction loans.\n (6)  Includes brokered loans (loans originated for others).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SELECTED FINANCIAL HIGHLIGHTS\n (Unaudited; Dollars in thousands)\n                                                                                                    Change\n For the Six Months Ended Jun 30,                                         2026        2025          $          %\n Wealth Management Results\n Wealth Management Revenues:\n Asset-based revenues                                                     $21,449     $19,514       $1,935     9.9 %\n Transaction-based revenues                                               399         497           (98)       (19.7)\n Total wealth management revenues                                         $21,848     $20,011       $1,837     9.2 %\n\n Assets Under Administration (AUA):\n Market value at the end of the period (1)                                $7,916,933  $7,181,715    $735,218   10.2 %\n\n Percentage of AUA that are managed assets                                91 %        91 %\n\n Mortgage Banking Results\n Mortgage Banking Revenues:\n Realized gains on loan sales, net (2)                                    $5,103      $4,035        $1,068     26.5 %\n Changes in fair value, net (3)                                           390         152           238        156.6\n Loan servicing fee income, net (4)                                       1,025       1,151         (126)      (10.9)\n Total mortgage banking revenues                                          $6,518      $5,338        $1,180     22.1 %\n\n Residential Mortgage Loan Originations:\n Originations for retention in portfolio (5)                              $115,747    $78,993       $36,754    46.5 %\n Originations for sale to secondary market (6)                            255,485     205,731       49,754     24.2\n Total mortgage loan originations                                         $371,232    $284,724      $86,508    30.4 %\n\n Percentage of originations for sale to total mortgage loan originations  69 %        72 %\n\n Residential Mortgage Loans Sold:\n Sold with servicing rights retained                                      $12,256     $24,581       ($12,325)  (50.1 %)\n Sold with servicing rights released (6)                                  245,388     167,693       77,695     46.3\n Total mortgage loans sold                                                $257,644    $192,274      $65,370    34.0 %\n\n (1)  Includes the impact of $195 million of managed assets acquired from Lighthouse\n      Financial Management, LLC on Jul 31, 2025.\n (2)  Includes gains on loan sales, commission income on loans originated for\n      others, servicing right gains, and gains (losses) on forward loan commitments.\n (3)  Represents fair value changes on mortgage loans held for sale and forward loan\n      commitments.\n (4)  Represents loan servicing fee income, net of servicing right amortization and\n      valuation adjustments.\n (5)  Includes the full commitment amount of homeowner construction loans.\n (6)  Includes brokered loans (loans originated for others).\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD LOAN COMPOSITION\n (Unaudited; Dollars in thousands)\n                                                                    Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                    Mar 31, 2026              Jun 30, 2025\n                              Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                              2026        2026        2025\n Loans:\n Commercial real estate (1)   $2,050,249  $2,084,804  $2,178,925    ($34,555)   (1.7 %)       ($128,676)  (5.9 %)\n Commercial & industrial      665,855     568,177     547,318       97,678      17.2          118,537     21.7\n Total commercial             2,716,104   2,652,981   2,726,243     63,123      2.4           (10,139)    (0.4)\n\n Residential real estate (2)  2,042,406   2,029,092   2,096,250     13,314      0.7           (53,844)    (2.6)\n\n Home equity                  328,802     316,353     300,917       12,449      3.9           27,885      9.3\n Other                        15,757      16,459      16,850        (702)       (4.3)         (1,093)     (6.5)\n Total consumer               344,559     332,812     317,767       11,747      3.5           26,792      8.4\n Total loans                  $5,103,069  $5,014,885  $5,140,260    $88,184     1.8 %         ($37,191)   (0.7 %)\n\n (1)  Commercial real estate loans consist of commercial mortgages and construction\n      and development loans.  Commercial mortgages are loans secured by income\n      producing property.\n (2)  Residential real estate loans consist of mortgage and homeowner construction\n      loans secured by one- to four-family residential properties.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD LOAN COMPOSITION\n (Unaudited; Dollars in thousands)\n                                                      Jun 30, 2026              Dec 31, 2025              Balance Change\n                                                      Balance     % of Total    Balance     % of Total    $           %\n Commercial Real Estate Portfolio Segmentation:\n Multi-family                                         $644,249    31 %          $667,388    31 %          ($23,139)   (3.5 %)\n Retail                                               420,295     20            436,961     20            (16,666)    (3.8)\n Industrial and warehouse                             325,720     16            380,403     17            (54,683)    (14.4)\n Hospitality                                          242,261     12            230,549     11            11,712      5.1\n Office                                               212,074     10            237,706     11            (25,632)    (10.8)\n Healthcare Facility                                  132,488     6             156,871     7             (24,383)    (15.5)\n Mixed-use                                            28,349      1             26,440      1             1,909       7.2\n Other                                                44,813      4             47,667      2             (2,854)     (6.0)\n Total commercial real estate loans                   $2,050,249  100 %         $2,183,985  100 %         ($133,736)  (6.1 %)\n\n Commercial & Industrial Portfolio Segmentation:\n Healthcare and social assistance                     $150,391    23 %          $150,061    27 %          $330        0.2 %\n Educational services                                 135,253     20            54,245      10            81,008      149.3\n Retail trade                                         71,933      11            48,289      9             23,644      49.0\n Transportation and warehousing                       55,038      8             55,315      10            (277)       (0.5)\n Accommodation and food services                      32,585      5             26,431      5             6,154       23.3\n Manufacturing                                        27,592      4             23,714      4             3,878       16.4\n Finance and insurance                                27,017      4             22,727      4             4,290       18.9\n Arts, entertainment, and recreation                  24,306      4             22,043      4             2,263       10.3\n Information                                          21,196      3             21,843      4             (647)       (3.0)\n Professional, scientific, and technical services     20,936      3             12,490      2             8,446       67.6\n Real estate rental and leasing                       20,600      3             57,113      10            (36,513)    (63.9)\n Public administration                                6,026       1             1,448       —             4,578       316.2\n Other                                                72,982      11            68,363      11            4,619       6.8\n Total commercial & industrial loans                  $665,855    100 %         $564,082    100 %         $101,773    18.0 %\n\n \n                                                                         Weighted Average        Asset Quality                      Supplemental\n                                                                                                                                    - Nonaccrual\n                                                                                                                                    (included in\n                                                                                                                                    Classified)\n                                                   Balance    Average    Loan to    Debt         Pass       Special   Classified\n                                                   (2) (3)\n Loan     Value\nService                Mention\n\nSize (4)             Coverage\n Non-Owner Occupied Commercial\n Real Estate Office (inclusive of Construction):\n Class A                                           $71,256    $11,931    58 %       1.65x        $42,812    $—        $28,444       $22,349\n Class B                                           70,313     3,516      54 %       1.48x        66,563     3,750     —             —\n Class C                                           10,333     1,476      56 %       1.34x        10,333     —         —             —\n Medical Office                                    25,694     6,424      54 %       1.66x        25,694     —         —             —\n Lab Space                                         34,478     18,288     103 %      —x           —          27,904    6,574         6,574\n Total office at Jun 30, 2026 (1)                  $212,074   $5,500     64 %       1.30x        $145,402   $31,654   $35,018       $28,923\n Total office at Mar 31, 2026                      $231,007   $5,567     64 %       1.29x        $164,665   $31,294   $35,048       $28,923\n Jun 30, 2026 vs. Mar 31, 2026                     ($18,933)  ($67)      — %        0.01x        ($19,263)  $360      ($30)         $—\n\n (1)  Approximately 62% of the total commercial real estate office balance of $212\n      million is secured by income producing properties located in suburban areas.\n      Additionally, approximately 57% of the total commercial real estate office\n      balance is scheduled to mature before Jun 30, 2028.\n (2)  Balance of commercial real estate office consists of 39 loans as of Jun 30,\n      2026.\n (3)  Does not include $2.4 million of unfunded commitments as of Jun 30, 2026.\n (4)  Total commitment (outstanding loan balance plus unfunded commitments) divided\n      by number of loans.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n END OF PERIOD DEPOSIT COMPOSITION & CONTINGENT LIQUIDITY\n (Unaudited; Dollars in thousands)\n                                                                                     Jun 30, 2026 vs.          Jun 30, 2026 vs.\n                                                                                     Mar 31, 2026              Jun 30, 2025\n                                               Jun 30,     Mar 31,     Jun 30,       $           %             $           %\n                                               2026        2026        2025\n Deposits:\n Noninterest-bearing demand deposits           $644,011    $585,415    $646,584      $58,596     10.0 %        ($2,573)    (0.4 %)\n Interest-bearing demand deposits (in-market)  745,273     758,524     668,483       (13,251)    (1.7)         76,790      11.5\n NOW accounts                                  701,615     690,987     680,246       10,628      1.5           21,369      3.1\n Money market accounts                         1,270,616   1,132,421   1,147,792     138,195     12.2          122,824     10.7\n Savings accounts                              863,856     830,855     693,055       33,001      4.0           170,801     24.6\n Time deposits (in-market)                     1,133,502   1,166,431   1,207,255     (32,929)    (2.8)         (73,753)    (6.1)\n In-market deposits                            5,358,873   5,164,633   5,043,415     194,240     3.8           315,458     6.3\n Wholesale brokered time deposits              —           —           1,833         —           —             (1,833)     (100.0)\n Total deposits                                $5,358,873  $5,164,633  $5,045,248    $194,240    3.8 %         $313,625    6.2 %\n\n \n                                   Jun 30,       Dec 31,       Jun 30, 2026 vs.\n                                   2026          2025          Dec 31, 2025\n Contingent Liquidity:\n Federal Home Loan Bank of Boston  $1,448,030    $1,356,005    $92,025     6.8 %\n Federal Reserve Bank of Boston    98,557        104,379       (5,822)     (5.6)\n Available cash liquidity (1)      42,678        17,460        25,218      144.4\n Unencumbered securities           494,925       539,830       (44,905)    (8.3)\n Total                             $2,084,190    $2,017,674    $66,516     3.3 %\n\n (1)  Available cash liquidity excludes amounts restricted for collateral purposes\n      and designated for operating needs.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n\n                                                                                                             Jun 30, 2026 vs.\n                                                                Jun 30,    Mar 31,            Jun 30,        Mar 31,     Jun 30,\n                                                                2026       2026               2025           2026        2025\n                                                                                                             (bps)       (bps)\n Asset Quality Ratios:\n Nonperforming assets to total assets                           0.61 %     0.63 %             0.39 %         (2)         22\n Nonaccrual loans to total loans                                0.78 %     0.81 %             0.51 %         (3)         27\n Total past due loans to total loans                            0.81 %     0.33 %             0.27 %         48          54\n ACL on loans to nonaccrual loans                               106.92 %   101.70 %           157.27 %       522         (5,035)\n ACL on loans to total loans                                    0.83 %     0.82 %             0.80 %         1           3\n\n                                                                                  Jun 30, 2026 vs.           Jun 30, 2026 vs.\n                                                                                  Mar 31, 2026               Jun 30, 2025\n                                              Jun 30,  Mar 31,  Jun 30,           $           %              $           %\n                                              2026     2026     2025\n Nonperforming Assets:\n Commercial real estate                       $28,923  $28,923  $4,276            $—          — %            $24,647     576.4 %\n Commercial & industrial                      126      126      9,711             —           —              (9,585)     (98.7)\n Total commercial                             29,049   29,049   13,987            —           —              15,062      107.7\n Residential real estate                      9,072    9,631    10,614            (559)       (5.8)          (1,542)     (14.5)\n Home equity                                  1,695    1,757    1,507             (62)        (3.5)          188         12.5\n Other consumer                               —        3        —                 (3)         (100.0)        —           —\n Total consumer                               1,695    1,760    1,507             (65)        (3.7)          188         12.5\n Total nonaccrual loans                       39,816   40,440   26,108            (624)       (1.5)          13,708      52.5\n Other real estate owned                      —        —        —                 —           —              —           —\n Total nonperforming assets                   $39,816  $40,440  $26,108           ($624)      (1.5 %)        $13,708     52.5 %\n\n Past Due Loans (30 days or more past due):\n Commercial real estate                       $28,923  $6,574   $—                $22,349     340.0 %        $28,923     100.0 %\n Commercial & industrial                      464      470      1,799             (6)         (1.3)          (1,335)     (74.2)\n Total commercial                             29,387   7,044    1,799             22,343      317.2          27,588      1,533.5\n Residential real estate                      9,908    6,627    9,772             3,281       49.5           136         1.4\n Home equity                                  2,086    2,746    2,430             (660)       (24.0)         (344)       (14.2)\n Other consumer                               27       31       34                (4)         (12.9)         (7)         (20.6)\n Total consumer                               2,113    2,777    2,464             (664)       (23.9)         (351)       (14.2)\n Total past due loans                         $41,408  $16,448  $14,035           $24,960     151.8 %        $27,373     195.0 %\n\n Accruing loans 90 days or more past due      $—       $—       $—                $—          — %            $—          — %\n Nonaccrual loans included in past due loans  $36,152  $12,297  $8,186            $23,855     194.0 %        $27,966     341.6 %\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n                                                          For the Three Months Ended\n                                                          Jun 30,    Mar 31,    Jun 30,\n                                                          2026       2026       2025\n Nonaccrual Loan Activity:\n Balance at beginning of period                           $40,440    $12,923    $21,626\n Additions to nonaccrual status                           2,457      29,064     10,454\n Loans returned to accruing status                        (2,318)    (69)       (1,493)\n Loans charged-off                                        (78)       (84)       (667)\n Loans transferred to other real estate owned             —          —          —\n Payments, payoffs, and other changes                     (685)      (1,394)    (3,812)\n Balance at end of period                                 $39,816    $40,440    $26,108\n\n Allowance for Credit Losses on Loans:\n Balance at beginning of period                           $41,126    $37,236    $41,056\n Provision for credit losses on loans (1)                 1,500      3,900      650\n Charge-offs                                              (78)       (84)       (667)\n Recoveries                                               23         74         20\n Balance at end of period                                 $42,571    $41,126    $41,059\n\n Allowance for Credit Losses on Unfunded Commitments:\n Balance at beginning of period                           $1,240     $1,140     $1,240\n Provision for credit losses on unfunded commitments (1)  100        100        (50)\n Balance at end of period (2)                             $1,340     $1,240     $1,190\n\n (1)  Included in provision for credit losses in the Consolidated Statements of\n      Income.\n (2)  Included in other liabilities in the Consolidated Balance Sheets.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CREDIT & ASSET QUALITY DATA\n (Unaudited; Dollars in thousands)\n                                                                                         Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n                                                      Q2 2026    Q1 2026    Q2 2025      $            %              $            %\n Provision for Credit Losses:\n Provision for credit losses on loans                 $1,500     $3,900     $650         ($2,400)     (61.5 %)       $850         130.8 %\n Provision for credit losses on unfunded commitments  100        100        (50)         —            —              150          300.0\n Provision for credit losses                          $1,600     $4,000     $600         ($2,400)     (60.0 %)       $1,000       166.7 %\n\n Net Loan Charge-Offs (Recoveries):\n Commercial real estate                               $—         $—         $274         $—           — %            ($274)       (100.0 %)\n Commercial & industrial                              —          (42)       307          42           100.0          (307)        (100.0)\n Total commercial                                     —          (42)       581          42           100.0          (581)        (100.0)\n Residential real estate                              —          (1)        —            1            100.0          —            —\n Home equity                                          —          (1)        (1)          1            100.0          1            100.0\n Other consumer                                       55         54         67           1            1.9            (12)         (17.9)\n Total consumer                                       55         53         66           2            3.8            (11)         (16.7)\n Total                                                $55        $10        $647         $45          450.0 %        ($592)       (91.5 %)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis)\n (Unaudited; Dollars in thousands)\n\n The following tables present daily average balance, interest, and yield/rate\n information, as well as net interest margin on an FTE basis.  Tax-exempt\n income is converted to an FTE basis using the statutory federal income tax\n rate.  Unrealized gains (losses) on available for sale securities, changes\n in fair value on mortgage loans held for sale, and basis adjustments\n associated with fair value hedges are excluded from the average balance and\n yield calculations.  Nonaccrual loans are included in amounts presented for\n loans.  Interest income attributable to nonaccrual loans is included in\n accordance with accounting policy as disclosed in our Annual Report on Form\n 10-K for the fiscal year ended December 31, 2025.\n For the Three Months Ended                  Jun 30, 2026                     Mar 31, 2026                     Change\n                                             Average     Interest  Yield/     Average     Interest  Yield/     Average     Interest  Yield/\n                                             Balance\nRate      Balance\nRate      Balance\nRate\n\n Assets:\n Cash, federal funds sold, and short-term    $111,434    $998      3.59 %     $101,091    $909      3.65 %     $10,343     $89       (0.06 %)\n   investments\n Mortgage loans held for sale                31,413      478       6.10       24,760      375       6.14       6,653       103       (0.04)\n Taxable debt securities                     996,894     8,468     3.41       1,022,612   8,768     3.48       (25,718)    (300)     (0.07)\n Nontaxable debt securities                  650         8         4.94       650         8         4.99       —           —         (0.05)\n Total securities                            997,544     8,476     3.41       1,023,262   8,776     3.48       (25,718)    (300)     (0.07)\n FHLB stock                                  25,557      506       7.94       30,566      585       7.76       (5,009)     (79)      0.18\n Commercial real estate                      2,049,760   28,593    5.60       2,148,792   28,718    5.42       (99,032)    (125)     0.18\n Commercial & industrial                     592,347     8,346     5.65       571,498     7,921     5.62       20,849      425       0.03\n Total commercial                            2,642,107   36,939    5.61       2,720,290   36,639    5.46       (78,183)    300       0.15\n Residential real estate                     2,027,688   22,698    4.49       2,035,597   22,723    4.53       (7,909)     (25)      (0.04)\n Home equity                                 322,709     5,052     6.28       316,660     4,931     6.32       6,049       121       (0.04)\n Other                                       15,760      208       5.29       16,589      215       5.26       (829)       (7)       0.03\n Total consumer                              338,469     5,260     6.23       333,249     5,146     6.26       5,220       114       (0.03)\n Total loans                                 5,008,264   64,897    5.20       5,089,136   64,508    5.14       (80,872)    389       0.06\n Total interest-earning assets               6,174,212   75,355    4.90       6,268,815   75,153    4.86       (94,603)    202       0.04\n Noninterest-earning assets                  289,814                          297,871                          (8,057)\n Total assets                                $6,464,026                       $6,566,686                       ($102,660)\n Liabilities and Shareholders' Equity:\n Interest-bearing demand deposits (in-       $730,215    $5,751    3.16 %     $748,233    $5,889    3.19 %     ($18,018)   ($138)    (0.03 %)\n   market)\n NOW accounts                                685,098     265       0.16       676,240     259       0.16       8,858       6         —\n Money market accounts                       1,196,679   8,429     2.83       1,162,609   7,788     2.72       34,070      641       0.11\n Savings accounts                            833,804     3,656     1.76       810,040     3,418     1.71       23,764      238       0.05\n Time deposits (in-market)                   1,143,511   9,466     3.32       1,190,414   10,016    3.41       (46,903)    (550)     (0.09)\n Interest-bearing in-market deposits         4,589,307   27,567    2.41       4,587,536   27,370    2.42       1,771       197       (0.01)\n Wholesale brokered time deposits            —           —         —          —           —         —          —           —         —\n Total interest-bearing deposits             4,589,307   27,567    2.41       4,587,536   27,370    2.42       1,771       197       (0.01)\n FHLB advances                               536,879     5,491     4.10       660,667     6,777     4.16       (123,788)   (1,286)   (0.06)\n Junior subordinated debentures              22,681      308       5.45       22,681      310       5.54       —           (2)       (0.09)\n Total interest-bearing liabilities          5,148,867   33,366    2.60       5,270,884   34,457    2.65       (122,017)   (1,091)   (0.05)\n Noninterest-bearing demand deposits         621,882                          604,302                          17,580\n Other liabilities                           141,165                          138,126                          3,039\n Shareholders' equity                        552,112                          553,374                          (1,262)\n Total liabilities and shareholders' equity  $6,464,026                       $6,566,686                       ($102,660)\n Net interest income (FTE)                               $41,989                          $40,696                          $1,293\n Interest rate spread                                              2.30 %                           2.21 %                           0.09 %\n Net interest margin                                               2.73 %                           2.63 %                           0.10 %\n\n Interest income amounts presented in the preceding table include the following\n adjustments for taxable equivalency:\n\n For the Three Months Ended  Jun 30, 2026  Mar 31, 2026    Change\n Commercial loans            $180          $168            $12\n Nontaxable debt securities  —             1               (1)\n Total                       $180          $169            $11\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n CONSOLIDATED AVERAGE BALANCE SHEETS (FTE Basis)\n (Unaudited; Dollars in thousands)\n For the Six Months Ended                    Jun 30, 2026                     Jun 30, 2025                     Change\n                                             Average     Interest  Yield/     Average     Interest  Yield/     Average     Interest  Yield/\n                                             Balance\nRate      Balance\n Rate     Balance\n Rate\n\n Assets:\n Cash, federal funds sold and short-term     $106,290    $1,907    3.62 %     $138,950    $3,022    4.39 %     ($32,660)   ($1,115)  (0.77 %)\n   investments\n Mortgage loans for sale                     28,105      853       6.12       66,145      1,400     4.27       (38,040)    (547)     1.85\n Taxable debt securities                     1,009,682   17,236    3.44       1,055,109   18,057    3.45       (45,427)    (821)     (0.01)\n Nontaxable debt securities                  650         17        5.27       650         16        4.96       —           1         0.31\n Total securities                            1,010,332   17,253    3.44       1,055,759   18,073    3.45       (45,427)    (820)     (0.01)\n FHLB stock                                  28,048      1,091     7.84       42,482      1,814     8.61       (14,434)    (723)     (0.77)\n Commercial real estate                      2,099,003   57,311    5.51       2,150,209   61,579    5.78       (51,206)    (4,268)   (0.27)\n Commercial & industrial                     581,981     16,267    5.64       544,352     15,841    5.87       37,629      426       (0.23)\n Total commercial                            2,680,984   73,578    5.53       2,694,561   77,420    5.79       (13,577)    (3,842)   (0.26)\n Residential real estate                     2,031,620   45,421    4.51       2,108,429   46,350    4.43       (76,809)    (929)     0.08\n Home equity                                 319,702     9,984     6.30       297,695     10,229    6.93       22,007      (245)     (0.63)\n Other                                       16,171      422       5.26       17,174      423       4.97       (1,003)     (1)       0.29\n Total consumer                              335,873     10,406    6.25       314,869     10,652    6.82       21,004      (246)     (0.57)\n Total loans                                 5,048,477   129,405   5.17       5,117,859   134,422   5.30       (69,382)    (5,017)   (0.13)\n Total interest-earning assets               6,221,252   150,509   4.88       6,421,195   158,731   4.98       (199,943)   (8,222)   (0.10)\n Noninterest-earning assets                  293,820                          282,682                          11,138\n Total assets                                $6,515,072                       $6,703,877                       ($188,805)\n Liabilities and Shareholders' Equity:\n Interest-bearing demand deposits (in-       $739,174    $11,640   3.18 %     $646,489    $12,126   3.78 %     $92,685     ($486)    (0.60 %)\n   market)\n NOW accounts                                680,693     524       0.16       674,985     685       0.20       5,708       (161)     (0.04)\n Money market accounts                       1,179,738   16,217    2.77       1,207,072   19,806    3.31       (27,334)    (3,589)   (0.54)\n Savings accounts                            821,989     7,074     1.74       614,573     4,932     1.62       207,416     2,142     0.12\n Time deposits (in-market)                   1,166,833   19,482    3.37       1,209,927   22,611    3.77       (43,094)    (3,129)   (0.40)\n Interest-bearing in-market deposits         4,588,427   54,937    2.41       4,353,046   60,160    2.79       235,381     (5,223)   (0.38)\n Wholesale brokered time deposits            —           —         —          97,939      2,452     5.05       (97,939)    (2,452)   (5.05)\n Total interest-bearing deposits             4,588,427   54,937    2.41       4,450,985   62,612    2.84       137,442     (7,675)   (0.43)\n FHLB advances                               598,431     12,268    4.13       946,906     21,397    4.56       (348,475)   (9,129)   (0.43)\n Junior subordinated debentures              22,681      618       5.49       22,681      693       6.16       —           (75)      (0.67)\n Total interest-bearing liabilities          5,209,539   67,823    2.63       5,420,572   84,702    3.15       (211,033)   (16,879)  (0.52)\n Noninterest-bearing demand deposits         613,141                          618,373                          (5,232)\n Other liabilities                           139,652                          146,524                          (6,872)\n Shareholders' equity                        552,740                          518,408                          34,332\n Total liabilities and shareholders' equity  $6,515,072                       $6,703,877                       ($188,805)\n Net interest income (FTE)                               $82,686                          $74,029                          $8,657\n Interest rate spread                                              2.25 %                           1.83 %                           0.42 %\n Net interest margin                                               2.68 %                           2.32 %                           0.36 %\n\n Interest income amounts presented in the preceding table include the following\n adjustments for taxable equivalency:\n\n For the Six Months Ended    Jun 30, 2026  Jun 30, 2025    Change\n Commercial loans            $348          $425            ($77)\n Nontaxable debt securities  2             1               1\n Total                       $350          $426            ($76)\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (Unaudited; Dollars in thousands, except per share amounts)\n\n The following table presents adjusted noninterest income, adjusted noninterest\n expense, adjusted income before income taxes, adjusted income tax\n expense, and adjusted net income, adjusted diluted earnings per common share,\n and adjusted efficiency ratio:\n\n For the Six Months Ended Jun 30,                             2026     2025       Change\n Adjusted Noninterest Income:\n Noninterest income, as reported                              $35,965  $39,721    ($3,756)   (9.5 %)\n Less adjustments:\n Gain on sale of bank-owned properties, net                   —        6,994      (6,994)    (100.0)\n Adjusted noninterest income (non-GAAP)                       $35,965  $32,727    $3,238     9.9 %\n\n Adjusted Noninterest Expense:\n Noninterest expense, as reported                             $76,362  $78,726    ($2,364)   (3.0 %)\n Less adjustments:\n Pension plan settlement charge                               —        6,436      (6,436)    (100.0)\n Adjusted noninterest expense (non-GAAP)                      $76,362  $72,290    $4,072     5.6 %\n\n Adjusted Income Before Income Taxes:\n Income before income taxes                                   $36,331  $32,802    $3,529     10.8 %\n Less: total adjustments, pre-tax                             —        558        (558)      (100.0)\n Adjusted income before income taxes (non-GAAP)               $36,331  $32,244    $4,087     12.7 %\n\n Adjusted Income Tax Expense:\n Income tax expense, as reported                              $7,750   $7,378     $372       5.0 %\n Less: tax on total adjustments                               —        141        (141)      (100.0)\n Adjusted income tax expense (non-GAAP)                       $7,750   $7,237     $513       7.1 %\n\n Adjusted Net Income:\n Net income, as reported                                      $28,581  $25,424    $3,157     12.4 %\n Less: total adjustments, after-tax                           —        417        (417)      (100.0)\n Adjusted net income (non-GAAP)                               $28,581  $25,007    $3,574     14.3 %\n\n Adjusted Diluted Earnings per Common Share:\n Diluted earnings (loss) per common share, as reported (1)    $1.49    $1.31      $0.18      13.7 %\n Less: impact of total adjustments                            —        0.02       (0.02)     (100.0)\n Adjusted diluted earnings per common share (non-GAAP) (2)    $1.49    $1.29      $0.20      15.5 %\n\n Adjusted Efficiency Ratio:\n Efficiency ratio, as reported (3)                            64.6 %   69.5 %     (490) bps\n Less: impact of total adjustments                            —        1.5        (150) bps\n Adjusted efficiency ratio (non-GAAP) (4)                     64.6 %   68.0 %     (340) bps\n\n (1)  Net income divided by weighted average diluted common and potential shares\n      outstanding.\n (2)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by weighted average diluted common and potential\n      shares outstanding.\n (3)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income).\n (4)  Total noninterest expense as percentage of total revenues (net interest income\n      and noninterest income), each adjusted for the pre-tax impact of adjustments\n      as outlined in the table above.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands)\n\n The following tables present return on average tangible assets and adjusted\n return on average assets:\n\n                                                    Q2 2026     Q1 2026     Q2 2025       Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n Return on Average Tangible Assets:\n Net income, as reported                            $15,981     $12,600     $13,245       $3,381       26.8 %         $2,736       20.7 %\n\n Total average assets, as reported                  $6,464,026  $6,566,686  $6,643,370    ($102,660)   (1.6 %)        ($179,344)   (2.7 %)\n Less average balances of:\n Goodwill                                           63,909      63,909      63,909        —            —              —            —\n Identifiable intangible assets, net                4,068       4,224       2,577         (156)        (3.7)          1,491        57.9\n Total average tangible assets                      $6,396,049  $6,498,553  $6,576,884    ($102,504)   (1.6 %)        ($180,835)   (2.7 %)\n\n Return on average assets (1)                       0.99 %      0.78 %      0.80 %        21 bps                      19 bps\n Return on average tangible assets (non-GAAP) (2)   1.00 %      0.79 %      0.81 %        21 bps                      19 bps\n\n \n For the Six Months Ended Jun 30,                     2026        2025          Change\n Adjusted Return on Average Assets:\n Net income, as reported                              $28,581     $25,424       $3,157      12.4 %\n Less: total adjustments, after-tax                   —           417           (417)       (100.0)\n Adjusted net income (non-GAAP)                       $28,581     $25,007       $3,574      14.3 %\n\n Total average assets, as reported                    $6,515,072  $6,703,877    ($188,805)  (2.8 %)\n\n Return on average assets (1)                         0.88 %      0.76 %        12 bps\n Adjusted return on average assets (non-GAAP) (3)     0.88 %      0.75 %        13 bps\n\n Return on Average Tangible Assets:\n Adjusted net income (non-GAAP)                       $28,581     $25,007       $3,574      14.3 %\n\n Total average assets, as reported                    $6,515,072  $6,703,877    ($188,805)  (2.8 %)\n Less average balances of:\n Goodwill                                             63,909      63,909        —           —\n Identifiable intangible assets, net                  4,145       2,679         1,466       54.7\n Total average tangible assets                        $6,447,018  $6,637,289    ($190,271)  (2.9 %)\n\n Return on average assets (1)                         0.88 %      0.76 %        12 bps\n Return on average tangible assets (non-GAAP) (4)     0.89 %      0.76 %        13 bps\n\n (1)  Net income divided by total average assets.\n (2)  Net income divided by total average tangible assets.\n (3)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average assets.\n (4)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average tangible assets.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands)\n\n The following tables present return on average tangible equity and adjusted\n return on average equity:\n\n                                           Q2 2026   Q1 2026   Q2 2025     Q2 2026 vs. Q1 2026         Q2 2026 vs. Q2 2025\n Return on Average Tangible Equity:\n Net income, as reported                   $15,981   $12,600   $13,245     $3,381       26.8 %         $2,736       20.7 %\n\n Total average equity, as reported         $552,112  $553,374  $523,709    ($1,262)     (0.2 %)        $28,403      5.4 %\n Less average balances of:\n Goodwill                                  63,909    63,909    63,909      —            —              —            —\n Identifiable intangible assets, net       4,068     4,224     2,577       (156)        (3.7)          1,491        57.9\n Total average tangible equity (non-GAAP)  $484,135  $485,241  $457,223    ($1,106)     (0.2 %)        $26,912      5.9 %\n\n Return on average equity (1)              11.61 %   9.23 %    10.14 %     238 bps                     147 bps\n Return on average tangible equity         13.24 %   10.53 %   11.62 %     271 bps                     162 bps\n\n  (non-GAAP) (2)\n\n \n For the Six Months Ended Jun 30,                    2026      2025        Change\n Adjusted Return on Average Equity:\n Net income, as reported                             $28,581   $25,424     $3,157   12.4 %\n Less: total adjustments, after-tax                  —         417         (417)    (100.0)\n Adjusted net income (non-GAAP)                      $28,581   $25,007     $3,574   14.3\n\n Total average equity, as reported                   $552,740  $518,408    $34,332  6.6\n\n Return on average equity (1)                        10.43 %   9.89 %      54 bps\n Adjusted return on average equity (non-GAAP) (3)    10.43 %   9.73 %      70 bps\n\n Return on Average Tangible Equity:\n Adjusted net income (non-GAAP)                      $28,581   $25,007     $3,574   14.3 %\n\n Total average equity, as reported                   $552,740  $518,408    $34,332  6.6\n Less average balances of:\n Goodwill                                            63,909    63,909      —        —\n Identifiable intangible assets, net                 4,145     2,679       1,466    54.7\n Total average tangible equity (non-GAAP)            $484,686  $451,820    $32,866  7.3\n\n Return on average equity (1)                        10.43 %   9.89 %      54 bps\n Return on average tangible equity (non-GAAP) (4)    11.89 %   11.16 %     73 bps\n\n (1)  Net income divided by total average equity.\n (2)  Net income divided by total average tangible equity.\n (3)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average equity.\n (4)  Net income, adjusted for the after-tax impact of adjustments as outlined in\n      the table above, divided by total average tangible equity.\n\n \n Washington Trust Bancorp, Inc. and Subsidiaries\n SUPPLEMENTAL INFORMATION - Calculation of Non-GAAP Financial Measures\n (continued)\n (Unaudited; Dollars in thousands, except per share amounts)\n\n The following table presents tangible book value per share and the ratio of\n tangible equity to tangible assets:\n\n                                                 Jun 30,      Mar 31,      Jun 30,                   Jun 30, 2026 vs.            Jun 30, 2026 vs.\n                                                 2026         2026         2025                      Mar 31, 2026                Jun 30, 2025\n Tangible Book Value per Share:\n Total shareholders' equity, as reported         $553,523     $546,773     $527,519                  $6,750       1.2 %          $26,004     4.9 %\n Less end of period balances of:\n Goodwill                                        63,909       63,909       63,909                    —            — %            —           — %\n Identifiable intangible assets, net             3,992        4,148        2,478                     (156)        (3.8) %        1,514       61.1 %\n Total tangible shareholders' equity (non-GAAP)  $485,622     $478,716     $461,132                  $6,906       1.4 %          $24,490     5.3 %\n\n Shares outstanding, as reported                 19,071       19,041       19,283                    30           0.2 %          (212)       (1.1 %)\n\n Book value per share                            $29.02       $28.72       $27.36                    $0.30        1.0 %          $1.66       6.1 %\n Tangible book value per share (non-GAAP)        $25.46       $25.14       $23.91                    $0.32        1.3 %          $1.55       6.5 %\n\n Tangible Equity to Tangible Assets:\n Total tangible shareholders' equity             $485,622     $478,716     $461,132                  $6,906       1.4 %          $24,490     5.3 %\n\n Total assets, as reported                       $6,547,904   $6,459,196   $6,745,167                $88,708      1.4 %          ($197,263)  (2.9 %)\n Less end of period balances of:\n Goodwill                                        63,909       63,909       63,909                    —            — %            —           — %\n Identifiable intangible assets, net             3,992        4,148        2,478                     (156)        (3.8 %)        1,514       61.1 %\n Total tangible assets (non-GAAP)                $6,480,003   $6,391,139   $6,678,780                $88,864      1.4 %          ($198,777)  (3.0 %)\n\n Equity to assets                                8.45 %       8.47 %       7.82 %                    (2) bps                     63 bps\n Tangible equity to tangible assets (non-GAAP)   7.49 %       7.49 %       6.90 %                    0 bps                       59 bps\n\nCategory: Earnings\n\nView original content to download\nmultimedia:https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html\n(https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html)\n\nSOURCE Washington Trust Bancorp, Inc.\n\n\n\nKathleen Hart, VP, Public Relations Manager, Telephone: (401) 348-1495, E-mail: kahart@washtrust.com\n\nPhoto: \nhttps://mmx.prnewswire.com/media/MS878938/Washington-Trust-Bancorp-Inc-Logo.jpg?id=OA2769537\n\nCopyright (c) 2026 PR Newswire Association,LLC. All Rights Reserved."},"type":"article","timestamp":"2026-07-20T20:05:00.979017533Z","server_sent_at_ms":1784577900979},"received_at":"2026-07-20T20:05:01.132Z","source_url":"https://www.prnewswire.com/news-releases/washington-trust-reports-second-quarter-2026-results-302829845.html"},"analysis":{"id":"82136","press_release_id":"93089","analysis_json":{"industry":{"label":"Banks","sector":"Financials"},"redFlags":["Past due loans increased to 0.81% of total loans from 0.33%, attributable to a single commercial real estate office loan"],"eventType":"earnings","narrative":"Washington Trust reported Q2 2026 net income of $16.0 million, or $0.83 per diluted share, up 26% sequentially from the prior quarter, driven by strong execution and margin expansion.\n\nNet interest margin improved by 10 basis points to 2.73%, supported by a 2% increase in loan balances to $5.1 billion and a 4% rise in total deposits to $5.4 billion.\n\nThe board declared a quarterly dividend of $0.56 per share and maintained a strong capital position with a common equity tier 1 ratio of 11.89%.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Strong EPS and margin growth for Washington Trust overshadowed slightly by a specific credit quality blip."},"keyFigures":{"eps":0.83,"customDimensions":{"roa":"0.99%","roe":"11.61%","net_income":"$16.0 million","total_loans":"$5.1 billion","total_deposits":"$5.4 billion","dividend_per_share":"$0.56","noninterest_income":"$18.7 million","net_interest_income":"$41.8 million","net_interest_margin":"2.73%","book_value_per_share":"$29.02","common_equity_tier_1_ratio":"11.89%","provision_for_credit_losses":"$1.6 million"}},"quotedText":"We are pleased with our second quarter performance, as strong execution across the company drove higher profitability, and solid loan and deposit growth","namedEntities":{"people":[{"name":"Edward O. \"Ned\" Handy III","role":"Chairman and Chief Executive Officer"},{"name":"Kathleen Hart","role":"VP, Public Relations Manager"}],"products":["Wealth management","Mortgage banking"],"companies":[{"name":"Washington Trust Bancorp, Inc.","ticker":"WASH"},{"name":"The Washington Trust Company","relationship":"subsidiary"}],"dollarAmounts":[{"amount":"$16.0 million","context":"Q2 2026 net income"},{"amount":"$0.83","context":"Q2 2026 diluted earnings per share"},{"amount":"$1.6 million","context":"Q2 2026 provision for credit losses"},{"amount":"$5.1 billion","context":"Total loans"},{"amount":"$5.4 billion","context":"Total deposits"},{"amount":"$0.56","context":"Quarterly dividend per share"},{"amount":"$29.02","context":"Book value per share"}]},"materialImpact":{"score":3,"reasoning":"Solid quarter with strong sequential EPS growth (up 26% QoQ), net interest margin expansion (10 bps), and healthy loan/deposit growth. While the results are positive for a regional bank, the stock is a small/mid-cap and there is no explicit consensus beat mentioned to drive a higher score."},"tickerRelevance":{"others":[],"primary":"WASH"},"globalImportance":25,"audienceRelevance":25,"eventTypeSecondary":["dividend"],"importanceComponents":{"tickerTier":"small-mid-cap","eventGravity":"solid-earnings","sectorWeight":"regional-banks"}},"event_type":"earnings","event_type_secondary":["dividend"],"sentiment":"bullish","material_impact_score":3,"narrative":"Washington Trust reported Q2 2026 net income of $16.0 million, or $0.83 per diluted share, up 26% sequentially from the prior quarter, driven by strong execution and margin expansion.\n\nNet interest margin improved by 10 basis points to 2.73%, supported by a 2% increase in loan balances to $5.1 billion and a 4% rise in total deposits to $5.4 billion.\n\nThe board declared a quarterly dividend of $0.56 per share and maintained a strong capital position with a common equity tier 1 ratio of 11.89%.","key_figures":{"eps":0.83,"customDimensions":{"roa":"0.99%","roe":"11.61%","net_income":"$16.0 million","total_loans":"$5.1 billion","total_deposits":"$5.4 billion","dividend_per_share":"$0.56","noninterest_income":"$18.7 million","net_interest_income":"$41.8 million","net_interest_margin":"2.73%","book_value_per_share":"$29.02","common_equity_tier_1_ratio":"11.89%","provision_for_credit_losses":"$1.6 million"}},"named_entities":{"people":[{"name":"Edward O. \"Ned\" Handy III","role":"Chairman and Chief Executive Officer"},{"name":"Kathleen Hart","role":"VP, Public Relations Manager"}],"products":["Wealth management","Mortgage banking"],"companies":[{"name":"Washington Trust Bancorp, Inc.","ticker":"WASH"},{"name":"The Washington Trust Company","relationship":"subsidiary"}],"dollarAmounts":[{"amount":"$16.0 million","context":"Q2 2026 net income"},{"amount":"$0.83","context":"Q2 2026 diluted earnings per share"},{"amount":"$1.6 million","context":"Q2 2026 provision for credit losses"},{"amount":"$5.1 billion","context":"Total loans"},{"amount":"$5.4 billion","context":"Total deposits"},{"amount":"$0.56","context":"Quarterly dividend per share"},{"amount":"$29.02","context":"Book value per share"}]},"model_name":"glm-4.7","prompt_hash":"sha256:727b4b9429a443af","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-07-20T20:26:33.733Z","global_importance":25,"audience_relevance":25,"importance_components":{"tickerTier":"small-mid-cap","eventGravity":"solid-earnings","sectorWeight":"regional-banks"}},"durationMs":137800,"modelName":"glm-4.7"}}