CUBI

Customers Bancorp’s second quarter saw resilient year-on-year revenue growth, though results came in below Wall Street’s expectations. Management credited the quarter’s performance to a combination of robust deposit gathering, loan growth across diversified commercial verticals, and the operational impact of the company’s ongoing investment in artificial intelligence (AI) initiatives. CEO Samvir S. Sidhu highlighted that the bank’s proprietary AI-powered workflow automation drove efficiency gains and enabled faster commercial loan processing, positioning the company for sustained productivity improvements. Is now the time to buy CUBI? Find out in our full research report (it’s free). Revenue: $227.3 million vs analyst estimates of $230.2 million (9.9% year-on-year growth, 1.3% miss) Adjusted EPS: $2.05 vs analyst estimates of $1.99 (3% beat) Market Capitalization: $2.66 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Steve Moss (Raymond James) asked about the timing for the real estate payments vertical reaching 20% of payment units. CEO Samvir S. Sidhu clarified this is a 2027 goal, with ongoing operational progress. Kelly Motta (KBW) inquired about the impact of lower average cash balances on net interest income and deposit costs. Sidhu explained that digital asset trading softness affected payments float, but growth in real estate payments offset this, and CFO Mark R. McCollom described confidence in net interest income momentum for the second half. Mike (JPMorgan, for Anthony Elian) sought details on the expected deposit growth from the real estate vertical’s pipeline. Sidhu stated the target is to reach $1.5 billion in real estate-related deposits by year-end, up from a current base of about $1 billion. Janet Lee (TD Securities) questioned the impact of new loan yields and regulatory developments like the Clarity Act. Sidhu described consistent new loan yields over SOFR and noted that regulatory clarity would benefit both existing and potential new payments verticals. Manuel Navas (Piper Sandler) asked about the deployment of digital asset funds and the timeline for shifting conservatism in cash deployment. Sidhu indicated that while balances have remained stable, the bank expects a transition toward growth in payments-related deposits over the next quarter or two. In upcoming quarters, the StockStory team will monitor (1) the pace of AI-driven operational improvements and whether the efficiency ratio trends toward management’s ambitious target, (2) the continued scaling and monetization of the cubiX payments platform, especially in real estate and cross-border payments, and (3) the ability of new commercial teams to sustain granular, low-cost deposit growth. Updates on regulatory developments affecting digital asset activities and their integration into the payments business will also be critical. Customers Bancorp currently trades at $78.65, up from $76.09 just before the earnings. In the wake of this quarter, is it a buy or sell? The answer lies in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.

Customers Bancorp, Inc. has now reported its Q2 2026 results, with net interest income rising to US$193.37 million and net income to US$71.56 million, alongside unaudited quarterly net charge-offs of US$14.58 million and completion of a US$49.08 million share buyback covering 2.09% of shares. The bank’s higher earnings per share, continued loan and deposit growth, and active capital return via buybacks signal management’s focus on scaling its franchise while tightening efficiency and optimizing its balance sheet mix. Next, we’ll examine how this earnings beat, underpinned by record loans and deposits, may influence Customers Bancorp’s existing investment narrative. Invest in the nuclear renaissance through our list of 90 elite nuclear energy infrastructure plays powering the global AI revolution. To own Customers Bancorp, you need to be comfortable with a regional bank leaning into digital platforms like cubiX while growing loans and deposits and keeping credit costs contained. The latest quarter supports that story with higher net interest income, record balances, and an earnings beat, but the uptick in net charge-offs and still-elevated exposure to digital asset related deposits keep credit quality and funding stability as key near term swing factors. The completion of the US$49.08 million share repurchase program, retiring 2.09% of shares, ties directly into the current catalyst: improving per share earnings power while the bank scales its franchise. Taken together with Q2’s higher earnings per share and record deposits, this capital return adds to the existing thesis that management is focused on efficiency and balance sheet mix, even as credit costs and digital asset concentration remain under close watch. Yet behind the strong headlines, rising net charge-offs and concentrated digital asset deposits are signals investors should be aware of as they think about... Read the full narrative on Customers Bancorp (it's free!) Customers Bancorp's narrative projects $958.3 million revenue and $389.4 million earnings by 2029. This requires 5.9% yearly revenue growth and a roughly $120 million earnings increase from $269.3 million today. Uncover how Customers Bancorp's forecasts yield a $90.18 fair value, a 18% upside to its current price. Some of the lowest ranked analysts were already assuming only about US$959 million of revenue and US$395 million of earnings by 2029, so compared with the recent earnings beat and loan growth, their more cautious view on fintech competition and credit risk shows how differently you and other investors might read the same numbers, and why these Q2 results could still shift those expectations. Explore 4 other fair value estimates on Customers Bancorp - why the stock might be worth just $90.18! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your Customers Bancorp research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision. Our free Customers Bancorp research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Customers Bancorp's overall financial health at a glance. Opportunities like this don't last. These are today's most promising picks. Check them out now: The future of work is here. Discover the 34 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. Find 49 companies with promising cash flow potential yet trading below their fair value. We've uncovered the 9 dividend fortresses yielding 5%+ that don't just survive market storms, but thrive in them. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CUBI. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by a differentiated organic growth flywheel, resulting in record loans of 18 billion and record deposits of 21.7 billion. Management is operationalizing AI to become an 'AI-native' regional bank, utilizing agentic pods to automate complex workflows in underwriting, onboarding, and compliance. The underwriting engine pilot reduced commercial loan readiness-to-close time by 85%, moving from industry norms of 30-60 days to just 7 days. Strategic recruitment remains a primary growth engine, with teams hired since 2023 now representing 18% of the total deposit base. The cubiX payments platform surpassed 5 trillion in cumulative activity, shifting from a digital asset foundation into high-growth real estate and mortgage finance verticals. Non-interest bearing deposits reached a record 6.9 billion, or 32% of total deposits, driven by the high-conversion success of new commercial teams. Operational Excellence initiatives (OE 2) achieved a 30 million annual run rate benefit, allowing for aggressive reinvestment in technology without inflating the expense ratio. Management set an ambitious 2027 efficiency ratio target in the low-forties, down from approximately 50% today, powered by AI-driven productivity and revenue gains. Net interest margin is expected to have hit a floor in Q2 2026, with a projected rebound toward Q1 levels in Q3 and continued expansion thereafter. The cubiX platform is projected to return to a growth trajectory in 2027 as new verticals like real estate payments scale and diversify the deposit base. The real estate payments vertical is targeted to represent 20% of all payment units by 2027, up from its current status as a scaling startup vertical. Loan growth is expected to trend toward the higher end of the reaffirmed guidance range for the full year 2026 based on strong end-of-quarter momentum. Digital asset trading activity saw a seasonal decline in May and June, leading to lower payments float, though this was offset by growth in real estate deposits. The bank maintains a conservative stance on deploying digital asset-related cash, though it plans to deploy more granular real estate-related deposits into the loan book. Management highlighted the potential for the Clarity Act or similar regulatory guidance to provide a net benefit to the bank's market structure and customer base. Expense management strategy focuses on decoupling the expense base from revenue growth through proprietary software rather than simple third-party plug-ins. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. New commercial teams are bringing in 25% to 35% non-interest bearing deposits, while payment-related teams are bringing in exclusively non-interest bearing funds. Management expects margin tailwinds even if the Fed holds rates steady, due to the aggressive remixing of higher-cost funding into low-cost organic deposits. Confidence in the NII ramp is based on the June 30 exit point, where a surge in loan growth and robust deposit pipelines created significant momentum for Q3. The 2025 recruitment vintage has hit its stride, contributing to the expected margin recovery in the back half of the year. Management clarified that AI efforts are focused on proprietary software builds that take quarters to fully realize, rather than immediate software plug-ins. The goal is to achieve a transformational shift in the efficiency ratio by 2027 by significantly increasing the revenue-per-employee through automation.

This article first appeared on GuruFocus. Total Loans: Grew 4% in the quarter and 17% year over year to $18 billion. Total Deposits: Increased by over $140 million to a record $21.7 billion. Non-Interest-Bearing Deposits: Reached a record $6.9 billion, 32% of total deposits. Net Interest Income (NII): Increased 9% year over year to over $193 million. Earnings Per Share (EPS): $2.05, up 4% from last quarter and 18% year over year. Return on Equity (ROE): 13.2%. Return on Assets (ROA): 1.13%. Tangible Book Value Per Share: $65.20, up 16% year over year. Net Interest Margin (NIM): 3.17% for the second quarter. Non-Interest Expense: $114.9 million, including $1 million of severance. Efficiency Ratio: Improved by approximately 200 basis points year over year. Capital Ratios: CET1 ratio at 12.8%, TCE to TA ratio at 8.3%. Nonperforming Assets: Below regional bank peer median. Reserve Coverage: 293%. Warning! GuruFocus has detected 3 Warning Sign with CUBI. Is CUBI fairly valued? Test your thesis with our free DCF calculator. Release Date: July 24, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Total loans grew 4% in the quarter and 17% year over year, reaching a record $18 billion. Total deposits increased by over $140 million, setting a new record at $21.7 billion. Non-interest-bearing deposits hit a second consecutive record at $6.9 billion, representing 32% of total deposits. Net interest income (NII) increased by 9% year over year. Tangible book value per share reached a record $65, up 16% year over year. The net interest margin (NIM) for the second quarter was at its lowest point for 2026 at 3.17%. Average cash balances were down, impacting net interest income. The digital asset trading activity was lower in the second quarter, affecting payments float. There was a $600 million remix of less strategic deposits, indicating potential challenges in deposit quality. The company is still in the early stages of realizing expense savings from AI initiatives, with full benefits expected by 2027. Q: Can you elaborate on the timeline for achieving the 20% goal in the real estate payments vertical? A: Sam Sidhu, President and CEO, stated that the 20% goal for the real estate payments vertical is targeted for 2027. This is considered a medium-term goal based on operational forecasts. Q: What is the current marginal cost of deposits, and how might this affect funding costs if the Fed maintains current levels? A: Sam Sidhu explained that the marginal cost of deposits is aligned with Fed funds, with a significant portion being non-interest-bearing. This has led to a decrease in interest-bearing deposit costs, and the company expects continued tailwinds in margin and NII growth. Q: How does the loan pipeline look, and which verticals are showing strength? A: Mark McCollom, CFO, indicated that the loan pipelines are strong, with no changes to guidance. The company is optimistic about continued strong loan growth in the second half of the year, with different verticals leading growth each quarter. Q: Can you provide details on the impact of AI efforts on expenses and productivity? A: Sam Sidhu noted that AI efforts have led to significant productivity improvements, saving 46,000 hours equivalent to 24 FTEs. The focus is on decoupling expense growth from revenue growth, with ambitious efficiency goals set for 2027. Q: What is the outlook for net interest income (NII) in the second half of the year? A: Mark McCollom confirmed that the second quarter was the low point for NII, with expectations for stronger NII and margin in the second half. This confidence is based on robust deposit pipelines and loan growth momentum. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Customers Bancorp, Inc? Here are five stocks we like better. Customers Bancorp reported Q2 2026 EPS of $2.05, up 4% from last quarter and 18% from a year ago, driven by stronger loan growth, deposit gathering, and net interest income. Management reaffirmed full-year guidance and expects net interest income to improve in the second half of 2026. Balance sheet growth remained strong, with total loans reaching a record $18 billion and total deposits rising to a record $21.7 billion. Non-interest-bearing deposits also hit a second consecutive record at $6.9 billion, or 32% of deposits. The company highlighted progress in cubiX payments and AI-driven efficiency efforts, including more than $5 trillion in cumulative transaction activity and over 46,000 hours saved through automation. Management also said it is targeting a low-40% efficiency ratio by 2027, down from roughly 50% currently. Customers Bancorp (NYSE:CUBI) reported second-quarter 2026 earnings per share of $2.05, up about 4% from the prior quarter and 18% from a year earlier, as loan growth, deposit gathering and net interest income increased. CEO Sam Sidhu and Chief Financial Officer Mark McCollum said the company reaffirmed its key full-year guidance and expects stronger net interest income in the second half of 2026. Total loans reached a record $18 billion, rising $624 million, or 4%, during the quarter and 17% year over year. Total deposits increased by more than $140 million sequentially to a record $21.7 billion, while non-interest-bearing deposits reached a second consecutive record of $6.9 billion, representing 32% of deposits. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? “The second quarter was further evidence of our core strategy firing on all cylinders,” Sidhu said, citing continued balance-sheet growth, credit quality and capital levels. Net interest income totaled more than $193 million, increasing $16 million, or 9%, from a year earlier. McCollum said the increase reflected higher average loan balances and a lower cost of funds. On an annualized linked-quarter basis, net interest income rose about 4%. → GE Vernova Just Sent a Mixed AI Signal to Investors The company’s net interest margin was 3.17% in the second quarter, which McCollum described as the expected low point for 2026. Customers Bancorp expects third-quarter margin to move closer to its first-quarter level and to build from there, while net interest income is expected to be stronger in the year’s second half. Management pointed to deposit pipelines, continued remixing of higher-cost funding, the contribution from recently hired commercial teams and loan growth that accelerated late in the second quarter. During the quarter, the bank remixed more than $600 million of less-strategic deposits, improving pricing by 150 basis points, according to McCollum. → D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? In response to an analyst question, McCollum said the company’s loan-growth outlook appears more likely to land toward the higher end of its guidance range. He said new-loan pricing varied by business vertical, generally ranging from 200 to 225 basis points over SOFR to 300 basis points over SOFR. Non-interest-bearing deposits increased by about $175 million during the quarter. Excluding the digital-assets, or DA, channel, such balances rose approximately $375 million, up 14% sequentially and 37% year over year. The company has added more than $840 million of non-interest-bearing deposits outside the DA channel over the past 12 months. Sidhu said teams recruited since 2023 account for 18% of the company’s deposit base. Teams hired during the past 12 months held more than $500 million in deposits across 1,600 accounts, with 63% of those deposits non-interest bearing. The company said about 30 team members had joined or were in advanced discussions to join during 2026, with four teams expected to join in the third quarter. Management said the bank’s 2025 recruiting cohort became profitable in approximately three quarters and operated with roughly 1.7 times deposits to loans. The company also cited a roughly $250 million non-interest-bearing deposit pipeline for new teams over the following 90 days. Customers Bancorp’s cubiX payments platform surpassed $5 trillion in cumulative transaction activity during the quarter. The bank said it processed more than 200,000 cubiX internal transfers year to date, double the level in the comparable period last year. The real estate payments vertical is becoming a larger contributor, with transaction volume rising roughly sevenfold sequentially and spot deposit balances exceeding $400 million after only a few quarters. The bank added about 350 deposit accounts in the vertical. Sidhu said the company projects that real estate could represent 20% of payment units by 2027. Management said mortgage-finance customers migrated to cubiX and newly added real estate customers represented about $1 billion in aggregate balances, with an internal target of reaching approximately $1.5 billion by year-end. While DA trading activity was lower in May and June, management said total cubiX balances were roughly flat in the quarter because of growth in real estate payments. Customers Bancorp said it expects cubiX to become a growth area in 2027 as newer verticals scale. Sidhu said Customers Bancorp is pursuing a goal of becoming an “AI-native regional bank.” The company is working with OpenAI engineers on custom capabilities and has piloted a multi-agent credit-underwriting process that it said helped close certain commercial-and-industrial and commercial-real-estate loans within a week. The bank said its AI-enabled workflow automation has saved at least 46,000 hours, equivalent to 24 full-time employees, and that employees have built more than 600 agents and custom GPTs. All team members are now AI licensed, according to Sidhu. Management is targeting a low-40% run-rate efficiency ratio in 2027, compared with roughly 50% currently, through revenue growth and productivity improvements. Non-interest expense was $114.9 million in the second quarter, including about $1 million of severance. The company’s operational excellence program has achieved its $30 million annual run-rate target, including about $4 million from revenue initiatives and $26 million from expense initiatives. Tangible book value per share rose 3% sequentially and 16% year over year to $65.20. The CET1 ratio stood at 12.8%, while the tangible common equity-to-tangible assets ratio was 8.3%. Management said credit quality remained stable, with commercial charge-offs at 18 basis points and reserve coverage at 293%. Customers Bancorp, Inc (NYSE: CUBI) is a bank holding company headquartered in Phoenixville, Pennsylvania, and the parent of Customers Bank, a federally chartered institution. The company offers a full suite of commercial and consumer banking services, combining traditional deposit and lending products with modern digital banking platforms. As a publicly traded entity, Customers Bancorp focuses on delivering tailored financial solutions to mid‐market companies, small businesses, professionals and individuals across the United States. Through its commercial banking division, the company provides term loans, lines of credit, real estate financing, asset‐based lending and treasury management services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Customers Bancorp Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Customers Bancorp (CUBI) came out with quarterly earnings of $2.05 per share, beating the Zacks Consensus Estimate of $2 per share. This compares to earnings of $1.8 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +2.50%. A quarter ago, it was expected that this bank holding company would post earnings of $1.88 per share when it actually produced earnings of $1.97, delivering a surprise of +4.79%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Customers Bancorp, which belongs to the Zacks Banks - Southeast industry, posted revenues of $227.41 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 1.03%. This compares to year-ago revenues of $206.31 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Customers Bancorp shares have added about 4.6% since the beginning of the year versus the S&P 500's gain of 9.6%. While Customers Bancorp has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Customers Bancorp was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.13 on $236.23 million in revenues for the coming quarter and $8.35 on $936.22 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Southeast is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. National Bankshares (NKSH), another stock in the same industry, has yet to report results for the quarter ended June 2026. This holding company for the National Bank of Blacksburg is expected to post quarterly earnings of $0.80 per share in its upcoming report, which represents a year-over-year change of +31.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. National Bankshares' revenues are expected to be $15.65 million, up 17.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Customers Bancorp, Inc (CUBI) : Free Stock Analysis Report National Bankshares, Inc. (NKSH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

WEST READING, Pa., July 23, 2026--(BUSINESS WIRE)--Customers Bancorp, Inc. (NYSE:CUBI): Second Quarter 2026 Highlights Q2 2026 net income available to common shareholders was $71.6 million, or $2.05 per diluted share; ROAA was 1.13% and ROCE was 13.22%. Q2 2026 core earnings*1 were $71.5 million, or $2.05 per diluted share; Core ROAA* was 1.13% and Core ROCE* was 13.20%. Total deposits increased $140.3 million, or 0.6% in Q2 2026 from Q1 2026, and $2.8 billion, or 14.5% from Q2 2025 to a period end record level of $21.7 billion. Total loans increased $623.8 million, or 3.6%, in Q2 2026 from Q1 2026, and $2.6 billion, or 16.9% from Q2 2025 to a period end record level of $18.0 billion. Non-interest bearing deposits increased $174.1 million in Q2 2026 compared to Q1 2026 to a period end record level of $6.9 billion, or 31.8% of total deposits. Q2 2026 efficiency ratio was 50.55% compared to Q2 2025 efficiency ratio of 51.23%, a decline of 68 basis points and Q2 2026 core efficiency ratio* was 50.55% compared to Q2 2025 core efficiency ratio* of 51.56%, a decline of 101 basis points. CEO Commentary "I am pleased to share our second quarter 2026 results that show the company’s continued execution of its strategic priorities and underscore our success in growing franchise value," said Customers Bancorp CEO Sam Sidhu. "Artificial intelligence ("AI") and automation continued to drive measurable transformative progress across the organization in the second quarter, with tangible results across productivity, revenue, and risk management. On the productivity front, we completed a pilot of our new AI-powered loan closing process, which included successfully closing selected commercial loans in seven days, down from 30 to 60 days typically, achieving this milestone one to two quarters ahead of schedule. We also saw positive revenue impact, with select verticals delivering over 100% improvement in prospecting success rates as AI enhanced our ability to identify and pursue the highest-quality opportunities. Finally, on risk management, we piloted AI-powered KYC screening and OFAC false-positive clearing, strengthening the consistency and defensibility of our compliance processes while freeing up capacity for higher-value work. Together, these results reflect the tangible, organization-wide progress we are making as we continue to scale AI across the bank. Our cubiX payments platform also continued to scale, with cumulative network transaction volume surpassing $5 trillion in the quarter. We saw particularly strong momentum in our real estate vertical, which added $300 million in deposit balances in the quarter and has a nine figure pipeline per quarter through year end. We continued to strategically and organically grow our loan and deposit portfolios with momentum throughout the organization. Total loans and leases grew by 3.6% in Q2 2026 compared to Q1 2026, with contributions from multiple verticals allowing us to deliver above industry average growth rates without sacrificing on structure or credit quality. Total deposits increased by 0.6% in Q2 2026 compared to Q1 2026, and we delivered about $375 million of non-interest bearing deposit growth in Q2 2026 outside of our digital asset channel clients. Year to date our new commercial banking teams hired since Q2 2023 added approximately $570 million in deposits with 65% of the growth from non-interest bearing deposits. The growth continued to be granular as we had an increase of approximately 1,250 commercial accounts on a net basis, or a 5% increase in a single quarter, and the 2025 teams alone added 475 accounts in the quarter. Our Q2 2026 GAAP earnings were $71.6 million, or $2.05 per diluted share, and core earnings* were $71.5 million, or $2.05 per diluted share. Asset quality remains strong with our NPA ratio at just 0.32% of total assets and reserve levels are robust at 293% of total non-performing loans at the end of Q2 2026. Our TCE / TA ratio* increased by 40 basis points from June 30, 2025 to 8.3% at June 30, 2026, while our balance sheet grew by 2.5% and we repurchased 92,804 shares of common stock at a weighted average price of $73.03 in the quarter. In Q2 2026, we once again delivered exceptionally strong growth across key metrics of revenue, core earnings*, and book value per share of 10%, 14%*, and 16%, respectively, when compared to Q2 2025," Sam Sidhu concluded. Key Balance Sheet Trends Loans and Leases Held for Investment Loans and leases held for investment were a period end record $18.0 billion at June 30, 2026, up $585 million, or 3.4%, from March 31, 2026. C&I specialized lending increased by $253 million, or 3.4% quarter-over-quarter to $7.7 billion. Non-owner occupied commercial real estate loans increased by $145 million, or 8.3%, to $1.9 billion. Multifamily loans increased by $113 million, or 4.5%, to $2.6 billion. Other C&I loans increased by $100 million, or 10.0% to $1.1 billion. These increases were partially offset by a decrease in mortgage finance loans of $101 million, or 5.5% to $1.7 billion. Loans and leases held for investment of $18.0 billion at June 30, 2026 were up $2.6 billion, or 16.8%, year-over-year. C&I specialized lending increased by $1.2 billion, or 18.5%, year-over-year. Non-owner occupied commercial real estate loans increased by $391 million, or 26.1%. Multifamily loans increased by $377 million, or 16.8%. Owner-occupied commercial real estate loans increased by $206 million, or 19.3%. Consumer installment loans increased by $138 million, or 17.1%. Construction loans increased by $118 million, or 119.9%. Mortgage finance loans increased by $104 million, or 6.4%. Investment Securities At June 30, 2026, total investment securities were $3.3 billion, an increase of $602 million compared to March 31, 2026 and an increase of $528 million compared to a year ago, driven primarily from purchases of agency MBS and CMO. At June 30, 2026, the Available-For-Sale ("AFS") debt securities portfolio had a spot yield of 5.14%, an effective duration of approximately 2.5 years, and approximately 35% are variable rate. Additionally, approximately 79% of the AFS securities portfolio was AAA rated at June 30, 2026. At June 30, 2026, the Held-To-Maturity ("HTM") debt securities portfolio represented only 2.4% of total assets, had a spot yield of 3.18% and an effective duration of approximately 4.2 years. Additionally, at June 30, 2026, approximately 70% of the HTM securities were AAA rated and $0.2 billion were credit enhanced asset backed securities with no current expectation of credit losses. Deposits Total deposits increased $140 million, or 0.6% to a period end record $21.7 billion at June 30, 2026 as compared to the prior quarter. The total average cost of deposits increased by 4 basis points to 2.50% in Q2 2026 from 2.46% in the prior quarter. Total estimated uninsured deposits were $7.6 billion1, or 35% of total deposits at June 30, 2026 with immediately available liquidity covering approximately 146% of these deposits. Total deposits increased $2.8 billion, or 14.5% to $21.7 billion at June 30, 2026 as compared to a year ago. The total average cost of deposits decreased by 35 basis points to 2.50% in Q2 2026 from 2.85% in Q2 2025. Borrowings Total borrowings increased $428 million, or 22.5% to $2.3 billion at June 30, 2026 as compared to the prior quarter. This increase primarily resulted from net draws of $500 million in FHLB advances, partially offset by repayment of $70 million in federal funds purchased. Total borrowings increased $853 million, or 57.7%, to $2.3 billion at June 30, 2026 as compared to a year ago primarily due to net draws of $870 million in FHLB advances. Capital Customers Bancorp’s common equity increased $61 million to $2.2 billion, and tangible common equity* increased $61 million to $2.2 billion, at June 30, 2026 compared to the prior quarter, respectively, primarily from earnings of $72 million, offset in part by $7 million of common share repurchase and an increase in AOCI of $4 million (net of taxes), mostly from increased unrealized losses on swaps designated as cash flow hedges. Customers Bancorp’s common equity increased $424 million to $2.2 billion, and tangible common equity* increased $424 million to $2.2 billion, at June 30, 2026 compared to a year ago, respectively, primarily from earnings of $291 million and the issuance of $163 million of common stock in September 2025, offset in part by $49 million of common share repurchases. Book value per common share increased to $65.31 from $63.64 and $56.36, and tangible book value per common share* increased to $65.20 from $63.54 and $56.24, at June 30, 2026 from March 31, 2026 and June 30, 2025, respectively. Credit Quality The provision for credit losses in Q2 2026 was $23 million, compared to $23 million in Q1 2026 and $21 million in Q2 2025. Net charge-offs were $15 million in Q2 2026, compared to $13 million in Q1 2026 and Q2 2025. The allowance for credit losses on loans and leases was $164 million at June 30, 2026, compared to $161 million at March 31, 2026 and $147 million at June 30, 2025. Non-performing loans at June 30, 2026 increased to 0.31% of total loans and leases, compared to 0.27% at March 31, 2026 and 0.18% at June 30, 2025. Nonperforming loans include the guaranteed portion of SBA loans. As of June 30, 2026, nonperforming loans totaled $56 million, of which approximately $12 million represents the government-guaranteed portion. Excluding the government-guaranteed portion, nonperforming loans totaled approximately $44 million, representing 0.24% of total loans and leases. Key Profitability Trends Net Interest Income Net interest income totaled $193.4 million in Q2 2026, an increase of $2.0 million from Q1 2026. This increase was driven by an increase in interest income mainly from C&I specialized lending, partially offset by an increase in interest expense primarily due to a shift in deposit mix and net draws of FHLB advances. "Net interest income increased 9% year-over-year in the second quarter of 2026. As we previously communicated, we expect the second quarter to represent the trough in our net interest margin, with a rebound to roughly Q1 2026 levels in Q3 2026 and additional expansion in Q4 2026. This trajectory is driven by expected continued low-cost deposit gathering and robust loan growth," stated Customers Bancorp CFO Mark McCollom. Net interest income totaled $193.4 million in Q2 2026, an increase of $16.7 million from Q2 2025. This increase was primarily due to higher interest income mainly from C&I specialized lending. Non-Interest Income Reported non-interest income totaled $34.0 million for Q2 2026, a decrease of $0.3 million compared to $34.3 million for Q1 2026. The slight decrease was primarily due to decreases of $1.8 million in loan fees mainly from lower gains on stock warrants and $0.9 million in bank-owned life insurance due to lower death benefits. These decreases were partially offset by an increase of $2.6 million in other non-interest income mainly due to a decrease in loss on equity investments and an increase in income from supplemental executive retirement plan (SERP) assets and derivatives. Non-interest income totaled $34.0 million for Q2 2026, an increase of $4.4 million compared to Q2 2025. The increase was primarily due to increases in commercial lease income of $4.3 million and $1.1 million in net gain on sale of loans and leases mainly from the sale of SBA loans, and $1.8 million of net loss on sale of investment securities in Q2 2025, partially offset by a decrease of $2.6 million in other non-interest income primarily from $1.8 million of fees associated with the sunsetting of a loan origination program with a fintech company in Q2 2025. Non-Interest Expense Non-interest expenses totaled $114.9 million in Q2 2026, an increase of $2.9 million compared to Q1 2026. The increase was primarily attributable to increases of $4.7 million in salaries and employee benefits mainly due to annual merit increases, higher headcount, $1.0 million in severance expense and higher SERP liability, $1.2 million in technology, communication and bank operations mainly for software and $2.8 million in other non-interest expenses mainly for business development, non-capitalizable loan origination expenses and provision for unfunded lending-related commitments, partially offset by decreases of $3.6 million in FDIC assessments, non-income taxes and regulatory fees and $1.7 million in professional fees. "In Q2 2026, we had $1.0 million of severance expense and even with this impact, we continued to demonstrate strong expense discipline while investing in our future. We successfully achieved our upsized operational excellence goal of $30 million in annual run rate revenue enhancements and expense savings providing capacity for further investment in the franchise. Importantly we are driving significant positive operating leverage with core revenue* growth of 13% and core expense* growth of only 8% in the six months ended June 30, 2026 compared to 2025. This drove an approximately 200 basis point decline in our core efficiency ratio* over that same time period," stated Mark McCollom. Non-interest expenses totaled $114.9 million in Q2 2026, an increase of $8.3 million compared to Q2 2025. The increase was primarily attributable to increases of $10.2 million in salaries and employee benefits and $4.0 million in commercial lease depreciation associated with the Bank’s continued growth, $2.5 million in technology, communication and bank operations mainly for software and processing fees, and $3.1 million in other non-interest expenses mainly due to business development and non-capitalizable loan origination expenses. These increases were partially offset by decreases of $7.3 million in FDIC assessments, non-income taxes and regulatory fees and $3.8 million in professional fees. Taxes Income tax expense was $17.9 million in Q2 2026, down from $20.7 million in Q1 2026 and slightly lower than $18.0 million in Q2 2025. The decrease reflects favorable permanent tax differences, partly offset by higher state and local income tax expense. The effective tax rate was 20% for Q2 2026. Outlook "We were very pleased with the start to 2026 and remain focused on executing in those areas which differentiate us from our peers. We believe that truly exceptional service, sophisticated product offerings, recruitment of top talent, exceptional payment capabilities, and a single point of contact service model will deliver sustainable long-term growth. We are reaffirming our full-year 2026 guidance across all metrics. We expect to continue to execute across the company’s four top priorities for 2026. First, on AI and automation, we expect to see meaningful progress on our "top down" priorities including broad deployment of the seven day loan closing agentic tool, onboarding complex commercial deposit accounts in minutes not hours, and launching new business lines in our payment vertical. We also expect further benefits from "bottoms up" use cases as they drive increased revenue and improved productivity through team member hours saved. Second, we expect our payments capabilities to continue to expand, driven by the new industries and use cases we are serving and by strengthening relationships with existing clients through expanded product offerings. Third, we are confident in our ability to continue to deliver above industry average loan and deposit portfolio growth and build upon our successful team recruitment strategy. And fourth, we will seek to accomplish these initiatives while operating with a high standard of regulatory and risk management excellence and maintaining a strong capital base, liquidity, and credit quality. We believe we are incredibly well positioned to continue to achieve these goals and deliver excellent client service and strong financial performance in 2026 and beyond," concluded Sam Sidhu. Webcast The live audio webcast, presentation slides, and earnings press release will be made available at https://www.customersbank.com and at the Customers Bancorp 2nd Quarter Earnings Webcast. You may submit questions in advance of the live webcast by emailing our Chief Marketing Officer, Laura Vele at [email protected]. The webcast will be archived for viewing on the Customers Bank Investor Relations page and available beginning approximately two hours after the conclusion of the live event. Institutional Background Customers Bancorp, Inc. (NYSE:CUBI) is one of the nation’s top-performing banking companies with approximately $27 billion in assets making it one of the 80 largest bank holding companies in the U.S. Customers Bank’s commercial and consumer clients benefit from a full suite of technology-enabled tailored product experiences delivered by best-in-class customer service distinguished by a Single Point of Contact approach. In addition to traditional lines such as C&I, commercial real estate, and residential and personal lending, Customers Bank also provides a number of national corporate banking services to clients in businesses including: fund finance, venture banking, healthcare, mortgage finance, and equipment finance. Major accolades include: Named a Top 10 Performing Bank by American Banker for five consecutive years (2021-2025), including the #1 spot in 2024 among midsize banks ($10B to $50B in assets) No. 45 out of the 100 largest publicly traded banks in 2026 Forbes Best Banks list Net Promoter Score of 81 compared to industry average of 41 A member of the Federal Reserve System with deposits insured by the Federal Deposit Insurance Corporation, Customers Bank is an equal opportunity lender. Learn more: www.customersbank.com. "Safe Harbor" Statement In addition to historical information, this press release may contain "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to Customers Bancorp, Inc.’s strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance and business. Statements preceded by, followed by, or that include the words "may," "could," "should," "pro forma," "looking forward," "would," "believe," "expect," "anticipate," "estimate," "intend," "plan," "project," or similar expressions generally indicate a forward-looking statement. These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond Customers Bancorp, Inc.’s control). Numerous competitive, economic, regulatory, legal and technological events and factors, among others, could cause Customers Bancorp, Inc.’s financial performance to differ materially from the goals, plans, objectives, intentions and expectations expressed in such forward-looking statements, including: a continuation of the recent turmoil in the banking industry, responsive measures taken by us and regulatory authorities to mitigate and manage related risks, regulatory actions taken that address related issues and the costs and obligations associated therewith, such as the FDIC special assessments; the potential for negative consequences resulting from regulatory violations, investigations and examinations, including potential supervisory actions, the assessment of fines and penalties, the imposition of sanctions, the need to undertake remedial actions and possible damage to our reputation; effects of competition on deposit rates and growth, loan rates and growth and net interest margin; failure to identify and adequately and promptly address cybersecurity risks, including data breaches and cyberattacks; public health crises and pandemics and their effects on the economic and business environments in which we operate; geopolitical conditions, including acts or threats of terrorism, actions taken by the United States or other governments in response to acts or threats of terrorism and military conflicts, including the war between Russia and Ukraine and ongoing conflict in the Middle East, which could impact economic conditions in the United States; the impact that changes in the economy have on the performance of our loan and lease portfolio, the market value of our investment securities, the demand for our products and services and the availability of sources of funding; the effects of actions by the federal government, including the Board of Governors of the Federal Reserve System and other government agencies, that affect market interest rates and the money supply; actions that we and our customers take in response to these developments and the effects such actions have on our operations, products, services and customer relationships; higher inflation and its impacts; the effects of changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs on its trading partners; and the effects of any changes in accounting standards or policies. Customers Bancorp, Inc. cautions that the foregoing factors are not exclusive, and neither such factors nor any such forward-looking statement takes into account the impact of any future events. All forward-looking statements and information set forth herein are based on management’s current beliefs and assumptions as of the date hereof and speak only as of the date they are made. For a more complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review Customers Bancorp, Inc.’s filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K for the year ended December 31, 2025, subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K, including any amendments thereto, that update or provide information in addition to the information included in the Form 10-K and Form 10-Q filings, if any. Customers Bancorp, Inc. does not undertake to update any forward-looking statement whether written or oral, that may be made from time to time by Customers Bancorp, Inc. or by or on behalf of Customers Bank, except as may be required under applicable law. View source version on businesswire.com: https://www.businesswire.com/news/home/20260723160284/en/ Contacts Laura Vele, Chief Marketing Officer 646-315-2017

Customers Bancorp (CUBI) reported $227.41 million in revenue for the quarter ended June 2026, representing a year-over-year increase of 10.2%. EPS of $2.05 for the same period compares to $1.80 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $229.77 million, representing a surprise of -1.03%. The company delivered an EPS surprise of +2.5%, with the consensus EPS estimate being $2.00. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Customers Bancorp performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Efficiency Ratio: 50.6% compared to the 49.7% average estimate based on five analysts. Average Balance - Total interest-earning assets: $24.54 billion versus the four-analyst average estimate of $24.7 billion. Annualized net charge-offs to average loans and leases: 0.3% versus 0.4% estimated by four analysts on average. Net Interest Margin: 3.2% versus the four-analyst average estimate of 3.2%. Nonaccrual / non-performing loans: $56.02 million compared to the $41.84 million average estimate based on two analysts. Tier 1 capital to average assets (leverage ratio): 9.3% versus 9% estimated by two analysts on average. Non-Performing Assets: $85.66 million compared to the $68.76 million average estimate based on two analysts. Total Non-Interest Income: $34.04 million versus $32.21 million estimated by five analysts on average. Commercial lease income: $15.39 million versus the four-analyst average estimate of $14.54 million. Loan fees: $8.67 million versus $9.11 million estimated by four analysts on average. Net Interest Income: $193.37 million compared to the $197.02 million average estimate based on four analysts. Non interest income- Other: $5.22 million compared to the $3.87 million average estimate based on three analysts. View all Key Company Metrics for Customers Bancorp here>>> Shares of Customers Bancorp have returned -2.7% over the past month versus the Zacks S&P 500 composite's +0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Customers Bancorp, Inc (CUBI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Regional banking company Customers Bancorp (NYSE:CUBI) fell short of the market’s revenue expectations in Q2 CY2026, but sales rose 9.9% year on year to $227.3 million. Its non-GAAP profit of $2.05 per share was 3% above analysts’ consensus estimates. Is now the time to buy Customers Bancorp? Find out in our full research report. Net Interest Income: $193.4 million vs analyst estimates of $198.1 million (9.4% year-on-year growth, 2.4% miss) Net Interest Margin: 3.2% vs analyst estimates of 3.2% (4.4 basis point miss) Revenue: $227.3 million vs analyst estimates of $230.2 million (9.9% year-on-year growth, 1.3% miss) Efficiency Ratio: 50.6% vs analyst estimates of 49.7% (90 basis point miss) Adjusted EPS: $2.05 vs analyst estimates of $1.99 (3% beat) Tangible Book Value per Share: $65.20 vs analyst estimates of $65.26 (15.9% year-on-year growth, in line) Market Capitalization: $2.34 billion “I am pleased to share our second quarter 2026 results that show the company’s continued execution of its strategic priorities and underscore our success in growing franchise value,” said Customers Bancorp CEO Sam Sidhu. Originally founded with a "high-tech, high-touch" branch-light banking strategy, Customers Bancorp (NYSE:CUBI) is a bank holding company that provides commercial and consumer banking services through its Customers Bank subsidiary, with a focus on business lending and digital banking. Two primary revenue streams drive bank earnings. While net interest income, which is earned by charging higher rates on loans than paid on deposits, forms the foundation, fee-based services across banking, credit, wealth management, and trading operations provide additional income. Thankfully, Customers Bancorp’s 10.4% annualized revenue growth over the last five years was decent. Its growth was slightly above the average banking company and shows its offerings resonate with customers. Long-term growth is the most important, but within financials, a half-decade historical view may miss recent interest rate changes and market returns. Customers Bancorp’s recent performance shows its demand has slowed as its annualized revenue growth of 8.7% over the last two years was below its five-year trend. We’re wary when companies in the sector see decelerations in revenue growth, as it could signal changing consumer tastes aided by low switching costs. Note: Quarters not shown were determined to be outliers because they were impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business. This quarter, Customers Bancorp’s revenue grew by 9.9% year on year to $227.3 million, missing Wall Street’s estimates. Net interest income made up 88.6% of the company’s total revenue during the last five years, meaning Customers Bancorp barely relies on non-interest income to drive its overall growth. Our experience and research show the market cares primarily about a bank’s net interest income growth as non-interest income is considered a lower-quality and non-recurring revenue source. ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all. Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE. Banks profit by intermediating between depositors and borrowers, making them fundamentally balance sheet-driven enterprises. Market participants emphasize balance sheet quality and sustained book value growth when evaluating these institutions. Because of this, tangible book value per share (TBVPS) emerges as the critical performance benchmark. By excluding intangible assets with uncertain liquidation values, this metric captures real, liquid net worth per share. EPS can become murky due to acquisition impacts or accounting flexibility around loan provisions, and TBVPS resists financial engineering manipulation. Customers Bancorp’s TBVPS grew at an incredible 15.4% annual clip over the last five years. TBVPS growth has recently decelerated a bit to 13.4% annual growth over the last two years (from $50.70 to $65.20 per share). Over the next 12 months, Consensus estimates call for Customers Bancorp’s TBVPS to grow by 14.7% to $74.78, decent growth rate. We struggled to find many positives in these results. Its net interest income missed and its revenue fell slightly short of Wall Street’s estimates. Overall, this quarter could have been better. The stock remained flat at $76.09 immediately following the results. Is Customers Bancorp an attractive investment opportunity at the current price? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it’s free.