Financial Institutions, Inc. (FISI) SEC Filings & Earnings Calls

Non-performing loan increase

“Non-performing loans increased $3.3 million to $39.0 million at June 30, 2026, compared to $35.8 million at June 30, 2025.” · word for word

Potential problem loans increase

“We identified $36.0 million and $27.6 million in loans that continued to accrue interest which were classified as substandard as of June 30, 2026 and December 31, 2025, respectively.” · word for word

Deposit competition and potential margin pressure if funding costs rise

“We are beginning to see deposit costs level off and remain focused on preserving margin stability amid a competitive environment.” · word for word

Credit risk from loan growth; net charge-offs 0.11%

“Net charge-offs were 0.11% of average loans in the second quarter of 2026.” · word for word

Credit quality deterioration

“Net charge-offs during the recent quarter were $5.1 million, representing 0.44% of average loans on an annualized basis, compared to $2.4 million, or an annualized 0.21% of average loans, in the first quarter of 2025.” · word for word

BaaS wind-down impact on deposits

“The wind-down of the Banking-as-a-Service (“BaaS”) platform that the Bank initiated in September 2024 was the primary driver of the reduction in average savings and money market deposits.” · word for word

Loans down modestly on linked quarter due to higher payoffs and paydowns, but full year growth target of 5% maintained

“While loans were down modestly on a linked quarter basis, reflecting higher payoffs and paydowns, we continue to target full year growth of 5%” · word for word

BaaS wind-down execution risk

“Throughout 2025, the Company continued the planned strategic wind-down of its Banking-as-a-Service (“BaaS”) business, that was announced in September 2024. As of February 2026, the Company had completed the migration of all BaaS related deposits off of its balance sheet.” · word for word

Credit loss provision increase

“Provision for credit losses was $11.6 million in 2025 and $6.2 million in 2024.” · word for word

Deposit Mix Shift to Higher-Cost Funding

“Time deposits were approximately 32% and 30% of total deposits at December 31, 2025 and 2024, respectively. Brokered deposits totaled $125.2 million and $80.9 million.” · word for word

Uninsured Deposit Concentration

“the aggregate amount of uninsured deposits was $2.26 billion, or 43% of total deposits, and $1.93 billion, or 38% of total deposits, respectively.”

Credit Loss Estimation Uncertainty

“The allowance for credit losses represents management's estimate of probable credit losses inherent in the loan portfolio... actual results could differ significantly from our estimates.” · word for word

Deposit decline and credit normalization.

“Total deposits down $151.5M; net charge-offs of $0.4M.”

Refinancing reduces interest expense but increases total debt outstanding.

“New $80M notes issued; $65M redeemed; net $15M additional debt.”

Elevated health insurance claims

“Salaries and employee benefits expense increased $2.6 million, or 17%, to $18.5 million for the third quarter of 2025, compared to $15.9 million for the third quarter of 2024, reflecting an increase in health insurance benefits due to elevated medical claims under the Company’s self-insured plan.” · word for word

Deposit mix shift to brokered/time deposits

“The wind-down of the BaaS platform... was the primary driver of the reduction in average savings and money market deposits and also contributed to the increase in average time deposits, given the increase in brokered deposits as compared to the third quarter of 2024.” · word for word