City Holding Company Announces Record Quarterly Results

CHARLESTON, W.Va.--(BUSINESS WIRE)--City Holding Company (“Company” or “City”) (NASDAQ:CHCO), a $6.8 billion bank holding company headquartered in Charleston, West Virginia, today announced net income of $34.6 million and record quarterly diluted earnings of $2.43 per share for the quarter ended September 30, 2026. For the quarter ended September 30, 2026, the Company achieved a return on assets of 2.03% and a return on tangible equity of 20.9%.

Net Interest Income

The Company’s net interest income increased approximately $1.8 million, or 3.0%, from $60.8 million during the second quarter of 2026 to $62.6 million during the third quarter of 2026. The Company’s tax equivalent net interest income increased approximately $1.9 million, or 3.0%, from $61.0 million for the second quarter of 2026 to $62.9 million for the third quarter of 2026. This increase was primarily due to an increase in the yield on loans (3 basis points) and an increase in the average balances of loans ($36.1 million) which increased net interest income by $1.1 million and $0.5 million, respectively. In addition, an increase in the yield on investments (5 basis points) and an increase in average investment balances ($20.7 million) increased net interest income by $0.4 million and $0.2 million, respectively. These increases were partially offset by a decrease in the average balances of deposits in depository institutions ($49.0 million) which decreased net interest income by $0.5 million. The Company’s reported net interest margin increased from 3.97% for the second quarter of 2026 to 4.04% for the third quarter of 2026.

Credit Quality

The Company’s ratio of nonperforming assets to total loans and other real estate owned remained stable at 0.24%, or $10.6 million, at June 30, 2026, compared to 0.24%, or $10.9 million, at September 30, 2026. Total past due loans decreased modestly from $8.6 million, or 0.19% of total loans outstanding, at June 30, 2026, to $8.3 million, or 0.18% of total loans outstanding, at September 30, 2026.

As a result of the Company’s quarterly analysis of the adequacy of the allowance for credit losses, the Company recorded a recovery of credit losses of $0.1 million in the third quarter of 2026, compared to a recovery of credit losses of $0.5 million for the comparable period in 2025, and a provision for credit losses of $0.4 million for the second quarter of 2026. The recovery of credit losses in the third quarter of 2026 was primarily related to the upgrade of a commercial real estate loan and a marginal decrease in the historical loss rates for commercial and residential real estate loans during the quarter ended September 30, 2026. These decreases were partially offset by revisions to qualitative adjustment factors and the downgrade of a commercial loan ($0.25 million) during the quarter ended September 30, 2026.

Non-interest Income

Non-interest income increased $0.9 million from $20.5 million in the third quarter of 2025 to $21.4 million in the third quarter of 2026. This increase was due to an increase of $0.5 million, or 6.0%, in service charges and an increase of $0.3 million, or 10.5%, in wealth and investment management fee income.

Non-interest Expenses

Non-interest expenses increased $2.6 million from $38.3 million in the third quarter of 2025 to $40.9 million in the third quarter of 2026. The increase during the quarter ended September 30, 2026, was largely due to an increase in salaries and employee benefit expenses of $1.1 million due to salary adjustments, increased incentive compensation, and increased health insurance costs. In addition, other expenses increased $0.5 million and advertising expenses increased $0.4 million. For the nine months ended September 30, 2026, non-interest expenses have increased $5.0 million, or 4.4%, to $120.4 million as compared to $115.4 million for the nine months ended September 30, 2025.

Balance Sheet Trends

Loans increased $48.4 million (1.1%) from June 30, 2026, to $4.55 billion at September 30, 2026. Commercial and industrial loans increased $20.1 million (4.4%), commercial real estate loans increased $12.9 million (0.7%), residential real estate loans increased $8.8 million (0.5%), and home equity loans increased $8.2 million (3.6%) during the quarter ended September 30, 2026.

Period-end deposit balances increased $18.0 million from June 30, 2026, to September 30, 2026. Total average depository balances increased $26.5 million (0.5%) from the quarter ended June 30, 2026, to the quarter ended September 30, 2026, to $5.35 billion. Average noninterest-bearing demand balances increased $28.0 million and average savings deposits balances increased $11.0 million. These increases were partially offset by a decrease in average time deposits of $9.5 million.

Income Tax Expense

The Company’s effective income tax rate for the third quarter of 2026 was 19.9%, compared to 19.2% for the year ended December 31, 2025, and 19.7% for the quarter ended September 30, 2025.

Capitalization and Liquidity

The Company’s loan to deposit ratio was 84.9% and the loan to asset ratio was 67.0% at September 30, 2026. The Company maintained investment securities totaling 21.9% of assets as of the same date. The Company’s deposit mix is weighted heavily toward checking and savings accounts, which fund 60.0% of assets at September 30, 2026. Time deposits funded 19.0% of assets at September 30, 2026, with only 14.6% of time deposits having balances of more than $250,000, reflecting the core retail orientation of the Company.

City Holding Company is the parent company of City National Bank of West Virginia (“City National”). City National has borrowing facilities with the Federal Reserve Bank and the Federal Home Loan Bank that can be accessed as necessary to fund operations and to provide contingency funding. These borrowing facilities are collateralized by various loans held on City National’s balance sheet. As of September 30, 2026, City National had the capacity to borrow an additional $1.8 billion from these existing borrowing facilities. In addition, approximately $688 million of City National’s investment securities were pledged to collateralize customer repurchase agreements and various deposit accounts, leaving approximately $801 million of City National’s investment securities unpledged at September 30, 2026.

The Company continues to be strongly capitalized with tangible equity of $625 million at September 30, 2026. Due primarily to unrealized security losses during the nine months ended September 30, 2026, the Company’s tangible equity ratio declined from 9.9% at December 31, 2025, to 9.4% at September 30, 2026. However, unrealized security losses are not incorporated into measures of regulatory capital. At September 30, 2026, City National’s Leverage Ratio was 10.2%, its Common Equity Tier I ratio was 15.5%, its Tier I Capital ratio was 15.5%, and its Total Risk-Based Capital ratio was 15.9%. These regulatory capital ratios are significantly above levels required to be considered “well capitalized,” which is the highest possible regulatory designation.

On September 30, 2026, the Board of Directors of the Company approved a quarterly cash dividend of $1.00 per share, payable October 30, 2026, to shareholders of record as of October 15, 2026. This represents a 15% increase from the $0.87 per share dividend paid on July 31, 2026. At September 30, 2026, City Holding Company had significant resources available to repurchase shares with a cash balance of $74 million and dividends available from City National of approximately $120 million at September 30, 2026.

City National operates 95 branches across West Virginia, Kentucky, Virginia, and Ohio.

Forward-Looking Information

This news release contains certain forward-looking statements that are included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements express only management’s beliefs regarding future results or events and are subject to inherent uncertainty, risks, and changes in circumstances, many of which are outside of management’s control. Uncertainty, risks, changes in circumstances and other factors could cause the Company’s actual results to differ materially from those projected in the forward-looking statements. Factors that could cause actual results to differ from those discussed in such forward-looking statements include, but are not limited to those set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, under “ITEM 1A Risk Factors” and the following: (1) general economic conditions, especially in the communities and markets in which we conduct our business; (2) credit risk, including risk that negative credit quality trends may lead to a deterioration of asset quality, risk that our allowance for credit losses may not be sufficient to absorb actual losses in our loan portfolio, and risk from concentrations in our loan portfolio; (3) changes in the real estate market, including the value of collateral securing portions of our loan portfolio; (4) changes in the interest rate environment; (5) operational risk, including cybersecurity risk and risk of fraud, data processing system failures, and network breaches; (6) changes in technology and increased competition, including competition from non-bank financial institutions or financial technology companies; (7) changes in consumer preferences, spending and borrowing habits, demand for our products and services, and customers’ performance and creditworthiness; (8) difficulty growing loan and deposit balances; (9) our ability to effectively execute our business plan, including with respect to future acquisitions; (10) changes in regulations, laws, taxes, government policies, monetary policies and accounting policies affecting bank holding companies and their subsidiaries; (11) deterioration in the financial condition of the U.S. banking system may impact the valuations of investments the Company has made in the securities of other financial institutions; (12) regulatory enforcement actions and adverse legal actions; (13) difficulty attracting and retaining key employees; and (14) other economic, competitive, technological, operational, governmental, regulatory, and market factors affecting our operations. Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist stockholders and potential investors in understanding current and anticipated financial operations of the Company and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made. Further, the Company is required to evaluate subsequent events through the filing of its September 30, 2026, Form 10-Q. The Company will continue to evaluate the impact of any subsequent events on the preliminary September 30, 2026, results and will adjust the amounts if necessary.

CITY HOLDING COMPANY AND SUBSIDIARIES
Financial Highlights
(Unaudited)
	Three Months Ended															Nine Months Ended
	September 30, 2026			June 30, 2026			March 31, 2026			December 31, 2025			September 30, 2025			September 30, 2026			September 30, 2025
Earnings
Net Interest Income (fully taxable equivalent)	$	62,870		$	61,034		$	59,890		$	60,825		$	61,294		$	183,794		$	176,416
Net Income available to common shareholders		34,609			33,298			31,735			31,568			35,188			99,642			98,917
Per Share Data
Earnings per share available to common shareholders:
Basic	$	2.44		$	2.35		$	2.20		$	2.18		$	2.41		$	6.99		$	6.76
Diluted		2.43			2.35			2.20			2.18			2.41			6.98			6.75
Weighted average number of shares (in thousands):
Basic		14,027			14,046			14,270			14,359			14,457			14,109			14,512
Diluted		14,049			14,062			14,274			14,366			14,463			14,128			14,521
Period-end number of shares (in thousands)		14,076			14,052			14,111			14,354			14,495			14,076			14,495
Cash dividends declared	$	1.00		$	0.87		$	0.87		$	0.87		$	0.87		$	2.74		$	2.45
Book value per share (period-end)	$	55.53		$	57.57		$	56.29		$	56.41		$	55.12		$	55.53		$	55.12
Tangible book value per share (period-end)		44.42			46.40			45.14			45.41			44.19			44.42			44.19
Market data:
High closing price	$	147.98		$	134.02		$	127.84		$	126.71		$	133.58		$	147.98		$	133.58
Low closing price		130.95			120.48			116.62			117.04			118.89			116.62			108.93
Period-end closing price		139.12			132.64			119.52			119.20			123.87			139.12			123.87
Average daily volume (in thousands)		124			116			111			90			112			117			84
Treasury share activity:
Treasury shares repurchased (in thousands)		-			59			262			141			-			321			255
Average treasury share repurchase price	$	-		$	122.46		$	117.79		$	119.12		$	-		$	118.65		$	113.09
Key Ratios (percent)
Return on average assets		2.03	%		1.98	%		1.92	%		1.86	%		2.11	%		1.98	%		2.01	%
Return on average tangible equity		20.9	%		20.7	%		19.3	%		19.2	%		22.5	%		20.3	%		22.0	%
Yield on interest earning assets		5.29	%		5.24	%		5.24	%		5.29	%		5.43	%		5.26	%		5.38	%
Cost of interest bearing liabilities		1.73	%		1.75	%		1.76	%		1.87	%		1.91	%		1.75	%		1.96	%
Net Interest Margin		4.04	%		3.97	%		3.97	%		3.94	%		4.04	%		4.00	%		3.95	%
Non-interest income as a percent of total revenue		25.4	%		25.4	%		24.8	%		24.9	%		24.7	%		25.4	%		25.1	%
Efficiency Ratio		48.0	%		48.1	%		48.9	%		48.2	%		46.0	%		48.4	%		48.3	%
Price/Earnings Ratio (a)		14.28			14.09			13.56			13.68			12.84			14.92			13.75
Capital (period-end)
Average Shareholders' Equity to Average Assets		12.03	%		11.87	%		12.32	%		12.04	%		11.81	%
Tangible equity to tangible assets		9.43	%		9.85	%		9.65	%		9.93	%		9.84	%
Consolidated City Holding Company risk based capital ratios (b):
CET I		17.14	%		17.06	%		16.87	%		16.94	%		17.19	%
Tier I		17.14	%		17.06	%		16.87	%		16.94	%		17.19	%
Total		17.60	%		17.53	%		17.33	%		17.40	%		17.66	%
Leverage		11.26	%		10.97	%		10.86	%		10.96	%		11.06	%
City National Bank risk based capital ratios (b):
CET I		15.47	%		15.01	%		14.35	%		13.42	%		15.83	%
Tier I		15.47	%		15.01	%		14.35	%		13.42	%		15.83	%
Total		15.93	%		15.48	%		14.81	%		13.88	%		16.30	%
Leverage		10.16	%		9.65	%		9.23	%		8.68	%		10.18	%
Other (period-end)
Branches		95			95			96			96			96
FTE		926			924			928			934			934
Assets per FTE (in thousands)	$	7,332		$	7,333		$	7,284		$	7,201		$	7,138
Deposits per FTE (in thousands)		5,789			5,781			5,757			5,679			5,629
(a) The price/earnings ratio is computed based on annualized quarterly earnings.
(b) September 30, 2026 risk-based capital ratios are estimated.

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Statements of Income
(Unaudited) ($ in 000s, except per share data)
	Three Months Ended													Nine Months Ended
	September 30, 2026			June 30, 2026		March 31, 2026		December 31, 2025			September 30, 2025			September 30, 2026		September 30, 2025
Interest Income
Interest and fees on loans	$	66,155		$	64,584	$	63,671	$	64,376		$	64,606		$	194,410	$	188,111
Interest on investment securities:
Taxable		13,516			12,920		13,129		14,657			15,947			39,565		45,239
Tax-exempt		1,005			1,031		1,027		1,014			708			3,063		2,144
Interest on deposits in depository institutions		1,241			1,676		942		1,400			829			3,859		4,275
Total Interest Income		81,917			80,211		78,769		81,447			82,090			240,897		239,769
Interest Expense
Interest on deposits		14,993			14,924		14,756		15,811			16,201			44,673		49,545
Interest on customer repurchase agreements		2,734			2,959		2,844		3,493			3,196			8,537		9,672
Interest on FHLB advances		1,585			1,569		1,552		1,586			1,586			4,706		4,706
Total Interest Expense		19,312			19,452		19,152		20,890			20,983			57,916		63,923
Net Interest Income		62,605			60,759		59,617		60,557			61,107			182,981		175,846
(Recovery of) Provision for credit losses		(108	)		436		613		1,117			(528	)		941		(2,315	)
Net Interest Income After (Recovery of) Provision for Credit Losses		62,713			60,323		59,004		59,440			61,635			182,040		178,161
Non-Interest Income
Net gains on sale of investment securities		-			-		-		-			37			-		187
Unrealized gains (losses) recognized on equity securities still held		78			58		7		(416	)		96			143		(172	)
Service charges		8,715			7,947		7,761		8,057			8,221			24,423		23,284
Bankcard revenue		7,425			7,548		6,889		7,291			7,324			21,862		21,364
Wealth and investment management fee income		3,398			3,451		3,317		3,352			3,075			10,166		8,993
Bank owned life insurance		969			886		979		864			919			2,834		3,014
Other income		846			874		1,047		834			851			2,767		2,474
Total Non-Interest Income		21,431			20,764		20,000		19,982			20,523			62,195		59,144
Non-Interest Expense
Salaries and employee benefits		20,920			20,455		20,183		20,198			19,779			61,558		58,968
Occupancy related expense		2,530			2,428		2,632		2,316			2,340			7,590		7,238
Equipment and software related expense		3,620			3,746		3,665		3,812			3,618			11,031		10,642
Bankcard expenses		2,380			2,147		2,118		2,376			2,191			6,645		6,609
Other tax-related matters		2,313			2,438		2,681		2,312			2,104			7,432		6,693
Advertising		1,070			1,016		884		577			668			2,970		2,505
FDIC insurance expense		777			772		805		756			761			2,354		2,293
Legal and professional fees		538			612		553		552			549			1,703		1,782
Other expenses		6,769			6,153		6,221		6,982			6,302			19,143		18,651
Total Non-Interest Expense		40,917			39,767		39,742		39,881			38,312			120,426		115,381
Income Before Income Taxes		43,227			41,320		39,262		39,541			43,846			123,809		121,924
Income tax expense		8,618			8,022		7,527		7,973			8,658			24,167		23,007
Net Income Available to Common Shareholders	$	34,609		$	33,298	$	31,735	$	31,568		$	35,188		$	99,642	$	98,917
Distributed earnings allocated to common shareholders	$	13,938		$	12,125	$	12,166	$	12,372		$	12,495		$	38,188	$	35,186
Undistributed earnings allocated to common shareholders		20,224			20,931		19,284		18,903			22,370			60,480		62,867
Net earnings allocated to common shareholders	$	34,162		$	33,056	$	31,450	$	31,275		$	34,865		$	98,668	$	98,053
Average common shares outstanding		14,027			14,046		14,270		14,359			14,457			14,109		14,512
Shares for diluted earnings per share		14,049			14,062		14,274		14,366			14,463			14,128		14,521
Basic earnings per common share	$	2.44		$	2.35	$	2.20	$	2.18		$	2.41		$	6.99	$	6.76
Diluted earnings per common share	$	2.43		$	2.35	$	2.20	$	2.18		$	2.41		$	6.98	$	6.75

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Balance Sheets
($ in 000s)
	(Unaudited)			(Unaudited)			(Unaudited)						(Unaudited)
	September 30, 2026			June 30, 2026			March 31, 2026			December 31, 2025			September 30, 2025
Assets
Cash and due from banks	$	128,273		$	141,519		$	135,816		$	152,111		$	129,665
Interest-bearing deposits in depository institutions		73,106			125,683			163,201			39,808			95,929
Cash and cash equivalents		201,379			267,202			299,017			191,919			225,594
Investment securities available-for-sale, at fair value		1,459,623			1,476,725			1,441,098			1,503,358			1,510,772
Other securities		29,845			29,755			29,462			29,474			29,878
Total investment securities		1,489,468			1,506,480			1,470,560			1,532,832			1,540,650
Gross loans		4,550,140			4,501,774			4,491,592			4,503,331			4,408,230
Allowance for credit losses		(19,624	)		(19,839	)		(19,195	)		(19,329	)		(19,057	)
Net loans		4,530,516			4,481,935			4,472,397			4,484,002			4,389,173
Bank owned life insurance		126,829			125,860			124,976			124,370			123,506
Premises and equipment, net		67,046			67,190			68,740			69,133			69,539
Accrued interest receivable		22,955			21,300			21,645			20,718			21,890
Deferred taxes assets, net		46,891			31,603			31,652			30,005			32,159
Goodwill and intangible assets, net		156,407			156,895			157,383			157,871			158,414
Other assets		144,760			115,530			113,899			111,168			106,707
Total Assets	$	6,786,251		$	6,773,995		$	6,760,269		$	6,722,018		$	6,667,632
Liabilities
Deposits:
Noninterest-bearing	$	1,455,426		$	1,421,693		$	1,410,861		$	1,413,621		$	1,377,313
Interest-bearing:
Demand deposits		1,322,389			1,321,556			1,345,723			1,339,435			1,338,872
Savings deposits		1,294,202			1,288,260			1,276,884			1,244,571			1,238,832
Time deposits		1,286,123			1,308,641			1,310,136			1,303,361			1,302,575
Total deposits		5,358,140			5,340,150			5,343,604			5,300,988			5,257,592
Customer repurchase agreements		367,385			377,551			374,825			367,674			369,012
FHLB advances		150,000			150,000			150,000			150,000			150,000
Other liabilities		129,112			97,345			97,450			93,676			92,085
Total Liabilities		6,004,637			5,965,046			5,965,879			5,912,338			5,868,689
Stockholders' Equity
Preferred stock		-			-			-			-			-
Common stock		47,619			47,619			47,619			47,619			47,619
Capital surplus		172,904			174,805			173,130			174,598			173,733
Retained earnings		995,956			975,454			954,407			935,046			915,971
Treasury Stock		(303,830	)		(306,813	)		(299,503	)		(270,967	)		(254,153	)
Accumulated other comprehensive loss:
Unrealized loss on securities available-for-sale		(130,649	)		(81,241	)		(80,388	)		(75,741	)		(82,785	)
Underfunded pension liability		(386	)		(875	)		(875	)		(875	)		(1,442	)
Total Accumulated Other Comprehensive Loss		(131,035	)		(82,116	)		(81,263	)		(76,616	)		(84,227	)
Total Stockholders' Equity		781,614			808,949			794,390			809,680			798,943
Total Liabilities and Stockholders' Equity	$	6,786,251		$	6,773,995		$	6,760,269		$	6,722,018		$	6,667,632
Regulatory Capital
Total CET 1 capital	$	758,756		$	736,703		$	720,535		$	730,453		$	726,739
Total tier 1 capital		758,756			736,703			720,535			730,453			726,739
Total risk-based capital		779,017			757,074			740,252			750,319			746,422
Total risk-weighted assets		4,426,072			4,318,183			4,270,400			4,312,112			4,226,712

CITY HOLDING COMPANY AND SUBSIDIARIES
Loan Portfolio
(Unaudited) ($ in 000s)
	September 30, 2026		June 30, 2026		March 31, 2026		December 31, 2025		September 30, 2025
Commercial and industrial	$	474,251	$	454,122	$	441,617	$	453,975	$	426,654
1-4 Family		226,367		223,301		221,165		210,232		204,280
Hotels		403,794		396,079		395,857		398,608		397,338
Multi-family		230,172		231,946		227,687		237,424		233,678
Non Residential Non-Owner Occupied		772,072		765,358		772,778		767,580		728,625
Non Residential Owner Occupied		250,683		253,471		251,382		253,398		239,058
Commercial real estate ^(1)		1,883,088		1,870,155		1,868,869		1,867,242		1,802,979
Residential real estate ^(2)		1,915,322		1,906,534		1,913,389		1,910,060		1,909,791
Home equity		239,264		231,057		224,723		224,701		218,750
Consumer		38,215		39,906		42,994		47,353		50,056
Gross Loans	$	4,550,140	$	4,501,774	$	4,491,592	$	4,503,331	$	4,408,230
Construction loans included in:
^(1) - Commercial real estate loans	$	46,948	$	43,363	$	39,519	$	35,781	$	31,892
^(2) - Residential real estate loans		12,753		11,144		9,612		9,907		6,785

CITY HOLDING COMPANY AND SUBSIDIARIES
Asset Quality Information
(Unaudited) ($ in 000s)
	Three Months Ended															Nine Months Ended
	September 30, 2026			June 30, 2026			March 31, 2026			December 31, 2025			September 30, 2025			September 30, 2026			September 30, 2025
Allowance for Credit Losses
Balance at beginning of period	$	19,839		$	19,195		$	19,329		$	19,057		$	19,101		$	19,329		$	21,133
Charge-offs:
Commercial and industrial		(2	)		(115	)		(4	)		-			(7	)		(121	)		(37	)
Commercial real estate		-			(1	)		(856	)		(27	)		(2	)		(857	)		(222	)
Residential real estate		(186	)		(147	)		(134	)		(181	)		(160	)		(467	)		(209	)
Home equity		(74	)		(46	)		(62	)		(102	)		(55	)		(182	)		(153	)
Consumer		(34	)		(97	)		(71	)		(36	)		(9	)		(202	)		(174	)
Total charge-offs		(296	)		(406	)		(1,127	)		(346	)		(233	)		(1,829	)		(795	)
Recoveries:
Commercial and industrial		5			70			5			(347	)		400			80			452
Commercial real estate		6			443			235			(144	)		202			684			283
Residential real estate		103			9			30			(29	)		35			142			85
Home equity		26			72			90			17			64			188			164
Consumer		49			20			20			4			16			89			50
Total recoveries		189			614			380			(499	)		717			1,183			1,034
Net (charge-offs) recoveries		(107	)		208			(747	)		(845	)		484			(646	)		239
(Recovery of) Provision for credit losses		(108	)		436			613			1,117			(528	)		941			(2,315	)
Balance at end of period	$	19,624		$	19,839		$	19,195		$	19,329		$	19,057		$	19,624		$	19,057
Loans outstanding	$	4,550,140		$	4,501,774		$	4,491,592		$	4,503,331		$	4,408,230
Allowance as a percent of loans outstanding		0.43	%		0.44	%		0.43	%		0.43	%		0.43	%
Allowance as a percent of non-performing loans		183.2	%		196.4	%		167.1	%		138.9	%		138.2	%
Average loans outstanding	$	4,533,120		$	4,497,044		$	4,491,591		$	4,431,079		$	4,373,773		$	4,507,404		$	4,322,888
Net charge-offs (recoveries) (annualized) as a percent of average loans outstanding		0.01	%		(0.02	)%		0.07	%		0.08	%		(0.04	)%		0.02	%		(0.01	)%
CITY HOLDING COMPANY AND SUBSIDIARIES
Asset Quality Information, continued
(Unaudited) ($ in 000s)
	September 30, 2026			June 30, 2026			March 31, 2026			December 31, 2025			September 30, 2025
Nonaccrual Loans
Residential real estate	$	2,866		$	3,186		$	4,274		$	4,497		$	2,624
Home equity		250			132			313			308			498
Commercial and industrial		625			377			431			557			555
Commercial real estate		6,840			6,322			6,403			8,448			9,169
Consumer		-			-			2			-			-
Total nonaccrual loans		10,581			10,017			11,423			13,810			12,846
Accruing loans past due 90 days or more		132			82			64			109			946
Total non-performing loans		10,713			10,099			11,487			13,919			13,792
Other real estate owned		180			495			693			482			485
Total non-performing assets	$	10,893		$	10,594		$	12,180		$	14,401		$	14,277
Non-performing assets as a percent of loans and other real estate owned		0.24	%		0.24	%		0.27	%		0.32	%		0.32	%
Past Due Loans
Residential real estate	$	6,807		$	7,282		$	6,440		$	6,461		$	5,635
Home equity		643			711			840			772			651
Commercial and industrial		104			-			273			279			140
Commercial real estate		557			532			670			291			1,314
Consumer		181			119			267			308			221
Total past due loans	$	8,292		$	8,644		$	8,490		$	8,111		$	7,961
Total past due loans as a percent of loans outstanding		0.18	%		0.19	%		0.19	%		0.18	%		0.18	%

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Average Balance Sheets, Yields, and Rates
(Unaudited) ($ in 000s)
	Three Months Ended
	September 30, 2026								June 30, 2026								September 30, 2025
	Average						Yield/		Average						Yield/		Average					Yield/
	Balance			Interest			Rate		Balance			Interest			Rate		Balance			Interest		Rate
Assets:
Loan portfolio ^(1):
Residential real estate ^(2)	$	2,152,553		$	29,290		5.40	%	$	2,138,621		$	28,665		5.38	%	$	2,106,823		$	28,235	5.32	%
Commercial, financial, and agriculture ^(2)		2,341,437			36,047		6.11	%		2,316,904			35,138		6.08	%		2,215,319			35,443	6.35	%
Installment loans to individuals ^(2)		39,130			818		8.29	%		41,519			781		7.54	%		51,631			928	7.13	%
Total loans		4,533,120			66,155		5.79	%		4,497,044			64,584		5.76	%		4,373,773			64,606	5.86	%
Securities:
Taxable		1,350,579			13,516		3.97	%		1,325,318			12,920		3.91	%		1,435,540			15,947	4.41	%
Tax-exempt ^(3)		152,428			1,272		3.31	%		157,007			1,305		3.33	%		127,878			895	2.78	%
Total securities		1,503,007			14,788		3.90	%		1,482,325			14,225		3.85	%		1,563,418			16,842	4.27	%
Deposits in depository institutions		132,416			1,241		3.72	%		181,432			1,676		3.71	%		74,918			829	4.39	%
Total interest-earning assets		6,168,543			82,184		5.29	%		6,160,801			80,485		5.24	%		6,012,109			82,277	5.43	%
Cash and due from banks		103,504								105,656								96,097
Premises and equipment, net		67,280								68,421								69,355
Goodwill and intangible assets, net		156,594								157,083								158,619
Other assets		297,167								289,904								286,950
Less: Allowance for credit losses		(20,076	)							(19,797	)							(19,497	)
Total assets	$	6,773,012							$	6,762,068							$	6,603,633
Liabilities:
Interest-bearing demand deposits	$	1,321,170		$	2,958		0.89	%	$	1,324,095		$	2,784		0.84	%	$	1,329,234		$	3,378	1.01	%
Savings deposits		1,293,386			2,561		0.79	%		1,282,409			2,456		0.77	%		1,241,494			2,348	0.75	%
Time deposits ^(2)		1,300,452			9,476		2.89	%		1,309,954			9,683		2.96	%		1,295,424			10,475	3.21	%
Customer repurchase agreements		360,377			2,734		3.01	%		392,974			2,959		3.02	%		343,903			3,196	3.69	%
FHLB advances		150,000			1,585		4.19	%		150,000			1,569		4.20	%		150,000			1,586	4.19	%
Total interest-bearing liabilities		4,425,385			19,314		1.73	%		4,459,432			19,451		1.75	%		4,360,055			20,983	1.91	%
Noninterest-bearing demand deposits		1,438,438								1,410,471								1,374,486
Other liabilities		94,127								89,801								89,456
Stockholders' equity		815,062								802,364								779,636
Total liabilities and
Stockholders' equity	$	6,773,012							$	6,762,068							$	6,603,633
Net interest income				$	62,870							$	61,034							$	61,294
Net yield on earning assets							4.04	%							3.97	%						4.04	%
(1)For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income:
Loan fees, net				$	(78	)						$	(106	)						$	39
(2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions:
Residential real estate				$	65							$	46							$	166
Commercial, financial, and agriculture					435								529								535
Installment loans to individuals					3								1								2
Time deposits					2								2								3
				$	505							$	578							$	706
(3) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%.

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Average Balance Sheets, Yields, and Rates
(Unaudited) ($ in 000s)
	Nine Months Ended
	September 30, 2026								September 30, 2025
	Average						Yield/		Average					Yield/
	Balance			Interest			Rate		Balance			Interest		Rate
Assets:
Loan portfolio ^(1):
Residential real estate ^(2)	$	2,145,391		$	86,264		5.38	%	$	2,068,502		$	81,373	5.26	%
Commercial, financial, and agriculture ^(2)		2,320,141			105,742		6.09	%		2,200,471			103,959	6.32	%
Installment loans to individuals ^(2)		41,872			2,404		7.68	%		53,915			2,779	6.89	%
Total loans		4,507,404			194,410		5.77	%		4,322,888			188,111	5.82	%
Securities:
Taxable		1,344,555			39,565		3.93	%		1,390,756			45,239	4.35	%
Tax-exempt ^(3)		156,398			3,877		3.31	%		130,179			2,714	2.79	%
Total securities		1,500,953			43,442		3.87	%		1,520,935			47,953	4.22	%
Deposits in depository institutions		139,173			3,859		3.71	%		128,556			4,275	4.45	%
Total interest-earning assets		6,147,530			241,711		5.26	%		5,972,379			240,339	5.38	%
Cash and due from banks		101,874								96,370
Premises and equipment, net		68,206								69,721
Goodwill and intangible assets, net		157,094								159,162
Other assets		290,526								294,930
Less: Allowance for credit losses		(20,232	)							(20,805	)
Total assets	$	6,744,998							$	6,571,757
Liabilities:
Interest-bearing demand deposits	$	1,323,899		$	8,516		0.86	%	$	1,336,129		$	10,007	1.00	%
Savings deposits		1,276,586			7,359		0.77	%		1,242,141			6,921	0.74	%
Time deposits ^(2)		1,305,854			28,799		2.95	%		1,281,575			32,616	3.40	%
Customer repurchase agreements		373,915			8,537		3.05	%		345,735			9,672	3.74	%
FHLB advances		150,000			4,706		4.19	%		150,000			4,707	4.20	%
Total interest-bearing liabilities		4,430,254			57,917		1.75	%		4,355,580			63,923	1.96	%
Noninterest-bearing demand deposits		1,409,895								1,358,250
Other liabilities		90,661								97,024
Stockholders' equity		814,188								760,903
Total liabilities and
stockholders' equity	$	6,744,998							$	6,571,757
Net interest income				$	183,794							$	176,416
Net yield on earning assets							4.00	%						3.95	%
(1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income:
Loan fees, net				$	(131	)						$	246
(2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions:
Residential real estate				$	176							$	245
Commercial, financial, and agriculture					1,403								1,741
Installment loans to individuals					7								6
Time deposits					6								13
				$	1,592							$	2,005
(3) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%.

CITY HOLDING COMPANY AND SUBSIDIARIES
Non-GAAP Reconciliations
(Unaudited) ($ in 000s, except per share data)
	Three Months Ended															Nine Months Ended
	September 30, 2026			June 30, 2026			March 31, 2026			December 31, 2025			September 30, 2025			September 30, 2026		September 30, 2025
Net Interest Income/Margin
Net interest income ("GAAP")	$	62,605		$	60,759		$	59,617		$	60,557		$	61,107		$	182,981	$	175,846
Taxable equivalent adjustment		265			275			273			268			187			813		570
Net interest income, fully taxable equivalent	$	62,870		$	61,034		$	59,890		$	60,825		$	61,294		$	183,794	$	176,416
Tangible Equity Ratio (period end)
Equity to assets ("GAAP")		11.52	%		11.94	%		11.75	%		12.04	%		11.98	%
Effect of goodwill and other intangibles, net		(2.09	)%		(2.09	)%		(2.10	)%		(2.11	)%		(2.14	)%
Tangible common equity to tangible assets		9.43	%		9.85	%		9.65	%		9.93	%		9.84	%
Commercial Loan Information (period end)
Commercial Sector	Total			% of Total Loans			Average DSC			Average LTV
Natural Gas Extraction	$	63,211			1.39	%		3.60		NA
Natural Gas Distribution		18,130			0.40	%		3.08		NA
Masonry Contractors		18,460			0.41	%		1.04			100%
Sheet Metal Work Manufacturing		26,437			0.58	%		1.40			68%
Beer & Ale Merchant Wholesalers		24,590			0.54	%		1.59		NA
Gasoline Stations with Convenience Stores		44,987			0.99	%		2.02			65%
Lessors of Residential Buildings & Dwellings		511,898			11.27	%		1.56			66%
1-4 Family		193,595			4.26	%		1.82			63%
Multi-Family		205,768			4.53	%		1.76			68%
Lessors of Nonresidential Buildings		620,918			13.68	%		1.33			65%
Office Buildings		158,469			3.49	%		1.65			62%
Lessors of Mini-Warehouses & Self-Storage Units		54,735			1.21	%		1.44			64%
Assisted Living Facilities		24,773			0.55	%		1.58			41%
Hotels & Motels		404,188			8.90	%		1.75			58%
	Average Balance			Median Balance
Commercial, Financial, and Agriculture Loans	$	516		$	107
Commercial Real Estate Loans		582			137
CITY HOLDING COMPANY AND SUBSIDIARIES
Non-GAAP Reconciliations, continued
(Unaudited) ($ in 000s, except per share data)
Net Growth in DDA Accounts
Year	New DDA Accounts			Net Number of New Accounts			Percentage
2026		24,391			2,995			1.1	%
2025		31,427			3,548			1.3	%
2024		32,238			4,497			1.8	%
2023*		31,745			4,768			1.9	%
2022		28,442			4,544			1.9	%
2021		32,800			8,860			3.8	%
2020		30,360			6,740			3.0	%
2019		32,040			3,717			1.7	%
* - amounts exclude accounts added in connection with the acquisitions of Citizens Commerce Bancshares, Inc. (2023).