Results of Operations

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): July 26, 2024 (July 23, 2024) PEOPLES BANCORP INC. (Exact name of Registrant as specified in its charter) Ohio 000-16772 31-0987416 (State or other jurisdiction (Commission File (I.R.S. Employer of incorporation) Number) Identification Number) 138 Putnam Street, PO Box 738 Marietta, Ohio 45750-0738 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (740) 373-3155 Not applicable (Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) Name of each exchange on which registered Common shares, without par value PEBO The Nasdaq Stock Market Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ Item 2.02     Results of Operations and Financial Condition On July 23, 2024, management of Peoples Bancorp Inc. (“Peoples”) conducted a facilitated conference call at approximately 11:00 a.m., Eastern Standard Time, to discuss results of operations for the quarter and twelve months ended June 30, 2024. A replay of the conference call audio will be available on Peoples’ website, www.peoplesbancorp.com, in the “Investor Relations” section for one year. A copy of the transcript of the conference call is included as Exhibit 99.1 to this Current Report on Form 8-K. The information contained in this Item 2.02 and Exhibit 99.1 included with this Current Report on Form 8-K, is being furnished pursuant to Item 2.02 and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, nor shall such information be deemed to be incorporated by reference in any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as otherwise stated in such filing. During the conference call, management referred to non-Generally Accepted Accounting Principles ("US GAAP") financial measures that are used by management to provide information useful to investors in understanding Peoples' operating performance and trends, and to facilitate comparisons with the performance of Peoples' peers. The following tables show the differences between the non-US GAAP financial measures referred to during the conference call and the most directly comparable US GAAP-based financial measures. Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, (Dollars in thousands) 2024 2024 2023 2024 2023 Core non-interest expense: Total non-interest expense $ 68,758  $ 68,465  $ 70,623  $ 137,223  $ 127,102  Less: acquisition-related expenses —  (84) 10,709  (84) 11,260  Add: COVID -19 Employee Retention Credit —  —  548  —  548  Core non-interest expense $ 68,758   $ 68,549   $ 60,462   $ 137,307   $ 116,390   Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, (Dollars in thousands) 2024 2024 2023 2024 2023 Efficiency ratio: Total non-interest expense $ 68,758  $ 68,465  $ 70,623  $ 137,223  $ 127,102  Less: amortization of other intangible assets 2,787  2,788  2,800  5,575  4,671  Adjusted total non-interest expense 65,971  65,677  67,823  131,648  122,431  Total non-interest income 23,704  25,779  21,015  49,483  40,075  Less: net loss on investment securities (353) (1) (166) (354) (2,101) Less: net loss on asset disposals and other transactions (428) (341) (1,665) (769) (1,911) Total non-interest income, excluding net gains and losses 24,485  26,121  22,846  50,606  44,087  Net interest income 86,613  86,640  84,853  173,253  157,731  Add: fully tax-equivalent adjustment (a) 352  352  386  705  738  Net interest income on a fully tax-equivalent basis 86,965  86,992  85,239  173,958  158,469  Adjusted revenue $ 111,450  $ 113,113  $ 108,085  $ 224,564  $ 202,556  Efficiency ratio 59.19  % 58.06  % 62.75  % 58.62  % 60.44  % Efficiency ratio adjusted for non-core items: Core non-interest expense $ 68,758  $ 68,549  $ 60,462  $ 137,307  $ 116,390  Less: amortization of other intangible assets 2,787  2,788  2,800  5,575  4,671  Adjusted core non-interest expense 65,971  65,761  57,662  131,732  111,719  Adjusted revenue $ 111,450  $ 113,113  $ 108,085  $ 224,564  $ 202,556  Efficiency ratio adjusted for non-core items 59.19  % 58.14  % 53.35  % 58.66  % 55.15  % (a) Tax effect is calculated using a 21% statutory federal corporate income tax rate. At or For the Three Months Ended June 30, March 31, December 31, September 30, June 30, (Dollars in thousands, except per share data) 2024 2024 2023 2023 2023 Tangible equity: Total stockholders' equity $ 1,077,833  $ 1,062,002  $ 1,053,534  $ 993,219  $ 998,907  Less: goodwill and other intangible assets 406,417  409,285  412,172  408,494  413,172  Tangible equity $ 671,416  $ 652,717  $ 641,362  $ 584,725  $ 585,735  Tangible assets: Total assets $ 9,226,461  $ 9,270,774  $ 9,157,382  $ 8,942,534  $ 8,786,635  Less: goodwill and other intangible assets 406,417  409,285  412,172  408,494  413,172  Tangible assets $ 8,820,044  $ 8,861,489  $ 8,745,210  $ 8,534,040  $ 8,373,463  Tangible book value per common share: Tangible equity $ 671,416  $ 652,717  $ 641,362  $ 584,725  $ 585,735  Common shares outstanding 35,498,977  35,486,234  35,314,745  35,395,990  35,374,916  Tangible book value per common share $ 18.91  $ 18.39  $ 18.16  $ 16.52  $ 16.56  Tangible equity to tangible assets ratio: Tangible equity $ 671,416  $ 652,717  $ 641,362  $ 584,725  $ 585,735  Tangible assets $ 8,820,044  $ 8,861,489  $ 8,745,210  $ 8,534,040  $ 8,373,463  Tangible equity to tangible assets 7.61  % 7.37  % 7.33  % 6.85  % 7.00  % Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, (Dollars in thousands) 2024 2024 2023 2024 2023 Pre-provision net revenue: Income before income taxes $ 35,876  $ 37,852  $ 27,262  $ 73,728  $ 60,868  Add: provision for credit losses 5,683  6,102  7,983  11,785  9,836  Add: loss on OREO —  —  1,612  —  1,622  Add: loss on investment securities 353  1  166  354  2,101  Add: loss on other assets 397  309  45  706  274  Add: loss on other transactions 31  32  8  63  15  Pre-provision net revenue $ 42,340  $ 44,296  $ 37,076  $ 86,636  $ 74,716  Total average assets 9,180,454  9,021,651  8,342,883  9,101,052  7,792,579  Pre-provision net revenue to total average assets (annualized) 1.85  % 1.97  % 1.78  % 1.91  % 1.93  % Weighted-average common shares outstanding – diluted 35,117,648 35,051,810 32,649,976 35,071,550 30,314,504 Pre-provision net revenue per common share – diluted $ 1.21  $ 1.26  $ 1.13  $ 2.45  $ 2.45  Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, (Dollars in thousands) 2024 2024 2023 2024 2023 Annualized net income adjusted for non-core items: Net income $ 29,007  $ 29,584  $ 21,096  $ 58,591  $ 47,656  Add: net loss on investment securities 353  1  166  354  2,101  Less: tax effect of net loss on investment securities (a) 74  —  35  74  441  Add: net loss on asset disposals and other transactions 428  341  1,665  769  1,911  Less: tax effect of net loss on asset disposals and other transactions (a) 90  72  349  161  401  Add: acquisition-related expenses —  (84) 10,709  (84) 11,260  Less: tax effect of acquisition-related expenses (a) —  (18) 2,249  (18) 2,365  Less: COVID -19 Employee Retention Credit —  —  548  —  548  Add: tax effect of COVID -19 Employee Retention Credit —  —  115  —  115  Net income adjusted for non-core items $ 29,624  $ 29,788  $ 30,570  $ 59,413  $ 59,288  Days in the period 91  91  91  182  181  Days in the year 366  366  365  366  365  Annualized net income $ 116,666  $ 118,986  $ 84,616  $ 117,826  $ 96,102  Annualized net income adjusted for non-core items $ 119,147  $ 119,807  $ 122,616  $ 119,479  $ 119,559  Return on average assets: Annualized net income $ 116,666  $ 118,986  $ 84,616  $ 117,826  $ 96,102  Total average assets $ 9,180,454  $ 9,021,651  $ 8,342,883  $ 9,101,052  $ 7,792,579  Return on average assets 1.27  % 1.32  % 1.01  % 1.29  % 1.23  % Return on average assets adjusted for non-core items: Annualized net income adjusted for non-core items $ 119,147  $ 119,807  $ 122,616  $ 119,479  $ 119,559  Total average assets $ 9,180,454  $ 9,021,651  $ 8,342,883  $ 9,101,052  $ 7,792,579  Return on average assets adjusted for non-core items 1.30  % 1.33  % 1.47  % 1.31  % 1.53  % (a) Tax effect is calculated using a 21% statutory federal corporate income tax rate. For the Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, (Dollars in thousands) 2024 2024 2023 2024 2023 Annualized net income excluding amortization of other intangible assets: Net income $ 29,007  $ 29,584  $ 21,096  $ 58,591  $ 47,656  Add: amortization of other intangible assets 2,787  2,788  2,800  5,575  4,671  Less: tax effect of amortization of other intangible assets (a) 585  585  588  1,171  981  Net income excluding amortization of other intangible assets $ 31,209  $ 31,787  $ 23,308  $ 62,995  $ 51,346  Days in the period 91  91  91  182  181  Days in the year 366  366  365  366  365  Annualized net income $ 116,666  $ 118,986  $ 84,616  $ 117,826  $ 96,102  Annualized net income excluding amortization of other intangible assets $ 125,522  $ 127,847  $ 93,488  $ 126,682  $ 103,543  Average tangible equity: Total average stockholders' equity $ 1,061,454  $ 1,052,781  $ 951,438  $ 1,057,117  $ 876,866  Less: average goodwill and other intangible assets 407,864  410,719  387,055  409,292  356,470  Average tangible equity $ 653,590  $ 642,062  $ 564,383  $ 647,825  $ 520,396  Return on average stockholders' equity ratio: Annualized net income $ 116,666  $ 118,986  $ 84,616  $ 117,826  $ 96,102  Average stockholders' equity $ 1,061,454  $ 1,052,781  $ 951,438  $ 1,057,117  $ 876,866  Return on average stockholders' equity 10.99  % 11.30  % 8.89  % 11.15  % 10.96  % Return on average tangible equity ratio: Annualized net income excluding amortization of other intangible assets $ 125,522  $ 127,847  $ 93,488  $ 126,682  $ 103,543  Average tangible equity $ 653,590  $ 642,062  $ 564,383  $ 647,825  $ 520,396  Return on average tangible equity 19.21  % 19.91  % 16.56  % 19.55  % 19.90  % (a) Tax effect is calculated using a 21% statutory federal corporate income tax rate. Item 9.01      Financial Statements and Exhibits a) - c) Not applicable d) Exhibits See Index to Exhibits below. INDEX TO EXHIBITS Exhibit Number Description 99.1 Transcript of conference call conducted by management of Peoples Bancorp Inc. on July 23, 2024 to discuss results of operations for the quarter and six months ended June 30, 2024 104 Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document) SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PEOPLES BANCORP INC. Date: July 26, 2024 By:/s/ KATHRYN BAILEY Kathryn Bailey Executive Vice President, Chief Financial Officer and Treasurer