FB Financial (FBK) 8-K FB Financial Corporation Reports Second Quarter 2022 Results

Second Quarter 2022

Financial Supplement

TABLE OF CONTENTS

	Page
Financial Summary and Key Metrics	4
Consolidated Statements of Income	5
Consolidated Balance Sheets	7
Average Balance, Average Yield Earned and Average Rate Paid	8
Loans and Deposits by Market	11
Segment Data	12
Loan Portfolio and Asset Quality	13
Preliminary Capital Ratios	15
Investment Portfolio	16
Non-GAAP Reconciliation	17

Use of non-GAAP Financial Measures

This Supplemental Financial Information contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures may include, without limitation, adjusted net income, adjusted diluted earnings per common share, adjusted and unadjusted pre-tax pre-provision earnings, core revenue, core noninterest expense and core noninterest income, core efficiency ratio (tax equivalent basis), adjusted Banking segment pre-tax, pre-provision earnings, Banking segment core noninterest income, Mortgage segment core noninterest income, Banking segment core noninterest expense, Mortgage segment core noninterest expense, Banking segment core revenue, Mortgage segment core revenue, Banking segment core efficiency ratio (tax equivalent basis), Mortgage segment core efficiency ratio (tax equivalent basis), adjusted return on average assets and equity, and adjusted pre-tax pre-provision return on average assets and equity. Each of these non-GAAP metrics excludes certain income and expense items that the Company’s management considers to be non-core/adjusted in nature. The Company refers to these non-GAAP measures as adjusted (or core) measures. Also, the Company presents tangible assets, tangible common equity, adjusted tangible common equity, tangible book value per common share, adjusted tangible book value per common share, tangible common equity to tangible assets, return on average tangible common equity, adjusted return on average tangible common equity, and adjusted pre-tax pre-provision return on average tangible common equity. Each of these non-GAAP metrics excludes the impact of goodwill and other intangibles. Adjusted tangible common equity and adjusted tangible book value also exclude the impact of net accumulated other comprehensive (loss) income.

The Company’s management uses these non-GAAP financial measures in their analysis of the Company’s performance, financial condition and the efficiency of its operations as management believes such measures facilitate period-to-period comparisons and provide meaningful indications of its operating performance as they eliminate both gains and charges that management views as non-recurring or not indicative of operating performance. Management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations and enhance comparability of results with prior periods as well as demonstrate the effects of significant non-core gains and charges in the current and prior periods. The Company’s management also believes that investors find these non-GAAP financial measures useful as they assist investors in understanding the Company’s underlying operating performance and in the analysis of ongoing operating trends. In addition, because intangible assets such as goodwill and other intangibles, and the other items excluded each vary extensively from company to company, the Company believes that the presentation of this information allows investors to more easily compare the Company’s results to the results of other companies. However, the non-GAAP financial measures discussed herein should not be considered in isolation or as a substitute for the most directly comparable or other financial measures calculated in accordance with GAAP. Moreover, the manner in which the Company calculates the non-GAAP financial measures discussed herein may differ from that of other companies reporting measures with similar names. Investors should understand how such other banking organizations calculate their financial measures similar or with names similar to the non-GAAP financial measures the Company has discussed herein when comparing such non-GAAP financial measures. See the corresponding non-GAAP reconciliation tables in this Supplemental Financial Information dated July 18, 2022, for additional discussion and reconciliation of these measures to the most directly comparable GAAP financial measures.

Financial Summary and Key Metrics
(Unaudited)
(In Thousands, Except Share Data and %)
	2022						2021
	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Statement of Income Data
Total interest income	$	110,214		$	95,127		$	97,219		$	96,665		$	96,329
Total interest expense	8,043			6,945			7,464			8,189			9,766
Net interest income	102,171			88,182			89,755			88,476			86,563
Total noninterest income	33,214			41,392			53,219			59,006			49,300
Total noninterest expense	96,997			89,272			90,902			95,007			92,960
Earnings before income taxes and provisions for credit losses	38,388			40,302			52,072			52,475			42,903
Provisions for credit losses	12,318			(4,247)			(10,769)			(2,531)			(13,839)
Income tax expense	6,717			9,313			14,006			9,716			13,440
Net income applicable to noncontrolling interest	8			—			8			—			8
Net income applicable to FB Financial Corporation(c)	$	19,345		$	35,236		$	48,827		$	45,290		$	43,294
Net interest income (tax-equivalent basis)	$	102,926		$	88,932		$	90,537		$	89,230		$	87,321
Adjusted net income*	$	30,051		$	35,365		$	42,551		$	42,699		$	42,317
Adjusted pre-tax, pre-provision earnings*	$	52,856		$	40,476		$	43,573		$	51,240		$	41,357
Per Common Share
Diluted net income	$	0.41		$	0.74		$	1.02		$	0.94		$	0.90
Adjusted diluted net income*	0.64			0.74			0.89			0.89			0.88
Book value	28.15			29.06			30.13			29.36			28.96
Tangible book value*	22.67			23.62			24.67			23.90			23.43
Adjusted tangible book value*	25.24			25.12			24.55			23.63			23.04
Weighted average number of shares outstanding - fully diluted	47,211,650			47,723,902			47,896,715			48,007,147			47,993,773
Period-end number of shares	46,881,896			47,487,874			47,549,241			47,707,634			47,360,950
Selected Balance Sheet Data
Cash and cash equivalents	$	872,861		$	1,743,311		$	1,797,740		$	1,324,564		$	1,717,097
Loans held for investment (HFI)	8,624,337			8,004,976			7,604,662			7,294,674			7,198,954
Allowance for credit losses(a)	(126,272)			(120,049)			(125,559)			(139,446)			(144,663)
Mortgage loans held for sale	222,400			318,549			672,924			755,210			697,407
Commercial loans held for sale	37,815			78,179			79,299			100,496			124,122
Investment securities, at fair value	1,621,344			1,686,738			1,681,892			1,577,337			1,409,175
Other real estate owned, net	9,398			9,721			9,777			10,015			11,986
Total assets	12,193,862			12,674,191			12,597,686			11,810,290			11,918,367
Interest-bearing deposits	7,644,035			8,208,580			8,096,683			7,462,349			7,718,974
Noninterest-bearing deposits	2,895,520			2,787,698			2,740,214			2,609,569			2,484,982
Total deposits	10,539,555			10,996,278			10,836,897			10,071,918			10,203,956
Borrowings	159,067			155,733			171,778			172,710			183,962
Total common shareholders' equity	1,319,852			1,379,776			1,432,602			1,400,913			1,371,721
Selected Ratios
Return on average:
Assets	0.62		%	1.13		%	1.60		%	1.51		%	1.46		%
Shareholders' equity	5.74		%	10.1		%	13.7		%	12.9		%	13.0		%
Tangible common equity*	7.09		%	12.4		%	16.8		%	15.9		%	16.1		%
Average shareholders' equity to average assets	10.9		%	11.2		%	11.7		%	11.7		%	11.3		%
Net interest margin (NIM) (tax-equivalent basis)	3.52		%	3.04		%	3.19		%	3.20		%	3.18		%
Efficiency ratio (GAAP)	71.6		%	68.9		%	63.6		%	64.4		%	68.4		%
Core efficiency ratio (tax-equivalent basis)*	61.1		%	68.1		%	67.0		%	64.7		%	68.9		%
Loans HFI to deposit ratio	81.8		%	72.8		%	70.2		%	72.4		%	70.6		%
Total loans to deposit ratio	84.3		%	76.4		%	77.1		%	80.9		%	78.6		%
Noninterest-bearing deposits to total deposits	27.5		%	25.4		%	25.3		%	25.9		%	24.4		%
Yield on interest-earning assets	3.80		%	3.28		%	3.45		%	3.49		%	3.53		%
Cost of interest-bearing liabilities	0.40		%	0.34		%	0.38		%	0.42		%	0.49		%
Cost of total deposits	0.25		%	0.20		%	0.22		%	0.26		%	0.31		%
Credit Quality Ratios
Allowance for credit losses as a percentage of loans HFI(a)	1.46		%	1.50		%	1.65		%	1.91		%	2.01		%
Net charge-offs (recoveries) as a percentage of average loans HFI	0.09		%	(0.03)		%	0.12		%	0.13		%	0.02		%
Nonperforming loans HFI as a percentage of total loans HFI	0.51		%	0.51		%	0.62		%	0.59		%	0.83		%
Nonperforming assets as a percentage of total assets	0.46		%	0.44		%	0.50		%	0.50		%	0.66		%
Preliminary capital ratios (Consolidated)
Total common shareholders' equity to assets	10.8		%	10.9		%	11.4		%	11.9		%	11.5		%
Tangible common equity to tangible assets*	8.90		%	9.03		%	9.51		%	9.87		%	9.52		%
Tier 1 capital (to average assets)	10.2		%	10.2		%	10.5		%	10.4		%	10.1		%
Tier 1 capital (to risk-weighted assets)(b)	11.7		%	12.3		%	12.6		%	12.7		%	12.7		%
Total capital (to risk-weighted assets)(b)	13.6		%	14.2		%	14.5		%	14.6		%	14.9		%
Common equity Tier 1 (to risk-weighted assets) (CET1)(b)	11.5		%	12.0		%	12.3		%	12.4		%	12.4		%

(a) Excludes reserve for credit losses on unfunded commitments of $20,399, $16,262, $14,380, $13,503, and $13,202 recorded in accrued expenses and other liabilities as of June 30, 2022, March 31, 2022, December 31, 2021, September 30, 2021, and June 30, 2021, respectively.

(b) We calculate our risk-weighted assets using the standardized method of the Basel III Framework.

(c) Includes dividends declared and paid by the Company's REIT subsidiary to minority interest preferred shareholders in the second quarter of 2022 and the fourth and second quarters of 2021.

*These measures are considered non-GAAP financial measures. For a reconciliation and discussion of this non-GAAP measure, see "Use of non-GAAP Financial Measures" and the corresponding financial tables in this Supplemental Financial Information.

FB Financial Corporation 4

Consolidated Statements of Income
For the Quarter Ended
(Unaudited)
(In Thousands, Except Share Data and %)
													Q2 2022		Q2 2022
													vs.		vs.
	2022				2021						Q1 2022	Q2 2021
	Second Quarter		First Quarter		Fourth Quarter		Third Quarter		Second Quarter				Percent variance		Percent variance
Interest income:
Interest and fees on loans	$	99,655	$	86,864	$	89,996	$	89,993	$	89,861			14.7	%	10.9	%
Interest on securities
Taxable	6,499		5,420		4,534		3,989		3,844				19.9	%	69.1	%
Tax-exempt	1,842		1,866		1,885		1,883		1,933				(1.29)	%	(4.71)	%
Other	2,218		977		804		800		691				127.0	%	221.0	%
Total interest income	110,214		95,127		97,219		96,665		96,329				15.9	%	14.4	%
Interest expense:
Deposits	6,591		5,462		5,848		6,596		7,919				20.7	%	(16.8)	%
Borrowings	1,452		1,483		1,616		1,593		1,847				(2.09)	%	(21.4)	%
Total interest expense	8,043		6,945		7,464		8,189		9,766				15.8	%	(17.6)	%
Net interest income	102,171		88,182		89,755		88,476		86,563				15.9	%	18.0	%
Provision for credit losses	8,181		(6,129)		(11,646)		(2,832)		(12,885)				(233.5)	%	(163.5)	%
Provision for credit losses on unfunded commitments	4,137		1,882		877		301		(954)				119.8	%	(533.6)	%
Net interest income after provisions for credit    losses	89,853		92,429		100,524		91,007		100,402				(2.79)	%	(10.5)	%
Noninterest income:
Mortgage banking income	22,559		29,531		31,350		45,384		35,499				(23.6)	%	(36.5)	%
Service charges on deposit accounts	2,908		2,914		2,817		2,612		2,266				(0.21)	%	28.3	%
ATM and interchange fees	5,353		5,087		5,310		4,868		5,381				5.23	%	(0.52)	%
Investment services and trust income	2,275		2,132		1,040		2,511		2,999				6.71	%	(24.1)	%
(Loss) gain from securities, net	(109)		(152)		46		51		144				(28.3)	%	(175.7)	%
(Loss) gain on sales or write-downs of other real estate      owned	(26)		(498)		26		2,005		(23)				(94.8)	%	13.0	%
Gain (loss) from other assets	18		64		161		177		(4)				(71.9)	%	(550.0)	%
Other income	236		2,314		12,469		1,398		3,038				(89.8)	%	(92.2)	%
Total noninterest income	33,214		41,392		53,219		59,006		49,300				(19.8)	%	(32.6)	%
Total revenue	135,385		129,574		142,974		147,482		135,863				4.48	%	(0.35)	%
Noninterest expenses:
Salaries, commissions and employee benefits	55,181		59,443		58,562		62,818		62,367				(7.17)	%	(11.5)	%
Occupancy and equipment expense	5,853		5,403		5,549		5,979		5,356				8.33	%	9.28	%
Legal and professional fees	3,116		2,607		2,460		2,177		2,090				19.5	%	49.1	%
Data processing	2,404		2,481		2,531		2,595		2,542				(3.10)	%	(5.43)	%
Amortization of core deposits and other intangibles	1,194		1,244		1,295		1,344		1,394				(4.02)	%	(14.3)	%
Advertising	2,031		4,033		3,909		4,200		3,559				(49.6)	%	(42.9)	%
Mortgage restructuring expense	12,458		—		—		—		—				100.0	%	100.0	%
Other expense	14,760		14,061		16,596		15,894		15,652				4.97	%	(5.70)	%
Total noninterest expense	96,997		89,272		90,902		95,007		92,960				8.65	%	4.34	%
Income before income taxes	26,070		44,549		62,841		55,006		56,742				(41.5)	%	(54.1)	%
Income tax expense	6,717		9,313		14,006		9,716		13,440				(27.9)	%	(50.0)	%
Net income applicable to FB Financial Corporation and noncontrolling interest	19,353		35,236		48,835		45,290		43,302				(45.1)	%	(55.3)	%
Net income applicable to noncontrolling interest	8		—		8		—		8				100.0	%	—	%
Net income applicable to FB Financial Corporation	$	19,345	$	35,236	$	48,827	$	45,290	$	43,294			(45.1)	%	(55.3)	%
Weighted average common shares outstanding:
Basic	47,111,055		47,530,520		47,683,682		47,412,214		47,351,969				(0.88)	%	(0.51)	%
Fully diluted	47,211,650		47,723,902		47,896,715		48,007,147		47,993,773				(1.07)	%	(1.63)	%
Earnings per common share:
Basic	$	0.41	$	0.74	$	1.02	$	0.96	$	0.91			(44.6)	%	(54.9)	%
Fully diluted	0.41		0.74		1.02		0.94		0.90				(44.6)	%	(54.4)	%
Fully diluted - adjusted*	0.64		0.74		0.89		0.89		0.88				(13.5)	%	(27.3)	%

*These measures are considered non-GAAP financial measures. For a reconciliation and discussion of this non-GAAP measure, see "Use of non-GAAP Financial Measures" and the corresponding financial tables in this Supplemental Financial Information.

FB Financial Corporation 5

Consolidated Statements of Income
(Unaudited)
(In Thousands, Except Share Data and %)
					2022
	For the Six Months Ended				vs.
	June 30,				2021
	2022		2021		Percent variance
Interest income:
Interest and fees on loans	$	186,519	$	179,273	4.04	%
Interest on securities
Taxable	11,919		6,663		78.9	%
Tax-exempt	3,708		3,889		(4.65)	%
Other	3,195		1,289		147.9	%
Total interest income	205,341		191,114		7.44	%
Interest expense:
Deposits	12,053		17,745		(32.1)	%
Borrowings	2,935		4,230		(30.6)	%
Total interest expense	14,988		21,975		(31.8)	%
Net interest income	190,353		169,139		12.5	%
Provision for credit losses	2,052		(24,517)		(108.4)	%
Provision for credit losses on unfunded commitments	6,019		(3,176)		(289.5)	%
Net interest income after provisions for credit losses	182,282		196,832		(7.39)	%
Noninterest income:
Mortgage banking income	52,090		90,831		(42.7)	%
Service charges on deposit accounts	5,822		4,605		26.4	%
ATM and interchange fees	10,440		9,722		7.39	%
Investment services and trust income	4,407		5,007		(12.0)	%
(Loss) gain from securities, net	(261)		227		(215.0)	%
(Loss) gain on sales or write-downs of other real estate owned	(524)		473		(210.8)	%
Gain (loss) from other assets	82		(15)		646.7	%
Other income	2,550		5,180		(50.8)	%
Total noninterest income	74,606		116,030		(35.7)	%
Total revenue	264,959		285,169		(7.09)	%
Noninterest expenses:
Salaries, commissions and employee benefits	114,624		126,938		(9.70)	%
Occupancy and equipment expense	11,256		11,205		0.46	%
Legal and professional fees	5,723		4,524		26.5	%
Data processing	4,885		4,861		0.49	%
Amortization of core deposit and other intangibles	2,438		2,834		(14.0)	%
Advertising	6,064		5,812		4.34	%
Mortgage restructuring expense	12,458		—		100.0	%
Other expense	28,821		31,484		(8.46)	%
Total noninterest expense	186,269		187,658		(0.74)	%
Income before income taxes	70,619		125,204		(43.6)	%
Income tax expense	16,030		29,028		(44.8)	%
Net income applicable to noncontrolling interest and FB Financial Corporation	54,589		96,176		(43.2)	%
Net income applicable to noncontrolling interests	8		8		—	%
Net income applicable to FB Financial Corporation	$	54,581	$	96,168	(43.2)	%
Weighted average common shares outstanding:
Basic	47,320,784		47,312,312		—	%
Fully diluted	47,466,291		47,976,533		(1.06)	%
Earnings per common share:
Basic	$	1.15	$	2.03	(43.3)	%
Fully diluted	1.15		2.00		(42.6)	%

*This measure is considered a non-GAAP financial measure. For a reconciliation and discussion of this non-GAAP measure, see "Use of non-GAAP Financial Measures" and the corresponding financial tables in this Supplemental Financial Information.

FB Financial Corporation 6

Consolidated Balance Sheets
(Unaudited)
(In Thousands, Except %)
													Annualized
													Q2 2022		Q2 2022
													vs.		vs.
	2022				2021						Q1 2022	Q2 2021
	Second Quarter		First Quarter		Fourth Quarter		Third Quarter		Second Quarter				Percent variance		Percent variance
ASSETS
Cash and due from banks	$	79,402	$	61,637	$	91,333	$	100,568	$	60,908			115.6	%	30.4	%
Federal funds sold and reverse repurchase agreements	233,588		134,763		128,087		145,333		59,321				294.1	%	293.8	%
Interest-bearing deposits in financial institutions	559,871		1,546,911		1,578,320		1,078,663		1,596,868				(255.9)	%	(64.9)	%
Cash and cash equivalents	872,861		1,743,311		1,797,740		1,324,564		1,717,097				(200.3)	%	(49.2)	%
Investments:
Available-for-sale debt securities, at fair value	1,618,241		1,683,525		1,678,525		1,572,558		1,404,372				(15.6)	%	15.2	%
Equity securities, at fair value	3,103		3,213		3,367		4,779		4,803				(13.7)	%	(35.4)	%
Federal Home Loan Bank stock, at cost	34,581		34,433		32,217		27,601		29,411				1.72	%	17.6	%
Mortgage loans held for sale, at fair value	222,400		318,549		672,924		755,210		697,407				(121.1)	%	(68.1)	%
Commercial loans held for sale, at fair value	37,815		78,179		79,299		100,496		124,122				(207.1)	%	(69.5)	%
Loans held for investment	8,624,337		8,004,976		7,604,662		7,294,674		7,198,954				31.0	%	19.8	%
Less: allowance for credit losses	126,272		120,049		125,559		139,446		144,663				20.8	%	(12.7)	%
Net loans	8,498,065		7,884,927		7,479,103		7,155,228		7,054,291				31.2	%	20.5	%
Premises and equipment, net	142,474		142,550		143,739		144,737		142,596				(0.21)	%	(0.09)	%
Other real estate owned, net	9,398		9,721		9,777		10,015		11,986				(13.3)	%	(21.6)	%
Operating lease right-of-use assets	41,070		41,037		41,686		44,006		45,423				0.32	%	(9.58)	%
Interest receivable	40,393		39,069		38,528		41,393		42,083				13.6	%	(4.02)	%
Mortgage servicing rights, at fair value	158,678		144,675		115,512		110,591		101,615				38.8	%	56.2	%
Goodwill	242,561		242,561		242,561		242,561		242,561				—	%	—	%
Core deposit and other intangibles, net	14,515		15,709		16,953		18,248		19,592				(30.5)	%	(25.9)	%
Bank-owned life insurance	74,605		74,232		73,519		73,122		72,760				2.02	%	2.54	%
Other assets	183,102		218,500		172,236		185,181		208,248				(65.0)	%	(12.1)	%
Total assets	$	12,193,862	$	12,674,191	$	12,597,686	$	11,810,290	$	11,918,367			(15.2)	%	2.31	%
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Deposits
Noninterest-bearing	$	2,895,520	$	2,787,698	$	2,740,214	$	2,609,569	$	2,484,982			15.5	%	16.5	%
Interest-bearing checking	3,338,561		3,639,779		3,418,666		2,850,795		3,015,253				(33.2)	%	10.7	%
Money market and savings	3,127,716		3,513,485		3,546,936		3,424,065		3,421,281				(44.0)	%	(8.58)	%
Customer time deposits	1,171,941		1,046,899		1,103,594		1,159,472		1,241,540				47.9	%	(5.61)	%
Brokered and internet time deposits	5,817		8,417		27,487		28,017		40,900				(123.9)	%	(85.8)	%
Total deposits	10,539,555		10,996,278		10,836,897		10,071,918		10,203,956				(16.7)	%	3.29	%
Borrowings	159,067		155,733		171,778		172,710		183,962				8.59	%	(13.5)	%
Operating lease liabilities	45,917		45,528		46,367		48,875		50,396				3.43	%	(8.89)	%
Accrued expenses and other liabilities	129,378		96,783		109,949		115,781		108,239				135.1	%	19.53	%
Total liabilities	10,873,917		11,294,322		11,164,991		10,409,284		10,546,553				(14.9)	%	3.10	%
Shareholders' equity:
Common stock, $1 par value	46,882		47,488		47,549		47,708		47,361				(5.12)	%	(1.01)	%
Additional paid-in capital	864,614		888,168		892,529		897,428		902,782				(10.6)	%	(4.23)	%
Retained earnings	528,851		515,664		486,666		443,140		403,173				10.3	%	31.2	%
Accumulated other comprehensive (loss) income, net	(120,495)		(71,544)		5,858		12,637		18,405				274.4	%	(754.7)	%
Total common shareholders' equity	1,319,852		1,379,776		1,432,602		1,400,913		1,371,721				(17.4)	%	(3.78)	%
Noncontrolling interest	93		93		93		93		93				—	%	—	%
Total equity	1,319,945		1,379,869		1,432,695		1,401,006		1,371,814				(17.4)	%	(3.78)	%
Total liabilities and shareholders' equity	$	12,193,862	$	12,674,191	$	12,597,686	$	11,810,290	$	11,918,367			(15.2)	%	2.31	%

FB Financial Corporation 7

Average Balance, Average Yield Earned and Average Rate Paid
(Unaudited)
(In Thousands, Except %)
	Three Months Ended						Three Months Ended
	June 30, 2022						March 31, 2022
	Average balances		Interest income/ expense		Average yield/ rate		Average balances		Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans HFI(a)	$	8,323,778	$	96,692	4.66	%	$	7,762,566	$	82,463	4.31	%
Mortgage loans held for sale(b)	215,779		2,350		4.37	%	470,005		3,566		3.08	%
Commercial loans held for sale	56,460		718		5.10	%	78,567		928		4.79	%
Securities:(b)
Taxable	1,474,999		6,499		1.77	%	1,380,897		5,420		1.59	%
Tax-exempt(a)	307,719		2,492		3.25	%	318,849		2,523		3.21	%
Total securities(a)	1,782,718		8,991		2.02	%	1,699,746		7,943		1.90	%
Federal funds sold and reverse repurchase agreements	221,929		421		0.76	%	206,829		192		0.38	%
Interest-bearing deposits with other financial institutions	1,081,474		1,551		0.58	%	1,599,991		638		0.16	%
FHLB stock	34,536		246		2.86	%	32,894		147		1.81	%
Total interest-earning assets(a)	11,716,674		110,969		3.80	%	11,850,598		95,877		3.28	%
Noninterest-earning assets:
Cash and due from banks	91,230						93,419
Allowance for credit losses	(120,297)						(125,980)
Other assets	739,872						823,452
Total noninterest-earning assets	710,805						790,891
Total assets	$	12,427,479					$	12,641,489
Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing checking	$	3,415,135	$	3,285	0.39	%	$	3,559,755	$	2,457	0.28	%
Money market(c)	2,842,026		1,416		0.20	%	3,017,746		1,572		0.21	%
Savings deposits	508,511		68		0.05	%	487,945		64		0.05	%
Customer time deposits(c)	1,129,668		1,798		0.64	%	1,077,386		1,320		0.50	%
Brokered and internet time deposits(c)	6,387		24		1.51	%	16,065		49		1.24	%
Time deposits	1,136,055		1,822		0.64	%	1,093,451		1,369		0.51	%
Total interest-bearing deposits	7,901,727		6,591		0.33	%	8,158,897		5,462		0.27	%
Other interest-bearing liabilities:
Securities sold under agreements to repurchase and federal funds purchased	27,233		12		0.18	%	30,056		14		0.19	%
Subordinated debt	129,691		1,434		4.43	%	129,578		1,460		4.57	%
Other borrowings	1,480		6		1.63	%	1,502		9		2.43	%
Total other interest-bearing liabilities	158,404		1,452		3.68	%	161,136		1,483		3.73	%
Total interest-bearing liabilities	8,060,131		8,043		0.40	%	8,320,033		6,945		0.34	%
Noninterest-bearing liabilities:
Demand deposits	2,879,662						2,767,087
Other liabilities	134,892						138,291
Total noninterest-bearing liabilities	3,014,554						2,905,378
Total liabilities	11,074,685						11,225,411
Total common shareholders' equity	1,352,701						1,415,985
Noncontrolling interest	93						93
Total equity	1,352,794						1,416,078
Total liabilities and shareholders' equity	$	12,427,479					$	12,641,489
Net interest income(a)			$	102,926					$	88,932
Interest rate spread(a)					3.40	%					2.94	%
Net interest margin(a)					3.52	%					3.04	%
Cost of total deposits					0.25	%					0.20	%
Average interest-earning assets to average interest-bearing liabilities					145.4	%					142.4	%
Tax-equivalent adjustment			$	755					$	750
Loans HFI yield components:
Contractual interest rate(a)			$	88,005	4.24	%			$	79,789	4.12	%
Origination and other loan fee income			6,927		0.33	%			4,982		0.26	%
Accretion (amortization) on purchased loans			64		—	%			(2,352)		(0.12)	%
Nonaccrual interest			546		0.03	%			1,044		0.05	%
Syndication fee income			1,150		0.06	%			—		—	%
Total loans HFI yield			$	96,692	4.66	%			$	82,463	4.31	%

(a) Includes tax equivalent adjustment using combined marginal tax rate of 26.06%.

(b) Excludes the average balance for unrealized gains (losses) for mortgage loans held for sale and investments carried at fair value.

(c) Includes $932 and $932 of interest rate premium accretion on money market deposits, $207 and $248 of interest rate premium accretion on customer time deposits and $11 and $42 of interest rate premium accretion on brokered and internet deposits for the three months ended June 30, 2022 and March 31, 2022, respectively.

FB Financial Corporation 8

Average Balance, Average Yield Earned and Average Rate Paid (continued)
(Unaudited)
(In Thousands, Except %)
	Three Months Ended						Three Months Ended						Three Months Ended
	December 31, 2021						September 30, 2021						June 30, 2021
	Average balances		Interest income/ expense		Average yield/ rate		Average balances		Interest income/ expense		Average yield/ rate		Average balances		Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans HFI(a)(d)	$	7,452,342	$	84,315	4.49	%	$	7,245,313	$	84,115	4.61	%	$	7,085,300	$	83,364	4.72	%
Mortgage loans held for sale(b)	700,044		4,765		2.70	%	709,654		4,687		2.62	%	726,782		4,948		2.73	%
Commercial loans held for sale	87,568		1,033		4.68	%	108,863		1,282		4.67	%	152,699		1,626		4.27	%
Securities:(b)
Taxable	1,270,749		4,534		1.42	%	1,117,647		3,989		1.42	%	976,170		3,844		1.58	%
Tax-exempt(a)	318,579		2,550		3.18	%	311,151		2,546		3.25	%	323,902		2,614		3.24	%
Total securities(a)	1,589,328		7,084		1.77	%	1,428,798		6,535		1.81	%	1,300,072		6,458		1.99	%
Federal funds sold	129,379		183		0.56	%	145,315		135		0.37	%	106,257		41		0.15	%
Interest-bearing deposits with other financial institutions	1,280,183		479		0.15	%	1,404,772		508		0.14	%	1,614,106		494		0.12	%
FHLB stock	28,525		142		1.98	%	28,422		157		2.19	%	31,731		156		1.97	%
Total interest-earning assets(a)	11,267,369		98,001		3.45	%	11,071,137		97,419		3.49	%	11,016,947		97,087		3.53	%
Noninterest-earning assets:
Cash and due from banks	102,398						107,263						134,501
Allowance for credit losses	(139,684)						(144,652)						(157,990)
Other assets	855,734						881,314						906,992
Total noninterest-earning assets	818,448						843,925						883,503
Total assets	$	12,085,817					$	11,915,062					$	11,900,450
Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing checking	$	2,983,741	$	2,169	0.29	%	$	2,937,273	$	2,298	0.31	%	$	3,027,435	$	2,689	0.36	%
Money market(e)	3,017,574		2,053		0.27	%	2,997,595		2,322		0.31	%	2,960,264		2,816		0.38	%
Savings deposits	463,002		63		0.05	%	439,470		60		0.05	%	411,711		57		0.06	%
Customer time deposits(e)	1,123,955		1,492		0.53	%	1,200,760		1,840		0.61	%	1,291,125		2,016		0.63	%
Brokered and internet time deposits(e)	27,812		71		1.01	%	32,009		76		0.94	%	39,860		341		3.43	%
Time deposits	1,151,767		1,563		0.54	%	1,232,769		1,916		0.62	%	1,330,985		2,357		0.71	%
Total interest-bearing deposits	7,616,084		5,848		0.30	%	7,607,107		6,596		0.34	%	7,730,395		7,919		0.41	%
Other interest-bearing liabilities:
Securities sold under agreements to repurchase and federal funds purchased	41,338		21		0.20	%	40,437		20		0.20	%	32,543		21		0.26	%
Subordinated debt(f)	129,493		1,591		4.87	%	129,395		1,565		4.80	%	149,155		1,819		4.89	%
Other borrowings	1,525		4		1.04	%	1,547		8		2.05	%	1,569		7		1.79	%
Total other interest-bearing liabilities	172,356		1,616		3.72	%	171,379		1,593		3.69	%	183,267		1,847		4.04	%
Total interest-bearing liabilities	7,788,440		7,464		0.38	%	7,778,486		8,189		0.42	%	7,913,662		9,766		0.49	%
Noninterest-bearing liabilities:
Demand deposits	2,747,394						2,596,650						2,484,176
Other liabilities	137,903						150,632						162,581
Total noninterest-bearing liabilities	2,885,297						2,747,282						2,646,757
Total liabilities	10,673,737						10,525,768						10,560,419
Total common shareholders' equity	1,411,987						1,389,201						1,339,938
Noncontrolling interest	93						93						93
Total equity	1,412,080						1,389,294						1,340,031
Total liabilities and shareholders' equity	$	12,085,817					$	11,915,062					$	11,900,450
Net interest income(a)			$	90,537					$	89,230					$	87,321
Interest rate spread(a)					3.07	%					3.07	%					3.04	%
Net interest margin(a)					3.19	%					3.20	%					3.18	%
Cost of total deposits					0.22	%					0.26	%					0.31	%
Average interest-earning assets to average interest-bearing liabilities					144.7	%					142.3	%					139.2	%
Tax-equivalent adjustment			$	782					$	754					$	758
Loans HFI yield components:
Contractual interest rate(a)(c)			$	78,324	4.17	%			$	77,150	4.23	%			$	76,127	4.31	%
Origination and other loan fee income(c)			6,084		0.33	%			6,377		0.35	%			6,928		0.39	%
(Amortization) accretion on purchased loans			(726)		(0.04)	%			157		0.01	%			(226)		(0.01)	%
Nonaccrual interest			633		0.03	%			431		0.02	%			535		0.03	%
Total loans HFI yield			$	84,315	4.49	%			$	84,115	4.61	%			$	83,364	4.72	%

(a) Includes tax equivalent adjustment using combined marginal tax rate of 26.06%.

(b) Excludes the average balance for unrealized gains (losses) for mortgage loans held for sale and investments carried at fair value.

(c) Includes $16, $82, and $290 of loan contractual interest and $137, $441, and $1,098, of loan fees related to PPP loans for the three months ended December 31, 2021 September 30, 2021, and June 30, 2021, respectively.

(d) Includes $6,829, $33,002, and $117,397 of average PPP loan balances for the three months ended December 31, 2021 September 30, 2021, and June 30, 2021, respectively.

(e) Includes $932, $931, and $932 of interest rate premium accretion on money market deposits, $316, $426, and $625 of interest rate premium accretion on customer time deposits, and $83, $99, and $127 of interest rate premium accretion on brokered and internet deposits for the three months ended December 31, 2021 September 30, 2021, and June 30, 2021 respectively.

(f) Includes $0, $0, and $114 of interest rate premium accretion on subordinated debt for the three months ended December 31, 2021 September 30, 2021, and June 30, 2021 respectively.

FB Financial Corporation 9

Average Balance, Average Yield Earned and Average Rate Paid (continued)
(Unaudited)
(In Thousands, Except %)
	Six Months Ended						Six Months Ended
	June 30, 2022						June 30, 2021
	Average balances		Interest income/ expense		Average yield/ rate		Average balances		Interest income/ expense		Average yield/ rate
Interest-earning assets:
Loans HFI(a)(d)	$	8,044,722	$	179,155	4.49	%	$	7,043,092	$	166,431	4.77	%
Mortgage loans held for sale(b)	342,190		5,916		3.49	%	687,635		9,238		2.71	%
Commercial loans held for sale	67,452		1,646		4.92	%	175,135		3,783		4.36	%
Securities:(b)
Taxable	1,428,342		11,919		1.68	%	903,830		6,663		1.49	%
Tax-exempt(a)	313,254		5,015		3.23	%	329,074		5,260		3.22	%
Total securities(a)	1,741,596		16,934		1.96	%	1,232,904		11,923		1.95	%
Federal funds sold and reverse repurchase agreements	214,421		613		0.58	%	119,959		61		0.10	%
Interest-bearing deposits with other financial institutions	1,342,639		2,189		0.33	%	1,521,162		915		0.12	%
FHLB stock	33,719		393		2.35	%	31,597		313		2.00	%
Total interest-earning assets(a)	11,786,739		206,846		3.54	%	10,811,484		192,664		3.59	%
Noninterest-earning assets:
Cash and due from banks	92,318						153,523
Allowance for loan losses	(123,072)						(164,648)
Other assets	777,475						900,592
Total noninterest-earning assets	746,721						889,467
Total assets	$	12,533,460					$	11,700,951
Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing checking	$	3,487,046	$	5,742	0.33	%	$	2,887,671	$	5,707	0.40	%
Money market(e)	2,929,401		2,988		0.21	%	2,939,177		6,431		0.44	%
Savings deposits	498,285		132		0.05	%	390,772		110		0.06	%
Customer time deposits(e)	1,103,672		3,118		0.57	%	1,332,868		5,052		0.76	%
Brokered and internet time deposits(e)	11,200		73		1.31	%	40,060		445		2.24	%
Time deposits	1,114,872		3,191		0.58	%	1,372,928		5,497		0.81	%
Total interest-bearing deposits	8,029,604		12,053		0.30	%	7,590,548		17,745		0.47	%
Other interest-bearing liabilities:
Securities sold under agreements to repurchase and federal funds purchased	28,637		26		0.18	%	31,946		57		0.36	%
Subordinated debt(f)	129,642		2,894		4.50	%	168,965		4,160		4.96	%
Other borrowings	1,491		15		2.03	%	3,734		13		0.70	%
Total other interest-bearing liabilities	159,770		2,935		3.70	%	204,645		4,230		4.17	%
Total interest-bearing liabilities	8,189,374		14,988		0.37	%	7,795,193		21,975		0.57	%
Noninterest-bearing liabilities:
Demand deposits	2,823,685						2,416,869
Other liabilities	136,039						166,849
Total noninterest-bearing liabilities	2,959,724						2,583,718
Total liabilities	11,149,098						10,378,911
Total common shareholders' equity	1,384,269						1,321,947
Noncontrolling interest	93						93
Total equity	1,384,362						1,322,040
Total liabilities and shareholders' equity	$	12,533,460					$	11,700,951
Net interest income(a)			$	191,858					$	170,689
Interest rate spread(a)					3.17	%					3.02	%
Net interest margin(a)					3.28	%					3.18	%
Cost of total deposits					0.22	%					0.36	%
Average interest-earning assets to average interest-bearing liabilities					143.9	%					138.7	%
Tax equivalent adjustment			$	1,505					$	1,550
Loans HFI yield components:
Contractual interest rate(a)(c)			$	166,794	4.18	%			$	151,955	4.35	%
Origination and other loan fee income(c)			11,909		0.30	%			13,568		0.39	%
Amortization on purchased loans			(2,288)		(0.06)	%			(284)		(0.01)	%
Nonaccrual interest			1,590		0.04	%			1,192		0.04	%
Syndication fee income			1,150		0.03	%			—		—	%
Total loans HFI yield			$	179,155	4.49	%			$	166,431	4.77	%

(a) Includes tax equivalent adjustment using combined marginal tax rate of 26.06%.

(b) Excludes the average balance for unrealized gains (losses) for mortgage loans held for sale and investments carried at fair value.

(c) Includes $11 and $716 of loan contractual interest and $0 and $2,696 of loan fees related to PPP loans for the six months ended June 30, 2022 and 2021 .

(d) Includes $2,192 and $144,615 of average PPP loan balances during the six months ended June 30, 2022 and 2021.

(e) Includes $1,864 and $1,864 of interest rate premium accretion on money market deposits, $455 and $1,435 of interest rate mark accretion on customer time deposits and $53 and $280 of interest rate mark accretion on brokered and internet deposits for the six months ended June 30, 2022 and 2021, respectively.

(f) Includes $0 and $369 interest rate premium accretion on subordinated debt for the six months ended June 30, 2022 and 2021, respectively.

FB Financial Corporation 10

Loans and Deposits by Market
(Unaudited)
(In Thousands)
	2022				2021
	Second Quarter		First Quarter		Fourth Quarter		Third Quarter		Second Quarter
Loans by market
Metropolitan	$	7,005,014	$	6,470,116	$	6,127,930	$	5,863,563	$	5,752,482
Community	682,134		704,254		738,249		745,796		767,001
Specialty lending and other	937,189		830,606		738,483		685,315		679,471
Total	$	8,624,337	$	8,004,976	$	7,604,662	$	7,294,674	$	7,198,954
Deposits by market
Metropolitan	$	6,670,308	$	7,007,149	$	6,981,639	$	5,918,924	$	6,133,823
Community	2,624,380		2,580,610		2,436,548		2,269,511		2,246,922
Mortgage and other(a)	1,244,867		1,408,519		1,418,710		1,883,483		1,823,211
Total	$	10,539,555	$	10,996,278	$	10,836,897	$	10,071,918	$	10,203,956

(a) Includes deposits related to escrow balances from mortgage servicing portfolio and wholesale/other deposits.

FB Financial Corporation 11

Segment Data
For the Quarters Ended
(Unaudited)
(In Thousands, Except %)
	2022						2021
	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Banking segment
Net interest income	$	102,171		$	88,184		$	89,616		$	88,576		$	86,553
Provisions for credit losses	12,318			(4,247)			(10,769)			(2,531)			(13,839)
Noninterest income	10,699			11,983			21,850			13,823			14,002
Other noninterest expense	59,320			59,584			60,104			58,777			58,194
Pre-tax income after allocations	$	41,232		$	44,830		$	62,131		$	46,153		$	56,200
Total assets	$	11,469,762		$	11,890,847		$	11,540,560		$	10,712,281		$	10,908,107
Intracompany funding income included in net interest income	4,850			5,666			6,325			6,075			6,110
Core efficiency ratio*	51.3		%	58.7		%	57.5		%	57.9		%	58.6		%
Mortgage segment
Net interest income	$	—		$	(2)		$	139		$	(100)		$	10
Mortgage banking income	22,559			29,531			31,350			45,384			35,499
Other noninterest income	(44)			(122)			19			(201)			(201)
Mortgage restructuring expense	12,458			—			—			—			—
Other noninterest expense	25,219			29,688			30,798			36,230			34,766
Direct (loss) contribution	$	(15,162)		$	(281)		$	710		$	8,853		$	542
Total assets	$	724,100		$	783,344		$	1,057,126		$	1,098,009		$	1,010,260
Intracompany funding expense included in net interest income	4,850			5,666			6,325			6,075			6,110
Core efficiency ratio*	111.8		%	100.5		%	97.8		%	80.0		%	97.9		%
Interest rate lock commitments volume during the period
Direct-to-consumer
Purchase	$	74,704		$	248,723		$	182,037		$	153,664		$	170,249
Refinance	21,052			$	319,369		$	614,863		$	931,516		$	743,914
Total direct-to-consumer	$	95,756		$	568,092		$	796,900		$	1,085,180		$	914,163
Retail:
Purchase	$	513,309		$	497,937		$	450,878		$	528,700		$	572,327
Refinance	91,805			243,078			236,804			398,023			288,043
Total retail	$	605,114		$	741,015		$	687,682		$	926,723		$	860,370
Total interest rate lock commitments volume	$	700,870		$	1,309,107		$	1,484,582		$	2,011,903		$	1,774,533
Interest rate lock commitments pipeline (period end)
Direct-to-consumer	$	11,249		$	210,167		$	272,401		$	396,965		$	446,691
Retail	281,467			331,393			214,995			341,237			340,568
Total	$	292,716		$	541,560		$	487,396		$	738,202		$	787,259
Mortgage sales
Direct-to-consumer	$	325,608		$	650,740		$	765,535		$	809,888		$	922,910
Retail	544,080			633,742			647,066			726,009			758,599
Total	$	869,688		$	1,284,482		$	1,412,601		$	1,535,897		$	1,681,509
Gains and fees from origination and sale of mortgage loans held for sale	$	21,099		$	29,397		$	37,538		$	39,210		$	49,435
Net change in fair value of loans held for sale, derivatives, and other	(5,354)			(7,548)			(12,478)			1,002			(17,579)
Mortgage servicing income	7,966			7,429			7,632			7,539			6,788
Change in fair value of mortgage servicing rights, net of hedging	(1,152)			253			(1,342)			(2,367)			(3,145)
Total mortgage banking income	$	22,559		$	29,531		$	31,350		$	45,384		$	35,499
Mortgage sale margin(a)	2.43		%	2.29		%	2.66		%	2.55		%	2.94		%

*These measures are considered non-GAAP financial measures. For a reconciliation and discussion of this non-GAAP measure, see "Use of non-GAAP Financial Measures" and the corresponding financial tables in this Supplemental Financial Information.

(a) Calculated by dividing gains and fees from origination and sale of mortgage loans held for sale by total mortgage sales.

FB Financial Corporation 12

Loan Portfolio and Asset Quality
As of or for the Quarter Ended
(Unaudited)
(In Thousands, Except %)
	2022									2021
	Second Quarter			% of Total		First Quarter			% of Total	Fourth Quarter			% of Total	Third Quarter			% of Total	Second Quarter			% of Total
Loan portfolio
Commercial and Industrial (a)	$	1,479,424		17	%	$	1,380,600		17%	$	1,290,565		17%	$	1,252,425		17%	$	1,238,940		17	%
Construction	1,575,331			18	%	1,468,811			19%	1,327,659			17%	1,190,623			16%	1,145,165			16	%
Residential real estate:
1-to-4 family mortgage	1,457,452			17	%	1,346,349			17%	1,270,467			17%	1,175,155			16%	1,126,623			16	%
Residential line of credit	425,485			5	%	392,740			5%	383,039			5%	392,440			5%	401,343			6	%
Multi-family mortgage	391,970			5	%	400,501			5%	326,551			4%	324,662			5%	363,600			5	%
Commercial real estate:
Owner occupied	1,053,872			12	%	978,436			12%	951,582			13%	938,241			13%	923,605			13	%
Non-owner occupied	1,885,122			22	%	1,706,546			21%	1,730,165			23%	1,695,573			23%	1,675,214			23	%
Consumer and other	355,681			4	%	330,993			4%	324,634			4%	325,555			5%	324,464			4	%
Total loans HFI	$	8,624,337		100	%	$	8,004,976		100%	$	7,604,662		100%	$	7,294,674		100%	$	7,198,954		100	%
Allowance for credit losses roll forward summary
Allowance for credit losses at the beginning of the period	$	120,049				$	125,559			$	139,446			$	144,663			$	157,954
Charge-offs	(2,388)					(579)				(3,225)				(2,614)				(859)
Recoveries	430					1,198				984				229				453
Provision for credit losses	8,181					(6,129)				(11,646)				(2,832)				(12,885)
Allowance for credit losses at the end of the period	$	126,272				$	120,049			$	125,559			$	139,446			$	144,663
Allowance for credit losses as a percentage of total loans HFI	1.46		%			1.50		%		1.65		%		1.91		%		2.01		%
Allowance for credit losses on unfunded commitments	$	20,399				$	16,262			$	14,380			$	13,503			$	13,202
Charge-offs
Commercial and Industrial	$	(1,751)				$	(4)			$	(1,224)			$	(2,175)			$	(360)
Construction	—					—				—				(1)				—
Residential real estate:
1-to-4 family mortgage	(23)					—				(5)				—				(16)
Residential line of credit	—					—				—				—				(3)
Multi-family mortgage	—					—				(1)				—				—
Commercial real estate:
Non-owner occupied	—					—				(1,566)				—				—
Consumer and other	(614)					(575)				(429)				(438)				(480)
Total charge-offs	(2,388)					(579)				(3,225)				(2,614)				(859)
Recoveries
Commercial and Industrial	26					958				626				19				87
Construction	11					—				—				3				—
Residential real estate:
1-to-4 family mortgage	14					12				27				33				41
Residential line of credit	16					1				99				1				9
Commercial real estate:
Owner occupied	15					10				13				4				126
Consumer and other	348					217				219				169				190
Total recoveries	430					1,198				984				229				453
Net(charge-offs) recoveries	$	(1,958)				$	619			$	(2,241)			$	(2,385)			$	(406)
Net charge-offs (recoveries) as a percentage of average total loans	0.09		%			(0.03)		%		0.12		%		0.13		%		0.02		%

FB Financial Corporation 13

Loan Portfolio and Asset Quality (continued)
As of or for the Quarter Ended
(Unaudited)
(In Thousands, Except %)
	2022						2021
	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Nonperforming assets(b)
Past due 90 days or more and accruing interest	$	14,585		$	12,873		$	11,735		$	8,901		$	9,098
Nonaccrual	29,535			27,826			35,568			34,126			50,429
Total nonperforming loans held for investment	44,120			40,699			47,303			43,027			59,527
Commercial loans held for sale	1,459			5,087			5,217			5,625			5,844
Other real estate owned:
Foreclosed	6,418			6,692			6,429			6,514			6,488
Excess land and facilities	2,980			3,029			3,348			3,501			5,498
Other assets	527			453			686			347			816
Total nonperforming assets	$	55,504		$	55,960		$	62,983		$	59,014		$	78,173
Total nonperforming loans as a percentage of loans held for investment	0.51		%	0.51		%	0.62		%	0.59		%	0.83		%
Total nonperforming assets as a percentage of total assets	0.46		%	0.44		%	0.50		%	0.50		%	0.66		%
Total accruing loans over 90 days delinquent as a percentage of total assets	0.12		%	0.10		%	0.09		%	0.08		%	0.08		%
Loans restructured as troubled debt restructurings	$	17,054		$	20,601		$	32,435		$	29,645		$	42,678
Troubled debt restructurings as a percentage of loans held for investment	0.20		%	0.26		%	0.43		%	0.41		%	0.59		%

(a) Includes PPP loan balances of $1,289, $2,062, $3,990, $9,415, and $57,406 as of June 30, 2022, March 31, 2022, December 31, 2021, September 30, 2021, and June 30, 2021,respectively.

(b) Nonperforming assets include guaranteed repurchased loans previously sold of $4,003, $5,741, $4,000, $3,000, and $3,500 as of June 30, 2022, March 31, 2022, December 31, 2021, September 30, 2021, and June 30, 2021, respectively.

FB Financial Corporation 14

Preliminary Capital Ratios
(Unaudited)
(In Thousands, Except %)
Computation of Tangible Common Equity to Tangible Assets:	June 30, 2022			December 31, 2021
Total Common Shareholders' Equity	$	1,319,852		$	1,432,602
Less:
Goodwill	242,561			242,561
Other intangibles	14,515			16,953
Tangible Common Equity	$	1,062,776		$	1,173,088
Total Assets	$	12,193,862		$	12,597,686
Less:
Goodwill	242,561			242,561
Other intangibles	14,515			16,953
Tangible Assets	$	11,936,786		$	12,338,172
Preliminary Total Risk-Weighted Assets	$	10,701,808		$	9,904,606
Total Common Equity to Total Assets	10.8		%	11.4		%
Tangible Common Equity to Tangible Assets*	8.90		%	9.51		%
	June 30, 2022			December 31, 2021
Preliminary Regulatory Capital(a):
Common Equity Tier 1 Capital	$	1,227,361		$	1,221,874
Tier 1 Capital	1,257,361			1,251,874
Total Capital	1,458,777			1,434,581
Preliminary Regulatory Capital Ratios:
Common Equity Tier 1	11.5		%	12.3		%
Tier 1 Risk-Based	11.7		%	12.6		%
Total Risk-Based	13.6		%	14.5		%
Tier 1 Leverage	10.2		%	10.5		%

(a) Reflects CECL transition relief of $30,676 and $40,901 add-back for the period ending June 30, 2022 and December 31, 2021, respectively, and $35,078 and $46,771 disallowed from add-back to Tier 2 capital for the period ended June 30, 2022 and December 31, 2021, respectively.

*These measures are considered non-GAAP financial measures. For a reconciliation and discussion of this non-GAAP measure, see "Use of non-GAAP Financial Measures" and the corresponding financial tables in this Supplemental Financial Information.

FB Financial Corporation 15

Investment Portfolio
(Unaudited)
(In Thousands, Except %)
	2022										2021
Securities (at fair value)	Second Quarter					First Quarter					Fourth Quarter					Third Quarter				Second Quarter
Available-for-sale debt securities
U.S. government agency securities	$	42,059		3	%	$	38,882		2	%	$	33,870		2	%	$	10,571		1%	$	8,255		1	%
Mortgage-backed securities - residential	1,164,932			72	%	1,232,256			73	%	1,269,372			76	%	1,210,503			77%	1,035,003			73	%
Mortgage-backed securities - commercial	20,668			1	%	14,307			1	%	15,250			1	%	15,712			1%	15,161			1	%
Municipals, tax exempt	273,164			17	%	310,138			18	%	338,610			20	%	327,239			21%	332,883			24	%
Treasury securities	109,793			7	%	80,173			5	%	14,908			1	%	6,006			—%	10,534			1	%
Corporate securities	7,625			—	%	7,769			1	%	6,515			—	%	2,527			—%	2,536			—	%
Total available-for-sale debt securities	1,618,241			100	%	1,683,525			100	%	1,678,525			100	%	1,572,558			100%	1,404,372			100	%
Equity securities	3,103			—	%	3,213			—%		3,367			—%		4,779			—%	4,803			—	%
Total securities	$1,621,344			100%		$1,686,738			100%		$1,681,892			100%		$1,577,337			100%	$1,409,175			100%
Securities to total assets	13.3		%			13.3		%			13.4		%			13.4		%		11.8		%
Unrealized (loss) gain on available-for-sale debt securities	$	(167,510)				$	(100,933)				$	4,727				$	14,374			$	22,321

FB Financial Corporation 16

Non-GAAP Reconciliation
For the Periods Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2022				2021
Adjusted net income	Second Quarter		First Quarter		Fourth Quarter		Third Quarter		Second Quarter
Income before income taxes	$	26,070	$	44,549	$	62,841	$	55,006	$	56,742
Plus mortgage restructuring and offering expenses	12,458		—		—		—		605
Less other non-operating items(1)	(2,010)		(174)		8,499		1,235		2,151
Adjusted pre-tax net income	40,538		44,723		54,342		53,771		55,196
Adjusted income tax expense(2)	10,487		9,358		11,791		11,072		12,879
Adjusted net income	$	30,051	$	35,365	$	42,551	$	42,699	$	42,317
Weighted average common shares outstanding - fully diluted	47,211,650		47,723,902		47,896,715		48,007,147		47,993,773
Adjusted diluted earnings per common share
Diluted earnings per common share	$	0.41	$	0.74	$	1.02	$	0.94	$	0.90
Plus mortgage restructuring and offering expenses	0.27		—		—		—		0.01
Less other non-operating items	(0.04)		—		0.18		0.02		0.04
Less tax effect	0.08		—		(0.05)		0.03		(0.01)
Adjusted diluted earnings per common share	$	0.64	$	0.74	$	0.89	$	0.89	$	0.88
(1) 2Q22 includes a $2,010 loss from change in fair value of commercial loans held for sale acquired from Franklin; 1Q22 includes a $174 loss from change in fair value of commercial loans held for sale acquired from Franklin; 4Q21 includes $9,921 gain from change in fair value of commercial loans held for sale acquired from Franklin and $1,422 related to certain nonrecurring charitable contributions; 3Q21 includes a $740 gain from change in fair value of commercial loans held for sale acquired from Franklin, a $1,510 loss on swap, and a gain of $2,005 from sales other real estate owned; 2Q21 includes a $1,364 gain from change in fair value of commercial loans held for sale acquired from Franklin and a $787 gain from lease terminations.
(2) 3Q21 includes a $1,678 tax benefit related to a change in the value of a net operating loss tax asset related to Franklin.
	2022				2021
Adjusted pre-tax pre-provision earnings	Second Quarter		First Quarter		Fourth Quarter		Third Quarter		Second Quarter
Income before income taxes	$	26,070	$	44,549	$	62,841	$	55,006	$	56,742
Plus provisions for credit losses	12,318		(4,247)		(10,769)		(2,531)		(13,839)
Pre-tax pre-provision earnings	38,388		40,302		52,072		52,475		42,903
Plus mortgage restructuring and offering expenses	12,458		—		—		—		605
Less other non-operating items	(2,010)		(174)		8,499		1,235		2,151
Adjusted pre-tax pre-provision earnings	$	52,856	$	40,476	$	43,573	$	51,240	$	41,357

FB Financial Corporation 17

Non-GAAP Reconciliation (continued)
For the Periods Ended
(Unaudited)
(In Thousands, Except Share Data and %)
Adjusted net income	YTD 2022		2021		2020		2019		2018
Income before income taxes	$	70,619	$	243,051	$	82,461	$	109,539	$	105,854
Plus mortgage restructuring, offering, and merger and conversion expenses	12,458		605		34,879		7,380		2,265
Plus initial provision for credit losses on acquired loans and unfunded commitments	—		—		66,136		—		—
Less other non-operating items(1)	(2,184)		11,032		(4,400)		—		—
Adjusted pre-tax net income	85,261		232,624		187,876		116,919		108,119
Adjusted income tax expense(2)	19,846		51,553		45,944		27,648		26,034
Adjusted net income	$	65,415	$	181,071	$	141,932	$	89,271	$	82,085
Weighted average common shares outstanding - fully diluted	47,466,291		47,955,880		38,099,744		31,402,897		31,314,981
Adjusted diluted earnings per common share
Diluted earnings per common share	$	1.15	$	3.97	$	1.67	$	2.65	$	2.55
Plus mortgage restructuring, offering, and merger and conversion expenses	0.26		0.01		0.92		0.24		0.07
Plus initial provision for credit losses on acquired loans and unfunded commitments	—		—		1.74		—		—
Less other non-operating items	(0.05)		0.22		(0.11)		—		—
Less tax effect	0.08		(0.02)		0.71		0.06		0.01
Adjusted diluted earnings per common share	$	1.38	$	3.78	$	3.73	$	2.83	$	2.61
(1) YTD2022 includes a $2,184 loss from change in fair value of commercial loans held for sale acquired from Franklin; 2021 includes a $11,172 gain from change in fair value on commercial loans held for sale acquired from Franklin, a loss on swap cancellation of $1,510, a $2,005 gain on other real estate owned, a $787 gain from lease terminations and $1,422 related to certain nonrecurring charitable contributions; 2020 includes $6,838 FHLB prepayment penalties, $1,505 losses on other real estate owned offset by $715 cash life insurance benefit and $3,228 gain from change in fair value on commercial loans held for sale acquired from Franklin.
(2) 2021 includes a $1,678 tax benefit related to a change in the value of a net operating loss tax asset related to Franklin.
Adjusted pre-tax pre-provision earnings	YTD 2022		2021		2020		2019		2018
Income before income taxes	$	70,619	$	243,051	$	82,461	$	109,539	$	105,854
Plus provisions for credit losses	8,071		(40,993)		107,967		7,053		5,398
Pre-tax pre-provision earnings	78,690		202,058		190,428		116,592		111,252
Plus mortgage restructuring, offering, and merger and conversion expenses	12,458		605		34,879		7,380		2,265
Less other non-operating items	(2,184)		11,032		(4,400)		—		—
Adjusted pre-tax pre-provision earnings	$	93,332	$	191,631	$	229,707	$	123,972	$	113,517

FB Financial Corporation 18

Non-GAAP Reconciliation (continued)
As of or for the Period Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2022						2021
Core efficiency ratio (tax-equivalent basis)	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Total noninterest expense	$	96,997		$	89,272		$	90,902		$	95,007		$	92,960
Less mortgage restructuring expenses	12,458			—			—			—			—
Less offering expenses	—			—			—			—			605
Less gain on lease terminations	—			—			—			—			(787)
Less certain charitable contributions	—			—			1,422			—			—
Core noninterest expense	$	84,539		$	89,272		$	89,480		$	95,007		$	93,142
Net interest income (tax-equivalent basis)	$	102,926		$	88,932		$	90,537		$	89,230		$	87,321
Total noninterest income	33,214			41,392			53,219			59,006			49,300
Less (loss) gain on change in fair value on commercial loans held for sale	(2,010)			(174)			9,921			740			1,364
Less loss on swap cancellation	—			—			—			(1,510)			—
Less (loss) gain on sales or write-downs of other real estate owned and other assets	(8)			(434)			187			2,182			(27)
Less (loss) gain from securities, net	(109)			(152)			46			51			144
Core noninterest income	35,341			42,152			43,065			57,543			47,819
Core revenue	$	138,267		$	131,084		$	133,602		$	146,773		$	135,140
Efficiency ratio (GAAP)(a)	71.6		%	68.9		%	63.6		%	64.4		%	68.4		%
Core efficiency ratio (tax-equivalent basis)	61.1		%	68.1		%	67.0		%	64.7		%	68.9		%
(a) Efficiency ratio (GAAP) is calculated by dividing reported noninterest expense by reported total revenue.
	2022						2021
Banking segment core efficiency ratio    (tax equivalent)	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Core noninterest expense	$	84,539		$	89,272		$	89,480		$	95,007		$	93,142
Less Mortgage segment core noninterest expense	25,219			29,688			30,798			36,230			34,766
Banking segment core noninterest expense	$	59,320		$	59,584		$	58,682		$	58,777		$	58,376
Banking segment net interest income (tax-equivalent      basis)	$	102,926		$	88,934		$	90,398		$	89,330		$	87,311
Core noninterest income	35,341			42,152			43,065			57,543			47,819
Less Mortgage segment core noninterest income	22,559			29,531			31,350			45,384			35,499
Banking segment core noninterest income	12,782			12,621			11,715			12,159			12,320
Core revenue	138,267			131,084			133,602			146,773			135,140
Less Mortgage segment core total revenue	22,559			29,529			31,489			45,284			35,509
Banking segment core total revenue	$	115,708		$	101,555		$	102,113		$	101,489		$	99,631
Banking segment core efficiency ratio (tax-equivalent basis)	51.3		%	58.7		%	57.5		%	57.9		%	58.6		%
Mortgage segment core efficiency ratio (tax-equivalent)
Mortgage segment noninterest expense	$	37,677		$	29,688		$	30,798		$	36,230		$	34,766
Less mortgage restructuring expense	12,458			—			—			—			—
Mortgage segment core noninterest expense	$	25,219		$	29,688		$	30,798		$	36,230		$	34,766
Mortgage segment net interest income	—			(2)			139			(100)			10
Mortgage segment noninterest income	22,515			29,409			31,369			45,183			35,298
Less (loss) gain on sales or write-downs of other     real estate owned	(44)			(122)			19			(201)			(201)
Mortgage segment core noninterest income	22,559			29,531			31,350			45,384			35,499
Mortgage segment core total revenue	$	22,559		$	29,529		$	31,489		$	45,284		$	35,509
Mortgage segment core efficiency ratio (tax-equivalent basis)	111.8		%	100.5		%	97.8		%	80.0		%	97.9		%

FB Financial Corporation 19

Non-GAAP Reconciliation (continued)
For the Periods Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2022						2021
Adjusted Banking segment pre-tax pre-provision     earnings	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Banking segment pre-tax net contribution	$	41,232		$	44,830		$	62,131		$	46,153		$	56,200
Plus provisions for credit losses	12,318			(4,247)			(10,769)			(2,531)			(13,839)
Banking segment pre-tax pre-provision earnings	53,550			40,583			51,362			43,622			42,361
Plus offering expenses	—			—			—			—			605
Less other non-operating items	(2,010)			(174)			8,499			1,235			2,151
Adjusted Banking segment pre-tax pre-provision    earnings	$	55,560		$	40,757		$	42,863		$	42,387		$	40,815
	2022						2021
Adjusted Mortgage (loss) contribution	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Mortgage pre-tax net (loss) contribution	$	(15,162)		$	(281)		$	710		$	8,853		$	542
Plus mortgage restructuring expense	12,458			—			—			—			—
Adjusted Mortgage pre-tax net (loss) contribution	$	(2,704)		$	(281)		$	710		$	8,853		$	542
Pre-tax pre-provision earnings	$	38,388		$	40,302		$	52,072		$	52,475		$	42,903
Mortgage pre-tax pre-provision net contribution to total pre-tax pre-provision earnings	N/A			N/A			1.36		%	16.9		%	1.26		%
Adjusted pre-tax pre-provision earnings	$	52,856		$	40,476		$	43,573		$	51,240		$	41,357
Adjusted Mortgage pre-tax pre-provision net contribution to total adjusted pre-tax pre-provision earnings	N/A			N/A			1.63		%	17.3		%	1.31		%
	2022						2021
Tangible assets and equity	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Tangible assets
Total assets	$	12,193,862		$	12,674,191		$	12,597,686		$	11,810,290		$	11,918,367
Less goodwill	242,561			242,561			242,561			242,561			242,561
Less intangibles, net	14,515			15,709			16,953			18,248			19,592
Tangible assets	$	11,936,786		$	12,415,921		$	12,338,172		$	11,549,481		$	11,656,214
Tangible common equity
Total common shareholders' equity	$	1,319,852		$	1,379,776		$	1,432,602		$	1,400,913		$	1,371,721
Less goodwill	242,561			242,561			242,561			242,561			242,561
Less intangibles, net	14,515			15,709			16,953			18,248			19,592
Tangible common equity	$	1,062,776		$	1,121,506		$	1,173,088		$	1,140,104		$	1,109,568
Less accumulated other comprehensive (loss)     income, net	(120,495)			(71,544)			5,858			12,637			18,405
Adjusted tangible common equity	$	1,183,271		$	1,193,050		$	1,167,230		$	1,127,467		$	1,091,163
Common shares outstanding	46,881,896			47,487,874			47,549,241			47,707,634			47,360,950
Book value per common share	$	28.15		$	29.06		$	30.13		$	29.36		$	28.96
Tangible book value per common share	$	22.67		$	23.62		$	24.67		$	23.90		$	23.43
Adjusted tangible book value per common share	$	25.24		$	25.12		$	24.55		$	23.63		$	23.04
Total common shareholders' equity to total assets	10.8		%	10.9		%	11.4		%	11.9		%	11.5		%
Tangible common equity to tangible assets	8.90		%	9.03		%	9.51		%	9.87		%	9.52		%

FB Financial Corporation 20

Non-GAAP Reconciliation (continued)
For the Periods Ended
(Unaudited)
(In Thousands, Except Share Data and %)
	2022						2021
Return on average tangible common equity	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Average common shareholders' equity	$	1,352,701		$	1,415,985		$	1,411,987		$	1,389,201		$	1,339,938
Less average goodwill	242,561			242,561			242,561			242,561			242,561
Less average intangibles, net	15,144			16,376			17,580			18,950			20,253
Average tangible common equity	$	1,094,996		$	1,157,048		$	1,151,846		$	1,127,690		$	1,077,124
Net income	$	19,345		$	35,236		$	48,827		$	45,290		$	43,294
Return on average common equity	5.74		%	10.1		%	13.7		%	12.9		%	13.0		%
Return on average tangible common equity	7.09		%	12.4		%	16.8		%	15.9		%	16.1		%
Adjusted net income	$	30,051		$	35,365		$	42,551		$	42,699		$	42,317
Adjusted return on average tangible common equity	11.0		%	12.4		%	14.7		%	15.0		%	15.8		%
Adjusted pre-tax pre-provision earnings	$	52,856		$	40,476		$	43,573		$	51,240		$	41,357
Adjusted pre-tax pre-provision return on average    tangible common equity	19.4		%	14.2		%	15.0		%	18.0		%	15.4		%
Return on average tangible common equity	YTD 2022			2021			2020			2019			2018
Average common shareholders' equity	$	1,384,269		$	1,361,637		$	966,336		$	723,494		$	629,922
Less average goodwill	242,561			242,561			199,104			160,587			137,190
Less average intangibles, net	15,757			19,606			22,659			17,236			12,815
Average tangible common equity	$	1,125,951		$	1,099,470		$	744,573		$	545,671		$	479,917
Net income	$	54,581		$	190,285		$	63,621		$	83,814		$	80,236
Return on average common equity	7.95		%	14.0		%	6.58		%	11.6		%	12.7		%
Return on average tangible common equity	9.78		%	17.3		%	8.54		%	15.4		%	16.7		%
Adjusted net income	$	65,415		$	181,071		$	141,932		$	89,271		$	82,085
Adjusted return on average tangible common equity	11.7		%	16.5		%	19.1		%	16.4		%	17.1		%
Adjusted pre-tax pre-provision earnings	$	93,332		$	191,631		$	229,707		$	123,972		$	113,517
Adjusted pre-tax pre-provision return on average tangible common equity	16.7		%	17.4		%	30.9		%	22.7		%	23.7		%
	2022						2021
Adjusted return on average assets and equity	Second Quarter			First Quarter			Fourth Quarter			Third Quarter			Second Quarter
Net income	$	19,345		$	35,236		$	48,827		$	45,290		$	43,294
Average assets	12,427,479			12,641,489			12,085,817			11,915,062			11,900,450
Average common equity	1,352,701			1,415,985			1,411,987			1,389,201			1,339,938
Return on average assets	0.62		%	1.13		%	1.60		%	1.51		%	1.46		%
Return on average common equity	5.74		%	10.1		%	13.7		%	12.9		%	13.0		%
Adjusted net income	$	30,051		$	35,365		$	42,551		$	42,699		$	42,317
Adjusted return on average assets	0.97		%	1.13		%	1.40		%	1.42		%	1.43		%
Adjusted return on average common equity	8.91		%	10.1		%	12.0		%	12.2		%	12.7		%
Adjusted pre-tax pre-provision earnings	$	52,856		$	40,476		$	43,573		$	51,240		$	41,357
Adjusted pre-tax pre-provision return on      average assets	1.71		%	1.30		%	1.43		%	1.71		%	1.39		%
Adjusted pre-tax pre-provision return on      average common equity	15.7		%	11.6		%	12.2		%	14.6		%	12.4		%

FB Financial Corporation 21

Non-GAAP Reconciliation (continued)
For the Periods Ended
(Unaudited)
(In Thousands, Except Share Data and %)
Adjusted return on average assets and equity	YTD 2022			2021			2020			2019			2018
Net income	$	54,581		$	190,285		$	63,621		$	83,814		$	80,236
Average assets	12,533,460			11,848,460			8,438,100			5,777,672			4,844,865
Average common equity	1,384,269			1,361,637			966,336			723,494			629,922
Return on average assets	0.88		%	1.61		%	0.75		%	1.45		%	1.66		%
Return on average common equity	7.95		%	14.0		%	6.58		%	11.6		%	12.7		%
Adjusted net income	$	65,415		$	181,071		$	141,932		$	89,271		$	82,085
Adjusted return on average assets	1.05		%	1.53		%	1.68		%	1.55		%	1.69		%
Adjusted return on average common equity	9.53		%	13.3		%	14.7		%	12.3		%	13.0		%
Adjusted pre-tax pre-provision earnings	$	93,332		$	191,631		$	229,707		$	123,972		$	113,517
Adjusted pre-tax pre-provision return on average assets	1.50		%	1.62		%	2.72		%	2.15		%	2.34		%
Adjusted pre-tax pre-provision return on average common equity	13.6		%	14.1		%	23.8		%	17.1		%	18.0		%

FB Financial Corporation 22