07/27/2021 | Press release | Distributed by Public on 07/27/2021 06:02

SIMMONS REPORTS SECOND QUARTER 2021 EARNINGS (Form 8-K)

SIMMONS REPORTS SECOND QUARTER 2021 EARNINGS

Board of Directors extends and increases authorization under share repurchase program

·	Net income of $74.9 million, up 27 percent from the year ago quarter and up 11 percent compared to the first quarter of 2021

·	Diluted EPS of $0.69, up 28 percent from the year ago quarter and up 11 percent compared to the first quarter of 2021

·	Adjusted pre-tax, pre-provision income of $74.6 million, up 2 percent from first quarter 2021 levels

·	Loan production totaled $1.8 billion during the first half of 2021, on pace to significantly exceed production volume for full-year of 2020

·	Total deposits of $18.3 billion, up $1.3 billion since year-end 2020 while deposits costs dropped 10 bps over the same period

·	Improved macroeconomic scenario models and sharp decline in nonperforming loans (down $34.6 million linked quarter) drive $13.0 million provision expense recapture in the quarter

·	Merger and acquisition activity resumes during the quarter with announced pending acquisitions of Tennessee-based Landmark Community Bank and Triumph Bancshares, Inc.

Pine Bluff, AR - Simmons First National Corporation (NASDAQ: SFNC) (the 'Company' or 'Simmons') today reported net income of $74.9 million for the second quarter of 2021 compared to net income of $58.8 million for the second quarter of 2020, an increase of $16.1 million, or 27 percent. Diluted earnings per share for the second quarter of 2021 were $0.69, an increase of $0.15, or 28 percent, compared to the same period in the prior year. Included in second quarter 2021 results were $524,000 in net after-tax merger-related and net branch right-sizing costs. Excluding the impact of these items, core earnings were $75.4 million for the second quarter of 2021, compared to $60.1 million for the second quarter of 2020, an increase of $15.3 million, or 25 percent. Core diluted earnings per share were $0.69, an increase of $0.14, or 25 percent, from the comparable period in 2020.

On a year-to-date basis, net income for the first half of 2021 was $142.3 million, or $1.31 diluted earnings per share, compared to $136.0 million, or $1.22 diluted earnings per share, for the first half of 2020. Excluding $2.9 million in net after-tax merger-related and net branch right-sizing costs and the after-tax gain primarily associated with the sale of branches in Illinois, core earnings for the first half of 2021 were $139.4 million, an increase of $5.4 million compared to the first half of last year. Core diluted earnings per share for the first half of 2021 were $1.28, an increase of $0.07, or 6 percent, from the comparable period of 2020.

'Overall we were very pleased with our results for the quarter as we delivered solid performance in multiple areas while continuing to navigate the challenging environment,' said George A, Makris, Jr., Simmons' chairman and CEO. 'While loan growth throughout the financial services industry continues to be hampered by the significant amounts of government stimulus in the economy that has resulted in sluggish loan demand and historically high levels of paydowns, Simmons generated $1.8 billion in loan originations and advances during the first half of 2021, putting us on pace to significantly exceed loan production volume reported for the full-year of 2020. Our commercial loan pipeline has increased for three consecutive quarters and we are cautiously optimistic that this trend is a positive sign going forward.'

'At the same time, asset quality metrics continued to improve as certain initially anticipated impacts of the COVID-19 pandemic on asset quality have thus far failed to materialize. As such, we recorded the recapture of $13.0 million of provision expense during the quarter while maintaining our nonperforming loan coverage ratio and an appropriate allowance to loan ratio that is reflective of the uncertainty in the economy and associated risk in our loan portfolio. As a result of our solid results in the quarter and our strong asset quality and capital positions, Simmons' board of directors extended and increased the authorization under our share repurchase program, thus increasing our remaining capacity under the program to approximately $150 million and extending the program's scheduled expiration to October 2022.'

Selected Highlights:	2nd Qtr 2021	1st Qtr 2021	2nd Qtr 2020
Net income	$74.9 million	$67.4 million	$58.8 million
Diluted earnings per share	$0.69	$0.62	$0.54
Return on avg assets	1.29%	1.20%	1.08%
Return on avg common equity	10.08%	9.20%	8.21%
Return on tangible common equity (1)	17.25%	15.85%	14.55%
Core earnings (2)	$75.4 million	$64.0 million	$60.1 million
Core diluted earnings per share (2)	$0.69	$0.59	$0.55
Core return on avg assets (2)	1.30%	1.14%	1.11%
Core return on avg common equity (2)	10.15%	8.73%	8.40%
Core return on tangible common equity (1)(2)	17.36%	15.08%	14.87%
Efficiency ratio (3)	56.93%	57.43%	51.13%
Adjusted pre-tax, pre-provision earnings (2)	$74.6 million	$73.1 million	$97.7 million

(1)	Return on tangible common equity excludes goodwill and other intangible assets and is a non-GAAP measurement. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

(2)

Core figures exclude non-core items and are non-GAAP measurements. Adjusted pre-tax, pre-provision earnings exclude provision for income taxes, provisions for credit losses and unfunded commitments, gains on sales of securities, and other pre-tax, non-core items, and is also a non-GAAP measurement. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

(3)

Efficiency ratio is core non-interest expense before foreclosed property expense and amortization of intangibles, as a percent of net interest income (fully taxable equivalent) and non-interest revenues, excluding gains and losses from securities transactions and non-core items, and is a non-GAAP measurement. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

Loans

($ in billions)	2nd Qtr 2021	1st Qtr 2021	2nd Qtr 2020
Total loans	$11.4	$12.2	$14.6

Total loans at the end of the second quarter of 2021 were $11.4 billion compared to $12.2 billion at the end of the first quarter of 2021 and $14.6 billion at the end of the second quarter of 2020. Total loan production (loan originations and advances) for the first half of 2021 totaled $1.8 billion. While loan originations and advances are outpacing prior year production, the decline in loan balances reflects the substantial government stimulus to support the economy during the COVID-19 pandemic which contributed to an increase in the level of loan paydowns, payoffs and corresponding sluggish loan demand throughout the financial services industry. The Company's balance of Paycheck Protection Program ('PPP') loans totaled $441.4 million at the end of the second quarter of 2021, down $463.3 million during the first half of 2021 as originations under PPP Round 2 have been offset by loan forgiveness.

Despite these headwinds, loan demand appears to be returning to more normalized levels. For the third consecutive quarter, the Company experienced an increase in its commercial loan demand. The Company's total commercial loan pipeline consisting of all loan opportunities was $1.3 billion compared to $674 million at December 31, 2020. Loans approved and ready to close at the end of the quarter totaled $467 million.

PPP Loans

($ in millions)	PPP Round 1	PPP Round 2	Total PPP Loans
Beginning balance, January 1, 2021	$904.7	$ -	$904.7
PPP loan originations	-	318.9	318.9
PPP loan forgiveness and repayments	(763.9)	(18.3)	(782.2)
Ending balance, June 30, 2021	$140.8	$300.6	$441.4

Deposits

($ in billions)	2nd Qtr 2021	1st Qtr 2021	2nd Qtr 2020
Total deposits	$18.3	$18.2	$16.6
Noninterest bearing deposits	$4.9	$4.9	$4.6
Interest bearing deposits	$10.6	$10.3	$9.0
Time deposits	$2.8	$3.0	$3.0

Total deposits at the end of the second quarter of 2021 were $18.3 billion, an increase of $1.7 billion or 10 percent from $16.6 billion at the end of the second quarter of 2020. The increase in total deposits from a year ago was driven by a $1.6 billion increase in interest bearing deposits (checking, savings and money market accounts) which totaled $10.6 billion at the end of the second quarter of 2021. Noninterest bearing deposits also contributed to the year-over-year growth in total deposits, increasing $285.9 million or 6 percent while time deposits declined $188.9 million or 6 percent during the same period.

Net Interest Income

	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Loan yield (1)	4.73%	4.75%	4.74%	4.54%	4.84%
Core loan yield (1) (2)	4.54%	4.53%	4.47%	4.29%	4.52%
Security yield (1)	1.97%	2.36%	2.48%	2.60%	2.50%
Cost of interest bearing deposits	0.32%	0.41%	0.47%	0.54%	0.59%
Cost of deposits (3)	0.24%	0.30%	0.34%	0.39%	0.44%
Cost of borrowed funds	1.97%	1.91%	1.88%	1.85%	1.84%
Net interest margin (1)	2.89%	2.99%	3.22%	3.21%	3.42%
Core net interest margin (1) (2)	2.78%	2.86%	3.04%	3.02%	3.18%

(1)	Fully tax equivalent using an effective tax rate of 26.135%.

(2)	Core loan yield and core net interest margin exclude accretion and are non-GAAP measurements. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

(3)	Includes non-interest bearing deposits.

Net interest income for the second quarter of 2021 totaled $146.5 million, compared to $146.7 million in the first quarter of 2021 and $163.7 million in the second quarter of 2020. Included in net interest income is accretion recognized on loans acquired totaling $5.6 million in the second quarter of 2021, $6.6 million in the first quarter of 2021 and $11.7 million in the second quarter of 2020. Excluding the impact of accretion, core net interest income for the second quarter of 2021 increased 1 percent on a linked quarter basis.

The decrease in net interest income from the year ago quarter reflects a lower average loan balance combined with an 11 basis point decrease in loan yields. To offset the expected pressure on net interest income given the current low interest rate environment, the Company has been diligent in its efforts to reduce deposits costs. As a result, cost of deposits for the second quarter of 2021 was 24 basis points, down 6 basis points on a linked quarter basis and 20 basis points compared to the second quarter of 2020.

While loan yields declined from the year ago quarter, on a linked quarter basis loan yields declined only 2 basis points. The core loan yield, which excludes accretion, for the second quarter of 2021 was 4.54 percent, up 1 basis point compared to the first quarter of 2021 and up 2 basis points compared to the second quarter a year ago. The yield on PPP loans was approximately 5.08 percent during the second quarter of 2021 (including accretion of net fees), which increased the overall loan yield by approximately 2 basis points.

The net interest margin on a fully taxable equivalent basis was 2.89 percent for the second quarter of 2021 compared to 2.99 percent for the first quarter of 2021 and 3.42 percent for the second quarter of 2020. Core net interest margin (excluding accretion on acquired loans) was 2.78 percent compared to 2.86 percent for the first quarter of 2021 and 3.18 percent for the second quarter of 2020. During the second quarter of 2021, the Company purchased $2.5 billion of investment securities. This included the strategic redeployment of excess liquidity through the purchase of variable rate investment securities totaling approximately $1.1 billion. Consequently, the duration of the investment securities portfolio shortened from 6.5 years at March 31, 2021 to 4.9 years at June 30, 2021.

Noninterest Income

Noninterest income for the second quarter of 2021 was $47.9 million compared to $50.3 million in the first quarter of 2021 and $48.8 million in the second quarter of 2020. Gains on the sale of investment securities totaled $5.1 million in the second quarter of 2021, $5.5 million in the first quarter of 2021 and $390,000 in the second quarter of 2020. Core noninterest income totaled $47.5 million in the second quarter of 2021 compared to $44.9 million in the first quarter of 2021 and $46.6 million in the second quarter of 2020. Core noninterest income excludes gains on the sale of branches which totaled $445,000 in the second quarter of 2021, $5.5 million in the first quarter of 2021 and $2.2 million in the second quarter of 2020.

Select Noninterest Income Items ($ in millions)	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Service charges on deposit accounts	$10.1	$9.7	$10.8	$10.4	$8.6
Trust income	$7.2	$6.7	$6.6	$6.7	$7.3
Mortgage lending income	$4.5	$6.4	$3.0	$14.0	$12.5
SBA lending income	$0.3	$0.2	$0.5	$0.3	$0.2
Debit and credit card fees (1)	$7.9	$7.4	$7.2	$7.2	$6.6
Gain on sale of securities	$5.1	$5.5	-	$22.3	$0.4
Other income	$8.1	$10.3	$10.6	$5.4	$9.8
Core other income (2)	$7.7	$4.8	$10.3	$5.0	$7.6

(1)	During the second quarter of 2021, certain debit and credit card transaction fees were reclassified from noninterest expense to noninterest income. Prior periods have been adjusted to reflect this reclassification.

(2)	Core figures exclude non-core items and are non-GAAP measurements. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

Noninterest Expense

Noninterest expense for the second quarter of 2021 totaled $115.5 million compared to $113.8 million for the first quarter of 2021 and $116.2 million for the second quarter of 2020. Included in noninterest expense are pre-tax, non-core items for merger-related expenses and branch right sizing costs. Excluding these items, core noninterest expense was $114.3 million for the second quarter of 2021, $112.9 million for the first quarter of 2021 and $112.1 million for the second quarter of 2020. Overall expenses were well contained, increasing 1 percent from first quarter 2021 levels both on a reported basis and on a core basis. The efficiency ratio for the second quarter of 2021 was 56.93 percent compared to 57.43 percent for the first quarter of 2021 and 51.13 percent for the second quarter of 2020. As part of its ongoing branch right sizing initiative, the Company announced plans to close 12 branches during the third quarter of 2021.

Select Noninterest Expense Items ($ in millions)	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Salaries and employee benefits	$60.3	$60.3	$55.8	$61.1	$57.6
Merger related costs	$0.7	$0.2	$0.7	$0.9	$1.8
Other operating expenses (1)	$38.0	$36.9	$52.8	$36.5	$38.2
Core salaries and employee benefits (2)	$60.3	$60.3	$55.6	$58.7	$57.2
Core merger related costs (2)	-	-	-	-	-
Core other operating expenses (2)	$37.9	$36.6	$42.6	$36.5	$36.6

(1)	During the second quarter of 2021, certain debit and credit card transaction fees were reclassified from noninterest expense to noninterest income. Prior periods have been adjusted to reflect this reclassification.

(2)	Core figures exclude non-core items and are non-GAAP measurements. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

Asset Quality

($ in millions)	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Allowance for credit losses on loans to total loans	2.00%	1.93%	1.85%	1.77%	1.59%
Allowance for credit losses on loans to nonperforming loans	281%	204%	193%	148%	176%
Nonperforming loans to total loans	0.71%	0.95%	0.96%	1.20%	0.90%
Net charge-off ratio (annualized)	(0.07%)	0.10%	0.52%	0.16%	1.04%
Net charge-off ratio YTD (annualized)	0.01%	0.10%	0.45%	0.43%	0.56%
Total nonperforming loans	$80.9	$115.5	$123.5	$167.9	$131.9
Total other nonperforming assets	$16.3	$12.4	$20.4	$14.6	$16.1

Asset quality metrics continued to show marked improvement during the quarter. Total nonperforming loans at the end of the quarter totaled $80.9 million, down $34.6 million compared to $115.5 million at the end of the first quarter of 2021 and down $50.9 million from the second quarter of 2020. Net charge-offs as a percentage of average total loans for the quarter were negative 7 basis points, reflecting $2.2 million of loan charge-offs completely offset by $4.3 million of recoveries. Provision for credit losses in the quarter was a credit of $13 million, including $10 million associated with the loan portfolio. The recapture of provision for credit losses reflected continued positive trends in asset quality metrics, combined with improved economic modeling scenarios. As a result, the allowance for credit losses at the end of the second quarter of 2021 totaled $227.2 million compared to $235.1 million at the end of the first quarter of 2021 and $231.6 million at the end of the second quarter of 2020. At the same time, the allowance to loan ratio rose 7 basis points to 2.00 percent compared to 1.93 percent at the end of the first quarter of 2021 and 1.59 percent at the end of the second quarter of 2020. The nonperforming loan coverage ratio remains strong at 281 percent compared to 204 percent at the end of the first quarter of 2021 and 176 percent at the end of the second quarter of 2020.

Foreclosed Assets and Other Real Estate Owned

At June 30, 2021, foreclosed assets and other real estate owned ('OREO') totaled $15.2 million compared to $11.2 million at the March 31, 2021 and $14.1 million at June 30, 2020. The increase on a linked quarter basis is primarily due to $4.4 million in closed bank branch facilities. A breakdown of the composition of foreclosed assets and OREO is provided in the table below:

($ in millions)	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Closed bank branches and branch sites	$4.4	$0.5	$0.6	$0.6	$2.7
Foreclosed assets - acquired	$6.7	$7.7	$15.3	$9.3	$9.2
Foreclosed assets - legacy	$4.1	$3.0	$2.5	$2.7	$2.2

Capital

	2nd Qtr 2021	1st Qtr 2021	4th Qtr 2020	3rd Qtr 2020	2nd Qtr 2020
Stockholders' equity to total assets	13.0%	12.6%	13.3%	13.7%	13.3%
Tangible common equity to tangible assets (1)	8.4%	7.9%	8.5%	8.7%	8.3%
Regulatory common equity tier 1 ratio	14.2%	14.1%	13.4%	12.6%	11.9%
Regulatory tier 1 leverage ratio	9.0%	9.0%	9.1%	9.1%	8.8%
Regulatory tier 1 risk-based capital ratio	14.2%	14.1%	13.4%	12.6%	11.9%
Regulatory total risk-based capital ratio	17.5%	17.5%	16.8%	15.8%	14.9%

(1)	Tangible common equity to tangible assets is a non-GAAP measurement. Please see 'Non-GAAP Financial Measures' and 'Reconciliation of Non-GAAP Financial Measures' below.

Total common stockholders' equity at the end of the quarter totaled $3.0 billion compared to $2.9 billion at the end of the first quarter of 2021 and the second quarter of 2020. Book value per share at the end of the quarter was $28.03 compared to $27.04 at the end of the first quarter of 2021 and $26.64 at the end of the second quarter of 2020. Tangible book value per share was $17.16, up $1.03 from $16.13 reported at the end of the first quarter of 2021 and up $1.37 from $15.79 reported at the end of the second quarter of 2020. The ratio of stockholders' equity to total assets at June 30, 2021 was 13.0 percent while tangible common equity to tangible total assets was 8.4 percent. All of the Company's regulatory capital ratios continue to exceed the requirements under 'well-capitalized' guidelines. The Company did not repurchase shares during the second quarter of 2021 primarily as a result of its merger and acquisition activity.

Share Repurchase Program

The Company's board of directors approved an amendment to the Company's stock repurchase program ('Program') that increases the amount of the Company's common stock that may be repurchased under the Program from a maximum of $180 million to a maximum of $276.5 million and extends the term of the Program from October 31, 2021, to October 31, 2022 (unless terminated sooner). The Program was originally approved on October 17, 2019 and amended in March 2020, and to date, the Company has repurchased approximately $126.5 million of its common stock under the Program.

The Program permits the Company to repurchase shares of its common stock through open market and privately negotiated transactions or otherwise. The timing, pricing, and amount of any repurchases under the Program will be determined by the Company's management at its discretion based on a variety of factors, including, but not limited to, trading volume and market price of the common stock, corporate considerations, the Company's working capital and investment requirements, general market and economic conditions, and legal requirements. The Program does not obligate the Company to repurchase any common stock and may be modified, discontinued, or suspended at any time without prior notice.

Simmons First National Corporation

Simmons First National Corporation (NASDAQ: SFNC) is an approximately $23.4 billion asset Mid-South based financial holding company whose principal subsidiary, Simmons Bank, operates 198 financial centers, including 68 in Arkansas, 48 in Missouri, 33 in Tennessee, 23 in Texas, 20 in Oklahoma and 6 in Kansas. Founded in 1903, Simmons Bank offers comprehensive financial solutions delivered with a client-centric approach. Simmons Bank was recently named to Forbes' list of 'World's Best Banks' for the second consecutive year and ranked among the top 30 banks in Forbes' list of 'America's Best Banks' for 2021. Additional information about Simmons and Simmons Bank can be found on our website at simmonsbank.com, by following @Simmons_Bank on Twitter or by visiting our newsroom.

Conference Call

Management will conduct a live conference call to review this information beginning at 9:00 a.m. CDT today, Tuesday, July 27, 2021. Interested persons can listen to this call by dialing toll-free 1-866-298-7926 (United States and Canada only) and asking for the Simmons First National Corporation conference call, conference ID 8482416. In addition, the call will be available live or in recorded version on the Company's website at simmonsbank.com for at least 60 days.

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles ('GAAP'). The Company's management uses these non-GAAP financial measures in their analysis of the Company's performance. These measures adjust GAAP performance measures to, among other things, include the tax benefit associated with revenue items that are tax-exempt, as well as exclude from income available to common shareholders, non-interest income, and non-interest expense certain income and expenses related to significant non-core activities, including merger-related expenses, gain on sale of branches, early retirement program expenses and net branch right-sizing expenses. In addition, the Company also presents certain figures based on tangible common stockholders' equity, tangible assets and tangible book value, which exclude goodwill and other intangible assets. The Company further presents certain figures that are exclusive of the impact of PPP loans. The Company's management believes that these non-GAAP financial measures are useful to investors because they, among other things, present the results of the Company's ongoing operations without the effect of mergers or other items not central to the Company's ongoing business, as well as normalize for tax effects. Management, therefore, believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses, and management uses these non-GAAP financial measures to assess the performance of the Company's core businesses as related to prior financial periods. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release.

Forward-Looking Statements

Some of the statements in this news release may not be based on historical facts and should be considered 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including, without limitation, statements made in Mr. Makris's quotes, may be identified by reference to future periods or by the use of forward-looking terminology, such as 'believe,' 'budget,' 'expect,' 'foresee,' 'anticipate,' 'intend,' 'indicate,' 'target,' 'estimate,' 'plan,' 'project,' 'continue,' 'contemplate,' 'positions,' 'prospects,' 'predict,' or 'potential,' by future conditional verbs such as 'will,' 'would,' 'should,' 'could,' 'might' or 'may,' or by variations of such words or by similar expressions. These forward-looking statements include, without limitation, statements relating to Simmons' future growth, lending capacity and lending activity, loan demand, revenue, assets, asset quality, profitability, net interest margin, non-interest revenue, share repurchase program, acquisition strategy, digital banking initiatives, the Company's ability to recruit and retain key employees, the benefits associated with the Company's early retirement program, branch closures and branch sales, the adequacy of the allowance for credit losses, the ability of the Company to manage the impact of the COVID-19 pandemic, and the impacts of the Company's and its customers participation in the PPP. Any forward-looking statement speaks only as of the date of this news release, and Simmons undertakes no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date of this news release. By nature, forward-looking statements are based on various assumptions and involve inherent risk and uncertainties. Various factors, including, but not limited to, changes in economic conditions, credit quality, interest rates, loan demand, deposit flows, real estate values, the assumptions used in making the forward-looking statements, the securities markets generally or the price of Simmons common stock specifically, and information technology affecting the financial industry; the effect of steps the Company takes and has taken in response to the COVID-19 pandemic; the severity and duration of the pandemic, including the effectiveness of vaccination efforts and developments with respect to COVID-19 variants; the pace of recovery when the pandemic subsides and the heightened impact it has on many of the risks described herein; the effects of the COVID-19 pandemic on, among other things, the Company's operations, liquidity, and credit quality; general economic and market conditions; unemployment; claims, damages, and fines related to litigation or government actions, including litigation or actions arising from the Company's participation in and administration of programs related to the COVID-19 pandemic (including, among other things, the PPP loan program authorized by the Coronavirus Aid, Relief and Economic Security Act); changes in accounting principles relating to loan loss recognition (current expected credit losses, or CECL); the Company's ability to manage and successfully integrate its mergers and acquisitions; cyber threats, attacks or events; reliance on third parties for key services; government legislation; and other factors, many of which are beyond the control of the Company, could cause actual results to differ materially from those contemplated by the forward-looking statements. Additional information on factors that might affect the Company's financial results is included in the Company's Form 10-K for the year ended December 31, 2020, which has been filed with, and is available from, the U.S. Securities and Exchange Commission.

Important Additional Information and Where to Find It

This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval with respect to the proposed transactions ('Proposed Transactions') with Landmark Community Bank ('Landmark') and Triumph Bancshares, Inc. ('Triumph'). No offer of securities shall be made except by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended, and no offer to sell or solicitation of an offer to buy shall be made in any jurisdiction in which such offer, solicitation or sale would be unlawful.

In connection with the Proposed Transactions, the Company has filed with the SEC a registration statement on Form S-4 (the 'Registration Statement') that includes proxy statements of each of Landmark and Triumph and a prospectus of the Company (the 'Joint Proxy Statement/Prospectus'), and the Company may file with the SEC other relevant documents concerning the Proposed Transactions. The definitive Joint Proxy Statement/Prospectus will be mailed to shareholders of Landmark and Triumph. SHAREHOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT AND THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTIONS CAREFULLY AND IN ITS ENTIRETY AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC BY THE COMPANY, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTIONS.

Free copies of the Joint Proxy Statement/Prospectus, as well as other filings containing information about the Company, may be obtained at the SEC's Internet site (http://www.sec.gov), when they are filed by the Company. You will also be able to obtain these documents, when they are filed, free of charge, from the Company at simmonsbank.com under the heading 'Investor Relations.' Copies of the Joint Proxy Statement/Prospectus can also be obtained, free of charge, by directing a request to Simmons First National Corporation, 501 Main Street, Pine Bluff, Arkansas 71601, Attention: Ed Bilek, Director of Investor Relations, Email: [email protected] or [email protected], Telephone: (870) 541-1000, to Triumph Bancshares, Inc., 5699 Poplar Avenue, Memphis, TN 38119, Attention: Will Chase, President, Telephone: (901) 333-8800, or to Landmark Community Bank, 1015 West Poplar Avenue, Collierville, TN 38017, Attention: Jake Farrell, Chairman, Telephone: (901) 850-0555.

Participants in the Solicitation

The Company, Landmark, Triumph and certain of their directors, executive officers and employees may be deemed to be participants in the solicitation of proxies from the shareholders of Landmark or Triumph in connection with the Proposed Transactions. Information about the Company's directors and executive officers is available in its proxy statement for its 2021 annual meeting of shareholders, which was filed with the SEC on April 15, 2021. Information regarding all of the persons who may, under the rules of the SEC, be deemed participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, are contained in the Joint Proxy Statement/Prospectus regarding the Proposed Transactions and other relevant materials to be filed with the SEC when they become available. Free copies of these documents may be obtained as described in the preceding paragraph.

####

FOR MORE INFORMATION CONTACT:

Ed Bilek

EVP, Director of Investor Relations

Simmons First National Corporation

[email protected]

Simmons First National Corporation										SFNC
Consolidated End of Period Balance Sheets
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
ASSETS
Cash and non-interest bearing balances due from banks		$	215,381			$	227,713			$	217,499			$	382,691			$	234,998
Interest bearing balances due from banks and federal funds sold			2,123,743				3,677,750				3,254,653				2,139,440				2,310,162
Cash and cash equivalents			2,339,124				3,905,463				3,472,152				2,522,131				2,545,160
Interest bearing balances due from banks - time			1,335				1,334				1,579				4,061				4,561
Investment securities - held-to-maturity			931,352				609,500				333,031				47,102				51,720
Investment securities - available-for-sale			6,556,581				4,528,348				3,473,598				2,607,288				2,496,896
Mortgage loans held for sale			36,011				63,655				137,378				192,729				120,034
Other assets held for sale			100				100				100				389				399
Loans:
Loans			11,386,352				12,195,873				12,900,897				14,017,442				14,606,900
Allowance for credit losses on loans			(227,239	)			(235,116	)			(238,050	)			(248,251	)			(231,643	)
Net loans			11,159,113				11,960,757				12,662,847				13,769,191				14,375,257
Premises and equipment			429,587				427,540				441,692				470,491				478,896
Premises held for sale			6,090				13,613				15,008				4,486				4,576
Foreclosed assets and other real estate owned			15,239				11,168				18,393				12,590				14,111
Interest receivable			67,916				71,359				72,597				77,352				79,772
Bank owned life insurance			419,198				257,152				255,630				257,718				256,643
Goodwill			1,075,305				1,075,305				1,075,305				1,075,305				1,064,765
Other intangible assets			103,759				107,091				111,110				114,460				117,823
Other assets			282,449				315,732				289,332				282,102				293,071
Total assets		$	23,423,159			$	23,348,117			$	22,359,752			$	21,437,395			$	21,903,684
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Non-interest bearing transaction accounts		$	4,893,959			$	4,884,667			$	4,482,091			$	4,451,385			$	4,608,098
Interest bearing transaction accounts and savings deposits			10,569,602				10,279,997				9,672,608				8,993,255				8,978,045
Time deposits			2,841,052				3,024,724				2,832,327				2,802,007				3,029,975
Total deposits			18,304,613				18,189,388				16,987,026				16,246,647				16,616,118
Federal funds purchased and securities sold under agreements to repurchase			187,215				323,053				299,111				313,694				387,025
Other borrowings			1,339,193				1,340,467				1,342,067				1,342,769				1,393,689
Subordinated notes and debentures			383,143				383,008				382,874				382,739				382,604
Other liabilities held for sale			-				-				154,620				-				-
Accrued interest and other liabilities			169,629				181,426				217,398				209,305				219,545
Total liabilities			20,383,793				20,417,342				19,383,096				18,495,154				18,998,981
Stockholders' equity:
Preferred stock			767				767				767				767				767
Common stock			1,084				1,083				1,081				1,090				1,090
Surplus			2,021,128				2,017,188				2,014,076				2,032,372				2,029,383
Undivided profits			1,004,314				948,913				901,006				866,503				819,153
Accumulated other comprehensive income (loss):
Unrealized (depreciation) accretion on AFS securities			12,073				(37,176	)			59,726				41,509				54,310
Total stockholders' equity			3,039,366				2,930,775				2,976,656				2,942,241				2,904,703
Total liabilities and stockholders' equity		$	23,423,159			$	23,348,117			$	22,359,752			$	21,437,395			$	21,903,684

Simmons First National Corporation										SFNC
Consolidated Statements of Income - Quarter-to-Date
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands, except per share data)
INTEREST INCOME
Loans (including fees)		$	138,804			$	146,424			$	160,115			$	163,180			$	176,910
Interest bearing balances due from banks and federal funds sold			651				798				716				623				603
Investment securities			27,128				21,573				17,207				14,910				13,473
Mortgage loans held for sale			386				639				1,070				1,012				668
TOTAL INTEREST INCOME			166,969				169,434				179,108				179,725				191,654
INTEREST EXPENSE
Time deposits			6,061				7,091				7,835				9,437				10,803
Other deposits			4,721				6,088				6,536				6,769				7,203
Federal funds purchased and securities sold under agreements to repurchase		192				245				284				335				337
Other borrowings			4,897				4,802				4,869				4,943				4,963
Subordinated notes and debentures			4,565				4,527				4,624				4,631				4,667
TOTAL INTEREST EXPENSE			20,436				22,753				24,148				26,115				27,973
NET INTEREST INCOME			146,533				146,681				154,960				153,610				163,681
Provision for credit losses			(12,951	)			1,445				6,943				22,981				21,915
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES			159,484				145,236				148,017				130,629				141,766
NON-INTEREST INCOME
Trust income			7,238				6,666				6,557				6,744				7,253
Service charges on deposit accounts			10,050				9,715				10,799				10,385				8,570
Other service charges and fees			2,048				1,922				1,783				1,764				1,489
Mortgage lending income			4,490				6,447				2,993				13,971				12,459
SBA lending income			287				240				484				304				245
Investment banking income			654				695				676				557				571
Debit and credit card fees			7,882				7,401				7,203				7,217				6,575
Bank owned life insurance income			2,038				1,523				1,481				1,591				1,445
Gain on sale of securities, net			5,127				5,471				16				22,305				390
Other income			8,110				10,260				10,557				5,380				9,809
TOTAL NON-INTEREST INCOME			47,924				50,340				42,549				70,218				48,806
NON-INTEREST EXPENSE
Salaries and employee benefits			60,261				60,340				55,762				61,144				57,644
Occupancy expense, net			9,103				9,300				9,182				9,647				9,217
Furniture and equipment expense			4,859				5,415				5,940				6,231				6,144
Other real estate and foreclosure expense			863				343				551				602				274
Deposit insurance			1,687				1,308				1,627				2,244				2,838
Merger-related costs			686				233				731				902				1,830
Other operating expenses			38,007				36,854				52,835				36,546				38,230
TOTAL NON-INTEREST EXPENSE			115,466				113,793				126,628				117,316				116,177
NET INCOME BEFORE INCOME TAXES			91,942				81,783				63,938				83,531				74,395
Provision for income taxes			17,018				14,363				10,970				17,633				15,593
NET INCOME			74,924				67,420				52,968				65,898				58,802
Preferred stock dividends			13				13				13				13				13
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
BASIC EARNINGS PER SHARE		$	0.69			$	0.62			$	0.49			$	0.60			$	0.54
DILUTED EARNINGS PER SHARE		$	0.69			$	0.62			$	0.49			$	0.60			$	0.54

Simmons First National Corporation								SFNC
Consolidated Risk-Based Capital
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Tier 1 capital
Stockholders' equity		$	3,039,366			$	2,930,775			$	2,976,656			$	2,942,241			$	2,904,703
CECL transition provision (1)			128,933				131,637				131,430				134,798				130,480
Disallowed intangible assets, net of deferred tax			(1,156,203	)			(1,159,720	)			(1,163,797	)			(1,167,357	)			(1,160,385	)
Unrealized loss (gain) on AFS securities			(12,073	)			37,176				(59,726	)			(41,509	)			(54,310	)
Total Tier 1 capital			2,000,023				1,939,868				1,884,563				1,868,173				1,820,488
Tier 2 capital
Trust preferred securities and subordinated debt			383,143				383,008				382,874				382,739				382,604
Qualifying allowance for loan losses and reserve for unfunded commitments			79,138				87,251				89,546				96,734				83,780
Total Tier 2 capital			462,281				470,259				472,420				479,473				466,384
Total risk-based capital		$	2,462,304			$	2,410,127			$	2,356,983			$	2,347,646			$	2,286,872
Risk weighted assets		$	14,076,975			$	13,771,244			$	14,048,608			$	14,878,932			$	15,362,175
Adjusted average assets for leverage ratio		$	22,244,118			$	21,668,406			$	20,765,127			$	20,652,454			$	20,742,824
Ratios at end of quarter
Equity to assets			12.98	%			12.55	%			13.31	%			13.72	%			13.26	%
Tangible common equity to tangible assets (2)			8.36	%			7.88	%			8.45	%			8.65	%			8.31	%
Common equity Tier 1 ratio (CET1)			14.20	%			14.08	%			13.41	%			12.55	%			11.85	%
Tier 1 leverage ratio			8.99	%			8.95	%			9.08	%			9.05	%			8.78	%
Tier 1 risk-based capital ratio			14.21	%			14.09	%			13.41	%			12.56	%			11.85	%
Total risk-based capital ratio			17.49	%			17.50	%			16.78	%			15.78	%			14.89	%

(1) The Company has elected to use the CECL transition provision allowed for in the year of adopting ASC 326.

(2) Calculations of tangible common equity to tangible assets and the reconciliations to GAAP are included in the schedules accompanying this release.

Simmons First National Corporation								SFNC
Consolidated Investment Securities
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Investment Securities - End of Period
Held-to-Maturity
U.S. Government agencies		$	77,396			$	77,396			$	-			$	-			$	-
Mortgage-backed securities			60,649				47,988				22,354				24,297				25,980
State and political subdivisions			793,307				484,116				310,109				21,930				24,777
Other securities			-				-				568				875				963
Total held-to-maturity (net of credit losses)			931,352				609,500				333,031				47,102				51,720
Available-for-Sale
U.S. Treasury		$	600			$	600			$	-			$	-			$	-
U.S. Government agencies			554,937				487,679				477,237				471,973				210,921
Mortgage-backed securities			3,987,209				2,133,086				1,394,936				903,687				1,154,086
State and political subdivisions			1,557,497				1,571,910				1,470,723				1,133,006				1,054,068
Other securities			456,338				335,073				130,702				98,622				77,821
Total available-for-sale (net of credit losses)			6,556,581				4,528,348				3,473,598				2,607,288				2,496,896
Total investment securities (net of credit losses)		$	7,487,933			$	5,137,848			$	3,806,629			$	2,654,390			$	2,548,616
Fair value - HTM investment securities		$	935,596			$	597,694			$	341,925			$	49,064			$	53,751
Investment Securities - QTD Average
Taxable securities		$	4,265,545			$	2,471,291			$	1,757,234			$	1,534,742			$	1,642,083
Tax exempt securities			2,157,076				1,919,919				1,528,127				1,155,099				866,944
Total investment securities - QTD average		$	6,422,621			$	4,391,210			$	3,285,361			$	2,689,841			$	2,509,027

Simmons First National Corporation								SFNC
Consolidated Loans
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Loan Portfolio - End of Period
Consumer
Credit cards		$	177,634			$	175,458			$	188,845			$	180,848			$	184,348
Other consumer			181,712				172,965				202,379				182,768				214,024
Total consumer			359,346				348,423				391,224				363,616				398,372
Real Estate
Construction			1,428,165				1,451,841				1,596,255				1,853,360				2,010,256
Single-family residential			1,608,028				1,730,056				1,880,673				1,997,070				2,207,087
Other commercial real estate			5,332,655				5,638,010				5,746,863				6,132,823				6,316,444
Total real estate			8,368,848				8,819,907				9,223,791				9,983,253				10,533,787
Commercial
Commercial			2,074,729				2,444,700				2,574,386				2,907,798				3,038,216
Agricultural			193,462				155,921				175,905				241,687				217,715
Total commercial			2,268,191				2,600,621				2,750,291				3,149,485				3,255,931
Other			389,967				426,922				535,591				521,088				418,810
Total Loans		$	11,386,352			$	12,195,873			$	12,900,897			$	14,017,442			$	14,606,900

Simmons First National Corporation								SFNC
Consolidated Allowance and Asset Quality
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Allowance for Credit Losses on Loans
Beginning balance, after adoption of ASC 326		$	235,116			$	238,050			$	248,251			$	231,641			$	243,195
Loans charged off
Credit cards			1,046				1,003				787				832				1,053
Other consumer			411				702				960				1,091				592
Real estate			439				1,687				10,415				1,153				1,824
Commercial			309				859				8,199				4,327				35,687
Total loans charged off			2,205				4,251				20,361				7,403				39,156
Recoveries of loans previously charged off
Credit cards			244				290				241				276				272
Other consumer			425				304				355				366				301
Real estate			1,523				403				431				120				253
Commercial			2,147				320				1,835				936				98
Total recoveries			4,339				1,317				2,862				1,698				924
Net loans charged off			(2,134	)			2,934				17,499				5,705				38,232
Provision for credit losses on loans			(10,011	)			-				7,298				22,315				26,678
Balance, end of quarter		$	227,239			$	235,116			$	238,050			$	248,251			$	231,641
Non-performing assets
Non-performing loans
Nonaccrual loans		$	80,282			$	114,856			$	122,879			$	167,713			$	131,383
Loans past due 90 days or more			653				635				578				174				494
Total non-performing loans			80,935				115,491				123,457				167,887				131,877
Other non-performing assets
Foreclosed assets and other real estate owned			15,239				11,168				18,393				12,590				14,111
Other non-performing assets			1,062				1,229				2,016				1,983				2,008
Total other non-performing assets			16,301				12,397				20,409				14,573				16,119
Total non-performing assets		$	97,236			$	127,888			$	143,866			$	182,460			$	147,996
Performing TDRs (troubled debt restructurings)		$	4,436			$	3,805			$	3,138			$	3,379			$	3,960
Ratios
Allowance for credit losses on loans to total loans			2.00	%			1.93	%			1.85	%			1.77	%			1.59	%
Allowance for credit losses to non-performing loans			281	%			204	%			193	%			148	%			176	%
Non-performing loans to total loans			0.71	%			0.95	%			0.96	%			1.20	%			0.90	%
Non-performing assets (including performing TDRs) to total assets			0.43	%			0.56	%			0.66	%			0.87	%			0.69	%
Non-performing assets to total assets			0.42	%			0.55	%			0.64	%			0.85	%			0.68	%
Annualized net charge offs to total loans			-0.07	%			0.10	%			0.52	%			0.16	%			1.04	%
Annualized net credit card charge offs to total credit card loans			1.78	%			1.39	%			1.15	%			1.20	%			1.67	%

Simmons First National Corporation																SFNC
Consolidated - Average Balance Sheet and Net Interest Income Analysis
For the Quarters Ended
(Unaudited)
		Three Months Ended Jun 2021		Three Months Ended Mar 2021		Three Months Ended Jun 2020
($ in thousands)		Average Balance		Income/ Expense		Yield/ Rate		Average Balance		Income/ Expense		Yield/ Rate		Average Balance		Income/ Expense		Yield/ Rate
ASSETS
Earning assets:
Interest bearing balances due from banks and federal funds sold		$	2,703,920			$	651				0.10	%		$	3,477,989			$	798				0.09	%		$	2,190,878			$	603				0.11	%
Investment securities - taxable			4,265,545				14,594				1.37	%			2,471,291				10,120				1.66	%			1,642,083				7,131				1.75	%
Investment securities - non-taxable (FTE)			2,157,076				16,899				3.14	%			1,919,919				15,439				3.26	%			866,944				8,434				3.91	%
Mortgage loans held for sale			49,262				386				3.14	%			97,409				639				2.66	%			86,264				668				3.11	%
Loans - including fees (FTE)			11,783,839				138,987				4.73	%			12,518,300				146,601				4.75	%			14,731,306				177,168				4.84	%
Total interest earning assets (FTE)			20,959,642				171,517				3.28	%			20,484,908				173,597				3.44	%			19,517,475				194,004				4.00	%
Non-earning assets			2,298,279												2,253,913												2,304,798
Total assets		$	23,257,921											$	22,738,821											$	21,822,273
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest bearing liabilities:
Interest bearing transaction and savings accounts		$	10,403,932			$	4,721				0.18	%		$	10,093,868			$	6,088				0.24	%		$	9,138,563			$	7,203				0.32	%
Time deposits			2,930,025				6,061				0.83	%			3,043,000				7,091				0.95	%			3,057,153				10,803				1.42	%
Total interest bearing deposits			13,333,957				10,782				0.32	%			13,136,868				13,179				0.41	%			12,195,716				18,006				0.59	%
Federal funds purchased and securities sold under agreement to repurchase			240,876				192				0.32	%			307,540				245				0.32	%			392,633				337				0.35	%
Other borrowings			1,340,008				4,897				1.47	%			1,341,059				4,802				1.45	%			1,395,109				4,963				1.43	%
Subordinated notes and debentures			383,078				4,565				4.78	%			382,943				4,527				4.79	%			387,422				4,667				4.84	%
Total interest bearing liabilities			15,297,919				20,436				0.54	%			15,168,410				22,753				0.61	%			14,370,880				27,973				0.78	%
Non-interest bearing liabilities:
Non-interest bearing deposits			4,826,927												4,419,136												4,354,781
Other liabilities			151,699												177,819												216,508
Total liabilities			20,276,545												19,765,365												18,942,169
Stockholders' equity			2,981,376												2,973,456												2,880,104
Total liabilities and stockholders' equity		$	23,257,921											$	22,738,821											$	21,822,273
Net interest income (FTE)						$	151,081											$	150,844											$	166,031
Net interest spread (FTE)											2.74	%											2.83	%											3.22	%
Net interest margin (FTE) - quarter-to-date											2.89	%											2.99	%											3.42	%
Net interest margin (FTE) - year-to-date											2.94	%											2.99	%											3.55	%
Core net interest margin (FTE) - quarter-to-date (1)											2.78	%											2.86	%											3.18	%
Core loan yield (FTE) - quarter-to-date (1)											4.54	%											4.53	%											4.52	%
Core net interest margin (FTE) - year-to-date (1)											2.82	%											2.86	%											3.30	%
Core loan yield (FTE) - year-to-date (1)											4.54	%											4.53	%											4.69	%

(1) Calculations of core net interest margin and core loan yield and the reconciliations to GAAP are included in the schedules accompanying this release.

Simmons First National Corporation								SFNC
Consolidated - Selected Financial Data
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands, except share data)
QUARTER-TO-DATE
Financial Highlights - GAAP
Net Income		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
Diluted earnings per share			0.69				0.62				0.49				0.60				0.54
Return on average assets			1.29	%			1.20	%			0.96	%			1.20	%			1.08	%
Return on average common equity			10.08	%			9.20	%			7.13	%			8.91	%			8.21	%
Return on tangible common equity			17.25	%			15.85	%			12.48	%			15.45	%			14.55	%
Net interest margin (FTE)			2.89	%			2.99	%			3.22	%			3.21	%			3.42	%
FTE adjustment			4,548				4,163				3,482				2,864				2,350
Amortization of intangibles			3,333				3,344				3,351				3,362				3,369
Amortization of intangibles, net of taxes			2,462				2,470				2,475				2,483				2,489
Average diluted shares outstanding			108,822,175				108,655,293				108,888,264				109,207,294				109,130,866
Shares repurchased under plan			-				130,916				1,034,364				-				-
Average price of shares repurchased			-				23.53				19.36				-				-
Cash dividends declared per common share			0.18				0.18				0.17				0.17				0.17
Financial Highlights - Core (non-GAAP)
Core earnings (excludes non-core items) (1)		$	75,435			$	63,995			$	61,977			$	68,338			$	60,147
Core diluted earnings per share (1)			0.69				0.59				0.57				0.63				0.55
Core net interest margin (FTE) (2)			2.78	%			2.86	%			3.04	%			3.02	%			3.18	%
Accretable yield on acquired loans			5,619				6,630				8,999				8,948				11,723
Efficiency ratio (1)			56.93	%			57.43	%			54.93	%			53.75	%			51.13	%
Core return on average assets (1)			1.30	%			1.14	%			1.13	%			1.25	%			1.11	%
Core return on average common equity (1)			10.15	%			8.73	%			8.34	%			9.24	%			8.40	%
Core return on tangible common equity (1)			17.36	%			15.08	%			14.51	%			16.00	%			14.87	%
YEAR-TO-DATE
Financial Highlights - GAAP
Net Income		$	142,318			$	67,407			$	254,852			$	201,897			$	136,012
Diluted earnings per share			1.31				0.62				2.31				1.83				1.22
Return on average assets			1.25	%			1.20	%			1.18	%			1.25	%			1.28	%
Return on average common equity			9.64	%			9.20	%			8.72	%			9.27	%			9.45	%
Return on tangible common equity			16.56	%			15.85	%			15.25	%			16.19	%			16.57	%
Net interest margin (FTE)			2.94	%			2.99	%			3.38	%			3.43	%			3.55	%
FTE adjustment			4,548				4,163				11,001				7,519				4,655
Amortization of intangibles			6,677				3,344				13,495				10,144				6,782
Amortization of intangibles, net of taxes			4,932				2,470				9,968				7,493				5,010
Average diluted shares outstanding			108,746,439				108,655,293				110,173,661				110,480,508				111,083,999
Cash dividends declared per common share			0.18				0.18				0.68				0.51				0.34
Financial Highlights - Core (non-GAAP)
Core earnings (excludes non-core items) (1)		$	139,430			$	63,995			$	264,300			$	202,323			$	133,985
Core diluted earnings per share (1)			1.28				0.59				2.40				1.83				1.21
Core net interest margin (FTE) (2)			2.82	%			2.86	%			3.16	%			3.20	%			3.30	%
Accretable yield on acquired loans			12,249				6,630				41,507				32,508				23,560
Efficiency ratio (1)			57.18	%			57.43	%			54.33	%			54.14	%			54.33	%
Core return on average assets (1)			1.22	%			1.14	%			1.22	%			1.26	%			1.26	%
Core return on average common equity (1)			9.45	%			8.73	%			9.05	%			9.29	%			9.31	%
Core return on tangible common equity (1)			16.23	%			15.08	%			15.79	%			16.22	%			16.33	%
END OF PERIOD
Book value per share		$	28.03			$	27.04			$	27.53			$	26.98			$	26.64
Tangible book value per share			17.16				16.13				16.56				16.07				15.79
Shares outstanding			108,386,669				108,345,732				108,077,662				109,023,781				108,994,389
Full-time equivalent employees			2,783				2,817				2,827				2,840				2,906
Total number of financial centers			198				198				204				226				226

(1) Core earnings exclude non-core items, which is a non-GAAP measurement. Reconciliations to GAAP are included in the schedules accompanying this release.

(2) Excludes accretable yield adjustment on loans, which is a non-GAAP measurement. Reconciliations to GAAP are included in the schedules accompanying this release.

Simmons First National Corporation								SFNC
Reconciliation Of Non-GAAP Financial Measures - Core Earnings - Quarter-to-Date
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands, except per share data)
QUARTER-TO-DATE
Net Income		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
Non-core items
Gain on sale of branches			(445	)			(5,477	)			(275	)			-				(2,204	)
Merger-related costs			686				233				731				902				1,830
Early retirement program			-				-				62				2,346				493
Branch right-sizing (net)			468				625				11,696				72				1,721
Tax effect (1)			(185	)			1,207				(3,192	)			(867	)			(482	)
Net non-core items			524				(3,412	)			9,022				2,453				1,358
Core earnings (non-GAAP)		$	75,435			$	63,995			$	61,977			$	68,338			$	60,147
Diluted earnings per share		$	0.69			$	0.62			$	0.49			$	0.60			$	0.54
Non-core items
Gain on sale of branches			(0.01	)			(0.05	)			-				-				(0.02	)
Merger-related costs			0.01				-				-				0.01				0.02
Early retirement program			-				-				-				0.02				-
Branch right-sizing (net)			-				0.01				0.11				-				0.02
Tax effect (1)			-				0.01				(0.03	)			-				(0.01	)
Net non-core items			-				(0.03	)			0.08				0.03				0.01
Core diluted earnings per share (non-GAAP)		$	0.69			$	0.59			$	0.57			$	0.63			$	0.55
(1) Effective tax rate of 26.135%.
Reconciliation of Selected Non-Core Non-Interest Income and Expense Items (non-GAAP)
QUARTER-TO-DATE
Other income		$	8,110			$	10,260			$	10,557			$	5,380			$	9,809
Non-core items (1)			(445	)			(5,477	)			(275	)			(370	)			(2,204	)
Core other income (non-GAAP)		$	7,665			$	4,783			$	10,282			$	5,010			$	7,605
Non-interest expense		$	115,466			$	113,793			$	126,628			$	117,316			$	116,177
Non-core items (1)			(1,154	)			(858	)			(12,489	)			(3,690	)			(4,044	)
Core non-interest expense (non-GAAP)		$	114,312			$	112,935			$	114,139			$	113,626			$	112,133
Salaries and employee benefits		$	60,261			$	60,340			$	55,762			$	61,144			$	57,644
Non-core items (1)			-				-				(144	)			(2,448	)			(493	)
Core salaries and employee benefits (non-GAAP)		$	60,261			$	60,340			$	55,618			$	58,696			$	57,151
Merger related costs		$	686			$	233			$	731			$	902			$	1,830
Non-core items (1)			(686	)			(233	)			(731	)			(902	)			(1,830	)
Core merger related costs (non-GAAP)		$	-			$	-			$	-			$	-			$	-
Other operating expenses		$	38,007			$	36,854			$	52,835			$	36,546			$	38,230
Non-core items (1)			(89	)			(208	)			(10,270	)			(11	)			(1,662	)
Core other operating expenses (non-GAAP)		$	37,918			$	36,646			$	42,565			$	36,535			$	36,568
(1) Non-core items include gain on sale of branches, merger related costs, early retirement program expenses and branch right-sizing costs.

Simmons First National Corporation								SFNC
Reconciliation Of Non-GAAP Financial Measures - Core Earnings - Year-to-Date
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands, except per share data)
YEAR-TO-DATE
Net Income		$	142,318			$	67,407			$	254,852			$	201,897			$	136,012
Non-core items
Gain on sale of branches			(5,922	)			(5,477	)			(8,368	)			(8,093	)			(8,093	)
Merger-related costs			919				233				4,531				3,800				2,898
Early retirement program			-				-				2,901				2,839				493
Branch right-sizing (net)			1,093				625				13,727				2,031				1,959
Tax effect (1)			1,022				1,207				(3,343	)			(151	)			716
Net non-core items			(2,888	)			(3,412	)			9,448				426				(2,027	)
Core earnings (non-GAAP)		$	139,430			$	63,995			$	264,300			$	202,323			$	133,985
Diluted earnings per share		$	1.31			$	0.62			$	2.31			$	1.83			$	1.22
Non-core items
Gain on sale of branches			(0.06	)			(0.05	)			(0.07	)			(0.07	)			(0.07	)
Merger-related costs			0.01				-				0.04				0.03				0.03
Early retirement program			-				-				0.03				0.02				-
Branch right-sizing (net)			0.01				0.01				0.12				0.02				0.02
Tax effect (1)			0.01				0.01				(0.03	)			-				0.01
Net non-core items			(0.03	)			(0.03	)			0.09				-				(0.01	)
Core diluted earnings per share (non-GAAP)		$	1.28			$	0.59			$	2.40			$	1.83			$	1.21
(1) Effective tax rate of 26.135%.
Reconciliation of Selected Non-Core Non-Interest Income and Expense Items (non-GAAP)
YEAR-TO-DATE
Other income		$	18,370			$	10,260			$	38,547			$	27,990			$	22,610
Non-core items (1)			(5,922	)			(5,477	)			(8,738	)			(8,463	)			(8,093	)
Core other income (non-GAAP)		$	12,448			$	4,783			$	29,809			$	19,527			$	14,517
Non-interest expense		$	229,259			$	113,793			$	487,585			$	360,957			$	243,641
Non-core items (1)			(2,012	)			(858	)			(21,529	)			(9,040	)			(5,350	)
Core non-interest expense (non-GAAP)		$	227,247			$	112,935			$	466,056			$	351,917			$	238,291
Salaries and employee benefits		$	120,601			$	60,340			$	242,474			$	186,712			$	125,568
Non-core items (1)			-				-				(3,085	)			(2,941	)			(493	)
Core salaries and employee benefits (non-GAAP)		$	120,601			$	60,340			$	239,389			$	183,771			$	125,075
Merger related costs		$	919			$	233			$	4,531			$	3,800			$	2,898
Non-core items (1)			(919	)			(233	)			(4,531	)			(3,800	)			(2,898	)
Core merger related costs (non-GAAP)		$	-			$	-			$	-			$	-			$	-
Other operating expenses		$	74,861			$	36,854			$	168,050			$	115,215			$	78,669
Non-core items (1)			(297	)			(208	)			(12,155	)			(1,885	)			(1,874	)
Core other operating expenses (non-GAAP)		$	74,564			$	36,646			$	155,895			$	113,330			$	76,795
(1) Non-core items include gain on sale of branches, merger related costs, early retirement program expenses and branch right-sizing costs.

Simmons First National Corporation										SFNC
Reconciliation Of Non-GAAP Financial Measures - End of Period
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands, except per share data)
Calculation of Tangible Common Equity and the Ratio of Tangible Common Equity to Tangible Assets
Total common stockholders' equity		$	3,038,599			$	2,930,008			$	2,975,889			$	2,941,474			$	2,903,936
Intangible assets:
Goodwill			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,064,765	)
Other intangible assets			(103,759	)			(107,091	)			(111,110	)			(114,460	)			(117,823	)
Total intangibles			(1,179,064	)			(1,182,396	)			(1,186,415	)			(1,189,765	)			(1,182,588	)
Tangible common stockholders' equity		$	1,859,535			$	1,747,612			$	1,789,474			$	1,751,709			$	1,721,348
Total assets		$	23,423,159			$	23,348,117			$	22,359,752			$	21,437,395			$	21,903,684
Intangible assets:
Goodwill			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,064,765	)
Other intangible assets			(103,759	)			(107,091	)			(111,110	)			(114,460	)			(117,823	)
Total intangibles			(1,179,064	)			(1,182,396	)			(1,186,415	)			(1,189,765	)			(1,182,588	)
Tangible assets		$	22,244,095			$	22,165,721			$	21,173,337			$	20,247,630			$	20,721,096
Paycheck protection program ('PPP') loans			(441,353	)			(797,629	)			(904,673	)			(970,488	)			(963,712	)
Total assets excluding PPP loans		$	22,981,806			$	22,550,488			$	21,455,079			$	20,466,907			$	20,939,972
Tangible assets excluding PPP loans		$	21,802,742			$	21,368,092			$	20,268,664			$	19,277,142			$	19,757,384
Ratio of equity to assets			12.98	%			12.55	%			13.31	%			13.72	%			13.26	%
Ratio of equity to assets excluding PPP loans			13.23	%			13.00	%			13.87	%			14.38	%			13.87	%
Ratio of tangible common equity to tangible assets			8.36	%			7.88	%			8.45	%			8.65	%			8.31	%
Ratio of tangible common equity to tangible assets excluding PPP loans			8.53	%			8.18	%			8.83	%			9.09	%			8.71	%
Calculation of Tangible Book Value per Share
Total common stockholders' equity		$	3,038,599			$	2,930,008			$	2,975,889			$	2,941,474			$	2,903,936
Intangible assets:
Goodwill			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,064,765	)
Other intangible assets			(103,759	)			(107,091	)			(111,110	)			(114,460	)			(117,823	)
Total intangibles			(1,179,064	)			(1,182,396	)			(1,186,415	)			(1,189,765	)			(1,182,588	)
Tangible common stockholders' equity		$	1,859,535			$	1,747,612			$	1,789,474			$	1,751,709			$	1,721,348
Shares of common stock outstanding			108,386,669				108,345,732				108,077,662				109,023,781				108,994,389
Book value per common share		$	28.03			$	27.04			$	27.53			$	26.98			$	26.64
Tangible book value per common share		$	17.16			$	16.13			$	16.56			$	16.07			$	15.79
Calculation of Regulatory Tier 1 Leverage Ratio Excluding Average PPP Loans
Total Tier 1 capital		$	2,000,023			$	1,939,868			$	1,884,563			$	1,868,173			$	1,820,488
Adjusted average assets for leverage ratio		$	22,244,118			$	21,668,406			$	20,765,127			$	20,652,454			$	20,742,824
Average PPP loans			(707,296	)			(891,070	)			(937,544	)			(967,152	)			(645,172	)
Adjusted average assets excluding average PPP loans		$	21,536,822			$	20,777,336			$	19,827,583			$	19,685,302			$	20,097,652
Tier 1 leverage ratio			8.99	%			8.95	%			9.08	%			9.05	%			8.78	%
Tier 1 leverage ratio excluding average PPP loans			9.29	%			9.34	%			9.50	%			9.49	%			9.06	%

Simmons First National Corporation										SFNC
Reconciliation Of Non-GAAP Financial Measures - Quarter-to-Date
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Calculation of Core Return on Average Assets
Net income		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
Net non-core items, net of taxes, adjustment			524				(3,412	)			9,022				2,453				1,358
Core earnings		$	75,435			$	63,995			$	61,977			$	68,338			$	60,147
Average total assets		$	23,257,921			$	22,738,821			$	21,852,094			$	21,765,321			$	21,822,273
Return on average assets			1.29	%			1.20	%			0.96	%			1.20	%			1.08	%
Core return on average assets			1.30	%			1.14	%			1.13	%			1.25	%			1.11	%
Calculation of Return on Tangible Common Equity
Net income		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
Amortization of intangibles, net of taxes			2,462				2,470				2,475				2,483				2,489
Total income available to common stockholders		$	77,373			$	69,877			$	55,430			$	68,368			$	61,278
Net non-core items, net of taxes			524				(3,412	)			9,022				2,453				1,358
Core earnings			75,435				63,995				61,977				68,338				60,147
Amortization of intangibles, net of taxes			2,462				2,470				2,475				2,483				2,489
Total core income available to common stockholders		$	77,897			$	66,465			$	64,452			$	70,821			$	62,636
Average common stockholders' equity		$	2,980,609			$	2,972,689			$	2,955,865			$	2,942,045			$	2,879,337
Average intangible assets:
Goodwill			(1,075,305	)			(1,075,305	)			(1,075,305	)			(1,064,893	)			(1,064,955	)
Other intangibles			(105,785	)			(109,850	)			(113,098	)			(116,385	)			(120,111	)
Total average intangibles			(1,181,090	)			(1,185,155	)			(1,188,403	)			(1,181,278	)			(1,185,066	)
Average tangible common stockholders' equity		$	1,799,519			$	1,787,534			$	1,767,462			$	1,760,767			$	1,694,271
Return on average common equity			10.08	%			9.20	%			7.13	%			8.91	%			8.21	%
Return on tangible common equity			17.25	%			15.85	%			12.48	%			15.45	%			14.55	%
Core return on average common equity			10.15	%			8.73	%			8.34	%			9.24	%			8.40	%
Core return on tangible common equity			17.36	%			15.08	%			14.51	%			16.00	%			14.87	%
Calculation of Efficiency Ratio (1)
Non-interest expense		$	115,466			$	113,793			$	126,628			$	117,316			$	116,177
Non-core non-interest expense adjustment			(1,154	)			(858	)			(12,489	)			(3,690	)			(4,044	)
Other real estate and foreclosure expense adjustment			(863	)			(343	)			(545	)			(600	)			(242	)
Amortization of intangibles adjustment			(3,333	)			(3,344	)			(3,351	)			(3,362	)			(3,369	)
Efficiency ratio numerator		$	110,116			$	109,248			$	110,243			$	109,664			$	108,522
Net-interest income		$	146,533			$	146,681			$	154,960			$	153,610			$	163,681
Non-interest income			47,924				50,340				42,549				70,218				48,806
Non-core non-interest income adjustment			(445	)			(5,477	)			(275	)			(370	)			(2,204	)
Fully tax-equivalent adjustment (effective tax rate of 26.135%)			4,548				4,163				3,482				2,864				2,350
Gain on sale of securities			(5,127	)			(5,471	)			(16	)			(22,305	)			(390	)
Efficiency ratio denominator		$	193,433			$	190,236			$	200,700			$	204,017			$	212,243
Efficiency ratio (1)			56.93	%			57.43	%			54.93	%			53.75	%			51.13	%

(1) Efficiency ratio is core non-interest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully taxable equivalent) and non-interest revenues, excluding gains and losses from securities transactions and non-core items.

Simmons First National Corporation										SFNC
Reconciliation Of Non-GAAP Financial Measures - Quarter-to-Date (continued)
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Calculation of Core Net Interest Margin
Net interest income		$	146,533			$	146,681			$	154,960			$	153,610			$	163,681
Fully tax-equivalent adjustment (effective tax rate of 26.135%)			4,548				4,163				3,482				2,864				2,350
Fully tax-equivalent net interest income			151,081				150,844				158,442				156,474				166,031
Total accretable yield			(5,619	)			(6,630	)			(8,999	)			(8,948	)			(11,723	)
Core net interest income		$	145,462			$	144,214			$	149,443			$	147,526			$	154,308
PPP loan and additional liquidity interest income			(9,445	)			(12,257	)			(6,983	)		$	(6,131	)		$	(5,623	)
Net interest income adjusted for PPP loans and liquidity		$	141,636			$	138,587			$	151,459			$	150,343			$	160,408
Average earning assets		$	20,959,642			$	20,484,908			$	19,573,651			$	19,415,314			$	19,517,475
Average PPP loan balance and additional liquidity			(2,659,831	)			(3,617,567	)			(2,837,125	)		$	(2,359,928	)		$	(2,071,411	)
Average earning assets adjusted for PPP loans and liquidity		$	18,299,811			$	16,867,341			$	16,736,526			$	17,055,386			$	17,446,064
Net interest margin			2.89	%			2.99	%			3.22	%			3.21	%			3.42	%
Core net interest margin			2.78	%			2.86	%			3.04	%			3.02	%			3.18	%
Net interest margin adjusted for PPP loans and liquidity			3.10	%			3.33	%			3.60	%			3.51	%			3.70	%
Calculation of Core Loan Yield
Loan interest income (FTE)		$	138,987			$	146,601			$	160,306			$	163,379			$	177,168
Total accretable yield			(5,619	)			(6,630	)			(8,999	)			(8,948	)			(11,723	)
Core loan interest income		$	133,368			$	139,971			$	151,307			$	154,431			$	165,445
PPP loan interest income			(8,958	)			(11,652	)			(6,457	)		$	(5,782	)		$	(3,733	)
Core loan interest income without PPP loans		$	124,410			$	128,319			$	144,850			$	148,649			$	161,712
Average loan balance		$	11,783,839			$	12,518,300			$	13,457,077			$	14,315,014			$	14,731,306
Average PPP loan balance			(707,296	)			(891,070	)			(937,544	)		$	(967,152	)		$	(645,172	)
Average loan balance without PPP loans		$	11,076,543			$	11,627,230			$	12,519,533			$	13,347,862			$	14,086,134
Core loan yield			4.54	%			4.53	%			4.47	%			4.29	%			4.52	%
Core loan yield without PPP loans			4.51	%			4.48	%			4.60	%			4.43	%			4.62	%
Calculation of Adjusted Pre-Tax, Pre-Provision (PTPP) Earnings
Net income available to common stockholders		$	74,911			$	67,407			$	52,955			$	65,885			$	58,789
Provision for income taxes			17,018				14,363				10,970				17,633				15,593
Provision for credit losses (including provision for unfunded commitments)			(12,951	)			1,445				6,943				22,981				21,915
(Gain) loss on sale of securities			(5,127	)			(5,471	)			(16	)			(22,305	)			(390	)
Net pre-tax non-core items			709				(4,619	)			12,214				3,320				1,840
Adjusted Pre-tax, pre-provision (PTPP) earnings		$	74,560			$	73,125			$	83,066			$	87,514			$	97,747

Simmons First National Corporation										SFNC
Reconciliation Of Non-GAAP Financial Measures - Year-to-Date
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Calculation of Core Return on Average Assets
Net income		$	142,318			$	67,407			$	254,852			$	201,897			$	136,012
Net non-core items, net of taxes, adjustment			(2,888	)			(3,412	)			9,448				426				(2,027	)
Core earnings		$	139,430			$	63,995			$	264,300			$	202,323			$	133,985
Average total assets		$	22,999,805			$	22,738,821			$	21,590,745			$	21,503,564			$	21,371,248
Return on average assets			1.25	%			1.20	%			1.18	%			1.25	%			1.28	%
Core return on average assets			1.22	%			1.14	%			1.22	%			1.26	%			1.26	%
Calculation of Return on Tangible Common Equity
Net income		$	142,318			$	67,407			$	254,852			$	201,897			$	136,012
Amortization of intangibles, net of taxes			4,932				2,470				9,968				7,493				5,010
Total income available to common stockholders		$	147,250			$	69,877			$	264,820			$	209,390			$	141,022
Net non-core items, net of taxes			(2,888	)			(3,412	)			9,448				426				(2,027	)
Core earnings			139,430				63,995				264,300				202,323				133,985
Amortization of intangibles, net of taxes			4,932				2,470				9,968				7,493				5,010
Total core income available to common stockholders		$	144,362			$	66,465			$	274,268			$	209,816			$	138,995
Average common stockholders' equity		$	2,976,671			$	2,972,689			$	2,921,039			$	2,910,366			$	2,894,351
Average intangible assets:
Goodwill			(1,075,305	)			(1,075,305	)			(1,065,190	)			(1,061,793	)			(1,060,226	)
Other intangibles			(107,806	)			(109,850	)			(118,812	)			(120,731	)			(122,928	)
Total average intangibles			(1,183,111	)			(1,185,155	)			(1,184,002	)			(1,182,524	)			(1,183,154	)
Average tangible common stockholders' equity		$	1,793,560			$	1,787,534			$	1,737,037			$	1,727,842			$	1,711,197
Return on average common equity			9.64	%			9.20	%			8.72	%			9.27	%			9.45	%
Return on tangible common equity			16.56	%			15.85	%			15.25	%			16.19	%			16.57	%
Core return on average common equity			9.45	%			8.73	%			9.05	%			9.29	%			9.31	%
Core return on tangible common equity			16.23	%			15.08	%			15.79	%			16.22	%			16.33	%
Calculation of Efficiency Ratio (1)
Non-interest expense		$	229,259			$	113,793			$	487,585			$	360,957			$	243,641
Non-core non-interest expense adjustment			(2,012	)			(858	)			(21,529	)			(9,040	)			(5,350	)
Other real estate and foreclosure expense adjustment			(1,206	)			(343	)			(1,706	)			(1,161	)			(561	)
Amortization of intangibles adjustment			(6,677	)			(3,344	)			(13,495	)			(10,144	)			(6,782	)
Efficiency ratio numerator		$	219,364			$	109,248			$	450,855			$	340,612			$	230,948
Net-interest income		$	293,214			$	146,681			$	639,734			$	484,774			$	331,164
Non-interest income			98,264				50,340				242,618				200,069				129,851
Non-core non-interest income adjustment			(5,922	)			(5,477	)			(8,738	)			(8,463	)			(8,093	)
Fully tax-equivalent adjustment (effective tax rate of 26.135%)			8,711				4,163				11,001				7,519				4,655
Gain on sale of securities			(10,598	)			(5,471	)			(54,806	)			(54,790	)			(32,485	)
Efficiency ratio denominator		$	383,669			$	190,236			$	829,809			$	629,109			$	425,092
Efficiency ratio (1)			57.18	%			57.43	%			54.33	%			54.14	%			54.33	%

(1) Efficiency ratio is core non-interest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully taxable equivalent) and non-interest revenues, excluding gains and losses from securities transactions and non-core items.

Simmons First National Corporation										SFNC
Reconciliation Of Non-GAAP Financial Measures - Year-to-Date (continued)
For the Quarters Ended		Jun 30		Mar 31		Dec 31		Sep 30		Jun 30
(Unaudited)		2021		2021		2020		2020		2020
($ in thousands)
Calculation of Core Net Interest Margin
Net interest income		$	293,214			$	146,681			$	639,734			$	484,774			$	331,164
Fully tax-equivalent adjustment (effective tax rate of 26.135%)			8,711				4,163				11,001				7,519				4,655
Fully tax-equivalent net interest income			301,925				150,844				650,735				492,293				335,819
Total accretable yield			(12,249	)			(6,630	)			(41,507	)			(32,508	)			(23,560	)
Core net interest income		$	289,676			$	144,214			$	609,228			$	459,785			$	312,259
Average earning assets		$	20,723,587			$	20,484,908			$	19,272,886			$	19,172,318			$	19,049,487
Net interest margin			2.94	%			2.99	%			3.38	%			3.43	%			3.55	%
Core net interest margin			2.82	%			2.86	%			3.16	%			3.20	%			3.30	%
Calculation of Core Loan Yield
Loan interest income (FTE)		$	285,588			$	146,601			$	688,600			$	528,294			$	364,915
Total accretable yield			(12,249	)			(6,630	)			(41,507	)			(32,508	)			(23,560	)
Core loan interest income		$	273,339			$	139,971			$	647,093			$	495,786			$	341,355
Average loan balance		$	12,149,041			$	12,518,300			$	14,260,689			$	14,530,938			$	14,640,082
Core loan yield			4.54	%			4.53	%			4.54	%			4.56	%			4.69	%
Calculation of Adjusted Pre-Tax, Pre-Provision (PTPP) Earnings
Net income available to common stockholders		$	142,318			$	67,407			$	254,852			$	201,897			$	136,012
Provision for income taxes			31,381				14,363				64,890				53,920				36,287
Provision for credit losses (including provision for unfunded commitments)			(11,506	)			1,445				74,973				68,030				45,049
(Gain) loss on sale of securities			(10,598	)			(5,471	)			(54,806	)			(54,790	)			(32,485	)
Net pre-tax non-core items			(3,910	)			(4,619	)			12,791				577				(2,743	)
Adjusted Pre-tax, pre-provision (PTPP) earnings		$	147,685			$	73,125			$	352,700			$	269,634			$	182,120

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