FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES This discussion and the related financial data are presented to assist in the understanding and evaluation of the consolidated financial condition and the results of operations of First Commonwealth Financial Corporation including its subsidiaries (“First Commonwealth”) for the three and six months ended June 30, 2026 and 2025, and should be read in conjunction with the unaudited Consolidated Financial Statements and notes thereto included in this Form 10-Q. FORWARD-LOOKING STATEMENTS Certain statements contained in this Quarterly Report on Form 10-Q that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Reform Act”), notwithstanding that such statements are not specifically identified as such. In addition, certain statements may be contained in our future filings with the Securities and Exchange Commission, in press releases, and in oral and written statements made by us or with our approval that are not statements of historical fact and constitute forward-looking statements within the meaning of the Reform Act. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, the payment or nonpayment of dividends, capital structure and other financial items; (ii) statements of plans, objectives and expectations of First Commonwealth or its management or Board of Directors, including those relating to products, services or operations; (iii) statements of future economic performance or interest rates; and (iv) statements of assumptions underlying such statements. Words such as “believe,” “anticipate,” “expect,” “intend,” “plan,” “estimate,” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could” or “may,” are intended to identify forward-looking statements. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those in such statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to: •Local, regional, national and international economic conditions and the impact they may have on us and our customers and our assessment of that impact. •Volatility and disruption in national and international financial markets. •The effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board and the implementation of tariffs and other protectionist trade policies. •Government intervention in the U.S. financial system. •Changes in the mix of loan geographies, sectors and types or the level of non-performing assets and charge-offs. •Changes in estimates of future reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements. •Inflation, interest rate, securities market and monetary fluctuations. •The effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) with which we and our subsidiaries must comply. •The soundness of other financial institutions. •Political instability. •Impairment of our goodwill or other intangible assets. •Acts of God or of war or terrorism. •The timely development and acceptance of new products and services and perceived overall value of these products and services by users. •Changes in consumer spending, borrowings and savings habits. •Changes in the financial performance and/or condition of our borrowers. •Technological changes. •The cost and effects of cyber incidents or other failures, interruption or security breaches of our systems or those of third-party providers. •Acquisitions and integration of acquired businesses. •Our ability to increase market share and control expenses. •Our ability to attract and retain qualified employees. •Changes in the competitive environment in our markets and among banking organizations and other financial service providers. •The effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters. •Changes in the reliability of our vendors, internal control systems or information systems. •Changes in our liquidity position. •Changes in our organization, compensation and benefit plans. 59 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES •The costs and effects of legal and regulatory developments, the resolution of legal proceedings or regulatory or other governmental inquiries, the results of regulatory examinations or reviews and the ability to obtain required regulatory approvals. •Greater than expected costs or difficulties related to the integration of new products and lines of business. •Our success at managing the risks involved in the foregoing items. Forward-looking statements speak only as of the date on which such statements are made. We do not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events. Explanation of Use of Non-GAAP Financial Measures In addition to the results of operations presented in accordance with generally accepted accounting principles (“GAAP”), First Commonwealth management uses, and this quarterly report contains or references, certain non-GAAP financial measures, such as net interest income on a fully taxable equivalent basis. We believe these non-GAAP financial measures provide information that is useful to investors in understanding our underlying operational performance and our business and performance trends as they facilitate comparison with the performance of others in the financial services industry. Although we believe that these non-GAAP financial measures enhance investors’ understanding of our business and performance, these non-GAAP financial measures should not be considered an alternative to GAAP. We believe the presentation of net interest income on a fully taxable equivalent basis ensures comparability of net interest income arising from both taxable and tax-exempt sources and is consistent with industry practice. Interest income per the unaudited Consolidated Statements of Income is reconciled to net interest income adjusted to a fully taxable equivalent basis on pages 64 and 72 for the six and three months ended June 30, 2026 and 2025, respectively. 60 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Selected Financial Data The following selected financial data should be read in conjunction with Management’s Discussion and Analysis of Financial Condition and Results of Operations, which follows, and with the unaudited Consolidated Financial Statements and related notes. For the Three Months Ended June 30, For the Six Months Ended June 30, 2026 2025 2026 2025 (dollars in thousands, except per share data) Net Income $ 44,589 $ 33,402 $ 82,137 $ 66,098 Per Share Data: Basic Earnings per Share $ 0.44 $ 0.32 $ 0.81 $ 0.64 Diluted Earnings per Share 0.44 0.32 0.81 0.64 Cash Dividends Declared per Common Share 0.140 0.135 0.275 0.265 Average Balance: Total assets $ 12,191,133 $ 12,096,327 $ 12,207,876 $ 11,889,656 Total equity 1,563,281 1,492,912 1,562,765 1,461,139 End of Period Balance: Net loans and leases (1) $ 9,384,568 $ 9,480,842 Total assets 12,207,826 12,237,147 Total deposits 10,260,061 10,104,582 Total equity 1,569,168 1,517,767 Key Ratios: Return on average assets 1.47 % 1.11 % 1.36 % 1.12 % Return on average equity 11.44 % 8.97 % 10.60 % 9.12 % Dividends payout ratio 31.82 % 42.19 % 33.95 % 41.41 % Average equity to average assets ratio 12.82 % 12.34 % 12.80 % 12.29 % Net interest margin 4.01 % 3.83 % 3.97 % 3.73 % Net loans to deposits ratio 91.47 % 93.83 % (1) Includes loans held for sale. Results of Operations Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025 Net Income For the six months ended June 30, 2026, First Commonwealth had net income of $82.1 million, or $0.81 diluted earnings per share, compared to net income of $66.1 million, or $0.64 diluted earnings per share, in the six months ended June 30, 2025. The increase in net income was primarily the result of a $19.7 million increase in net interest income and $4.3 million increase in noninterest income, offset by a $1.3 million increase in the provision for credit losses and a $2.3 million increase in noninterest expense. For the six months ended June 30, 2026, the Company’s return on average equity was 10.60% and its return on average assets was 1.36%, compared to 9.12% and 1.12%, respectively, for the six months ended June 30, 2025. Net Interest Income Net interest income, on a fully taxable equivalent basis, was $222.2 million in the first six months of 2026, compared to $202.4 million for the same period in 2025. The increase in net interest income can be attributed to a 28 basis point decrease in the cost of interest-bearing liabilities and a 2 basis point increase in the yield on interest-earning assets with a $337.3 million increase in net interest earning assets. Net interest income comprises the majority of our operating revenue (net interest income before provision expense plus noninterest income), at 81.1% and 81.0% for the six months ended June 30, 2026 and 2025, respectively. 61 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The net interest margin on a fully taxable equivalent basis was 3.97% for the six months ended June 30, 2026 and 3.73% for the six months ended June 30, 2025. The net interest margin is affected by changes in the level of interest rates and the amount and composition of interest-earning assets and interest-bearing liabilities. The taxable equivalent yield on interest-earning assets was 5.67% for the six months ended June 30, 2026, an increase of two basis points compared to the 5.65% yield for the same period in 2025. The yield on interest-earning assets benefited as the yield on fixed rate commercial loans increased 33 basis points. Additionally, the yield on fixed rate consumer loans increased by 15 basis points. Offsetting these increases were a 73 basis point decrease in consumer lines of credit and a 4 basis point decline in the yield on equipment finance loans. For the six months ended June 30, 2026, five basis points of the yield on interest-earning assets can be attributed to the recognition of $2.7 million in accretion of purchase accounting marks. For the six months ended June 30, 2025, accretion of purchase accounting marks contributed $3.9 million, or seven basis points, to the yield on interest-earning assets. The investment portfolio yield decreased two basis points in comparison to the prior year primarily due to a decline in market rates. Additionally, the average balance of investments decreased $39.7 million as compared to the six months ended June 30, 2025. Lower interest rates in the six months ended June 30, 2026 compared to the prior year resulted in a 93 basis point decrease in the yield on interest-bearing deposits with banks, while the average balance increased from $68.2 million in 2025 to $182.9 million in 2026. The cost of interest-bearing liabilities decreased to 2.35% for the six months ended June 30, 2026, from 2.63% for the same period in 2025. The cost of interest-bearing deposits decreased 25 basis points and short-term borrowings decreased 164 basis points in comparison to the same period last year. The cost of interest-bearing deposits was impacted by declines in market interest rates offset by changes in the mix of deposits with growth in money market and time deposits. Comparing the six months ended June 30, 2026 with the comparable period in 2025, average time deposits increased $39.0 million, or 2.2%, while the cost of these deposits decreased 45 basis points. Contributing to the average growth in time deposits was $90.3 million in balances acquired in the second quarter of 2025 as part of the Center acquisition. The impact of the Center acquisition on average time deposit balances was an increase of $60.0 million when comparing the six-months ended June 30, 2026 to the prior year. Other interest-bearing deposits increased on average $298.8 million, or 5.1%, compared to the six months ended June 30, 2025 and the cost of these deposits decreased 18 basis points. Contributing to the average growth in other interest-bearing deposits was $146.2 million in balances acquired from Center in the second quarter of 2025. The impact of the Center acquisition on average other interest-bearing deposits was an increase of $96.9 million when comparing the six-months ended June 30, 2026 to the prior year. Compared to the prior period, short-term borrowings decreased an average of $69.6 million and long-term debt decreased an average of $93.1 million primarily due to the payoff of $129.4 million FHLB debt during the first quarter of 2026. For the six months ended June 30, 2026, changes in rates positively impacted net interest income by $10.9 million when compared to the same period in 2025. The yield on interest-earning assets positively impacted net interest income by $0.7 million and the decrease in the cost of interest-bearing liabilities positively impacted net interest income by $10.2 million. Changes in the volume of interest-earning assets and interest-bearing liabilities positively impacted net interest income by $8.8 million for the six months ended June 30, 2026, as compared to the same period in 2025. Higher levels of interest-earning assets resulted in an increase of $9.8 million in interest income, while changes in the volume and mix of interest-bearing liabilities increased interest expense by $1.0 million. Average interest-earning assets for the six months ended June 30, 2026 increased $337.3 million, or 3.1%, compared to the same period in 2025. Average loans for the comparable period increased $262.3 million, or 2.8%, and average investments decreased $39.7 million, or 2.4%. The Center acquisition, in the second quarter of 2025, increased ending loan balances by $292.6 million. Assuming no change in balances, this resulted in an increase in average balances of $194.0 million when comparing the six months ended June 30, 2026 with the prior year. Net interest income was positively impacted by a $162.2 million increase in average net free funds for the six months ended June 30, 2026 as compared to the corresponding period in 2025. Average net free funds are the excess of noninterest-bearing demand deposits, other noninterest-bearing liabilities and shareholders’ equity over noninterest-earning assets. The level of net free funds was impacted by growth in average noninterest-bearing demand deposits, as well as higher average shareholders' equity due to retained earnings and stock issued for the Center acquisition. Average noninterest-bearing demand deposits for the six months ended June 30, 2026 increased $67.9 million, or 3.0%, compared to the same period in 2025. 62 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following table reconciles interest income in the Consolidated Statements of Income to net interest income adjusted to a fully taxable equivalent basis for the six months ended June 30: 2026 2025 (dollars in thousands) Interest income per Consolidated Statements of Income $ 316,540 $ 306,054 Adjustment to fully taxable equivalent basis 746 676 Interest income adjusted to fully taxable equivalent basis (non-GAAP) 317,286 306,730 Interest expense 95,124 104,291 Net interest income adjusted to fully taxable equivalent basis (non-GAAP) $ 222,162 $ 202,439 63 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following is an analysis of the average balance sheet and net interest income on a fully taxable equivalent basis for the six months ended June 30: 2026 2025 Average Balance Income / Expense (a) Yield or Rate Average Balance Income / Expense (a) Yield or Rate (dollars in thousands) Assets Interest-earning assets: Interest-bearing deposits with banks $ 182,932 $ 3,490 3.85 % $ 68,177 $ 1,615 4.78 % Tax-free investment securities 15,917 219 2.77 18,183 235 2.61 Taxable investment securities 1,578,048 28,279 3.61 1,615,520 29,147 3.64 Loans and leases, net of unearned income (b)(c) 9,512,864 285,298 6.05 9,250,577 275,733 6.01 Total interest-earning assets 11,289,761 317,286 5.67 10,952,457 306,730 5.65 Noninterest-earning assets: Cash 104,816 107,553 Allowance for credit losses (128,119) (123,578) Other assets 941,418 953,224 Total noninterest-earning assets 918,115 937,199 Total Assets $ 12,207,876 $ 11,889,656 Liabilities and Shareholders’ Equity Interest-bearing liabilities: Interest-bearing demand deposits $ 1,826,196 $ 11,455 1.26 % $ 1,884,516 $ 13,760 1.47 % Savings deposits 4,357,300 47,854 2.21 4,000,227 47,823 2.41 Time deposits 1,794,609 31,060 3.49 1,755,643 34,340 3.94 Short-term borrowings 29,297 315 2.17 98,879 1,866 3.81 Long-term debt 169,647 4,440 5.28 262,720 6,502 4.99 Total interest-bearing liabilities 8,177,049 95,124 2.35 8,001,985 104,291 2.63 Noninterest-bearing liabilities and shareholders’ equity: Noninterest-bearing demand deposits 2,352,935 2,285,001 Other liabilities 115,127 141,531 Shareholders’ equity 1,562,765 1,461,139 Total Noninterest-Bearing Funding Sources 4,030,827 3,887,671 Total Liabilities and Shareholders’ Equity $ 12,207,876 $ 11,889,656 Net Interest Income and Net Yield on Interest-Earning Assets $ 222,162 3.97 % $ 202,439 3.73 % (a)Income on interest-earning assets has been computed on a fully taxable equivalent basis using the 21% federal income tax statutory rate for the six months ended June 30, 2026 and 2025. (b)Loan balances include held for sale and nonaccrual loans. Income on nonaccrual loans is accounted for on the cash basis. (c)Loan income includes loan fees earned. 64 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following table shows the effect of changes in volumes and rates on interest income and interest expense for the six months ended June 30, 2026 compared with June 30, 2025: Analysis of Year-to-Year Changes in Net Interest Income Total Change Change Due To Volume Change Due To Rate (a) (dollars in thousands) Interest-earning assets: Interest-bearing deposits with banks $ 1,875 $ 2,720 $ (845) Tax-free investment securities (16) (29) 13 Taxable investment securities (868) (676) (192) Loans and leases 9,565 7,817 1,748 Total interest income (b) 10,556 9,832 724 Interest-bearing liabilities: Interest-bearing demand deposits (2,305) (425) (1,880) Savings deposits 31 4,267 (4,236) Time deposits (3,280) 761 (4,041) Short-term borrowings (1,551) (1,315) (236) Long-term debt (2,062) (2,303) 241 Total interest expense (9,167) 985 (10,152) Net interest income $ 19,723 $ 8,847 $ 10,876 (a)Changes in interest income or expense not arising solely as a result of volume or rate variances are allocated to rate variances. (b)Changes in interest income have been computed on a fully taxable equivalent basis using the 21% federal income tax statutory rate. Provision for Credit Losses The provision for credit losses is determined based on management’s estimates of the appropriate level of the allowance for credit losses needed for expected losses inherent in the loan portfolio and off-balance sheet commitments. The provision for credit losses is an amount added to the allowance, against which credit losses are charged. 65 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The table below provides a breakout of the provision for credit losses by loan category for the six months ended June 30: 2026 2025 Dollars Percentage Dollars Percentage (dollars in thousands) Commercial, financial, agricultural and other $ 13,842 64 % $ 8,230 66 % Time and demand 8,084 38 4,325 35 Commercial credit cards 284 1 133 1 Equipment finance 3,714 17 2,247 18 Time and demand other 1,760 8 1,525 12 Real estate construction 803 4 (289) (2) Construction other 909 5 (213) (1) Construction residential (106) (1) (76) (1) Residential real estate 1,023 5 443 4 Residential first lien 785 4 124 1 Residential junior lien/home equity 238 1 319 3 Commercial real estate 2,449 12 59 — Multifamily 1,721 8 (292) (3) Non-owner occupied (443) (2) (1,121) (9) Owner occupied 1,171 6 1,472 12 Loans to individuals 3,142 15 3,978 32 Automobile and recreational vehicles 2,547 12 3,407 27 Consumer credit cards 131 1 118 1 Consumer other 464 2 453 4 Provision for credit losses on loans and leases $ 21,259 100 % $ 12,421 100 % Provision for credit losses - acquisition day 1 non-PCD — 3,379 Total provision for credit losses on loans and leases 21,259 15,800 Provision for off-balance sheet credit exposure (1,595) 2,593 Total provision for credit losses $ 19,664 $ 18,393 Total provision expense for the six months ended June 30, 2026, increased $1.3 million compared to the six months ended June 30, 2025. Included in the provision for credit losses for the six months ended June 30, 2026 is $4.9 million in reserves related to two individually analyzed time and demand relationships and $2.1 million in reserves for one individually analyzed multifamily real estate loan, all of which were moved to nonaccrual during the first six months of 2026. Provision expense for the period was also impacted by growth in the equipment finance portfolio and a $3.4 million provision related to a time and demand loan which was moved to nonaccrual in 2026 and subsequently charged-off. In addition, provision expense was impacted by charge-offs totaling $0.8 million for three commercial loan relationships moved to held for sale. Also impacting provision expense in the six months ended June 30, 2026 was $1.6 million in negative provision expense related to the reserve for off-balance sheet credit exposures. The level of provision for off-balance sheet exposure in 2026 is primarily due to decreased commercial and residential construction commitments. The provision expense for the six months ended June 30, 2025 was impacted by $3.4 million recognized in the second quarter of 2025 as the day-1 non-PCD provision expense resulting from the Center acquisition. Additionally, provision expense in 2025 was impacted by growth in equipment finance and automobile and recreational vehicles loans as well as an increase in the provision for off-balance sheet commitments due to a higher level of commercial construction commitments. The allowance for credit losses was $127.4 million, or 1.35%, of total loans and leases outstanding at June 30, 2026, compared to $125.8 million, or 1.32%, at December 31, 2025 and $133.0 million, or 1.39%, at June 30, 2025. Nonperforming loans as a percentage of total loans and leases decreased to 0.86% at June 30, 2026 from 1.04% as of June 30, 2025 and 0.97% at December 31, 2025. The allowance to nonperforming loan ratio was 156.08%, 137.07% and 133.62% as of June 30, 2026, December 31, 2025 and June 30, 2025, respectively. 66 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Management believes that the allowance for credit losses is at a level deemed appropriate to absorb expected losses inherent in the loan portfolio at June 30, 2026. Below is an analysis of the consolidated allowance for credit losses for the six months ended June 30, 2026 and 2025 and the year-ended December 31, 2025: June 30, 2026 June 30, 2025 December 31, 2025 (dollars in thousands) Balance, beginning of period $ 125,768 $ 118,906 $ 118,906 Day 1 allowance for credit loss on PCD acquired loans — 4,116 3,560 Provision for credit losses - acquisition day 1 non-PCD — 3,379 3,379 Loans charged off: Commercial, financial, agricultural and other 12,278 5,422 20,252 Real estate construction 326 — 1,294 Residential real estate 459 226 745 Commercial real estate 4,520 2,088 7,188 Loans to individuals 4,814 4,700 8,887 Total loans charged off 22,397 12,436 38,366 Recoveries of loans previously charged off: Commercial, financial, agricultural and other 832 4,367 5,118 Real estate construction — — — Residential real estate 73 183 234 Commercial real estate 253 167 217 Loans to individuals 1,637 1,863 3,422 Total recoveries 2,795 6,580 8,991 Net charge-offs 19,602 5,856 29,375 Provision for credit losses on loans and leases charged to expense 21,259 12,421 29,298 Balance, end of period $ 127,425 $ 132,966 $ 125,768 Net charge-offs as a percentage of average loans and leases outstanding (annualized) 0.42 % 0.13 % 0.31 % Allowance for credit losses as a percentage of end-of-period loans and leases outstanding 1.35 % 1.39 % 1.32 % 67 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Noninterest Income The following table presents the components of noninterest income for the six months ended June 30: 2026 2025 $ Change % Change (dollars in thousands) Noninterest Income: Trust income $ 6,991 $ 6,051 $ 940 16 % Service charges on deposit accounts 11,274 11,033 241 2 Insurance and retail brokerage commissions 6,352 6,267 85 1 Income from bank owned life insurance 3,940 3,440 500 15 Card-related interchange income 7,666 7,652 14 — Swap fee income 505 1,274 (769) (60) Other income 4,659 4,855 (196) (4) Subtotal 41,387 40,572 815 2 Net securities gains (losses) 540 (5,142) 5,682 (111) Gain on sale of VISA — 5,146 (5,146) (100) Gain on sale of mortgage loans 4,552 3,223 1,329 41 Gain on sale of other loans and assets 4,210 3,605 605 17 Gain on early redemption of subordinated debt 806 — 806 — Derivatives mark to market 89 (153) 242 (158) Total noninterest income $ 51,584 $ 47,251 $ 4,333 9 % Total noninterest income for the six months ended June 30, 2026 increased $4.3 million, or 9%, compared to the six months ended June 30, 2025. This is primarily the result of an $1.3 million increase in the gain on sale of mortgage loans, a $0.6 million increase in the gain on sale of other loans and assets and an $0.8 million gain on the early redemption of subordinated debt. Included in gain on sale of other loans and assets for the six months ended June 30, 2026 was $0.4 million related to changes in the value of loans held for sale. Trust income increased $0.9 million due to revenue for assets under management and income from bank owned life insurance increased $0.5 million due to claims received as well as the impact of a stable value wrap restructure completed in the first quarter of 2025. Offsetting these increases, was a decrease of $0.8 million in swap fee income as a result of lower volume for new interest rate swaps entered into by our commercial loan customers. Items impacting noninterest income in the six months ended June 30, 2025 include gains on the sale of VISA shares of $5.1 million, offset by net security losses of $5.1 million, resulting from the sale of available for sale securities that were sold in order to reinvest into higher yielding investments. 68 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Noninterest Expense The following table presents the components of noninterest expense for the six months ended June 30: 2026 2025 $ Change % Change (dollars in thousands) Noninterest Expense: Salaries and employee benefits $ 85,608 $ 80,999 $ 4,609 6 % Net occupancy 10,582 10,623 (41) — Furniture and equipment 8,997 8,740 257 3 Data processing 8,335 7,902 433 5 Advertising and promotion 3,109 2,829 280 10 Pennsylvania shares tax 2,835 2,675 160 6 Intangible amortization 2,667 2,442 225 9 Other professional fees and services 2,756 3,523 (767) (22) FDIC insurance 2,736 2,929 (193) (7) Other operating 19,696 19,243 453 2 Subtotal 147,321 141,905 5,416 4 Loss on sale or write-down of assets 653 286 367 128 Litigation and operational losses 1,633 1,263 370 29 Merger and acquisition related 223 4,064 (3,841) (95) Total noninterest expense $ 149,830 $ 147,518 $ 2,312 2 % Noninterest expense increased $2.3 million, or 2%, for the six months ended June 30, 2026 compared to the same period in 2025. This increase is primarily the result of a $4.6 million increase in salaries and benefits expense. Contributing to the higher salary expense in 2026 was a higher number of full time equivalent employees, partially due to the Center acquisition. The number of full time equivalent employees totaled 1,562 at June 30, 2025 and 1,589 at June 30, 2026. The decrease of $0.8 million in other professional fees and services is a result of services and advisors contracted for several areas in the prior period, none of which were individually material. In addition, merger and acquisition related expenses were $4.1 million in the first six months of 2025 due to the Center acquisition with only $0.2 million recognized in the current period. Income Tax The provision for income taxes increased $4.4 million for the six months ended June 30, 2026, compared to the corresponding period in 2025, primarily due to the higher level of income before tax. We applied the “annual effective tax rate approach” to determine the provision for income taxes, which applies an annual forecast of tax expense as a percentage of expected full year income, for the six months ended June 30, 2026 and 2025. We generate an annual effective tax rate that is less than the statutory rate of 21% due to benefits resulting from tax-exempt interest, income from bank-owned life insurance and tax benefits associated with low income housing tax credits, all of which are relatively consistent regardless of the level of pretax income. These provided for an effective tax rate of 20.6% and 20.5% for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, our deferred tax assets totaled $43.2 million. Based on our evaluation, we determined that it is more likely than not that all of these assets will be realized. As a result, a valuation allowance against these assets was not recorded. In evaluating the need for a valuation allowance, we estimate future taxable income based on management approved forecasts, evaluation of historical earnings levels and consideration of potential tax strategies. If future events differ from our current forecasts, we may need to establish a valuation allowance, which could have a material impact on our financial condition and results of operations. 69 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Results of Operations Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025 Net Income For the three months ended June 30, 2026, First Commonwealth recognized net income of $44.6 million, or $0.44 diluted earnings per share, compared to net income of $33.4 million, or $0.32 diluted earnings per share, in the three months ended June 30, 2025. The increase in net income between the two periods is attributable to a $6.2 million increase in net interest income, a $2.2 million increase in noninterest income, a $3.7 million decrease in the provision for credit losses and a $2.0 million decrease in noninterest expense. Offsetting these positive changes is a $3.0 million increase in income tax expense. For the three months ended June 30, 2026, the Company’s return on average equity was 11.44% and its return on average assets was 1.47%, compared to 8.97% and 1.11%, respectively, for the three months ended June 30, 2025. Net Interest Income Net interest income, on a fully taxable equivalent basis, was $112.8 million in the second quarter of 2026, compared to $106.6 million for the same period in 2025. The increase in net interest income can be attributed to a 28 basis point decrease in the cost of interest-bearing liabilities offset by a 5 basis point decrease in the yield on interest-earning assets. Net interest income comprises the majority of our operating revenue (i.e., net interest income before provision expense plus noninterest income), at 80.6% and 81.1% for the three months ended June 30, 2026 and 2025, respectively. The net interest margin, on a fully taxable equivalent basis, was 4.01% and 3.83% for the three months ended June 30, 2026 and 2025, respectively. The taxable equivalent yield on interest-earning assets was 5.68% for the three months ended June 30, 2026, a decrease of five basis points compared to the 5.73% yield for the same period in 2025. Contributing to this change is a one basis point decrease in the investment portfolio yield in comparison to the prior year and a decrease of 99 basis points in the yield on interest-bearing balances with banks due to lower market rates. The average investment portfolio balance decreased $9.5 million while the average balance of interest-bearing deposits with banks increased from $59.6 million in 2025 to $158.3 million in 2026. The loan portfolio yield when compared to the three months ended June 30, 2025, decreased by two basis points. Accretion of purchase accounting marks contributed $1.3 million or five basis points to the yield on interest-earnings assets in the three months ended June 30, 2026. For the three months ended June 30, 2025, accretion of purchase accounting marks contributed $2.6 million, or ten basis points, to the yield on interest-earning assets. The cost of interest-bearing liabilities decreased to 2.31% for the three months ended June 30, 2026, from 2.59% for the same period in 2025, primarily due to decreases in the cost of time and interest-bearing deposits. Comparing the three months ended June 30, 2026 with the comparable period in 2025, average time deposits increased $21.2 million, or 1.2%, while the cost of these deposits decreased 39 basis points. Over this same period, interest-bearing demand and savings deposits increased on average $223.1 million, or 3.7%, compared to the three months ended June 30, 2025 and the cost of those deposits decreased 17 basis points. The cost of short-term borrowings decreased 194 basis points in comparison to the same period last year as a result of changes in market rates. For the three months ended June 30, 2026, changes in interest rates positively impacted net interest income by $3.5 million when compared with the same period in 2025. The lower yield on loans in 2026 contributed to a lower yield on interest-earning assets, negatively impacting net interest income by $1.1 million, while a decrease in the cost of interest-bearing liabilities positively impacted net interest income by $4.6 million. Changes in the volume of interest-earning assets and interest-bearing liabilities positively impacted net interest income by $2.7 million during the three months ended June 30, 2026, as compared to the same period in 2025. The growth and mix of interest-earning assets resulted in an increase of $1.6 million in interest income, while changes in the volume and mix of interest-bearing liabilities decreased interest expense by $1.2 million. Average interest-earning assets for the three months ended June 30, 2026 increased $118.9 million, or 1.1%, compared to the same period in 2025. Average loans for the comparable period increased $29.7 million, or 0.3%, positively impacting interest income by $0.5 million, while average interest-bearing deposits with banks increased $98.7 million, benefiting interest income by $1.2 million. Average interest-bearing liabilities decreased by $6.7 million, favorably impacting net interest income by $1.2 million. Short-term borrowings and long-term debt average balances decreased by $250.9 million, resulting $2.9 million in lower interest expense. Offsetting this benefit were increases in average savings and time deposit balances. Average savings 70 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES deposits for the three months ended June 30, 2026 increased by $291.1 million compared to the prior period, resulting in additional interest expense of $1.7 million, while average time deposits balances increased by $21.2 million compared to the comparable period in 2025, increasing interest expense by $0.2 million. Net interest income was positively impacted by a $125.6 million increase in average net free funds for the three months ended June 30, 2026 as compared to June 30, 2025. Average net free funds are the excess of noninterest-bearing demand deposits, other noninterest-bearing liabilities and shareholders’ equity over noninterest-earning assets. The increase in the level of net free funds was primarily the result of an increase in the balance of shareholders' equity due to retained earnings as well as an increase in noninterest-bearing demand deposits. The following table reconciles interest income in the Consolidated Statements of Income to net interest income adjusted to a fully taxable equivalent basis for the three months ended June 30: 2026 2025 (dollars in thousands) Interest income per Consolidated Statements of Income $ 159,322 $ 158,926 Adjustment to fully taxable equivalent basis 385 341 Interest income adjusted to fully taxable equivalent basis (non-GAAP) 159,707 159,267 Interest expense 46,880 52,685 Net interest income adjusted to fully taxable equivalent basis (non-GAAP) $ 112,827 $ 106,582 71 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following is an analysis of the average balance sheets and net interest income on a fully taxable equivalent basis for the three months ended June 30: 2026 2025 Average Balance Income / Expense (a) Yield or Rate Average Balance Income / Expense (a) Yield or Rate (dollars in thousands) Assets Interest-earning assets: Interest-bearing deposits with banks $ 158,346 $ 1,523 3.86 % $ 59,614 $ 721 4.85 % Tax-free investment securities 15,684 109 2.79 17,961 115 2.57 Taxable investment securities 1,641,770 15,015 3.67 1,649,027 15,142 3.68 Loans and leases, net of unearned income (b)(c) 9,460,013 143,060 6.07 9,430,284 143,289 6.09 Total interest-earning assets 11,275,813 159,707 5.68 11,156,886 159,267 5.73 Noninterest-earning assets: Cash 99,136 107,776 Allowance for credit losses (128,959) (126,570) Other assets 945,143 958,235 Total noninterest-earning assets 915,320 939,441 Total Assets $ 12,191,133 $ 12,096,327 Liabilities and Shareholders’ Equity Interest-bearing liabilities: Interest-bearing demand deposits $ 1,846,994 $ 5,840 1.27 % $ 1,915,020 $ 7,055 1.48 % Savings deposits 4,374,382 23,939 2.20 4,083,306 24,220 2.38 Time deposits 1,769,090 15,139 3.43 1,747,881 16,644 3.82 Short-term borrowings 26,854 146 2.18 146,503 1,506 4.12 Long-term debt 131,357 1,816 5.55 262,633 3,260 4.98 Total interest-bearing liabilities 8,148,677 46,880 2.31 8,155,343 52,685 2.59 Noninterest-bearing liabilities and shareholders’ equity: Noninterest-bearing demand deposits 2,366,559 2,316,854 Other liabilities 112,616 131,218 Shareholders’ equity 1,563,281 1,492,912 Total noninterest-bearing funding sources 4,042,456 3,940,984 Total Liabilities and Shareholders’ Equity $ 12,191,133 $ 12,096,327 Net Interest Income and Net Yield on Interest-Earning Assets $ 112,827 4.01 % $ 106,582 3.83 % (a)Income on interest-earning assets has been computed on a fully taxable equivalent basis using the 21% federal income tax statutory rate for the three months ended June 30, 2026 and 2025. (b)Loan balances include held for sale and nonaccrual loans. Income on nonaccrual loans is accounted for on the cash basis. (c)Loan income includes loan fees earned. 72 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following table shows the effect of changes in volumes and rates on interest income and interest expense for the three months ended June 30, 2026 compared with June 30, 2025: Analysis of Year-to-Year Changes in Net Interest Income Total Change Change Due To Volume Change Due To Rate (a) (dollars in thousands) Interest-earning assets: Interest-bearing deposits with banks $ 802 $ 1,194 $ (392) Tax-free investment securities (6) (15) 9 Taxable investment securities (127) (67) (60) Loans and leases (229) 451 (680) Total interest income (b) 440 1,563 (1,123) Interest-bearing liabilities: Interest-bearing demand deposits (1,215) (251) (964) Savings deposits (281) 1,727 (2,008) Time deposits (1,505) 202 (1,707) Short-term borrowings (1,360) (1,229) (131) Long-term debt (1,444) (1,630) 186 Total interest expense (5,805) (1,181) (4,624) Net interest income $ 6,245 $ 2,744 $ 3,501 (a)Changes in interest income or expense not arising solely as a result of volume or rate variances are allocated to rate variances. (b)Changes in interest income have been computed on a fully taxable equivalent basis using the 21% federal income tax statutory rate. Provision for Credit Losses The provision for credit losses is determined based on management’s estimates of the appropriate level of the allowance for credit losses needed for probable losses inherent in the loan portfolio, after giving consideration to charge-offs and recoveries for the period. The provision for credit losses is an amount added to the allowance, against which credit losses are charged. 73 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The table below provides a breakout of the provision for credit losses by loan category for the three months ended June 30: 2026 2025 Dollars Percentage Dollars Percentage (dollars in thousands) Commercial, financial, agricultural and other $ 5,613 58 % $ 5,687 69 % Time and demand 2,653 27 3,866 47 Commercial credit cards 113 1 29 — Equipment finance 1,800 19 870 11 Time and demand other 1,047 11 922 11 Real estate construction 1,184 12 (1,091) (13) Construction other 1,140 12 (972) (12) Construction residential 44 — (119) (1) Residential real estate 588 6 530 6 Residential first lien 384 4 262 3 Residential junior lien/home equity 204 2 268 3 Commercial real estate 658 7 612 7 Multifamily (273) (3) (339) (4) Non-owner occupied 507 5 (367) (5) Owner occupied 424 5 1,318 16 Loans to individuals 1,640 17 2,560 31 Automobile and recreational vehicles 1,322 14 2,092 25 Consumer credit cards 80 1 59 1 Consumer other 238 2 409 5 Provision for credit losses on loans and leases $ 9,683 100 % $ 8,298 100 % Provision for credit losses - acquisition day 1 non-PCD — 3,379 Total provision for credit losses on loans and leases 9,683 11,677 Provision for off-balance sheet credit exposure (752) 980 Total provision for credit losses $ 8,931 $ 12,657 The provision for credit losses on loans and leases for the three months ended June 30, 2026 decreased in comparison to the three months ended June 30, 2025 by $2.0 million. Included in the provision for credit losses for the three months ended June 30, 2026 is a $0.7 million specific reserve related to a time and demand loan that was moved to nonaccrual during the period. Also impacting provision expense for the three months ended June 30, 2026 were changes in the economic forecast and prepayment speeds used in the allowance for credit losses calculation. These changes resulted in additional provision expense of $2.2 million. The level of provision expense in the second quarter of 2025 was impacted by $3.4 million recognized as the day-1 non-PCD provision expense related to the Center acquisition. Loan growth and the economic forecast also contributed to the provision expense in the second quarter of 2025. Additionally, the provision for off-balance sheet credit exposure decreased $1.7 million primarily due to the level of unfunded commitments for construction loans. Total net charge-offs for the three months ended June 30, 2026 were $11.4 million and $2.8 million for the three months ended June 30, 2025. 74 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Below is an analysis of the consolidated allowance for credit losses for the three months ended June 30, 2026 and 2025 and the year-ended December 31, 2025: June 30, 2026 June 30, 2025 December 31, 2025 (dollars in thousands) Balance, beginning of period $ 129,183 $ 119,931 $ 118,906 Day 1 allowance for credit loss on PCD acquired loans — 4,116 3,560 Provision for credit losses - acquisition day 1 non-PCD — 3,379 3,379 Loans charged off: Commercial, financial, agricultural and other 8,264 1,403 20,252 Real estate construction — — 1,294 Residential real estate 314 118 745 Commercial real estate 2,212 624 7,188 Loans to individuals 2,170 2,281 8,887 Total loans charged off 12,960 4,426 38,366 Recoveries of loans previously charged off: Commercial, financial, agricultural and other 426 677 5,118 Real estate construction — — — Residential real estate 47 46 234 Commercial real estate 213 11 217 Loans to individuals 833 934 3,422 Total recoveries 1,519 1,668 8,991 Net charge-offs 11,441 2,758 29,375 Provision for credit losses on loans charged to expense 9,683 8,298 29,298 Balance, end of period $ 127,425 $ 132,966 $ 125,768 Noninterest Income The following table presents the components of noninterest income for the three months ended June 30: 2026 2025 $ Change % Change (dollars in thousands) Noninterest Income: Trust income $ 3,583 $ 3,029 $ 554 18 % Service charges on deposit accounts 5,744 5,595 149 3 Insurance and retail brokerage commissions 3,085 3,097 (12) — Income from bank owned life insurance 2,144 1,938 206 11 Card-related interchange income 4,005 3,998 7 — Swap fee income 383 439 (56) (13) Other income 2,476 2,600 (124) (5) Subtotal 21,420 20,696 724 3 Net securities gains 311 — 311 — Gain on sale of mortgage loans 2,337 1,836 501 27 Gain on sale of other loans and assets 2,028 2,217 (189) (9) Gain on early redemption of subordinated debt 806 — 806 — Derivatives mark to market 95 — 95 — Total noninterest income $ 26,997 $ 24,749 $ 2,248 9 % 75 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Total noninterest income for the three months ended June 30, 2026 increased $2.2 million compared to the three months ended June 30, 2025. The most significant change includes an $0.8 million gain on the early redemption of subordinated debt, a $0.6 million increase in trust income due to revenue for assets under management and a $0.5 million increase in the gain on mortgage loans due to the volume of loans sold. These were offset by a $0.2 million decrease in gain on sale of loans and other assets due to the volume and spread of SBA loans sold and swap fee income which decreased $0.1 million as a result of lower volume of new interest rate swaps entered into by our commercial loan customers. The increase in net security gains is primarily due to a gain related to the call of a corporate investment security recognized in the second quarter of 2026. Noninterest Expense The following table presents the components of noninterest expense for the three months ended June 30: 2026 2025 $ Change % Change (dollars in thousands) Noninterest Expense: Salaries and employee benefits $ 42,734 $ 40,584 $ 2,150 5 % Net occupancy 5,017 4,894 123 3 Furniture and equipment 4,174 4,547 (373) (8) Data processing 4,152 4,085 67 2 Advertising and promotion 1,438 1,457 (19) (1) Pennsylvania shares tax 1,505 1,338 167 12 Intangible amortization 1,303 1,311 (8) (1) Other professional fees and services 1,650 1,903 (253) (13) FDIC insurance 1,147 1,550 (403) (26) Other operating 10,147 10,103 44 — Subtotal 73,267 71,772 1,495 2 Loss on sale or write-down of assets 86 71 15 21 Litigation and operational losses 776 470 306 65 Merger and acquisition related 106 3,955 (3,849) (97) Total noninterest expense $ 74,235 $ 76,268 $ (2,033) (3) % Noninterest expense decreased $2.0 million for the three months ended June 30, 2026 compared to the same period in 2025. The decrease is primarily the result of a decrease of $3.8 million in merger and acquisition expense related to the Center acquisition offset by a $2.2 million increase in salaries and employee benefits expense primarily due to annual merit increases, incentive expense and a higher number of full time equivalent employees. Income Tax The provision for income taxes increased $3.0 million for the three months ended June 30, 2026, compared to the corresponding period in 2025. The effective tax rate increased 20 basis points from 20.6% for the three months ended June 30, 2025 to 20.8% for the three months ended June 30, 2026. We applied the “annual effective tax rate approach” to determine the provision for income taxes, which applies an annual forecast of tax expense as a percentage of expected full year income, for the three months ended June 30, 2026 and 2025. Liquidity Liquidity refers to our ability to meet the cash flow requirements of depositors and borrowers, as well as our operating cash needs, with cost-effective funding. We generate funds to meet these needs primarily through the core deposit base of First Commonwealth Bank and the maturity or repayment of loans and other interest-earning assets, including investments. During the first six months of 2026, the sale, maturity and redemption of investment securities provided $198.8 million in liquidity. These funds contributed to the liquidity available to originate loans, purchase investment securities and fund depositor withdrawals. 76 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following represents our expanded sources of liquidity as of June 30, 2026: Total Available Amount Used Outstanding Letters of Credit Net Available (dollars in thousands) Internal liquidity sources Unencumbered securities $ 758,802 $ — $ — $ 758,802 Other (excess pledged) 129,488 — — 129,488 External liquidity sources FHLB advances 2,686,353 120,000 6,113 2,560,240 FRB borrowings 1,014,887 — — 1,014,887 Lines with other financial institutions 160,000 — — 160,000 CDARs (1) 1,217,568 14,422 — 1,203,146 Total liquidity $ 5,967,098 $ 134,422 $ 6,113 $ 5,826,563 (1) Reflects internal policy limit. Maximum capacity with CDARs is $1.8 billion. Our participation in the Certificate of Deposit Account Registry Services (“CDARS”) program is part of an Asset/Liability Committee (“ALCO”) strategy to increase and diversify funding sources. As of June 30, 2026, the outstanding CDARS balance of $14.4 million carried an average weighted rate of 2.96% and an average original term of 327 days. These deposits are part of a reciprocal program that allows our depositors to receive expanded FDIC coverage by placing multiple certificates of deposit at other CDARS member banks. Liquidity available through the Federal Reserve is a result of the FRB Borrower-in-Custody of Collateral program, which enables us to take certain loans that are not being used as collateral at the FHLB and pledge them as collateral for borrowings at the FRB. First Commonwealth’s long-term liquidity source is its core deposit base. Core deposits are the most stable source of liquidity a bank can have due to the long-term relationship with a deposit customer. The following table shows a breakdown of the components of First Commonwealth’s deposits: June 30, 2026 December 31, 2025 Amount Originated Acquired(a) Amount (dollars in thousands) Noninterest-bearing demand deposits $ 2,413,605 $ 2,331,287 $ 41,484 $ 2,372,771 Interest-bearing demand deposits 1,802,938 1,782,509 13,004 1,795,513 Savings deposits 4,360,889 4,108,572 133,190 4,241,762 Time deposits 1,682,629 1,750,616 90,307 1,840,923 Total $ 10,260,061 $ 9,972,984 $ 277,985 $ 10,250,969 (a)Reflects the deposit balances, including purchase accounting marks, of deposits acquired from Center as of the acquisition date of April 30, 2025. The level of deposits during any period is influenced by factors outside of management’s control, such as the level of short-term and long-term market interest rates and yields offered on competing investments, such as money market mutual funds. During the first six months of 2026, total deposits increased $9.1 million. Interest-bearing demand and savings deposits increased $126.6 million, time deposits decreased $158.3 million, and noninterest-bearing demand deposits decreased $40.8 million. The estimated total of uninsured deposits was $2.8 billion and $2.9 billion at June 30, 2026 and December 31, 2025, respectively, of which $0.8 billion were secured by pledged investment securities or letters of credit as of both June 30, 2026 and December 31, 2025. Uninsured amounts are estimated based on known account relationships for each depositor and insurance guidelines provided by the FDIC. Market Risk The following gap analysis compares the difference between the amount of interest-earning assets and interest-bearing liabilities subject to repricing over a period of time. The ratio of rate-sensitive assets to rate-sensitive liabilities repricing within 77 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES a one-year period was 0.70 at both June 30, 2026 and December 31, 2025. A ratio of less than one indicates a higher level of repricing liabilities over repricing assets over the next twelve months. The level of First Commonwealth's ratio is largely driven by the modeling of interest-bearing non-maturity deposits, which are included in the analysis as repricing within one year. Gap analysis has limitations due to the static nature of the model, which holds volumes and consumer behaviors constant in all economic and interest rate scenarios. A lower level of rate sensitive assets to rate sensitive liabilities repricing in one year could indicate reduced net interest income in a rising interest rate scenario, and conversely, increased net interest income in a declining interest rate scenario. However, the gap analysis incorporates only the level of interest-earning assets and interest-bearing liabilities and not the sensitivity each has to changes in interest rates. The impact of the sensitivity to changes in interest rates is provided in the table below the gap analysis. The following is the gap analysis as of June 30, 2026 and December 31, 2025: June 30, 2026 0-90 Days 91-180 Days 181-365 Days Cumulative 0-365 Days Over 1 Year Through 5 Years Over 5 Years (dollars in thousands) Loans and leases $ 3,905,300 $ 497,987 $ 783,587 $ 5,186,874 $ 3,445,732 $ 706,447 Investments 106,336 65,505 121,494 293,335 740,622 723,837 Other interest-earning assets 68,005 — — 68,005 — 1,303 Total interest-sensitive assets (ISA) 4,079,641 563,492 905,081 5,548,214 4,186,354 1,431,587 Certificates of deposit 798,105 371,275 420,966 1,590,346 91,152 965 Other deposits 6,163,827 — — 6,163,827 — — Borrowings 210,113 — — 210,113 50,000 — Total interest-sensitive liabilities (ISL) 7,172,045 371,275 420,966 7,964,286 141,152 965 Gap $ (3,092,404) $ 192,217 $ 484,115 $ (2,416,072) $ 4,045,202 $ 1,430,622 ISA/ISL 0.57 1.52 2.15 0.70 29.66 1,483.51 Gap/Total assets 25.33 % 1.57 % 3.97 % 19.79 % 33.14 % 11.72 % December 31, 2025 0-90 Days 91-180 Days 181-365 Days Cumulative 0-365 Days Over 1 Year Through 5 Years Over 5 Years (dollars in thousands) Loans and leases $ 3,962,518 $ 534,440 $ 846,281 $ 5,343,239 $ 3,308,592 $ 724,461 Investments 83,620 64,581 134,135 282,336 676,118 657,200 Other interest-earning assets 75,812 — — 75,812 — 1,270 Total interest-sensitive assets (ISA) 4,121,950 599,021 980,416 5,701,387 3,984,710 1,382,931 Certificates of deposit 770,770 629,285 367,335 1,767,390 72,102 916 Other deposits 6,037,275 — — 6,037,275 — — Borrowings 227,167 215 127,431 354,813 51,693 — Total interest-sensitive liabilities (ISL) 7,035,212 629,500 494,766 8,159,478 123,795 916 Gap $ (2,913,262) $ (30,479) $ 485,650 $ (2,458,091) $ 3,860,915 $ 1,382,015 ISA/ISL 0.59 0.95 1.98 0.70 32.19 1,509.75 Gap/Total assets 23.60 % 0.25 % 3.93 % 19.91 % 31.28 % 11.20 % The following table presents an analysis of the potential sensitivity of our annual net interest income to gradual changes in interest rates over a 12-month time frame as compared with net interest income if rates remained unchanged and there are no changes in balance sheet categories. 78 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES 79 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Net interest income change (12 months) for basis point movements of: -200 -100 +100 +200 (dollars in thousands) June 30, 2026 ($) $ (1,396) $ (777) $ 5,834 $ 10,772 June 30, 2026 (%) (0.30) % (0.17) % 1.25 % 2.30 % December 31, 2025 ($) $ (1,761) $ (979) $ 4,114 $ 8,173 December 31, 2025 (%) (0.40) % (0.22) % 0.95 % 1.88 % The following table represents the potential sensitivity of our annual net interest income to immediate changes in interest rates versus if rates remained unchanged and there are no changes in balance sheet categories. Net interest income change (12 months) for basis point movements of: -200 -100 +100 +200 (dollars in thousands) June 30, 2026 ($) $ (11,150) $ (4,696) $ 17,087 $ 32,140 June 30, 2026 (%) (2.39) % (1.00) % 3.66 % 6.88 % December 31, 2025 ($) $ (9,798) $ (4,118) $ 13,061 $ 25,334 December 31, 2025 (%) (2.25) % (0.95) % 3.00 % 5.82 % The Company evaluates its potential interest rate sensitivity by utilizing several interest rate scenarios that incorporate both rising and declining rates. Results of these scenarios are impacted by variables that include the current level of interest rates, product characteristics such as floors and ceilings, the frequency with which variable rate products reset their rates, and projected pricing changes for non-maturity deposits. For example, the results in a declining rate scenario could be affected by the model's use of an assumed interest rate floor of zero. For the six months ended June 30, 2026 and 2025, the cost of our interest-bearing liabilities averaged 2.35% and 2.63%, respectively, and the yield on our average interest-earning assets, on a fully taxable equivalent basis, averaged 5.67% and 5.65%, respectively. Asset/liability models require that certain assumptions be made, such as prepayment rates on earning assets and the impact of pricing on non-maturity deposits, which may differ from actual experience. These business assumptions are based upon our experience, business plans and published industry experience. While management believes such assumptions to be reasonable, there can be no assurance that modeled results will approximate actual results. Credit Risk Management of credit risk within our loan and lease portfolio is a focus of the Company and is a continuous process in order to address changing economic and lending environments. Segment and concentration limits are established and approved by our Board of Directors’ Risk Committee in order to maintain alignment with our credit risk appetite, loan strategic plan, loan policy and underwriting guidelines. In addition, our Credit Department completes industry studies to identify potential risk in the portfolio. For example, within the commercial real estate portfolio, industry studies are completed for the following sectors: hospitality, industrial, multifamily, office, retail, senior living, healthcare and student housing. All industry studies are completed on an annual basis with the exception of senior living and healthcare which are completed every other year. On an annual basis, the Credit Department also reviews the commercial real estate portfolio as a whole, along with underwriting practices and loan level stress testing procedures, to enhance risk management practices and monitor commercial real estate concentrations. This review provides an overview of the portfolio to ensure that emerging risks have been identified, and documents and validates the standard interest rate and capitalization rate stress scenarios. First Commonwealth maintains an allowance for credit losses at a level deemed sufficient for losses inherent in the loan and lease portfolio at the date of each statement of financial condition. Management reviews the appropriateness of the allowance on a quarterly basis to ensure that the provision for credit losses has been charged against earnings in an amount necessary to maintain the allowance at a level that is appropriate based on management’s assessment of estimated expected losses. First Commonwealth’s methodology for assessing the appropriateness of the allowance for credit losses consists of several key elements. These elements include an assessment of individual nonperforming loans with a balance greater than $250 thousand, loss experience trends and other relevant factors. 80 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES First Commonwealth also maintains a reserve for unfunded loan commitments and letters of credit based upon credit risk and probability of funding. The reserve totaled $6.6 million at June 30, 2026 and is classified in "Other liabilities" on the unaudited Consolidated Statements of Financial Condition. We discontinue interest accruals on a loan when, based on current information and events, it is probable that we will be unable to fully collect principal or interest due according to the contractual terms of the loan. A loan is also placed on nonaccrual status when, based on regulatory definitions, the loan is maintained on a “cash basis” due to the weakened financial condition of the borrower. Generally, loans 90 days or more past due are placed on nonaccrual status, except for consumer loans, which are placed on nonaccrual status at 150 days past due. Consumer loans related to automobile and recreational vehicles are either charged off or repossessed at no later than 90 days past due. Nonperforming loans are closely monitored on an ongoing basis as part of our loan review and work-out process. The probable risk of loss on these loans is evaluated by comparing the loan balance to the estimated fair value of any underlying collateral or the present value of projected future cash flows. Losses or a specifically assigned allowance for loan losses are recognized where appropriate. Nonperforming loans and leases, including loans held for sale, decreased $10.1 million to $81.6 million at June 30, 2026, compared to $91.8 million at December 31, 2025. During the six months ended June, 30, 2026, a total of $33.7 million in loans were moved to a nonperforming status. This total includes three commercial relationships totaling $32.5 million. As of June 30, 2026, reserves of $8.2 million are included in the allowance for credit losses for these relationships. Offsetting the additions to nonperforming was the transfer of two commercial relationships back to accrual status totaling $8.6 million, releasing $2.3 million in reserves from the allowance for credit losses. Additionally, two commercial relationships totaling $5.2 million were transferred to held for sale, recognizing $0.6 million in charge-offs, and a $3.2 million commercial relationship was resolved with the Company accepting $1.3 million as satisfaction for the loan balance, recognizing a charge-off of $1.9 million, for which $1.7 million was provided for at December 31, 2025. Also impacting nonperforming loan balances in the first half of 2026, was a $1.9 million paydown of a $2.5 million dealer floor plan relationship with the Company recognizing a previously provided for charge-off of $0.7 million. In addition, four large nonperforming commercial relationships totaling $6.6 million paid off during the six-months ended June 30, 2026. Charge-offs for the six months ended June 30, 2026 totaled $22.4 million. The allowance for credit losses as a percentage of nonperforming loans was 156.08% as of June 30, 2026, compared to 137.07% at December 31, 2025, and 133.62% at June 30, 2025. The amount of individually analyzed reserves included in the allowance for nonperforming loans and leases was determined by using fair values obtained from current appraisals. The allowance for credit losses includes specific allocations of $10.3 million and general reserves of $117.1 million as of June 30, 2026. Specific reserves increased $0.5 million in comparison to December 31, 2025 and decreased $3.8 million from June 30, 2025. The increase in specific reserves compared to December 31, 2025 is primarily due to specific reserves applied to individually analyzed loans moved to nonperforming during the second quarter. Criticized loans totaled $286.5 million at June 30, 2026 and represented 3.0% of the loan portfolio. The level of criticized loans increased as of June 30, 2026 when compared to December 31, 2025, by $19.3 million, or 7%. Classified loans totaled $148.4 million at June 30, 2026 compared to $139.4 million at December 31, 2025, an increase of $9.0 million, or 6%. The allowance for credit losses was $127.4 million at June 30, 2026, or 1.35% of total loans and leases outstanding, compared to 1.32% reported at December 31, 2025, and 1.39% at June 30, 2025. General reserves, or the portion of the allowance related to loans that were not individually analyzed, as a percentage of performing loans were 1.24% at June 30, 2026 compared to 1.22% at December 31, 2025 and 1.26% at June 30, 2025. 81 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES The following table provides information related to nonperforming assets, the allowance for credit losses and other credit-related measurements: June 30, December 31, 2025 2026 2025 (dollars in thousands) Nonperforming Loans: Loans on nonaccrual basis $ 50,298 $ 71,590 $ 51,151 Loans on a nonaccrual basis - with government guarantees 22,510 11,590 30,325 Loans on nonaccrual basis - acquired 8,031 15,024 9,393 Loans on nonaccrual basis - acquired with government guarantees 801 1,303 887 Total nonperforming loans $ 81,640 $ 99,507 $ 91,756 Loans past due 30 to 90 days and still accruing $ 43,232 $ 17,117 $ 35,792 Loans past due in excess of 90 days and still accruing $ 3,218 $ 1,297 $ 1,288 Other real estate owned $ 2,270 $ 1,049 $ 990 Loans held for sale at end of period $ 44,764 $ 42,993 $ 271,452 Portfolio loans and leases outstanding at end of period $ 9,467,229 $ 9,570,815 $ 9,508,039 Average loans and leases outstanding $ 9,512,864 (a) $ 9,250,577 (a) $ 9,474,491 (b) Nonperforming loans as a percentage of total loans and leases 0.86 % 1.04 % 0.97 % Provision for credit losses on loans and leases (e) $ 21,259 (a) $ 12,421 (a) $ 29,298 (b) Provision for credit losses - acquisition day 1 non-PCD $ — $ 3,759 $ 3,759 Allowance for credit losses $ 127,425 $ 132,966 $ 125,768 Net charge-offs $ 19,602 (a) $ 5,856 (a) $ 29,375 (b) Net charge-offs as a percentage of average loans and leases outstanding (annualized) 0.42 % 0.13 % 0.31 % Provision for credit losses as a percentage of net charge-offs (e) 108.45 % (a) 212.11 % (a) 99.74 % (b) Allowance for credit losses as a percentage of end-of-period loans and leases outstanding (c) 1.35 % 1.39 % 1.32 % Allowance for credit losses as a percentage of nonperforming loans (d) 156.08 % 133.62 % 137.07 % (a)For the six-month period ended. (b)For the twelve-month period ended. (c)Does not include loans held for sale. (d)Does not include nonperforming loans held for sale. (e)Does not include provision for credit losses on loans and leases - acquisition day 1 non-PCD. The following tables show the outstanding balances of our loan and lease portfolio and the breakdown of net charge-offs and nonperforming loans, excluding loans held for sale, by loan type as of and for the periods presented: June 30, 2026 December 31, 2025 Amount % Legacy Acquired(a) Amount % (dollars in thousands) Commercial, financial, agricultural and other $ 2,071,387 22 % $ 1,983,756 $ 61,233 $ 2,044,989 22 % Real estate construction 486,666 5 429,265 33,521 462,786 5 Residential real estate 2,368,166 25 2,277,365 82,920 2,360,285 25 Commercial real estate 3,083,774 33 3,067,542 114,567 3,182,109 33 Loans to individuals 1,457,236 15 1,457,493 377 1,457,870 15 Total loans and leases, net of unearned income $ 9,467,229 100 % $ 9,215,421 $ 292,618 $ 9,508,039 100 % (a)Reflects the balances, excluding loans held for sale and including purchase accounting marks, of loans acquired from Center as of the acquisition date of April 30, 2025. During the six months ended June 30, 2026, loans decreased $40.8 million compared to balances outstanding at December 31, 2025. 82 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES Commercial, financial, agricultural and other loans increased $26.4 million, or 1.3%. Within this category, $91.5 million of growth occurred in the equipment finance portfolio, offset by a $74.3 million decrease in the time and demand portfolio. Real estate construction loans increased $23.9 million, or 5.2%, due to growth in commercial real estate projects. Residential real estate loans increased $7.9 million, or 0.3%, primarily due to growth in home equity loans. Commercial real estate loans decreased $98.3 million, or 3.1%, as a result of decline in loans secured by non-owner occupied commercial real estate. Loans to individuals decreased $0.6 million, or 0.04%, primarily due to a decrease in consumer credit card and consumer other loans. Commercial real estate comprises 33% of our total loan portfolio. Commercial real estate loans are collateralized by real estate properties including, but not limited to, multifamily properties, office, retail, hotels and student housing. The following table summarizes the commercial real estate portfolio by type of property securing the credit. June 30, 2026 December 31, 2025 Amount % Amount % (dollars in thousands) Land $ 6,509 0.2 % $ 8,757 0.3 % Residential 1-4 5,964 0.2 5,380 0.2 Industrial and storage 630,547 20.4 645,211 20.3 Multifamily 658,707 21.4 576,299 18.1 Office 425,540 13.8 470,133 14.8 Healthcare 111,847 3.6 143,056 4.5 Student housing 100,415 3.3 139,645 4.4 Retail 756,426 24.5 774,070 24.3 Hospitality 207,226 6.7 238,531 7.4 Specialty use 178,593 5.8 178,940 5.6 Other 2,000 0.1 2,087 0.1 Total $ 3,083,774 100.0 % $ 3,182,109 100.0 % The following tables represent our commercial real estate portfolio by type of property securing the credit as of June 30, 2026. Total non-pass commercial real estate loans increased by $11.1 million to $138.6 million when compared to December 31, 2025. Pass OAEM Substandard Accruing Substandard Nonaccruing Total Non-Pass Total % Non-Pass (dollars in thousands) Land $ 6,509 $ — $ — $ — $ — $ 6,509 — % Residential 1-4 5,685 — 279 — 279 5,964 4.7 Industrial and storage 613,095 11,170 5,805 477 17,452 630,547 2.8 Multifamily 621,827 18,260 2,823 15,797 36,880 658,707 5.6 Office 392,180 14,521 13,939 4,900 33,360 425,540 7.8 Healthcare 107,310 1,862 2,637 38 4,537 111,847 4.1 Student housing 95,550 4,865 — — 4,865 100,415 4.8 Retail 739,756 2,424 10,626 3,620 16,670 756,426 2.2 Hospitality 195,090 12,136 — — 12,136 207,226 5.9 Specialty use 166,278 4,366 7,159 790 12,315 178,593 6.9 Other 1,922 78 — — 78 2,000 3.9 Total $ 2,945,202 $ 69,682 $ 43,268 $ 25,622 $ 138,572 $ 3,083,774 4.5 % The office portfolio comprises 14% of total commercial real estate loans and 24% of total commercial real estate non-pass loans. The average loan commitment size for the office portfolio is $0.9 million and the average outstanding balance as of June 30, 2026 is $0.9 million. Within the office portfolio, exposures over $1.0 million have an average debt service coverage ratio of 1.51x, which exceeds our internal guidelines of 1.25x to 1.50x, depending on property class. Additionally, for loans with exposure over $1.0 million, the office portfolio has a weighted average loan to value of 45.0% compared to internal 83 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES guidelines of 60-75%, depending on property class. Our current measure is based off of the most recent appraisal on file, the majority of which are from origination. As previously noted, portfolio segment limits are approved by our Board of Directors' Risk Committee. These segment limits incorporate loan commitments and are based off of total Tier 1 capital plus the allowable allowance for credit losses. In the second quarter of 2026, after considering the current environment and potential risks related to the office portfolio, the segment limit for the office portfolio was decreased from 50% to 45%, with the actual segment concentration at 28.9% as of June 30, 2026. The following table summarizes commercial real estate loans by the location of the properties by which they are collateralized as of June 30, 2026. Some loans are collateralized by multiple properties spread over various states. In those instances, the loan is included below based on the location of the primary property collateralizing the loan. Balance % of Total (dollars in thousands) Pennsylvania $ 1,310,203 43 % Ohio 1,294,572 43 Kentucky 126,431 4 New Jersey 43,435 1 Indiana 42,369 1 New York 39,360 1 Other 227,404 7 $ 3,083,774 100 % When calculating the allowance for credit losses the commercial real estate portfolio is segmented into three portfolio segments: multifamily, non-owner occupied and owner occupied. For additional information related to these segments, including credit quality, see Note 8 "Loans and Leases and Allowance for Credit Losses" of the unaudited consolidated financial statements. As indicated in the table below, commercial real estate and commercial, financial and agricultural and other loans represent a significant portion of the nonperforming loans as of June 30, 2026. For the Six Months Ended June 30, 2026 As of June 30, 2026 Net Charge- offs % of Total Net Charge-offs Net Charge- offs as a % of Average Loans (annualized) Nonperforming Loans % of Total Nonperforming Loans Nonperforming Loans as a % of Total Loans (dollars in thousands) Commercial, financial, agricultural and other $ 11,446 58.39 % 0.24 % $ 40,682 49.83 % 0.43 % Real estate construction 326 1.66 0.01 — — — Residential real estate 386 1.97 0.01 15,329 18.78 0.16 Commercial real estate 4,267 21.77 0.09 25,622 31.38 0.27 Loans to individuals 3,177 16.21 0.07 7 0.01 — Total loans and leases, net of unearned income $ 19,602 100.00 % 0.42 % $ 81,640 100.00 % 0.86 % Net charge-offs for the six months ended June 30, 2026 totaled $19.6 million, compared to $5.9 million for the six months ended June 30, 2025. Charge-offs during the six months ended June 30, 2026 were primarily in the commercial, financial, agricultural and other, commercial real estate and loans to individual categories. See discussions related to the provision for credit losses and loans for more information. Capital Resources At June 30, 2026, shareholders’ equity was $1.6 billion, an increase of $14.8 million from December 31, 2025. The increase was primarily the result $82.1 million in net income and a $3.7 million increase related to the reissuance of treasury stock, offset by $36.9 million of common stock repurchases, $28.1 million of dividends paid to shareholders and a $6.1 million 84 ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) FIRST COMMONWEALTH FINANCIAL CORPORATION AND SUBSIDIARIES decrease in the fair value of available for sale investments and interest rate swaps, which is reflected in the Other Comprehensive Income component of capital. Cash dividends declared per common share were $0.275 for the six months ended June 30, 2026. First Commonwealth and First Commonwealth Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on First Commonwealth’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, First Commonwealth and First Commonwealth Bank must meet specific capital guidelines that involve quantitative measures of First Commonwealth’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. First Commonwealth’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weighting and other factors. Effective January 1, 2015, the Company became subject to the new regulatory risk-based capital rules adopted by the federal banking agencies implementing Basel III. The most significant changes included higher minimum capital requirements, as the minimum Tier I capital ratio increased from 4.0% to 6.0% and a new common equity Tier I capital ratio was established with a minimum level of 4.5%. Additionally, the rules improved the quality of capital by providing stricter eligibility criteria for regulatory capital instruments and provide for a phase-in, beginning January 1, 2016, of a capital conservation buffer of 2.5% of risk-weighted assets. This buffer, which was fully phased-in as of January 1, 2019, provides a requirement to hold common equity Tier 1 capital above the minimum risk-based capital requirements, resulting in an effective common equity Tier I risk-weighted asset minimum ratio of 7.0% on a fully phased-in basis. The Basel III Rules also permit banking organizations with less than $15.0 billion in assets to retain, through a one-time election, the existing treatment for accumulated other comprehensive income, which currently does not affect regulatory capital. The Company elected to retain this treatment, which reduces the volatility of regulatory capital levels. In 2018, First Commonwealth Bank, the Company's banking subsidiary, issued $100 million in subordinated debt, of which $50 million remained outstanding at June 30, 2026, which under the regulatory rules qualifies as Tier II capital. As of June 30, 2026, this subordinated debt issuance increased the total risk-based capital ratio by 50 basis points. As of June 30, 2026, First Commonwealth and First Commonwealth Bank met all capital adequacy requirements to which they are subject and were considered well-capitalized under the regulatory rules. To be considered well capitalized, the Company must maintain minimum Total risk-based capital, Tier I risk-based capital, Tier I leverage ratio and Common equity tier I risk-based capital as set forth in the table below: Actual Minimum Capital Required Required to be Considered Well Capitalized Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio (dollars in thousands) Total Capital to Risk Weighted Assets First Commonwealth Financial Corporation $ 1,491,087 15.10 % $ 1,036,920 10.50 % $ 987,543 10.00 % First Commonwealth Bank 1,379,102 14.00 1,034,528 10.50 985,265 10.00 Tier I Capital to Risk Weighted Assets First Commonwealth Financial Corporation $ 1,318,043 13.35 % $ 839,411 8.50 % $ 790,034 8.00 % First Commonwealth Bank 1,206,339 12.24 837,475 8.50 788,212 8.00 Tier I Capital to Average Assets First Commonwealth Financial Corporation $ 1,318,043 11.09 % $ 475,567 4.00 % $ 594,459 5.00 % First Commonwealth Bank 1,206,339 10.17 474,504 4.00 593,130 5.00 Common Equity Tier I to Risk Weighted Assets First Commonwealth Financial Corporation $ 1,248,043 12.64 % $ 691,280 7.00 % $ 641,903 6.50 % First Commonwealth Bank 1,206,339 12.24 689,686 7.00 640,422 6.50 On July 28, 2026, First Commonwealth Financial Corporation declared a quarterly dividend of $0.14 per share payable on August 21, 2026 to shareholders of record as of August 7, 2026. The timing and amount of future dividends are at the discretion of First Commonwealth's Board of Directors based upon, among other factors, capital levels, asset quality, liquidity and current and projected earnings. 85 Table of Contents