10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2026


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission file number 000-03683

Trustmark Corporation

(Exact name of registrant as specified in its charter)


Mississippi		64-0471500
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)


248 East Capitol Street, Jackson, Mississippi		39201
(Address of principal executive offices)		(Zip Code)

(601) 208-5111

(Registrant’s telephone number, including area code)

Securities registered Pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, no par value	TRMK	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of July 31, 2026, there were 58,070,577 shares outstanding of the registrant’s common stock (no par value).

Forward-Looking Statements

Certain statements contained in this Quarterly Report on Form 10-Q 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 “Risk Factors” in Trustmark’s filings with the Securities and Exchange Commission (SEC) could have an adverse effect on our business, results of operations or 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.

Risks that could cause actual results to differ materially from current expectations of Management include, but are not limited to, actions by the Board of Governors of the Federal Reserve System (FRB) that impact the level of market interest rates, local, state, national and international economic and market conditions, conditions in the housing and real estate markets in the regions in which Trustmark operates, conditions and changes, including volatility, in the credit and financial markets, changes in the level of nonperforming assets and charge-offs, an increase in unemployment levels, a slowdown in economic growth, changes in our ability to measure the fair value of assets in our portfolio, changes in the level and/or volatility of market interest rates, the impacts related to or resulting from bank failures and other economic and industry volatility, including potential increased regulatory requirements, the demand for the products and services we offer, potential unexpected adverse outcomes in pending litigation matters, our ability to attract and retain 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, 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, 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, potential market or regulatory effects of the current United States presidential administration’s policies, changes to the credit rating of U.S. Government securities and other risks described in our filings with the 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.

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

Trustmark Corporation and Subsidiaries

Consolidated Balance Sheets

($ in thousands)


	(Unaudited)
	June 30, 2026			December 31, 2025
Assets
Cash and due from banks	$	669,892		$	668,007
Securities available for sale, at fair value (amortized cost: $1,938,959-2026 $1,842,444-2025; allowance for credit losses (ACL): $0-2026; $0-2025)		1,941,624			1,876,830
Securities held to maturity, net of ACL of $0 (fair value: $1,096,876-2026; $1,180,569-2025)		1,134,823			1,207,454
Loans held for sale (LHFS)		300,529			278,789
Loans held for investment (LHFI)		13,913,023			13,674,233
Less ACL, LHFI		148,189			157,071
Net LHFI		13,764,834			13,517,162
Premises and equipment, net		228,701			225,658
Mortgage servicing rights (MSR)		141,763			131,289
Goodwill		334,605			334,605
Other real estate, net		5,208			6,957
Operating lease right-of-use assets		32,947			32,152
Other assets		637,544			646,308
Total Assets	$	19,192,470		$	18,925,211

Liabilities
Deposits:
Noninterest-bearing	$	3,373,546		$	3,036,504
Interest-bearing		12,697,669			12,463,280
Total deposits		16,071,215			15,499,784
Federal funds purchased		360,000			445,000
Other borrowings		137,853			364,762
Subordinated notes		172,119			171,966
Junior subordinated debt securities		61,856			61,856
ACL on off-balance sheet credit exposures		27,534			27,951
Operating lease liabilities		37,091			36,250
Other liabilities		181,171			195,965
Total Liabilities		17,048,839			16,803,534

Shareholders' Equity
Common stock, no par value:
Authorized: 250,000,000 shares Issued and outstanding: 58,225,687 shares - 2026; 59,012,423 shares - 2025		12,132			12,296
Capital surplus		42,695			81,951
Retained earnings		2,131,086			2,041,055
Accumulated other comprehensive income (loss), net of tax		(42,282	)		(13,625	)
Total Shareholders' Equity		2,143,631			2,121,677
Total Liabilities and Shareholders' Equity	$	19,192,470		$	18,925,211

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Consolidated Statements of Income

($ in thousands, except per share data)

(Unaudited)


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Interest Income
Interest and fees on LHFS & LHFI	$	206,627		$	206,425		$	408,769		$	405,670
Interest on securities:
Taxable		26,952			26,269			53,733			52,325
Other interest income		3,854			4,734			7,001			8,580
Total Interest Income		237,433			237,428			469,503			466,575
Interest Expense
Interest on deposits		62,629			68,177			125,348			135,895
Interest on federal funds purchased and securities sold under repurchase agreements		3,748			4,513			7,723			8,811
Other interest expense		5,426			5,982			10,243			11,058
Total Interest Expense		71,803			78,672			143,314			155,764
Net Interest Income		165,630			158,756			326,189			310,811
Provision for credit losses (PCL), LHFI		4,452			5,346			9,140			13,471
PCL, off-balance sheet credit exposures		1,531			(670	)		(417	)		(3,501	)
PCL, LHFI sale of 1-4 family mortgage loans		(9,227	)		—			(9,227	)		—
Net Interest Income After PCL		168,874			154,080			326,693			300,841
Noninterest Income
Service charges on deposit accounts		10,375			10,585			21,029			21,221
Bank card and other fees		8,743			8,754			16,731			16,418
Mortgage banking, net		8,914			8,602			17,848			17,373
Wealth management		10,922			9,638			21,315			19,181
Other, net		3,617			2,311			7,993			8,281
Total Noninterest Income		42,571			39,890			84,916			82,474
Noninterest Expense
Salaries and employee benefits		72,990			68,298			147,232			136,790
Services and fees		29,748			26,998			57,692			53,245
Net occupancy - premises		7,728			7,507			15,554			14,892
Equipment expense		7,267			6,206			14,265			12,514
Other expense		15,950			16,105			31,099			31,684
Total Noninterest Expense		133,683			125,114			265,842			249,125
Income Before Income Taxes		77,762			68,856			145,767			134,190
Income taxes		14,240			13,015			26,130			24,716
Net Income	$	63,522		$	55,841		$	119,637		$	109,474

Earnings Per Share (EPS)
Basic EPS	$	1.09		$	0.92		$	2.04		$	1.81
Diluted EPS	$	1.08		$	0.92		$	2.03		$	1.80

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income

($ in thousands)

(Unaudited)


	Three Months Ended June 30,					Six Months Ended June 30,
	2026			2025		2026			2025
Net income per consolidated statements of income	$	63,522		$	55,841	$	119,637		$	109,474
Other comprehensive income (loss), net of tax:
Net unrealized gains (losses) on available for sale securities and transferred securities:
Net unrealized holding gains (losses) arising during the period		(11,275	)		10,493		(23,790	)		34,943
Change in net unrealized holding loss on securities transferred to held to maturity		1,950			2,587		4,169			5,156
Pension and other postretirement benefit plans:
Reclassification adjustments for changes realized in net income:
Net change in prior service costs		—			3		—			6
Recognized net (gain) loss due to lump sum settlement		(23	)		—		(23	)		(38	)
Change in net actuarial loss		54			45		118			99
Derivatives:
Change in the accumulated gain (loss) on effective cash flow hedge derivatives		(6,156	)		3,074		(10,436	)		8,983
Reclassification adjustment for (gain) loss realized in net income		604			2,011		1,305			4,021
Other comprehensive income (loss), net of tax		(14,846	)		18,213		(28,657	)		53,170
Comprehensive income	$	48,676		$	74,054	$	90,980		$	162,644

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Consolidated Statements of Changes in Shareholders' Equity

($ in thousands, except per share data)

(Unaudited)


													Accumulated
													Other
	Common Stock												Comprehensive
	Shares						Capital			Retained			Income
	Outstanding			Amount			Surplus			Earnings			(Loss)			Total
Balance, January 1, 2026		59,012,423		$	12,296		$	81,951		$	2,041,055		$	(13,625	)	$	2,121,677
Net income per consolidated statements of income		—			—			—			56,115			—			56,115
Other comprehensive income (loss), net of tax		—			—			—			—			(13,811	)		(13,811	)
Common stock dividends paid ($0.25 per share)		—			—			—			(14,866	)		—			(14,866	)
Common stock issued-net, long-term incentive plan		144,364			30			(3,114	)		—			—			(3,084	)
Repurchase and retirement of common stock		(477,057	)		(100	)		(19,704	)		—			—			(19,804	)
Compensation expense, long-term incentive plan		—			—			2,918			—			—			2,918
Balance, March 31, 2026		58,679,730			12,226			62,051			2,082,304			(27,436	)		2,129,145
Net income per consolidated statements of income (loss)		—			—			—			63,522			—			63,522
Other comprehensive income (loss), net of tax		—			—			—			—			(14,846	)		(14,846	)
Common stock dividends paid ($0.25 per share)		—			—			—			(14,740	)		—			(14,740	)
Common stock issued-net, long-term incentive plan		21,171			5			(37	)		—			—			(32	)
Repurchase and retirement of common stock		(475,214	)		(99	)		(20,980	)		—			—			(21,079	)
Compensation expense, long-term incentive plan		—			—			1,661			—			—			1,661
Balance, June 30, 2026		58,225,687		$	12,132		$	42,695		$	2,131,086		$	(42,282	)	$	2,143,631

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Consolidated Statements of Changes in Shareholders' Equity (continued)

($ in thousands, except per share data)

(Unaudited)


													Accumulated
													Other
	Common Stock												Comprehensive
	Shares						Capital			Retained			Income
	Outstanding			Amount			Surplus			Earnings			(Loss)			Total
Balance, January 1, 2025		61,008,023		$	12,711		$	157,899		$	1,875,376		$	(83,659	)	$	1,962,327
Net income per consolidated statements of income		—			—			—			53,633			—			53,633
Other comprehensive income (loss), net of tax		—			—			—			—			34,957			34,957
Common stock dividends paid ($0.24 per share)		—			—			—			(14,732	)		—			(14,732	)
Common stock issued-net, long-term incentive plan		133,628			28			(2,443	)		—			—			(2,415	)
Repurchase and retirement of common stock		(423,240	)		(88	)		(14,926	)		—			—			(15,014	)
Compensation expense, long-term incentive plan		—			—			2,471			—			—			2,471
Balance, March 31, 2025		60,718,411			12,651			143,001			1,914,277			(48,702	)		2,021,227
Net income per consolidated statements of income (loss)		—			—			—			55,841			—			55,841
Other comprehensive income (loss), net of tax		—			—			—			—			18,213			18,213
Common stock dividends paid ($0.24 per share)		—			—			—			(14,620	)		—			(14,620	)
Common stock issued-net, long-term incentive plan		24,173			5			(54	)		—			—			(49	)
Repurchase and retirement of common stock		(340,900	)		(71	)		(10,939	)		—			—			(11,010	)
Compensation expense, long-term incentive plan		—			—			1,187			—			—			1,187
Balance, June 30, 2025		60,401,684		$	12,585		$	133,195		$	1,955,498		$	(30,489	)	$	2,070,789

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Consolidated Statements of Cash Flows

($ in thousands)

(Unaudited)


	Six Months Ended June 30,
	2026			2025
Operating Activities
Net income per consolidated statements of income	$	119,637		$	109,474
Adjustments to reconcile net income to net cash provided by operating activities:
PCL		(504	)		9,970
Depreciation and amortization		20,118			18,485
Net (accretion) amortization of securities		(13,399	)		(11,989	)
Gains on sales of loans, net		(9,591	)		(9,850	)
Compensation expense, long-term incentive plan		4,579			3,658
Deferred income tax provision (benefit)		5,300			(925	)
Proceeds from sales of loans held for sale		606,454			539,318
Purchases and originations of loans held for sale		(620,204	)		(542,651	)
Originations of mortgage servicing rights		(9,828	)		(6,917	)
Earnings on bank-owned life insurance		(3,795	)		(3,776	)
Net change in other assets		15,361			31,228
Net change in other liabilities		(22,157	)		(20,785	)
Other operating activities, net		(8,095	)		4,786
Net cash from operating activities		83,876			120,026

Investing Activities
Proceeds from maturities, prepayments and calls of securities held to maturity		78,100			51,921
Proceeds from maturities, prepayments and calls of securities available for sale		106,201			106,553
Purchases of securities available for sale		(189,227	)		(137,765	)
Net proceeds from bank-owned life insurance		2,601			642
Net change in member bank stock		(5,427	)		(6,518	)
Net change in LHFI		(314,251	)		(384,295	)
Proceeds from sale of 1-4 family mortgage loans		63,108			—
Purchases of premises and equipment		(13,771	)		(4,881	)
Proceeds from sales of premises and equipment		940			3,533
Proceeds from sales of other real estate		4,486			1,814
Purchases of software		(5,102	)		(4,868	)
Net investments in tax credit and other partnerships		2,761			(10,950	)
Net cash from investing activities		(269,581	)		(384,814	)

Financing Activities
Net change in deposits		571,431			7,686
Net change in federal funds purchased and securities sold under repurchase agreements		(85,000	)		132,318
Net change in short-term borrowings		(225,001	)		250,000
Payments under finance lease obligations		(235	)		(225	)
Common stock dividends		(29,606	)		(29,352	)
Repurchase and retirement of common stock		(40,883	)		(26,024	)
Shares withheld to pay taxes, long-term incentive plan		(3,116	)		(2,464	)
Net cash from financing activities		187,590			331,939

Net change in cash and cash equivalents		1,885			67,151
Cash and cash equivalents at beginning of period		668,007			567,251
Cash and cash equivalents at end of period	$	669,892		$	634,402

See notes to consolidated financial statements.

Trustmark Corporation and Subsidiaries

Notes to Consolidated Financial Statements

(Unaudited)

Note 1 – Business, Basis of Financial Statement Presentation and Principles of Consolidation

Trustmark Corporation (Trustmark) is a bank holding company headquartered in Jackson, Mississippi. Through its subsidiaries, Trustmark operates as a financial services organization providing banking and financial solutions to corporate institutions and individual customers through offices in Alabama, Florida, Georgia, Mississippi, Tennessee and Texas.

The consolidated financial statements include the accounts of Trustmark and all other entities in which Trustmark has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period amounts to conform to the current period presentation.

The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements, and notes thereto, included in Trustmark’s Annual Report on Form 10-K for its fiscal year ended December 31, 2025 (2025 Annual Report).

Operating results for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year or any future period. In the opinion of Management, all adjustments (consisting of normal recurring accruals) considered necessary for the fair presentation of these consolidated financial statements have been included. The preparation of financial statements in conformity with these accounting principles requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and income and expense during the reporting periods and the related disclosures. Although Management’s estimates contemplate current conditions and how they are expected to change in the future, it is reasonably possible that in 2026 actual conditions could vary from those anticipated, which could affect Trustmark’s financial condition and results of operations. Actual results could differ from those estimates.

Note 2 – Securities Available for Sale and Held to Maturity

The following tables are a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at June 30, 2026 and December 31, 2025 ($ in thousands):


	Securities Available for Sale									Securities Held to Maturity
June 30, 2026	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. Treasury securities	$	207,046	$	574	$	(567	)	$	207,053	$	30,995	$	—	$	(241	)	$	30,754
U.S. Government agency obligations		71,266		85		(1,422	)		69,929		—		—		—			—
Mortgage-backed securities
Residential mortgage pass- through securities
Guaranteed by GNMA		44,233		72		(2,189	)		42,116		12,441		7		(456	)		11,992
Issued by FNMA and FHLMC		1,254,190		16,509		(15,192	)		1,255,507		346,802		363		(11,599	)		335,566
Other residential mortgage- backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		—		—		—			—		84,529		—		(4,622	)		79,907
Commercial mortgage- backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		362,224		5,385		(590	)		367,019		660,056		58		(21,457	)		638,657
Total	$	1,938,959	$	22,625	$	(19,960	)	$	1,941,624	$	1,134,823	$	428	$	(38,375	)	$	1,096,876


	Securities Available for Sale									Securities Held to Maturity
December 31, 2025	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. Treasury Securities	$	205,282	$	3,666	$	—		$	208,948	$	30,615	$	185	$	—		$	30,800
U.S. Government agency obligations		70,924		609		(684	)		70,849		—		—		—			—
Mortgage-backed securities
Residential mortgage pass- through securities
Guaranteed by GNMA		40,425		106		(1,996	)		38,535		13,154		22		(393	)		12,783
Issued by FNMA and FHLMC		1,165,292		33,836		(11,369	)		1,187,759		372,311		2,070		(7,812	)		366,569
Other residential mortgage- backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		—		—		—			—		96,667		—		(4,233	)		92,434
Commercial mortgage- backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		360,521		10,698		(480	)		370,739		694,707		73		(16,797	)		677,983
Total	$	1,842,444	$	48,915	$	(14,529	)	$	1,876,830	$	1,207,454	$	2,350	$	(29,235	)	$	1,180,569

During 2022, Trustmark reclassified a total of $766.0 million of securities available for sale to securities held to maturity. At the date of these transfers, the net unrealized holding loss on the available for sale securities totaled $91.9 million ($68.9 million, net of tax). The securities were transferred at fair value, which became the cost basis for the securities held to maturity. The net unrealized holding loss will be amortized over the remaining life of the securities as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security. There were no gains or losses recognized as a result of these transfers. At June 30, 2026, the net unamortized, unrealized loss on transferred securities included in accumulated other comprehensive income (loss) in the accompanying consolidated balance sheets totaled $32.1 million compared to $36.3 million at December 31, 2025.

ACL on Securities

Securities Available for Sale

Quarterly, Trustmark evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a decline in fair value resulted from a credit loss or other factors, Trustmark performs further analysis. If Trustmark determines that a credit loss exists, the credit portion of the allowance is measured by a discounted cash flow (DCF) analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss recorded by Trustmark is limited to the amount by which the amortized cost exceeds the fair value. The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s Investor Service (Moody’s).

At both June 30, 2026 and December 31, 2025, the results of the analysis did not identify any securities that warranted DCF analysis, and no credit loss was recognized on any of the securities available for sale.

Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale. At June 30, 2026, accrued interest receivable totaled $6.2 million for securities available for sale compared to $5.9 million December 31, 2025 and was reported in other assets on the accompanying consolidated balance sheets.

Securities Held to Maturity

At June 30, 2026 and December 31, 2025, Trustmark identified no securities held to maturity with the potential for credit loss exposure. After applying appropriate analysis, the total amount of current expected credit losses was zero at June 30, 2026 and December 31, 2025. No reserve was recorded at either June 30, 2026 or December 31, 2025.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At June 30, 2026 and December 31, 2025, accrued interest receivable totaled $2.0 million and $2.1 million, respectively, for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheets.

At both June 30, 2026 and December 31, 2025, Trustmark had no securities held to maturity that were past due 30 days or more as to principal or interest payments or classified as nonaccrual.

Trustmark monitors the credit quality of securities held to maturity on a monthly basis through credit ratings. The following table presents the amortized cost of Trustmark’s securities held to maturity by credit rating, as determined by Moody’s, at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026		December 31, 2025
Aaa	$	51,286	$	52,405
Aa1 to Aa3		1,083,537		1,155,049
Total	$	1,134,823	$	1,207,454

The tables below include securities with gross unrealized losses for which an allowance for credit losses has not been recorded segregated by length of impairment at June 30, 2026 and December 31, 2025 ($ in thousands):


	Less than 12 Months					12 Months or More					Total
June 30, 2026	Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses
U.S. Treasury securities	$	102,264	$	(808	)	$	—	$	—		$	102,264	$	(808	)
U.S. Government agency obligations		39,195		(847	)		15,906		(575	)		55,101		(1,422	)
Mortgage-backed securities
Residential mortgage pass-through securities
Guaranteed by GNMA		13,167		(138	)		22,675		(2,507	)		35,842		(2,645	)
Issued by FNMA and FHLMC		499,361		(6,791	)		183,312		(20,000	)		682,673		(26,791	)
Other residential mortgage-backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		—		—			79,907		(4,622	)		79,907		(4,622	)
Commercial mortgage-backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		86,331		(598	)		631,362		(21,449	)		717,693		(22,047	)
Total	$	740,318	$	(9,182	)	$	933,162	$	(49,153	)	$	1,673,480	$	(58,335	)


December 31, 2025
U.S. Government agency obligations	$	3,905	$	(14	)	$	40,952	$	(670	)	$	44,857	$	(684	)
Mortgage-backed securities
Residential mortgage pass-through securities
Guaranteed by GNMA		5,925		(18	)		26,946		(2,371	)		32,871		(2,389	)
Issued by FNMA and FHLMC		91,230		(234	)		205,163		(18,947	)		296,393		(19,181	)
Other residential mortgage-backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		—		—			92,434		(4,233	)		92,434		(4,233	)
Commercial mortgage-backed securities
Issued or guaranteed by FNMA, FHLMC or GNMA		—		—			739,436		(17,277	)		739,436		(17,277	)
Total	$	101,060	$	(266	)	$	1,104,931	$	(43,498	)	$	1,205,991	$	(43,764	)

The unrealized losses shown above are due to increases in market rates over the yields available at the time of purchase of the underlying securities and not credit quality. Trustmark does not intend to sell these securities and it is more likely than not that Trustmark will not be required to sell the investments before recovery of their amortized cost bases, which may be at maturity.

Securities Gains and Losses

Realized gains and losses are determined using the specific identification method and are included in noninterest income as securities gains (losses), net. During the six months ended June 30, 2026 and 2025, there were no gross realized gains or losses as a result of calls and dispositions of securities.

Securities Pledged

Securities with a carrying value of $1.734 billion and $1.709 billion at June 30, 2026 and December 31, 2025, respectively, were pledged to collateralize public deposits and for other purposes as permitted by law. At both June 30, 2026 and December 31, 2025, none of these securities were pledged under the Federal Reserve Discount Window program to provide additional contingency funding capacity.

Contractual Maturities

The amortized cost and estimated fair value of securities available for sale and held to maturity at June 30, 2026, by contractual maturity, are shown below ($ in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.


	Securities Available for Sale				Securities Held to Maturity
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Due in one year or less	$	39,835	$	39,955	$	—	$	—
Due after one year through five years		67,482		67,743		30,995		30,754
Due after five years through ten years		170,995		169,284		—		—
		278,312		276,982		30,995		30,754
Mortgage-backed securities		1,660,647		1,664,642		1,103,828		1,066,122
Total	$	1,938,959	$	1,941,624	$	1,134,823	$	1,096,876

Note 3 – LHFI and ACL, LHFI

At June 30, 2026 and December 31, 2025, LHFI consisted of the following ($ in thousands):


	June 30, 2026		December 31, 2025
Loans secured by real estate:
Construction, land development and other land	$	555,731	$	549,353
Other secured by 1-4 family residential properties		721,362		704,514
Secured by nonfarm, nonresidential properties		3,198,800		3,304,523
Other real estate secured		1,990,550		2,124,272
Other loans secured by real estate:
Other construction		661,069		595,238
Secured by 1-4 family residential properties		2,357,203		2,351,675
Commercial and industrial loans		2,294,721		1,999,464
Consumer loans		160,648		163,754
State and other political subdivision loans		1,046,511		1,061,584
Other commercial loans and leases		926,428		819,856
LHFI		13,913,023		13,674,233
Less ACL		148,189		157,071
Net LHFI	$	13,764,834	$	13,517,162

Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI. At June 30, 2026 and December 31, 2025, accrued interest receivable for LHFI totaled $65.7 million and $64.1 million, respectively, with no related ACL and was reported in other assets on the accompanying consolidated balance sheets.

Loan Concentrations

Trustmark does not have any loan concentrations other than those reflected in the preceding table, which exceed 10% of total LHFI. At June 30, 2026, Trustmark’s geographic loan distribution was concentrated primarily in its six key market regions: Alabama, Florida, Georgia, Mississippi, Tennessee and Texas. Accordingly, the ultimate collectability of a substantial portion of these loans is susceptible to changes in market conditions in these areas.

Nonaccrual and Past Due LHFI

No material interest income was recognized in the income statement on nonaccrual LHFI for each of the periods ended June 30, 2026 and 2025.

The following tables provide the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	Nonaccrual With No ACL		Total Nonaccrual		Loans Past Due 90 Days or More Still Accruing
Loans secured by real estate:
Construction, land development and other land	$	150	$	252	$	—
Other secured by 1-4 family residential properties		931		9,672		620
Secured by nonfarm, nonresidential properties		1,384		10,515		—
Other real estate secured		234		234		—
Other loans secured by real estate:
Secured by 1-4 family residential properties		—		5,844		1,960
Commercial and industrial loans		320		21,543		—
Consumer loans		—		348		485
Other commercial loans and leases		764		1,250		—
Total	$	3,783	$	49,658	$	3,065


	December 31, 2025
	Nonaccrual With No ACL		Total Nonaccrual		Loans Past Due 90 Days or More Still Accruing
Loans secured by real estate:
Construction, land development and other land	$	156	$	355	$	—
Other secured by 1-4 family residential properties		715		8,991		520
Secured by nonfarm, nonresidential properties		2,105		5,579		—
Other real estate secured		234		399		—
Other loans secured by real estate:
Secured by 1-4 family residential properties		3,414		64,293		3,133
Commercial and industrial loans		145		3,615		—
Consumer loans		—		385		449
State and other political subdivision loans		—		—		995
Other commercial loans and leases		764		774		—
Total	$	7,533	$	84,391	$	5,097

The following tables provide an aging analysis of the amortized cost basis of past due LHFI (including nonaccrual LHFI) at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	Past Due
	30-59 Days		60-89 Days		90 Days or More		Total Past Due		Current Loans		Total LHFI
Loans secured by real estate:
Construction, land development and other land	$	2,023	$	42	$	200	$	2,265	$	553,466	$	555,731
Other secured by 1-4 family residential properties		4,953		1,766		4,178		10,897		710,465		721,362
Secured by nonfarm, nonresidential properties		901		8,254		8,556		17,711		3,181,089		3,198,800
Other real estate secured		36		—		234		270		1,990,280		1,990,550
Other loans secured by real estate:
Other construction		—		—		—		—		661,069		661,069
Secured by 1-4 family residential properties		11,097		4,482		4,624		20,203		2,337,000		2,357,203
Commercial and industrial loans		2,492		2,368		18,155		23,015		2,271,706		2,294,721
Consumer loans		1,658		430		504		2,592		158,056		160,648
State and other political subdivision loans		—		—		—		—		1,046,511		1,046,511
Other commercial loans and leases		2		766		420		1,188		925,240		926,428
Total	$	23,162	$	18,108	$	36,871	$	78,141	$	13,834,882	$	13,913,023


	December 31, 2025
	Past Due
	30-59 Days		60-89 Days		90 Days or More		Total Past Due		Current Loans		Total LHFI
Loans secured by real estate:
Construction, land development and other land	$	786	$	139	$	—	$	925	$	548,428	$	549,353
Other secured by 1-4 family residential properties		6,118		1,238		3,868		11,224		693,290		704,514
Secured by nonfarm, nonresidential properties		1,798		185		3,829		5,812		3,298,711		3,304,523
Other real estate secured		1		—		316		317		2,123,955		2,124,272
Other loans secured by real estate:
Other construction		—		—		—		—		595,238		595,238
Secured by 1-4 family residential properties		19,838		8,340		34,838		63,016		2,288,659		2,351,675
Commercial and industrial loans		2,828		352		1,014		4,194		1,995,270		1,999,464
Consumer loans		2,109		402		453		2,964		160,790		163,754
State and other political subdivision loans		8		—		995		1,003		1,060,581		1,061,584
Other commercial loans and leases		4		15		—		19		819,837		819,856
Total	$	33,490	$	10,671	$	45,313	$	89,474	$	13,584,759	$	13,674,233

Modified LHFI

Occasionally, Trustmark modifies loans for borrowers experiencing financial difficulty by providing payment delays, interest-only payments for an extended period of time, maturity extensions or interest rate reductions. Other concessions may arise from court proceedings or may be imposed by law. In some cases, Trustmark provides multiple types of concessions on one loan.

The following tables present the amortized cost of LHFI of loans modified to borrowers experiencing financial difficulty disaggregated by class of loan and type of modification at the end of each of the periods presented ($ in thousands). The percentage of the amortized cost basis of LHFI that were modified to borrowers experiencing financial difficulty as compared to the amortized cost basis of each class of LHFI is also presented below:


	Three Months Ended June 30, 2026
	Term Extension		% of Total Class of Loan
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	1,505		0.21	%
Other loans secured by real estate:
Secured by 1-4 family residential properties		188		0.01	%
Total	$	1,693		0.01	%


	Three Months Ended June 30, 2025
	Payment Delay		Term Extension		Total		% of Total Class of Loan
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	—	$	873	$	873		0.13	%
Other real estate secured		—		14,744		14,744		0.77	%
Other loans secured by real estate:
Secured by 1-4 family residential properties		—		3,643		3,643		0.15	%
Commercial and industrial loans		570		—		570		0.03	%
Total	$	570	$	19,260	$	19,830		0.15	%


	Six Months Ended June 30, 2026
	Term Extension		% of Total Class of Loan
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	2,241		0.31	%
Other loans secured by real estate:
Secured by 1-4 family residential properties		557		0.02	%
Total	$	2,798		0.02	%


	Six Months Ended June 30, 2025
	Payment Delay		Term Extension		Total		% of Total Class of Loan
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	—	$	1,616	$	1,616		0.23	%
Other real estate secured		—		14,744		14,744		0.77	%
Other loans secured by real estate:
Secured by 1-4 family residential properties		—		5,751		5,751		0.24	%
Commercial and industrial loans		12,847		—		12,847		0.70	%
Total	$	12,847	$	22,111	$	34,958		0.26	%

The following tables detail the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty for the periods presented:


		Three Months Ended June 30, 2026
		Financial Effect
		Term Extension
Loans secured by real estate:
Other secured by 1-4 family residential properties		Modified four loans and twelve lines of credit to amortize over twenty-four month terms; modified one line of credit to amortize over a fourteen month term
Other loans secured by real estate:
Secured by 1-4 family residential properties		Modified three loans to amortize over twenty-four month terms


	Three Months Ended June 30, 2025
	Financial Effect
	Payment Delay	Term Extension
Loans secured by real estate:
Other secured by 1-4 family residential properties		Modified one loan and thirteen lines of credit to amortize over twenty-four month terms
Other real estate secured		Extended maturity of one loan by twelve months
Other loans secured by real estate:
Secured by 1-4 family residential properties		Re-amortized twenty-one loans with term adjusted by weighted average of forty-four months
Commercial and industrial loans	Three interest-only payments on four loans


		Six Months Ended June 30, 2026
		Financial Effect
		Term Extension
Loans secured by real estate:
Other secured by 1-4 family residential properties		Modified seven loans and twenty-four lines of credit to amortize over twenty-four month terms and modified one loan to amortize over a fourteen month term
Other loans secured by real estate:
Secured by 1-4 family residential properties		Reamortized twenty-five loans with terms adjusted by weighted average of thirty-eight months


	Six Months Ended June 30, 2025
	Financial Effect
	Payment Delay	Term Extension
Loans secured by real estate:
Other secured by 1-4 family residential properties		Modified two loans and twenty-four lines of credit to amortize over a twenty-four month term
Other real estate secured		Extended maturity of one loan by twelve months
Other loans secured by real estate:
Secured by 1-4 family residential properties		Re-amortized thirty-three loans with term adjusted by weighted-average of thirty-eight months
Commercial and industrial loans	One loan with eight monthly interest payments deferred and four loans with three interest-only monthly payments

At June 30, 2026, Trustmark had no unused commitments on modified loans to borrowers experiencing financial difficulty compared to $256 thousand of unused commitments on modified loans to borrowers experiencing financial difficulty at June 30, 2025.

For all loans modified in the previous twelve months to borrowers experiencing financial difficulty, Trustmark had payment defaults during the three and six months ended June 30, 2026 on $129 thousand and $40 thousand of loans in the other secured by 1-4 family residential properties and secured by 1-4 family residential properties, respectively, that had received term extension modifications.

For all loans modified in the previous twelve months to borrowers experiencing financial difficulty, Trustmark had payment defaults during the three months ended June 30, 2025 on $18.4 million of loans in the commercial and industrial loans portfolio that had received payment delay modifications. For all loans modified in the previous twelve months to borrowers experiencing financial difficulty, Trustmark had payment defaults during the six months ended June 30, 2025 on $38 thousand of loans in the other secured by 1-4 family residential properties portfolio that had received term extension modifications and $18.4 million of loans in the commercial and industrial loans portfolio that had received payment delay modifications.

Trustmark has utilized loans 90 days or more past due to define payment default in determining modified loans that have subsequently defaulted. If Trustmark determines that a modified loan (or a portion of a loan) has subsequently been deemed uncollectible, the loan (or a portion of the loan) is charged off against the ACL, LHFI.

Trustmark closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following tables provide details of the performance of such LHFI that have been modified in the preceding twelve months as of June 30, 2026 and 2025 ($ in thousands):


	June 30, 2026
	Past Due
	30-59 Days		60-89 Days		90 Days or More		Total Past Due		Current Loans		Total
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	113	$	—	$	99	$	212	$	3,275	$	3,487
Other loans secured by real estate:
Secured by 1-4 family residential properties		—		—		40		40		557		597
Total	$	113	$	—	$	139	$	252	$	3,832	$	4,084


	June 30, 2025
	Past Due
	30-59 Days		60-89 Days		90 Days or More		Total Past Due		Current Loans		Total
Loans secured by real estate:
Other secured by 1-4 family residential properties	$	128	$	644	$	—	$	772	$	2,360	$	3,132
Other real estate secured		—		—		—		—		14,744		14,744
Other loans secured by real estate:
Secured by 1-4 family residential properties		642		—		—		642		5,233		5,875
Commercial and industrial loans		—		—		18,372		18,372		570		18,942
Total	$	770	$	644	$	18,372	$	19,786	$	22,907	$	42,693

Collateral-Dependent Loans

The following tables present the amortized cost basis of collateral-dependent loans by class of loans and collateral type as of June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	Real Estate		Vehicles		Miscellaneous		Total
Loans secured by real estate:
Construction, land development and other land	$	150	$	—	$	—	$	150
Other secured by 1-4 family residential properties		931		—		—		931
Secured by nonfarm, nonresidential properties		9,086		—		—		9,086
Other real estate secured		15,193		—		—		15,193
Commercial and industrial loans		—		856		19,492		20,348
Consumer loans		—		—		87		87
Other commercial loans and leases		—		420		764		1,184
Total	$	25,360	$	1,276	$	20,343	$	46,979


	December 31, 2025
	Real Estate		Vehicles		Miscellaneous		Total
Loans secured by real estate:
Construction, land development and other land	$	156	$	—	$	—	$	156
Other secured by 1-4 family residential properties		848		—		—		848
Secured by nonfarm, nonresidential properties		2,531		—		—		2,531
Other real estate secured		15,234		—		—		15,234
Other loans secured by real estate:
Secured by 1-4 family residential properties		3,414		—		—		3,414
Commercial and industrial loans		—		1,554		250		1,804
Consumer loans		—		—		103		103
Other commercial loans and leases		—		—		764		764
Total	$	22,183	$	1,554	$	1,117	$	24,854

A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The following provides a qualitative description by class of loan of the collateral that secures Trustmark’s collateral-dependent LHFI:

•

Construction, land development and other land – Loans within this loan class are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.

•

Other secured by 1-4 family residential properties – Loans within this loan class are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.

•

Secured by nonfarm, nonresidential properties – Loans within this loan class are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.

•

Other real estate secured – Loans within this loan class are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.

•

Commercial and industrial loans – Loans within this loan class are primarily secured by inventory, accounts receivables, equipment and other non-real estate collateral. One new relationship was classified as collateral dependent during the second quarter of 2026. Additionally, the new relationship had a decrease in collateral value that secures the relationship. There have been no other significant changes to the collateral that secures these financial assets during the period.

•

Consumer loans – Loans within this loan class are secured by non-real estate collateral. There have been no significant changes to the collateral that secures these financial assets during the period.

•

Other commercial loans and leases – Loans and leases within this loan class are secured by non-real estate collateral. During the second quarter of 2026, one relationship had a decrease in collateral value that secures the credit. There have been no other significant changes to the collateral that secures these financial assets during the period.

Credit Quality Indicators

Trustmark’s LHFI portfolio credit quality indicators focus on six key quality ratios that are compared against bank tolerances. The loan indicators are total classified outstanding, total criticized outstanding, nonperforming loans, nonperforming assets, delinquencies and net loan losses. Due to the homogeneous nature of consumer loans, Trustmark does not assign a formal internal risk rating to each credit and therefore the criticized and classified measures are primarily composed of commercial loans.

In addition to monitoring portfolio credit quality indicators, Trustmark also measures how effectively the lending process is being managed and risks are being identified. As part of an ongoing monitoring process, Trustmark grades the commercial portfolio segment as it relates to credit file completion and financial statement exceptions, underwriting, collateral documentation and compliance with law as shown below:

•

Credit File Completeness and Financial Statement Exceptions – evaluates the quality and condition of credit files in terms of content and completeness and focuses on efforts to obtain and document sufficient information to determine the quality and status of credits. Also included is an evaluation of the systems/procedures used to ensure compliance with policy.

•

Underwriting – evaluates whether credits are adequately analyzed, appropriately structured and properly approved within loan policy requirements. A properly approved credit is approved by an adequate authority in a timely manner with all conditions of approval fulfilled. Total policy exceptions measure the level of underwriting and other policy exceptions within a portfolio segment.

•

Collateral Documentation – focuses on the adequacy of documentation to perfect Trustmark’s collateral position and substantiate collateral value. Collateral exceptions measure the level of documentation exceptions within a portfolio segment. Collateral exceptions occur when certain collateral documentation is either not present or not current.

•

Compliance with Law – focuses on underwriting, documentation, approval and reporting in compliance with banking laws and regulations. Primary emphasis is directed to the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), Regulation O requirements and regulations governing appraisals.

Commercial Credits

Trustmark has established a loan grading system that consists of ten individual credit risk grades (risk ratings) that encompass a range from loans where the expectation of loss is negligible to loans where loss has been established. The model is based on the risk of default for an individual credit and establishes certain criteria to delineate the level of risk across the ten unique credit risk grades. Credit risk grade definitions are as follows:

•

Risk Rate (RR) 1 through RR 6 – Grades one through six represent groups of loans that are not subject to criticism as defined in regulatory guidance. Loans in these groups exhibit characteristics that represent low to moderate risk measured by using a variety of credit risk criteria such as cash flow coverage, debt service coverage, balance sheet leverage, liquidity, management experience, industry position, prevailing economic conditions, support from secondary sources of repayment and other credit factors that may be relevant to a specific loan. In general, these loans are supported by properly margined collateral and guarantees of principal parties.

•

Other Assets Especially Mentioned (Special Mention) (RR 7) – a loan that has a potential weakness that if not corrected will lead to a more severe rating. This rating is for credits that are currently protected but potentially weak because of an adverse feature or condition that if not corrected will lead to a further downgrade.

•

Substandard (RR 8) – a loan that has at least one identified weakness that is well defined. This rating is for credits where the primary sources of repayment are not viable at the time of evaluation or where either the capital or collateral is not adequate to support the loan and the secondary means of repayment do not provide a sufficient level of support to offset the identified weakness. Loss potential exists in the aggregate amount of substandard loans but does not necessarily exist in individual loans.

•

Doubtful (RR 9) – a loan with an identified weakness that does not have a valid secondary source of repayment. Generally, these credits have an impaired primary source of repayment and secondary sources are not sufficient to prevent a loss in the credit. The exact amount of the loss has not been determined at this time.

•

Loss (RR 10) – a loan or a portion of a loan that is deemed to be uncollectible.

By definition, credit risk grades special mention (RR 7), substandard (RR 8), doubtful (RR 9) and loss (RR 10) are criticized loans while substandard (RR 8), doubtful (RR 9) and loss (RR 10) are classified loans. These definitions are standardized by all bank regulatory agencies and are generally equally applied to each individual lending institution. The remaining credit risk grades are considered pass credits and are solely defined by Trustmark.

To enhance this process, Trustmark has determined that certain loans will be individually assessed, and a formal analysis will be performed and based upon the analysis the loan will be written down to the net realizable value. Trustmark will individually assess and remove loans from the pool in the following circumstances:

•

Commercial nonaccrual loans with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more.

•

Any loan that is believed to not share similar risk characteristics with the rest of the pool will be individually assessed. Otherwise, the loan will be left within the pool based on the results of the assessment.

•

Commercial accruing loans deemed to be a modified loan to a borrower experiencing financial difficulty with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more. If the loan is believed to not share similar risk characteristics with the rest of the loan pool, the loan will be individually assessed. Otherwise, the loan will be left within the pool and monitored on an ongoing basis.

Each loan officer assesses the appropriateness of the internal risk rating assigned to their credits on an ongoing basis. Trustmark’s Asset Review area conducts independent credit quality reviews of the majority of Trustmark’s commercial loan portfolio both on the underlying credit quality of each individual loan class as well as the adherence to Trustmark’s loan policy and the loan administration process.

In addition to the ongoing internal risk rate monitoring described above, Trustmark’s Credit Quality Review Committee meets monthly and performs a review of all loans of $100 thousand or more that are either delinquent 30 days or more or on nonaccrual. This review includes recommendations regarding risk ratings, accrual status, charge-offs and appropriate servicing officer as well as evaluation of problem credits for determination of modified status. Quarterly, the Credit Quality Review Committee reviews and modifies continuous action plans for all credits risk rated seven or worse for relationships of $250 thousand or more.

In addition, periodic reviews of significant development, construction, multi-family, nonowner-occupied and other commercial credits are performed. These reviews assess each particular project with respect to location, project valuations, progress of completion, leasing status, current financial information, rents, operating expenses, cash flow, adherence to budget and projections and other information that is pertinent to the particular type of credit as applicable. Summary results are reviewed by Senior and Regional Credit Officers in addition to the Chief Credit and Operations Officer with a determination made as to the appropriateness of existing risk ratings and accrual status.

Consumer Credits

The Retail Credit Review Committee, Management Credit Policy Committee and the Enterprise Risk Committee review the volume and percentage of consumer loan delinquencies and losses to monitor the overall quality of the consumer portfolio.

Trustmark monitors the levels and severity of past due consumer LHFI on a daily basis through its collection activities. A detailed assessment of consumer LHFI delinquencies is performed monthly at both a product and market level.

The tables below present the amortized cost basis of loans by credit quality indicator, class of loans and year of origination, renewal or major modification based on analyses performed at June 30, 2026 and December 31, 2025 ($ in thousands):


	Term Loans by Origination Year
	2026		2025		2024		2023		2022		Prior		Revolving Loans		Total
As of June 30, 2026	Commercial LHFI
Loans secured by real estate:
Construction, land development and other land:
Pass - RR 1 through RR 6	$	180,959	$	195,900	$	26,601	$	12,526	$	11,541	$	5,198	$	44,578	$	477,303
Special Mention - RR 7		3,998		5,289		1,327		—		—		—		—		10,614
Substandard - RR 8		83		3,360		—		—		200		—		—		3,643
Doubtful - RR 9		—		—		—		—		—		—		—		—
Total		185,040		204,549		27,928		12,526		11,741		5,198		44,578		491,560
Current period gross charge-offs		—		—		—		—		—		—		—		—

Other secured by 1-4 family residential properties:
Pass - RR 1 through RR 6	$	24,735	$	38,841	$	20,226	$	15,835	$	15,283	$	13,716	$	9,135	$	137,771
Special Mention - RR 7		—		—		61		149		147		11		1		369
Substandard - RR 8		21		477		—		107		1,199		574		—		2,378
Doubtful - RR 9		—		—		—		—		—		—		—		—
Total		24,756		39,318		20,287		16,091		16,629		14,301		9,136		140,518
Current period gross charge-offs		—		—		—		—		—		—		—		—

Secured by nonfarm, nonresidential properties:
Pass - RR 1 through RR 6	$	429,939	$	736,010	$	362,794	$	295,567	$	478,980	$	606,129	$	121,542	$	3,030,961
Special Mention - RR 7		21,947		5,671		12,705		22		613		3,937		—		44,895
Substandard - RR 8		6,390		18,595		9,179		8,108		18,301		60,427		1,944		122,944
Doubtful - RR 9		—		—		—		—		—		—		—		—
Total		458,276		760,276		384,678		303,697		497,894		670,493		123,486		3,198,800
Current period gross charge-offs		—		—		—		—		—		—		—		—

Other real estate secured:
Pass - RR 1 through RR 6	$	136,147	$	217,453	$	258,591	$	613,498	$	428,325	$	137,552	$	46,408	$	1,837,974
Special Mention - RR 7		—		—		—		—		91,719		—		—		91,719
Substandard - RR 8		—		—		—		14,959		44,577		311		366		60,213
Doubtful - RR 9		—		—		—		—		—		—		—		—
Total		136,147		217,453		258,591		628,457		564,621		137,863		46,774		1,989,906
Current period gross charge-offs		—		—		—		—		—		—		—		—


	Term Loans by Origination Year
	2026		2025			2024			2023			2022			Prior			Revolving Loans			Total
As of June 30, 2026	Commercial LHFI
Other loans secured by real estate:
Other construction:
Pass - RR 1 through RR 6	$	65,316	$	252,520		$	265,024		$	67,840		$	—		$	—		$	10,369		$	661,069
Special Mention - RR 7		—		—			—			—			—			—			—			—
Substandard - RR 8		—		—			—			—			—			—			—			—
Doubtful - RR 9		—		—			—			—			—			—			—			—
Total		65,316		252,520			265,024			67,840			—			—			10,369			661,069
Current period gross charge-offs		—		—			—			—			—			—			—			—

Commercial and industrial loans:
Pass - RR 1 through RR 6	$	419,539	$	730,984		$	241,395		$	132,127		$	58,493		$	38,371		$	615,215		$	2,236,124
Special Mention - RR 7		72		175			13,018			4,038			111			1			1,812			19,227
Substandard - RR 8		9,684		898			913			12,587			1,642			594			12,989			39,307
Doubtful - RR 9		10		—			34			2			2			—			15			63
Total		429,305		732,057			255,360			148,754			60,248			38,966			630,031			2,294,721
Current period gross charge-offs		—		(111	)		(407	)		(89	)		(252	)		(209	)		(546	)		(1,614	)

State and other political subdivision loans:
Pass - RR 1 through RR 6	$	49,945	$	298,542		$	100,352		$	60,084		$	166,980		$	337,556		$	33,052		$	1,046,511
Special Mention - RR 7		—		—			—			—			—			—			—			—
Substandard - RR 8		—		—			—			—			—			—			—			—
Doubtful - RR 9		—		—			—			—			—			—			—			—
Total		49,945		298,542			100,352			60,084			166,980			337,556			33,052			1,046,511
Current period gross charge-offs		—		—			—			—			—			—			—			—

Other commercial loans and leases:
Pass - RR 1 through RR 6	$	159,486	$	289,118		$	107,545		$	88,150		$	3,127		$	50,504		$	224,751		$	922,681
Special Mention - RR 7		—		—			2,160			—			15			—			—			2,175
Substandard - RR 8		—		148			—			1,248			2			—			172			1,570
Doubtful - RR 9		—		—			2			—			—			—			—			2
Total		159,486		289,266			109,707			89,398			3,144			50,504			224,923			926,428
Current period gross charge-offs		—		—			(15	)		—			—			—			—			(15	)

Total commercial LHFI	$	1,508,271	$	2,793,981		$	1,421,927		$	1,326,847		$	1,321,257		$	1,254,881		$	1,122,349		$	10,749,513
Total commercial LHFI gross charge-offs	$	—	$	(111	)	$	(422	)	$	(89	)	$	(252	)	$	(209	)	$	(546	)	$	(1,629	)


	Term Loans by Origination Year
	2026			2025			2024			2023			2022			Prior			Revolving Loans			Total
As of June 30, 2026	Consumer LHFI
Loans secured by real estate:
Construction, land development and other land:
Current	$	10,738		$	33,366		$	9,210		$	6,707		$	1,913		$	2,170		$	—		$	64,104
Past due 30-89 days		—			—			—			—			—			16			—			16
Past due 90 days or more		—			—			—			—			—			—			—			—
Nonaccrual		—			—			4			47			—			—			—			51
Total		10,738			33,366			9,214			6,754			1,913			2,186			—			64,171
Current period gross charge-offs		—			—			—			—			—			—			—			—

Other secured by 1-4 family residential properties:
Current	$	8,745		$	13,897		$	15,053		$	13,139		$	4,765		$	11,245		$	499,516		$	566,360
Past due 30-89 days		30			6			10			76			11			705			4,130			4,968
Past due 90 days or more		—			—			—			—			—			76			544			620
Nonaccrual		—			6			125			717			37			343			7,668			8,896
Total		8,775			13,909			15,188			13,932			4,813			12,369			511,858			580,844
Current period gross charge-offs		—			—			—			—			(5	)		(64	)		(677	)		(746	)

Other real estate secured:
Current	$	32		$	447		$	134		$	—		$	—		$	31		$	—		$	644
Past due 30-89 days		—			—			—			—			—			—			—			—
Past due 90 days or more		—			—			—			—			—			—			—			—
Nonaccrual		—			—			—			—			—			—			—			—
Total		32			447			134			—			—			31			—			644
Current period gross charge-offs		—			—			—			—			—			—			—			—

Other loans secured by real estate:
Secured by 1-4 family residential properties:
Current	$	225,166		$	308,674		$	207,401		$	177,664		$	674,022		$	741,114		$	—		$	2,334,041
Past due 30-89 days		277			—			297			4,217			7,538			3,029			—			15,358
Past due 90 days or more		—			—			235			606			290			829			—			1,960
Nonaccrual		—			4			448			511			2,592			2,289			—			5,844
Total		225,443			308,678			208,381			182,998			684,442			747,261			—			2,357,203
Current period gross charge-offs		(18	)		(278	)		(39	)		(1,446	)		(3,283	)		(1,726	)		—			(6,790	)

Consumer loans:
Current	$	32,733		$	32,675		$	21,459		$	4,878		$	6,381		$	6,571		$	53,118		$	157,815
Past due 30-89 days		455			139			223			55			10			—			1,118			2,000
Past due 90 days or more		14			26			32			11			—			—			402			485
Nonaccrual		9			129			55			109			19			14			13			348
Total		33,211			32,969			21,769			5,053			6,410			6,585			54,651			160,648
Current period gross charge-offs		(2,686	)		(328	)		(181	)		(51	)		—			(1	)		(1,083	)		(4,330	)

Total consumer LHFI	$	278,199		$	389,369		$	254,686		$	208,737		$	697,578		$	768,432		$	566,509		$	3,163,510
Total consumer LHFI gross charge-offs	$	(2,704	)	$	(606	)	$	(220	)	$	(1,497	)	$	(3,288	)	$	(1,791	)	$	(1,760	)	$	(11,866	)

Total LHFI	$	1,786,470		$	3,183,350		$	1,676,613		$	1,535,584		$	2,018,835		$	2,023,313		$	1,688,858		$	13,913,023
Total current period gross charge-offs	$	(2,704	)	$	(717	)	$	(642	)	$	(1,586	)	$	(3,540	)	$	(2,000	)	$	(2,306	)	$	(13,495	)


	Term Loans by Origination Year
	2025		2024			2023		2022			2021			Prior			Revolving Loans		Total
As of December 31, 2025	Commercial LHFI
Loans secured by real estate:
Construction, land development and other land:
Pass - RR 1 through RR 6	$	326,423	$	70,948		$	16,432	$	17,197		$	7,610		$	1,664		$	47,981	$	488,255
Special Mention - RR 7		—		—			—		—			—			—			—		—
Substandard - RR 8		3,308		1,409			—		602			85			—			—		5,404
Doubtful - RR 9		—		—			—		—			—			—			—		—
Total		329,731		72,357			16,432		17,799			7,695			1,664			47,981		493,659
Current period gross charge-offs		—		—			—		—			—			—			—		—

Other secured by 1-4 family residential properties:
Pass - RR 1 through RR 6	$	42,929	$	22,620		$	18,353	$	18,748		$	19,248		$	3,294		$	7,497	$	132,689
Special Mention - RR 7		—		25			—		349			85			—			—		459
Substandard - RR 8		299		272			319		747			546			296			16		2,495
Doubtful - RR 9		—		—			—		—			—			—			—		—
Total		43,228		22,917			18,672		19,844			19,879			3,590			7,513		135,643
Current period gross charge-offs		—		—			—		(3	)		(122	)		—			—		(125	)

Secured by nonfarm, nonresidential properties:
Pass - RR 1 through RR 6	$	817,790	$	434,506		$	348,386	$	614,738		$	334,813		$	427,591		$	145,497	$	3,123,321
Special Mention - RR 7		—		1,298			23,975		284			—			1,124			—		26,681
Substandard - RR 8		38,224		9,304			2,537		39,015			29,540			33,821			1,979		154,420
Doubtful - RR 9		—		—			—		—			—			1			—		1
Total		856,014		445,108			374,898		654,037			364,353			462,537			147,476		3,304,423
Current period gross charge-offs		—		—			—		—			—			(2,026	)		—		(2,026	)

Other real estate secured:
Pass - RR 1 through RR 6	$	290,854	$	139,454		$	613,122	$	678,691		$	115,394		$	80,235		$	61,191	$	1,978,941
Special Mention - RR 7		—		—			—		25,376			—			—			—		25,376
Substandard - RR 8		—		—			22,392		69,577			332			26,843			163		119,307
Doubtful - RR 9		—		—			—		—			—			—			—		—
Total		290,854		139,454			635,514		773,644			115,726			107,078			61,354		2,123,624
Current period gross charge-offs		—		(4	)		—		—			—			—			—		(4	)


	Term Loans by Origination Year
	2025		2024			2023			2022			2021			Prior			Revolving Loans			Total
As of December 31, 2025	Commercial LHFI
Other loans secured by real estate:
Other construction:
Pass - RR 1 through RR 6	$	122,237	$	275,146		$	173,752		$	23,284		$	—		$	—		$	819		$	595,238
Special Mention - RR 7		—		—			—			—			—			—			—			—
Substandard - RR 8		—		—			—			—			—			—			—			—
Doubtful - RR 9		—		—			—			—			—			—			—			—
Total		122,237		275,146			173,752			23,284			—			—			819			595,238
Current period gross charge-offs		—		—			—			—			—			—			—			—

Commercial and industrial loans:
Pass - RR 1 through RR 6	$	803,487	$	303,777		$	172,506		$	88,388		$	39,304		$	20,251		$	523,797		$	1,951,510
Special Mention - RR 7		4,522		602			14,230			119			49			77			15,816			35,415
Substandard - RR 8		2,059		377			470			3,245			683			434			5,173			12,441
Doubtful - RR 9		7		42			16			6			—			1			26			98
Total		810,075		304,798			187,222			91,758			40,036			20,763			544,812			1,999,464
Current period gross charge-offs		—		(708	)		(982	)		(4,016	)		(432	)		(6,389	)		(486	)		(13,013	)

State and other political subdivision loans:
Pass - RR 1 through RR 6	$	300,564	$	109,516		$	64,228		$	180,530		$	97,517		$	286,979		$	22,250		$	1,061,584
Special Mention - RR 7		—		—			—			—			—			—			—			—
Substandard - RR 8		—		—			—			—			—			—			—			—
Doubtful - RR 9		—		—			—			—			—			—			—			—
Total		300,564		109,516			64,228			180,530			97,517			286,979			22,250			1,061,584
Current period gross charge-offs		—		—			—			—			—			—			—			—

Other commercial loans and leases:
Pass - RR 1 through RR 6	$	311,342	$	125,090		$	113,861		$	4,356		$	4,352		$	55,946		$	198,576		$	813,523
Special Mention - RR 7		—		414			362			—			—			—			—			776
Substandard - RR 8		14		1,725			1,917			369			462			29			1,038			5,554
Doubtful - RR 9		—		3			—			—			—			—			—			3
Total		311,356		127,232			116,140			4,725			4,814			55,975			199,614			819,856
Current period gross charge-offs		—		(54	)		—			(116	)		—			(50	)		—			(220	)

Total commercial LHFI	$	3,064,059	$	1,496,528		$	1,586,858		$	1,765,621		$	650,020		$	938,586		$	1,031,819		$	10,533,491
Total commercial LHFI gross charge-offs	$	—	$	(766	)	$	(982	)	$	(4,135	)	$	(554	)	$	(8,465	)	$	(486	)	$	(15,388	)


	Term Loans by Origination Year
	2025		2024			2023		2022			2021		Prior			Revolving Loans			Total
As of December 31, 2025	Consumer LHFI
Loans secured by real estate:
Construction, land development and other land:
Current	$	30,069	$	9,491		$	10,191	$	2,500		$	1,198	$	1,638		$	—		$	55,087
Past due 30-89 days		—		222			321		—			—		1			—			544
Past due 90 days or more		—		—			—		—			—		—			—			—
Nonaccrual		—		—			9		—			54		—			—			63
Total		30,069		9,713			10,521		2,500			1,252		1,639			—			55,694
Current period gross charge-offs		—		—			—		—			—		—			—			—

Other secured by 1-4 family residential properties:
Current	$	22,785	$	18,105		$	13,944	$	5,352		$	4,352	$	8,656		$	481,812		$	555,006
Past due 30-89 days		321		189			643		36			1		509			3,632			5,331
Past due 90 days or more		—		—			—		—			2		—			518			520
Nonaccrual		26		39			124		49			145		192			7,439			8,014
Total		23,132		18,333			14,711		5,437			4,500		9,357			493,401			568,871
Current period gross charge-offs		—		(10	)		—		(56	)		—		(31	)		(714	)		(811	)

Secured by nonfarm, nonresidential properties:
Current	$	100	$	—		$	—	$	—		$	—	$	—		$	—		$	100
Past due 30-89 days		—		—			—		—			—		—			—			—
Past due 90 days or more		—		—			—		—			—		—			—			—
Nonaccrual		—		—			—		—			—		—			—			—
Total		100		—			—		—			—		—			—			100
Current period gross charge-offs		—		—			—		—			—		—			—			—

Other real estate secured:
Current	$	466	$	141		$	—	$	—		$	—	$	41		$	—		$	648
Past due 30-89 days		—		—			—		—			—		—			—			—
Past due 90 days or more		—		—			—		—			—		—			—			—
Nonaccrual		—		—			—		—			—		—			—			—
Total		466		141			—		—			—		41			—			648
Current period gross charge-offs		—		—			—		—			—		—			—			—


	Term Loans by Origination Year
	2025			2024			2023			2022			2021			Prior			Revolving Loans			Total
As of December 31, 2025	Consumer LHFI
Other loans secured by real estate:
Secured by 1-4 family residential properties:
Current	$	325,999		$	227,009		$	193,722		$	712,091		$	408,534		$	395,901		$	—		$	2,263,256
Past due 30-89 days		—			167			3,670			9,108			4,949			3,100			—			20,994
Past due 90 days or more		—			—			866			1,598			134			534			—			3,132
Nonaccrual		505			901			13,238			31,622			10,713			7,314			—			64,293
Total		326,504			228,077			211,496			754,419			424,330			406,849			—			2,351,675
Current period gross charge-offs		—			—			(619	)		(1,276	)		(142	)		(74	)		—			(2,111	)

Consumer loans:
Current	$	54,959		$	27,573		$	7,898		$	7,587		$	6,892		$	239		$	55,321		$	160,469
Past due 30-89 days		597			228			143			31			13			—			1,440			2,452
Past due 90 days or more		28			32			17			1			—			—			370			448
Nonaccrual		117			43			155			36			23			2			9			385
Total		55,701			27,876			8,213			7,655			6,928			241			57,140			163,754
Current period gross charge-offs		(4,847	)		(494	)		(474	)		(114	)		(24	)		(26	)		(2,459	)		(8,438	)

Total consumer LHFI	$	435,972		$	284,140		$	244,941		$	770,011		$	437,010		$	418,127		$	550,541		$	3,140,742
Total consumer LHFI gross charge-offs	$	(4,847	)	$	(504	)	$	(1,093	)	$	(1,446	)	$	(166	)	$	(131	)	$	(3,173	)	$	(11,360	)

Total LHFI	$	3,500,031		$	1,780,668		$	1,831,799		$	2,535,632		$	1,087,030		$	1,356,713		$	1,582,360		$	13,674,233
Total current period gross charge-offs	$	(4,847	)	$	(1,270	)	$	(2,075	)	$	(5,581	)	$	(720	)	$	(8,596	)	$	(3,659	)	$	(26,748	)

Past Due LHFS

LHFS past due 90 days or more totaled $109.5 million and $98.9 million at June 30, 2026 and December 31, 2025, respectively. LHFS past due 90 days or more are serviced loans eligible for repurchase, which are fully guaranteed by the Government National Mortgage Association (GNMA). GNMA optional repurchase programs allow financial institutions to buy back individual delinquent mortgage loans that meet certain criteria from the securitized loan pool for which the institution provides servicing. At the servicer’s option and without GNMA’s prior authorization, the servicer may repurchase such a delinquent loan for an amount equal to 100% of the remaining principal balance of the loan. This buy-back option is considered a conditional option until the delinquency criteria are met, at which time the option becomes unconditional. When Trustmark is deemed to have regained effective control over these loans under the unconditional buy-back option, the loans can no longer be reported as sold and must be brought back onto the balance sheet as loans held for sale, regardless of whether Trustmark intends to exercise the buy-back option. These loans are reported as held for sale with the offsetting liability being reported as short-term borrowings.

Trustmark did not exercise its buy-back option on any delinquent loans serviced for GNMA during the first six months of 2026 or 2025.

ACL on LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within the Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost,” as well as applicable regulatory guidance. The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL for LHFI. The ACL is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL for LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The methodology for estimating the amount of expected credit losses reported in the ACL has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit

losses for such individual loans. In estimating the ACL for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics.

The loans secured by real estate and other loans secured by real estate portfolio segments include loans for both commercial and residential properties. The underwriting process for these loans includes analysis of the financial position and strength of both the borrower and guarantor, experience with similar projects in the past, market demand and prospects for successful completion of the proposed project within the established budget and schedule, values of underlying collateral, availability of permanent financing, maximum loan-to-value ratios, minimum equity requirements, acceptable amortization periods and minimum debt service coverage requirements, based on property type. The borrower’s financial strength and capacity to repay their obligations remain the primary focus of underwriting. Financial strength is evaluated based upon analytical tools that consider historical and projected cash flows and performance in addition to analysis of the proposed project for income-producing properties. Additional support offered by guarantors is also considered. Ultimate repayment of these loans is sensitive to interest rate changes, general economic conditions, liquidity and availability of long-term financing.

The commercial and industrial loans portfolio segment includes loans made to many types of businesses for various purposes, such as short-term working capital loans that are usually secured by accounts receivable and inventory and term financing for equipment and fixed asset purchases that are secured by those assets. Trustmark’s credit underwriting process for commercial and industrial loans includes analysis of historical and projected cash flows and performance, evaluation of financial strength of both borrowers and guarantors as reflected in current and detailed financial information and evaluation of underlying collateral to support the credit.

The consumer loans portfolio segment is comprised of loans that are centrally underwritten based on the borrower's credit bureau score as well as an evaluation of the borrower’s repayment capacity, credit, and collateral. Property appraisals are obtained to assist in evaluating collateral. Loan-to-value and debt-to-income ratios, loan amount, and lien position are also considered in assessing whether to originate a loan. These borrowers are particularly susceptible to downturns in economic trends such as conditions that negatively affect housing prices and demand and levels of unemployment.

The state and other political subdivision loans and the other commercial loans and leases portfolio segments primarily consist of loans to non-depository financial institutions, such as mortgage companies, finance companies and other financial intermediaries, loans to state and political subdivisions, and loans to non-profit and charitable organizations. These loans are underwritten based on the specific nature or purpose of the loan and underlying collateral with special consideration given to the specific source of repayment for the loan. The lease segment primarily consists of commercial equipment finance leases. Trustmark’s credit underwriting process for equipment finance leases includes analysis of historical and projected cash flows and performance, evaluation of financial strength of both lessees and guarantors as reflected in current and detailed financial information and evaluation of underlying collateral to support the credit.

During the first quarter of 2026, as part of Trustmark's ongoing model monitoring procedures, the annual loss driver analysis was performed. The analysis resulted in changes in the loss drivers for eight discounted cash-flow models and two WARM models. These changes were a result of incorporating data through 2025 coupled with updating the peer group as a result of acquisitions that occurred during 2025. Collectively, these changes enhanced the statistical relationship between the selected loss drivers and historical loss experience, resulting in improved model alignment with observed credit performance. All models were validated by a third party before implementation.

During the first quarter of 2025, as part of Trustmark's ongoing model monitoring procedures, the annual loss driver analysis was performed. The analysis resulted in changes in the loss drivers for four discounted cash-flow models. These changes were a result of incorporating data through 2024 which led to more intuitive loss drivers. All models were validated by a third party before implementation.

The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers at June 30, 2026 and December 31, 2025:


Portfolio Segment	Loan Class	Loan Pool	Methodology	Loss Drivers
Loans secured by real estate	Construction, land development and other land	1-4 family residential construction	DCF	BBB 7-10 US CBI, National HPI (1)
		Lots and development	DCF	National HPI, Southern Unemployment (1)
		Unimproved land	DCF	National HPI, Southern Unemployment (1)
		All other consumer	DCF	BBB 7-10 US CBI (2), Southern Unemployment (1)
	Other secured by 1-4 family residential properties	Consumer 1-4 family - 1st liens	DCF	National HPI, Southern Unemployment
		All other consumer	DCF	BBB 7-10 US CBI (2), Southern Unemployment (1)
		Nonresidential owner-occupied	DCF	Southern Unemployment, BBB 7-10 US CBI (4)
	Secured by nonfarm, nonresidential properties	Nonowner-occupied - hotel/motel	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonowner-occupied - office	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonowner-occupied- Retail	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonowner-occupied - senior living/nursing homes	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonowner-occupied - all other	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonresidential owner-occupied	DCF	BBB 7-10 US CBI (4), Southern Unemployment
	Other real estate secured	Nonresidential nonowner -occupied - apartments	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
		Nonresidential owner-occupied	DCF	BBB 7-10 US CBI (4), Southern Unemployment
		Nonowner-occupied - all other	DCF	BBB 7-10 US CBI (4), National Unemployment (5)
Other loans secured by real estate	Other construction	Other construction	DCF	National Unemployment, BBB 7-10 US CBI, (4)
	Secured by 1-4 family residential properties	Trustmark mortgage	WARM	Southern Unemployment, National HPI (5)
Commercial and industrial loans	Commercial and industrial loans	Commercial and industrial - non-working capital	DCF	Trustmark historical data
		Commercial and industrial - working capital	DCF	Trustmark historical data
		Equipment finance loans	WARM	Southern Unemployment, BBB 7-10 US CBI (3)
		Credit cards	WARM	Trustmark call report data
Consumer loans	Consumer loans	Credit cards	WARM	Trustmark call report data
		Overdrafts	Loss Rate	Trustmark historical data
		All other consumer	DCF	BBB 7-10 US CBI (2), Southern Unemployment (1)
State and other political subdivision loans	State and other political subdivision loans	Obligations of state and political subdivisions	DCF	Moody's Bond Default Study
Other commercial loans and leases	Other commercial loans and leases	Other loans	DCF	BBB 7-10 US CBI, Southern Unemployment
		Commercial and industrial - non-working capital	DCF	Trustmark historical data
		Commercial and industrial - working capital	DCF	Trustmark historical data
		Equipment finance leases	WARM	Southern Unemployment, BBB 7-10 US CBI (3)

(1) Loss driver was National Unemployment at December 31, 2025.

(2) Loss driver was National HPI at December 31, 2025.

(3) Loss driver was National GDP at December 31, 2025.

(4) Loss driver was National CRE Price Index at December 31, 2025.

(5) Loss driver was Southern Unemployment at December 31, 2025.

In general, Trustmark utilizes a DCF method to estimate the quantitative portion of the ACL for loan pools. The DCF model consists of two key components, a loss driver analysis (LDA) and a cash flow analysis. For loan pools utilizing the DCF methodology, multiple assumptions are in place, depending on the loan pool. A reasonable and supportable forecast is utilized for each loan pool by developing a LDA for each loan class. The LDA uses charge off data from Federal Financial Institutions Examination Council (FFIEC) reports to construct a periodic default rate (PDR). The PDR is decomposed into a PD. Regressions are run using the data for various macroeconomic variables in order to determine which ones correlate to Trustmark’s losses. These variables are then incorporated into the application to calculate a quarterly PD using a third-party baseline forecast. In addition to the PD, a LGD is derived using a method referred to as Frye-Jacobs. The Frye-Jacobs method is a mathematical formula that traces the relationship between LGD and PD over time and projects the LGD based on the levels of PD forecasts. This model approach is applicable to all pools within the construction, land development and other land, other secured by 1-4 family residential properties, secured by nonfarm, nonresidential properties and other real estate secured loan classes as well as consumer loans and other commercial loans.

An alternative LDA is utilized to support the PD and LGD assumptions necessary to apply a DCF methodology to the other construction pool. Fundamentally, this approach utilizes publicly reported default balances and leverages a generalized linear model (GLM) framework to estimate PD. Taken together, these differences allow for results to be scaled to be specific and directly applicable to the other construction segment. LGD is assumed to be a through-the-cycle constant based on the actual performance of Trustmark’s other construction segment. These assumptions are then input into the DCF model and used in conjunction with prepayment data to calculate the cash flows at the individual loan level. Management believes this methodology is commensurate with the level of risk in the pool.

For the commercial and industrial loans related pools, Trustmark uses its own PD and LGD data, instead of the macroeconomic variables and the Frye-Jacobs method described above, to calculate the PD and LGD as there were no defensible macroeconomic variables that correlated to Trustmark’s losses. Trustmark utilizes a third-party Bond Default Study to derive the PD and LGD for the obligations of state and political subdivisions pool. Due to the lack of losses within this pool, no defensible macroeconomic factors were identified to correlate.

The PD and LGD measures are used in conjunction with prepayment data as inputs into the DCF model to calculate the cash flows at the individual loan level. Contractual cash flows based on loan terms are adjusted for PD, LGD and prepayments to derive loss cash flows. These loss cash flows are discounted by the loan’s coupon rate to arrive at the discounted cash flow based quantitative loss. The prepayment studies are updated quarterly by a third-party for each applicable pool.

An alternate method of estimating the ACL is used for certain loan pools due to specific characteristics of these loans. For the non-DCF pools, specifically, those using the weighted average remaining maturity (WARM) method, the remaining life is incorporated into the ACL quantitative calculation.

Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools.  To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans.  The econometric models currently in production reflect segment or pool level sensitivities of PD to changes in macroeconomic variables.  By measuring the relationship between defaults and changes in the economy, the quantitative reserve incorporates reasonable and supportable forecasts of future conditions that will affect the value of Trustmark’s assets, as required by FASB ASC Topic 326.  Under stable forecasts, these linear regressions will reasonably predict a pool’s PD.  However, upon the occurrence of events that generate significant economic instability (such as the COVID-19 pandemic), the macroeconomic variables used for reasonable and supportable forecasting can change rapidly and the econometric models, which are sensitive to similar future levels of PD, may not produce reasonably representative results.

In order to prevent the econometric models from extrapolating beyond reasonable boundaries of their input variables, Trustmark chose to establish an upper and lower limit process when applying the periodic forecasts. In this way, Management will not rely upon unobserved and untested relationships in the setting of the quantitative reserve. This approach applies to all current input variables, including: Southern Unemployment, National Unemployment, National Home Price Index (HPI) and the BBB 7-10 Year US Corporate Bond Index (CBI). The upper and lower limits are based on the distribution of the macroeconomic variable by selecting extreme percentiles at the upper and lower limits of the distribution, the 1st and 99th percentiles, respectively. These upper and lower limits are then used to calculate the PD for the forecast time period in which the forecasted values are outside of the upper and lower limit range. Additionally, when periods have a PD or LGD at or near zero as a result of the improving macroeconomic forecasts, Management implemented PD and LGD floors to account for the risk associated with each portfolio. The PD and LGD floors are based on Trustmark’s historical loss experience and applied at a portfolio level.

Qualitative factors used in the ACL methodology include the following:

•

Lending policies and procedures

•

Economic conditions and concentrations of credit

•

Nature and volume of the portfolio

•

Performance trends

•

External factors

While all these factors are incorporated into the overall methodology, only three are currently considered active at June 30, 2026: (i) economic conditions and concentrations of credit, (ii) nature and volume of the portfolio, and (iii) performance trends.

Two of Trustmark’s largest loan classes are the loans secured by nonfarm, nonresidential properties and the loans secured by other real estate. Trustmark elected to create a qualitative factor specifically for these loan classes which addresses changes in the economic conditions of metropolitan areas and applies additional pool level reserves. This qualitative factor is based on third-party market data and forecast trends and is updated quarterly as information is available, by market and by loan pool.

Trustmark's current quantitative methodologies do not completely incorporate changes in credit quality. As a result, Trustmark utilizes the performance trends qualitative factor. This factor is based on migration analyses, that allocates additional ACL to non-pass/delinquent loans within each pool. In this way, Management believes the ACL will directly reflect changes in risk, based on the performance of the loans within a pool, whether declining or improving.

The performance trends qualitative factor is estimated by properly segmenting loan pools into risk levels by risk rating for commercial credits and delinquency status for consumer credits. A migration analysis is then performed quarterly using a third-party software and the results for each risk level are compiled to calculate the historical PD average for each loan portfolio based on risk levels. This average historical PD rate is updated annually. For the mortgage portfolio, Trustmark uses an internal report to incorporate a roll rate method for the calculation of the PD rate. In addition to the PD rate for each portfolio, Management incorporates the quantitative rate and the k value derived from the Frye-Jacobs method to calculate a loss estimate that includes both PD and LGD. The quantitative rate is used to eliminate any additional reserve that the quantitative reserve already includes. Finally, the loss estimate rate is then applied to the total balances for each risk level for each portfolio to calculate a qualitative reserve.

The nature and volume of the portfolio qualitative factor is utilized for a sub-pool of the secured by 1-4 family residential properties due to its significant size as well as the underlying nature being different. The nature and volume of the portfolio qualitative factor utilizes a WARM methodology that uses Trustmark’s historical data for the assumptions to support the qualitative adjustment. Trustmark’s historical data is used to develop a PD based on credit score ranges initially set up as well as using the same LGD value from the mortgage sale that occurred in 2024 along with the same weighted average life assumption utilized to determine the credit mark on this portfolio. During the second quarter of 2026, Trustmark updated the weighted average life assumption and LGD value as a result of the mortgage sale that occurred during the quarter. The sub-pool of credits is then aggregated into the appropriate credit score bands in which a weighted average loss rate is calculated based on the PD and LGD for each credit score range. This weighted average loss rate is then applied to the expected balance for the sub-segment of credits. This total is then used as the qualitative reserve adjustment.

The external factors qualitative factor is Management’s best judgment on the loan or pool level impact of all factors that affect the portfolio that are not accounted for using any other part of the ACL methodology (e.g., natural disasters, changes in legislation, impacts due to technology and pandemics). During 2024, Trustmark activated the External Factor – Credit Quality Review qualitative factor. This qualitative factor ensures reserve adequacy for collectively evaluated commercial loans that may not have been identified and downgraded timely for various reasons. This qualitative factor population is all commercial loans risk rated 1-5. These loans are then applied to the historical average of the Watch/Special Mention rated percentage. Then the balance of these loans are applied additional reserves based on the same reserve rates utilized in the performance trends qualitative factor for Watch/Special Mention rated loans. Then the Watch/Special Mention population is applied the historical Substandard rated percentage and then subsequently applied the Substandard reserve rate utilized in the performance trends qualitative factor as well. The historical Watch/Special Mention and Substandard rated percentage averages captures the weighted average life of the commercial loan portfolio. Thus, Trustmark will allocate additional reserves to capture the proportion of potential Watch/Special Mention and Substandard rated credits that may not have been categorized as such at any given point in time through the life of the commercial loan portfolio.

During the third quarter of 2025, Management determined that the risk related to delayed identification and downgrading of commercial loans had sufficiently diminished and, as a result, resolved the External Factor – Credit Quality Review qualitative factor and released the associated reserves.

The following tables disaggregate the ACL and the amortized cost basis of the loans by the measurement methodology used at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	ACL						LHFI
	Individually Evaluated for Credit Loss		Collectively Evaluated for Credit Loss		Total		Individually Evaluated for Credit Loss		Collectively Evaluated for Credit Loss		Total
Loans secured by real estate:
Construction, land development and other land	$	—	$	8,048	$	8,048	$	150		555,581	$	555,731
Other secured by 1-4 family residential properties		—		14,762		14,762		931		720,431		721,362
Secured by nonfarm, nonresidential properties		1,102		29,347		30,449		9,086		3,189,714		3,198,800
Other real estate secured		—		12,539		12,539		15,193		1,975,357		1,990,550
Other loans secured by real estate:
Other construction		—		5,151		5,151		—		661,069		661,069
Secured by 1-4 family residential properties		—		29,238		29,238		—		2,357,203		2,357,203
Commercial and industrial loans		6,045		25,055		31,100		20,348		2,274,373		2,294,721
Consumer loans		87		6,263		6,350		87		160,561		160,648
State and other political subdivision loans		—		711		711		—		1,046,511		1,046,511
Other commercial loans and leases		204		9,637		9,841		1,184		925,244		926,428
Total	$	7,438	$	140,751	$	148,189	$	46,979	$	13,866,044	$	13,913,023


	December 31, 2025
	ACL						LHFI
	Individually Evaluated for Credit Loss		Collectively Evaluated for Credit Loss		Total		Individually Evaluated for Credit Loss		Collectively Evaluated for Credit Loss		Total
Loans secured by real estate:
Construction, land development and other land	$	—	$	6,632	$	6,632	$	156	$	549,197	$	549,353
Other secured by 1-4 family residential properties		99		13,485		13,584		848		703,666		704,514
Secured by nonfarm, nonresidential properties		141		35,042		35,183		2,531		3,301,992		3,304,523
Other real estate secured		—		20,410		20,410		15,234		2,109,038		2,124,272
Other loans secured by real estate:
Other construction		—		4,889		4,889		—		595,238		595,238
Secured by 1-4 family residential properties		—		41,087		41,087		3,414		2,348,261		2,351,675
Commercial and industrial loans		811		19,758		20,569		1,804		1,997,660		1,999,464
Consumer loans		103		5,740		5,843		103		163,651		163,754
State and other political subdivision loans		—		865		865		—		1,061,584		1,061,584
Other commercial loans and leases		—		8,009		8,009		764		819,092		819,856
Total	$	1,154	$	155,917	$	157,071	$	24,854	$	13,649,379	$	13,674,233

Changes in the ACL, LHFI were as follows for the periods presented ($ in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Balance at beginning of period	$	160,431		$	167,010		$	157,071		$	160,270
Loans charged-off, sale of 1-4 family mortgage loans		(6,316	)		—			(6,316	)		—
Loans charged-off		(3,493	)		(6,380	)		(7,179	)		(10,081	)
Recoveries		2,342			2,261			4,700			4,577
Net (charge-offs) recoveries		(7,467	)		(4,119	)		(8,795	)		(5,504	)
PCL, LHFI		4,452			5,346			9,140			13,471
PCL, LHFI sale of 1-4 family mortgage loans		(9,227	)		—			(9,227	)		—
Balance at end of period	$	148,189		$	168,237		$	148,189		$	168,237

The following tables detail changes in the ACL, LHFI by loan class for the periods presented ($ in thousands):


	Three Months Ended June 30, 2026
	Balance at Beginning of Period		Charge-offs			Recoveries		PCL			Balance at End of Period
Loans secured by real estate:
Construction, land development and other land	$	7,257	$	—		$	30	$	761		$	8,048
Other secured by 1-4 family residential properties		14,477		(140	)		72		353			14,762
Secured by nonfarm, nonresidential properties		31,093		—			291		(935	)		30,449
Other real estate secured		18,187		—			1		(5,649	)		12,539
Other loans secured by real estate:
Other construction		4,695		—			4		452			5,151
Secured by 1-4 family residential properties		43,949		(6,472	)		68		(8,307	)		29,238
Commercial and industrial loans		24,800		(703	)		242		6,761			31,100
Consumer loans		6,137		(2,494	)		1,530		1,177			6,350
State and other political subdivision loans		773		—			—		(62	)		711
Other commercial loans and leases		9,063		—			104		674			9,841
Total	$	160,431	$	(9,809	)	$	2,342	$	(4,775	)	$	148,189

The negative PCL, LHFI for the three months ended June 30, 2026 was primarily due to the sale of the 1-4 family mortgage loans that resulted in a $9.2 million release of reserves coupled with positive credit migration and was partially offset by an increase in required reserves on individually analyzed loans, loan growth and changes in the macroeconomic forecasts.


	Three Months Ended June 30, 2025
	Balance at Beginning of Period		Charge-offs			Recoveries		PCL			Balance at End of Period
Loans secured by real estate:
Construction, land development and other land	$	6,982	$	—		$	194	$	173		$	7,349
Other secured by 1-4 family residential properties		12,476		(139	)		123		205			12,665
Secured by nonfarm, nonresidential properties		39,973		(2,005	)		—		(2,951	)		35,017
Other real estate secured		23,348		—			—		157			23,505
Other loans secured by real estate:
Other construction		9,860		—			1		(1,719	)		8,142
Secured by 1-4 family residential properties		35,602		(550	)		160		3,773			38,985
Commercial and industrial loans		25,396		(1,549	)		264		4,354			28,465
Consumer loans		5,238		(2,121	)		1,458		536			5,111
State and other political subdivision loans		1,605		—			—		(58	)		1,547
Other commercial loans and leases		6,530		(16	)		61		876			7,451
Total	$	167,010	$	(6,380	)	$	2,261	$	5,346		$	168,237

The PCL, LHFI for the three months ended June 30, 2025 was primarily due to loan growth and changes in the macroeconomic forecast.

The negative PCL, LHFI for the secured by nonfarm, nonresidential properties and other construction loans portfolios for the three months ended June 30, 2025 was primarily due to positive credit migration.


	Six Months Ended June 30, 2026
	Balance at Beginning of Period		Charge-offs			Recoveries		PCL			Balance at End of Period
Loans secured by real estate:
Construction, land development and other land	$	6,632	$	—		$	60	$	1,356		$	8,048
Other secured by 1-4 family residential properties		13,584		(746	)		169		1,755			14,762
Secured by nonfarm, nonresidential properties		35,183		—			317		(5,051	)		30,449
Other real estate secured		20,410		—			1		(7,872	)		12,539
Other loans secured by real estate:
Other construction		4,889		—			4		258			5,151
Secured by 1-4 family residential properties		41,087		(6,790	)		113		(5,172	)		29,238
Commercial and industrial loans		20,569		(1,614	)		590		11,555			31,100
Consumer loans		5,843		(4,330	)		3,331		1,506			6,350
State and other political subdivision loans		865		—			—		(154	)		711
Other commercial loans and leases		8,009		(15	)		115		1,732			9,841
Total	$	157,071	$	(13,495	)	$	4,700	$	(87	)	$	148,189

The negative PCL, LHFI for the six months ended June 30, 2026 was primarily due to the sale of the 1-4 family mortgage loans that resulted in a $9.2 million release of reserves coupled with positive credit migration and was partially offset by an increase in required reserves on individually analyzed loans and loan growth.


	Six Months Ended June 30, 2025
	Balance at Beginning of Period		Charge-offs			Recoveries		PCL			Balance at End of Period
Loans secured by real estate:
Construction, land development and other land	$	6,452	$	—		$	196	$	701		$	7,349
Other secured by 1-4 family residential properties		11,347		(307	)		222		1,403			12,665
Secured by nonfarm, nonresidential properties		37,896		(2,005	)		—		(874	)		35,017
Other real estate secured		19,491		—			77		3,937			23,505
Other loans secured by real estate:
Other construction		13,297		—			3		(5,158	)		8,142
Secured by 1-4 family residential properties		32,129		(930	)		441		7,345			38,985
Commercial and industrial loans		27,020		(2,430	)		499		3,376			28,465
Consumer loans		5,141		(4,325	)		3,046		1,249			5,111
State and other political subdivision loans		1,250		—			—		297			1,547
Other commercial loans and leases		6,247		(84	)		93		1,195			7,451
Total	$	160,270	$	(10,081	)	$	4,577	$	13,471		$	168,237

The PCL, LHFI for the six months ended June 30, 2025 was primarily due to loan growth, changes in the macroeconomic forecast, coupled with net adjustments to the qualitative factors due to credit migration and modeling assumption updates to utilize bank historical data.

The negative PCL, LHFI for the other construction and secured by nonfarm, nonresidential properties portfolios for the six months ended June 30, 2025 was primarily due to segmentation migration, positive credit migration and a decline in loan balances.

Note 4 – Mortgage Banking

MSR

The activity in the MSR is detailed in the table below for the periods presented ($ in thousands):


	Six Months Ended June 30,
	2026			2025
Balance at beginning of period	$	131,289		$	139,317
Origination of servicing assets		9,828			6,917
Change in fair value:
Due to market changes		7,282			(7,874	)
Due to run-off		(6,636	)		(5,658	)
Balance at end of period	$	141,763		$	132,702

Trustmark determines the fair value of the MSR using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. Trustmark considers the conditional prepayment rate (CPR), which is an estimated loan prepayment rate that uses historical prepayment rates for previous loans similar to the loans being evaluated, the float rate, which is the interest rate earned on escrow balances, and the discount rate as some of the primary assumptions used in determining the fair value of the MSR. An increase in either the CPR or discount rate assumption will result in a decrease in the fair value of the MSR, while a decrease in either assumption will result in an increase in the fair value of the MSR. An increase in the float rate will result in an increase in the fair value of the MSR, while a decrease in the float rate will result in a decrease in the fair value of the MSR. At June 30, 2026, the fair value of the MSR included an assumed average prepayment speed of 9 CPR and an average discount rate of 10.68% compared to an assumed average prepayment speed of 9 CPR and an average discount rate of 10.65% at June 30, 2025.

Mortgage Loans Serviced/Sold

During the first six months of 2026 and 2025, Trustmark sold $596.8 million and $530.6 million, respectively, of residential mortgage loans. Gains on these sales were recorded as noninterest income in mortgage banking, net and totaled $9.6 million for the first six months of 2026 compared to $9.9 million for the first six months of 2025.

The table below details the mortgage loans sold and serviced for others at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026		December 31, 2025
Federal National Mortgage Association	$	4,706,470	$	4,745,556
Government National Mortgage Association		3,945,321		3,872,151
Federal Home Loan Mortgage Corporation		354,772		314,383
Other		23,348		23,872
Total mortgage loans sold and serviced for others	$	9,029,911	$	8,955,962

Trustmark is subject to losses in its loan servicing portfolio due to loan foreclosures. Trustmark has obligations to either repurchase the outstanding principal balance of a loan or make the purchaser whole for the economic benefits of a loan if it is determined that the loan sold was in violation of representations or warranties made by Trustmark at the time of the sale, herein referred to as mortgage loan servicing putback expenses. Such representations and warranties typically include those made regarding loans that had missing or insufficient file documentation, loans that do not meet investor guidelines, loans in which the appraisal does not support the value and/or loans obtained through fraud by the borrowers or other third parties. Generally, putback requests may be made until the loan is paid in full. However, mortgage loans delivered to Federal National Mortgage Association (FNMA) and Federal Home Loan Mortgage Corporation (FHLMC) on or after January 1, 2013 are subject to the Representations and Warranties Framework, which provides certain instances in which FNMA and FHLMC will not exercise their remedies, including a putback request, for breaches of certain selling representations and warranties, such as payment history and quality control review.

When a putback request is received, Trustmark evaluates the request and takes appropriate actions based on the nature of the request. Trustmark is required by FNMA and FHLMC to provide a response to putback requests within 60 days of the date of receipt. The total mortgage loan servicing putback expense is included in other expense. Trustmark had no mortgage loan servicing putback expense for the three and six months ended June 30, 2026 and 2025. At both June 30, 2026 and 2025, Trustmark had a reserve for mortgage loan servicing putback expenses of $500 thousand.

There is inherent uncertainty in reasonably estimating the requirement for reserves against potential future mortgage loan servicing putback expenses. Future putback expenses are dependent on many subjective factors, including the review procedures of the purchasers and the potential refinance activity on loans sold with servicing released and the subsequent consequences under the representations and warranties. Trustmark believes that it has appropriately reserved for potential mortgage loan servicing putback requests.

Note 5 – Other Real Estate

At June 30, 2026, Trustmark’s geographic other real estate distribution was concentrated in its Alabama, Mississippi and Tennessee market regions. The ultimate recovery of a substantial portion of the carrying amount of other real estate is susceptible to changes in market conditions in these regions.

For the periods presented, changes and gains (losses), net on other real estate were as follows ($ in thousands):


	Six Months Ended June 30,
	2026			2025
Balance at beginning of period	$	6,957		$	5,917
Additions		4,277			5,132
Disposals		(5,846	)		(1,958	)
(Write-downs) recoveries		(180	)		(119	)
Balance at end of period	$	5,208		$	8,972

Gains (losses), net on the sale of other real estate included in other real estate expense	$	(569	)	$	(144	)

At June 30, 2026 and December 31, 2025, other real estate by type of property consisted of the following ($ in thousands):


	June 30, 2026		December 31, 2025
Construction, land development and other land properties	$	149	$	63
1-4 family residential properties		2,661		3,871
Nonfarm, nonresidential properties		2,398		1,273
Other real estate properties		—		1,750
Total other real estate	$	5,208	$	6,957

At June 30, 2026 and December 31, 2025, other real estate by geographic location consisted of the following ($ in thousands):


	June 30, 2026		December 31, 2025
Alabama	$	1,356	$	409
Mississippi (1)		2,870		5,621
Tennessee (2)		982		927
Total other real estate	$	5,208	$	6,957

(1)

Mississippi includes Central and Southern Mississippi Regions.

(2)

Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.

At June 30, 2026, the balance of other real estate included $2.7 million of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property compared to $3.9 million at December 31, 2025. At June 30, 2026 and December 31, 2025, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process was $2.7 million and $8.1 million, respectively.

Note 6 – Leases

Lessor Arrangements

Trustmark leases certain types of machinery and equipment to its customers through sales-type and direct financing leases as part of its equipment financing portfolio. At June 30, 2026, these leases have remaining lease terms of one to nine years, some of which include renewal options and/or options for the lessee to purchase the leased property near or at the end of the lease term. Trustmark recognized interest income from its sales-type and direct financing leases of $6.3 million and $11.9 million for the three and six months ended June

30, 2026, respectively, compared to $4.2 million and $7.8 million for the three and six months ended June 30, 2025, respectively. Trustmark does not have any significant operating leases in which it is the lessor.

The table below summarizes the components of Trustmark's net investment in its sales-type and direct financing leases for the periods presented ($ in thousands):


	June 30, 2026			December 31, 2025
Leases receivable	$	516,234		$	442,096
Unearned income		(74,249	)		(68,283	)
Initial direct costs		3,522			3,236
Unguaranteed lease residual		32,777			24,360
Total net investment	$	478,284		$	401,409

The table below details the minimum future lease payments for Trustmark's leases receivable at June 30, 2026 ($ in thousands):


	June 30, 2026
2026 (excluding the six months ended June 30, 2026)	$	53,234
2027		118,764
2028		107,428
2029		89,282
2030		64,591
Thereafter		82,935
Lease receivable	$	516,234

Lessee Arrangements

The following table details the components of net lease cost for the periods presented ($ in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Finance leases:
Amortization of right-of-use assets	$	113		$	113		$	226		$	226
Interest on lease liabilities		29			34			59			68
Operating lease cost		1,398			1,341			2,750			2,682
Short-term lease cost		131			154			290			319
Variable lease cost		237			223			470			442
Sublease income		(67	)		(76	)		(135	)		(135	)
Net lease cost	$	1,841		$	1,789		$	3,660		$	3,602

The following table details the cash payments included in the measurement of lease liabilities during the periods presented ($ in thousands):


	Six Months Ended June 30,
	2026		2025
Finance leases:
Operating cash flows included in operating activities	$	59	$	68
Financing cash flows included in payments under finance lease obligations		235		225

Operating leases:
Operating cash flows (fixed payments) included in other operating activities, net		2,712		2,637
Operating cash flows (liability reduction) included in other operating activities, net		1,995		1,957

The following table details balance sheet information, as well as weighted-average lease terms and discount rates, related to leases at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026			December 31, 2025
Finance lease right-of-use assets, net of accumulated depreciation	$	2,620		$	2,847
Finance lease liabilities		3,223			3,458
Operating lease right-of-use assets		32,947			32,152
Operating lease liabilities		37,091			36,250

Weighted-average lease term:
Finance leases	5.86 years			6.36 years
Operating leases	8.42 years			8.69 years

Weighted-average discount rate:
Finance leases		3.61	%		3.61	%
Operating leases		4.11	%		4.04	%

At June 30, 2026, future minimum rental commitments under finance and operating leases were as follows ($ in thousands):


	Finance Leases			Operating Leases
2026 (excluding the six months ended June 30, 2026)	$	294		$	2,873
2027		594			5,784
2028		599			5,148
2029		633			4,989
2030		644			4,973
Thereafter		810			20,773
Total minimum lease payments		3,574			44,540
Less imputed interest		(351	)		(7,449	)
Lease liabilities	$	3,223		$	37,091

Note 7 – Deposits

At June 30, 2026 and December 31, 2025, deposits consisted of the following ($ in thousands):


	June 30, 2026		December 31, 2025
Noninterest-bearing demand	$	3,373,546	$	3,036,504
Interest-bearing demand		8,113,635		8,020,354
Savings		975,655		970,161
Time		3,608,379		3,472,765
Total	$	16,071,215	$	15,499,784

Note 8 – Revenue from Contracts with Customers

Trustmark accounts for revenue from contracts with customers in accordance with FASB ASC Topic 606, “Revenue from Contracts with Customers,” which provides that revenue be recognized in a manner that depicts the transfer of goods or services to a customer in an amount that reflects the consideration Trustmark expects to be entitled to in exchange for those goods or services. Revenue from contracts with customers is recognized either over time in a manner that depicts Trustmark’s performance, or at a point in time when control of the goods or services are transferred to the customer. Trustmark’s noninterest income, excluding all of mortgage banking, net and securities gains (losses), net and portions of bank card and other fees and other, net, are considered within the scope of FASB ASC Topic 606. Gains or losses on the sale of other real estate, which are included in Trustmark’s noninterest expense as other expense, are also within the scope of FASB ASC Topic 606.

Trustmark records a gain or loss from the sale of other real estate when control of the property transfers to the buyer. Trustmark records the gain or loss from the sale of other real estate in noninterest expense as other expense. Other real estate sales for the three and six months ended June 30, 2026 resulted in a net loss of $507 thousand and $569 thousand, respectively, compared to a net loss of $68 thousand and $144 thousand for the three and six months ended June 30, 2025, respectively.

The following tables present noninterest income disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands):


	Three Months Ended June 30, 2026						Three Months Ended June 30, 2025
	Topic 606		Not Topic 606 (1)		Total		Topic 606		Not Topic 606 (1)			Total
General Banking Segment
Service charges on deposit accounts	$	10,299	$	—	$	10,299	$	10,562	$	—		$	10,562
Bank card and other fees		7,853		889		8,742		7,968		748			8,716
Mortgage banking, net		—		8,914		8,914		—		8,602			8,602
Wealth management		161		—		161		196		—			196
Other, net		2,318		1,079		3,397		2,388		(224	)		2,164
Total noninterest income	$	20,631	$	10,882	$	31,513	$	21,114	$	9,126		$	30,240

Wealth Management Segment
Service charges on deposit accounts	$	76	$	—	$	76	$	23	$	—		$	23
Bank card and other fees		1		—		1		38		—			38
Wealth management		10,761		—		10,761		9,442		—			9,442
Other, net		89		131		220		54		93			147
Total noninterest income	$	10,927	$	131	$	11,058	$	9,557	$	93		$	9,650

Consolidated
Service charges on deposit accounts	$	10,375	$	—	$	10,375	$	10,585	$	—		$	10,585
Bank card and other fees		7,854		889		8,743		8,006		748			8,754
Mortgage banking, net		—		8,914		8,914		—		8,602			8,602
Wealth management		10,922		—		10,922		9,638		—			9,638
Other, net		2,407		1,210		3,617		2,442		(131	)		2,311
Total noninterest income	$	31,558	$	11,013	$	42,571	$	30,671	$	9,219		$	39,890

(1)

Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and securities gains (losses), net.


	Six Months Ended June 30, 2026						Six Months Ended June 30, 2025
	Topic 606		Not Topic 606 (1)		Total		Topic 606		Not Topic 606 (1)		Total
General Banking Segment
Service charges on deposit accounts	$	20,884	$	—	$	20,884	$	21,177	$	—	$	21,177
Bank card and other fees		14,947		1,752		16,699		15,348		993		16,341
Mortgage banking, net		—		17,848		17,848		—		17,373		17,373
Wealth management		314		—		314		377		—		377
Other, net		4,892		2,688		7,580		7,801		185		7,986
Total noninterest income	$	41,037	$	22,288	$	63,325	$	44,703	$	18,551	$	63,254

Wealth Management Segment
Service charges on deposit accounts	$	145	$	—	$	145	$	44	$	—	$	44
Bank card and other fees		32		—		32		77		—		77
Wealth management		21,001		—		21,001		18,804		—		18,804
Other, net		186		227		413		106		189		295
Total noninterest income	$	21,364	$	227	$	21,591	$	19,031	$	189	$	19,220

Consolidated
Service charges on deposit accounts	$	21,029	$	—	$	21,029	$	21,221	$	—	$	21,221
Bank card and other fees		14,979		1,752		16,731		15,425		993		16,418
Mortgage banking, net		—		17,848		17,848		—		17,373		17,373
Wealth management		21,315		—		21,315		19,181		—		19,181
Other, net		5,078		2,915		7,993		7,907		374		8,281
Total noninterest income	$	62,401	$	22,515	$	84,916	$	63,734	$	18,740	$	82,474

(1)

Note 9 – Defined Benefit and Other Postretirement Benefits

Qualified Pension Plan

Trustmark maintains a noncontributory tax-qualified defined benefit pension plan titled the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions (the Continuing Plan) to satisfy commitments made by Trustmark to associates covered through plans obtained in acquisitions.

The following table presents information regarding the net periodic benefit cost for the Continuing Plan for the periods presented ($ in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Service cost	$	7		$	9		$	14		$	18
Interest cost		50			69			100			138
Expected return on plan assets		(19	)		(31	)		(38	)		(63	)
Recognized net (gain) loss due to lump sum settlements		(31	)		—			(31	)		(50	)
Recognized net actuarial (gain) loss		(3	)		(2	)		(6	)		(4	)
Net periodic benefit cost	$	4		$	45		$	39		$	39

For the plan year ending December 31, 2026, Trustmark’s minimum required contribution to the Continuing Plan is $91 thousand; however, Management and the Board of Directors of Trustmark will monitor the Continuing Plan throughout 2026 to determine any additional funding requirements by the plan’s measurement date, which is December 31.

Supplemental Retirement Plans

Trustmark maintains a nonqualified supplemental retirement plan covering key executive officers and senior officers as well as directors who have elected to defer fees. The plan provides for retirement and/or death benefits based on a participant’s covered salary or deferred fees. Although plan benefits may be paid from Trustmark’s general assets, Trustmark has purchased life insurance contracts on the participants covered under the plan, which may be used to fund future benefit payments under the plan. The annual measurement date for the plan is December 31. As a result of mergers prior to 2014, Trustmark became the administrator of nonqualified supplemental retirement plans, for which the plan benefits were frozen prior to the merger date.

The following table presents information regarding the net periodic benefit cost for Trustmark’s nonqualified supplemental retirement plans for the periods presented ($ in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Service cost	$	2	$	4	$	4	$	8
Interest cost		435		475		886		970
Amortization of prior service cost		—		3		—		7
Recognized net actuarial loss		76		63		164		136
Net periodic benefit cost	$	513	$	545	$	1,054	$	1,121

Note 10 – Stock and Incentive Compensation

Trustmark has granted restricted stock units subject to the provisions of the Stock and Incentive Compensation Plan (the Stock Plan). Current outstanding and future grants of restricted stock units are subject to the provisions of the Stock Plan, which is designed to provide flexibility to Trustmark regarding its ability to motivate, attract and retain the services of key associates and directors. The Stock Plan also allows Trustmark to grant nonqualified stock options, incentive stock options, stock appreciation rights, restricted stock, restricted stock units and performance units to key associates and directors.

Restricted Stock Grants

Performance Units

Trustmark’s performance units vest over three years and are granted to Trustmark’s executive and senior management teams. Performance units granted vest based on performance goals of return on average tangible equity and total shareholder return. Performance units are valued utilizing a Monte Carlo simulation model to estimate fair value of the units at the grant date. The Monte Carlo simulation was performed by an independent valuation consultant and requires the use of subjective modeling assumptions. These units are recognized using the straight-line method over the requisite service period. These units are granted at 100% of target, yet provide for achievement units if performance measures exceed 100%. The restricted stock agreement for these units provides for dividend privileges, but no voting rights.

Time-Based Units

Trustmark’s time-based units granted to Trustmark’s executive and senior management teams vest over three years. Trustmark’s time-based units granted to members of Trustmark’s Board of Directors vest over one year. Time-based units are valued utilizing the fair value of Trustmark’s stock at the grant date. These units are amortized on the straight-line method over the earlier of the requisite service period or at age 65. The restricted stock agreement for these units provides for dividend privileges, but no voting rights.

The following tables summarize the Stock Plan activity for the period presented:


	Three Months Ended June 30, 2026
	Performance Units		Time-Vested Units
Nonvested units, beginning of period		201,825		391,248
Granted		—		24,566
Released from restriction		—		(21,930	)
Forfeited		—		(2,587	)
Nonvested units, end of period		201,825		391,297


	Six Months Ended June 30, 2026
	Performance Units			Time-Vested Units
Nonvested units, beginning of period		205,227			362,253
Granted		63,691			157,710
Adjustment for performance factor		43,619			—
Released from restriction		(110,712	)		(124,448	)
Forfeited		—			(4,218	)
Nonvested units, end of period		201,825			391,297

The following table presents information regarding compensation expense for units under the Stock Plan for the periods presented ($ in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Performance units	$	618	$	531	$	1,010	$	1,024
Time-vested units		1,043		656		3,569		2,634
Total compensation expense	$	1,661	$	1,187	$	4,579	$	3,658

Note 11 – Contingencies

Lending Related

Trustmark makes commitments to extend credit and issues standby and commercial letters of credit (letters of credit) in the normal course of business in order to fulfill the financing needs of its customers. The carrying amount of commitments to extend credit and letters of credit approximates the fair value of such financial instruments.

Commitments to extend credit are agreements to lend money to customers pursuant to certain specified conditions. Commitments generally have fixed expiration dates or other termination clauses. Because many of these commitments are expected to expire without being fully drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The exposure to credit loss in the event of nonperformance by the other party to the commitments to extend credit is represented by the contract amount of those instruments. Trustmark applies the same credit policies and standards as it does in the lending process when making these commitments. The collateral obtained is based upon the nature of the transaction and the assessed creditworthiness of the borrower. At June 30, 2026 and 2025, Trustmark had unused commitments to extend credit of $4.467 billion and $4.361 billion, respectively.

Letters of credit are conditional commitments issued by Trustmark to insure the performance of a customer to a third-party. A financial standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to repay an outstanding loan or debt instrument. A performance standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to perform some contractual, nonfinancial obligation. When issuing letters of credit, Trustmark uses the same policies regarding credit risk and collateral, which are followed in the lending process. At June 30, 2026 and 2025, Trustmark’s maximum exposure to credit loss in the event of nonperformance by the customer for letters of credit was $169.6 million and $136.4 million, respectively. These amounts consist primarily of commitments with maturities of less than three years, which have an immaterial carrying value. Trustmark holds collateral to support standby letters of credit when deemed necessary.

ACL on Off-Balance Sheet Credit Exposures

Management utilizes a performance trends qualitative factor for unfunded commitments. The same assumptions are applied in this calculation that the funded balances utilize with the addition of using the funding rates on the unfunded commitments. The performance trends qualitative factor reserve is then added to the other calculated reserve to get a total reserve for off-balance sheet credit exposures.

During 2024, Management implemented the External Factor – Credit Quality Review qualitative factor for unfunded commitments. The same assumptions were applied in this calculation that the funded balances utilized with the addition of using the funding rates on the unfunded commitments. The External Factor – Credit Quality Review qualitative factor reserve was then added to the other calculated reserve to get a total reserve for off-balance sheet credit exposures. During the third quarter of 2025, Management determined that the

risk related to delayed identification and downgrading of commercial loans had sufficiently diminished and, as a result, resolved the External Factor – Credit Quality Review qualitative factor and released the associated reserves.

Changes in the ACL on off-balance sheet credit exposures were as follows for the periods presented ($ in thousands):


	Three Months Ended June 30,					Six Months Ended June 30,
	2026		2025			2026			2025
Balance at beginning of period	$	26,003	$	26,561		$	27,951		$	29,392
PCL, off-balance sheet credit exposures		1,531		(670	)		(417	)		(3,501	)
Balance at end of period	$	27,534	$	25,891		$	27,534		$	25,891

Adjustments to the ACL on off-balance sheet credit exposures are recorded to PCL, off-balance sheet credit exposures. The increase in the ACL on off-balance sheet credit exposures for the three months ended June 30, 2026 was primarily due to an increase in the quantitative reserve rates related to changes in the macroeconomic forecasts coupled with an increase in the utilization rates for unfunded commitments. The decrease in the ACL on off-balance sheet credit exposures for the six months ended June 30, 2026 was primarily due to a decrease in unfunded commitments and positive credit migration and was partially offset by increases in the quantitative reserve rates related to changes to the macroeconomic forecasts and the utilization rates for unfunded commitments.

The decrease in the ACL on off-balance sheet credit exposures for the three months ended June 30, 2025 was primarily due to positive credit migration partially offset by changes in the macroeconomic forecast. The decrease in the ACL on off-balance sheet credit exposures for the six months ended June 30, 2025 was primarily due to the decrease in required reserves as a result of a decrease in unfunded commitments coupled with positive credit migration.

No credit loss estimate is reported for off-balance sheet credit exposures that are unconditionally cancellable by Trustmark or for undrawn amounts under such arrangements that may be drawn prior to the cancellation of the arrangement.

Legal Proceedings

Trustmark and its subsidiaries are parties to lawsuits and other claims that arise in the ordinary course of business. Some of the lawsuits assert claims related to the lending, collection, servicing, investment, trust and other business activities, and some of the lawsuits allege substantial claims for damages.

In accordance with FASB ASC Subtopic 450-20, “Loss Contingencies,” Trustmark will establish an accrued liability for any litigation matter if and when such matter presents loss contingencies that are both probable and reasonably estimable. At the present time, Trustmark believes, based on its evaluation and the advice of legal counsel, that a loss in any currently pending legal proceeding is not probable and a reasonable estimate cannot be made.

Note 12 – EPS

The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Basic shares		58,470		60,463		58,650		60,630
Dilutive shares		228		231		220		233
Diluted shares		58,698		60,694		58,870		60,863

Weighted-average antidilutive stock awards are excluded in determining diluted EPS. Trustmark had no weighted-average antidilutive stock awards for the three and six months ended June 30, 2026 and 2025.

Note 13 – Statements of Cash Flows

The following table reflects specific transaction amounts for the periods presented ($ in thousands):


	Six Months Ended June 30,
	2026		2025
Income taxes paid	$	4,138	$	27,020
Interest expense paid on deposits and borrowings		141,681		157,912
Noncash transfers from loans to other real estate		4,277		5,132
Operating right-of-use assets resulting from lease liabilities		2,828		1,349

Note 14 – Shareholders’ Equity

Regulatory Capital

Trustmark and TB are subject to minimum risk-based capital and leverage capital requirements, as described in the section captioned “Capital Adequacy” included in Part I. Item 1. – Business of Trustmark’s 2025 Annual Report, which are administered by the federal bank regulatory agencies. These capital requirements, as defined by federal regulations, involve quantitative and qualitative measures of assets, liabilities and certain off-balance sheet instruments. Trustmark’s and TB’s minimum risk-based capital requirements include a capital conservation buffer of 2.50%. Accumulated other comprehensive income (loss), net of tax, is not included in computing regulatory capital. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the financial statements of Trustmark and TB and limit Trustmark’s and TB’s ability to pay dividends. As of June 30, 2026, Trustmark and TB exceeded all applicable minimum capital standards. In addition, Trustmark and TB met applicable regulatory guidelines to be considered well-capitalized at June 30, 2026. To be categorized in this manner, Trustmark and TB maintained, as applicable, minimum common equity Tier 1 risk-based capital, Tier 1 risk-based capital, total risk-based capital and Tier 1 leverage ratios as set forth in the accompanying table, and were not subject to any written agreement, order or capital directive, or prompt corrective action directive issued by their primary federal regulators to meet and maintain a specific capital level for any capital measures. There are no significant conditions or events that have occurred since June 30, 2026, which Management believes have affected Trustmark’s or TB’s present classification.

The following table provides Trustmark’s and TB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at June 30, 2026 and December 31, 2025 ($ in thousands):


	Actual
	Regulatory Capital					Minimum			To Be Well
	Amount		Ratio			Requirement			Capitalized
At June 30, 2026:
Common Equity Tier 1 Capital (to Risk Weighted Assets)
Trustmark Corporation	$	1,865,035		11.87	%		7.00	%	n/a
Trustmark Bank		1,952,935		12.43	%		7.00	%		6.50	%

Tier 1 Capital (to Risk Weighted Assets)
Trustmark Corporation	$	1,925,035		12.26	%		8.50	%	n/a
Trustmark Bank		1,952,935		12.43	%		8.50	%		8.00	%

Total Capital (to Risk Weighted Assets)
Trustmark Corporation	$	2,272,877		14.47	%		10.50	%	n/a
Trustmark Bank		2,128,658		13.55	%		10.50	%		10.00	%

Tier 1 Leverage (to Average Assets)
Trustmark Corporation	$	1,925,035		10.25	%		4.00	%	n/a
Trustmark Bank		1,952,935		10.40	%		4.00	%		5.00	%

At December 31, 2025:
Common Equity Tier 1 Capital (to Risk Weighted Assets)
Trustmark Corporation	$	1,814,295		11.72	%		7.00	%	n/a
Trustmark Bank		1,908,101		12.33	%		7.00	%		6.50	%

Tier 1 Capital (to Risk Weighted Assets)
Trustmark Corporation	$	1,874,295		12.11	%		8.50	%	n/a
Trustmark Bank		1,908,101		12.33	%		8.50	%		8.00	%

Total Capital (to Risk Weighted Assets)
Trustmark Corporation	$	2,231,283		14.41	%		10.50	%	n/a
Trustmark Bank		2,093,123		13.52	%		10.50	%		10.00	%

Tier 1 Leverage (to Average Assets)
Trustmark Corporation	$	1,874,295		10.18	%		4.00	%	n/a
Trustmark Bank		1,908,101		10.37	%		4.00	%		5.00	%

Stock Repurchase Program

On December 3, 2024, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2025, under which $100.0 million of Trustmark’s outstanding shares could be acquired through December 31, 2025. Under this authority, Trustmark repurchased 2.2 million shares of its common stock valued at $80.0 million during the twelve months ended December 31, 2025.

On December 2, 2025, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2026, under which $100.0 million of Trustmark’s outstanding shares could be acquired through December 31, 2026. The repurchase program, which is subject to market conditions and management discretion, will be implemented through open market repurchases or privately negotiated transactions. Under this authority, Trustmark repurchased 952 thousand shares of its common stock valued at $40.9 million during the six months ended June 30, 2026.

Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss)

The following tables present the net change in the components of accumulated other comprehensive income (loss) and the related tax effects allocated to each component for the periods presented ($ in thousands). The amortization of prior service cost, recognized net loss due to lump sum settlements and change in net actuarial loss are included in the computation of net periodic benefit cost (see Note 9 – Defined Benefit and Other Postretirement Benefits for additional details). Reclassification adjustments related to pension and other postretirement benefit plans are included in salaries and employee benefits and other expense in the accompanying consolidated statements of income. Reclassification adjustments related to the cash flow hedge derivatives are included in interest and fees on LHFS and LHFI in the accompanying consolidated statements of income.


	Three Months Ended June 30, 2026									Three Months Ended June 30, 2025
	Before Tax Amount			Tax (Expense) Benefit			Net of Tax Amount			Before Tax Amount		Tax (Expense) Benefit			Net of Tax Amount
Securities available for sale and transferred securities:
Net unrealized holding gains (losses) arising during the period	$	(15,035	)	$	3,760		$	(11,275	)	$	13,992	$	(3,499	)	$	10,493
Change in net unrealized holding loss on securities transferred to held to maturity		2,600			(650	)		1,950			3,450		(863	)		2,587
Total securities available for sale and transferred securities		(12,435	)		3,110			(9,325	)		17,442		(4,362	)		13,080
Pension and other postretirement benefit plans:
Reclassification adjustments for changes realized in net income:
Net change in prior service costs		—			—			—			3		—			3
Recognized net loss due to lump sum settlements		(31	)		8			(23	)		—		—			—
Change in net actuarial loss		73			(19	)		54			61		(16	)		45
Total pension and other postretirement benefit plans		42			(11	)		31			64		(16	)		48
Cash flow hedge derivatives:
Change in accumulated gain (loss) on effective cash flow hedge derivatives		(8,208	)		2,052			(6,156	)		4,098		(1,024	)		3,074
Reclassification adjustment for (gain) loss realized in net income		805			(201	)		604			2,681		(670	)		2,011
Total cash flow hedge derivatives		(7,403	)		1,851			(5,552	)		6,779		(1,694	)		5,085
Total other comprehensive income (loss)	$	(19,796	)	$	4,950		$	(14,846	)	$	24,285	$	(6,072	)	$	18,213


	Six Months Ended June 30, 2026									Six Months Ended June 30, 2025
	Before Tax Amount			Tax (Expense) Benefit			Net of Tax Amount			Before Tax Amount			Tax (Expense) Benefit			Net of Tax Amount
Securities available for sale and transferred securities:
Net unrealized holding gains (losses) arising during the period	$	(31,721	)	$	7,931		$	(23,790	)	$	46,591		$	(11,648	)	$	34,943
Change in net unrealized holding loss on securities transferred to held to maturity		5,559			(1,390	)		4,169			6,875			(1,719	)		5,156
Total securities available for sale and transferred securities		(26,162	)		6,541			(19,621	)		53,466			(13,367	)		40,099
Pension and other postretirement benefit plans:
Reclassification adjustments for changes realized in net income:
Net change in prior service costs		—			—			—			7			(1	)		6
Recognized net loss due to lump sum settlements		(31	)		8			(23	)		(50	)		12			(38	)
Change in net actuarial loss		158			(40	)		118			132			(33	)		99
Total pension and other postretirement benefit plans		127			(32	)		95			89			(22	)		67
Cash flow hedge derivatives:
Change in accumulated gain (loss) on effective cash flow hedge derivatives		(13,915	)		3,479			(10,436	)		11,977			(2,994	)		8,983
Reclassification adjustment for (gain) loss realized in net income		1,740			(435	)		1,305			5,361			(1,340	)		4,021
Total cash flow hedge derivatives		(12,175	)		3,044			(9,131	)		17,338			(4,334	)		13,004
Total other comprehensive income (loss)	$	(38,210	)	$	9,553		$	(28,657	)	$	70,893		$	(17,723	)	$	53,170

The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax.


	Securities Available for Sale and Transferred Securities			Defined Benefit Pension Items			Cash Flow Hedge Derivatives			Total
Balance at January 1, 2026	$	(10,518	)	$	(5,169	)	$	2,062		$	(13,625	)
Other comprehensive income (loss) before reclassification		(19,621	)		—			(10,436	)		(30,057	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			95			1,305			1,400
Net other comprehensive income (loss)		(19,621	)		95			(9,131	)		(28,657	)
Balance at June 30, 2026	$	(30,139	)	$	(5,074	)	$	(7,069	)	$	(42,282	)

Balance at January 1, 2025	$	(66,885	)	$	(4,721	)	$	(12,053	)	$	(83,659	)
Other comprehensive income (loss) before reclassification		40,099			—			8,983			49,082
Amounts reclassified from accumulated other comprehensive income (loss)		—			67			4,021			4,088
Net other comprehensive income (loss)		40,099			67			13,004			53,170
Balance at June 30, 2025	$	(26,786	)	$	(4,654	)	$	951		$	(30,489	)

Note 15 – Fair Value

Financial Instruments Measured at Fair Value

The methodologies Trustmark uses in determining the fair values are based primarily on the use of independent, market-based data to reflect a value that would be reasonably expected upon exchange of the position in an orderly transaction between market participants at the measurement date. The predominant portion of assets that are stated at fair value are of a nature that can be valued using prices or inputs that are readily observable through a variety of independent data providers. The providers selected by Trustmark for fair valuation data are widely recognized and accepted vendors whose evaluations support the pricing functions of financial institutions, investment and mutual funds, and portfolio managers. Trustmark has documented and evaluated the pricing methodologies used by the vendors and maintains internal processes that regularly test valuations for anomalies.

Trustmark utilizes an independent pricing service to advise it on the carrying value of the securities available for sale portfolio. As part of Trustmark’s procedures, the price provided from the service is evaluated for reasonableness given market changes. When a questionable price exists, Trustmark investigates further to determine if the price is valid. If needed, other market participants may be utilized to determine the correct fair value. Trustmark has also reviewed and confirmed its determinations in thorough discussions with the pricing source regarding their methods of price discovery.

Mortgage loan commitments are valued based on the securities prices of similar collateral, term, rate and delivery for which the loan is eligible to deliver in place of the particular security. Trustmark acquires a broad array of mortgage security prices that are supplied by a market data vendor, which in turn accumulates prices from a broad list of securities dealers. Prices are processed through a mortgage pipeline management system that accumulates and segregates all loan commitment and forward-sale transactions according to the similarity of various characteristics (maturity, term, rate, and collateral). Prices are matched to those positions that are deemed to be an eligible substitute or offset (i.e., “deliverable”) for a corresponding security observed in the marketplace.

Trustmark estimates the fair value of the MSR through the use of prevailing market participant assumptions and market participant valuation processes. This valuation is periodically tested and validated against other third-party firm valuations.

Trustmark obtains the fair value of interest rate swaps from a third-party pricing service that uses an industry standard discounted cash flow methodology. In addition, credit valuation adjustments are incorporated in the fair values to account for potential nonperformance risk. In adjusting the fair value of its interest rate swap contracts for the effect of nonperformance risk, Trustmark has considered any applicable credit enhancements such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the FASB’s fair value measurement guidance, Trustmark made an accounting policy election to measure the credit risk of these derivative financial instruments, which are subject to master netting agreements, on a net basis by counterparty portfolio.

Trustmark has determined that the majority of the inputs used to value its interest rate swaps offered to qualified commercial borrowers fall within Level 2 of the fair value hierarchy, while the credit valuation adjustments associated with these derivatives utilize Level 3 inputs, such as estimates of current credit spreads. Trustmark has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its interest rate swaps and has determined that the credit valuation adjustment is not significant to the overall valuation of these derivatives. As a result, Trustmark classifies its interest rate swap valuations in Level 2 of the fair value hierarchy.

Trustmark also utilizes exchange-traded derivative instruments such as Treasury note futures contracts and option contracts to achieve a fair value return that offsets the changes in fair value of the MSR attributable to interest rates. Fair values of these derivative instruments are determined from quoted prices in active markets for identical assets therefore allowing them to be classified within Level 1 of the fair value hierarchy. In addition, Trustmark utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area which lack observable inputs for valuation purposes resulting in their inclusion in Level 3 of the fair value hierarchy.

At this time, Trustmark presents no fair values that are derived through internal modeling. Should positions requiring fair valuation arise that are not relevant to existing methodologies, Trustmark will make every reasonable effort to obtain market participant assumptions, or independent evaluation.

Financial Assets and Liabilities

The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis at June 30, 2026 and December 31, 2025, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the six months ended June 30, 2026 and the year ended December 31, 2025.


	June 30, 2026
	Total		Level 1		Level 2		Level 3
U.S. Treasury securities	$	207,053	$	207,053	$	—	$	—
U.S. Government agency obligations		69,929		—		69,929		—
Mortgage-backed securities		1,664,642		—		1,664,642		—
Securities available for sale		1,941,624		207,053		1,734,571		—
LHFS		300,529		—		300,529		—
MSR		141,763		—		—		141,763
Other assets		13,822		2,690		10,058		1,074
Other liabilities		28,454		55		28,399		—


	December 31, 2025
	Total		Level 1		Level 2		Level 3
U.S. Treasury securities	$	208,948	$	208,948	$	—	$	—
U.S. Government agency obligations		70,849		—		70,849		—
Mortgage-backed securities		1,597,033		—		1,597,033		—
Securities available for sale		1,876,830		208,948		1,667,882		—
LHFS		278,789		—		278,789		—
MSR		131,289		—		—		131,289
Other assets		16,235		11		15,226		998
Other liabilities		22,832		1,708		21,124		—

The changes in Level 3 assets measured at fair value on a recurring basis for the six months ended June 30, 2026 and 2025 are summarized as follows ($ in thousands):


	MSR			Other Assets - Derivatives
Balance, January 1, 2026	$	131,289		$	998
Total net (loss) gain included in Mortgage banking, net (1)		646			1,648
Additions		9,828			—
Sales		—			(1,572	)
Balance, June 30, 2026	$	141,763		$	1,074

The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at June 30, 2026	$	7,282		$	2,558

Balance, January 1, 2025	$	139,317		$	229
Total net (loss) gain included in Mortgage banking, net (1)		(13,532	)		2,465
Additions		6,917			—
Sales		—			(887	)
Balance, June 30, 2025	$	132,702		$	1,807

The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at June 30, 2025	$	(7,874	)	$	2,338

(1)

Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off.

Trustmark may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. Assets at June 30, 2026, which have been measured at fair value on a nonrecurring basis, include collateral-dependent LHFI. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or as is value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. At June 30, 2026, Trustmark had outstanding balances of $47.0 million with a related ACL of $7.4 million in collateral-dependent LHFI, compared to outstanding balances of $24.9 million with a related ACL of $1.2 million in collateral-dependent LHFI at December 31, 2025. The collateral-dependent LHFI are classified as Level 3 in the fair value hierarchy.

Nonfinancial Assets and Liabilities

Certain nonfinancial assets measured at fair value on a nonrecurring basis include foreclosed assets (upon initial recognition or subsequent impairment), nonfinancial assets and nonfinancial liabilities measured at fair value in the second step of a goodwill impairment test, and intangible assets and other nonfinancial long-lived assets measured at fair value for impairment assessment.

Other real estate includes assets that have been acquired in satisfaction of debt through foreclosure and is recorded at the fair value less cost to sell (estimated fair value) at the time of foreclosure. Fair value is based on independent appraisals and other relevant factors. In the determination of fair value subsequent to foreclosure, Management also considers other factors or recent developments, such as changes in market conditions from the time of valuation and anticipated sales values considering plans for disposition, which could result in an adjustment to lower the collateral value estimates indicated in the appraisals. Periodic revaluations are classified as Level 3 in the fair value hierarchy since assumptions are used that may not be observable in the market.

Foreclosed assets of $714 thousand were re-measured during the first six months of 2026, requiring write-downs of $256 thousand to reach their current fair values compared to $978 thousand of foreclosed assets that were re-measured during the first six months of 2025, requiring write-downs of $200 thousand.

Fair Value of Financial Instruments

FASB ASC Topic 825, “Financial Instruments,” requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis.

The carrying amounts and estimated fair values of financial instruments at June 30, 2026 and December 31, 2025, are as follows ($ in thousands):


	June 30, 2026				December 31, 2025
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Financial Assets:
Level 2 Inputs:
Cash and short-term investments	$	669,892	$	669,892	$	668,007	$	668,007
Securities held to maturity		1,134,823		1,096,876		1,207,454		1,180,569
Level 3 Inputs:
Net LHFI		13,764,834		13,728,828		13,517,162		13,544,873

Financial Liabilities:
Level 2 Inputs:
Deposits		16,071,215		16,060,968		15,499,784		15,494,681
Federal funds purchased and securities sold under repurchase agreements		360,000		360,000		445,000		445,000
Other borrowings		137,853		137,853		364,762		364,762
Subordinated notes		172,119		174,563		171,966		176,750
Junior subordinated debt securities		61,856		52,578		61,856		52,964

Fair Value Option

Trustmark has elected to account for its LHFS under the fair value option, with interest income on these LHFS reported in interest and fees on LHFS and LHFI. The fair value of the LHFS is determined using quoted prices for a similar asset, adjusted for specific attributes of that loan. The LHFS are actively managed and monitored and certain market risks of the loans may be mitigated through the use of derivatives. These derivative instruments are carried at fair value with changes in fair value recorded as noninterest income in mortgage banking, net. The changes in the fair value of LHFS are largely offset by changes in the fair value of the derivative instruments. For the three and six months ended June 30, 2026, a net gain of $1.4 million and a net loss of $393 thousand, respectively, were recorded as noninterest income in mortgage banking, net for changes in the fair value of LHFS accounted for under the fair value option, compared to net gains of $731 thousand and $1.4 million for the three and six months ended June 30, 2025, respectively. Interest and fees on LHFS and LHFI for the three and six months ended June 30, 2026 included $3.1 million and $5.4 million of interest earned on LHFS accounted for under the fair value option, compared to $2.5 million and $4.4 million for the three and six months ended June 30, 2025, respectively. Election of the fair value option allows Trustmark to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at the lower of cost or fair value and the derivatives at fair value. The fair value option election does not apply to GNMA optional repurchase loans which do not meet the requirements under FASB ASC Topic 825 to be accounted for under the fair value option. GNMA optional repurchase loans totaled $134.6 million and $136.3 million at June 30, 2026 and December 31, 2025, respectively, and are included in LHFS on the accompanying consolidated balance sheets. For additional information regarding GNMA optional repurchase loans, please see the section captioned “Past Due LHFS” included in Note 3 – LHFI and ACL, LHFI.

The following table provides information about the fair value and the contractual principal outstanding of the LHFS accounted for under the fair value option at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026		December 31, 2025
Fair value of LHFS	$	165,898	$	142,485
LHFS contractual principal outstanding		164,440		143,832
Fair value less unpaid principal	$	1,458	$	(1,347	)

Note 16 – Derivative Financial Instruments

Derivatives Designated as Hedging Instruments

Trustmark engages in a cash flow hedging program to add stability to interest income and to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of fixed-rate amounts from a counterparty in exchange for Trustmark making variable-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate floor spreads designated as cash flow hedges involve the receipt of variable-rate amounts if interest rates fall below the purchased floor strike rate on the contract and payments of variable-rate amounts if interest rates fall below the sold floor strike rate on the contract. Trustmark uses such derivatives to hedge the variable cash flows associated with existing and anticipated variable-rate loan assets. At June 30, 2026, the aggregate notional value of Trustmark's interest rate swaps and floor spreads designated as cash flow hedges totaled $1.645 billion compared to $1.630 billion at December 31, 2025.

Trustmark records any gains or losses on these cash flow hedges in accumulated other comprehensive income (loss). Gains and losses on derivatives representing hedge components excluded from the assessment of effectiveness are recognized over the life of the hedge on a systematic and rational basis, as documented at hedge inception in accordance with Trustmark’s accounting policy election. The earnings recognition of excluded components included in interest and fees on LHFS and LHFI totaled $118 thousand and $241 thousand of amortization expense for the three and six months ended June 30, 2026, respectively, compared to $131 thousand and $261 thousand of amortization expense for the three and six months ended June 30, 2025, respectively. As interest payments are received on Trustmark's variable-rate assets, amounts reported in accumulated other comprehensive income (loss) are reclassified into interest and fees on LHFS and LHFI in the accompanying consolidated statements of income during the same period. During the next twelve months, Trustmark estimates that $4.4 million will be reclassified as a reduction to interest and fees on LHFS and LHFI. This amount could differ due to changes in interest rates, hedge de-designations or the addition of other hedges.

Derivatives not Designated as Hedging Instruments

As part of Trustmark’s risk management strategy in the mortgage banking area, derivative instruments such as forward sales contracts are utilized. Trustmark’s obligations under forward sales contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $187.5 million at June 30, 2026, with a negative valuation adjustment of $42 thousand, compared to $152.0 million, with a negative valuation adjustment of $287 thousand, at December 31, 2025.

Trustmark also utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area. Interest rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified time period. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $87.2 million at June 30, 2026, with a positive valuation adjustment of $1.1 million, compared to $74.5 million, with a positive valuation adjustment of $998 thousand, at December 31, 2025.

Trustmark offers certain derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivatives transactions executed as part of this program are not designated as qualifying hedging relationships and are, therefore, carried at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral provisions which mitigate the impact of non-performance risk, the changes in fair value are expected to substantially offset. The offsetting interest rate swap transactions are either cleared through the Chicago Mercantile Exchange for clearable transactions or booked directly with institutional derivatives market participants for non-clearable transactions. The Chicago Mercantile Exchange rules legally characterize variation margin collateral payments made or received for centrally cleared interest rate swaps as settlements rather than collateral. As a result, centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets. At June 30, 2026, Trustmark had interest rate swaps with an aggregate notional amount of $2.158 billion related to this program, compared to $1.991 billion at December 31, 2025.

Credit-risk-related Contingent Features

Trustmark has agreements with its financial institution counterparties that contain provisions where if Trustmark defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then Trustmark could also be declared in default on its derivatives obligations.

At June 30, 2026, the termination value of interest rate swaps in a liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements totaled $2.8 million compared to $117 thousand at December 31, 2025. At June 30, 2026 and December 31, 2025, Trustmark had posted collateral of $4.5 million and $2.2 million, respectively, against its obligations because of negotiated thresholds and minimum transfer amounts under these agreements. If Trustmark had breached any of these triggering provisions at June 30, 2026, it could have been required to settle its obligations under the agreements at the termination value.

Credit risk participation agreements arise when Trustmark contracts with other financial institutions, as a guarantor or beneficiary, to share credit risk associated with certain interest rate swaps. These agreements provide for reimbursement of losses resulting from a third-party default on the underlying swap. At June 30, 2026, Trustmark had entered into ten risk participation agreements as a beneficiary with aggregate notional amounts of $120.1 million compared to ten risk participation agreements as a beneficiary with an aggregate notional amount of $113.7 million at December 31, 2025. At June 30, 2026, Trustmark had entered into twenty-six risk participation agreements as a guarantor with aggregate notional amounts of $329.8 million compared to twenty-seven risk participation agreements as a guarantor with aggregate notional amounts of $267.9 million at December 31, 2025. The aggregate fair values of these risk participation agreements were immaterial at both June 30, 2026 and December 31, 2025.

Tabular Disclosures

The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets at June 30, 2026 and December 31, 2025 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands):


	June 30, 2026		December 31, 2025
Derivatives designated as hedging instruments:
Interest rate contracts:
Interest rate swaps included in other assets (1)	$	350	$	3,890
Interest rate floors included in other assets		720		1,673
Interest rate swaps included in other liabilities (1)		7,959		611

Derivatives not designated as hedging instruments:
Interest rate contracts:
Exchange traded purchased options included in other assets	$	14	$	11
Over-the-counter written options (rate locks) included in other assets		1,074		998
Futures contracts included in other assets		1,017		—
Interest rate swaps included in other assets (1)		8,979		9,654
Credit risk participation agreements included in other assets		9		9
Futures contracts included in other liabilities		—		1,661
Forward contracts included in other liabilities		42		287
Exchange traded written options included in other liabilities		55		47
Interest rate swaps included in other liabilities (1)		20,321		20,098
Credit risk participation agreements included in other liabilities		77		128

(1)

In accordance with GAAP, the variation margin collateral payments made or received for interest rate swaps that are centrally cleared are legally characterized as settled. As a result, the centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Derivatives designated as hedging instruments:
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in interest and fees on LHFS and LHFI	$	(805	)	$	(2,681	)	$	(1,740	)	$	(5,361	)

Derivatives not designated as hedging instruments:
Amount of gain (loss) recognized in mortgage banking, net	$	(4,551	)	$	1,842		$	(6,859	)	$	6,557
Amount of gain (loss) recognized in bank card and other fees		195			452			565			364

The following table discloses the amount included in other comprehensive income (loss), net of tax, for derivative instruments designated as cash flow hedges for the periods presented ($ in thousands):


	Three Months Ended June 30,					Six Months Ended June 30,
	2026			2025		2026			2025
Derivatives designated as hedging instruments:
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax	$	(6,156	)	$	3,074	$	(10,436	)	$	8,983

Trustmark’s interest rate swap derivative instruments are subject to master netting agreements, and therefore, eligible for offsetting in the consolidated balance sheets. Trustmark has elected to not offset any derivative instruments in its consolidated balance sheets. Information about financial instruments that are eligible for offset in the consolidated balance sheets as of June 30, 2026 and December 31, 2025 is presented in the following tables ($ in thousands):


Offsetting of Derivative Assets
As of June 30, 2026
							Gross Amounts Not Offset in the Statement of Financial Position
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Assets presented in the Statement of Financial Position		Financial Instruments			Cash Collateral Received		Net Amount
Derivatives	$	10,049	$	—	$	10,049	$	(6,621	)	$	—	$	3,428


Offsetting of Derivative Liabilities
As of June 30, 2026
							Gross Amounts Not Offset in the Statement of Financial Position
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Liabilities presented in the Statement of Financial Position		Financial Instruments			Cash Collateral Posted			Net Amount
Derivatives	$	28,280	$	—	$	28,280	$	(6,621	)	$	(4,500	)	$	17,159


Offsetting of Derivative Assets
As of December 31, 2025
							Gross Amounts Not Offset in the Statement of Financial Position
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Assets presented in the Statement of Financial Position		Financial Instruments			Cash Collateral Received			Net Amount
Derivatives	$	15,217	$	—	$	15,217	$	(6,271	)	$	(1,380	)	$	7,566


Offsetting of Derivative Liabilities
As of December 31, 2025
							Gross Amounts Not Offset in the Statement of Financial Position
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Liabilities presented in the Statement of Financial Position		Financial Instruments			Cash Collateral Posted			Net Amount
Derivatives	$	20,709	$	—	$	20,709	$	(6,271	)	$	(2,200	)	$	12,238

Note 17 – Segment Information

Trustmark’s management reporting structure includes two segments: General Banking and Wealth Management. For a complete overview of Trustmark’s operating segments, see Note 20 – Segment Information included in Part II. Item 8. – Financial Statements and Supplementary Data, of Trustmark’s 2025 Annual Report.

Trustmark's reportable segments are determined by the Chief Executive Officer (CEO), who is the designated chief operating decision maker (CODM), based upon information provided about Trustmark's products and services offered. The reportable segments are also distinguished by the level of information provided to the CEO, who uses such information to review performance of various lines of business, which are then aggregated if operating performance, products and services and customers are similar. The CEO evaluates the financial performance of Trustmark's lines of business, such as evaluating revenue streams, significant expenses and budget to actual results, in assessing the performance of Trustmark's reportable segments and in the determination of allocating resources.

The accounting policies of each reportable segment are the same as those of Trustmark except for its internal allocations. Noninterest expenses for back-office operations support are allocated to segments based on estimated uses of those services. Trustmark measures the net interest income of its business segments with a process that assigns cost of funds or earnings credit on a matched-term basis. This process, called “funds transfer pricing”, charges an appropriate cost of funds to assets held by a business unit, or credits the business

unit for potential earnings for carrying liabilities. The net of these charges and credits flows through to the General Banking Segment, which contains the management team responsible for determining TB’s funding and interest rate risk strategies.

The following tables disclose financial information by reportable segment for the periods presented ($ in thousands):


Three Months Ended June 30, 2026	General Banking			Wealth Management			Consolidated
Interest income	$	234,175		$	3,258		$	237,433
Interest expense		70,384			1,419			71,803
Funds transfer pricing, net		(1,194	)		1,194			—
Net interest income		162,597			3,033			165,630
PCL		(3,240	)		(4	)		(3,244	)
Net interest income after PCL		165,837			3,037			168,874
Service charges on deposit accounts		10,299			76			10,375
Bank card and other fees		8,742			1			8,743
Mortgage banking, net		8,914			—			8,914
Wealth management		161			10,761			10,922
Other, net		3,528			89			3,617
Internal allocations		(131	)		131			—
Noninterest income		31,513			11,058			42,571
Salaries and employee benefits		67,304			5,686			72,990
Services and fees		29,022			726			29,748
Other segment expenses (1)		30,399			546			30,945
Internal allocations		(1,873	)		1,873			—
Noninterest expense		124,852			8,831			133,683
Income before income taxes		72,498			5,264			77,762
Income taxes		12,936			1,304			14,240
Consolidated net income	$	59,562		$	3,960		$	63,522

Selected Financial Information
Total assets	$	18,969,028		$	223,442		$	19,192,470
Depreciation and amortization	$	10,411		$	64		$	10,475

(1)

Other segment expenses for the General Banking Segment include net occupancy-premises, equipment expense, FDIC assessment expense, other real estate expense, net, loan expense and other miscellaneous expense. Other segment expenses for the Wealth Management Segment include net occupancy-premises, equipment expense, FDIC assessment expense, loan expense and other miscellaneous expense.


Three Months Ended June 30, 2025	General Banking			Wealth Management			Consolidated
Interest income	$	234,301		$	3,127		$	237,428
Interest expense		77,799			873			78,672
Funds transfer pricing, net		253			(253	)		—
Net interest income		156,755			2,001			158,756
PCL		4,693			(17	)		4,676
Net interest income after PCL		152,062			2,018			154,080
Service charges on deposit accounts		10,562			23			10,585
Bank card and other fees		8,716			38			8,754
Mortgage banking, net		8,602			—			8,602
Wealth management		196			9,442			9,638
Other, net		2,257			54			2,311
Internal allocations		(93	)		93			—
Noninterest income		30,240			9,650			39,890
Salaries and employee benefits		62,831			5,467			68,298
Services and fees		26,357			641			26,998
Other segment expenses (1)		29,425			393			29,818
Internal allocations		(1,486	)		1,486			—
Noninterest expense		117,127			7,987			125,114
Income before income taxes		65,175			3,681			68,856
Income taxes		12,100			915			13,015
Consolidated net income	$	53,075		$	2,766		$	55,841

Selected Financial Information
Total assets	$	18,417,303		$	198,356		$	18,615,659
Depreciation and amortization	$	9,851		$	63		$	9,914

(1)


Six Months Ended June 30, 2026	General Banking			Wealth Management		Consolidated
Interest income	$	463,156		$	6,347	$	469,503
Interest expense		140,467			2,847		143,314
Funds transfer pricing, net		(2,453	)		2,453		—
Net interest income		320,236			5,953		326,189
PCL		(727	)		223		(504	)
Net interest income after PCL		320,963			5,730		326,693
Service charges on deposit accounts		20,884			145		21,029
Bank card and other fees		16,699			32		16,731
Mortgage banking, net		17,848			—		17,848
Wealth management		314			21,001		21,315
Other, net		7,807			186		7,993
Internal allocations		(227	)		227		—
Noninterest income		63,325			21,591		84,916
Salaries and employee benefits		135,400			11,832		147,232
Services and fees		56,271			1,421		57,692
Other segment expenses (1)		59,835			1,083		60,918
Internal allocations		(3,754	)		3,754		—
Noninterest expense		247,752			18,090		265,842
Income before income taxes		136,536			9,231		145,767
Income taxes		23,842			2,288		26,130
Consolidated net income	$	112,694		$	6,943	$	119,637

Selected Financial Information
Total assets	$	18,969,028		$	223,442	$	19,192,470
Depreciation and amortization	$	19,989		$	129	$	20,118

(1)


Six Months Ended June 30, 2025	General Banking			Wealth Management			Consolidated
Interest income	$	460,459		$	6,116		$	466,575
Interest expense		154,096			1,668			155,764
Funds transfer pricing, net		713			(713	)		—
Net interest income		307,076			3,735			310,811
PCL		9,990			(20	)		9,970
Net interest income after PCL		297,086			3,755			300,841
Service charges on deposit accounts		21,177			44			21,221
Bank card and other fees		16,341			77			16,418
Mortgage banking, net		17,373			—			17,373
Wealth management		377			18,804			19,181
Other, net		8,175			106			8,281
Internal allocations		(189	)		189			—
Noninterest income		63,254			19,220			82,474
Salaries and employee benefits		125,702			11,088			136,790
Services and fees		51,956			1,289			53,245
Other segment expenses (1)		58,272			818			59,090
Internal allocations		(2,968	)		2,968			—
Noninterest expense		232,962			16,163			249,125
Income before income taxes		127,378			6,812			134,190
Income taxes		23,022			1,694			24,716
Consolidated net income	$	104,356		$	5,118		$	109,474

Selected Financial Information
Total assets	$	18,417,303		$	198,356		$	18,615,659
Depreciation and amortization	$	18,360		$	125		$	18,485

(1)

Note 18 – Accounting Policies Recently Adopted and Pending Accounting Pronouncements

Accounting Policies Recently Adopted

Trustmark has consistently applied its accounting policies to all periods presented in the accompanying consolidated financial statements.

Pending Accounting Pronouncements

ASU 2024-03, “Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” FASB issued ASU 2024-03 in November 2024, with the objective of providing investors with more decision-useful information regarding a public business entity's expenses by enhancing disclosures on income statement expenses. Investor feedback indicated a strong preference for the disclosure of disaggregated financial reporting information as a top priority for the FASB. Detailed knowledge of an entity's expenses is crucial for understanding its prospects for future cash flows and for making performance comparisons over time and with other entities. Investors emphasized that information regarding cost of sales, selling, general, and administrative expenses, employee compensation costs, depreciation and amortization, and research and development expenditure would enhance their comprehension of an entity's cost structure and ability to forecast future cash flows. The ASU applies exclusively to public business entities and mandates additional disclosures about specific expense categories on both annual and interim bases in the notes to financial statements that are not currently required. The amendments do not alter or eliminate existing expense disclosure requirements nor change requirements for presenting expenses on the face of the income statement. However, they do specify that certain existing disclosures must now appear in the same tabular format as the new disaggregation requirements. The FASB issued ASU 2025-01 in January 2025, clarifying that the amendments in ASU 2024-03 are effective for public business entities for annual reporting periods beginning after December 15, 2026, and for interim reporting periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. Trustmark intends to adopt the amendments of ASU 2024-03 effective

January 1, 2027, and will include the required annual disclosures in its Annual Report on Form 10-K for the year ending December 31, 2027, and required interim disclosures in its Quarterly Report on Form 10-Q for the period ending March 31, 2028. Trustmark is currently evaluating the changes to disclosures required by ASU 2024-03; however, adoption of ASU 2024-03 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.

ASU 2025-06, “Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software.” Issued in September 2025, ASU 2025-06 seeks to update the guidance on accounting for software due to changes in how software is generally developed. When software accounting guidance was first issued, companies developing software generally followed a prescriptive and sequential development method (e.g., waterfall). Since then, many companies have adopted a more incremental and iterative development method (i.e., agile). As a result, many stakeholders noted the challenges of applying current internal-use software accounting requirements that do not specifically address software developed using an incremental and iterative method, which has led to diversity in practice in determining when to begin capitalizing software costs. The amendments of ASU 2025-06 remove all references to a prescriptive and sequential software development method (referred to as "project stages") throughout FASB ASC Subtopic 350-40, and require an entity to start capitalizing software costs when both of the following occur: (1) Management has authorized and committed to funding the software project; and (2) it is probable that the project will be completed and the software will be used to perform the function intended (referred to as the "probable-to-complete recognition threshold"). In evaluating the probable-to-complete recognition threshold, a company is required to consider whether there is significant uncertainty associated with the development activities of the software. ASU 2025-06 is effective for all entities for annual reporting periods beginning after December 15, 2027, and for interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period. Trustmark intends to adopt the amendments of ASU 2025-06 effective January 1, 2028. Trustmark is currently evaluating the impact the amendments of ASU 2025-06 will have with regards to its internal-use software; however, adoption of ASU 2025-06 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.

ASU 2025-08, “Financial Instruments—Credit Losses (Topic 326): Purchased Loans.” Issued in November 2025, ASU 2025-08 expands the gross-up approach for accounting for credit losses on acquired financial assets, addressing complexity and comparability issues caused by previous distinctions between purchased financial assets with credit deterioration (PCD assets) and non-PCD assets. ASU 2025-08 requires loans (excluding credit cards) acquired without significant credit deterioration and deemed "seasoned" to be accounted for using the gross-up approach. For these purchased seasoned loans (loans, excluding credit cards, debt securities and trade receivables, acquired through a business combination accounted for using the acquisition method or other loans acquired through transfers not accounted for as business combinations purchased at least 90 days after origination and not originated by the acquirer), the initial ACL is added to the purchase price to determine the amortized cost basis. Entities can elect to measure this ACL using the amortized cost basis if not employing a discounted cash flow method, with elections being irrevocable. ASU 2025-08 clarifies that purchased seasoned loans are subject to the same accrual policies as originated assets and are not subject to the guidance that permits interest income accrual on PCD assets when there is a reasonable expectation for amounts to be collected or recovery limitations. ASU 2025-08 also amends disclosure requirements for the rollforward of the ACL to present the initial allowance recognized on such loans separately. ASU 2025-08 is effective for annual periods after December 15, 2026, and for interim reporting periods within those annual reporting periods, with early adoption allowed and prospective application required. Trustmark intends to adopt the amendments of ASU 2025-08 on January 1, 2027; however, as the amendments of this ASU must be applied on a prospective basis, adoption of this ASU will have no impact to Trustmark's consolidated financial statements or results of operations until an acquisition occurs.

ASU 2025-09, “Derivatives and Hedging (Topic 815): Hedge Accounting Improvements.” Issued in November 2025, ASU 2025-09 updates hedge accounting guidance to address global reference rate reform and better align hedge accounting with entities' risk management practices. Key changes include broadening eligible hedged risks for cash flow hedges via a "similar risk exposure" test, introducing an optional operable model for hedge accounting on choose-your-rate debt instruments, permitting hedge accounting for forecasted spot and forward transactions in nonfinancial assets if price components are clearly related and removing the net written option test for certain derivatives. The amendments of ASU 2025-09 also resolve recognition mismatches in dual hedge strategies involving foreign-currency-denominated debt. The amendments of ASU 2025-09 are effective for annual reporting periods beginning after December 15, 2026, and for interim reporting periods within those annual reporting periods, and should be applied on a prospective basis for all hedging relationships. Early adoption is permitted. Entities may also modify certain critical terms of existing hedging relationships without de-designating the hedge upon adoption. Trustmark intends to adopt the amendments of ASU 2025-09 effective January 1, 2027. Trustmark is currently evaluating the impact the amendments of ASU 2025-09 will have in regard to its derivative and hedging instruments; however, adoption of ASU 2025-09 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following provides a narrative discussion and analysis of Trustmark Corporation’s (Trustmark) financial condition and results of operations. This discussion should be read in conjunction with the unaudited consolidated financial statements and the supplemental financial data included in Part I. Item 1. – Financial Statements of this report.

Description of Business

Trustmark, a Mississippi business corporation incorporated in 1968, is a bank holding company headquartered in Jackson, Mississippi. Trustmark’s principal subsidiary is Trustmark Bank (TB), a Mississippi-chartered banking corporation. TB is a member bank of the Federal Reserve System and is supervised by the Federal Reserve Bank of Atlanta (FRBA) and the Mississippi Department of Banking and Consumer Finance (MDBCF). In addition, as a large provider of consumer financial services, TB remains subject to regulation, supervision, enforcement and examination by the Consumer Financial Protection Bureau (CFPB). Dividends from TB are Trustmark’s principal source of cash. Effective July 1, 2026, TB was no longer required to obtain approval from the MDBCF, except under certain enumerated supervisory circumstances, prior to the declaration and payment of its quarterly dividend as a result of the enactment of Mississippi Senate Bill 2383, which amended the Mississippi banking code. At June 30, 2026, TB had total assets of $19.190 billion, which represented 99.99% of the consolidated assets of Trustmark.

Through TB and its other subsidiaries, Trustmark operates as a financial services organization providing banking and other financial solutions through offices and 2,583 full-time equivalent associates (measured at June 30, 2026) located in the states of Alabama, Florida (primarily in the northwest or “Panhandle” region of that state, which is referred to herein as Trustmark’s Florida market), Georgia (primarily in Atlanta, which is referred to herein as Trustmark's Georgia market), Mississippi, Tennessee (in the Memphis and Northern Mississippi regions, which are collectively referred to herein as Trustmark’s Tennessee market), and Texas (primarily in Houston, which is referred to herein as Trustmark’s Texas market). Trustmark’s operations are managed along two operating segments: General Banking Segment and Wealth Management Segment. For a complete overview of Trustmark’s business, see the section captioned “The Corporation” included in Part I. Item 1. – Business of Trustmark’s Annual Report on Form 10-K for its fiscal year ended December 31, 2025 (2025 Annual Report).

Executive Overview

Trustmark completed the following non-routine transactions during the second quarter of 2026:

•

Trustmark sold a portfolio of 1-4 family mortgage loans that were primarily three payments delinquent and/or nonaccrual totaling $73.8 million, which resulted in a loss of $11.3 million. Total reserves released or used due to the sale of 1-4 family mortgage loans were $15.5 million, of which $9.2 million ($6.9 million, net of taxes) were released and recorded to PCL, LHFI sale of 1-4 family mortgage loans and $6.3 million (the credit related portion of the loss) were recorded as charge-offs against the ACL, LHFI. The noncredit-related portion of the loss totaled $5.0 million ($3.8 million, net of taxes) and was recorded to noninterest income in other, net. In total, the sale of the 1-4 family mortgage loans resulted in an increase in pre-tax net income of $4.2 million ($3.2 million net of taxes).

•

TB and Visa completed an exchange, offered by Visa to institutional holders of certain classes of its common stock, in which TB received shares of Visa Class B-3 common stock (Visa B-3 shares) and Visa Class C common stock (Visa C shares) for its outstanding shares of Visa Class B-2 common stock (Visa B-2 shares). Two-thirds of the Visa C shares received by TB were converted to Visa Class A common stock (Visa A shares) pursuant to the terms thereof and subsequently sold, resulting in a gain of $3.3 million ($2.5 million, net of taxes). The remaining one-third of the Visa C shares received by TB were recognized at fair value, which resulted in a gain of $1.7 million ($1.2 million, net of taxes). The total gain on the Visa shares was recorded to noninterest income in other, net. The Visa B-3 shares were recorded at their nominal carrying value.

For further information regarding these non-routine transactions and the impact to Trustmark's financial results, see the section captioned "Non-GAAP Financial Measures."

In addition to these non-routine transactions, Trustmark's financial results for the three and six months ended June 30, 2026 reflected diversified growth in loans held for investment (LHFI), stable credit quality and cost-effective core deposit growth. Trustmark's capital position remained solid, reflecting the consistent profitability of its diversified financial services businesses. Trustmark continued to implement organic growth initiatives and make investments to capitalize on opportunities in its marketplace. With robust capital, liquidity and profitability, Trustmark is well-positioned to continue to compete in changing economic conditions and create long-term value for its shareholders. On July 28, 2026, Trustmark’s Board of Directors declared a quarterly cash dividend of $0.25 per share. The dividend is payable September 15, 2026, to shareholders of record on September 1, 2026.

Recent Economic and Industry Developments

Economic activity during the first six months of 2026 expanded at a moderate pace, supported by continued consumer spending and business investment, including investment in artificial intelligence (AI) infrastructure, while inflationary pressures, elevated energy prices, tariffs and geopolitical uncertainty weighed on the outlook. Labor market conditions remained relatively stable, with unemployment little changed, but inflation remained above the FRB’s longer-run objective and contributed to a more cautious monetary policy posture. Economic concerns remain as a result of the cumulative weight of uncertainty regarding the potential economic impact of geopolitical developments, such as the conflicts in Ukraine and the Middle East, the current United States presidential administration's policies, inflationary and broader pricing pressures, volatility in energy prices and other economic and industry volatility. Concerns surrounding the direction of global markets and the potential impact on the United States economy are expected to persist for the near term. While Trustmark's customer base is wholly domestic, international economic conditions affect domestic economic conditions, and thus may have an impact upon Trustmark's financial condition or results of operations.

The FRB decreased the target federal funds rate to a range of 3.50% to 3.75% and the rate it pays on reserves to 3.65% as of December 2025. The FRB left the target federal funds rate and the rate it pays on reserves unchanged during the first six months of 2026 as policymakers assessed the competing risks of persistent inflation, slowing growth and heightened global uncertainty. Prior period rate increases increased the competitive pressures on Trustmark's deposit cost of funds. While rate cuts potentially reduced those competitive pressures, they increased pressure on Trustmark's net interest margin, a key component to its financial results. It is not possible to predict the direction, pace or magnitude of further changes, if any, in interest rates, or the impact any such rate changes will have on Trustmark's results of operations.

In the May and July 2026 “Summary of Commentary on Current Economic Conditions by Federal Reserve District,” the twelve Federal Reserve Districts’ (Districts) reports suggested that during the reporting periods (covering the periods from April 6, 2026 through May 27, 2026 and May 28, 2026 through July 6, 2026) overall economic activity increased at a slight to moderate pace in most Districts. The May report indicated that economic activity increased at a slight to moderate pace in ten of the twelve Districts, while one District reported a slight decline and one reported no change. The July report indicated that economic activity increased at a slight to moderate pace in eleven of the twelve Districts, while one District reported no change. Reports by the twelve Districts noted the following during the reporting periods:

•

On balance, consumer spending was mixed to slightly higher, with affordability pressures, higher prices and elevated fuel costs contributing to greater price sensitivity and substitution toward lower-cost goods and services. Higher-income consumers generally remained more resilient, while middle- and lower-income consumers continued to show signs of financial strain. Auto dealers reported softer or little-changed new vehicle sales, with affordability and fuel costs weighing on demand and some consumers shifting toward used or hybrid vehicles or delaying purchases and increasing spending on repairs.

•

Manufacturing activity increased at a modest to moderate pace in most Districts, supported by demand from the data center, machinery and defense sectors. Manufacturers in several Districts noted supply chain constraints related to trade policy and the conflict in the Middle East, which prompted price increases in raw materials and transportation costs. Energy activity increased in certain markets, including increased oil and gas drilling in the later reporting period, although producers remained cautious amid uncertainty regarding fuel prices. Agricultural conditions were generally unchanged or deteriorated, reflecting lower commodity prices, higher input costs and tighter credit conditions. Transportation activity increased modestly amid ongoing supply chain changes related to higher tariffs and the conflict in the Middle East.

•

Banking and financial conditions were generally stable on net. Commercial and consumer loan volumes were stable to modestly higher, with commercial lending and commercial real estate opportunities cited as areas of relative strength in some Districts. Commercial loan quality was generally stable, while consumer loan quality weakened modestly and several Districts noted rising delinquencies in residential mortgage, consumer and agricultural loan portfolios. Construction and real estate activity increased slightly overall in the later reporting period, supported in part by data center construction, while residential real estate activity remained constrained by affordability pressures, mortgage rates and limited inventory in some markets. Commercial real estate conditions were mixed, with relatively stronger demand for industrial and data center-related properties and continued softness in portions of the office market.

•

Business outlooks were mixed but generally anticipated continued modest expansion in the coming months. Elevated uncertainty remained a common theme, with contacts citing the potential effects of higher fuel costs, tariffs, supply chain adjustments, geopolitical developments and changing consumer behavior. Many firms continued to take a cautious approach to hiring, pricing and capital investment decisions, although sentiment improved in some Districts during the later reporting period.

•

Employment was little changed to modestly higher overall. The May report indicated little to no change in employment across most Districts, with hiring generally selective and focused on critical roles or replacement hiring. The July report indicated somewhat broader employment gains, with five Districts reporting modest, moderate or solid employment growth and the remaining Districts reporting little to no change. Labor availability improved in many areas, but employers continued to report

difficulty finding skilled workers, particularly technicians, trades people and certain health care and manufacturing workers. Wage growth remained modest to moderate in most Districts, with some wage increases attributed to competition for skilled workers and cost-of-living adjustments related to higher household costs. Several Districts also noted the growing use of AI in business processes, though contacts generally did not report broad employment reductions attributable to AI.

•

Prices continued to increase at a moderate to strong pace overall, with input cost pressures generally outpacing selling price growth in many industries. Contacts reported higher costs for fuel, freight, energy-related inputs, metals, electronic components, insurance and health care. Tariffs continued to contribute to higher costs for some materials, including steel, aluminum and other inputs, and several Districts reported more common supply chain issues. While many firms raised prices to offset higher costs, consumer price sensitivity limited pass-through in some sectors, contributing to margin pressure.

Reports by the Federal Reserve’s Sixth District, Atlanta (which includes Trustmark’s Alabama, Florida, Georgia and Mississippi market regions), Eighth District, St. Louis (which includes Trustmark’s Tennessee market region), and Eleventh District, Dallas (which includes Trustmark’s Texas market region), noted findings for the reporting periods that were generally consistent with the national observations discussed above. The Federal Reserve’s Sixth District reported that economic activity continued to expand at a modest pace, with consumer spending and travel and tourism increasing modestly, transportation and manufacturing demand continuing to improve, and agricultural conditions deteriorating. Loan growth in the Sixth District was driven by consumer and specialized lending, while residential and commercial real estate conditions were little changed, on balance. The Federal Reserve’s Eighth District noted that economic activity increased slightly, banking conditions were largely unchanged, consumer spending was stable and manufacturing softened slightly, although firms tied to energy and defense reported stronger demand. Eighth District contacts also reported stable credit quality overall, with some early-stage weakness among small business borrowers whose risks were more closely tied to input costs and fuel prices, and an uptick in overdraft frequency that signaled tighter household budgets and reduced discretionary spending. The Federal Reserve’s Eleventh District reported modest economic growth, with loan volume and loan demand increasing, driven in part by commercial real estate lending, while credit standards and terms tightened slightly, loan pricing continued to decline and loan performance weakened modestly. Eleventh District bankers also reported less optimistic outlooks and continued to express concern regarding the impact of higher fuel prices, geopolitical developments, tariffs and uncertainty regarding the future path of interest rates.

Trustmark is continuing to monitor the impact of geopolitical conflicts, tariffs, higher fuel and transportation costs, inflationary pressures, changing consumer behavior and other administrative policies on its customer base, interest rates, loan demand and credit-related issues. Economic uncertainty or disruptions in the marketplace as a result of such factors could reduce loan demand, increase funding costs, pressure net interest margin or increase loan nonperformance. It is not possible to predict the timing or magnitude of changes to policies by the current United States presidential administration, if any, or the impact any such policy changes, geopolitical developments or broader economic conditions could have on Trustmark’s customer base, credit quality, financial condition or results of operations.

Financial Highlights

Trustmark reported net income of $63.5 million, or basic and diluted earnings per share (EPS) of $1.09 and $1.08, respectively, in the second quarter of 2026, compared to $55.8 million, or basic and diluted EPS of $0.92, in the second quarter of 2025. Trustmark’s reported performance during the quarter ended June 30, 2026 produced a return on average tangible equity of 14.08%, a return on average assets of 1.33%, an average equity to average assets ratio of 11.23% and a dividend payout ratio of 22.94%, compared to a return on average tangible equity of 13.13%, a return on average assets of 1.21%, an average equity to average assets ratio of 11.07% and a dividend payout ratio of 26.09% during the quarter ended June 30, 2025.

Trustmark reported net income of $119.6 million, or basic and diluted EPS of $2.04 and $2.03, respectively, for the six months ended June 30, 2026, compared to $109.5 million, or basic and diluted EPS of $1.81 and $1.80, respectively, for the same time period in 2025. Trustmark's reported performance during the first six months of 2026 produced a return on average tangible equity of 13.34%, a return on average assets of 1.27%, an average equity to average assets ratio of 11.28% and a dividend payout ratio of 24.51%, compared to a return on average tangible equity of 13.13%, a return on average assets of 1.20%, an average equity to average assets ratio of 11.00% and a dividend payout ratio of 26.52% for the first six months of 2025.

For further information regarding the calculation of return on average tangible equity, which is not a measure prepared in accordance with U.S. generally accepted accounting principles (GAAP), see the section captioned "Non-GAAP Financial Measures."

Total revenue, which is defined as net interest income plus noninterest income, for the three months ended June 30, 2026 was $208.2 million, an increase of $9.6 million, or 4.8%, when compared to the same time period in 2025. The increase in total revenue when the three months ended June 30, 2026 is compared to the same time period in 2025, reflecting an increase in both net interest income and noninterest income. Total revenue for the six months ended June 30, 2026 was $411.1 million, an increase of $17.8 million, or 4.5%, when compared to the same time period in 2025, principally due to an increase in net interest income.

Net interest income for the three and six months ended June 30, 2026 totaled $165.6 million and $326.2 million, respectively, an increase of $6.9 million, or 4.3%, and $15.4 million, or 4.9%, respectively, when compared to the same time periods in 2025. Interest income totaled $237.4 million for the three months ended June 30, 2026, relatively unchanged when compared to the same time period in 2025. Interest income totaled $469.5 million for the six months ended June 30, 2026, an increase of $2.9 million, or 0.6%, when compared to the same time period in 2025, principally due to increases in interest and fees on LHFS and LHFI and interest on securities, partially offset by a decline in other interest income. Interest expense totaled $71.8 million and $143.3 million, respectively, for the three and six months ended June 30, 2026, a decrease of $6.9 million, or 8.7%, and $12.5 million, or 8.0%, respectively, when compared to the same time periods in 2025, principally due to declines in interest on deposits and interest on federal funds purchased and securities sold under repurchase agreements.

Noninterest income for the three months ended June 30, 2026 totaled $42.6 million, an increase of $2.7 million, or 6.7%, when compared to the same time period in 2025, principally due to increases in other, net and wealth management. Noninterest income for the six months ended June 30, 2026 totaled $84.9 million, an increase of $2.4 million, or 3.0%, when compared to the same time period in 2025, principally due to an increase in wealth management. Other, net totaled $3.6 million for the three months ended June 30, 2026, an increase of $1.3 million, or 56.5%, when compared to the same time period in 2025, principally due to the total gain on the sale of the Visa A shares and fair value adjustment of the Visa C shares and an increase in income from other partnership investments, partially offset by the loss on the sale of the 1-4 family mortgage loans. Wealth management totaled $10.9 million and $21.3 million, respectively, for the three and six months ended June 30, 2026, an increase of $1.3 million, or 13.3%, and $2.1 million, or 11.1%, respectively, when compared to the same time periods in 2025, principally due to increases in income from brokerage and trust management services.

Noninterest expense for the three and six months ended June 30, 2026 totaled $133.7 million and $265.8 million, respectively, an increase of $8.6 million, or 6.8%, and $16.7 million, or 6.7%, respectively, when compared to the same time periods in 2025, principally due to increases in salaries and employee benefits, services and fees and equipment expense. Salaries and employee benefits totaled $73.0 million and $147.2 million, respectively, for the three and six months ended June 30, 2026, an increase of $4.7 million, or 6.9%, and $10.4 million, or 7.6%, respectively, when compared to the same time periods in 2025, principally due to increases in salaries expense primarily due to general merit increases and employees, commission expense related to mortgage origination production and brokerage activity, management annual performance incentives, incentive stock compensation expense, payroll taxes, contributions to employee retirement funds and medical insurance expense. Services and fees totaled $29.7 million for the three months ended June 30, 2026, an increase of $2.8 million, or 10.2%, when compared to the same time period in 2025, principally due to increases in data processing expenses related to software. Services and fees totaled $57.7 million for the six months ended June 30, 2026, an increase of $4.4 million, or 8.4%, when compared to the same time period in 2025, principally due to increases in data processing expenses related to software, business process outsourcing expense and advertising expense. Equipment expense totaled $7.3 million and $14.3 million, respectively for the three and six months ended June 30, 2026, an increase of $1.1 million, or 17.1%, and $1.8 million, or 14.0%, respectively, when compared to the same time periods in 2025, principally due to an increase in data processing equipment expense.

Trustmark’s total PCL, LHFI for the three and six months ended June 30, 2026 totaled a negative $4.8 million and a negative $87 thousand, respectively, and included a provision release of $9.2 million as a result of the sale of 1-4 family mortgage loans during the second quarter of 2026. The PCL, LHFI excluding the sale of 1-4 family mortgage loans totaled $4.5 million and $9.1 million, respectively, for the three and six months ended June 30, 2026, compared to a PCL, LHFI of $5.3 million and $13.5 million, respectively, for the same time periods in 2025, a decrease of $894 thousand, or 16.7%, and $4.3 million, or 32.2%, respectively. The decrease in the PCL, LHFI excluding the sale of 1-4 family mortgage loans when the three and six months ended June 30, 2026 are compared to the same time periods in 2025 was principally due to a decline in required reserves as a result of positive credit migration, resolution of the Credit Quality Review Qualitative Factor during the third quarter of 2025, a decline in loan growth and changes in the macroeconomic forecast, partially offset by an increase in required reserves on individually analyzed credits. The PCL, LHFI excluding the sale of 1-4 family mortgage loans for the three months ended June 30, 2026 was principally attributable to specific reserves on individually analyzed loans, changes in the macroeconomic forecast and loan growth, partially offset by positive credit migration. The PCL, LHFI excluding the sale of 1-4 family mortgage loans for the six months ended June 30, 2026 was principally attributable to specific reserves on individually analyzed loans and loan growth, partially offset by positive credit migration and changes in the macroeconomic forecast.

The PCL, off-balance sheet credit exposures totaled $1.5 million and a negative $417 thousand, respectively, for the three and six months ended June 30, 2026, compared to a negative $670 thousand and a negative $3.5 million, respectively, for the same time periods in 2025, an increase in provision expense of $2.2 million and $3.1 million, respectively, primarily due to reserves released during the second quarter of 2025 due to positive credit migration as well as increases in the quantitative reserve rates due to changes in the macroeconomic forecast and the historical utilization rates. The PCL, off-balance sheet credit exposures for the three months ended June 30, 2026, was primarily attributable to an increase in the quantitative reserve rate due to changes in the macroeconomic forecast and an increase in the utilization rates for unfunded commitments. The release in the PCL, off-balance sheet credit exposures for the six months ended June 30, 2026, was primarily attributable to a decrease in unfunded commitment balances partially offset by an increase in the quantitative reserve rate due to changes in the macroeconomic forecast and an increase in the utilization rates for unfunded commitments. Please

see the section captioned “Provision for Credit Losses” for additional information regarding the PCL on LHFI and off-balance sheet credit exposures.

LHFI totaled $13.913 billion at June 30, 2026, an increase of $238.8 million, or 1.7%, compared to December 31, 2025. The increase in LHFI during the first six months of 2026 was primarily due to net growth in commercial and industrial loans and other commercial loans and leases, partially offset by net declines in loans secured by real estate. For additional information regarding changes in LHFI and comparative balances by loan category, see the section captioned “LHFI.”

At June 30, 2026, nonperforming assets totaled $54.9 million, a decrease of $36.5 million, or 39.9%, compared to December 31, 2025, primarily due to the sale of 1-4 family mortgage loans during the second quarter of 2026. Nonaccrual LHFI totaled $49.7 million at June 30, 2026, a decrease of $34.7 million, or 41.2%, relative to December 31, 2025, primarily as a result of the sale of nonaccrual 1-4 family mortgage loans in the Mississippi market region, partially offset by one large commercial credit in the Mississippi market region and one large commercial credit in the Alabama market region placed on nonaccrual status. Other real estate totaled $5.2 million at June 30, 2026, a decrease of $1.7 million, or 25.1%, when compared to December 31, 2025, principally due to properties sold in the Mississippi market region partially offset by properties foreclosed in the Mississippi and Alabama market regions.

Management has continued its practice of maintaining excess funding capacity to provide Trustmark with adequate liquidity for its ongoing operations. In this regard, Trustmark benefits from its strong deposit base, its investment portfolio and its access to funding from a variety of external funding sources such as upstream federal funds lines, FHLB advances and brokered deposits. See the section captioned “Capital Resources and Liquidity” for further discussion of the components of Trustmark’s excess funding capacity.

Total deposits were $16.071 billion at June 30, 2026, an increase of $571.4 million, or 3.7%, compared to December 31, 2025. During the first six months of 2026, noninterest-bearing deposits increased $337.0 million, or 11.1%, principally due to growth in commercial and consumer noninterest-bearing demand deposit accounts. Interest-bearing deposits increased $234.4 million, or 1.9%, during the first six months of 2026, primarily due to growth in public and commercial interest checking accounts, commercial money market deposit accounts (MMDA), brokered certificates of deposits (CDs), commercial and public CDs and consumer savings accounts, partially offset by declines in consumer interest checking accounts, MMDA and CDs.

Federal funds purchased totaled $360.0 million at June 30, 2026, a decrease of $85.0 million, or 19.1%, compared to December 31, 2025. Other borrowings totaled $137.9 million at June 30, 2026, a decrease of $226.9 million, or 62.2%, compared to December 31, 2025, principally due to a decrease in outstanding short-term FHLB advances with the FHLB of Dallas. The decrease in federal funds purchased and short-term FHLB advances during the first six months of 2026 reflected changes in funding needs principally due to deposit growth and a decline in the balance held at the FRBA included in other earning assets.

Recent Legislative and Regulatory Developments

On July 31, 2026, the FRB issued a proposal to revise Regulation O, which governs loans by member banks, including TB, to their executive officers, directors, principal shareholders, and related interests thereof. Among other changes, the proposal would increase the regulation’s dollar-based thresholds, with the result that fewer loans to insiders would be subject to the regulation’s prohibitions, board approval requirements, and disclosure requirements. The proposal would also exclude portfolio companies of qualifying fund complexes from treatment as insiders of the bank.

On June 25, 2026, the FDIC issued a proposal to revise deposit insurance assessment thresholds, rate schedules, and adjustments. Among other changes, the proposal would increase the asset threshold used to distinguish between small and large institutions for deposit insurance assessment purposes from $10 billion to $30 billion, with future adjustments based on a prescribed indexing methodology. As a result, TB would be classified as a small institution under the proposal. The FDIC proposed rules would impose fewer reporting requirements and different deposit insurance pricing methodologies on small institutions compared to large institutions. In addition, the proposal would reduce initial base assessment rate schedules applicable to small institutions, including TB, by two basis points. Trustmark is continuing to evaluate the proposal and its potential impact on TB.

On March 19, 2026, the federal banking agencies issued several proposals to revise the U.S. regulatory capital framework. The proposals would, among other things, eliminate the requirement for all banking organizations to deduct mortgage servicing assets from common equity Tier 1 capital, and, for banking organizations subject to risk-based capital requirements, subject such assets to a uniform risk-weighting treatment instead. The proposals would also modify aspects of the standardized approach to risk‑based capital that applies to Trustmark, including by making the risk weights for certain residential mortgage exposures more risk‑sensitive and decreasing the risk weights of corporate exposures, which could affect certain aspects of Trustmark’s regulatory capital calculations. Trustmark is continuing to evaluate these proposals and their impact on its regulatory capital position.

In March 2026, Mississippi enacted Senate Bill 2383, which amended the Mississippi banking code to, among other things, require prior approval from the MDBCF for the declaration and payment of dividends by a Mississippi-chartered bank only under the following conditions: (i) the bank is subject to a corrective plan or enforcement action; (ii) after making the dividend, the bank would be undercapitalized; or (iii) the Commissioner of MDBCF has determined that conditions exist at the bank that pose a risk to its safety and soundness. Senate Bill 2383 became effective on July 1, 2026.

On October 22, 2024, the CFPB released a final rule to implement Section 1033 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Under the final rule, financial institutions are required, upon request, to make available to a consumer or third party authorized by the consumer certain information TB has concerning a consumer financial product or service covered by the rule, such as a credit card or a deposit account. Industry organizations challenged the final rule in court. On July 29, 2025, the district court granted a motion by the CFPB to stay the proceedings while the CFPB conducts a rulemaking to revise the final rule substantially. On August 22, 2025, the CFPB issued an advance notice of proposed rulemaking to solicit comments and data on several issues relating to the final rule. On October 29, 2025, the district court issued a preliminary injunction preventing the CFPB from enforcing the final rule until the CFPB has completed its reconsideration of the rule. Management is monitoring the status of the litigation and evaluating the impact of this rule.

On July 18, 2025, President Trump signed the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act) into law, establishing a federal licensing and supervisory framework for payment stablecoins and their issuers. The GENIUS Act may accelerate and increase the competition that non-traditional financial institutions pose to banks’ payment services but may also create opportunities for banks to hold stablecoin reserve assets, custody stablecoins or issue stablecoins. Several key provisions of the GENIUS Act require federal regulatory agencies to adopt implementing regulations, and the Act will take effect the earlier of 18 months after its enactment or 120 days after the agencies issue final implementing regulations.

For additional information regarding legislation and regulation applicable to Trustmark, see the section captioned “Supervision and Regulation” included in Part I. Item 1. – Business of Trustmark’s 2025 Annual Report.

Selected Financial Data

The following tables present financial data derived from Trustmark’s consolidated financial statements as of and for the periods presented ($ in thousands, except per share data):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Consolidated Statements of Income
Total interest income	$	237,433		$	237,428		$	469,503		$	466,575
Total interest expense		71,803			78,672			143,314			155,764
Net interest income		165,630			158,756			326,189			310,811
PCL, LHFI		4,452			5,346			9,140			13,471
PCL, LHFI sale of 1-4 family mortgage loans		(9,227	)		—			(9,227	)		—
PCL, off-balance sheet credit exposures		1,531			(670	)		(417	)		(3,501	)
Noninterest income		42,571			39,890			84,916			82,474
Noninterest expense		133,683			125,114			265,842			249,125
Income before income taxes		77,762			68,856			145,767			134,190
Income taxes		14,240			13,015			26,130			24,716
Net income	$	63,522		$	55,841		$	119,637		$	109,474

Total Revenue (1)	$	208,201		$	198,646		$	411,105		$	393,285

Per Share Data
Basic EPS	$	1.09		$	0.92		$	2.04		$	1.81
Diluted EPS	$	1.08		$	0.92		$	2.03		$	1.80

Cash dividends per share	$	0.25		$	0.24		$	0.50		$	0.48

Performance Ratios
Return on average equity		11.88	%		10.97	%		11.25	%		10.95	%
Return on average tangible equity		14.08	%		13.13	%		13.34	%		13.13	%
Return on average assets		1.33	%		1.21	%		1.27	%		1.20	%
Average equity / average assets		11.23	%		11.07	%		11.28	%		11.00	%
Net interest margin (fully taxable equivalent)		3.84	%		3.81	%		3.82	%		3.78	%
Dividend payout ratio		22.94	%		26.09	%		24.51	%		26.52	%

Credit Quality Ratios
Net charge-offs (recoveries) (excl sale of 1-4 family mortgage loans) / average loans (LHFS + LHFI)		0.03	%		0.12	%		0.04	%		0.08	%
PCL, LHFI / average loans (LHFS + LHFI)		0.13	%		0.16	%		0.13	%		0.20	%
Nonaccrual LHFI / (LHFS + LHFI)		0.35	%		0.59	%
Nonperforming assets / (LHFS + LHFI) plus other real estate		0.39	%		0.66	%
ACL, LHFI / LHFI		1.07	%		1.25	%

(1)

Consistent with Trustmark’s annual financial statements, total revenue is defined as net interest income plus noninterest income.


	June 30,
	2026			2025
Consolidated Balance Sheets
Total assets	$	19,192,470		$	18,615,659
Securities		3,076,447			3,072,664
Total loans (LHFS + LHFI)		14,213,552			13,684,429
Deposits		16,071,215			15,115,861
Total shareholders' equity		2,143,631			2,070,789

Stock Performance
Market value - close	$	46.01		$	36.46
Book value		36.82			34.28
Tangible book value		31.07			28.74

Capital Ratios
Total equity / total assets		11.17	%		11.12	%
Tangible equity / tangible assets		9.59	%		9.50	%
Tangible equity / risk-weighted assets		11.52	%		11.41	%
Tier 1 leverage ratio		10.25	%		10.15	%
Common equity Tier 1 risk-based capital ratio		11.87	%		11.70	%
Tier 1 risk-based capital ratio		12.26	%		12.09	%
Total risk-based capital ratio		14.47	%		14.15	%

Non-GAAP Financial Measures

In addition to capital ratios defined by GAAP and banking regulators, Trustmark utilizes various tangible common equity measures when evaluating capital utilization and adequacy. Tangible common equity, as defined by Trustmark, represents common equity less goodwill and identifiable intangible assets. Trustmark's common equity Tier 1 capital includes common stock, capital surplus and retained earnings, and is reduced by goodwill and other intangible assets, net of associated net deferred tax liabilities as well as disallowed deferred tax assets and threshold deductions as applicable.

Trustmark believes these measures are important because they reflect the level of capital available to withstand unexpected market conditions. Additionally, presentation of these measures allows readers to compare certain aspects of Trustmark’s capitalization to other organizations. These ratios differ from capital measures defined by banking regulators principally in that the numerator excludes shareholders’ equity associated with preferred securities, the nature and extent of which varies across organizations. In Management’s experience, many stock analysts use tangible common equity measures in conjunction with more traditional bank capital ratios to compare capital adequacy of banking organizations with significant amounts of goodwill or other intangible assets, typically stemming from the use of the purchase accounting method in accounting for mergers and acquisitions.

These calculations are intended to complement the capital ratios defined by GAAP and banking regulators. Because GAAP does not include these capital ratio measures, Trustmark believes there are no comparable GAAP financial measures to these tangible common equity ratios. Despite the importance of these measures to Trustmark, there are no standardized definitions for them and, as a result, Trustmark’s calculation methods may not be comparable with those of other organizations. Also, there may be limits in the usefulness of these measures to investors. As a result, Trustmark encourages readers to consider its consolidated financial statements and the notes related thereto in their entirety and not to rely on any single financial measure.

The following table reconciles Trustmark’s calculation of these measures to amounts reported under GAAP for the periods presented ($ in thousands, except per share data):


		Three Months Ended June 30,						Six Months Ended June 30,
		2026			2025			2026			2025
TANGIBLE EQUITY
AVERAGE BALANCES
Total shareholders' equity		$	2,143,847		$	2,041,209		$	2,143,641		$	2,016,519
Less: Goodwill			(334,605	)		(334,605	)		(334,605	)		(334,605	)
Identifiable intangible assets			—			(80	)		—			(97	)
Total average tangible equity		$	1,809,242		$	1,706,524		$	1,809,036		$	1,681,817

PERIOD END BALANCES
Total shareholders' equity		$	2,143,631		$	2,070,789
Less: Goodwill			(334,605	)		(334,605	)
Identifiable intangible assets			—			(63	)
Total tangible equity	(a)	$	1,809,026		$	1,736,121

TANGIBLE ASSETS
Total assets		$	19,192,470		$	18,615,659
Less: Goodwill			(334,605	)		(334,605	)
Identifiable intangible assets			—			(63	)
Total tangible assets	(b)	$	18,857,865		$	18,280,991
Risk-weighted assets	(c)	$	15,707,804		$	15,215,021

NET INCOME ADJUSTED FOR INTANGIBLE AMORTIZATION
Net income		$	63,522		$	55,841		$	119,637		$	109,474
Plus: Intangible amortization net of tax			—			24			—			48
Net income adjusted for intangible amortization		$	63,522		$	55,865		$	119,637		$	109,522
Period end shares outstanding	(d)		58,225,687			60,401,684

TANGIBLE EQUITY MEASUREMENTS
Return on average tangible equity (1)			14.08	%		13.13	%		13.34	%		13.13	%
Tangible equity/tangible assets	(a)/(b)		9.59	%		9.50	%
Tangible equity/risk-weighted assets	(a)/(c)		11.52	%		11.41	%
Tangible book value	(a)/(d)*1,000	$	31.07		$	28.74

COMMON EQUITY TIER 1 CAPITAL (CET1)
Total shareholders' equity		$	2,143,631		$	2,070,789
AOCI-related adjustments			42,282			30,489
CET1 adjustments and deductions:
Goodwill net of associated deferred tax liabilities (DTLs)			(320,753	)		(320,755	)
Other adjustments and deductions for CET1 (2)			(125	)		(955	)
CET1 capital	(e)		1,865,035			1,779,568
Additional Tier 1 capital instruments plus related surplus			60,000			60,000
Tier 1 capital		$	1,925,035		$	1,839,568

Common equity tier 1 risk-based capital ratio	(e)/(c)		11.87	%		11.70	%

(1)

Calculated using net income adjusted for intangible amortization divided by total average tangible equity.

(2)

Includes other intangible assets, net of DTLs, disallowed deferred tax assets and threshold deductions, as applicable.

Trustmark discloses certain non-GAAP financial measures, including operating net income, because Management uses these measures for business planning purposes, including to manage Trustmark’s business against internal projected results of operations and to measure Trustmark’s performance. Trustmark views these as measures of its core operating business, which exclude the impact of the items detailed below, as these items are generally not operational in nature. These non-GAAP financial measures also provide another basis for comparing period-to-period results as presented in the accompanying selected financial data table and the consolidated financial statements by excluding potential differences caused by non-operational and unusual or non-recurring items. Readers are cautioned that these adjustments are not permitted under GAAP. Trustmark encourages readers to consider its consolidated financial statements and the notes related thereto in their entirety, and not to rely on any single financial measure.

The following table presents a reconciliation of net income (GAAP) to operating net income (Non-GAAP) along with selected financial ratios for the periods presented ($ in thousands, except per share data):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Net income (GAAP)	$	63,522		$	55,841		$	119,637		$	109,474

Non-routine transactions (net of taxes):
PCL, LHFI sale of 1-4 family mortgage loans		(6,920	)		—			(6,920	)		—
Loss on sale of 1-4 family mortgage loans (incl in Other, net)		3,754			—			3,754			—
Gain on sale of Visa A shares (incl in Other, net)		(2,452	)		—			(2,452	)		—
Visa C shares fair value adjustment (incl in Other, net)		(1,244	)		—			(1,244	)		—
Operating net income (Non-GAAP)	$	56,660		$	55,841		$	112,775		$	109,474

Diluted EPS - operating (Non-GAAP)	$	0.97		$	0.92		$	1.92		$	1.80

Financial Ratios - Reported (GAAP)
Return on average equity		11.88	%		10.97	%		11.25	%		10.95	%
Return on average tangible equity		14.08	%		13.13	%		13.34	%		13.13	%
Return on average assets		1.33	%		1.21	%		1.27	%		1.20	%

Financial Ratios - Operating (Non-GAAP)
Return on average equity		10.62	%	n/a				10.62	%	n/a
Return on average tangible equity		12.59	%	n/a				12.58	%	n/a
Return on average assets		1.19	%	n/a				1.20	%	n/a

Results of Operations

Net Interest Income

Net interest income is the principal component of Trustmark’s income stream and represents the difference, or spread, between interest and fee income generated from earning assets and the interest expense paid on deposits and borrowed funds. Fluctuations in interest rates, as well as volume and mix changes in earning assets and interest-bearing liabilities, can materially impact net interest income. The net interest margin is computed by dividing annualized fully taxable equivalent (FTE) net interest income by average interest-earning assets and measures how effectively Trustmark utilizes its interest-earning assets in relationship to the interest cost of funding them. The accompanying yield/rate analysis tables show the average balances for all assets and liabilities of Trustmark and the interest income or expense associated with earning assets and interest-bearing liabilities. The yields and rates have been computed based upon interest income and expense adjusted to an FTE basis using the federal statutory corporate tax rate in effect for each of the periods shown. Loans on nonaccrual have been included in the average loan balances, and interest collected prior to these loans having been placed on nonaccrual has been included in interest income. Loan fees included in interest associated with the average LHFS and LHFI balances were immaterial.

Net interest income-FTE for the three and six months ended June 30, 2026 increased $7.2 million, or 4.4%, and $15.9 million, or 5.0%, respectively, when compared with the same time periods in 2025. The increase in net interest income-FTE when the three months ended June 30, 2026 is compared to the same time period in 2025 was principally due to declines in interest on deposits and interest on federal funds purchased and securities sold under repurchase agreements. The increase in net interest income-FTE when the six months ended June 30, 2026 is compared to the same time period in 2025 was principally due to a decline in interest on deposits and interest on federal funds purchased and securities sold under repurchase agreements and increases in interest and fees on LHFS and LHFI-FTE and interest on securities, partially offset by a decline in other interest income. The net interest margin-FTE for the three and six months ended June 30, 2026 increased 3 basis points to 3.84% and 4 basis points to 3.82%, respectively, when compared to the same time periods in 2025, principally due to a decrease in the cost of interest-bearing liabilities, partially offset by a decline in the yield on loans (LHFS and LHFI).

Average interest-earning assets for the three and six months ended June 30, 2026 totaled $17.625 billion and $17.526 billion, respectively, compared to $17.007 billion and $16.873 billion, respectively, for the same time periods in 2025, an increase of $617.4 million, or 3.6%, and $653.4 million, or 3.9%, respectively, primarily reflecting increases in average LHFI and average LHFS. Average LHFI increased $553.7 million, or 4.2%, and $577.8 million, or 4.4%, respectively, when the three and six months ended June 30, 2026 are compared to the same time periods in 2025, principally due to net growth in average balances of commercial and industrial loans, other commercial loans and leases and state and other political subdivision loans, partially offset by net declines in average LHFI secured by real estate. Average LHFS increased $88.3 million, or 43.1%, and $92.4 million, or 47.6%, respectively, when the three and six

months ended June 30, 2026 are compared to the same time periods in 2025, reflecting increases in average balances of loans in the process of being sold and GNMA loans eligible for repurchase.

Interest income-FTE for the three and six months ended June 30, 2026 totaled $240.4 million and $475.4 million, respectively, relatively unchanged when the second quarter of 2026 is compared to the second quarter of 2025, and an increase of $3.5 million, or 0.7%, when the first six months of 2026 is compared to the same time period in 2025. The yield on total interest-earning assets for the three and six months ended June 30, 2026 decreased 19 basis points and 17 basis points, respectively, to 5.47%, when compared to the same time periods in 2025. The increase in interest income-FTE for the six months ended June 30, 2026 was primarily due to increases in interest and fees on LHFS and LHFI-FTE and interest on securities partially offset by a decline in other interest income. During the six months ended June 30, 2026, interest and fees on LHFS and LHFI-FTE increased $3.7 million, or 0.9%, while the yield on LHFS and LHFI decreased 24 basis points to 5.93%, when compared to the same time period in 2025, primarily due to loan growth partially offset by a decline in interest rates. Interest on securities increased $1.4 million, or 2.7%, when the six months ended June 30, 2026 is compared to the same time period in 2025, while the yield on securities increased 9 basis points to 3.55%, principally due to purchases of securities available for sale net of calls, pay-downs and maturities of securities available for sale. Other interest income declined $1.6 million, or 18.4%, when the six months ended June 30, 2026 is compared to the same time period in 2025, while the rate on other earning assets declined 61 basis points to 3.82%, principally due to a decline in the interest earned on balances held at the FRBA which was primarily attributable to the FRB’s decision to reduce the rate paid on balances held at the FRBA during the fourth quarter of 2025.

Average interest-bearing liabilities for the three and six months ended June 30, 2026 totaled $13.501 billion and $13.504 billion, respectively, compared to $13.019 billion and $12.949 billion, respectively, for the same time periods in 2025, an increase of $482.1 million, or 3.7%, and $555.7 million, or 4.3%, respectively, primarily due to an increase in average interest-bearing deposits, partially offset by a decline in average other borrowings. Average interest-bearing deposits for the three and six months ended June 30, 2026 increased $568.9 million, or 4.7%, and $594.6 million, or 5.0%, respectively, when compared to the same time periods in 2025, reflecting increases in average interest-bearing demand deposits and average time deposits partially offset by a decrease in average savings deposits. Average other borrowings for the three and six months ended June 30, 2026 decreased $71.1 million, or 11.5%, and $43.3 million, or 7.5%, respectively, when compared to the same time periods in 2025, principally due to the decrease in average short-term FHLB advances outstanding with the FHLB of Dallas partially offset by increases in average balances of GNMA loans eligible for repurchase and average subordinated notes. The increase in the average subordinated notes for the three and six months ended June 30, 2026 when compared to the same time periods in 2025 was due to the $175.0 million aggregate principal amount of subordinated notes (the 2025 Notes) that were issued and sold by Trustmark during the fourth quarter of 2025, partially offset by the pay-off of the $125.0 million aggregate principal amount of the notes issued and sold in 2020.

Interest expense for the three and six months ended June 30, 2026 totaled $71.8 million and $143.3 million, respectively, a decrease of $6.9 million, or 8.7%, and $12.5 million, or 8.0%, respectively, when compared with the same time periods in 2025, while the rate on total interest-bearing liabilities decreased 29 basis points to 2.13% and 2.14%, respectively, primarily reflecting declines in interest on deposits and interest on federal funds purchased and securities sold under repurchase agreements. Interest on deposits for the three and six months ended June 30, 2026 decreased $5.5 million, or 8.1%, and $10.5 million, or 7.8%, while the rate on interest-bearing deposits decreased 28 basis points to 2.00% and 2.01%, respectively, when compared to the same time periods in 2025, primarily due to declines in interest rates paid on interest-bearing deposit accounts. Interest on federal funds purchased and securities sold under repurchase agreements for the three and six ended June 30, 2026 declined $765 thousand, or 17.0%, and $1.1 million, or 12.3%, respectively, while the rate on federal funds purchased and securities sold under repurchase agreements decreased 60 basis points and 58 basis points to 3.75%, respectively, when compared to the same time periods in 2025, primarily reflecting declines in the target federal funds rate by the FRB during the fourth quarter of 2025.

The following tables provide the tax equivalent basis yield or rate for each component of the tax equivalent net interest margin for the periods presented ($ in thousands):


	Three Months Ended June 30,
	2026								2025

	Average Balance			Interest		Yield/ Rate			Average Balance			Interest		Yield/ Rate
Assets
Interest-earning assets:
Securities	$	3,069,157		$	26,952		3.52	%	$	3,049,119		$	26,269		3.46	%
Loans (LHFS and LHFI)		14,185,503			209,557		5.93	%		13,543,505			209,077		6.19	%
Other earning assets		370,080			3,854		4.18	%		414,733			4,734		4.58	%
Total interest-earning assets		17,624,740			240,363		5.47	%		17,007,357			240,080		5.66	%
Other assets		1,628,588								1,605,786
ACL, LHFI		(160,008	)							(166,430	)
Total assets	$	19,093,320							$	18,446,713

Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing deposits	$	12,554,644			62,629		2.00	%	$	11,985,793			68,177		2.28	%
Federal funds purchased and securities sold under repurchase agreements		400,495			3,748		3.75	%		416,104			4,513		4.35	%
Other borrowings		546,347			5,426		3.98	%		617,496			5,982		3.89	%
Total interest-bearing liabilities		13,501,486			71,803		2.13	%		13,019,393			78,672		2.42	%
Noninterest-bearing demand deposits		3,210,375								3,171,796
Other liabilities		237,612								214,315
Shareholders' equity		2,143,847								2,041,209
Total liabilities and shareholders' equity	$	19,093,320							$	18,446,713

Net interest margin					168,560		3.84	%					161,408		3.81	%

Less tax equivalent adjustment					2,930								2,652
Net interest margin per consolidated statements of income				$	165,630							$	158,756


	Six Months Ended June 30,
	2026								2025
	Average Balance			Interest		Yield/ Rate			Average Balance			Interest		Yield/ Rate
Assets
Interest-earning assets:
Securities	$	3,054,307		$	53,733		3.55	%	$	3,050,291		$	52,325		3.46	%
Loans (LHFS and LHFI)		14,102,645			414,674		5.93	%		13,432,507			411,006		6.17	%
Other earning assets		369,544			7,001		3.82	%		390,255			8,580		4.43	%
Total interest-earning assets		17,526,496			475,408		5.47	%		16,873,053			471,911		5.64	%
Other assets		1,638,364								1,615,132
ACL, LHFI		(158,256	)							(163,180	)
Total assets	$	19,006,604							$	18,325,005

Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing deposits	$	12,558,913			125,348		2.01	%	$	11,964,318			135,895		2.29	%
Federal funds purchased and securities sold under repurchase agreements		415,056			7,723		3.75	%		410,677			8,811		4.33	%
Other borrowings		530,492			10,243		3.89	%		573,799			11,058		3.89	%
Total interest-bearing liabilities		13,504,461			143,314		2.14	%		12,948,794			155,764		2.43	%
Noninterest-bearing demand deposits		3,122,043								3,113,886
Other liabilities		236,459								245,806
Shareholders' equity		2,143,641								2,016,519
Total liabilities and shareholders' equity	$	19,006,604							$	18,325,005

Net interest margin					332,094		3.82	%					316,147		3.78	%

Less tax equivalent adjustment					5,905								5,336
Net interest margin per consolidated statements of income				$	326,189							$	310,811

Provision for Credit Losses

LHFI

The PCL, LHFI is the amount necessary to maintain the ACL for LHFI at the amount of expected credit losses inherent within the LHFI portfolio. The amount of PCL and the related ACL for LHFI are based on Trustmark’s ACL methodology. The total PCL, LHFI for the three and six months ended June 30, 2026 totaled a negative $4.8 million and a negative $87 thousand, respectively, and included a provision release of $9.2 million as a result of the sale of 1-4 family mortgage loans during the second quarter of 2026. The PCL, LHFI excluding the sale of 1-4 family mortgage loans totaled $4.5 million and $9.1 million, respectively, for the three and six months ended June 30, 2026, compared to a PCL, LHFI of $5.3 million and $13.5 million, respectively, for the same time periods in 2025, a decrease of $894 thousand, or 16.7%, and $4.3 million, or 32.2%, respectively. The decrease in the PCL, LHFI excluding the sale of 1-4 family mortgage loans when the three and six months ended June 30, 2026 are compared to the same time periods in 2025 was principally due to a decline in required reserves as a result of positive credit migration, resolution of the Credit Quality Review Qualitative Factor during the third quarter of 2025, a decline in loan growth and changes in the macroeconomic forecast, partially offset by an increase in required reserves on individually analyzed credits. The PCL, LHFI excluding the sale of 1-4 family mortgage loans for the three months ended June 30, 2026 was principally attributable to specific reserves on individually analyzed loans, changes in the macroeconomic forecast and loan growth, partially offset by positive credit migration. The PCL, LHFI excluding the sale of 1-4 family mortgage loans for the six months ended June 30, 2026 was principally attributable to specific reserves on individually analyzed loans and loan growth, partially offset by positive credit migration and changes in the macroeconomic forecast.

Off-Balance Sheet Credit Exposures

FASB ASC Topic 326 requires Trustmark to estimate expected credit losses for off-balance sheet credit exposures which are not unconditionally cancellable by Trustmark. Trustmark maintains a separate ACL for off-balance sheet credit exposures, including unfunded commitments and letters of credit. Adjustments to the ACL on off-balance sheet credit exposures are recorded to the PCL, off-balance sheet credit exposures. The PCL, off-balance sheet credit exposures totaled $1.5 million and a negative $417 thousand, respectively, for the three and six months ended June 30, 2026, compared to a negative $670 thousand and a negative $3.5 million, respectively, for the same time periods in 2025, an increase in provision expense of $2.2 million and $3.1 million, respectively, primarily due to reserves released during the second quarter of 2025 due to positive credit migration as well as increases in the quantitative reserve rates due to changes in the macroeconomic forecast and the historical utilization rates. The PCL, off-balance sheet credit exposures for the three months ended June 30, 2026, was primarily attributable to an increase in the quantitative reserve rate due to changes in the macroeconomic forecast and an increase in the utilization rates for unfunded commitments. The release in the PCL, off-balance sheet credit exposures for the six months ended June 30, 2026, was primarily attributable to a decrease in unfunded commitment balances partially offset by an increase in the quantitative reserve rate due to changes in the macroeconomic forecast and an increase in the utilization rates for unfunded commitments.

See the section captioned “Allowance for Credit Losses” for information regarding Trustmark’s ACL methodology as well as further analysis of the PCL.

Noninterest Income

The following table provides the comparative components of noninterest income for the periods presented ($ in thousands):


	Three Months Ended June 30,										Six Months Ended June 30,
	2026		2025		$ Change			% Change			2026		2025		$ Change			% Change
Service charges on deposit accounts	$	10,375	$	10,585	$	(210	)		-2.0	%	$	21,029	$	21,221	$	(192	)		-0.9	%
Bank card and other fees		8,743		8,754		(11	)		-0.1	%		16,731		16,418		313			1.9	%
Mortgage banking, net		8,914		8,602		312			3.6	%		17,848		17,373		475			2.7	%
Wealth management		10,922		9,638		1,284			13.3	%		21,315		19,181		2,134			11.1	%
Other, net		3,617		2,311		1,306			56.5	%		7,993		8,281		(288	)		-3.5	%
Total noninterest income	$	42,571	$	39,890	$	2,681			6.7	%	$	84,916	$	82,474	$	2,442			3.0	%

Changes in various components of noninterest income are discussed in further detail below. For analysis of Trustmark’s wealth management income, please see the section captioned “Results of Segment Operations.”

Mortgage Banking, Net

The following table illustrates the components of mortgage banking, net included in noninterest income for the periods presented ($ in thousands):


	Three Months Ended June 30,												Six Months Ended June 30,
	2026			2025			$ Change			% Change			2026			2025			$ Change			% Change
Mortgage servicing income, net	$	7,441		$	7,142		$	299			4.2	%	$	14,790		$	14,303		$	487			3.4	%
Change in fair value-MSR from runoff		(3,531	)		(3,596	)		65			1.8	%		(6,636	)		(5,658	)		(978	)		-17.3	%
Gain on sales of loans, net		4,805			5,597			(792	)		-14.2	%		9,591			9,850			(259	)		-2.6	%
Mortgage banking income before net hedge ineffectiveness		8,715			9,143			(428	)		-4.7	%		17,745			18,495			(750	)		-4.1	%
Change in fair value-MSR from market changes		3,320			(1,946	)		5,266		n/m				7,282			(7,874	)		15,156		n/m
Change in fair value of derivatives		(3,121	)		1,405			(4,526	)	n/m				(7,179	)		6,752			(13,931	)	n/m
Net hedge ineffectiveness		199			(541	)		740		n/m				103			(1,122	)		1,225		n/m
Mortgage banking, net	$	8,914		$	8,602		$	312			3.6	%	$	17,848		$	17,373		$	475			2.7	%

n/m - percentage changes greater than +/- 100% are not considered meaningful

Mortgage loan production for the three and six months ended June 30, 2026 was $477.0 million and $852.1 million, respectively, an increase of $50.8 million, or 11.9%, and $107.0 million, or 14.4%, respectively, when compared to the same time periods in 2025.

Loans serviced for others totaled $9.030 billion at June 30, 2026, compared with $8.859 billion at June 30, 2025, an increase of $171.2 million, or 1.9%.

Representing a significant component of mortgage banking income is the gain on sales of loans, net. The decrease in the gain on sales of loans, net when the three and six months ended June 30, 2026 are compared to the same time periods in 2025, was primarily the result of a decrease in the market valuation adjustment partially offset by an increase in the volume of loans sold. Loan sales totaled $306.7 million and $596.8 million, respectively, for the three and six months ended June 30, 2026, an increase of $31.8 million, or 11.6%, and $66.1 million, or 12.5%, respectively, when compared with the same time period in 2025.

Other, Net

The following table illustrates the components of other, net included in noninterest income for the periods presented ($ in thousands):


	Three Months Ended June 30,												Six Months Ended June 30,
	2026			2025			$ Change			% Change			2026			2025			$ Change			% Change
Partnership amortization for tax credit purposes	$	(2,171	)	$	(2,137	)	$	(34	)		-1.6	%	$	(4,364	)	$	(4,261	)	$	(103	)		-2.4	%
Increase in life insurance cash surrender value		1,925			1,911			14			0.7	%		3,797			3,778			19			0.5	%
Loss on sale of 1-4 family mortgage loans		(5,005	)		—			(5,005	)	n/m				(5,005	)		—			(5,005	)	n/m
Gain on sale of Visa A shares		3,269			—			3,269		n/m				3,269			—			3,269		n/m
Visa C shares fair value adjustment		1,659			—			1,659		n/m				1,659			—			1,659		n/m
Other miscellaneous income		3,940			2,537			1,403			55.3	%		8,637			8,764			(127	)		-1.4	%
Total other, net	$	3,617		$	2,311		$	1,306			56.5	%	$	7,993		$	8,281		$	(288	)		-3.5	%

n/m - percentage changes greater than +/- 100% are not considered meaningful

The increase in other, net when the three months ended June 30, 2026 is compared to the same time period in 2025 was principally due to the total gain on the sale of the Visa A shares and fair value adjustment of the Visa C shares and an increase in income from other partnership investments, partially offset by the loss on the sale of the 1-4 family mortgage loans.

Noninterest Expense

The following table illustrates the comparative components of noninterest expense for the periods presented ($ in thousands):


	Three Months Ended June 30,										Six Months Ended June 30,
	2026		2025		$ Change			% Change			2026		2025		$ Change			% Change
Salaries and employee benefits	$	72,990	$	68,298	$	4,692			6.9	%	$	147,232	$	136,790	$	10,442			7.6	%
Services and fees		29,748		26,998		2,750			10.2	%		57,692		53,245		4,447			8.4	%
Net occupancy-premises		7,728		7,507		221			2.9	%		15,554		14,892		662			4.4	%
Equipment expense		7,267		6,206		1,061			17.1	%		14,265		12,514		1,751			14.0	%
Other expense		15,950		16,105		(155	)		-1.0	%		31,099		31,684		(585	)		-1.8	%
Total noninterest expense	$	133,683	$	125,114	$	8,569			6.8	%	$	265,842	$	249,125	$	16,717			6.7	%

Changes in the various components of noninterest expense are discussed in further detail below. Management considers disciplined expense management a key area of focus in the support of improving shareholder value.

Salaries and Employee Benefits

The increase in salaries and employee benefits when the three and six months ended June 30, 2026 are compared to the same time periods in 2025 was principally due to increases in salaries expense primarily due to general merit increases, commission expense related to mortgage origination production and brokerage activity, management annual performance incentives, incentive stock compensation expense, payroll taxes, contributions to employee retirement funds and medical insurance expense.

Services and Fees

The increase in services and fees when the three months ended June 30, 2026 is compared to the same time period in 2025 was principally due to increases in data processing expenses related to software. The increase in services and fees when the six months ended June 30,

2026 is compared to the same time period in 2025 was principally due to increases in data processing expenses related to software, business process outsourcing expense and advertising expense.

Equipment Expense

The increase in equipment expense when the three and six months ended June 30, 2026 are compared to the same time periods in 2025 was principally due to an increase in data processing equipment expense.

Other Expense

The following table illustrates the comparative components of other noninterest expense for the periods presented ($ in thousands):


	Three Months Ended June 30,										Six Months Ended June 30,
	2026		2025		$ Change			% Change			2026		2025		$ Change			% Change
Loan expense	$	3,569	$	3,377	$	192			5.7	%	$	6,799	$	6,169	$	630			10.2	%
Amortization of intangibles		—		32		(32	)		-100.0	%		—		63		(63	)		-100.0	%
FDIC assessment expense		3,389		4,064		(675	)		-16.6	%		6,996		8,224		(1,228	)		-14.9	%
Other real estate expense, net		689		159		530		n/m				872		611		261			42.7	%
Other miscellaneous expense		8,303		8,473		(170	)		-2.0	%		16,432		16,617		(185	)		-1.1	%
Total other expense	$	15,950	$	16,105	$	(155	)		-1.0	%	$	31,099	$	31,684	$	(585	)		-1.8	%

n/m - percentage changes greater than +/- 100% are not considered meaningful

Results of Segment Operations

For a description of the methodologies used to measure financial performance and financial information by reportable segment, please see Note 17 – Segment Information included in Part I. Item 1. – Financial Statements of this report. The following discusses changes in the results of operations of each reportable segment for the six months ended June 30, 2026 and 2025.

General Banking

Net interest income for the General Banking Segment increased $13.2 million, or 4.3%, when the six months ended June 30, 2026 is compared with the same time period in 2025. The increase in net interest income was primarily due to declines in interest on deposits, interest on federal funds purchased and securities sold under repurchase agreements and interest on FHLB advances as well as increases in interest and fees on LHFS and LHFI and interest on securities, partially offset by a decline in other interest income. The net PCL (LHFI and off-balance sheet credit exposures) for the General Banking Segment for the six months ended June 30, 2026 totaled a negative $727 thousand compared to a net PCL of $10.0 million for the same time period in 2025, a decrease of $10.7 million, principally due to reserves released as a result of the sale of 1-4 family mortgage loans during the second quarter of 2026. For more information on these net interest income and PCL items, please see the sections captioned “Financial Highlights” and “Results of Operations.”

Noninterest income for the General Banking Segment was relatively unchanged when the first six months of 2026 is compared to the same time period in 2025. Noninterest income for the General Banking Segment includes service charges on deposit accounts; bank card and other fees; mortgage banking, net; wealth management; other, net and securities gains (losses), net. For more information on these noninterest income items, please see the analysis included in the section captioned “Noninterest Income.”

Noninterest expense for the General Banking Segment increased $14.8 million, or 6.3%, when the first six months of 2026 is compared with the same time period in 2025, principally due to increases in salaries and employee benefits, services and fees and equipment expense. For more information on these noninterest expense items, please see the analysis included in the section captioned “Noninterest Expense.”

Wealth Management

Net income for the Wealth Management Segment for the first six months of 2026 increased $1.8 million, or 35.7%, when compared to the same time period in 2025, reflecting increases in net interest income and noninterest income, partially offset by an increase in noninterest expense. Net interest income for the Wealth Management Segment for the six months ended June 30, 2026 increased $2.2 million, or 59.4%, when compared to the same time period in 2025, principally due to an increase in the earnings credits assigned to the Wealth Management Segment related to deposits generated by the Private Banking group. The net PCL for the six months ended June 30, 2026 totaled $223 thousand compared to a negative net PCL of $20 thousand for the same period in 2025, an increase of $243 thousand. Noninterest income for the Wealth Management Segment, which primarily includes income related to investment

management, trust and brokerage services, increased $2.4 million, or 12.3%, when the first six months of 2026 is compared to the same time period in 2025, primarily due to an increase in income from brokerage and trust management services. Noninterest expense for the Wealth Management Segment increased $1.9 million, or 11.9%, when the first six months of 2026 is compared to the same time period in 2025, principally due to an increase in salaries and employee benefits, primarily related to broker commissions and general merit increases.

At June 30, 2026 and 2025, Trustmark held assets under management and administration of $11.435 billion and $9.818 billion, respectively, and brokerage assets of $2.901 billion and $2.757 billion, respectively.

Income Taxes

For the three and six months ended June 30, 2026, Trustmark’s combined effective tax rate was 18.3% and 17.9%, respectively, compared to 18.9% and 18.4%, respectively, for the same time periods in 2025. Trustmark’s effective tax rate continues to be less than the statutory rate primarily due to various tax-exempt income items and its utilization of income tax credit programs. Trustmark invests in partnerships that provide income tax credits on a Federal and/or State basis (i.e., new market tax credits, low-income housing tax credits or historical tax credits). The income tax credits related to these partnerships are utilized as specifically allowed by income tax law and are recorded as a reduction in income tax expense.

Financial Condition

Earning assets serve as the primary revenue streams for Trustmark and are comprised of securities, loans and other earning assets. Average earning assets totaled $17.526 billion, or 92.2% of total average assets, for the six months ended June 30, 2026, compared to $16.873 billion, or 92.1% of total average assets, for the six months ended June 30, 2025, an increase of $653.4 million, or 3.9%.

Securities

The securities portfolio is utilized by Management to manage interest rate risk, generate interest income, provide liquidity and use as collateral for public deposits and wholesale funding. Risk and return can be adjusted by altering duration, composition and/or balance of the portfolio. The weighted-average life of the portfolio was 4.3 years at both June 30, 2026 and December 31, 2025, respectively.

When compared to December 31, 2025, total investment securities decreased by $7.8 million, or 0.3%, during the first six months of 2026. This decrease resulted primarily from calls, maturities and pay-downs of the loans underlying GSE guaranteed securities and a decrease in the fair market value of the available for sale securities, partially offset by purchases of available for sale securities. Trustmark sold no securities during the first six months of 2026 or 2025.

During 2022, Trustmark reclassified $766.0 million of securities available for sale to securities held to maturity to mitigate the potential adverse impact of a rising interest rate environment on the fair value of the available for sale securities and the related impact on tangible common equity. At the date of these transfers, the net unrealized holding loss on the available for sale securities totaled $91.9 million ($68.9 million net of tax). The resulting net unrealized holding losses are being amortized over the remaining life of the securities as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security.

At June 30, 2026, the net unamortized, unrealized loss on all transferred securities included in accumulated other comprehensive income (loss) (AOCI) in the accompanying consolidated balance sheets totaled $32.1 million compared to $36.3 million at December 31, 2025.

Available for sale securities are carried at their estimated fair value with unrealized gains or losses recognized, net of taxes, in AOCI, a separate component of shareholders’ equity. At June 30, 2026, available for sale securities totaled $1.942 billion, which represented 63.1% of the securities portfolio, compared to $1.877 billion, or 60.9% of total securities, at December 31, 2025. At June 30, 2026, unrealized gains, net on available for sale securities totaled $2.7 million compared to unrealized gains, net of $34.4 million at December 31, 2025. At June 30, 2026, available for sale securities consisted of U.S. Treasury securities, direct obligations of government agencies and GSE guaranteed mortgage-related securities.

Held to maturity securities are carried at amortized cost and represent those securities that Trustmark both intends and has the ability to hold to maturity. At June 30, 2026, held to maturity securities totaled $1.135 billion, which represented 36.9% of the total securities portfolio, compared to $1.207 billion, or 39.1% of total securities, at December 31, 2025.

Management continues to focus on asset quality as one of the strategic goals of the securities portfolio, which is evidenced by the investment of 100.0% of the portfolio in U.S. Treasury securities, direct obligations of government agencies and GSE-backed obligations. None of the securities owned by Trustmark are collateralized by assets which are considered sub-prime. Furthermore, outside of stock ownership in the FHLB of Dallas and FRBA, Trustmark does not hold any other equity investment in a GSE or other governmental entity.

As of June 30, 2026, Trustmark did not hold securities of any one issuer with a carrying value exceeding 10% of total shareholders’ equity, other than certain GSEs which are exempt from inclusion. Management continues to closely monitor the credit quality as well as the ratings of the debt and mortgage-backed securities issued by the GSEs and held in Trustmark’s securities portfolio.

The following tables present Trustmark’s securities portfolio by amortized cost and estimated fair value and by credit rating, as determined by Moody’s Investors Services (Moody’s), at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	Amortized Cost					Estimated Fair Value
	Amount		%			Amount		%
Securities Available for Sale
Aaa	$	39,848		2.1	%	$	40,487		2.1	%
Aa1 to Aa3		1,899,111		97.9	%		1,901,137		97.9	%
Total securities available for sale	$	1,938,959		100.0	%	$	1,941,624		100.0	%

Securities Held to Maturity
Aaa	$	51,286		4.5	%	$	49,027		4.5	%
Aa1 to Aa3		1,083,537		95.5	%		1,047,849		95.5	%
Total securities held to maturity	$	1,134,823		100.0	%	$	1,096,876		100.0	%


	December 31, 2025
	Amortized Cost					Estimated Fair Value
	Amount		%			Amount		%
Securities Available for Sale
Aaa	$	39,647		2.2	%	$	41,029		2.2	%
Aa1 to Aa3		1,802,797		97.8	%		1,835,801		97.8	%
Total securities available for sale	$	1,842,444		100.0	%	$	1,876,830		100.0	%

Securities Held to Maturity
Aaa	$	52,405		4.3	%	$	50,363		4.3	%
Aa1 to Aa3		1,155,049		95.7	%		1,130,206		95.7	%
Total securities held to maturity	$	1,207,454		100.0	%	$	1,180,569		100.0	%

The table above presenting the credit rating of Trustmark’s securities is formatted to show the securities according to the credit rating category, and not by category of the underlying security.

LHFS

At June 30, 2026, LHFS totaled $300.5 million, consisting of $165.9 million of residential real estate mortgage loans in the process of being sold to third parties and $134.6 million of GNMA optional repurchase loans. At December 31, 2025, LHFS totaled $278.8 million, consisting of $142.5 million of residential real estate mortgage loans in the process of being sold to third parties and $136.3 million of GNMA optional repurchase loans. Please refer to the nonperforming assets table that follows for information on GNMA loans eligible for repurchase which are past due 90 days or more.

Trustmark did not exercise its buy-back option on any delinquent loans serviced for GNMA during the first six months of 2026 or 2025.

For additional information regarding the GNMA optional repurchase loans, please see the section captioned “Past Due LHFS” included in Note 3 – LHFI and Allowance for Credit Losses, LHFI of Part I. Item 1. – Financial Statements of this report.

LHFI

At June 30, 2026 and December 31, 2025, LHFI consisted of the following ($ in thousands):


	June 30, 2026					December 31, 2025
	Amount		%			Amount		%
Loans secured by real estate:
Construction, land development and other land	$	555,731		4.0	%	$	549,353		4.0	%
Other secured by 1-4 family residential properties		721,362		5.2	%		704,514		5.1	%
Secured by nonfarm, nonresidential properties		3,198,800		23.0	%		3,304,523		24.2	%
Other real estate secured		1,990,550		14.3	%		2,124,272		15.5	%
Other loans secured by real estate:
Other construction		661,069		4.8	%		595,238		4.4	%
Secured by 1-4 family residential properties		2,357,203		16.9	%		2,351,675		17.2	%
Commercial and industrial loans		2,294,721		16.5	%		1,999,464		14.6	%
Consumer loans		160,648		1.1	%		163,754		1.2	%
State and other political subdivision loans		1,046,511		7.5	%		1,061,584		7.8	%
Other commercial loans and leases		926,428		6.7	%		819,856		6.0	%
LHFI	$	13,913,023		100.0	%	$	13,674,233		100.0	%

LHFI increased $238.8 million, or 1.7%, compared to December 31, 2025. The increase in LHFI during the first six months of 2026 was primarily due to net growth in commercial and industrial loans and other commercial loans and leases, partially offset by net declines in loans secured by real estate.

Commercial and industrial loans increased $295.3 million, or 14.8%, during the first six months of 2026, reflecting growth in the Alabama, Mississippi, Georgia, Texas and Florida market regions partially offset by a decline in the Tennessee market region. Other commercial loans and leases increased $106.6 million, or 13.0%, during the first six months of 2026, principally due to increases in equipment finance leases in the Georgia and Alabama market regions and other commercial loans in the Mississippi, Tennessee and Georgia market regions, partially offset by a decline in other commercial loans in the Texas market region. The equipment finance leases are primarily reported in the Georgia market region because they are centrally analyzed and approved as part of the Equipment Finance line of business which is located in Atlanta, Georgia.

Loans secured by real estate decreased $144.9 million, or 1.5%, during the first six months of 2026, principally due to net declines in other real estate secured loans and loans secured by nonfarm, nonresidential properties (NFNR loans), partially offset by growth in other construction loans. Other real estate secured loans decreased $133.7 million, or 6.3%, during the first six months of 2026, primarily due to declines in loans secured by multi-family residential properties in the Alabama, Mississippi, Texas and Georgia market regions partially offset by other construction loans that moved to loans secured by multi-family residential properties in the Alabama, Georgia, Mississippi and Texas market regions. Excluding other construction loan reclassifications, other real estate secured loans decreased $409.1 million, or 19.3%, during the first six months of 2026. NFNR loans declined $105.7 million, or 3.2%, during the first six months of 2026, principally due to declines in nonowner-occupied and owner-occupied loans in the Texas, Mississippi, Alabama, Florida and Tennessee market regions, partially offset by other construction loans that moved to NFNR loans in the Mississippi, Texas, Georgia and Alabama market regions and growth in nonowner-occupied loans in the Georgia market region. Excluding the other construction loan reclassifications, NFNR loans declined $210.6 million, or 6.4%, during the first six months of 2026. Other construction loans increased $65.8 million, or 11.1%, during the first six months of 2026 primarily due to new construction loans in the Mississippi, Alabama, Georgia and Texas market regions partially offset by other construction loans moved to other loan categories upon the completion of the related construction project in the Alabama, Georgia, Mississippi and Texas market regions. During the first six months of 2026, $380.3 million of loans were moved from other construction to other loan categories, including $275.4 million to multi-family residential loans, $94.1 million to nonowner-occupied loans and $10.8 million to owner-occupied loans. Excluding all reclassifications between loan categories, growth in other construction loans totaled $446.1 million, or 75.0%, during the first six months of 2026.

The following table provides information regarding Trustmark’s home equity loans and home equity lines of credit which are included in the other LHFI secured by 1-4 family residential properties for the periods presented ($ in thousands):


	June 30, 2026			December 31, 2025
Home equity loans	$	68,162		$	72,895
Home equity lines of credit		512,589			497,937
Percentage of loans and lines for which Trustmark holds first lien		43.7	%		44.5	%
Percentage of loans and lines for which Trustmark does not hold first lien		56.3	%		55.5	%

Due to the increased risk associated with second liens, loan terms and underwriting guidelines differ from those used for products secured by first liens. Loan amounts and loan-to-value ratios are limited and are lower for second liens than first liens. Also, interest rates and maximum amortization periods are adjusted accordingly. In addition, regardless of lien position, the passing credit score for approval of all home equity lines of credit is generally higher than that of term loans. The ACL on LHFI is also reflective of the increased risk related to second liens through application of a greater loss factor to this portion of the portfolio.

Trustmark’s variable rate LHFI are based primarily on various prime and SOFR interest rate bases. The following tables provide information regarding the interest rate terms of Trustmark’s LHFI as of June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026
	Fixed		Variable		Total
Loans secured by real estate:
Construction, land development and other land	$	109,464	$	446,267	$	555,731
Other secured by 1- 4 family residential properties		201,358		520,004		721,362
Secured by nonfarm, nonresidential properties		1,127,883		2,070,917		3,198,800
Other real estate secured		144,029		1,846,521		1,990,550
Other loans secured by real estate:
Other construction		20,371		640,698		661,069
Secured by 1- 4 family residential properties		1,043,911		1,313,292		2,357,203
Commercial and industrial loans		789,092		1,505,629		2,294,721
Consumer loans		134,268		26,380		160,648
State and other political subdivision loans		991,811		54,700		1,046,511
Other commercial loans and leases		603,647		322,781		926,428
LHFI	$	5,165,834	$	8,747,189	$	13,913,023


	December 31, 2025
	Fixed		Variable		Total
Loans secured by real estate:
Construction, land development and other land	$	105,004	$	444,349	$	549,353
Other secured by 1- 4 family residential properties		205,341		499,173		704,514
Secured by nonfarm, nonresidential properties		1,226,244		2,078,279		3,304,523
Other real estate secured		201,897		1,922,375		2,124,272
Other loans secured by real estate:
Other construction		23,419		571,819		595,238
Secured by 1- 4 family residential properties		1,107,156		1,244,519		2,351,675
Commercial and industrial loans		804,490		1,194,974		1,999,464
Consumer loans		138,104		25,650		163,754
State and other political subdivision loans		1,010,960		50,624		1,061,584
Other commercial loans and leases		521,855		298,001		819,856
LHFI	$	5,344,470	$	8,329,763	$	13,674,233

In the following tables, LHFI reported by region (along with related nonperforming assets and net charge-offs) are associated with location of origination except for loans secured by 1-4 family residential properties (representing traditional mortgages), credit cards and equipment finance loans and leases. Loans secured by 1-4 family residential properties and credit cards are primarily included in the Mississippi market region because they are centrally analyzed and approved as part of a specific line of business located at Trustmark’s headquarters in Jackson, Mississippi. The equipment finance loans and leases are primarily reported in the Georgia market region because they are centrally analyzed and approved as part of the Equipment Finance line of business which is located in Atlanta, Georgia.

The following table presents the LHFI composition by region at June 30, 2026 and reflects each region’s diversified mix of loans ($ in thousands):


	June 30, 2026
LHFI Composition by Region	Total		Alabama		Florida		Georgia		Mississippi		Tennessee		Texas
Loans secured by real estate:
Construction, land development and other land	$	555,731	$	266,296	$	21,480	$	13,663	$	117,933	$	42,521	$	93,838
Other secured by 1-4 family residential properties		721,362		173,282		67,062		—		347,133		88,768		45,117
Secured by nonfarm, nonresidential properties		3,198,800		789,274		159,857		164,780		1,455,246		108,017		521,626
Other real estate secured		1,990,550		785,962		1,565		296,998		540,416		7,164		358,445
Other loans secured by real estate:
Other construction		661,069		173,166		—		160,513		177,997		—		149,393
Secured by 1-4 family residential properties		2,357,203		—		—		—		2,355,629		1,574		—
Commercial and industrial loans		2,294,721		710,644		23,787		403,512		779,786		121,897		255,095
Consumer loans		160,648		19,058		8,781		—		90,426		10,245		32,138
State and other political subdivision loans		1,046,511		52,644		55,003		4,690		813,654		26,441		94,079
Other commercial loans and leases		926,428		24,008		4,940		519,521		274,874		55,913		47,172
LHFI	$	13,913,023	$	2,994,334	$	342,475	$	1,563,677	$	6,953,094	$	462,540	$	1,596,903

Construction, Land Development and Other Land Loans by Region
Lots	$	79,698	$	38,214	$	7,093	$	—	$	18,193	$	4,971	$	11,227
Development		71,342		39,470		—		—		13,615		13,651		4,606
Unimproved land		77,615		19,455		6,297		—		19,761		4,841		27,261
1-4 family construction		327,076		169,157		8,090		13,663		66,364		19,058		50,744
Construction, land development and other land loans	$	555,731	$	266,296	$	21,480	$	13,663	$	117,933	$	42,521	$	93,838

Loans Secured by NFNR Properties by Region
Nonowner-occupied:
Retail	$	256,434	$	84,989	$	10,765	$	19,175	$	68,170	$	16,996	$	56,339
Office		187,827		44,889		17,101		—		84,687		2,633		38,517
Hotel/motel		222,598		123,284		26,650		—		51,680		20,984		—
Mini-storage		198,505		55,341		774		54,487		87,057		405		441
Industrial and warehouses		528,634		98,255		19,006		41,118		280,029		2,932		87,294
Health care		124,112		105,460		646		—		15,748		299		1,959
Convenience stores		16,318		1,312		358		—		8,756		135		5,757
Nursing homes/senior living		182,297		13,948		—		—		117,089		3,075		48,185
Other		181,431		35,326		7,859		50,000		47,130		5,561		35,555
Total nonowner-occupied loans		1,898,156		562,804		83,159		164,780		760,346		53,020		274,047
Owner-occupied:
Office		145,525		46,020		28,098		—		34,677		10,035		26,695
Churches		40,508		9,253		3,481		—		22,826		1,738		3,210
Industrial and warehouses		219,644		16,073		6,638		—		69,598		8,781		118,554
Health care		116,430		4,635		13,714		—		88,434		2,071		7,576
Convenience stores		94,033		5,260		2,690		—		55,884		—		30,199
Retail		82,382		16,122		13,067		—		39,807		6,718		6,668
Restaurants		71,031		2,309		1,644		—		37,866		24,160		5,052
Auto dealerships		16,958		1,363		129		—		14,242		1,224		—
Nursing homes/senior living		381,129		108,192		—		—		272,937		—		—
Other		133,004		17,243		7,237		—		58,629		270		49,625
Total owner-occupied loans		1,300,644		226,470		76,698		—		694,900		54,997		247,579
Loans secured by NFNR properties	$	3,198,800	$	789,274	$	159,857	$	164,780	$	1,455,246	$	108,017	$	521,626

ACL on LHFI and Off-Balance Sheet Credit Exposures

LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20, “Financial Instruments – Credit Losses – Measured at Amortized Cost,” as well as applicable regulatory guidance from its primary regulator. The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL for loans. The ACL is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL on LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The loan loss estimation process involves procedures to appropriately consider the unique characteristics of Trustmark’s LHFI portfolio segments. These segments are further disaggregated into loan classes, the level at which credit risk is estimated. When computing allowance levels, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Evaluations of the portfolio and individual credits are inherently subjective, as they require estimates, assumptions and judgments as to the facts and circumstances of particular situations.

During 2024, Trustmark executed a sale on a portfolio of 1-4 family mortgage loans that were at least three payments delinquent and/or nonaccrual at the time of selection. As a result of this sale, a credit mark was established for a sub-pool of the loans in the sale. Due to the lack of historical experience and the use of industry data for this sub-pool, management elected to use the credit mark for reserving purposes on a go forward basis for this sub-pool that meet the same credit criteria of being three payments delinquent and/or nonaccrual. All loans of the sub-pool that meet the above credit criteria will be removed from the 1-4 family residential properties pool and placed into a separate pool with the credit mark reserve applied to the total balance. During the second quarter of 2026, Trustmark executed another sale of 1-4 family mortgage loans that were primarily at least three payments delinquent and/or nonaccrual at the time of selection. Trustmark elected to update the loss rate for this sub-pool of loans as a result of this sale.

The econometric models currently in production reflect segment or pool level sensitivities of probability of default (PD) to changes in macroeconomic variables. By measuring the relationship between defaults and changes in the economy, the quantitative reserve incorporates reasonable and supportable forecasts of future conditions that will affect the value of Trustmark's assets, as required by FASB ASC Topic 326. Under stable forecasts, these linear regressions will reasonably predict a pool’s PD. However, upon the occurrence of events that generate significant economic instability (such as the COVID-19 pandemic), the macroeconomic variables used for reasonable and supportable forecasting can change rapidly and the econometric models, which are sensitive to similar future levels of PD, may not produce reasonably representative results.

In order to prevent the econometric models from extrapolating beyond reasonable boundaries of their input variables, Trustmark chose to establish an upper and lower limit process when applying the periodic forecasts. In this way, Management will not rely upon unobserved and untested relationships in the setting of the quantitative reserve. This approach applies to all current input variables, including: Southern Unemployment, National Unemployment, National Home Price Index (HPI) and the BBB 7-10 Year US Corporate Bond Index. The upper and lower limits are based on the distribution of the macroeconomic variable by selecting extreme percentiles at the upper and lower limits of the distribution, the 1st and 99th percentiles, respectively. These upper and lower limits are then used to calculate the PD for the forecast time period in which the forecasted values are outside of the upper and lower limit range. Additionally, for periods having a PD or loss given default (LGD) at or near zero as a result of the improving macroeconomic forecasts, Management implemented PD and LGD floors to account for the risk associated with each portfolio. The PD and LGD floors are based on Trustmark's historical loss experience and applied at a portfolio level.

The external factors qualitative factor is Management’s best judgment on the loan or pool level impact of all factors that affect the portfolio that are not accounted for using any other part of the ACL methodology (e.g., natural disasters, changes in legislation, impacts due to technology and pandemics). During 2024, Trustmark activated the External Factor – Credit Quality Review qualitative factor. This qualitative factor ensures reserve adequacy for collectively evaluated commercial loans that may not have been identified and downgraded timely for various reasons. This qualitative factor population is all commercial loans risk rated 1-5. These loans are then applied to the historical average of the Watch/Special Mention rated percentage. Then the balance of these loans are applied additional reserves based on the same reserve rates utilized in the performance trends qualitative factor for Watch/Special Mention rated loans. Then the Watch/Special Mention population is applied the historical Substandard rated percentage and then subsequently applied the Substandard reserve rate utilized in the performance trends qualitative factor as well. The historical Watch/Special Mention and Substandard rated percentage averages capture the weighted-average life of the commercial loan portfolio. Thus, Trustmark will allocate additional reserves to capture the proportion of potential Watch/Special Mention and Substandard rated credits that may not have been categorized as such at any given point in time through the life of the commercial loan portfolio. During the third quarter of 2025, Management determined that the risk related to delayed identification and downgrading of commercial loans had sufficiently diminished and, as a result, resolved the External Factor – Credit Quality Review qualitative factor and released the associated reserves.

The nature and volume of the portfolio qualitative factor is utilized for a sub-pool of the secured by 1-4 family residential properties due to its significant size as well as the underlying nature being different. The nature and volume of the portfolio qualitative factor utilizes a WARM methodology that uses Trustmark's historical data for the assumptions to support the qualitative adjustment. Trustmark’s historical data is used to develop a PD based on credit score ranges initially set up as well as using the same LGD value from the mortgage sale that occurred in 2024 along with the same weighted average life assumption utilized to determine the credit mark on this portfolio. During the second quarter of 2026, Trustmark updated the weighted average life assumption and LGD value as a result of the sale of 1-4 family mortgage loans that occurred during the quarter. The sub-pools of credits are then aggregated into the appropriate credit score bands in which a weighted-average loss rate is calculated based on the PD and LGD for each credit score range. This

weighted-average loss rate is then applied to the expected balance for the sub-segment of credits. This total is then used as the qualitative reserve adjustment.

Determining the appropriateness of the allowance is complex and requires judgment by Management about the effect of matters that are inherently uncertain. In future periods, evaluations of the overall LHFI portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense.

For a complete description of Trustmark’s ACL methodology and the quantitative and qualitative factors included in the calculation, please see Note 3 – LHFI and Allowance for Credit Losses, LHFI included in Part I. Item 1. – Financial Statements of this report.

At June 30, 2026, the ACL, LHFI was $148.2 million, a decrease of $8.9 million, or 5.7%, when compared with December 31, 2025. The decrease in the ACL during the first six months of 2026 was principally due to reserves released due to the sale of 1-4 family mortgage loans, positive credit migration and changes in the macroeconomic forecast, partially offset by an increase in reserves on individually analyzed loans and loan growth. Total reserves released or used due to the sale of 1-4 family mortgage loans during the second quarter of 2026 were $15.5 million, of which $9.2 million were released and $6.3 million (the credit related portion of the loss) was used for charge-offs. Allocation of Trustmark’s $148.2 million ACL, LHFI, represented 0.90% of commercial LHFI and 1.63% of consumer and home mortgage LHFI, resulting in an ACL to total LHFI of 1.07% at June 30, 2026. This compares with an ACL to total LHFI of 1.15% at December 31, 2025, which was allocated to commercial LHFI at 0.91% and to consumer and mortgage LHFI at 1.94%.

The following table presents changes in the ACL, LHFI for the periods presented ($ in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Balance at beginning of period	$	160,431		$	167,010		$	157,071		$	160,270
PCL, LHFI		4,452			5,346			9,140			13,471
PCL, LHFI sale of 1-4 family mortgage loans		(9,227	)		—			(9,227	)		—
Charge-offs, sale of 1-4 family mortgage loans		(6,316	)		—			(6,316	)		—
Charge-offs		(3,493	)		(6,380	)		(7,179	)		(10,081	)
Recoveries		2,342			2,261			4,700			4,577
Net (charge-offs) recoveries		(7,467	)		(4,119	)		(8,795	)		(5,504	)
Balance at end of period	$	148,189		$	168,237		$	148,189		$	168,237

The PCL, LHFI excluding the sale of 1-4 family mortgage loans for both the three and six months ended June 30, 2026 totaled 0.13% of average loans (LHFS and LHFI), respectively, compared to 0.16% and 0.20% of average loans (LHFS and LHFI), respectively, for the same time periods in 2025. The PCL, LHFI excluding the sale of 1-4 family mortgage loans for the three and six months ended June 30, 2026 decreased $894 thousand, or 16.7%, and $4.3 million, or 32.2%, respectively, when compared to the same time periods in 2025, principally due to a decline in required reserves as a result of positive credit migration, resolution of the Credit Quality Review Qualitative Factor during the third quarter of 2025, a decline in loan growth and changes in the macroeconomic forecast, partially offset by an increase in required reserves on individually analyzed credits.

The following table presents the net (charge-offs) recoveries by geographic market region for the periods presented ($ in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
Alabama	$	(140	)	$	(2,331	)	$	(244	)	$	(2,538	)
Florida		73			151			38			134
Mississippi		(7,287	)		(1,647	)		(7,913	)		(2,402	)
Tennessee		(185	)		(258	)		(178	)		(559	)
Texas		72			(34	)		(498	)		(139	)
Total net (charge-offs) recoveries	$	(7,467	)	$	(4,119	)	$	(8,795	)	$	(5,504	)

The increase in net charge-offs when the three and six months ended June 30, 2026 are compared to the same time period in 2025 was principally due to the $6.3 million of charge-offs in the Mississippi market region related to the sale of 1-4 family mortgage loans during the second quarter of 2026, partially offset by decreases in charge-offs in the Alabama and Mississippi market regions.

Off-Balance Sheet Credit Exposures

Trustmark maintains a separate ACL on off-balance sheet credit exposures, including unfunded loan commitments and letters of credit, which is included on the accompanying consolidated balance sheets. Expected credit losses for off-balance sheet credit exposures are estimated by calculating a commitment usage factor over the contractual period for exposures that are not unconditionally cancellable by Trustmark. Trustmark calculates a loan pool level unfunded amount for the period. Trustmark calculates an expected funding rate each period which is applied to each pool’s unfunded commitment balances to ensure that reserves will be applied to each pool based upon balances expected to be funded based upon historical levels. Additionally, a reserve rate is applied to the unfunded commitment balance, which includes both quantitative and a majority of the qualitative aspects of the current period’s expected credit loss rate. During 2024, Management implemented a performance trends qualitative factor and an External Factor – Credit Quality Review qualitative factor for unfunded commitments. For both qualitative factors, the same assumptions are applied in the unfunded commitment calculation that are used in the funded balance calculation with the only difference being the unfunded commitment calculation includes the funding rates for the unfunded commitments. The reserves for these two qualitative factors are added to the other calculated reserve to get a total reserve for off-balance sheet credit exposures. During the third quarter of 2025, Management determined that the risk related to delayed identification and downgrading of commercial loans had sufficiently diminished and, as a result, resolved the External Factor – Credit Quality Review qualitative factor and released the associated reserves. See the section captioned “ACL on Off-Balance Sheet Credit Exposures” in Note 11 – Contingencies included in Part I. Item 1. – Financial Statements of this report for complete description of Trustmark’s ACL methodology on off-balance sheet credit exposures.

Adjustments to the ACL on off-balance sheet credit exposures are recorded to the PCL, off-balance sheet credit exposures. At June 30, 2026, the ACL on off-balance sheet credit exposures totaled $27.5 million compared to $28.0 million at December 31, 2025, a decrease of $417 thousand, or 1.5%, primarily attributable to a decrease in unfunded commitment balances partially offset by an increase in the quantitative reserve rate due to changes in the macroeconomic forecast and an increase in the utilization rates for unfunded commitments. The PCL, off-balance sheet credit exposures totaled $1.5 million and a negative $417 thousand, respectively, for the three and six months ended June 30, 2026, compared to a negative $670 thousand and a negative $3.5 million, respectively, for the same time periods in 2025, an increase in provision expense of $2.2 million and $3.1 million, respectively, primarily due to reserves released during the second quarter of 2025 due to positive credit migration as well as increases in the quantitative reserve rates due to changes in the macroeconomic forecast and the historical utilization rates.

Nonperforming Assets

The table below provides the components of nonperforming assets by geographic market region at June 30, 2026 and December 31, 2025 ($ in thousands):


	June 30, 2026			December 31, 2025
Nonaccrual LHFI
Alabama	$	12,012		$	4,638
Florida		514			442
Mississippi		31,078			73,045
Tennessee		2,936			2,396
Texas		3,118			3,870
Total nonaccrual LHFI		49,658			84,391
Other real estate
Alabama		1,356			409
Mississippi		2,870			5,621
Tennessee		982			927
Total other real estate		5,208			6,957
Total nonperforming assets	$	54,866		$	91,348

Nonperforming assets/total loans (LHFS and LHFI) and ORE		0.39	%		0.65	%

Loans past due 90 days or more
LHFI	$	3,065		$	5,097

LHFS - Guaranteed GNMA serviced loans (1)	$	109,508		$	98,939

(1)

No obligation to repurchase.

See the previous discussion of LHFS for more information on Trustmark’s serviced GNMA loans eligible for repurchase and the impact of Trustmark’s repurchases of delinquent mortgage loans under the GNMA optional repurchase program.

Nonaccrual LHFI

At June 30, 2026, nonaccrual LHFI totaled $49.7 million, or 0.35% of total LHFS and LHFI, reflecting a decrease of $34.7 million, or 41.2%, relative to December 31, 2025. The decrease in nonaccrual LHFI during the first six months of 2026 was primarily due to the sale of nonaccrual 1-4 family mortgage loans in the Mississippi market region during the second quarter of 2026, partially offset by one large commercial credit in the Mississippi market region and one large commercial credit in the Alabama market region placed on nonaccrual status. Trustmark's mortgage loans are primarily included in the Mississippi market region because these loans are centrally analyzed and approved as part of the mortgage line of business which is located in Jackson, Mississippi.

For additional information regarding nonaccrual LHFI, see the section captioned “Nonaccrual and Past Due LHFI” included in Note 3 – LHFI and Allowance for Credit Losses, LHFI in Part I. Item 1. – Financial Statements of this report.

Other Real Estate

Other real estate at June 30, 2026 decreased $1.7 million, or 25.1%, when compared with December 31, 2025. The decrease in other real estate during the first six months of 2026 was principally due to properties sold in the Mississippi market region partially offset by properties foreclosed in the Mississippi and Alabama market regions.

The following tables illustrate changes in other real estate by geographic market region for the periods presented ($ in thousands):


	Three Months Ended June 30, 2026
	Total			Alabama		Mississippi			Tennessee
Balance at beginning of period	$	7,316		$	1,356	$	5,033		$	927
Additions		1,935			—		1,880			55
Disposals		(3,926	)		—		(3,926	)		—
Net (write-downs) recoveries		(117	)		—		(117	)		—
Balance at end of period	$	5,208		$	1,356	$	2,870		$	982


	Three Months Ended June 30, 2025
	Total			Alabama			Mississippi			Tennessee		Texas
Balance at beginning of period	$	8,348		$	271		$	4,837		$	979	$	2,261
Additions		1,693			656			1,037			—		—
Disposals		(1,080	)		(155	)		(925	)		—		—
Net (write-downs) recoveries		11			—			(89	)		100		—
Balance at end of period	$	8,972		$	772		$	4,860		$	1,079	$	2,261


	Six Months Ended June 30, 2026
	Total			Alabama			Mississippi			Tennessee
Balance at beginning of period	$	6,957		$	409		$	5,621		$	927
Additions		4,277			1,041			3,181			55
Disposals		(5,846	)		—			(5,846	)		—
Net (write-downs) recoveries		(180	)		(94	)		(86	)		—
Balance at end of period	$	5,208		$	1,356		$	2,870		$	982


	Six Months Ended June 30, 2025
	Total			Alabama			Mississippi			Tennessee			Texas
Balance at beginning of period	$	5,917		$	170		$	2,407		$	1,079		$	2,261
Additions		5,132			699			4,374			59			—
Disposals		(1,958	)		(155	)		(1,744	)		(59	)		—
Net (write-downs) recoveries		(119	)		58			(177	)		—			—
Balance at end of period	$	8,972		$	772		$	4,860		$	1,079		$	2,261

Other real estate is revalued on an annual basis or more often if market conditions necessitate. Subsequent to foreclosure, losses on the periodic revaluation of the property are charged against the reserve for other real estate write-downs or net income in other real estate expense, if a reserve does not exist. Write-downs of other real estate increased $61 thousand, or 51.3%, when the first six months of 2026 is compared to the same time period in 2025, reflecting an increase in write-downs of other real estate in the Alabama market region, partially offset by a decrease in the reserve for other real estate write-downs and a decrease in write-downs of other real estate in the Mississippi market region.

For additional information regarding other real estate, please see Note 5 – Other Real Estate included in Part I. Item 1. – Financial Statements of this report.

Deposits

Trustmark’s deposits are its primary source of funding and primarily consist of core deposits from the communities Trustmark serves. Deposits include interest-bearing and noninterest-bearing demand accounts, savings, MMDA, CDs and individual retirement accounts. Total deposits were $16.071 billion at June 30, 2026 compared to $15.500 billion at December 31, 2025, an increase of $571.4 million, or 3.7%. During the first six months of 2026, noninterest-bearing deposits increased $337.0 million, or 11.1%, principally due to growth in commercial and consumer noninterest-bearing demand deposit accounts. Interest-bearing deposits increased $234.4 million, or 1.9%, during the first six months of 2026, primarily due to growth in public and commercial interest checking accounts, commercial MMDA, brokered CDs, commercial and public CDs and consumer savings accounts, partially offset by declines in consumer interest checking accounts, MMDA and CDs.

At June 30, 2026, Trustmark's total uninsured deposits were $6.003 billion, or 37.4% of total deposits, compared to $5.478 billion, or 35.3% of total deposits, at December 31, 2025.

Borrowings

Trustmark uses short-term borrowings, such as federal funds purchased and short-term FHLB advances, to fund growth of earning assets in excess of deposit growth. See the section captioned “Liquidity” for further discussion of the components of Trustmark’s excess funding capacity.

Federal funds purchased totaled $360.0 million at June 30, 2026 compared to $445.0 million at December 31, 2025, a decrease of $85.0 million, or 19.1%. Trustmark's federal funds purchased are over-night upstream federal funds purchased as needed for liquidity. Other borrowings totaled $137.9 million at June 30, 2026, a decrease of $226.9 million, or 62.2%, when compared with $364.8 million at December 31, 2025, principally due to a decrease in outstanding short-term FHLB advances with the FHLB of Dallas. The decrease in federal funds purchased and short-term FHLB advances during the first six months of 2026 reflected changes in funding needs principally due to deposit growth and a decline in the balance held at the FRBA included in other earning assets.

Legal Environment

Information required in this section is set forth under the heading “Legal Proceedings” of Note 11 – Contingencies included in Part I. Item 1. – Financial Statements of this report.

Off-Balance Sheet Arrangements

Information required in this section is set forth under the heading “Lending Related” of Note 11 – Contingencies included in Part I. Item 1. – Financial Statements of this report.

Capital Resources and Liquidity

Trustmark places a significant emphasis on the maintenance of a strong capital position, which promotes investor confidence, provides access to funding sources under favorable terms and enhances Trustmark’s ability to capitalize on business growth and acquisition opportunities. Higher levels of liquidity, however, bear corresponding costs, measured in terms of lower yields on short-term, more liquid earning assets and higher expenses for extended liability maturities. Trustmark manages capital based upon risks and growth opportunities as well as regulatory requirements. Trustmark utilizes a capital model in order to provide Management with a tool for analyzing changes in its strategic capital ratios. This allows Management to hold sufficient capital to provide for growth opportunities and protect the balance sheet against sudden adverse market conditions, while maintaining an attractive return on equity to shareholders.

At June 30, 2026, Trustmark’s total shareholders’ equity was $2.144 billion, an increase of $22.0 million, or 1.0%, when compared to December 31, 2025. During the first six months of 2026, shareholders’ equity increased primarily as a result of net income of $119.6 million, partially offset by common stock repurchases of $40.9 million, common stock dividends of $29.6 million and a $23.8 million negative net change in the fair market value of securities available for sale.

Regulatory Capital

Trustmark and TB are subject to minimum risk-based capital and leverage capital requirements, as described in the section captioned “Capital Adequacy” included in Part I. Item 1. – Business of Trustmark’s 2025 Annual Report, which are administered by the federal bank regulatory agencies. These capital requirements, as defined by federal regulations, involve quantitative and qualitative measures of assets, liabilities and certain off-balance sheet instruments. Trustmark’s and TB’s minimum risk-based capital requirements include a capital conservation buffer of 2.50%. AOCI is not included in computing regulatory capital. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the financial statements of Trustmark and TB and limit Trustmark’s and TB’s ability to pay dividends. At June 30, 2026, Trustmark and TB exceeded all applicable minimum capital standards. In addition, Trustmark and TB met applicable regulatory guidelines to be considered well-capitalized at June 30, 2026. To be categorized in this manner, Trustmark and TB maintained minimum common equity Tier 1 risk-based capital, Tier 1 risk-based capital, total risk-based capital and Tier 1 leverage ratios, and were not subject to any written agreement, order or capital directive, or prompt corrective action directive issued by their primary federal regulators to meet and maintain a specific capital level for any capital measures. There are no significant conditions or events that have occurred since June 30, 2026 which Management believes have affected Trustmark’s or TB’s present classification.

During the fourth quarter of 2025, Trustmark enhanced its capital structure with the issuance of $175.0 million of the 2025 Notes. The 2025 Notes mature on December 1, 2035 and are redeemable at Trustmark's option under certain circumstances. Trustmark used the net proceeds from the offering, after the payment of offering expenses, to repay the $125.0 million of aggregate principal amount of the 2020 Notes plus accrued interest and for general corporate purposes. At June 30, 2026 and December 31, 2025, the carrying amount of the 2025 Notes was $172.1 million and $172.0 million, respectively. The 2025 Notes qualified as Tier 2 capital for Trustmark at June

30, 2026 and December 31, 2025. Trustmark may utilize the full carrying value of the 2025 Notes as Tier 2 capital until December 1, 2030 (five years prior to maturity). Beginning December 1, 2030, the 2025 Notes will phase out of Tier 2 capital 20.0% each year until maturity.

In 2006, Trustmark enhanced its capital structure with the issuance of trust preferred securities. For regulatory capital purposes, the trust preferred securities qualified as Tier 1 capital at June 30, 2026 and December 31, 2025. Trustmark intends to continue to utilize $60.0 million in trust preferred securities issued by Trustmark Preferred Capital Trust I (the Trust) as Tier 1 capital up to the regulatory limit, as permitted by the grandfather provision in the Dodd-Frank Wall Street Reform and Consumer Protection Act and the Basel III Final Rule.

Refer to the section captioned “Regulatory Capital” included in Note 14 – Shareholders’ Equity in Part I. Item 1. – Financial Statements of this report for an illustration of Trustmark’s and TB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at June 30, 2026 and December 31, 2025.

Dividends on Common Stock

Dividends per common share for the six months ended June 30, 2026 and 2025 were $0.50 and $0.48, respectively. Trustmark’s indicated dividend for 2026 is $1.00 per common share, an increase of $0.04 per common share when compared to $0.96 per common share in 2025.

Stock Repurchase Program

From time to time, Trustmark's Board of Directors has authorized stock repurchase plans. In general, stock repurchase plans allow Trustmark to proactively manage its capital position and return excess capital to shareholders. Shares purchased also provide Trustmark with shares of common stock necessary to satisfy obligations related to stock compensation awards.

On December 2, 2025, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2026, under which $100.0 million of Trustmark’s outstanding shares may be acquired through December 31, 2026. The repurchase program, which is subject to market conditions and management discretion, will be implemented through open market repurchases or privately negotiated transactions. Under this authority, Trustmark repurchased 952 thousand shares of its common stock valued at $40.9 million during the first six months of 2026.

Liquidity

Liquidity is the ability to ensure that sufficient cash flow and liquid assets are available to satisfy current and future financial obligations, including demand for loans and deposit withdrawals, funding operating costs and other corporate purposes. Consistent cash flows from operations and adequate capital provide internally generated liquidity. Furthermore, Management maintains funding capacity from a variety of external sources to meet daily funding needs, such as those required to meet deposit withdrawals, loan disbursements and security settlements. Liquidity strategy also includes the use of wholesale funding sources to provide for the seasonal fluctuations of deposit and loan demand and the cyclical fluctuations of the economy that impact the availability of funds. Management keeps excess funding capacity available to meet potential demands associated with adverse circumstances.

The asset side of the balance sheet provides liquidity primarily through maturities and cash flows from loans and securities as well as the ability to pledge or sell certain loans and securities. The liability portion of the balance sheet provides liquidity primarily through noninterest and interest-bearing deposits. Trustmark utilizes federal funds purchased, FHLB advances, the Federal Reserve Discount Window (Discount Window) and brokered deposits to provide additional liquidity. Access to these additional sources represents Trustmark’s incremental borrowing capacity.

Trustmark's liquidity position is continuously monitored and adjustments are made to manage the balance as deemed appropriate. Liquidity risk management is an important element to Trustmark's asset/liability management process. Trustmark regularly models liquidity stress scenarios to assess potential liquidity outflows or funding problems resulting from economic disruptions or other significant occurrences as deemed appropriate by Management. These scenarios are incorporated into Trustmark's contingency funding plan, which provides the basis for the identification of its liquidity needs.

Deposit accounts represent Trustmark’s largest funding source. Average deposits totaled $15.681 billion for the first six months of 2026 and represented 82.5% of average liabilities and shareholders’ equity, compared to average deposits of $15.078 billion, which represented 82.3% of average liabilities and shareholders’ equity for the first six months of 2025. For more information on average interest-bearing deposits, please see the analysis included in the section captioned “Net Interest Income.”

Trustmark had $352.1 million held in an interest-bearing account at the FRBA at June 30, 2026, compared to $408.4 million held at December 31, 2025.

Trustmark utilizes brokered deposits to supplement other wholesale funding sources. At June 30, 2026 and December 31, 2025, brokered sweep MMDA deposits totaled $11.1 million and $9.6 million, respectively. In addition, Trustmark had $397.6 million of brokered CDs at June 30, 2026 compared to $299.9 million at December 31, 2025.

At June 30, 2026, Trustmark had $360.0 million of upstream federal funds purchased compared to $445.0 million of upstream federal funds purchased at December 31, 2025. Trustmark maintains adequate federal funds lines to provide sufficient short-term liquidity.

Trustmark maintains a relationship with the FHLB of Dallas, which provided no outstanding short-term advances at June 30, 2026, compared to $225.0 million of outstanding short-term advances at December 31, 2025. Under the existing borrowing agreement, Trustmark had sufficient qualifying collateral to increase FHLB advances or letters of credit with the FHLB of Dallas by $2.182 billion at June 30, 2026.

Additionally, Trustmark has the ability to leverage its unencumbered investment securities as collateral. At June 30, 2026, Trustmark had $1.338 billion available in unencumbered Treasury and agency securities compared to $1.371 billion in unencumbered Treasury and agency securities at December 31, 2025.

Another borrowing source is the Discount Window. At June 30, 2026, Trustmark had $8.215 billion available in collateral capacity at the Discount Window primarily from pledges of commercial and consumer LHFI, compared with $7.771 billion at December 31, 2025.

During the fourth quarter of 2025, Trustmark issued and sold $175.0 million aggregate principal amount of the 2025 Notes. Trustmark used the net proceeds from the offering, after the payment of offering expenses, to repay the existing $125.0 million of aggregate principal amount of the 2020 Notes plus accrued interest and for general corporate purposes. At June 30, 2026 and December 31, 2025, the carrying amount of the subordinated notes was $172.1 million and $172.0 million, respectively. The 2025 Notes mature December 1, 2035 and are redeemable at Trustmark’s option under certain circumstances. The 2025 Notes are unsecured obligations and are subordinated in right of payment to all of Trustmark’s existing and future senior indebtedness, whether secured or unsecured. The 2025 Notes are obligations of Trustmark only and are not obligations of, and are not guaranteed by, any of its subsidiaries, including TB.

During 2006, Trustmark completed a private placement of $60.0 million of trust preferred securities through a newly formed Delaware trust affiliate, the Trust. The trust preferred securities mature September 30, 2036 and are redeemable at Trustmark’s option. The proceeds from the sale of the trust preferred securities were used by the Trust to purchase $61.9 million in aggregate principal amount of Trustmark’s junior subordinated debentures.

The Board of Directors of Trustmark currently has the authority to issue up to 20.0 million preferred shares with no par value. The ability to issue preferred shares in the future will provide Trustmark with additional financial and management flexibility for general corporate and acquisition purposes. At June 30, 2026, Trustmark had no shares of preferred stock issued and outstanding.

Management believes that Trustmark has sufficient liquidity and capital resources to meet presently known cash flow requirements arising from ongoing business transactions. As of June 30, 2026, Management is not aware of any events that are reasonably likely to have a material adverse effect on Trustmark's liquidity, capital resources or operations. In addition, Management is not aware of any regulatory recommendations regarding liquidity that would have a material adverse effect on Trustmark.

In the ordinary course of business, Trustmark has entered into contractual obligations and has made other commitments to make future payments. Please refer to the accompanying notes to the consolidated financial statements included in Part I. Item 1. – Financial Statements of this report and Trustmark's 2025 Annual Report for the expected timing of such payments as of June 30, 2026 and December 31, 2025. There have been no material changes in Trustmark's contractual obligations since year-end.

Asset/Liability Management

Overview

Market risk reflects the potential risk of loss arising from adverse changes in interest rates and market prices. Trustmark has risk management policies to monitor and limit exposure to market risk. Trustmark’s primary market risk is interest rate risk created by core banking activities. Interest rate risk is the potential variability of the income generated by Trustmark’s financial products or services, which results from changes in various market interest rates. Market rate changes may take the form of absolute shifts, variances in the relationships between different rates and changes in the shape or slope of the interest rate term structure.

Management continually develops and applies cost-effective strategies to manage these risks. Management’s Asset/Liability Committee sets the day-to-day operating guidelines, approves strategies affecting net interest income and coordinates activities within policy limits established by the Board of Directors of Trustmark. A key objective of the asset/liability management program is to quantify, monitor and manage interest rate risk and to assist Management in maintaining stability in the net interest margin under varying interest rate environments.

Derivatives

Trustmark uses financial derivatives for management of interest rate risk. Management’s Asset/Liability Committee, in its oversight role for the management of interest rate risk, approves the use of derivatives in balance sheet hedging strategies. The most common derivatives employed by Trustmark are interest rate lock commitments, forward contracts (both futures contracts and options on futures contracts), interest rate swaps, interest rate caps and interest rate floors. As a general matter, the values of these instruments are designed to be inversely related to the values of the assets that they hedge (i.e., if the value of the hedged asset falls, the value of the related hedge rises). In addition, Trustmark has entered into derivatives contracts as counterparty to one or more customers in connection with loans extended to those customers. These transactions are designed to hedge interest rate exposure of the customers and are not entered into by Trustmark for speculative purposes. Increased federal regulation of the derivatives markets may increase the cost to Trustmark to administer derivatives programs.

Derivatives Designated as Hedging Instruments

Trustmark engages in a cash flow hedging program to add stability to interest income and to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of fixed-rate amounts from a counterparty in exchange for Trustmark making variable-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate floor spreads designated as cash flow hedges involve the receipt of variable-rate amounts if interest rates fall below the purchased floor strike rate on the contract and payments of variable rate amounts if interest rates fall below the sold floor strike rate on the contract. Trustmark uses such derivatives to hedge the variable cash flows associated with existing and anticipated variable-rate loan assets. At June 30, 2026, the aggregate notional value of Trustmark's interest rate swaps and floor spreads designated as cash flow hedges totaled $1.645 billion compared to $1.630 billion at December 31, 2025.

Trustmark records any gains or losses on these cash flow hedges in AOCI. Gains and losses on derivatives representing hedge components excluded from the assessment of effectiveness are recognized over the life of the hedge on a systematic and rational basis, as documented at hedge inception in accordance with Trustmark’s accounting policy election. The earnings recognition of excluded components included in interest and fees on LHFS and LHFI totaled $118 thousand and $241 thousand of amortization expense for the three and six months ended June 30, 2026, respectively, compared to $131 thousand and $261 thousand of amortization expense for the three and six months ended June 30, 2025, respectively. As interest payments are received on Trustmark's variable-rate assets, amounts reported in AOCI are reclassified into interest and fees on LHFS and LHFI in the accompanying consolidated statements of income during the same period. For the three and six months ended June 30, 2026, Trustmark reclassified a loss, net of tax, of $604 thousand and $1.3 million into interest and fees on LHFS and LHFI, compared to a loss, net of tax, of $2.0 million and $4.0 million, respectively, for the same time periods in 2025. During the next twelve months, Trustmark estimates that $4.4 million will be reclassified as a reduction to interest and fees on LHFS and LHFI. This amount could differ due to changes in interest rates, hedge de-designations or the addition of other hedges.

Derivatives Not Designated as Hedging Instruments

As part of Trustmark’s risk management strategy in the mortgage banking business, various derivative instruments such as interest rate lock commitments and forward sales contracts are utilized. Rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified period of time. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts. The gross notional amount of Trustmark’s off-balance sheet obligations under these derivative instruments totaled $87.2 million at June 30, 2026, with a positive valuation adjustment of $1.1 million, compared to $74.5 million, with a positive valuation

adjustment of $998 thousand at December 31, 2025. Trustmark’s obligations under forward contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. The gross notional amount of Trustmark’s off-balance sheet obligations under these derivative instruments totaled $187.5 million at June 30, 2026, with a negative valuation adjustment of $42 thousand, compared to $152.0 million, with a negative valuation adjustment of $287 thousand at December 31, 2025.

Trustmark utilizes a portfolio of exchange-traded derivative instruments, such as Treasury note futures contracts and option contracts, to achieve a fair value return that economically hedges changes in fair value of the MSR attributable to interest rates. These transactions are considered freestanding derivatives that do not otherwise qualify for hedge accounting under GAAP. The total notional amount of these derivative instruments was $354.5 million at June 30, 2026 compared to $345.5 million at December 31, 2025. These exchange-traded derivative instruments are accounted for at fair value with changes in the fair value recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of the MSR. The MSR fair value represents the present value of future cash flows, which among other things includes decay and the effect of changes in interest rates. Ineffectiveness of hedging the MSR fair value is measured by comparing the change in value of hedge instruments to the change in the fair value of the MSR asset attributable to changes in interest rates and other market driven changes in valuation inputs and assumptions. The impact of this strategy resulted in a net positive ineffectiveness of $199 thousand and a net negative ineffectiveness of $541 thousand for the three months ended June 30, 2026 and 2025, respectively. For the six months ended June 30, 2026 and 2025, the impact was a net positive ineffectiveness of $103 thousand and a net negative ineffectiveness of $1.1 million, respectively.

Trustmark offers certain interest rate derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk under loans they have entered into with TB. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivatives transactions executed as part of this program are not designated as qualifying hedging relationships under GAAP and are, therefore, carried on Trustmark’s financial statements at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral provisions which mitigate the impact of non-performance risk, the changes in fair value are expected to substantially offset. The offsetting interest rate swap transactions are either cleared through the Chicago Mercantile Exchange for clearable transactions or booked directly with institutional derivations market participants for non-clearable transactions. The Chicago Mercantile Exchange rules legally characterize variation margin collateral payments made or received for centrally cleared interest rate swaps as settlements rather than collateral. As a result, centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets. At June 30, 2026, Trustmark had interest rate swaps with an aggregate notional amount of $2.158 billion related to this program, compared to $1.991 billion at December 31, 2025.

Credit-Risk-Related Contingent Features

Credit risk participation agreements arise when Trustmark contracts with other financial institutions, as a guarantor or beneficiary, to share credit risk associated with certain interest rate swaps. These agreements provide for reimbursement of losses resulting from a third-party default on the underlying swap. At June 30, 2026, Trustmark had entered into ten risk participation agreements as a beneficiary with an aggregate notional amount of $120.1 million compared to ten risk participation agreements as a beneficiary with an aggregate notional amount of $113.7 million at December 31, 2025. At June 30, 2026, Trustmark had entered into twenty-six risk participation agreements as a guarantor with an aggregate notional amount of $329.8 million compared to twenty-seven risk participation agreements as a guarantor with an aggregate notional amount of $267.9 million at December 31, 2025. The aggregate fair values of these risk participation agreements were immaterial at both June 30, 2026 and December 31, 2025.

Trustmark’s participation in the derivatives markets is subject to increased federal regulation of these markets. Trustmark believes that it may continue to use financial derivatives to manage interest rate risk and also to offer derivatives products to certain qualified commercial lending clients in compliance with the Volcker Rule.

Market/Interest Rate Risk Management

The primary purpose in managing interest rate risk is to invest capital effectively and preserve the value created by the core banking business. This is accomplished through the development and implementation of lending, funding, pricing and hedging strategies designed to maximize net interest income performance under varying interest rate environments subject to specific liquidity and interest rate risk guidelines.

Financial simulation models are the primary tools used by Management’s Asset/Liability Committee to measure interest rate exposure. The simulation incorporates assumptions regarding the effects of such changes based on a combination of historical analysis and expected behavior. Using a wide range of scenarios, Management is provided with extensive information on the potential impact on net interest income caused by changes in interest rates. Models are structured to simulate cash flows and accrual characteristics of Trustmark’s balance sheet. Assumptions are made about the direction and volatility of interest rates, the slope of the yield curve and the changing composition of Trustmark’s balance sheet, resulting from both strategic plans and customer behavior. In addition, the model incorporates Management’s assumptions and expectations regarding such factors as loan and deposit growth, pricing, prepayment speeds and spreads between interest rates.

Based on the results of the simulation models using static balances, the table below summarizes the effect various one-year interest rate shift scenarios would have on net interest income compared to a base case, flat scenario at June 30, 2026 and 2025.


	Estimated % Change in Net Interest Income
	June 30,
Change in Interest Rates	2026			2025
+200 basis points		3.4	%		1.7	%
+100 basis points		1.7	%		0.8	%
-100 basis points		-2.3	%		-1.5	%
-200 basis points		-5.1	%		-3.7	%

Management cannot provide any assurance about the actual effect of changes in interest rates on net interest income. The estimates provided do not include the effects of possible strategic changes in the balances of various assets and liabilities throughout 2026 or additional actions Trustmark could undertake in response to changes in interest rates. Management will continue to prudently manage the balance sheet in an effort to control interest rate risk and maintain profitability over the long term.

Another component of interest rate risk management is measuring the economic value-at-risk for a given change in market interest rates. The economic value-at-risk may indicate risks associated with longer-term balance sheet items that may not affect net interest income at risk over shorter time periods. Trustmark uses computer-modeling techniques to determine the present value of all asset and liability cash flows (both on- and off-balance sheet), adjusted for prepayment expectations, using a market discount rate. The economic value of equity (EVE), also known as net portfolio value, is defined as the difference between the present value of asset cash flows and the present value of liability cash flows. The resulting change in EVE in different market rate environments, from the base case scenario, is the amount of EVE at risk from those rate environments.

The following table summarizes the effect that various interest rate shifts would have on net portfolio value at June 30, 2026 and 2025.


	Estimated % Change in Net Portfolio Value
	June 30,
Change in Interest Rates	2026			2025
+200 basis points		0.2	%		-1.5	%
+100 basis points		0.3	%		-0.5	%

Trustmark determines the fair value of the MSR using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, default rates, cost to service (including delinquency and foreclosure costs), escrow account earnings, contractual servicing fee income and other ancillary income such as late fees. Management reviews all significant assumptions quarterly. Mortgage loan prepayment speed, a key assumption in the model, is the annual rate at which borrowers are forecasted to repay their mortgage loan principal. The discount rate used to determine the present value of estimated future net servicing income, another key assumption in the model, is an estimate of the required rate of return investors in the market would require for an asset with similar risk. Both assumptions can, and generally will, change as market conditions and interest rates change.

By way of example, an increase in either the prepayment speed or discount rate assumption will result in a decrease in the fair value of the MSR, while a decrease in either assumption will result in an increase in the fair value of the MSR. In recent years, there have been significant market-driven fluctuations in loan prepayment speeds and discount rates. These fluctuations can be rapid and may continue to be significant. Therefore, estimating prepayment speed and/or discount rates within ranges that market participants would use in determining the fair value of the MSR requires significant management judgment.

At June 30, 2026, the MSR fair value was $141.8 million, compared to $132.7 million at June 30, 2025. The impact on the MSR fair value of a 10% adverse change in prepayment speed or a 100 basis point increase in discount rate at June 30, 2026, would be a decline in fair value of $5.2 million and $5.7 million, respectively, compared to a decline in fair value of $4.9 million and $5.2 million, respectively, at June 30, 2025. Changes of equal magnitude in the opposite direction would produce similar increases in fair value in the respective amounts.

Critical Accounting Policies

For an overview of Trustmark’s critical accounting policies, see the section captioned “Critical Accounting Policies” included in Part II. Item 7. – Management’s Discussion and Analysis of Financial Condition and Results of Operations, of Trustmark’s 2025 Annual Report. There have been no significant changes in Trustmark’s critical accounting policies during the first six months of 2026.

For additional information regarding Trustmark’s basis of presentation and accounting policies, see Note 1 – Business, Basis of Financial Statement Presentation and Principles of Consolidation included in Part I. Item 1. – Financial Statements of this report.

Accounting Policies Recently Adopted and Pending Accounting Pronouncements

For a complete list of recently adopted and pending accounting policies and the impact on Trustmark, see Note 18 – Accounting Policies Recently Adopted and Pending Accounting Pronouncements included in Part I. Item 1. – Financial Statements of this report.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The information required by this item is included in the discussion of Market/Interest Rate Risk Management found in Management’s Discussion and Analysis.

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

As of the end of the period covered by this Quarterly Report on Form 10-Q, an evaluation was carried out by Trustmark’s Management, with the participation of its Chief Executive Officer and Treasurer and Principal Financial Officer (Principal Financial Officer), of the effectiveness of Trustmark’s disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934). Based on that evaluation, the Chief Executive Officer and the Principal Financial Officer concluded that Trustmark’s disclosure controls and procedures were effective as of the end of the period covered by this report.

Changes in Internal Control over Financial Reporting

There has been no change in Trustmark’s internal control over financial reporting during the last fiscal quarter that has materially affected, or is reasonably likely to materially affect, Trustmark’s internal control over financial reporting.

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

Information required in this section is set forth under the heading “Legal Proceedings” of Note 11 – Contingencies in Part I. Item 1 – Financial Statements of this report.

In accordance with FASB Accounting Standards Codification (ASC) Topic 450-20, “Loss Contingencies,” Trustmark will establish an accrued liability for litigation matters when those matters present loss contingencies that are both probable and reasonably estimable. At the present time, Trustmark believes, based on its evaluation and the advice of legal counsel, that a loss in any such proceeding is not probable and reasonably estimable. All matters will continue to be monitored for further developments that would make such loss contingency both probable and reasonably estimable. In view of the inherent difficulty of predicting the outcome of legal proceedings, Trustmark cannot predict the eventual outcomes of the currently pending matters or the timing of their ultimate resolution. Trustmark

currently believes, however, based upon the advice of legal counsel and Management’s evaluation and after taking into account its current insurance coverage, that the legal proceedings currently pending should not have a material adverse effect on Trustmark’s consolidated financial condition.

ITEM 1A. RISK FACTORS

There has been no material change in the risk factors previously disclosed in Trustmark’s 2025 Annual Report.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

On December 2, 2025, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2026, under which $100.0 million of Trustmark’s outstanding shares may be acquired through December 31, 2026. The repurchase program, which is subject to market conditions and management discretion, will be implemented through open market repurchases or privately negotiated transactions.

The following table provides information with respect to purchases by Trustmark or made on behalf of Trustmark of its common stock during the three months ended June 30, 2026 ($ in thousands, except per share amounts):


Period	Total Number of Shares Purchased		Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plan		Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plan at the End of the Period
April 1, 2026 to April 30, 2026		93,613	$	43.45		93,613	$	76,138
May 1, 2026 to May 31, 2026		221,087		44.26		221,087		66,354
June 1, 2026 to June 30, 2026		160,514		44.96		160,514		59,137
Total		475,214				475,214

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5. OTHER INFORMATION

Securities Trading Plans of Directors and Executive Officers

During the three months ended June 30, 2026, none of Trustmark’s directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of Trustmark’s securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any “non-Rule 10b5-1 trading arrangement” (as defined in Item 408(c) of Regulation S-K).

ITEM 6. EXHIBITS

The exhibits listed in the Exhibit Index are filed herewith or are incorporated herein by reference.

EXHIBIT INDEX



31-a		Certification by Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31-b		Certification by Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32-a		Certification by Chief Executive Officer pursuant to 18 U.S.C. ss. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32-b		Certification by Principal Financial Officer pursuant to 18 U.S.C. ss. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101		Inline XBRL Interactive Data.

104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

All other exhibits are omitted, as they are inapplicable or not required by the related instructions.

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

TRUSTMARK CORPORATION


BY:	/s/ Duane A. Dewey	BY:	/s/ Joseph E. Bond
	Duane A. Dewey		Joseph E. Bond
	President and Chief Executive Officer		Treasurer and Principal Financial Officer


DATE:	August 5, 2026	DATE:	August 5, 2026