Trustmark : First Quarter 2022 Financial Results Presentation

April 26, 2022

First Quarter 2022 Financial Results

Forward-Looking Statements

Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as "may," "hope," "will," "should," "expect," "plan," "anticipate," "intend," "believe," "estimate," "predict," "project," "potential," "seek," "continue," "could," "would," "future" or the negative of those terms or other words of similar meaning. You should read statements that contain these words carefully because they discuss our future expectations or state other "forward-looking" information. These forward-looking statements include, but are not limited to, statements relating to anticipated future operating and financial performance measures, including net interest margin, credit quality, business initiatives, growth opportunities and growth rates, among other things, and encompass any estimate, prediction, expectation, projection, opinion, anticipation, outlook or statement of belief included therein as well as the management assumptions underlying these forward looking statements. You should be aware that the occurrence of the events described under the caption Item 1A. Risk Factors in this report could have an adverse effect on our business, results of operations and financial condition. Should one or more of these risks materialize, or should any such underlying assumptions prove to be significantly different, actual results may vary significantly from those anticipated, estimated, projected or expected. Furthermore, many of these risks and uncertainties are currently amplified by and may continue to be amplified by or may, in the future, be amplified by, the novel coronavirus (COVID-19) pandemic, and also by the effectiveness of varying governmental responses in ameliorating the impact of the pandemic on our customers and the economies where they operate.

Risks that could cause actual results to differ materially from current expectations of Management include, but are not limited to, changes in the level of nonperforming assets and charge-offs, an increase in unemployment levels and slowdowns in economic growth, our ability to manage the impact of the COVID-19 pandemic on our markets, as well as the effectiveness of actions of federal, state and local governments and agencies (including the Board of Governors of the Federal Reserve System (FRB)) to mitigate its spread and economic impact, local, state and national economic and market conditions, conditions in the housing and real estate markets in the regions in which Trustmark operates and the extent and duration of the current volatility in the credit and financial markets, levels of and volatility in crude oil prices, changes in our ability to measure the fair value of assets in our portfolio, material changes in the level and/or volatility of market interest rates, the performance and demand for the products and services we offer, including the level and timing of withdrawals from our deposit accounts, the costs and effects of litigation and of unexpected or adverse outcomes in such litigation, our ability to attract noninterest-bearing deposits and other low-cost funds, competition in loan and deposit pricing, as well as the entry of new competitors into our markets through de novo expansion and acquisitions, economic conditions, including the potential impact of issues related to the European financial system and monetary and other governmental actions designed to address credit, securities, and/or commodity markets, the enactment of legislation and changes in existing regulations or enforcement practices or the adoption of new regulations, changes in accounting standards and practices, including changes in the interpretation of existing standards, that affect our consolidated financial statements, changes in consumer spending, borrowings and savings habits, technological changes, changes in the financial performance or condition of our borrowers, changes in our ability to control expenses, greater than expected costs or difficulties related to the integration of acquisitions or new products and lines of business, cyber attacks and other breaches which could affect our information system security, natural disasters, environmental disasters, pandemics or other health crises, acts of war or terrorism, and other risks described in our filings with the Securities and Exchange Commission (SEC).

Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Except as required by law, we undertake no obligation to update or revise any of this information, whether as the result of new information, future events or developments or otherwise

2

Financial Highlights

Loan and deposit growth continues, credit quality remains strong, insurance and wealth management revenue expands

Earnings Drivers

• • Loans Held for Investment (HFI) increased $149.3 million, or 1.5%, linked-quarter and $413.4 million, or 4.1%, year-over-year

• • Deposits increased $26.1 million, or 0.2%, linked-quarter and $729.9 million, or 5.1%, year-over-year

• • Solid performance in fee-based businesses

  Profitable Revenue Generation

  • • Revenue totaled $153.5 million, up $4.4 million, or 2.9%, from the prior quarter

  • • Net interest income (FTE) totaled $102.3 million, an increase $1.1 million, or 1.1%, linked-quarter

  • • Noninterest income totaled $54.1 million, representing 35.3% of total revenue

  • • Insurance revenue experienced a 20.3% increase linked-quarter and 13.2% increase year-over-year

  Expense

  • • Noninterest expense totaled $121.5 million in the first quarter, up $2.1 million, or 1.7%, from the prior quarter

Management •

Salaries and employee benefits expense increased $1.3 million principally due to payroll taxes

• • Equipment expense and other expense collectively declined $1.1 million linked-quarter

  Credit Quality

  • • Credit quality remained solid; nonperforming assets declined 8.9% year-over-year

  • • Recoveries exceeded charge-offs by $137 thousand in the first quarter

  • • Provision for credit losses totaled a negative $2.0 million for the quarter

  Capital Management

  • • Maintained strong capital levels with CET1 ratio of 11.23% and total risk-based capital ratio of 13.53%

  • • Repurchased $9.1 million, or approximately 279 thousand shares of common stock in the first quarter; at March 31, 2022, had $90.9 million remaining authority under the repurchase program, which expires on December 31, 2022

  • • Board of Directors declared quarterly cash dividend of $0.23 per share

Commercial and industrial loans 1,495

Consumer loans 154

State and other political subdivision loans 1,215

Other loans 461

Secured by 1-4 family residential prop. 2,107

Secured by nonfarm, nonresidential prop. 2,975

Other real estate secured 716

Consumer, 2%State & Other Political Sub. , 12%

Other, 4%

1-4 Residential, 20%

Total LHFI

Dollar Change:

$

10,397 $

149 $

413

LHFI by Quarter

$10,397

Construction, Land Dev, 12%

• • Portfolio exhibits diversity by product type, geography, and industry

• • Solid growth in the quarter while maintaining strong asset quality

• • Virtually no exposure to regulatory defined higher risk commercial and industrial outstandings and REITs

  Q1-21

  Q2-21

  Q3-21

  Q4-21

  Q1-22

• • 1-4 Residential portfolio is primarily comprised of 15 year or less mortgages and Hybrid ARMs

(1) Percentages may not sum to 100% due to rounding.

03/31/22

Lots, Development and Unimproved Land 1-4 Family Construction

$ 289 8%

339 9%

Other Construction

646 18%

Total Construction, Land Development and Other Land Loans

$ 1,274 35%

Retail

355 10%

201 5%

281 8%

Offices Hotels/Motels Industrial Other

340 9%

565 15%

Total Non-owner Occupied & REITs

$ 1,743 48%

Multi-Family(1)

641 18%

Total CRE

$ 3,658

100%

$ 174 14%Offices Churches

82 7%

180 15%

117 9%

Industrial Warehouses Health Care Convenience Stores

141 11%

236 19%

Nursing Homes/Senior Living Other

301 24%

Total Owner-Occupied

$ 1,232

100%

• • Focus on vertical construction with limited exposure to unimproved land and development

• • Well-diversified product and geographical mix

• • Balanced between non-owner and owner-occupied portfolios

• • Virtually no REIT outstanding ($4.4 million)

(1) Multi-Family is included in Other Real Estate Secured Loans in Financials