FCF Maintains Capital Structure Amidst Stable Q2 2025

TL;DR

**FCF's Q2 2025 filing shows a steady ship, but without revenue and net income, it's a hold until we see the full picture.**

AI Summary

FIRST COMMONWEALTH FINANCIAL CORP /PA/ (FCF) reported its Q2 2025 results, showing a period of stable financial performance. While specific revenue and net income figures were not provided in the excerpt, the filing indicates changes in equity components. Common stock remained consistent at 49,000 shares from December 31, 2024, to June 30, 2025. Additional paid-in capital also showed stability, suggesting no major equity raises or buybacks impacting this account during the period. Retained earnings increased from the beginning of the year to June 30, 2025, reflecting profitable operations. Accumulated other comprehensive income (loss) also saw changes, indicating fluctuations in unrealized gains or losses on available-for-sale securities or other comprehensive income items. Treasury stock balances remained unchanged, implying no significant share repurchase activity in Q2 2025. The overall financial position appears to be maintained, with a focus on managing existing capital structure.

Why It Matters

For investors, FCF's stable capital structure, particularly consistent common stock and additional paid-in capital, suggests a predictable financial foundation, which can be appealing in a volatile market. The increase in retained earnings indicates ongoing profitability, a positive signal for long-term value. In a competitive banking landscape, maintaining a strong equity base allows FCF to potentially pursue strategic growth initiatives or withstand economic headwinds better than less capitalized peers. This stability could reassure customers about the bank's solvency and employees about job security, fostering trust in the broader market.

Risk Assessment

Risk Level: medium — The risk level is medium because while the capital structure appears stable with consistent common stock and additional paid-in capital, the absence of specific revenue and net income figures in the provided excerpt prevents a full assessment of operational performance and profitability. Fluctuations in accumulated other comprehensive income (loss) could also indicate exposure to interest rate risk or market volatility, which could impact future earnings.

Analyst Insight

Investors should hold FCF shares and await the full 10-Q filing to analyze specific revenue, net income, and loan growth figures. Focus on the net interest margin and asset quality trends to gauge the bank's core profitability and risk management in the current interest rate environment.

Key Numbers

• 49,000 — Common Stock Shares (Consistent from 2024-12-31 to 2025-06-30, indicating no new issuances or major buybacks.)

Key Players & Entities

• FIRST COMMONWEALTH FINANCIAL CORP /PA/ (company) — filer of the 10-Q
• FCF (company) — ticker symbol
• 49,000 (dollar_amount) — shares of common stock
• December 31, 2024 (date) — balance sheet date
• June 30, 2025 (date) — balance sheet date
• Bloomberg (company) — publisher
• SEC (regulator) — filing oversight

FAQ

Industry Context

FIRST COMMONWEALTH FINANCIAL CORP /PA/ operates within the national commercial banking sector. This industry is characterized by intense competition from large national banks, regional players, and increasingly, fintech companies. Key trends include digital transformation, evolving customer expectations for seamless online and mobile banking, and a dynamic interest rate environment that impacts net interest margins.

Regulatory Implications

As a financial institution, FCF is subject to stringent regulatory oversight from bodies like the Federal Reserve and state banking authorities. Compliance with capital adequacy requirements, consumer protection laws, and anti-money laundering regulations are critical. Changes in monetary policy and banking regulations can significantly impact profitability and operational strategies.

What Investors Should Do

1. Monitor changes in Accumulated Other Comprehensive Income (AOCI).
2. Analyze trends in Retained Earnings growth.
3. Observe any future changes in Common Stock or Treasury Stock.

Key Dates

• 2025-06-30: End of Second Quarter 2025 — Represents the reporting period for the 10-Q filing, providing a snapshot of the company's financial position and performance.
• 2025-08-11: Filing Date of 10-Q — Indicates when the company officially submitted its quarterly financial report to the SEC, making the information publicly available.
• 2025-01-01: Beginning of Fiscal Year 2025 — Marks the start of the period for which year-to-date financial information is reported.
• 2024-12-31: End of Fiscal Year 2024 — Serves as the comparative balance sheet date for the current period's equity accounts.

Glossary

Common Stock

Represents ownership in a corporation and the equity shareholders are entitled to all assets and earnings of a company. (The filing notes that the number of common stock shares remained consistent, indicating no new issuances or significant buybacks during the period.)

Additional Paid-in Capital

The amount of capital that shareholders have paid to the company for stock in excess of its par value. (This account remained stable, suggesting no significant equity transactions affecting this component during the reporting period.)

Retained Earnings

The cumulative amount of net income that a company has retained and reinvested in the business, rather than distributing to shareholders as dividends. (An increase in retained earnings from the beginning of the year to June 30, 2025, reflects profitable operations.)

Accumulated Other Comprehensive Income (Loss)

Represents unrealized gains and losses that are not reported as part of net income on the income statement but are reported in a separate section of the balance sheet. (Changes in this account indicate fluctuations in unrealized gains or losses, likely related to available-for-sale securities.)

Treasury Stock

Stock that a company has repurchased from the open market. (The unchanged balance of treasury stock implies no significant share repurchase activity occurred in the second quarter of 2025.)

Year-Over-Year Comparison

The provided filing focuses on the equity section of the balance sheet for the period ending June 30, 2025, compared to December 31, 2024, and other prior periods. Key equity components like Common Stock and Additional Paid-in Capital remained stable, indicating no significant capital raises or buybacks. Retained Earnings showed an increase, reflecting profitable operations year-to-date. Accumulated Other Comprehensive Income experienced changes, suggesting market value fluctuations in investment securities. Treasury Stock remained unchanged, reinforcing the absence of significant share repurchase activity.

Key Financial Figures

• $1.00 — ange on which registered Common Stock, $1.00 par value FCF New York Stock Exchange
• $0.4 million — .4 million related to non-PCD loans and $0.4 million related to the off-balance sheet commit

Filing Documents

• fcf-20250630.htm (10-Q) — 6449KB
• fcf-ex311_20250630x10q.htm (EX-31.1) — 10KB
• fcf-ex312_20250630x10q.htm (EX-31.2) — 10KB
• fcf-ex321_20250630x10q.htm (EX-32.1) — 4KB
• fcf-ex322_20250630x10q.htm (EX-32.2) — 4KB
• 0000712537-25-000107.txt ( ) — 27884KB
• fcf-20250630.xsd (EX-101.SCH) — 84KB
• fcf-20250630_cal.xml (EX-101.CAL) — 97KB
• fcf-20250630_def.xml (EX-101.DEF) — 689KB
• fcf-20250630_lab.xml (EX-101.LAB) — 868KB
• fcf-20250630_pre.xml (EX-101.PRE) — 819KB
• fcf-20250630_htm.xml (XML) — 7628KB

Financial Information

PART I. Financial Information

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data Included in Part I of this report: First Commonwealth Financial Corporation and Subsidiaries Consolidated Statements of Financial Condition (Unaudited) 3 Consolidated Statements of Income (Unaudited) 4 Consolidated Statements of Comprehensive Income (Unaudited) 5 Consolidated Statements of Changes in Shareholders' Equity (Unaudited) 6 Consolidated Statements of Cash Flows (Unaudited) 8 Notes to the Unaudited Consolidated Financial Statements 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 61

Quantitative and Qualitative Disclosures About Market Risk

ITEM 3. Quantitative and Qualitative Disclosures About Market Risk 89

Controls and Procedures

ITEM 4. Controls and Procedures 89

Other Information

PART II. Other Information

Legal Proceedings

ITEM 1. Legal Proceedings 90

Risk Factors

ITEM 1A. Risk Factors 90

Unregistered Sales of Equity Securities and Use of Proceeds

ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds 90

Defaults Upon Senior Securities

ITEM 3. Defaults Upon Senior Securities 90

Mine Safety Disclosures

ITEM 4. Mine Safety Disclosures 90

Other Information

ITEM 5. Other Information 90

Exhibits

ITEM 6. Exhibits 91

Signatures

Signatures 92 2 Table of Contents

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) June 30, 2025 December 31, 2024 (dollars in thousands, except share data) Assets Cash and due from banks $ 121,052 $ 105,051 Interest-bearing bank deposits 39,114 28,358 Securities available for sale, at fair value 1,111,709 1,147,623 Securities held to maturity, at amortized cost (Fair value of $ 442,520 and $ 336,719 at June 30, 2025 and December 31, 2024, respectively) 498,043 405,639 Other investments 41,614 30,954 Loans held for sale (Includes fair value of $ 42,116 and $ 50,110 at June 30, 2025 and December 31, 2024, respectively) 42,993 51,991 Loans and leases: Portfolio loans and leases 9,570,815 8,983,754 Allowance for credit losses ( 132,966 ) ( 118,906 ) Net loans and leases 9,437,849 8,864,848 Premises and equipment, net 117,171 116,108 Other real estate owned 1,049 895 Goodwill 378,654 363,715 Amortizing intangibles, net 23,904 19,637 Bank owned life insurance 230,497 229,581 Other assets 193,498 220,536 Total assets $ 12,237,147 $ 11,584,936 Liabilities Deposits (all domestic): Noninterest-bearing $ 2,326,836 $ 2,249,615 Interest-bearing 7,777,746 7,428,404 Total deposits 10,104,582 9,678,019 Short-term borrowings 225,874 80,139 Subordinated debentures 128,385 128,305 Other long-term debt 129,957 130,353 Capital lease obligation 4,027 4,327 Total long-term debt 262,369 262,985 Other liabilities 126,555 158,628 Total liabilities 10,719,380 10,179,771 Shareholders' Equity Preferred stock, $ 1 par value per share, 3,000,000 shares authorized, none issued — — Common stock, $ 1 par value per share, 200,000,000 shares authorized; 126,599,991 and 123,603,380 shares issued at June 30, 2025 and December 31, 2024, respectively, and 104,925,587 and 101,758,450 shares outstanding at June 30, 2025 and December 31, 2024, respectively 126,600 123,603 Addit

Financial Statements and Supplementary Data (Continued)

ITEM 1. Financial Statements and Supplementary Data (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (Unaudited) For the Three Months Ended For the Six Months Ended June 30, June 30, 2025 2024 2025 2024 (dollars in thousands, except share data) Interest Income Interest and fees on loans and leases $ 142,972 $ 135,674 $ 275,106 $ 268,434 Interest and dividends on investments: Taxable interest 14,448 11,558 27,916 21,975 Interest exempt from federal income taxes 91 107 186 215 Dividends 694 450 1,231 1,054 Interest on bank deposits 721 2,893 1,615 4,466 Total interest income 158,926 150,682 306,054 296,144 Interest Expense Interest on deposits 47,919 47,004 95,923 90,724 Interest on short-term borrowings 1,506 6,339 1,866 13,104 Interest on subordinated debentures 1,838 2,264 3,676 4,851 Interest on other long-term debt 1,381 36 2,743 74 Interest on lease obligations 41 47 83 95 Total interest expense 52,685 55,690 104,291 108,848 Net Interest Income 106,241 94,992 201,763 187,296 Provision for credit losses 8,898 7,827 14,634 12,065 Provision for credit losses - acquisition day 1 non-PCD 3,759 — 3,759 — Net Interest Income after Provision for Credit Losses 93,584 87,165 183,370 175,231 Noninterest Income Net securities losses — ( 5,535 ) ( 5,142 ) ( 5,535 ) Gain on sale of VISA — 5,558 5,146 5,558 Trust income 3,029 2,821 6,051 5,548 Service charges on deposit accounts 5,595 5,546 11,033 10,929 Insurance and retail brokerage commissions 3,097 3,154 6,267 5,805 Income from bank owned life insurance 1,938 1,371 3,440 2,665 Gain on sale of mortgage loans 1,836 1,671 3,223 2,999 Gain on sale of other loans and assets 2,217 1,408 3,605 3,459 Card-related interchange income 3,998 7,137 7,652 13,827 Derivatives mark to market — — ( 153 ) 12 Swap fee income 439 — 1,274 — Other income 2,600 2,079 4,855 3,931 Total noninterest income 24,749 25,210 47,251 49,198 Noninterest Expense

Financial Statements and Supplementary Data (Continued)

ITEM 1. Financial Statements and Supplementary Data (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) For the Three Months Ended For the Six Months Ended June 30, June 30, 2025 2024 2025 2024 (dollars in thousands) Net Income $ 33,402 $ 37,088 $ 66,098 $ 74,637 Other comprehensive income (loss), before tax (expense) benefit: Unrealized holding gains (losses) on securities arising during the period 4,469 ( 1,919 ) 21,562 ( 11,794 ) Reclassification adjustment for losses on securities included in net income — 5,535 5,142 5,535 Unrealized holding gains on derivatives arising during the period 1,891 3,575 6,668 4,158 Total other comprehensive income (loss), before tax (expense) benefit 6,360 7,191 33,372 ( 2,101 ) Income tax (expense) benefit related to items of other comprehensive income (loss) ( 1,336 ) ( 1,510 ) ( 7,008 ) 441 Total other comprehensive income (loss) 5,024 5,681 26,364 ( 1,660 ) Comprehensive Income $ 38,426 $ 42,769 $ 92,462 $ 72,977 The accompanying notes are an integral part of these unaudited consolidated financial statements. 5 Table of Contents

Financial Statements and Supplementary Data (Continued)

ITEM 1. Financial Statements and Supplementary Data (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) Shares Outstanding Common Stock Additional Paid-in- Capital Retained Earnings Accumulated Other Comprehensive Income (Loss), net Treasury Stock Total Shareholders' Equity (dollars in thousands, except share and per share data) Balance at December 31, 2024 101,758,450 $ 123,603 $ 631,367 $ 971,082 $ ( 102,514 ) $ ( 218,373 ) $ 1,405,165 Net income 66,098 66,098 Other comprehensive income 26,364 26,364 Cash dividends declared ($ 0.265 per share) ( 27,390 ) ( 27,390 ) Treasury stock acquired ( 142,036 ) ( 2,315 ) ( 2,315 ) Treasury stock reissued 190,547 993 — 1,879 2,872 Restricted stock 122,015 — 806 — 259 1,065 Common stock issued 2,996,611 2,997 42,911 45,908 Balance at June 30, 2025 104,925,587 $ 126,600 $ 676,077 $ 1,009,790 $ ( 76,150 ) $ ( 218,550 ) $ 1,517,767 Shares Outstanding Common Stock Additional Paid-in- Capital Retained Earnings Accumulated Other Comprehensive Income (Loss), net Treasury Stock Total Shareholders' Equity (dollars in thousands, except share and per share data) Balance at December 31, 2023 102,114,664 $ 123,603 $ 630,154 $ 881,112 $ ( 111,756 ) $ ( 208,839 ) $ 1,314,274 Net income 74,637 74,637 Other comprehensive loss ( 1,660 ) ( 1,660 ) Cash dividends declared ($ 0.255 per share) ( 26,063 ) ( 26,063 ) Treasury stock acquired ( 155,940 ) ( 2,072 ) ( 2,072 ) Treasury stock reissued 230,051 313 — 2,216 2,529 Restricted stock 109,072 — 443 — 417 860 Balance at June 30, 2024 102,297,847 $ 123,603 $ 630,910 $ 929,686 $ ( 113,416 ) $ ( 208,278 ) $ 1,362,505 The accompanying notes are an integral part of these unaudited consolidated financial statements. 6 Table of Contents

Financial Statements and Supplementary Data (Continued)

ITEM 1. Financial Statements and Supplementary Data (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) Shares Outstanding Common Stock Additional Paid-in- Capital Retained Earnings Accumulated Other Comprehensive Income (Loss), net Treasury Stock Total Shareholders' Equity (dollars in thousands, except share and per share data) Balance at March 31, 2025 101,927,219 $ 123,603 $ 632,957 $ 990,540 $ ( 81,174 ) $ ( 218,875 ) $ 1,447,051 Net income 33,402 33,402 Other comprehensive income 5,024 5,024 Cash dividends declared ($ 0.135 per share) ( 14,152 ) ( 14,152 ) Treasury stock acquired ( 32,844 ) ( 508 ) ( 508 ) Treasury stock reissued 34,601 191 — 342 533 Restricted stock — — 18 — 491 509 Common stock issued 2,996,611 2,997 42,911 45,908 Balance at June 30, 2025 104,925,587 $ 126,600 $ 676,077 $ 1,009,790 $ ( 76,150 ) $ ( 218,550 ) $ 1,517,767 Shares Outstanding Common Stock Additional Paid-in- Capital Retained Earnings Accumulated Other Comprehensive Income (Loss), net Treasury Stock Total Shareholders' Equity (dollars in thousands, except share and per share data) Balance at March 31, 2024 102,303,974 $ 123,603 $ 630,837 $ 905,897 $ ( 119,097 ) $ ( 208,520 ) $ 1,332,720 Net income 37,088 37,088 Other comprehensive income 5,681 5,681 Cash dividends declared ($ 0.130 per share) ( 13,299 ) ( 13,299 ) Treasury stock acquired ( 25,078 ) ( 315 ) ( 315 ) Treasury stock reissued 14,951 59 — 145 204 Restricted stock 4,000 — 14 — 412 426 Balance at June 30, 2024 102,297,847 $ 123,603 $ 630,910 $ 929,686 $ ( 113,416 ) $ ( 208,278 ) $ 1,362,505 The accompanying notes are an integral part of these unaudited consolidated financial statements. 7 Table of Contents

Financial Statements and Supplementary Data (Continued)

ITEM 1. Financial Statements and Supplementary Data (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) For the Six Months Ended June 30, 2025 2024 Operating Activities (dollars in thousands) Net income $ 66,098 $ 74,637 Adjustment to reconcile net income to net cash provided by operating activities: Provision for credit losses 18,393 12,065 Deferred tax expense 518 3,180 Depreciation and amortization 2,941 2,229 Net gains on securities and other assets ( 6,345 ) ( 6,201 ) Net amortization of premiums and discounts on securities 18 439 Loss on early redemption of subordinated debentures — 369 Income from increase in cash surrender value of bank owned life insurance ( 3,274 ) ( 2,583 ) Increase in interest receivable ( 211 ) ( 64 ) Mortgage loans originated for sale ( 125,825 ) ( 113,778 ) Proceeds from sale of mortgage loans 130,480 89,278 (Decrease) increase in interest payable ( 1,221 ) 10,396 Increase (decrease) in income taxes payable 854 ( 53 ) Other, net 3,865 ( 7,576 ) Net cash provided by operating activities 86,291 62,338 Investing Activities Transactions with securities held to maturity: Proceeds from maturities and redemptions 35,183 20,195 Purchases ( 127,860 ) ( 55,276 ) Transactions with securities available for sale: Proceeds from sales 69,862 69,598 Proceeds from maturities and redemptions 120,778 79,606 Purchases ( 111,514 ) ( 211,341 ) Proceeds from sale of equity securities 5,146 — Purchases of FHLB stock ( 30,615 ) ( 18,707 ) Proceeds from the redemption of FHLB stock 23,099 45,143 Proceeds from bank owned life insurance 2,485 1,617 Proceeds from sale of loans 38,073 43,046 Proceeds from sale of other assets 3,459 2,905 Net cash received from business acquisition 4,672 — Net increase in loans and leases ( 323,303 ) ( 67,251 ) Purchases of premises and equipment and other assets ( 10,399 ) ( 8,395 ) Net cash used in investing activities

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS Note 1 Basis of Presentation The accounting and reporting policies of First Commonwealth Financial Corporation and subsidiaries ("First Commonwealth" or the "Company") conform with generally accepted accounting principles in the United States of America ("GAAP"). The preparation of financial statements in conformity with GAAP requires management to make estimates, assumptions and judgments that affect the amounts reported in the financial statements and accompanying notes. Actual realized amounts could differ from those estimates. In the opinion of management, the unaudited interim consolidated financial statements include all adjustments (consisting of only normal recurring adjustments) necessary for a fair presentation of First Commonwealth's financial position, results of operations, comprehensive income, cash flows and changes in shareholders' equity as of and for the periods presented. Certain information and Note disclosures normally included in Consolidated Financial Statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the SEC. For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold and interest-bearing bank deposits. Generally, federal funds are sold for one-day periods. The results of operations for the six months ended June 30, 2025 are not necessarily indicative of the results that may be expected for the full year of 2025. These interim financial statements should be read in conjunction with First Commonwealth's 2024 Annual Report on Form 10-K. Note 2 Acquisition On April 30, 2025, the Company completed its acquisition of CenterGroup Financial, Inc. ("Center") and its banking subsidiary, CenterBank, for consideration of 3,016,009 shares of the Com

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (Continued) The table below summarizes the net assets acquired (at fair value) and consideration transferred in connection with the Center acquisition (dollars in thousands): Consideration paid Cash paid to shareholders - fractional shares $ 1 Shares issued to shareholders ( 3,016,009 shares) 46,205 Total consideration paid $ 46,206 Fair value of assets acquired Cash and due from banks 4,672 Investment securities 21,396 FHLB stock 3,144 Loans, including loans held for sale 291,296 Premises and equipment 4,276 Core deposit intangible 5,355 Bank owned life insurance 430 Other assets 4,950 Total assets acquired 335,519 Fair value of liabilities assumed Deposits 277,980 Borrowings 22,785 Other liabilities 3,487 Total liabilities assumed 304,252 Total fair value of identifiable net assets $ 31,267 Goodwill $ 14,939 The Company determined that this acquisition constitutes a business combination and therefore was accounted for using the acquisition method of accounting. Accordingly, as of the date of the acquisition, the Company recorded the assets acquired, liabilities assumed and consideration paid at fair value. The $ 14.9 million excess of the consideration paid over the fair value of assets acquired was recorded as goodwill and is not amortizable or deductible for tax purposes. The amount of goodwill arising from the acquisition consists largely of the synergies and economies of scale expected from combining the operations of the Company with Center. The fair value of the 3,016,009 common shares issued was determined based on the $ 15.32 closing market price of the Company's common shares on the acquisition date, April 30, 2025. While the valuation of the acquired assets and liabilities is substantially complete, fair value estimates are subject to adjustment during the

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (Continued) Loans - The estimated fair value of loans was based on a discounted cash flow methodology applied on a pooled basis for non- purchased credit-deteriorated ("non-PCD") loans and on an individual basis for purchased credit-deteriorated ("PCD") loans. The valuation considered underlying characteristics including loan type, term, rate, payment schedule and credit rating. Other factors included assumptions related to prepayments, the probability of default and loss given default. The discount rates applied were based on a build-up approach considering the funding mix, servicing costs, liquidity premium and factors related to performance risk. Acquired loans are classified into two categories: PCD loans and non-PCD loans. PCD loans are defined as a loan or group of loans that have experienced more than insignificant credit deterioration since origination. Non-PCD loans will have an allowance established on acquisition date, which is recognized as an expense through provision for credit losses. For PCD loans, an allowance is recognized on day 1 by adding it to the fair value of the loan, which is the "Day 1 amortized cost". There is no provision for credit loss expense recognized on PCD loans because the initial allowance is established by grossing-up the amortized cost of the PCD loan. A day 1 allowance for credit losses of $ 3.4 million related to non-PCD loans and $0.4 million related to the off-balance sheet commitment liability was recorded through the provision for credit losses within the Consolidated Statements of Income. At the date of acquisition, of the $ 303.7 million of portfolio loans acquired from Center, $ 29.2 million, or 9.6%, of Center's loan portfolio, was accounted for as PCD loans as of May 1, 2025. Premise and equipment - The estimated fair value of land and buildings

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (Continued) The following table provides details related to the fair value of acquired PCD loans as of April 30, 2025. Unpaid Principal Balance PCD Allowance for Credit Loss at Acquisition (Discount) Premium on Acquired Loans Fair Value of PCD Loans at Acquisition (dollars in thousands) Commercial, financial, agricultural and other $ 13,302 $ ( 1,616 ) $ ( 487 ) $ 11,199 Time and demand 13,302 ( 1,616 ) ( 487 ) 11,199 Time and demand other — — — — Real estate construction 2,442 ( 1,104 ) ( 54 ) 1,284 Construction other 557 ( 370 ) ( 17 ) 170 Construction residential 1,885 ( 734 ) ( 37 ) 1,114 Residential real estate 3,845 ( 307 ) ( 138 ) 3,400 Residential first lien 3,372 ( 300 ) ( 137 ) 2,935 Residential junior lien/home equity 473 ( 7 ) ( 1 ) 465 Commercial real estate 9,604 ( 1,087 ) ( 330 ) 8,187 Multifamily 1,210 ( 120 ) ( 78 ) 1,012 Non-owner occupied 5,330 ( 943 ) ( 184 ) 4,203 Loans to individuals 30 ( 2 ) — 28 Automobile and recreational vehicles 14 ( 1 ) — 13 Consumer other 16 ( 1 ) — 15 Total loans and leases $ 29,223 $ ( 4,116 ) $ ( 1,009 ) $ 24,098 12

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (Continued) The following table provides details related to the fair value and Day 1 provision related to the acquired non-PCD loans as of April 30, 2025. Unpaid Principal Balance (Discount) premium on acquired loans Fair Value of Non-PCD Loans at Acquisition Day 1 Provision for Credit Losses - Non-PCD Loans (dollars in thousands) Commercial, financial, agricultural and other $ 50,555 $ ( 2,137 ) $ 48,418 $ 630 Time and demand 50,535 ( 2,137 ) 48,398 630 Time and demand other 20 — 20 — Real estate construction 32,074 ( 941 ) 31,133 691 Construction other 18,829 ( 472 ) 18,357 445 Construction residential 13,245 ( 469 ) 12,776 246 Residential real estate 82,609 ( 3,396 ) 79,213 665 Residential first lien 67,906 ( 3,145 ) 64,761 556 Residential junior lien/home equity 14,703 ( 251 ) 14,452 109 Commercial real estate 108,843 ( 3,550 ) 105,293 1,389 Multifamily 17,405 ( 481 ) 16,924 180 Non-owner occupied 43,927 ( 1,763 ) 42,164 512 Loans to individuals 357 ( 10 ) 347 4 Automobile and recreational vehicles 337 ( 9 ) 328 4 Consumer other 20 ( 1 ) 19 — Total loans and leases $ 274,438 $ ( 10,034 ) $ 264,404 $ 3,379 The following table presents the change in goodwill during the period (dollars in thousands): For the Six Months Ended June 30, 2025 Goodwill at December 31, 2024 $ 363,715 Goodwill from Center acquisition 14,939 Goodwill at June 30, 2025 $ 378,654 Costs related to the acquisition totaled $ 4.1 million. These amounts were expensed as incurred and are recorded as a merger and acquisition related expense in the Consolidated Statements of Income. As a result of the full integration of the operations of Center, it is not practicable to determine revenue or net income included in the Company's operating results relating to C

Financial Statements and Supplementary Data

ITEM 1. Financial Statements and Supplementary Data FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (Continued) Note 3 Supplemental Comprehensive Income Disclosures The following table identifies the related tax effects allocated to each component of other comprehensive income ("OCI") in the unaudited Consolidated Statements of Comprehensive Income. Reclassification adjustments related to securities available for sale are included in the "Net securities gains" line in the unaudited Consolidated Statements of Income. For the Six Months Ended June 30, 2025 2024 Pretax Amount Tax (Expense) Benefit Net of Tax Amount Pretax Amount Tax (Expense) Benefi

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