v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company’s operations are organized into three reportable segments that represent its differentiated lines of business: Commercial Banking, Healthcare Financial Services, and Consumer Banking. The Company’s CODM is the Chairman and Chief Executive Officer. The CODM uses income before income taxes and the provision for credit losses, referred to as PPNR, to allocate resources, including financial and capital resources, employees, and property, for each segment predominantly in the annual budget and forecasting process. The CODM considers budget-to-actual variances on a monthly basis when making decisions about allocating resources to the segments. The CODM also uses PPNR to assess the performance of each segment and in the compensation of certain employees.
Commercial Banking delivers financial solutions nationally to a wide range of companies, investors, government entities, and other public and private institutions. Commercial Banking helps its clients achieve their business and financial goals with expertise in Commercial Real Estate, Middle Market, Sponsor and Specialty Finance, Verticals and Regional Banking, Asset Based Lending and Commercial Services, and Treasury Management. Commercial Banking’s Private Banking team also pairs holistic wealth solutions, including tailored lending, with commercial banking services.
Healthcare Financial Services includes HSA Bank and Ametros. HSA Bank is one of the country’s largest providers of employee benefits solutions, including being one of the leading bank administrators of HSAs, emergency savings accounts, and flexible spending account administration services in 50 states. Ametros, the nation’s largest professional administrator of medical insurance claim settlements, helps individuals manage their ongoing medical care through their CareGuard service and proprietary technology platform.
Consumer Banking delivers customized financial solutions to individuals, families, and small to mid-sized businesses through its experienced relationship managers and wealth advisors across 194 banking centers located throughout the Northeast. Consumer Banking offers a full suite of deposit, lending, treasury management, and wealth management solutions. Consumer Banking also provides a fully digital banking experience through its mobile banking app and BrioDirect.
From time to time, the Company may make reclassifications among the reportable segments to more appropriately reflect management’s view of the business and/or based on changes in the Company’s organizational structure or product lines. Accordingly, the results derived are not necessarily comparable with similar financial information published by other financial institutions. Additionally, because of the interrelationships of the segments, the financial information presented is not indicative of how the segments would perform if they operated as independent entities.
Corporate and Reconciling Category
Certain Treasury activities and other corporate and functional divisions, such as information technology, human resources, risk management, bank operations, and the operations of interSYNC, and amounts required to reconcile non-GAAP profitability metrics to those reported in accordance with GAAP are included in the Corporate and Reconciling category.
In addition to the amounts required to reconcile non-GAAP profitability metrics (i.e., estimates for FTP, allocations of equity capital) to those reported in accordance with GAAP, revenues reported in the Corporate and Reconciling category also include income associated with certain Treasury activities, such as from sales of investments securities, extinguishments of borrowings, certain derivative transactions, and bank-owned life insurance policies, and immaterial revenues from contracts with customers attributable to interSYNC. Neither the Treasury function nor interSYNC operations meet the definition of an operating segment, and therefore, are not considered for determining reportable segments.
Total assets reported in the Corporate and Reconciling category consists primarily of cash and cash equivalents, investment securities, FHLB/FRB stock, and other assets. The ACL on loans and leases is also reported in Total assets in the Corporate and Reconciling category. A provision for credit losses is allocated from the Corporate and Reconciling category to Commercial Banking and Consumer Banking based on the expected loss content of their specific loan and lease portfolios over a 3-year period (non-GAAP). There is no provision for credit losses associated with Healthcare Financial Services since that segment does not originate nor acquire loans and leases. Business development expenses, which include acquisition-related expenses and other strategic initiatives and restructuring costs, are also generally included in the Corporate and Reconciling category.
Segment Reporting Methodology
The Company uses an internal profitability reporting system to generate PPNR by reportable segment, which is comprised of direct revenues, direct expenses, estimates for FTP, and allocations for equity capital, net operating costs and total support costs. Since the majority of each reportable segment’s revenue is interest, each segment’s interest revenue is reported net of its interest expense (“net interest income”). Estimates for FTP and allocations of equity capital and non-interest expense, certain of which are subjective in nature, are periodically reviewed and refined. Equity capital is allocated using a combination of risk-weighted asset and management assessment methodologies across the differentiated lines of business. Net operating costs and total support costs, which reflect costs for shared services and back-office support areas, are allocated using an activity and driver-based costing process. The full profitability measurement reports, which are prepared for each reportable segment and reviewed by the CODM on a monthly basis, reflect non-GAAP reporting methodologies. The differences between full profitability and GAAP results are reconciled in the Corporate and Reconciling category.
The goal of FTP is to encourage loan and deposit growth consistent with the Company’s overall profitability objectives. The FTP process considers the specific interest rate risk and liquidity risk of financial instruments, other assets, and other liabilities included in each reportable segment. Loans and deposits are assigned FTP rates, and segments are charged a cost to fund loans and are paid a credit for deposit funds provided. Consideration is given to the origination date and the earlier of the maturity date or the repricing date of a financial instrument to assign an FTP rate for loans and deposits originated each day. Overall, the FTP process reflects the transfer of interest rate risk exposure to the Treasury function included within the Corporate and Reconciling category, where such exposures are centrally managed.
Financial Information
The following table presents certain balance sheet financial information for the Company’s reportable segments:
June 30, 2026
(In thousands)Commercial BankingHealthcare Financial ServicesConsumer BankingCorporate and ReconcilingConsolidated Total
Goodwill (1)
$1,960,363 $316,065 $622,035 $— $2,898,463 
Total assets47,487,049 524,356 13,948,059 23,989,175 85,948,639 
December 31, 2025
(In thousands)Commercial BankingHealthcare Financial ServicesConsumer BankingCorporate and ReconcilingConsolidated Total
Goodwill$1,960,363 $315,124 $622,035 $— $2,897,522 
Total assets46,169,398 535,453 13,871,139 23,497,673 84,073,663 
(1)The increase to goodwill reflects the effects of the measurement-period adjustments recorded during the first quarter of 2026 related to the acquisition of SecureSave in December 2025. Additional information regarding the SecureSave acquisition can be found within Note 2: Business Developments.
The following tables present certain income statement information for the Company’s reportable segments:
 Three months ended June 30, 2026
(In thousands)Commercial
Banking		Healthcare Financial
Services		Consumer
Banking		Totals
Net interest income$324,871 $100,869 $209,231 $634,971 
Non-interest income34,416 31,242 25,408 91,066 
Total segment revenues359,287 132,111 234,639 726,037 
Reconciliation of revenue:
Corporate and reconciling13,954 
Total consolidated revenues739,991 
Less:
Compensation and benefits56,028 26,702 39,954 
Occupancy (1)
— — 14,401 
Technology and equipment (1)
2,727 7,705 2,910 
Marketing— — 2,125 
Other segment items (2) (3)
57,288 26,464 69,868 
Segment pre-tax, pre-provision net revenue243,244 71,240 105,381 419,865 
Reconciliation of pre-tax, pre-provision net revenue:
Corporate and reconciling(64,836)
Total consolidated pre-tax, pre-provision net revenue355,029 
Total consolidated provision for credit losses31,500 
Total consolidated income before income taxes323,529 
(1)Occupancy and Technology and equipment include, in aggregate, depreciation expense of $0.3 million for Commercial Banking, $1.4 million for Healthcare Financial Services, and $3.0 million for Consumer Banking.
(2)Other segment items for each reportable segment includes:
•Commercial Banking--occupancy, marketing, outside professional services, loan workout expense, foreclosed property expense, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Healthcare Financial Services--occupancy, marketing, outside professional services, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Consumer Banking--outside professional services, loan workout expense, foreclosed property expense, other-non interest expense, allocated net operating costs, and allocated total support costs.
(3)Intangible assets amortization, which is a component of other non-interest expense presented in Other segment items, was $2.5 million for Commercial Banking, $3.7 million for Healthcare Financial Services, and $1.8 million for Consumer Banking.
 Three months ended June 30, 2025
(In thousands)Commercial
Banking		Healthcare Financial
Services		Consumer
Banking		Totals
Net interest income$318,518 $97,625 $212,672 $628,815 
Non-interest income30,628 28,687 24,591 83,906 
Total segment revenues349,146 126,312 237,263 712,721 
Reconciliation of revenue:
Corporate and reconciling3,118 
Total consolidated revenues715,839 
Less:
Compensation and benefits50,807 24,171 37,285 
Occupancy (1)
— — 13,835 
Technology and equipment (1)
2,336 7,524 2,917 
Marketing— — 2,043 
Other segment items (2) (3)
55,229 23,758 66,964 
Segment pre-tax, pre-provision net revenue240,774 70,859 114,219 425,852 
Reconciliation of pre-tax, pre-provision net revenue:
Corporate and reconciling(55,727)
Total consolidated pre-tax, pre-provision net revenue370,125 
Total consolidated provision for credit losses46,500 
Total consolidated income before income taxes323,625 
(1)Occupancy and Technology and equipment include, in aggregate, depreciation expense of $0.1 million for Commercial Banking, $1.5 million for Healthcare Financial Services, and $2.4 million for Consumer Banking.
(2)Other segment items for each reportable segment includes:
•Commercial Banking--occupancy, marketing, outside professional services, loan workout expense, foreclosed property expense, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Healthcare Financial Services--occupancy, marketing, outside professional services, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Consumer Banking--outside professional services, loan workout expense, foreclosed property expense, other-non interest expense, allocated net operating costs, and allocated total support costs.
(3)Intangible assets amortization, which is a component of other non-interest expense presented in Other segment items, was $2.7 million for Commercial Banking, $3.4 million for Healthcare Financial Services, and $1.8 million for Consumer Banking.
Six months ended June 30, 2026
(In thousands)Commercial
Banking		Healthcare Financial
Services		Consumer
Banking		Totals
Net interest income$651,848 $200,902 $417,554 $1,270,304 
Non-interest income66,585 65,464 48,597 180,646 
Total segment revenues718,433 266,366 466,151 1,450,950 
Reconciliation of revenue:
Corporate and reconciling24,907 
Total consolidated revenues1,475,857 
Less:
Compensation and benefits114,457 51,975 79,705 
Occupancy (1)
— — 28,602 
Technology and equipment (1)
5,241 16,114 5,757 
Marketing— — 3,480 
Other segment items (2) (3)
114,666 54,534 137,981 
Segment pre-tax, pre-provision net revenue484,069 143,743 210,626 838,438 
Reconciliation of pre-tax, pre-provision net revenue:
Corporate and reconciling(126,652)
Total consolidated pre-tax, pre-provision net revenue711,786 
Total consolidated provision for credit losses85,500 
Total consolidated income before income taxes626,286 
(1)Occupancy and Technology and equipment include, in aggregate, depreciation expense of $0.6 million for Commercial Banking, $3.0 million for Healthcare Financial Services, and $5.8 million for Consumer Banking.
(2)Other segment items for each reportable segment includes:
•Commercial Banking--occupancy, marketing, outside professional services, loan workout expense, foreclosed property expense, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Healthcare Financial Services--occupancy, marketing, outside professional services, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Consumer Banking--outside professional services, loan workout expense, foreclosed property expense, other-non interest expense, allocated net operating costs, and allocated total support costs.
(3)Intangible assets amortization, which is a component of other non-interest expense presented in Other segment items, was $5.0 million for Commercial Banking, $7.6 million for Healthcare Financial Services, and $3.6 million for Consumer Banking.
Six months ended June 30, 2025
(In thousands)Commercial
Banking		Healthcare Financial
Services		Consumer
Banking		Totals
Net interest income$637,641 $193,986 $414,736 $1,246,363 
Non-interest income59,586 58,077 50,795 168,458 
Total segment revenues697,227 252,063 465,531 1,414,821 
Reconciliation of revenue:
Corporate and reconciling5,816 
Total consolidated revenues1,420,637 
Less:
Compensation and benefits102,916 47,508 74,569 
Occupancy (1)
— — 28,183 
Technology and equipment (1)
4,447 16,288 5,966 
Marketing— — 4,025 
Other segment items (2) (3)
107,591 47,377 132,957 
Segment pre-tax, pre-provision net revenue482,273 140,890 219,831 842,994 
Reconciliation of pre-tax, pre-provision net revenue:
Corporate and reconciling(111,715)
Total consolidated pre-tax, pre-provision net revenue731,279 
Total consolidated provision for credit losses124,000 
Total consolidated income before income taxes607,279 
(1)Occupancy and Technology and equipment include, in aggregate, depreciation expense of $0.1 million for Commercial Banking, $2.9 million for Healthcare Financial Services, and $5.0 million for Consumer Banking.
(2)Other segment items for each reportable segment includes:
•Commercial Banking--occupancy, marketing, outside professional services, loan workout expense, foreclosed property expense, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Healthcare Financial Services--occupancy, marketing, outside professional services, other non-interest expense, allocated net operating costs, and allocated total support costs.
•Consumer Banking--outside professional services, loan workout expense, foreclosed property expense, other-non interest expense, allocated net operating costs, and allocated total support costs.
(3)Intangible assets amortization, which is a component of other non-interest expense presented in Other segment items, was $5.5 million for Commercial Banking, $6.9 million for Healthcare Financial Services, and $3.6 million for Consumer Banking.