FIRST BUSEY CORP /NV/ (BUSE)

CIK: 0000314489. SIC: 6022 State Commercial Banks. Latest 10-K as of: 2026-02-26.

SIC breadcrumb: Finance, Insurance, And Real Estate > Depository Institutions > SIC 6022 State Commercial Banks

SEC company page: https://www.sec.gov/edgar/browse/?CIK=314489. Latest filing source: 0000314489-26-000013.

Selected Fundamentals

Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-26. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000314489.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

Flow metrics use full-year FY periods from 10-K/10-K/A filings; balance-sheet metrics use FY-end instants. Free cash flow = operating cash flow - capital expenditures. Missing metrics are omitted rather than fabricated.

Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

Financial Charts

Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-05-07. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000314489.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

Quarterly Charts

Macro Cross-References

• CPIAUCSL - Consumer Price Index for All Urban Consumers: All Items in U.S. City Average
• UNRATE - Unemployment Rate
• FEDFUNDS - Federal Funds Effective Rate
• CES0500000003 - Average Hourly Earnings of All Employees, Total Private
• DFEDTARU - Federal Funds Target Range - Upper Limit
• DFEDTARL - Federal Funds Target Range - Lower Limit
• DGS3MO - Market Yield on U.S. Treasury Securities at 3-Month Constant Maturity
• DGS2 - Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity
• DGS10 - Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity
• DGS30 - Market Yield on U.S. Treasury Securities at 30-Year Constant Maturity
• T10Y2Y - 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity
• CPILFESL - Consumer Price Index for All Urban Consumers: All Items Less Food and Energy
• CPIUFDSL - Consumer Price Index for All Urban Consumers: Food
• CPIENGSL - Consumer Price Index for All Urban Consumers: Energy
• CUSR0000SAH1 - Consumer Price Index for All Urban Consumers: Shelter
• PCEPI - Personal Consumption Expenditures: Chain-type Price Index
• PCEPILFE - Personal Consumption Expenditures Excluding Food and Energy: Chain-type Price Index
• PPIACO - Producer Price Index by Commodity: All Commodities
• T10YIE - 10-Year Breakeven Inflation Rate
• U6RATE - Total Unemployed, Plus All Marginally Attached Workers Plus Total Employed Part Time for Economic Reasons
• PAYEMS - All Employees, Total Nonfarm
• CIVPART - Labor Force Participation Rate
• EMRATIO - Employment-Population Ratio
• UNEMPLOY - Unemployed
• CE16OV - Employment Level
• ICSA - Initial Claims
• JTSJOL - Job Openings: Total Nonfarm
• JTSQUR - Quits: Total Nonfarm
• GDPC1 - Real Gross Domestic Product
• A191RL1Q225SBEA - Real Gross Domestic Product: Percent Change from Preceding Period
• INDPRO - Industrial Production: Total Index
• TCU - Capacity Utilization: Total Index
• HOUST - New Privately-Owned Housing Units Started: Total Units
• PERMIT - New Privately-Owned Housing Units Authorized in Permit-Issuing Places: Total Units
• RSAFS - Advance Retail Sales: Retail Trade
• PCE - Personal Consumption Expenditures
• DSPIC96 - Real Disposable Personal Income
• PSAVERT - Personal Saving Rate
• M2SL - M2
• BOPGSTB - U.S. International Trade in Goods and Services: Balance
• MSPUS - Median Sales Price of Houses Sold for the United States
• HSN1F - New One Family Houses Sold: United States
• RHORUSQ156N - Homeownership Rate in the United States
• TTLCONS - Total Construction Spending: Total Construction in the United States
• RRVRUSQ156N - Rental Vacancy Rate in the United States
• TOTALSL - Total Consumer Credit Owned and Securitized
• REVOLSL - Revolving Consumer Credit Owned and Securitized
• DRCCLACBS - Delinquency Rate on Credit Card Loans, All Commercial Banks
• GDP - Gross Domestic Product
• GPDI - Gross Private Domestic Investment
• GCE - Government Consumption Expenditures and Gross Investment
• PCEC - Personal Consumption Expenditures
• NETEXP - Net Exports of Goods and Services
• GFDEBTN - Federal Debt: Total Public Debt
• GFDEGDQ188S - Federal Debt: Total Public Debt as Percent of Gross Domestic Product
• FYFSD - Federal Surplus or Deficit
• FGRECPT - Federal Government Current Receipts
• FGEXPND - Federal Government: Current Expenditures
• MANEMP - All Employees, Manufacturing
• USCONS - All Employees, Construction
• USTRADE - All Employees, Retail Trade
• USFIRE - All Employees, Financial Activities
• USGOVT - All Employees, Government
• AWHAETP - Average Weekly Hours of All Employees, Total Private
• DGORDER - Manufacturers' New Orders: Durable Goods
• NEWORDER - Manufacturers' New Orders: Nondefense Capital Goods Excluding Aircraft
• BUSINV - Total Business Inventories
• EXPGS - Exports of Goods and Services
• IMPGS - Imports of Goods and Services
• IR - Import Price Index (End Use): All Commodities
• PPIFIS - Producer Price Index by Commodity: Final Demand

Latest quarter (10-Q)

Latest 10-Q source: 0000314489-26-000033.

Extracted from Part I Item 2 to the first post-MD&A boundary after HTML sanitization. Published MD&A gate trimmed front/tail over-capture. Confidence: high. Filing date: 2026-05-07. Report date: 2026-03-31.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

SCOPE OF DISCUSSION

The following discussion and analysis are intended to assist readers in understanding Busey’s financial condition and results of operations during the three months ended March 31, 2026, and should be read in conjunction with Busey’s Consolidated Financial Statements (Unaudited) and the related Notes to the Consolidated Financial Statements (Unaudited) included in this Quarterly Report, as well as Busey’s 2025 Annual Report.

BUSINESS

First Busey Corporation is an $18.04 billion financial holding company headquartered in Leawood, Kansas. First Busey Corporation’s common stock is traded on The Nasdaq Global Select Market under the symbol “BUSE,” and its Series B preferred stock is traded on The Nasdaq Global Select Market under the symbol “BUSEP.”

Busey provides a full range of banking, wealth management, and payment technology solutions to individuals and corporate clients through its subsidiaries, Busey Bank and FirsTech.

Banking Center Markets

Busey Bank, headquartered in Champaign, Illinois, serves the banking needs of its customers through 80 banking centers located across five geographical regions and verticals spanning 10 states.

East Region – Busey Bank serves its East Region through 17 banking centers in the suburban Chicago market and three banking centers located in southwest Florida.

Midwest Region – Busey Bank serves its Midwest Region through 21 banking centers in central Illinois, including six in the Chicago MSA; 20 banking centers in the St. Louis MSA, including eight banking centers in eastern Missouri and 12 banking centers in western Illinois; and one banking center in Indianapolis, Indiana.

First Busey Corporation (BUSE) | 61

TABLE OF CONTENTS

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

Central Region – Busey Bank serves its Central Region through three banking centers in the Kansas City MSA, including two locations in Leawood, Kansas and one in Kansas City, Missouri; one banking center in Wichita, Kansas; and three banking centers in Oklahoma, including two in Oklahoma City and one in Tulsa.

Texas Region – Busey Bank serves its Texas Region through four banking centers across the Dallas-Fort Worth MSA, including locations in Dallas, Frisco, and Fort Worth, Texas.

West Region – Busey Bank serves its West region through three banking centers in Arizona, located in Phoenix and Tucson; three banking centers in Colorado, located in Denver and Colorado Springs; and one banking center in Clayton, New Mexico.

Verticals – Transcending geographical boundaries, Busey operates in several industry verticals, including Life Equity Lending, Structured Finance, Energy Banking, and SBA Lending.

Busey's Conservative Banking Strategy

Busey’s financial strength is built on a long-term conservative operating approach. The quality of Busey’s core deposit1 franchise is a critical value driver of the institution. Busey remains substantially core deposit funded, with robust liquidity. As of March 31, 2026, Busey’s loan to deposit ratio was 91.3% and core deposits represented 93.7% of total deposits. Busey maintains sufficient on- and off-balance sheet liquidity to manage deposit fluctuations and the liquidity needs of its customers.

Busey’s credit performance reflects its highly diversified, conservatively underwritten loan portfolio. Busey’s approach to lending and its underwriting standards are designed to emphasize relationship banking rather than transactional banking. In addition, as a matter of both policy and practice, Busey limits concentration exposures in any particular loan segment.

Busey’s conservative banking strategy is reflected in the strength of its capital base. Busey strives to consistently maintain capital ratios well in excess of thresholds required to be designated as well capitalized by applicable regulatory guidelines, thereby ensuring financial strength and flexibility across economic and operating cycles. As of March 31, 2026, Busey’s leverage ratio of Tier 1 capital to average assets was 11.9%, its common equity Tier 1 capital to risk weighted assets ratio was 12.3%, and its total capital to risk weighted assets ratio was 15.9%.

Business Combinations

CrossFirst Bankshares, Inc.

On March 1, 2025, Busey completed its acquisition of CrossFirst and its wholly-owned subsidiary, CrossFirst Bank. This transformative partnership helped create a premier commercial bank spanning 10 states.

CrossFirst Bank’s results of operations were included in Busey’s results of operations beginning March 1, 2025. Busey operated CrossFirst Bank as a separate banking subsidiary until it was merged with and into Busey Bank on June 20, 2025. At the time of the bank merger, CrossFirst Bank’s banking centers became banking centers of Busey Bank.

Further information regarding Busey’s acquisitions is provided in Note 2. Business Combinations in the Notes to the Consolidated Financial Statements (Unaudited).

1 Core deposits is a non-GAAP financial measure. For a reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures, see “Non-GAAP Financial Information” included in this MD&A.

First Busey Corporation (BUSE) | 62

TABLE OF CONTENTS

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

RESULTS OF OPERATIONS — THREE MONTHS ENDED MARCH 31, 2026

Net Income

Results of Busey’s operations, by operating segment, are presented below:

Three Months Ended March 31,

(dollars in thousands)

2026

2025

Net income (loss)

Banking

$

50,240 

$

(19,693)

Wealth Management

6,167 

6,219 

FirsTech

(1,680)

(239)

Other

(4,746)

(16,277)

Net income (loss)

$

49,981 

$

(29,990)

First Busey Corporation (BUSE) | 63

TABLE OF CONTENTS

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

Non-GAAP Adjusting Items and Non-GAAP Measures

Busey views certain non-operating items, including acquisition-related expenses, restructuring charges, and nonrecurring strategic events, as adjustments to net income reported under GAAP. Busey also adjusts for net securities gains and losses to align with industry and research analyst reporting. The objective of Busey’s presentation of adjusted earnings and adjusted earnings metrics is to allow investors and analysts to more clearly identify quarterly trends in core earnings performance. Pre-tax non-GAAP adjustments were as follows:

Three Months Ended March 31,

(dollars in thousands)

2026

2025

Pre-tax non-GAAP adjustments to net income by income/expense category

Net securities (gains) losses

$

940 

$

15,768 

Provision for credit losses1

— 

45,572 

Salaries, wages, and employee benefits

16,124 

15,878 

Data processing

80 

2,302 

Professional fees

119 

7,294 

Other noninterest expense1

377 

552 

Total pre-tax non-GAAP adjustments to net income

$

17,640 

$

87,366 

Pre-tax non-GAAP adjustments to net income by business objective

Net securities (gains) losses2

$

940 

$

15,768 

Initial provision for credit losses3

— 

45,572 

Other acquisition (income) expenses4

5,244 

26,026 

Restructuring expenses5

11,456 

— 

Total pre-tax non-GAAP adjustments to net income

$

17,640 

$

87,366 

___________________________________________

1.Beginning in the second quarter of 2025, Busey revised its presentation, for all periods presented, to reclassify the provision for unfunded commitments from other noninterest expense to the provision for credit losses.

2.During the three months ended March 31, 2025, Busey sold available for sale debt securities with a book value of approximately $205.6 million for a pre-tax loss of $15.5 million and related estimated tax benefit of $4.3 million, as part of a balance sheet repositioning strategy.

3.During the three months ended March 31, 2025, in connection with the CrossFirst acquisition, Busey’s recorded expense for the initial provision for credit losses consisting of a Day 2 provision for loan losses of $42.4 million, and a Day 2 provision for unfunded commitments of $3.1 million.

4.Other acquisition expenses related to the acquisition of CrossFirst, which was completed on March 1, 2025. Final expenses for the acquisition of M&M were also included for 2025.

5.Restructuring expenses were incurred in connection with the execution on additional synergies identified in the first quarter of 2026 related to the CrossFirst acquisition and also in connection with the previously announced departure of Michael J. Maddox.

A reconciliation of non-GAAP measures, which Busey believes facilitates the assessment of its financial results and peer comparability, is included in tabular form in this MD&A. See “Non-GAAP Financial Information.”

First Busey Corporation (BUSE) | 64

TABLE OF CONTENTS

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

Operating Performance Metrics

Operating performance metrics presented in the table below have been derived from information used by management to monitor and manage Busey’s financial performance:

Three Months Ended March 31,

(dollars in thousands, except per share amounts)

2026

2025

Net income (loss) (GAAP)

$

49,981 

$

(29,990)

Adjusted net income (Non-GAAP)1

$

63,211 

$

39,898 

Net income (loss) available to common stockholders (GAAP)

$

45,392 

$

(29,990)

Adjusted net income available to common stockholders (Non-GAAP)1

$

58,622 

$

39,898 

Diluted earnings (loss) per common share (GAAP)

$

0.52 

$

(0.44)

Adjusted diluted earnings per common share (Non-GAAP)1

$

0.67 

$

0.57 

Return on average assets (Non-GAAP)1, 2

1.12 

%

(0.82)

%

Adjusted return on average assets (Non-GAAP)1, 2

1.42 

%

1.09 

%

Return on average tangible common equity (Non-GAAP)1, 2

11.10 

%

(7.38)

%

Adjusted return on average tangible common equity (Non-GAAP)1, 2

14.12 

%

11.25 

%

Pre-provision net revenue (Non-GAAP)1, 3

$

67,655 

$

28,692 

Adjusted pre-provision net revenue (Non-GAAP)1, 3

$

84,355 

$

54,718 

Pre-provision net revenue to average total assets (Non-GAAP)1, 2, 3

1.52 

%

0.78 

%

Adjusted pre-provision net revenue to average total assets (Non-GAAP)1, 2, 3

1.89 

%

1.50 

%

___________________________________________

1.For a reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures, see “Non-GAAP Financial Information,” included in this MD&A.

2.Annualized measure.

3.Beginning in the second quarter of 2025, Busey revised its presentation, for all periods presented, to reclassify the provision for unfunded commitments so that it is now included within the provision for credit losses, affecting the calculation of pre-provision net revenue and related measures and ratios.

Net Interest Income

Net interest income is the difference between interest income and fees earned on loans and investments (“interest-earning assets”) and interest expense incurred on deposits and borrowings (“interest-bearing liabilities”). Interest rate levels and volume fluctuations within interest-earning assets and interest-bearing liabilities impact net interest income. Net interest margin is tax-equivalent net interest income as a percent of average interest-earning assets.

Certain assets with tax favorable treatment are evaluated on a tax-equivalent basis, assuming a federal income tax rate of 21.0%. Tax favorable assets generally have lower contractual pre-tax yields than fully taxable assets. A tax-equivalent analysis is performed by adding the tax savings to the earnings on tax favorable assets. After factoring in the tax favorable effects of these assets, the yields may be more appropriately evaluated against alternative earning assets. In addition to yield, various other risks are factored into the evaluation process.

First Bus

[Excerpt truncated for page length; source filing is linked above.]

Latest 10-K MD&A

Extracted from Item 7 to the first post-MD&A boundary after HTML sanitization. Confidence: high. Filing date: 2026-02-26. Report date: 2025-12-31.

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)

Contents of Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Unaudited) (“MD&A”)

SCOPE OF DISCUSSION

53

BUSEY’S CONSERVATIVE BANKING STRATEGY

54

CRITICAL ACCOUNTING ESTIMATES

54

Fair Value of Assets Acquired and Liabilities Assumed in Business Combinations

54

Goodwill

55

Income Taxes

55

Allowance for Credit Losses

55

RESULTS OF OPERATIONS — THREE YEARS ENDED DECEMBER 31, 2025

57

Net Income

57

Non-GAAP Adjusting Items and Non-GAAP Measures

58

Operating Performance Metrics

59

Net Interest Income

59

Noninterest Income

67

Noninterest Expense

69

Efficiency Ratio

70

Income Taxes

70

FINANCIAL CONDITION

71

Balance Sheet

71

Investment Securities

71

Portfolio Loans

74

Deposits

83

Borrowings

84

Liquidity

85

Off-Balance-Sheet Arrangements

86

Contractual Obligations

87

Cash Flows

87

Capital Resources

88

NEW ACCOUNTING PRONOUNCEMENTS

88

EFFECTS OF INFLATION

88

SCOPE OF DISCUSSION

The following is management’s discussion and analysis of the financial condition as of December 31, 2025, and 2024, and the results of operations for the years ended December 31, 2025, 2024, and 2023, of First Busey Corporation and its subsidiaries. It should be read in conjunction with “Item 1. Business,” the Consolidated Financial Statements, and the related Notes to the Consolidated Financial Statements included in this Annual Report.

Detailed discussion and analysis of Busey’s financial condition and results of operation for 2025 as compared to 2024 can be found below. Comparison of 2024 to 2023 can be found in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” of Busey's 2024 Annual Report.

First Busey Corporation (BUSE) | 2025 — 53

Table of Contents

Contents of Item 7. MD&A

BUSEY’S CONSERVATIVE BANKING STRATEGY

Busey’s financial strength is built on a long-term conservative operating approach. The quality of Busey’s core deposit1 franchise is a critical value driver of the institution. Busey remains substantially core deposit funded, with robust liquidity. As of December 31, 2025, Busey’s loan to deposit ratio was 91.0% and core deposits1 represented 93.7% of total deposits. Furthermore, Busey has sufficient on- and off-balance sheet liquidity to manage deposit fluctuations and the liquidity needs of its customers.

Busey’s credit performance reflects its highly diversified, conservatively underwritten loan portfolio. Busey’s approach to lending and its underwriting standards are designed to emphasize relationship banking rather than transactional banking. In addition, as a matter of both policy and practice, Busey limits concentration exposures in any particular loan segment. While impacted by loans acquired as a result of the CrossFirst acquisition, asset quality remains strong by both Busey’s historical and current industry trends.

Busey’s conservative banking strategy is reflected in the strength of its capital base. Busey strives to consistently maintain capital ratios well in excess of thresholds required to be designated as well capitalized by applicable regulatory guidelines, thereby ensuring financial strength and flexibility across economic and operating cycles. At December 31, 2025, Busey’s leverage ratio of Tier 1 capital to average assets was 11.9%, its common equity Tier 1 capital to risk weighted assets ratio was 12.4%, and its total capital to risk weighted assets ratio was 15.9%.

CRITICAL ACCOUNTING ESTIMATES

Busey has established various accounting policies that govern the application of GAAP in the preparation of its Consolidated Financial Statements. Significant accounting policies are described in “Note 1. Significant Accounting Policies” in the Notes to the Consolidated Financial Statements.

Critical accounting estimates are those that are critical to the portrayal and understanding of Busey’s financial condition and results of operations and require management to make assumptions that are subjective or complex. These estimates involve judgments, assumptions, and uncertainties that are susceptible to change. In the event that different assumptions or conditions were to prevail, and depending on the severity of such changes, the possibility of a materially different financial condition or materially different results of operations is a reasonable likelihood. Further, changes in accounting standards could impact Busey’s critical accounting estimates. Management has reviewed these critical accounting estimates and related disclosures with Busey’s Audit Committee. The following estimates could be deemed critical:

Fair Value of Assets Acquired and Liabilities Assumed in Business Combinations

Business combinations are accounted for using the acquisition method of accounting. Under the acquisition method of accounting, assets acquired and liabilities assumed are recorded at their estimated fair value on the date of acquisition. Fair values are determined based on the definition of “fair value” defined in ASC Topic 820 “Fair Value Measurement” as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The determination of fair values is based on valuations using management’s assumptions of future growth rates, future attrition, discount rates, multiples of earnings or other relevant factors. In addition, Busey engages third party specialists to assist in the development of fair values.

The fair value of a loan portfolio acquired in a business combination generally requires greater levels of management estimates and judgment than other assets acquired or liabilities assumed. Acquired loans are within the scope of ASC Topic 326 “Financial Instruments-Credit Losses.” However, the offset to record the allowance on acquired loans at the date of acquisition depends on whether or not the loan is classified as PCD. The allowance for PCD loans is recorded through a gross-up effect, while the allowance for acquired non-PCD loans is recorded through provision expense, consistent with originated loans. Thus, the determination of which loans are PCD and non-PCD can have a significant effect on the accounting for these loans.

1 Core deposits is a non-GAAP financial measure. For a reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures, see “Item 1. Business—Non-GAAP Financial Information.”

First Busey Corporation (BUSE) | 2025 — 54

Table of Contents

Contents of Item 7. MD&A

Goodwill

Goodwill represents the excess of the purchase price over the fair value of net assets acquired using the acquisition method of accounting. Goodwill is not amortized; instead, Busey assesses the potential for impairment on an annual basis or more frequently if events and circumstances indicate that goodwill might be impaired. Management applies significant judgment when testing goodwill for impairment, such as the valuation approach chosen, market multiples for competitors used in the calculation, and forecasts of business outlook.

Income Taxes

Busey is subject to the income tax laws of the U.S., as well as the tax laws of the individual states and municipalities in which the Company conducts its operations. These laws are often complex and subject to nuanced interpretations.

Income taxes are estimated for the tax effects of the transactions reported on Busey’s Consolidated Financial Statements and consist of an expense for taxes currently due plus assets and/or liabilities for deferred taxes. Deferred taxes represent the future tax consequences of differences between the tax basis and accounting basis of certain assets and liabilities, which will either be taxable or deductible when the assets and liabilities are recovered or settled. Deferred tax assets and liabilities are estimates that are reflected at income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. Deferred taxes are reported in other assets or other liabilities on the Consolidated Balance Sheets. Estimated income tax expense is reported on the Consolidated Statements of Income.

In establishing its provision for income taxes and its estimates of deferred tax assets and liabilities, Busey must make judgments and interpretations about the application of inherently complex tax laws. Busey must also make estimates about when in the future certain items will affect taxable income. Disputes over interpretations of the tax laws may be subject to review and adjudication by the court systems of the various tax jurisdictions or may be settled with the taxing authority upon examination or audit. Although Busey’s management believes that its judgments are sound and its tax estimates are reasonable, interpretations of tax law applied by the taxing jurisdictions could differ. As such, Busey may be exposed to losses or gains, which could be material. An unfavorable tax settlement would result in an increase in Busey’s effective income tax rate in the period of resolution. A favorable tax settlement would result in a reduction in Busey’s effective income tax rate in the period of resolution.

Allowance for Credit Losses

Busey calculates the ACL at each reporting date. Busey recognizes an allowance for the lifetime expected credit losses for the amount it does not expect to collect. Measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported book value. The calculation also contemplates that Busey may not be able to make or obtain such forecasts for the entire life of the financial assets and requires a reversion to historical credit loss information.

In determining the ACL, management relies predominantly on a disciplined credit review and approval process that extends to the full range of Busey’s credit exposure. The ACL must be determined on a collective (pool) basis when similar risk characteristics exist. On a case-by-case basis, Busey may conclude that a loan should be evaluated on an individual basis based on disparate risk characteristics.

Loans deemed uncollectible are charged-off against and reduce the ACL. A provision for credit losses is charged to current expense and acts to replenish the ACL in order to maintain the ACL at a level that management deems adequate.

First Busey Corporation (BUSE) | 2025 — 55

Table of Contents

Contents of Item 7. MD&A

Determining the ACL involves significant judgments and assumptions. Macroeconomic forecasts provided by a third party and the economic indices sourced are significant judgments used in determining the allowance. Changes in these economic forecasts could significantly affect the ACL and lead to materially different amounts from one period to the next. Additionally, prepayment assumptions impact model output. Further, Busey completes a quarterly evaluation of several qualitative factors to determine if there should be adjustments made to the ACL. These factors include economic conditions, collateral, concentrations, delinquency trends, portfolio composition, underwriting, and certain other risks. Significant downturns relating to loan quality and economic conditions could result in a requirement for an additional allowance. Likewise, an upturn in loan quality and improved economic conditions may allow for a reduction in the required allowance. Because of the nature of the judgments and assumptions made by management, actual results may differ from these judgments and assumptions.

First Busey Corporation (BUSE) | 2025 — 56

Table of Contents

Contents of Item 7. MD&A

RESULTS OF OPERATIONS — THREE YEARS ENDED DECEMBER 31, 2025

Net Income

Results of Busey’s operations are presented below, segregated by operating segment:

Years Ended December 31,

(dollars in thousands)

2025

2024

2023

Net income

Banking

$

150,342 

$

117,266 

$

123,853 

Wealth Management

24,183 

22,030 

18,804 

FirsTech

(1,763)

(670)

830 

Other

(37,500)

(24,935)

(20,922)

Net income

$

135,262 

$

113,691 

$

122,565 

First Busey Corporation (BUSE) | 2025 — 57

Table of Contents

Contents of Item 7. MD&A

Non-GAAP Adjusting Items and Non-GAAP Measures

Busey views certain non-operating items, including acquisition-related expenses, restructuring charges, and nonrecurring strategic events, as adjustments to net income reported under GAAP. Busey also adjusts for net securities gains and losses to align with industry and research analyst reporting. The objective of Busey’s presentation of adjusted earnings and adjusted earnings metrics is to allow investors and analysts to more clearly identify quarterly trends in core earnings performance. Pre-tax non-GAAP adjustments were as follows:

Years Ended December 31,

(dollars in thousands)

2025

2024

2023

Pre-tax non-GAAP adjusting items by income/expense category

Realized net (gains) losses on the sale of mortgage servicing rights

$

— 

$

(7,724)

$

— 

Net securities (gains) losses

10,726 

6,102 

2,199 

Other noninterest income

44 

— 

— 

Provision for credit losses

49,602 

— 

— 

Salaries, wages, and employee benefits

37,072 

1,580 

3,760 

Data processing

6,984 

548 

— 

Net occupancy expense of premises

13 

46 

— 

Furniture and equipment expenses

67 

88 

— 

Professional fees

8,100 

4,891 

435 

Other noninterest expense

2,413 

987 

133 

Total pre-tax non-GAAP adjustments

$

115,021 

$

6,518 

$

6,527 

Non-GAAP adjusting items by business objective

Balance sheet repositioning1

$

— 

$

(7,724)

$

— 

Net securities (gains) losses1

10,726 

6,102 

2,199 

Initial provision for credit losses2

49,602 

— 

— 

Other acquisition (income) expenses3

54,736 

6,901 

357 

Restructuring expenses4

(43)

1,239 

3,971 

Total pre-tax non-GAAP adjustments

$

115,021 

$

6,518 

$

6,527 

___________________________________________

1.During the year ended December 31, 2024, Busey executed a two-part balance sheet repositioning strategy in which it sold mortgage servicing rights on approximately $923.5 million of one-to-four family mortgage loans for a pre-tax gain of $7.7 million and sold available-for-sale debt securities with a book value of approximately $108.2 million for a pre-tax loss of $6.8 million.

2.During the year ended December 31, 2025, in connection with the CrossFirst acquisition, Busey’s recorded expense for the initial provision for credit losses consisting of a Day 2 provision for loan losses of $42.4 million, a Day 2 provision for unfunded commitments of $3.1 million, and an adjustment to the initial provision for unfunded commitments of $4.0 million that was recorded based on revised estimates resulting from implementation of a new CECL model.

3.Other acquisition expenses related to the acquisition of CrossFirst, which was completed on March 1, 2025, and the acquisition of M&M, which was completed on April 1, 2024.

4.Restructuring expenses were related to previously disclosed restructuring and efficiency plans and to corporate strategy advisement.

A reconciliation of non-GAAP measures, which Busey believes facilitates the assessment of its financial results and peer comparability, is included in tabular form in this Annual Report. See “Item 1. Business—Non-GAAP Financial Information.”

First Busey Corporation (BUSE) | 2025 — 58

Table of Contents

Contents of Item 7. MD&A

Operating Performance Metrics

Operating performance metrics presented in the table below have been derived from information used by management to monitor and manage Busey’s financial performance:

Years Ended December 31,

(dollars in thousands, except per share amounts)

2025

2024

2023

Net income (GAAP)

$

135,262 

$

113,691 

$

122,565 

Adjusted net income (Non-GAAP)1, 2

$

224,974 

$

120,033 

$

127,763 

Net income available to common stockholders (GAAP)

$

125,386 

$

113,691 

$

122,565 

Adjusted net income available to common stockholders (Non-GAAP)1

$

215,098 

$

120,033 

$

127,763 

Diluted earnings per common share

$

1.47 

$

1.98 

$

2.18 

Adjusted diluted earnings per common share (Non-GAAP)1, 2

$

2.53 

$

2.09 

$

2.27 

Return on average assets

0.76 

%

0.94 

%

1.00 

%

Adjusted return on average assets (Non-GAAP)1, 2

1.27 

%

1.00 

%

1.04 

%

Return on average tangible common equity (Non-GAAP)1

7.48 

%

11.65 

%

14.62 

%

Adjusted return on average tangible common equity (Non-GAAP)1, 2

12.83 

%

12.30 

%

15.24 

%

Pre-provision net revenue (Non-GAAP)1, 3

$

250,109 

$

166,901 

$

158,963 

Adjusted pre-provision net revenue (Non-GAAP)1, 3

$

304,802 

$

167,317 

$

172,290 

Pre-provision net revenue to average total assets (Non-GAAP)1, 3

1.41 

%

1.38 

%

1.30 

%

Adjusted pre-provision net revenue to average total assets (Non-GAAP)1, 3

1.72 

%

1.39 

%

1.41 

%

___________________________________________

1.For a reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures, see “Item 1. Business—Non-GAAP Financial Information” included in this Annual Report.

2.Beginning in 2025, Busey revised its calculation of adjusted net income for all periods presented to include, as applicable, adjustments for net securities gains and losses, realized net gains and losses on the sale of mortgage servicing rights, and non-recurring deferred tax adjustments.

3.Beginning in 2025, Busey revised its presentation, for all periods presented, to reclassify the provision for unfunded commitments so that it is now included within the provision for credit losses, affecting the calculation of pre-provision net revenue and related measures and ratios.

Net Interest Income

Net interest income is the difference between interest income and fees earned on loans and investments (“interest-earning assets”) and interest expense incurred on deposits and borrowings (“interest-bearing liabilities”). Interest rate levels and volume fluctuations within interest-earning assets and interest-bearing liabilities impact net interest income. Net interest margin is tax-equivalent net interest income as a percent of average interest-earning assets.

Certain assets with tax-favorable treatment are evaluated on a tax-equivalent basis, assuming a federal income tax rate of 21.0%. Tax-favorable assets generally have lower contractual pre-tax yields than fully taxable assets. A tax-equivalent analysis is performed by adding the tax savings to the earnings on tax-favorable assets. After factoring in the tax-favorable effects of these assets, the yields may be more appropriately evaluated against alternative earning assets. In addition to yield, various other risks are factored into the evaluation process.

First Busey Corporation (BUSE) | 2025 — 59

Table of Contents

Contents of Item 7. MD&A

The tables below present Busey’s Consolidated Average Balance Sheets, summarizing average balances for each major category of assets and liabilities, the interest income earned on interest-earning assets, the interest expense paid for interest-bearing liabilities, and the related interest yields for the periods indicated. Average information is provided on a daily average basis:

First Busey Corporation (BUSE) | 2025 — 60

Table of Contents

Contents of Item 7. MD&A

Year Ended December 31, 2025

(dollars in thousands)

Average

Balance

Income/

Expense

Yield/

Rate

Assets

Interest-bearing bank deposits and federal funds sold

$

575,781 

$

24,633 

4.28 

%

Investment securities:

U.S. Government obligations

96,287 

4,782 

4.97 

%

Obligations of states and political subdivisions

233,027 

9,670 

4.15 

%

Other securities

2,596,463 

76,881 

2.96 

%

Restricted bank stock

65,988 

2,956 

4.48 

%

Loans held for sale

7,257 

440 

6.06 

%

Portfolio loans1, 2

12,756,937 

777,474 

6.09 

%

Total interest-earning assets1, 3

16,331,740 

$

896,836 

5.49 

%

Cash and due from banks

166,511 

Premises and equipment

175,077 

ACL

(172,147)

Other assets

1,228,706 

Total assets

$

17,729,887 

Liabilities and stockholders’ equity

Interest-bearing transaction deposits

$

3,076,961 

$

56,233 

1.83 

%

Savings and money market deposits

5,738,073 

154,300 

2.69 

%

Time deposits

2,471,023 

92,456 

3.74 

%

Federal funds purchased and repurchase agreements

149,916 

3,708 

2.47 

%

Borrowings4

242,225 

12,064 

4.98 

%

Junior subordinated debt issued to unconsolidated trusts

76,816 

5,490 

7.15 

%

Total interest-bearing liabilities

11,755,014 

$

324,251 

2.76 

%

Net interest spread1

2.73 

%

Noninterest-bearing deposits

3,450,226 

Other liabilities

244,188 

Stockholders’ equity

2,280,459 

Total liabilities and stockholders’ equity

$

17,729,887 

Interest income / earning assets1, 3

$

16,331,740 

$

896,836 

5.49 

%

Interest expense / earning assets

16,331,740 

324,251 

1.98 

%

Net interest margin1

$

572,585 

3.51 

%

___________________________________________

1.On a tax-equivalent basis, assuming a federal income tax rate of 21.0%.

2.Non-accrual loans have been included in average portfolio loans.

3.Interest income includes tax-equivalent adjustments of $3.0 million.

4.Borrowings include, as applicable, short-term borrowings, long-term borrowings, senior notes, and subordinated notes. Interest expense includes a non-usage fee on the revolving credit facility.

First Busey Corporation (BUSE) | 2025 — 61

Table of Contents

Contents of Item 7. MD&A

Year Ended December 31, 2024

(dollars in thousands)

Average

Balance

Income/

Expense

Yield/

Rate

Assets

Interest-bearing bank deposits and federal funds sold

$

445,881 

$

22,441 

5.03 

%

Investment securities:

U.S. Government obligations

5,495 

158 

2.88 

%

Obligations of states and political subdivisions

153,467 

4,338 

2.83 

%

Other securities

2,567,526 

69,786 

2.72 

%

Restricted bank stock

14,414 

848 

5.88 

%

Loans held for sale

8,012 

503 

6.28 

%

Portfolio loans1, 2

7,804,629 

427,300 

5.47 

%

Total interest-earning assets1, 3

10,999,424 

$

525,374 

4.78 

%

Cash and due from banks

109,400 

Premises and equipment

121,663 

ACL

(89,369)

Other assets

910,753 

Total assets

$

12,051,871 

Liabilities and stockholders’ equity

Interest-bearing transaction deposits

$

2,469,664 

$

42,925 

1.74 

%

Savings and money market deposits

3,246,507 

74,536 

2.30 

%

Time deposits

1,584,953 

61,002 

3.85 

%

Federal funds purchased and repurchase agreements

147,786 

4,308 

2.92 

%

Borrowings4

240,137 

13,651 

5.68 

%

Junior subordinated debt issued to unconsolidated trusts

74,037 

4,648 

6.28 

%

Total interest-bearing liabilities

7,763,084 

$

201,070 

2.59 

%

Net interest spread1

2.19 

%

Noninterest-bearing deposits

2,738,892 

Other liabilities

207,471 

Stockholders’ equity

1,342,424 

Total liabilities and stockholders’ equity

$

12,051,871 

Interest income / earning assets1, 3

$

10,999,424 

$

525,374 

4.78 

%

Interest expense / earning assets

10,999,424 

201,070 

1.83 

%

Net interest margin1

$

324,304 

2.95 

%

___________________________________________

1.On a tax-equivalent basis, assuming a federal income tax rate of 21.0%.

2.Non-accrual loans have been included in average portfolio loans.

3.Interest income includes tax-equivalent adjustments of $1.7 million.

4.Borrowings include, as applicable, short-term borrowings, long-term borrowings, senior notes, and subordinated notes. Interest expense includes a non-usage fee on the revolving credit facility.

First Busey Corporation (BUSE) | 2025 — 62

Table of Contents

Contents of Item 7. MD&A

Year Ended December 31, 2023

(dollars in thousands)

Average

Balance

Income/

Expense

Yield/

Rate

Assets

Interest-bearing bank deposits and federal funds sold

$

214,422 

$

10,531 

4.91 

%

Investment securities:

U.S. Government obligations

79,669 

578 

0.73 

%

Obligations of states and political subdivisions

233,377 

6,560 

2.81 

%

Other securities

2,875,769 

76,568 

2.66 

%

Restricted bank stock

16,416 

1,170 

7.13 

%

Loans held for sale

1,885 

116 

6.13 

%

Portfolio loans1, 2

7,759,472 

387,193 

4.99 

%

Total interest-earning assets1, 3

11,181,010 

$

482,716 

4.32 

%

Cash and due from banks

116,530 

Premises and equipment

124,565 

ACL

(92,991)

Other assets

917,104 

Total assets

$

12,246,218 

Liabilities and stockholders’ equity

Interest-bearing transaction deposits

$

2,775,045 

$

43,268 

1.56 

%

Savings and money market deposits

2,870,397 

37,038 

1.29 

%

Time deposits

1,406,928 

43,679 

3.10 

%

Federal funds purchased and repurchase agreements

200,894 

5,203 

2.59 

%

Borrowings4

500,301 

26,881 

5.37 

%

Junior subordinated debt issued to unconsolidated trusts

71,894 

3,853 

5.36 

%

Total interest-bearing liabilities

7,825,459 

$

159,922 

2.04 

%

Net interest spread1

2.28 

%

Noninterest-bearing deposits

3,018,563 

Other liabilities

204,685 

Stockholders’ equity

1,197,511 

Total liabilities and stockholders’ equity

$

12,246,218 

Interest income / earning assets1, 3

$

11,181,010 

$

482,716 

4.32 

%

Interest expense / earning assets

11,181,010 

159,922 

1.43 

%

Net interest margin1

$

322,794 

2.89 

%

___________________________________________

1.On a tax-equivalent basis, assuming a federal income tax rate of 21.0%.

2.Non-accrual loans have been included in average portfolio loans.

3.Interest income includes tax-equivalent adjustments of $2.2 million.

4.Borrowings include short-term borrowings, long-term debt, senior notes, and subordinated notes. Interest expense includes a non-usage fee on the revolving credit facility.

First Busey Corporation (BUSE) | 2025 — 63

Table of Contents

Contents of Item 7. MD&A

The following tables present, for the major components of interest-earning assets and interest-bearing liabilities, a breakout of changes in interest income and interest expense attributable to (1) changes in average volume and (2) changes in average yield. For purposes of this table, changes attributable to both rate and volume, which cannot be segregated, have been allocated proportionately, based on changes due to rate and changes due to volume:

Years Ended December 31,

2025 vs. 2024 Change Due To

(dollars in thousands)

Average

Volume

Average

Yield/Rate

Total

Change

Increase (decrease) in interest income

Interest-bearing bank deposits and federal funds sold

$

5,891 

$

(3,699)

$

2,192 

Investment securities:

U.S. Government obligations

4,429 

195 

4,624 

Obligations of state and political subdivisions

2,802 

2,530 

5,332 

Other securities

794 

6,301 

7,095 

Restricted bank stock

2,356 

(248)

2,108 

Loans held for sale

(46)

(17)

(63)

Portfolio loans

297,176 

52,998 

350,174 

Change in interest income

313,402 

58,060 

371,462 

Increase (decrease) in interest expense

Interest-bearing transaction deposits

11,005 

2,303 

13,308 

Savings and money market deposits

68,504 

11,260 

79,764 

Time deposits

33,198 

(1,744)

31,454 

Federal funds purchased and repurchase agreements

61 

(661)

(600)

Borrowings

132 

(1,719)

(1,587)

Junior subordinated debt owed to unconsolidated trusts

180 

662 

842 

Change in interest expense

113,080 

10,101 

123,181 

Increase (decrease) in net interest income

$

200,322 

$

47,959 

$

248,281 

Percentage increase (decrease) in net interest income over prior period

76.6 

%

First Busey Corporation (BUSE) | 2025 — 64

Table of Contents

Contents of Item 7. MD&A

Years Ended December 31,

2024 vs. 2023 Change Due To

(dollars in thousands)

Average

Volume

Average

Yield/Rate

Total

Change

Increase (decrease) in interest income

Interest-bearing bank deposits and federal funds sold

$

11,643 

$

267 

$

11,910 

Investment securities:

U.S. Government obligations

(919)

499 

(420)

Obligations of state and political subdivisions

(2,259)

37 

(2,222)

Other securities

(8,350)

1,568 

(6,782)

Restricted bank stock

(132)

(190)

(322)

Loans held for sale

384 

3 

387 

Portfolio loans

2,266 

37,841 

40,107 

Change in interest income

2,633 

40,025 

42,658 

Increase (decrease) in interest expense

Interest-bearing transaction deposits

(5,029)

4,686 

(343)

Savings and money market deposits

3,489 

34,009 

37,498 

Time deposits

5,985 

11,338 

17,323 

Federal funds purchased and repurchase agreements

(1,489)

594 

(895)

Borrowings

(16,737)

3,507 

(13,230)

Junior subordinated debt owed to unconsolidated trusts

118 

677 

795 

Change in interest expense

(13,663)

54,811 

41,148 

Increase (decrease) in net interest income

$

16,296 

$

(14,786)

$

1,510 

Percentage increase (decrease) in net interest income over prior period

0.5 

%

Notable changes in average assets and average liabilities are summarized as follows for the periods presented:

Years Ended December 31,

(dollars in thousands)

2025

2024

Change

% Change

Average interest-earning assets

$

16,331,740 

$

10,999,424 

$

5,332,316 

48.5 

%

Average interest-bearing liabilities

11,755,014 

7,763,084 

3,991,930 

51.4 

%

Average noninterest-bearing deposits

3,450,226 

2,738,892 

711,334 

26.0 

%

Total average deposits

14,736,283 

10,040,016 

4,696,267 

46.8 

%

Total average liabilities

15,449,428 

10,709,447 

4,739,981 

44.3 

%

Average noninterest-bearing deposits as a percent of total average deposits

23.4 

%

27.3 

%

(390) bps

Total average deposits as a percent of total average liabilities

95.4 

%

93.7 

%

170 bps

First Busey Corporation (BUSE) | 2025 — 65

Table of Contents

Contents of Item 7. MD&A

Changes in net interest income and net interest margin are summarized as follows for the periods presented:

Years Ended December 31,

(dollars in thousands)

2025

2024

Change

% Change

Net interest income

Interest income, on a tax-equivalent basis1

$

896,836 

$

525,374 

$

371,462 

70.7 

%

Interest expense

(324,251)

(201,070)

(123,181)

(61.3)

%

Net interest income, on a tax-equivalent basis1

$

572,585 

$

324,304 

$

248,281 

76.6 

%

Net interest margin1, 2

3.51 

%

2.95 

%

56 bps

___________________________________________

1.Assuming a federal income tax rate of 21.0%.

2.Net interest income expressed as a percentage of average earning assets, stated on a tax-equivalent basis.

Busey continues to evaluate and execute off-balance sheet hedging and balance sheet strategies as well as embedding rate protection in our asset originations to provide stabilization to net interest income in lower rate environments. Stability in core deposit balances, as well as retail time deposit and savings specials, have continued to provide sufficient funding flows to allow intentional runoff of brokered and high-cost, non-relationship funding.

Net interest spread represents the difference between the average rate earned on earning assets and the average rate paid on interest-bearing liabilities, and is presented in the table below for the periods indicated:

Years Ended December 31,

2025

2024

2023

Net interest spread1

2.73 

%

2.19 

%

2.28 

%

___________________________________________

1.Calculated on a tax-equivalent basis.

Annualized net interest margins for the quarterly periods indicated were as follows:

2025

2024

2023

First Quarter

3.16 

%

2.79 

%

3.13 

%

Second Quarter

3.49 

%

3.03 

%

2.86 

%

Third Quarter

3.58 

%

3.02 

%

2.81 

%

Fourth Quarter

3.71 

%

2.95 

%

2.75 

%

Management attempts to mitigate the effects of an unpredictable interest-rate environment through effective portfolio management, prudent loan underwriting and pricing discipline, and operational efficiencies.

First Busey Corporation (BUSE) | 2025 — 66

Table of Contents

Contents of Item 7. MD&A

Noninterest Income

Changes in noninterest income are summarized in the tables below for the periods presented:

Years Ended December 31,

(dollars in thousands)

2025

2024

Change

% Change

Noninterest income

Wealth management fees

$

69,426 

$

63,630 

$

5,796 

9.1 

%

Payment technology solutions

20,000 

21,983 

(1,983)

(9.0)

%

Treasury management services

17,322 

8,377 

8,945 

106.8 

%

Card services and ATM fees

18,048 

13,424 

4,624 

34.4 

%

Other service charges on deposit accounts

6,281 

9,440 

(3,159)

(33.5)

%

Mortgage revenue

2,565 

2,075 

490 

23.6 

%

Income on bank owned life insurance

6,597 

5,130 

1,467 

28.6 

%

Realized net gains (losses) on the sale of mortgage servicing rights

— 

7,724 

(7,724)

(100.0)

%

Securities income:

Realized net gains (losses) on securities

(15,242)

(7,033)

(8,209)

(116.7)

%

Unrealized net gains (losses) recognized on equity securities

4,516 

931 

3,585 

385.1 

%

Net securities gains (losses)

(10,726)

(6,102)

(4,624)

(75.8)

%

Other noninterest income

20,462 

14,001 

6,461 

46.1 

%

Total noninterest income

$

149,975 

$

139,682 

$

10,293 

7.4 

%

Assets under care as of period end

$

15,657,269 

$

13,833,654 

$

1,823,615 

13.2 

%

Total noninterest income was $150.0 million for the year ended December 31, 2025, an increase of 7.4% when compared with $139.7 million for the year ended December 31, 2024. Total noninterest income represented 20.8% of total revenue2 in 2025, compared to 30.2% in 2024. The year ended December 31, 2025, includes ten months of income from the CrossFirst acquisition.

Revenues from wealth management fees and payment technology solutions provide a complement to spread-based revenue from traditional banking activities.

Wealth management fees increased by 9.1% to $69.4 million for 2025, compared to $63.6 million for 2024. Busey’s Wealth Management division had $15.66 billion in assets under care as of December 31, 2025, compared to $13.83 billion as of December 31, 2024. Busey’s portfolio management team continues to focus on long-term returns and managing risk in the face of volatile markets.

Income from payment technology solutions derives from Busey’s payment processing company, FirsTech. This income decreased by 9.0% to $20.0 million for 2025, compared to $22.0 million for 2024, primarily due to decreases in income from online bill payments.

Treasury management services consist primarily of business analysis charges and wire transfer fees on commercial accounts. Income from treasury management services increased by 106.8% compared to 2024 due to the addition of CrossFirst commercial services.

Card services and ATM fees, which include both commercial and consumer accounts, increased by 34.4% compared to 2024 primarily due to the addition of CrossFirst corporate card services.

2 Total revenue consists of net interest income plus noninterest income.

First Busey Corporation (BUSE) | 2025 — 67

Table of Contents

Contents of Item 7. MD&A

Other service charges on deposit accounts were $6.3 million for the year ended December 31, 2025, a decline of 33.5% from the comparable period in 2024. Declines were largely related to lower non-sufficient fund charges, reflecting changes Busey made to its fee structure in 2025.

Mortgage revenue was $2.6 million for 2025, compared to $2.1 million for 2024. General economic conditions and interest rate volatility may impact future mortgage revenue.

Income on bank owned life insurance increased by 28.6% to $6.6 million for 2025, compared to $5.1 million for 2024, resulting from a $1.9 million increase in the cash surrender value of the insurance policies partially offset by a $0.4 million decrease in earnings on death proceeds.

During the year ended December 31, 2025, Busey did not record any realized gains on the sale of mortgage servicing rights. In comparison, during the year ended December 31, 2024, Busey recognized a $7.7 million gain on the sale of mortgage servicing rights in connection with a strategic two-part balance sheet repositioning. For more information, see “Busey executed a two-part balance sheet repositioning strategy” in the Management Discussion and Analysis included in Busey’s Quarterly Report for the first quarter of 2024, filed with the SEC on May 7, 2024.

Net securities losses of $10.7 million during the year ended December 31, 2025, were greater than the net securities losses realized during the comparable period in 2024. Losses for the year ended December 31, 2025, were comprised of $15.2 million of realized net losses on securities resulting from a strategic balance sheet repositioning completed in the first quarter of 2025, partially offset by unrealized net gains on Busey’s approximately 3% equity ownership of a financial institution that was the target of an acquisition at a significant market premium.

Other income increased by 46.1% to $20.5 million for 2025, compared to $14.0 million for 2024. Increases in other income were primarily attributable to increases in commercial loan servicing income and swap origination fees.

First Busey Corporation (BUSE) | 2025 — 68

Table of Contents

Contents of Item 7. MD&A

Noninterest Expense

Changes in noninterest expense are summarized in the tables below for the periods presented:

Years Ended December 31,

(dollars in thousands)

2025

2024

Change

% Change

Noninterest expense

Salaries, wages, and employee benefits

$

289,063 

$

175,619 

$

113,444 

64.6 

%

Data processing

43,181 

27,124 

16,057 

59.2 

%

Premises expenses:

Net occupancy expense of premises

29,490 

18,737 

10,753 

57.4 

%

Furniture and equipment expenses

8,496 

6,805 

1,691 

24.8 

%

Combined, net occupancy expense of premises and furniture and equipment expenses

37,986 

25,542 

12,444 

48.7 

%

Professional fees

18,807 

12,804 

6,003 

46.9 

%

Amortization of intangible assets

16,614 

10,057 

6,557 

65.2 

%

Interchange expense

5,194 

6,001 

(807)

(13.4)

%

FDIC insurance

10,397 

5,603 

4,794 

85.6 

%

Other noninterest expense

58,959 

38,744 

20,215 

52.2 

%

Total noninterest expense

$

480,201 

$

301,494 

$

178,707 

59.3 

%

Income taxes

$

51,378 

$

39,613 

$

11,765 

29.7 

%

Effective income tax rate

27.5 

%

25.8 

%

170 bps

Efficiency ratio (Non-GAAP)1

63.2 

%

62.0 

%

120 bps

Adjusted efficiency ratio (Non-GAAP)1

55.8 

%

61.3 

%

(550) bps

Full-time equivalent associates as of period-end

1,914 

1,509 

405 

26.8 

%

___________________________________________

1.For a reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures, see “Item 1. Business—Non-GAAP Financial Information” included in the Annual Report.

Total noninterest expense increased to $480.2 million for the year ended December 31, 2025, compared to $301.5 million for the year ended December 31, 2024, representing a year-over-year increase of 59.3%. Growth in noninterest expense was primarily attributable to acquisition expenses related to the CrossFirst acquisition, added costs for operating expenses for two banks from March 1, 2025, until the banks were merged on June 20, 2025, and increased expenses associated with Busey’s larger organization and expanded branch network. Acquisition and restructuring expenses contributed $54.6 million to total noninterest expense for the year ended December 31, 2025, compared to $8.1 million for the comparable period in 2024. Annual pre-tax expense synergy estimates resulting from the CrossFirst acquisition remain on track at $25.0 million with 100% realization of identified synergies in 2026.

Salaries, wages, and employee benefits increased to $289.1 million for 2025, compared to $175.6 million for 2024. Excluding acquisition and restructuring expenses, which include severance, retention, and stock-based compensation expenses related to the CrossFirst acquisition, salaries, wages, and employee benefits were $252.0 million for 2025, compared to $174.0 million for 2024, representing an increase of 44.8%. During 2025, Busey added 17 banking centers, largely in connection with the CrossFirst acquisition, resulting in the expansion of Busey’s workforce, including the addition of 405 full-time equivalent associates.

First Busey Corporation (BUSE) | 2025 — 69

Table of Contents

Contents of Item 7. MD&A

Data processing expense increased to $43.2 million for 2025, compared to $27.1 million for 2024. Excluding acquisition and restructuring expenses, data processing expense was $36.2 million for 2025, compared to $26.6 million for 2024, representing an increase of 36.2%. Increases were primarily attributable to Company-wide investments in technology enhancements, as well as inflation-driven price increases.

Combined, net occupancy expense of premises and furniture and equipment expenses increased to $38.0 million for 2025, compared to $25.5 million for 2024. The CrossFirst acquisition added 16 banking centers. Further, on August 18, 2025, Busey opened its second Denver service center, located in the Cherry Creek North neighborhood. Primary cost drivers in these expense categories include lease costs, repairs and maintenance, depreciation expense, real estate taxes, and utilities.

Professional fees increased to $18.8 million for 2025, compared to $12.8 million for 2024. Excluding acquisition and restructuring expenses, professional fees were $10.7 million for 2025, compared to $7.9 million for 2024, representing an increase of 35.3%. Primary cost drivers in this expense category include legal, audit and accounting, and consulting expenses.

Amortization of intangible assets increased to $16.6 million for 2025, compared to $10.1 million for 2024. The CrossFirst acquisition added an estimated $81.8 million of finite-lived intangible assets with amortization of $7.8 million during the year ended December 31, 2025. Busey uses an accelerated amortization methodology.

Interchange expense decreased to $5.2 million for 2025, compared to $6.0 million for 2024. Fluctuations in interchange expense relate to payment and volume activity at FirsTech.

FDIC insurance expense increased to $10.4 million for 2025, compared to $5.6 million for 2024. Additional FDIC insurance assessments were the result of Busey’s growth in average assets in connection with the CrossFirst acquisition.

Other noninterest expense increased to $59.0 million for 2025, compared to $38.7 million for 2024. Excluding acquisition and restructuring expenses, other noninterest expense was $56.5 million for 2025, compared to $37.8 million for 2024, representing an increase of 49.8%. Increases in other noninterest expense were attributable to multiple items, including increased costs on loans, marketing, business development, and office supplies.

Efficiency Ratio

The efficiency ratio3 is calculated as total noninterest expense, less amortization charges, as a percentage of tax-equivalent net interest income plus noninterest income, less security gains and losses. The efficiency ratio, which is a measure commonly used by management and the banking industry, measures the amount of expense incurred to generate a dollar of revenue. Busey’s efficiency ratio was 63.2% for the year ended December 31, 2025, compared to 62.0% for the year ended December 31, 2024.

Operating costs have been influenced by acquisition expenses and other restructuring costs, and the adjusted efficiency ratio3 was 55.8% for the year ended December 31, 2025, compared to 61.3% for the year ended December 31, 2024.

Income Taxes

Effective income tax rates, calculated by dividing income taxes by income before taxes, were 27.5%, 25.8%, and 20.4% for the years ended December 31, 2025, 2024, and 2023, respectively. Busey's effective tax rate increased in 2025 primarily due to the deferred tax impact of the lower blended state tax rates resulting in (1) a one-time revaluation of deferred tax assets; and (2) a higher disallowance related to Internal Revenue Code Section 162(m) limited compensation. These results were partially offset by increased tax credit investments and tax-exempt interest. Following the acquisition of CrossFirst Bank, and the inclusion of the CrossFirst entities within the Busey consolidated group, the deferred tax attributes were revalued to reflect the new consolidated group's state tax rates. As such, there was a significant rate change adjustment recognized against deferred tax assets in 2025, which increased Busey's effective tax rate for the year ended December 31, 2025.

3 The efficiency ratio and adjusted efficiency ratio are both non-GAAP financial measures. For a reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures, see “Item 1. Business—Non-GAAP Financial Information.”

First Busey Corporation (BUSE) | 2025 — 70

Table of Contents

Contents of Item 7. MD&A

Busey continues to monitor evolving federal and state tax legislation and its potential impact on operations on an ongoing basis. As of December 31, 2025, Busey remains under examination by the Illinois Department of Revenue for Merchant & Manufacturers Bank's tax filings for the tax years ended December 31, 2022 and 2023. The Florida Department of Revenue examination of Busey Bank's tax years 2020 to 2022 corporate income tax filings was completed with no additional income tax assessments.

FINANCIAL CONDITION

Balance Sheet

Changes in significant items included on Busey’s Consolidated Balance Sheets are summarized in the table below:

As of December 31,

(dollars in thousands)

2025

2024

Change

% Change

Assets

Debt securities available for sale

$

2,162,548 

$

1,810,221 

$

352,327 

19.5 

%

Debt securities held to maturity

746,385 

826,630 

(80,245)

(9.7)

%

Portfolio loans, net of ACL

13,393,776 

7,613,683 

5,780,093 

75.9 

%

Total assets

18,104,736 

12,046,722 

6,058,014 

50.3 

%

Liabilities

Deposits:

Noninterest-bearing

3,659,421 

2,719,907 

939,514 

34.5 

%

Interest-bearing

11,246,537 

7,262,583 

3,983,954 

54.9 

%

Total deposits

14,905,958 

9,982,490 

4,923,468 

49.3 

%

Securities sold under agreements to repurchase

166,929 

155,610 

11,319 

7.3 

%

Long-term borrowings

113,806 

— 

113,806 

100.0 

%

Subordinated notes, net of unamortized issuance costs

99,395 

227,723 

(128,328)

(56.4)

%

Total liabilities

15,635,754 

10,663,453 

4,972,301 

46.6 

%

Stockholders’ equity

2,468,982 

1,383,269 

1,085,713 

78.5 

%

Investment Securities

The primary purposes of Busey’s investment securities portfolio are to provide a source of earnings by deploying funds that are not needed to fulfill loan demand, deposit redemptions, or other liquidity purposes; to serve as a tool for interest rate risk positioning; and to provide collateral for pledging purposes against public deposits and repurchase agreements, all while providing a source of liquidity.

Busey considers many factors in determining the composition of its investment portfolio including, but not limited to, credit quality, duration, interest rate risk, liquidity, tax-equivalent yield, regulatory considerations, and overall portfolio allocation. As of December 31, 2025, Busey did not hold general obligation bonds of any single issuer, the aggregate of which exceeded 10% of Busey’s stockholders’ equity.

Pledged securities totaled $744.2 million, or 25.6% of total debt securities, as of December 31, 2025, and $871.4 million, or 33.0% of total debt securities, as of December 31, 2024.

First Busey Corporation (BUSE) | 2025 — 71

Table of Contents

Contents of Item 7. MD&A

Debt Securities Available for Sale

Debt securities available for sale are carried at fair value. Net unrealized gains or losses, net of tax, are recorded in stockholders’ equity, through AOCI. As of December 31, 2025, the fair value of debt securities available for sale was $2.16 billion, and the amortized cost was $2.30 billion. There were $13.9 million of gross unrealized gains and $152.2 million of gross unrealized losses, resulting in a net unrealized loss of $138.3 million.

The composition of debt securities available for sale was as follows:

As of December 31,

(dollars in thousands)

2025

2024

Debt securities available for sale

Obligations of U.S. government corporations and agencies

$

112,046 

$

1,400 

Obligations of states and political subdivisions

263,873 

139,829 

Asset-backed securities

265,580 

336,557 

Commercial mortgage-backed securities

132,942 

92,174 

Residential mortgage-backed securities

1,344,416 

1,087,210 

Corporate debt securities

43,691 

153,051 

Debt securities available for sale, fair value

$

2,162,548 

$

1,810,221 

Debt securities available for sale, amortized cost

$

2,300,845 

$

2,039,952 

Fair value as a percentage of amortized cost

93.99 

%

88.74 

%

First Busey Corporation (BUSE) | 2025 — 72

Table of Contents

Contents of Item 7. MD&A

By maturity date, fair values and weighted average yields of debt securities available for sale as of December 31, 2025, are presented in the following table:

Due in 1 year or less

Due after 1 year

through 5 years

Due after 5 years

through 10 years

Due after

10 years

(dollars in thousands)

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Debt securities available for sale1

Obligations of U.S. government corporations and agencies

$

— 

— 

%

$

82 

5.18 

%

$

— 

— 

%

$

111,964 

4.95 

%

Obligations of states and political subdivisions2

5,889 

3.70 

%

42,361 

2.55 

%

75,654 

3.08 

%

139,969 

5.65 

%

Asset-backed securities

— 

— 

%

— 

— 

%

120,990 

5.37 

%

144,590 

5.27 

%

Commercial mortgage-backed securities

1,612 

2.75 

%

2,618 

3.02 

%

58,612 

3.31 

%

70,100 

3.44 

%

Residential mortgage-backed securities

53 

2.87 

%

2,908 

3.91 

%

75,297 

2.16 

%

1,266,158 

3.09 

%

Corporate debt securities

3,130 

2.61 

%

15,366 

4.30 

%

25,195 

4.20 

%

— 

— 

%

Debt securities available for sale

$

10,684 

3.23 

%

$

63,335 

3.06 

%

$

355,748 

3.78 

%

$

1,732,781 

3.61 

%

___________________________________________

1.Securities are presented based upon final contractual maturity or pre-refunded date.

2.Weighted average yield calculated on a tax-equivalent basis, assuming a federal income tax rate of 21.0%.

Debt Securities Held to Maturity

Debt securities held to maturity are carried at amortized cost. Unrecognized losses related to securities that were transferred in 2022 are included in OCI, net of taxes, and amortized into income over the contractual lives of the securities. An ACL balance will be established for debt securities held to maturity when applicable. No ACL was recorded for Busey’s portfolio of debt securities held to maturity as of December 31, 2025 or 2024.

As of December 31, 2025, the amortized cost of debt securities held to maturity was $746.4 million, and the fair value was $626.0 million. There were no gross unrecognized gains and $120.4 million of gross unrecognized losses.

The composition of debt securities held to maturity was as follows:

As of December 31,

(dollars in thousands)

2025

2024

Debt securities held to maturity

Commercial mortgage-backed securities

$

367,825 

$

415,530 

Residential mortgage-backed securities

378,560 

411,100 

Debt securities held to maturity, amortized cost

$

746,385 

$

826,630 

Debt securities held to maturity, fair value

$

625,957 

$

675,053 

Fair value as a percentage of amortized cost

83.87 

%

81.66 

%

First Busey Corporation (BUSE) | 2025 — 73

Table of Contents

Contents of Item 7. MD&A

By maturity date, fair values and weighted average yields of debt securities held to maturity as of December 31, 2025, are presented in the following table:

Due in 1 year or less

Due after 1 year

through 5 years

Due after 5 years

through 10 years

Due after

10 years

(dollars in thousands)

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Fair

Value

Weighted

Average

Yield

Debt securities held to maturity1

Commercial mortgage-backed securities

$

19,896 

2.15 

%

$

35,836 

2.18 

%

$

— 

— 

%

$

246,883 

2.12 

%

Residential mortgage-backed securities

— 

— 

%

— 

— 

%

— 

— 

%

323,342 

2.22 

%

Debt securities held to maturity

$

19,896 

2.15 

%

$

35,836 

2.18 

%

$

— 

— 

%

$

570,225 

2.18 

%

___________________________________________

1.Securities are presented based upon final contractual maturity or pre-refunded date.

Equity Securities

Equity securities are carried at fair value. The fair value of equity securities was $14.9 million as of December 31, 2025, compared to $15.9 million as of December 31, 2024.

Portfolio Loans

Busey believes that making sound and profitable loans is a necessary and desirable means of employing funds available for investment. Busey maintains lending policies and procedures designed to focus lending efforts on the types, locations, and duration of loans most appropriate for its business model and markets. While not specifically limited, Busey attempts to focus its lending on short to intermediate-term loans (0-10 years) in states where Busey maintains lending offices. Busey attempts to utilize government-assisted lending programs, such as the SBA and U.S. Department of Agriculture lending programs, when prudent. Generally, loans are collateralized by assets, primarily real estate, and guaranteed by individuals. Loans are expected to be repaid primarily from cash flows of the borrowers or from proceeds from the sale of selected assets of the borrowers.

Management reviews and approves Busey Bank’s lending policies and procedures on a regular basis. Management routinely—at least quarterly—reviews the ACL in conjunction with reports related to loan production, loan quality, concentrations of credit, loan delinquencies, non-performing loans, and potential problem loans. Busey’s underwriting standards are designed to encourage relationship banking rather than transactional banking. Relationship banking implies a primary banking relationship with the borrower that includes, at a minimum, an active deposit banking relationship in addition to the lending relationship. Significant underwriting factors in addition to location, duration, a sound and profitable cash flow basis, and the borrower’s character, include the quality of the borrower’s financial history, the liquidity of the underlying collateral, and the reliability of the valuation of the underlying collateral.

At no time is a borrower’s total borrowing relationship permitted to exceed Busey Bank’s regulatory lending limit. Busey generally limits such relationships to amounts substantially less than the regulatory limit. Loans to related parties, including executive officers and directors of First Busey Corporation and its subsidiaries, are reviewed for compliance with regulatory guidelines.

Busey maintains an independent loan review department that reviews loans for compliance with Busey’s loan policy on a periodic basis. In addition, the loan review department reviews risk assessments made by Busey’s credit department, lenders, and loan committees. Results of these reviews are presented to management and the audit committee at least quarterly.

First Busey Corporation (BUSE) | 2025 — 74

Table of Contents

Contents of Item 7. MD&A

Busey Bank’s lending can be summarized into five primary lending activities, which can be further categorized as either commercial or retail lending. Commercial lending activities consist of C&I and other commercial loans, CRE loans, and real estate construction loans while retail lending activities consist of retail real estate loans and retail other loans.

C&I and Other Commercial Loans

C&I and other commercial loans typically comprise working capital loans or business expansion loans, including loans for asset purchases and other business loans. C&I and other commercial loans will generally be guaranteed, in full or a material percentage, by the primary owners of the business. C&I and other commercial loans are made based primarily on the borrower’s historical and projected cash flows and secondarily on the underlying assets pledged as collateral by the borrower. Cash flows of the borrower, however, may not perform consistently with historical or projected information. Further, collateral securing loans may fluctuate in value due to individual economic or other factors. Busey Bank has established minimum standards and underwriting guidelines for all C&I and other commercial loan types.

Commercial Real Estate Loans

The commercial environment, along with the academic presence in some of the markets in which Busey operates, provides for the majority of Busey’s commercial lending opportunities to be CRE related, including multi-unit housing. As the majority of Busey’s loan portfolio is within the CRE class, Busey’s goal is to maintain a high quality, geographically diverse portfolio of CRE loans. CRE loans are subject to underwriting standards and guidelines similar to commercial loans. CRE loans are generally guaranteed, in full or a material percentage, by the primary owners of the business. Repayment of these loans is primarily dependent on the cash flows of the underlying property. Nevertheless, CRE loans generally must be supported by an adequate underlying collateral value. The performance and the value of the underlying property may be adversely affected by economic factors or geographical and/or industry specific factors. These loans are subject to other industry guidelines which Busey closely monitors.

Real Estate Construction Loans

Real estate construction loans are primarily commercial in nature. Loan proceeds are monitored by Busey and advanced for the improvement of real estate in which Busey holds a mortgage. Real estate construction loans will generally be guaranteed, in full or a material percentage, by the developer or primary owners of the business. These loans are subject to underwriting standards and guidelines similar to commercial loans and generally must be supported by an adequate “as completed” value of the underlying project. In addition to the underlying project, the financial history of the developer and business owners weighs significantly in determining approval. Repayment of these loans is typically through permanent financing following completion of the construction. Real estate construction loans are inherently more risky than loans on completed properties as the unimproved nature and the financial risks of construction significantly enhance the risks of commercial real estate loans. These loans are closely monitored and subject to other industry guidelines.

Retail Real Estate Loans

Retail real estate loans are comprised of direct consumer loans that include residential real estate, home equity lines of credit, and home equity loans. In 2025, Busey retained a smaller percentage of originated retail real estate loans in its portfolio, electing to sell a larger percentage to secondary market purchasers. As retail real estate loan underwriting is subject to specific regulations, Busey typically underwrites retail real estate loans to conform to widely accepted standards. Several factors are considered in underwriting including the debt-to-income ratio and credit history of the borrower, as well as the value of the underlying real estate.

Retail Other Loans

Retail other loans consist of installment loans to individuals, including automotive loans and indirect lending. These loans are centrally underwritten utilizing the borrower’s financial history, including credit scores, as well as information about the underlying collateral. Retail other loans also include whole-life loans which are secured by the cash value of underlying life insurance policies. Repayment of retail other loans is expected from the borrower’s cash flows.

First Busey Corporation (BUSE) | 2025 — 75

Table of Contents

Contents of Item 7. MD&A

Portfolio Composition

The composition of Busey’s loan portfolio as of the dates indicated, as well as changes in portfolio loan balances, were as follows:

As of December 31,

(dollars in thousands)

2025

2024

Change

% Change

Commercial loans

C&I and other commercial

$

4,229,208 

$

1,904,515 

$

2,324,693 

122.1 

%

CRE

5,550,018 

3,269,564 

2,280,454 

69.7 

%

Real estate construction

1,039,289 

378,209 

661,080 

174.8 

%

Total commercial loans

10,818,515 

5,552,288 

5,266,227 

94.8 

%

Retail loans

Retail real estate

2,154,616 

1,696,457 

458,159 

27.0 

%

Retail other

594,668 

448,342 

146,326 

32.6 

%

Total retail loans

2,749,284 

2,144,799 

604,485 

28.2 

%

Total portfolio loans

13,567,799 

7,697,087 

5,870,712 

76.3 

%

ACL

(174,023)

(83,404)

(90,619)

108.7 

%

Portfolio loans, net

$

13,393,776 

$

7,613,683 

$

5,780,093 

75.9 

%

Portfolio loan growth in 2025 was primarily attributable to the CrossFirst acquisition. Busey remains steadfast in its conservative approach to underwriting and disciplined approach to pricing. During 2025, Busey experienced elevated payoffs that outpaced new production momentums.

Concentration of Credit Risk

As a matter of policy and practice, Busey limits the level of concentration exposure in any particular loan segment with the goal of maintaining a well-diversified loan portfolio. The following table presents the percentage of total portfolio loans for each lending activity.

As of December 31,

2025

2024

Commercial loans

C&I and other commercial

31.2 

%

24.8 

%

CRE

40.9 

%

42.5 

%

Real estate construction

7.6 

%

4.9 

%

Total commercial loans

79.7 

%

72.2 

%

Retail loans

Retail real estate

15.9 

%

22.0 

%

Retail other

4.4 

%

5.8 

%

Total retail loans

20.3 

%

27.8 

%

Total portfolio loans

100.0 

%

100.0 

%

Busey Bank originates loans across its regional operating model and through its specialty product lines, as described below:

•East – Suburban Chicago markets, the St. Louis MSA, and southwest Florida

•Midwest – Central Illinois and Indianapolis, Indiana

•Central – The Kansas City MSA, Central Kansas, and Oklahoma

First Busey Corporation (BUSE) | 2025 — 76

Table of Contents

Contents of Item 7. MD&A

•Texas – The Dallas-Fort Worth MSA

•West – Colorado, New Mexico, and Arizona

•Verticals – Busey’s Life Equity Lending, Sponsor Finance, Energy Lending, and SBA Lending products

The distribution of Busey Bank loans outstanding as of December 31, 2025, that were originated in each of these markets is presented in the table below:

As of December 31, 2025

(dollars in thousands)

C&I and other commercial

CRE

Real estate construction

Retail real estate

Retail other

Total

Loans by region of origination

East

$

1,088,440 

$

1,808,207 

$

113,509 

$

879,925 

$

80,416 

$

3,970,497 

Midwest

844,521 

1,424,213 

269,526 

722,721 

9,521 

3,270,502 

Central

626,517 

839,189 

204,985 

342,953 

9,792 

2,023,436 

Texas

598,561 

790,181 

276,156 

117,814 

3,211 

1,785,923 

West

245,275 

527,756 

155,173 

78,952 

457 

1,007,613 

Verticals

825,894 

160,472 

19,940 

12,251 

491,271 

1,509,828 

Total portfolio loans

$

4,229,208 

$

5,550,018 

$

1,039,289 

$

2,154,616 

$

594,668 

13,567,799 

ACL

(174,023)

Portfolio loans, net of ACL

$

13,393,776 

Prior to the CrossFirst acquisition on March 1, 2025, Busey Bank’s loan origination occurred in the Illinois, Missouri, Florida, and Indiana markets. The geographic distribution of Busey Bank loans outstanding as of December 31, 2024, that were originated in each of these markets is presented in the table below:

As of December 31, 2024

(dollars in thousands)

C&I and other commercial

CRE

Real estate construction

Retail real estate

Retail other

Total

Loans by state of origination

Illinois

$

1,493,670 

$

2,285,915 

$

232,898 

$

1,275,834 

$

443,164 

$

5,731,481 

Missouri

276,140 

560,337 

40,816 

211,878 

3,731 

1,092,902 

Florida

58,277 

245,918 

30,826 

128,352 

683 

464,056 

Indiana

76,428 

177,394 

73,669 

80,393 

764 

408,648 

Total portfolio loans

$

1,904,515 

$

3,269,564 

$

378,209 

$

1,696,457 

$

448,342 

7,697,087 

ACL

(83,404)

Portfolio loans, net of ACL

$

7,613,683 

First Busey Corporation (BUSE) | 2025 — 77

Table of Contents

Contents of Item 7. MD&A

Commercial Real Estate Loans

CRE loans made up 40.9% of Busey’s total loan portfolio as of December 31, 2025, and CRE properties were approximately 25.8% owner occupied. Owner occupied commercial real estate is generally dependent on the performance of the borrowers’ businesses, whereas non-owner occupied commercial real estate is generally reliant on property cash flows generated by third-party tenants.

As of December 31,

(dollars in thousands)

2025

2024

COMMERCIAL REAL ESTATE LOANS

Non-owner occupied commercial real estate

$

4,118,361 

74.2 

%

$

2,360,273 

72.2 

%

Owner-occupied commercial real estate

1,431,657 

25.8 

%

909,291 

27.8 

%

Total commercial real estate loans

$

5,550,018 

100.0 

%

$

3,269,564 

100.0 

%

CRE loans are made across a variety of industries, as depicted in the table below. Balances reflected in the table below do not include loan origination fees or costs, purchase accounting adjustments, SBA discounts, or negative escrow amounts.

As of December 31, 2025

CRE Loans

Occupied By

% of CRE Loans That Are Owner Occupied

(dollars in thousands)

Non-Owner

Owner

Industry

Industrial and warehousing

$

1,189,936 

$

702,068 

$

487,868 

41.0 

%

Apartments

875,081 

874,893 

188 

— 

%

Retail

870,227 

747,309 

122,918 

14.1 

%

Traditional office

675,386 

464,224 

211,162 

31.3 

%

Specialty

561,210 

222,564 

338,646 

60.3 

%

Hotel

333,906 

329,186 

4,720 

1.4 

%

Medical office

285,182 

133,805 

151,377 

53.1 

%

Student housing

231,134 

231,019 

115 

— 

%

Restaurant

153,063 

37,684 

115,379 

75.4 

%

Self-Storage

151,999 

147,572 

4,427 

2.9 

%

Senior housing

137,485 

132,504 

4,981 

3.6 

%

Nursing homes

91,951 

90,506 

1,445 

1.6 

%

Healthcare

20,263 

20,000 

263 

1.3 

%

Group homes

4,986 

3,568 

1,418 

28.4 

%

Continuing Care Facilities

2,965 

2,965 

— 

— 

%

1-4 Family

500 

500 

— 

— 

%

Land acquisition and development

91 

— 

91 

100.0 

%

Other

890 

389 

501 

56.3 

%

Total

$

5,586,255 

$

4,140,756 

$

1,445,499 

25.9 

%

Loan Commitments

Commitments to extend credit and standby letters of credit increased by $2.27 billion, or 89.2%, to a total of $4.82 billion as of December 31, 2025, compared to $2.55 billion as of December 31, 2024.

Loan Maturities

The determination of loan maturities is based on contractual loan terms. Demand loans, loans having no stated schedule of repayments and no stated maturity, and overdrafts are considered to mature within one year.

First Busey Corporation (BUSE) | 2025 — 78

Table of Contents

Contents of Item 7. MD&A

The following table sets forth the remaining maturities of portfolio loans at December 31, 2025:

(dollars in thousands)

Within 1 Year

After 1 Year

Through 5 Years

After 5 Years

Through 15 Years

After 15 Years

Total

Portfolio loans

C&I and other commercial

$

1,313,365 

$

2,312,244 

$

471,324 

$

132,275 

$

4,229,208 

CRE

1,583,739 

3,060,619 

812,144 

93,516 

5,550,018 

Real estate construction

454,078 

527,776 

36,120 

21,315 

1,039,289 

Retail real estate

109,449 

254,098 

510,486 

1,280,583 

2,154,616 

Retail other

78,660 

515,367 

641 

— 

594,668 

Total portfolio loans

$

3,539,291 

$

6,670,104 

$

1,830,715 

$

1,527,689 

$

13,567,799 

Interest Rate Structure

Portfolio loans maturing after one year are summarized below by interest rate structure and lending activity, as of December 31, 2025:

(dollars in thousands)

Fixed

Rate

Adjustable

Rate

Total

Portfolio loans maturing after 1 year

C&I and other commercial

$

867,820 

$

2,048,023 

$

2,915,843 

CRE

2,188,213 

1,778,066 

3,966,279 

Real estate construction

63,004 

522,207 

585,211 

Retail real estate

831,864 

1,213,303 

2,045,167 

Retail other

70,712 

445,296 

516,008 

Total portfolio loans maturing after 1 year

$

4,021,613 

$

6,006,895 

$

10,028,508 

Allowance for Credit Losses and Provision for Credit Losses

The ACL is a significant estimate on Busey’s Consolidated Financial Statements, affecting both earnings and capital. The methodology adopted influences, and is influenced by, Busey’s overall credit risk management processes. The ACL is recorded in accordance with GAAP to provide an adequate reserve for expected credit losses that is reflective of management’s best estimate of what is expected to be collected. Estimates of credit losses are based on a careful consideration of all significant factors affecting the collectability as of the evaluation date. The ACL is established through the provision for credit loss charged to income. Provision expenses for loan losses were recorded as follows for each of the years indicated:

Years Ended December 31,

(dollars in thousands)

Location

2025

2024

2023

Provision for loan losses1

Provision for credit losses

$

45,746 

$

8,590 

$

2,399 

___________________________________________

1.The year ended December 31, 2025, included $42.4 million provision expense that was recorded to establish an initial allowance for loan losses on non-PCD loans immediately following the close of the CrossFirst acquisition in accordance with ASC 326‑20‑30‑15.

First Busey Corporation (BUSE) | 2025 — 79

Table of Contents

Contents of Item 7. MD&A

The following table summarizes, by lending activity, net charge-off and recovery activity affecting the ACL balance, together with average portfolio loans outstanding and the related ratios of net charge-offs (recoveries) to average portfolio loans:

(dollars in thousands)

ACL

Average

Portfolio Loans

Outstanding

Ratio of

Net Charge-offs

(Recoveries)

To Average

Portfolio Loans

ACL balance, December 31, 2022

$

91,608 

Net (charge-offs) recoveries and average portfolio loans by lending activity:

C&I and other commercial

(1,877)

$

1,910,008 

0.10 

%

CRE

(379)

3,316,633 

0.01 

%

Real estate construction

171 

536,280 

(0.03)

%

Retail real estate

183 

1,689,868 

(0.01)

%

Retail other

(365)

306,683 

0.12 

%

Net (charge-offs) recoveries and average portfolio loans

(2,267)

$

7,759,472 

0.03 

%

Provision for loan losses

2,399 

ACL balance, December 31, 2023

91,740 

Day 1 PCD1

1,243 

Net (charge-offs) recoveries and average portfolio loans by lending activity:

C&I and other commercial

(14,946)

$

1,892,293 

0.79 

%

CRE

(3,168)

3,361,644 

0.09 

%

Real estate construction

67 

416,439 

(0.02)

%

Retail real estate

348 

1,714,681 

(0.02)

%

Retail other

(470)

419,572 

0.11 

%

Net (charge-offs) recoveries and average portfolio loans

(18,169)

$

7,804,629 

0.23 

%

Provision for loan losses

8,590 

ACL balance, December 31, 2024

83,404 

Day 1 PCD1

100,783 

Day 2 Provision for loan losses2

42,433 

Net (charge-offs) recoveries and average portfolio loans by lending activity:

C&I and other commercial

(41,862)

$

4,039,572 

1.04 

%

CRE

(12,342)

5,161,370 

0.24 

%

Real estate construction

95 

940,845 

(0.01)

%

Retail real estate

(750)

2,127,351 

0.04 

%

Retail other

(1,051)

487,799 

0.22 

%

Net (charge-offs) recoveries and average portfolio loans

(55,910)

$

12,756,937 

0.44 

%

Provision for loan losses

3,313 

ACL balance, December 31, 2025

$

174,023 

___________________________________________

1.The Day 1 PCD was attributable to the M&M acquisition in 2024 and the CrossFirst acquisition in 2025.

2.The Day 2 Provision for loan losses was attributable to the CrossFirst acquisition.

First Busey Corporation (BUSE) | 2025 — 80

Table of Contents

Contents of Item 7. MD&A

The following table sets forth the ACL by loan categories and percentage of loans to total loans as of December 31 for each of the years indicated:

As of December 31,

2025

2024

(dollars in thousands)

ACL

% of Loans to Total Loans

ACL

% of Loans to Total Loans

Loan Category

C&I and other commercial

$

61,370 

31.2 

%

$

21,589 

24.8 

%

CRE

70,328 

40.9 

%

32,301 

42.5 

%

Real estate construction

11,568 

7.6 

%

3,345 

4.9 

%

Retail real estate

29,178 

15.9 

%

23,711 

22.0 

%

Retail other

1,579 

4.4 

%

2,458 

5.8 

%

Total

$

174,023 

100.0 

%

$

83,404 

100.0 

%

Busey did not record an allowance for loan losses for its Life Equity Loan® portfolio, a component of its retail other lending activity, due to no expected credit loss at default, as permitted under the practical expedient provided within ASC 326-20-35-6. The Life Equity Loan® portfolio balance was $445.4 million as of December 31, 2025, and $264.2 million as of December 31, 2024.

As of December 31, 2025, Busey management believed the level of the allowance to be appropriate based upon the information available. However, additional losses may be identified in the loan portfolio as new information is obtained. Factors that influence Busey’s calculation of its ACL include changes in economic conditions and forecasts, originated and acquired loan portfolio composition, credit performance trends, portfolio duration, and other factors.

Non-Performing Loans and Non-Performing Assets

Loans are considered past due if the required principal or interest payments have not been received as of the date such payments were due. Loans are placed on non-accrual status when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due, as well as when required by regulatory guidelines. Loans may be placed on non-accrual status regardless of whether or not such loans are considered past due. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured.

Typically, loans are secured by collateral. When a loan is classified as non-accrual and determined to be collateral dependent, it is appropriately reserved or charged down through the ACL to the fair value of Busey’s interest in the underlying collateral less estimated costs to sell. Busey’s loan portfolio is collateralized primarily by real estate.

First Busey Corporation (BUSE) | 2025 — 81

Table of Contents

Contents of Item 7. MD&A

The following table sets forth information concerning non-performing assets and asset quality ratios:

As of December 31,

(dollars in thousands)

2025

2024

Change

% Change

Total assets

$

18,104,736 

$

12,046,722 

$

6,058,014 

50.3 

%

Portfolio loans

13,567,799 

7,697,087 

5,870,712 

76.3 

%

Loans 30 – 89 days past due

16,475 

8,124 

8,351 

102.8 

%

Non-performing assets

Non-performing loans:

Non-accrual loans

$

51,198 

$

22,088 

$

29,110 

131.8 

%

Loans 90+ days past due and still accruing

2,288 

1,149 

1,139 

99.1 

%

Total non-performing loans

53,486 

23,237 

30,249 

130.2 

%

OREO and other repossessed assets

4,626 

63 

4,563 

NM

Total non-performing assets

58,112 

23,300 

34,812 

149.4 

%

Substandard (excludes 90+ days past due)

116,402 

62,023 

54,379 

87.7 

%

Classified assets

$

174,514 

$

85,323 

$

89,191 

104.5 

%

ACL

$

174,023 

$

83,404 

$

90,619 

108.7 

%

Bank Tier 1 Capital

2,150,048 

1,438,296 

711,752 

49.5 

%

Ratios

ACL to portfolio loans

1.28 

%

1.08 

%

20 bps

ACL to non-accrual loans

3.40 x

3.78 x

(0.38) x

ACL to non-performing loans

3.25 x

3.59 x

(0.34) x

ACL to non-performing assets

2.99 x

3.58 x

(0.58) x

Non-accrual loans to portfolio loans

0.38 

%

0.29 

%

9 bps

Non-performing loans to portfolio loans

0.39 

%

0.30 

%

9 bps

Non-performing assets to total assets

0.32 

%

0.19 

%

13 bps

Non-performing assets to portfolio loans and OREO and other repossessed assets

0.43 

%

0.30 

%

13 bps

Classified assets to Bank Tier 1 Capital and ACL

7.51 

%

5.61 

%

190 bps

Busey’s total assets grew by 50.3% to $18.10 billion as of December 31, 2025, compared to $12.05 billion as of December 31, 2024, largely in connection with the CrossFirst acquisition. Further, Busey’s loan portfolio grew by 76.3% to $13.57 billion as of December 31, 2025, compared to $7.70 billion as of December 31, 2024.

Asset quality continues to be strong. Following the merger of CrossFirst Bank into Busey Bank in June, Busey is operating as one bank, with a singular credit policy, concentration limits, and monitoring that will continue to align with Busey’s pillars of credit quality. Busey’s operating mandate and focus remain on emphasizing credit quality over asset growth.

Non-performing loan balances increased to $53.5 million as of December 31, 2025, compared to $23.2 million as of December 31, 2024, primarily due to PCD loans assumed in the CrossFirst acquisition. Non-performing loans represented 0.39% of portfolio loans as of December 31, 2025, compared to 0.30% as of December 31, 2024. Busey’s ACL was 3.25 times its non-performing loan balance at December 31, 2025, compared to 3.59 times its non-performing loan balance at December 31, 2024.

First Busey Corporation (BUSE) | 2025 — 82

Table of Contents

Contents of Item 7. MD&A

Non-performing assets, which include non-performing loans, OREO, and other repossessed assets, increased to $58.1 million as of December 31, 2025, compared to $23.3 million as of December 31, 2024. Non-performing assets represented 0.32% of total assets as of December 31, 2025, compared to 0.19% as of December 31, 2024. Busey’s ACL was 2.99 times its non-performing assets as of December 31, 2025, compared to 3.58 times its non-performing assets as of December 31, 2024.

Classified assets, which include non-performing assets and substandard loans, increased to $174.5 million as of December 31, 2025, compared to $85.3 million as of December 31, 2024. Classified assets represented 7.51% of Busey Bank’s Tier 1 capital and ACL at December 31, 2025, up from 5.61% at December 31, 2024.

Net charge-offs totaled $55.9 million in 2025, representing 0.44% of average loans, compared with net charge-offs of $18.2 million in 2024, representing 0.23% of average loans. Net charge-offs for the year ended December 31, 2025, included $36.2 million related to PCD loans.

Asset quality metrics remain dependent upon market-specific economic conditions, and specific measures may fluctuate from period to period. If economic conditions were to deteriorate, Busey would expect the credit quality of its loan portfolio to decline and loan defaults to increase.

Potential Problem Loans

Potential problem loans are loans classified as substandard that are not individually evaluated, non-accrual, or 90+ days past due, but where current information indicates that the borrower may not be able to comply with loan repayment terms. Management assesses the potential for loss on such loans and considers the effect of any potential loss in determining its provision for expected credit losses. Potential problem loans increased to $116.4 million, or 0.9% of portfolio loans, as of December 31, 2025, compared to $62.0 million, or 0.8% of portfolio loans, as of December 31, 2024. Management continues to monitor these loans and work with the borrowers on restructurings, guarantees, additional collateral, or other planned actions. As of December 31, 2025, management identified no other loans that represent or result from trends or uncertainties that would be expected to materially impact future operating results, liquidity, or capital resources.

Deposits

The following table presents the composition of, and changes in, Busey’s deposits:

As of December 31,

2025

2024

(dollars in thousands)

Balance

% Total

Balance

% Total

Change

% Change

Deposits

Non-maturity deposits:

Noninterest-bearing demand deposits

$

3,659,421 

24.6 

%

$

2,719,907 

27.3 

%

$

939,514 

34.5 

%

Interest-bearing transaction deposits

3,119,475 

20.9 

%

2,423,237 

24.3 

%

696,238 

28.7 

%

Saving deposits and money market deposits

5,697,172 

38.2 

%

3,348,711 

33.5 

%

2,348,461 

70.1 

%

Total non-maturity deposits

12,476,068 

83.7 

%

8,491,855 

85.1 

%

3,984,213 

46.9 

%

Time deposits

2,429,890 

16.3 

%

1,490,635 

14.9 

%

939,255 

63.0 

%

Total deposits

$

14,905,958 

100.0 

%

$

9,982,490 

100.0 

%

$

4,923,468 

49.3 

%

First Busey Corporation (BUSE) | 2025 — 83

Table of Contents

Contents of Item 7. MD&A

Total deposits increased by 49.3% to $14.91 billion as of December 31, 2025, compared to $9.98 billion as of December 31, 2024, in connection with the CrossFirst acquisition. Busey focuses on deepening its customer relationships to maintain and protect its strong core deposit4 franchise. Core deposits include non-brokered transaction accounts, money market and savings deposit accounts, and time deposits of $250,000 or less. Core deposits represented 93.7% of total deposits as of December 31, 2025.

Deposits are federally insured up to the FDIC insurance limit of $250,000. When a portion of a deposit account exceeds the FDIC insurance limit, that portion is uninsured. Estimated uninsured deposits were $6.46 billion, or 43% of total deposits, as of December 31, 2025. Excluding intercompany accounts, fully collateralized accounts (including preferred deposits), and pass-through accounts where clients have deposit insurance at the correspondent financial institution, the portion of Busey’s deposit base that was uninsured and not otherwise collateralized was estimated to be $5.58 billion, or 37% of total deposits, at December 31, 2025. Of that amount, $759.4 million represented time deposits. The following table presents estimates of the uninsured portion of time deposits by maturity date:

(dollars in thousands)

As of

December 31,

2025

Estimated uninsured time deposits by schedule of maturities

3 months or less

$

193,879 

Over 3 months through 6 months

467,812 

Over 6 months through 12 months

82,469 

Thereafter

15,195 

Uninsured time deposits

$

759,355 

Additional information about Busey’s deposits is located in “Note 9. Deposits.”

Borrowings

Busey’s borrowings include, as applicable, securities sold under agreements to repurchase, a revolving line of credit, short-term borrowings, long-term borrowings, subordinated notes, and junior subordinated debt owed to unconsolidated trusts.

4 Core deposits is a non-GAAP financial measure. For a reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures, see “Item 1. Business—Non-GAAP Financial Information” included in this Annual Report.

First Busey Corporation (BUSE) | 2025 — 84

Table of Contents

Contents of Item 7. MD&A

The following table sets forth the distribution of securities sold under agreements to repurchase and short-term borrowings, as well as the weighted average interest rates thereon:

Years Ended December 31,

(dollars in thousands)

2025

2024

2023

Securities sold under agreements to repurchase

Balance at end of period

$

166,929 

$

155,610 

$

187,396 

Weighted average interest rate at end of period

2.22 

%

2.63 

%

3.26 

%

Maximum outstanding at any month end in year-to-date period

$

166,929 

$

214,567 

$

248,850 

Average daily balance for the year-to-date period

149,724 

147,588 

200,702 

Weighted average interest rate during period1

2.47 

%

2.91 

%

2.58 

%

FHLB advances, current portion due within 12 months

Balance at end of period

$

— 

$

— 

$

— 

Weighted average interest rate at end of period

— 

%

— 

%

— 

%

Maximum outstanding at any month end in year-to-date period

$

76,911 

$

24,100 

$

603,881 

Average daily balance for the year-to-date period

11,698 

7,018 

241,382 

Weighted average interest rate during period1

4.45 

%

5.54 

%

4.90 

%

Term Loan, current portion due within 12 months

Balance at end of period

$

— 

$

— 

$

12,000 

Weighted average interest rate at end of period

— 

%

— 

%

7.14 

%

Maximum outstanding at any month end in year-to-date period

$

— 

$

12,000 

$

12,000 

Average daily balance for the year-to-date period

— 

2,853 

12,000 

Weighted average interest rate during period1

— 

%

7.26 

%

6.88 

%

___________________________________________

1.The weighted average interest rate is computed by dividing total interest for the period by the average daily balance outstanding.

Additional information about Busey’s borrowing activities is located in “Note 10. Borrowings.” Additional information about Busey’s contractual obligations related to its borrowing activities is located under the heading “Contractual Obligations” within this MD&A.

Liquidity

Liquidity management is the process by which Busey ensures that adequate liquid funds are available to meet the present and future cash flow obligations arising in the daily operations of its business. These financial obligations consist of needs for funds to meet commitments to borrowers for extensions of credit, fund capital expenditures, honor withdrawals by customers, pay dividends to stockholders, and pay operating expenses. Busey’s most liquid assets are cash and due from banks, interest-bearing bank deposits, and federal funds sold. Balances of these assets are dependent on Busey’s operating, investing, lending, and financing activities during any given period.

First Busey Corporation (BUSE) | 2025 — 85

Table of Contents

Contents of Item 7. MD&A

Average liquid assets are summarized in the table below:

Years Ended December 31,

(dollars in thousands)

2025

2024

2023

Average liquid assets

Cash and due from banks

$

166,511 

$

109,400 

$

116,530 

Interest-bearing bank deposits

575,781 

445,881 

214,422 

Less: Restricted and pledged cash and bank deposits

(86,844)

(38,057)

(35,806)

Total average liquid assets

$

655,448 

$

517,224 

$

295,146 

Average liquid assets as a percent of average total assets

3.7 

%

4.3 

%

2.4 

%

Cash and unencumbered securities on Busey’s Consolidated Balance Sheets are summarized as follows:

As of December 31,

(dollars in thousands)

2025

2024

Unencumbered cash and securities

Total cash and cash equivalents

$

294,052 

$

697,659 

Restricted and pledged cash and bank deposits

(96,102)

(65,830)

Debt securities available for sale

2,162,548 

1,810,221 

Debt securities available for sale pledged as collateral

(562,566)

(653,454)

Cash and unencumbered securities

$

1,797,932 

$

1,788,596 

Busey’s primary sources of funds consist of deposits, investment maturities and sales, loan principal repayments, and capital funds. Additional liquidity is provided by the ability to borrow from the FHLB, the Federal Reserve Bank, and Busey’s revolving credit facility, as summarized in the table below:

As of December 31,

(dollars in thousands)

2025

2024

Additional available borrowing capacity

FHLB

$

1,775,157 

$

1,679,463 

Federal Reserve Bank

1,585,816 

664,083 

Federal funds purchased

485,000 

477,500 

Revolving credit facility

40,000 

40,000 

Additional borrowing capacity

$

3,885,973 

$

2,861,046 

Further, Busey could utilize brokered deposits as additional sources of liquidity, as needed.

As of December 31, 2025, management believed that adequate liquidity existed to meet all projected cash flow obligations. Busey seeks to achieve a satisfactory degree of liquidity by actively managing both assets and liabilities. Asset management guides the proportion of liquid assets to total assets, while liability management monitors future funding requirements and prices liabilities accordingly.

Busey’s ability to pay cash dividends to its stockholders and to service its debt is dependent on the receipt of cash dividends from its subsidiaries. Busey Bank paid dividends to First Busey Corporation totaling $160.0 million and $100.0 million for the years ended December 31, 2025, and 2024, respectively.

Off-Balance-Sheet Arrangements

Busey Bank routinely enters into commitments to extend credit and standby letters of credit in the normal course of business to meet the financing needs of its customers. The balance of commitments to extend credit represents future cash requirements and some of these commitments may expire without being drawn upon.

First Busey Corporation (BUSE) | 2025 — 86

Table of Contents

Contents of Item 7. MD&A

The following table summarizes Busey’s outstanding commitments and reserves for unfunded commitments :

As of December 31,

(dollars in thousands)

2025

2024

Outstanding loan commitments and standby letters of credit

$

4,820,613 

$

2,548,178 

Reserve for unfunded commitments

12,964 

5,967 

The following table summarizes Busey’s provision for unfunded commitments for the periods presented:

Years Ended December 31,

(dollars in thousands)

Location

2025

2024

2023

Provision for unfunded commitments1

Provision for credit losses

$

6,997 

$

(1,095)

$

461 

___________________________________________

1.The year ended December 31, 2025, included $7.2 million to establish an initial allowance for unfunded commitments in connection with the CrossFirst acquisition.

Busey anticipates that it will have sufficient funds available to meet current loan commitments, including loan applications received and in process prior to the issuance of firm commitments.

Contractual Obligations

Busey has entered into certain contractual obligations and other commitments that generally relate to funding of operations through deposits, debt issuance, and property and equipment leases.

The following table summarizes significant contractual obligations and other commitments, excluding, when applicable, short-term borrowings and the current portion of long-term borrowings, as of December 31, 2025:

(dollars in thousands)

Time deposits

Long-term

Borrowings

Subordinated Notes,

Net of Unamortized

Issuance Costs

Junior

Subordinated

Debt Owed to Unconsolidated

Trusts

Operating

Leases in Other Liabilities

Total

Contractual obligations1

2026

$

2,364,343 

$

3,234 

$

5,000 

$

4,813 

$

6,255 

$

2,382,960 

2027

46,913 

60,290 

5,000 

4,813 

5,929 

122,215 

2028

10,952 

48,865 

5,000 

4,813 

5,406 

74,284 

2029

4,593 

762 

5,000 

4,813 

4,407 

18,813 

2030

2,667 

757 

5,000 

4,813 

3,505 

15,985 

Thereafter

422 

9,919 

107,389 

101,411 

12,690 

221,912 

Contractual obligations

$

2,429,890 

$

123,827 

$

132,389 

$

125,476 

$

38,192 

$

2,849,774 

Commitments to extend credit and standby letters of credit

$

4,820,613 

___________________________________________

1.The contractual obligations in this table include principal and estimated interest without any purchase accounting or debt issuance cost adjustments.

Cash Flows

Busey’s cash flows consist of operating activities, investing activities, and financing activities.

First Busey Corporation (BUSE) | 2025 — 87

Table of Contents

Contents of Item 7. MD&A

Net cash flows provided by operating activities totaled $192.6 million in 2025, compared to $178.3 million provided by operating activities in 2024. Significant operating activities affecting cash flows include net income, depreciation and amortization, the provision for credit losses, stock-based compensation, and mortgage loan sale activity. Fluctuations in sales of loans held for sale are a function of changes in market rates for mortgage loans, which influence refinance activity.

Net cash provided by investing activities totaled $1.10 billion in 2025, compared to $657.9 million provided by investing activities in 2024. Significant investing activities are those associated with managing Busey’s investment and loan portfolios.

Net cash used in financing activities totaled $1.69 billion in 2025, compared to $858.1 million used in financing activities in 2024. Significant financing activities affecting cash flows include deposit and other borrowings, issuance of preferred stock, and cash dividends paid.

For additional detail, see the Consolidated Statements of Cash Flows.

Capital Resources

Busey’s capital ratios are in excess of those required to be considered “well-capitalized” pursuant to applicable regulatory guidelines. The Federal Reserve uses capital adequacy guidelines in its examination and regulation of bank holding companies and their subsidiary banks. Risk-based capital ratios are established by allocating assets and certain off-balance-sheet commitments into risk-weighted categories. These balances are then multiplied by the factor appropriate for that risk-weighted category. In order to refrain from restrictions on dividends, equity repurchases, and discretionary bonus payments, banking institutions must maintain capital in excess of regulatory minimum capital requirements. The table below presents minimum capital ratios that include the capital conservation buffer in comparison to the capital ratios for First Busey and Busey Bank as of December 31, 2025.

Minimum Capital Requirements with

Capital Buffer

As of December 31, 2025

First

Busey

Busey

Bank

Common equity Tier 1 capital to risk weighted assets

7.00 

%

12.43 

%

13.97 

%

Tier 1 capital to risk weighted assets

8.50 

%

13.88 

%

13.97 

%

Total capital to risk weighted assets

10.50 

%

15.93 

%

14.86 

%

Leverage ratio of Tier 1 capital to average assets

4.00 

%

11.93 

%

12.00 

%

Management believes that no conditions or events have occurred since December 31, 2025, that would materially adversely change First Busey’s or Busey Bank’s capital classifications. For further discussion of capital resources and requirements, see “Note 12. Regulatory Capital.”

NEW ACCOUNTING PRONOUNCEMENTS

Busey reviews new accounting standards as issued. Information relating to accounting pronouncements applicable to Busey appears in “Note 1. Significant Accounting Policies” in the Notes to Consolidated Financial Statements.

EFFECTS OF INFLATION

The effect of inflation on a financial institution differs significantly from the effect on an industrial company. While a financial institution’s operating expenses, particularly salaries, wages, and employee benefits, are affected by general inflation, the asset and liability structure of a financial institution consists largely of monetary items. Monetary items, such as cash, loans, and deposits, are those assets and liabilities which are or will be converted into a fixed number of dollars regardless of changes in prices. As a result, changes in interest rates have a more significant impact on a financial institution’s performance than does general inflation. For additional information regarding interest rates and changes in net interest income see “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Results of Operation — Three Years Ended December 31, 2025—Net Interest Income” and “Item  7A. Quantitative and Qualitative Disclosures About Market Risk.”

First Busey Corporation (BUSE) | 2025 — 88

Table of Contents