First Financial provides financing for various types of equipment through a variety of leasing arrangements. Operating leases are carried at cost less accumulated depreciation in the Consolidated Balance Sheets. Operating leases were $217.1 million and $209.1 million at June 30, 2025 and December 31, 2024, respectively, net of accumulated depreciation of $137.8 million and $93.6 million, respectively. The Company recorded lease income of $18.7 million and $12.5 million related to lease payments

for operating leases in Leasing business income in the Consolidated Statements of Income for the three months ended June 30, 2025 and 2024, respectively. The Company recorded lease income of $36.6 million and $24.6 million related to lease payments for operating leases in Leasing business income in the Consolidated Statements of Income for the six months ended June 30, 2025 and 2024, respectively. Depreciation expense related to operating lease equipment was $13.2 million and $10.1 million for the three months ended June 30, 2025 and 2024, respectively. Depreciation expense related to operating lease equipment was $26.0 million and $19.9 million for the six months ended June 30, 2025 and 2024, respectively. Depreciation expense related to operating lease equipment is included in Leasing business expense in the Consolidated Statements of Income.

First Financial performs assessments of the recoverability of long-lived assets when events or changes in circumstances indicate that their carrying values may not be recoverable. First Financial recognized no impairment losses associated with operating lease assets for the six months ended June 30, 2025 or 2024. Recognized impairment losses, if any, would be recorded in Leasing business income in the Consolidated Statements of Income.


(Dollars in thousands)	Undiscounted cash flows
2025 (remaining six months)	$	33,964
2026	59,374
2027	42,541
2028	23,382
2029	12,885
Thereafter	5,026
Total operating lease payments	$	177,172