Business Wire | Jan 18, 2022 05:15PM EST

PNFP Reports Diluted EPS of $1.71, ROAA of 1.39% and ROTCE of 16.13% For 4Q2021

Jan. 18, 2022

NASHVILLE, Tenn.--(BUSINESS WIRE)--Jan. 18, 2022--Pinnacle Financial Partners, Inc. (Nasdaq/NGS: PNFP) reported net income per diluted common share of $1.71 for the quarter ended Dec. 31, 2021, compared to net income per diluted common share of $1.42 for the quarter ended Dec. 31, 2020, an increase of approximately 20.4 percent. Net income per diluted common share was $6.75 for the year ended Dec. 31, 2021, compared to net income per diluted common share of $4.03 for the year ended Dec. 31, 2020, an increase of 67.5 percent.

Three Months Ended Year Ended

December September December December December 31, 30, 31, 31, 31, 2021 2021 2020 2021 2020

Diluted earnings per common $ 1.71 $ 1.75 $ 1.42 $ 6.75 $ 4.03 share

Adjustments:

Investment (gains) losses (0.01 ) - - (0.01 ) (0.01 )on sales of securities, net

Other real estate (ORE) - - 0.02 (0.01 ) 0.11 expense

FHLB restructuring charges - - 0.14 - 0.20

Hedge termination charges - - 0.06 - 0.06

Tax effect of above noted - - (0.06 ) - (0.09 )adjustments

Diluted earnings per common $ 1.70 $ 1.75 $ 1.58 $ 6.73 $ 4.30 share after adjustments

After considering the adjustments noted in the table above for the three months ended Dec. 31, 2021 and 2020, net income per diluted common share was $1.70 for the three months ended Dec. 31, 2021, compared to $1.58 for the three months ended Dec. 31, 2020, a year-over-year increase of 7.6 percent. Net income per diluted common share adjusted for the items noted in the table above was $6.73 in 2021, compared to $4.30 in 2020, a year-over-year increase of 56.5 percent.

"Despite a volatile and challenging operating environment, 2021 afforded us extraordinary opportunities for outsized growth," said M. Terry Turner, Pinnacle's president and chief executive officer. "Adjusted earnings increased 56.5 percent over last year, our pre-tax and pre-provision revenues were up 16.1 percent year-over-year, and excluding the impact of PPP, we achieved loan growth of nearly 12 percent. Importantly, to bolster our future growth prospects, during 2021 we announced expansion into several new markets, including the Washington D.C. area, and we added 119 revenue producers to our ranks. As we enter 2022, we believe we are well positioned to continue to execute on our rapid growth model."

BALANCE SHEET GROWTH:

Total assets at Dec. 31, 2021 were $38.5 billion, an increase of approximately $3.5 billion from Dec. 31, 2020, reflecting a year-over-year increase of 10.1 percent. A further analysis of select balance sheet trends follows:

Balances at Balances at

December 31, September Linked-Quarter December 31, Year-over-Year 2021 30, Annualized 2020 % Change 2021 % Change

Loans $ 23,414,262 $ 23,058,461 6.2 % $ 22,424,501 4.4 %

Less PPP loans 371,118 708,722 (190.5 ) % 1,798,869 (79.4 ) %

Loans excluding PPP 23,043,144 22,349,739 12.4 % 20,625,632 11.7 %loans

Securities andother 11,046,895 9,538,824 63.2 % 8,492,214 30.1 %interest-earningassets

Totalinterest-earning 34,090,039 31,888,563 27.6 % 29,117,846 17.1 %assets excludingPPP loans



Noninterest-bearing 10,461,071 9,809,691 26.6 % 7,392,325 41.5 %deposits^(1)

Interest-bearing 18,855,840 17,360,676 34.4 % 16,118,558 17.0 %core deposits^(2)

Noncore funding 3,452,034 3,778,885 (34.6 ) % 6,081,358 (43.2 ) %

Total funding $ 32,768,945 $ 30,949,252 23.5 % $ 29,592,241 10.7 %

^(1): Interest-bearing core deposits are interest-bearing deposits, moneymarket accounts, time deposits less than $250,000 and reciprocating time andmoney market deposits issued through the IntraFi Network.

^(2): Noncore funding consists of time deposits greater than $250,000,securities sold under agreements to repurchase, public funds, brokereddeposits, FHLB advances and subordinated debt.

"During the fourth quarter, loan growth approximated 6.2 percent annualized when compared to balances at Sept. 30, 2021. After excluding the impact of PPP, loans increased at an annualized rate of 12.4 percent," Turner said. "Replacing PPP revenue is primarily a function of new loan growth in 2022. In that regard, we remain optimistic and believe we have the infrastructure in place, as well as the momentum, to deliver loan growth of 10 to 15 percent in 2022."

PRE-TAX, PRE-PROVISION REVENUES (PPNR):

Pre-tax, pre-provision net revenues (PPNR) for the quarter ended Dec. 31, 2021 were $169.1 million, a increase of $25.9 million from the $143.1 million recognized in the quarter ended Dec. 31, 2020, an annualized growth rate of 72.5 percent.

Three months ended Year ended

December 31, December 31,

2021 2020 Annualized 2021 2020 % % change change

Revenues:

Net interest $ 238,763 $ 220,985 32.2% $ 932,401 $ 821,788 13.5%income

Noninterest 100,723 83,444 82.8% 395,734 317,840 24.5%income

Total 339,486 304,429 46.1% 1,328,135 1,139,628 16.5%revenues

Noninterest 170,417 161,305 22.6% 660,104 564,455 16.9%expense

Pre-tax,pre-provision $ 169,069 $ 143,124 72.5% $ 668,031 $ 575,173 16.1%net revenue(PPNR)

Adjustments:

Investment(gains)losses on (393 ) - NM (759 ) (986 ) NMsales ofsecurities,net

FHLBrestructuring - 10,307 NM - 15,168 NMcharges

Hedgetermination - 4,673 NM - 4,673 NMcharges

ORE expense 37 1,457 NM (712 ) 8,555 NM(benefit)

Adjusted PPNR $ 168,713 $ 159,561 22.9% $ 666,560 $ 602,583 10.6%

* Revenue per fully diluted common share was $4.47 for the three months ended Dec. 31, 2021, compared to $4.50 for the third quarter of 2021 and $4.03 for the fourth quarter of 2020, a 10.9 percent year-over-year growth rate. Revenue per fully diluted share was $17.49 for the year ended Dec. 31, 2021, compared to $15.06 for the year ended Dec. 31, 2020, a growth rate of 16.1 percent.

* Net interest income for the quarter ended Dec. 31, 2021 was $238.8 million, compared to $237.5 million for the third quarter of 2021 and $221.0 million for the fourth quarter of 2020, a year-over-year growth rate of 8.0 percent. Net interest margin was 2.96 percent for the fourth quarter of 2021, compared to 3.03 percent for the third quarter of 2021 and 2.97 percent for the fourth quarter of 2020. Revenues from PPP loans approximated $15.5 million in the fourth quarter of 2021, compared to $21.2 million in the third quarter of 2021 and $24.6 million in the fourth quarter of 2020. For the year ended Dec. 31, 2021, revenues from PPP loans approximated $85.9 million, compared to $52.3 million for the year ended Dec. 31, 2020. Impacting the firm's net interest margin in the third and fourth quarters of 2021 and the fourth quarter of 2020 were both the PPP loans and the firm's decision early in the pandemic to maintain additional on-balance sheet liquidity. The firm estimates its third and fourth quarter 2021 net interest margin was negatively impacted by approximately 17 and 25 basis points, respectively, as a result of PPP loans and additional liquidity, compared to approximately 30 basis points for the fourth quarter 2020. Included in net interest income for the fourth quarter of 2021 was $2.2 million of discount accretion associated with fair value adjustments, compared to $2.8 million of discount accretion recognized in the third quarter of 2021 and $4.4 million in the fourth quarter of 2020. The firm's net interest margin was positively impacted because of fair value adjustment discount accretion by approximately 3 basis points for each of the third and fourth quarters of 2021 and by 6 basis points for the fourth quarter of 2020. There remains $8.6 million of purchase accounting discount accretion as of Dec. 31, 2021.

* Noninterest income for the quarter ended Dec. 31, 2021 was $100.7 million, compared to $104.1 million for the quarter ended Sept. 30, 2021, a linked-quarter annualized decrease of 13.0 percent. Compared to $83.4 million for the fourth quarter of 2020, noninterest income grew 20.7 percent. Wealth management revenues, which include investment, trust and insurance services, were $19.3 million for the fourth quarter of 2021, compared to $17.3 million for the third quarter of 2021, a linked-quarter annualized increase of 48.2 percent. Compared to $14.3 million for the fourth quarter of 2020, wealth management revenues were up 35.4 percent. Income from the firm's investment in BHG was $30.8 million for the quarter ended Dec. 31, 2021, up from $30.4 million for the quarter ended Sept. 30, 2021 and $24.3 million for the quarter ended Dec. 31, 2020. Other noninterest income was $33.2 million for the quarter ended Dec. 31, 2021, compared to $37.2 million for the quarter ended Sept. 30, 2021 and $24.0 million for the quarter ended Dec. 31, 2020, a linked-quarter annualized decrease of 42.4 percent and year-over-year growth of 38.5 percent, respectively. Contributing to the linked-quarter decline was $4.1 million of income from other equity investments during the three months ended Dec. 31, 2021, compared to $8.6 million during the three months ended Sept. 30, 2021 and $1.1 million for the three months ended Dec. 31, 2020. Income from other equity investments for the year ended Dec. 31, 2021 was $23.1 million compared to $1.1 million for the previous year.

* Noninterest expense for the quarter ended Dec. 31, 2021 was $170.4 million, compared to $168.9 million in the third quarter of 2021 and $161.3 million in the fourth quarter of 2020, reflecting a year-over-year increase of 5.6 percent. Salaries and employee benefits were $110.0 million in the fourth quarter of 2021, compared to $112.4 million in the third quarter of 2021 and $90.0 million in the fourth quarter of 2020, reflecting a year-over-year increase of 22.3 percent. Noninterest expense categories, other than salaries and employee benefits, were $60.4 million in the fourth quarter of 2021, compared to $56.4 million in the third quarter of 2021 and $71.3 million in the fourth quarter of 2020, reflecting a year-over-year decrease of 15.3 percent.

"We continue our PPNR focus and are pleased with our PPNR results in 2021," said Harold R. Carpenter, Pinnacle's chief financial officer. "As we enter 2022, we believe with the opportunities we have in our new markets, as well as the ongoing recruiting success we are experiencing in our existing markets, we can achieve continued PPNR growth in 2022. That said, PPNR growth in 2022 will be challenging, given our great success with the PPP program in 2020 and 2021, but our goal remains to be a top-quartile performer regardless of the operating environment.

"Our nearly 12 percent growth in loans, excluding PPP, significantly impacted our revenue results for 2021. Strong discipline on deposit pricing, another big year from both BHG and wealth management as well as success with our other equity investments all contributed to an outstanding year for us. Furthermore, we believe our ability to manage our expense base was evident in 2021. Even though our overall headcount increased by 8.0 percent in 2021 and our corporate incentive costs increased from $52.6 million in 2020 to $109.1 million in 2021, we were able to maintain an efficiency ratio of 49.70 percent in 2021 compared to 49.53 percent in 2020."

PROFITABILITY:

Three months ended Year ended

December September December December December 31, 30, 31, 31, 31, 2021 2021 2020 2021 2020

Net interest margin 2.96 % 3.03 % 2.97 % 3.02 % 2.97 %

Efficiency ratio 50.20 % 49.42 % 52.99 % 49.70 % 49.53 %

Return on average assets 1.39 % 1.47 % 1.24 % 1.43 % 0.94 %

Return on average tangible 16.13 % 16.98 % 15.37 % 16.88 % 11.53 %common equity (TCE)

Book value per common share $ 66.89 $ 65.36 $ 61.80 $ 66.89 $ 61.80

Tangible book value per $ 42.55 $ 40.98 $ 37.25 $ 42.55 $ 37.25 common share



"We remain pleased with our profitability metrics and are optimistic we will be able to continue to successfully execute on our strategy that targets top-quartile peer performance in the years to come," Carpenter said. "We are very pleased to report a 14.2 percent increase in tangible book value per share between Dec. 31, 2020 and Dec. 31, 2021. That said, while we will maintain our focus on growing earnings, PPNR and tangible book value per share, we will be mindful of pricing discipline as we grow our business in what is shaping up to be a rising rate environment in 2022. Recent changes in the interest rate outlook for 2022, our targeted low- to mid-teen percentage increase in loans for next year, our recent expansion into new markets and our belief that we hope to see incremental deployment of excess liquidity give us reason to be optimistic for the coming year."

MAINTAINING A STRONG BALANCE SHEET:

* Provision for credit losses was $2.7 million in the fourth quarter of 2021, compared to $3.4 million in the third quarter of 2021 and $9.2 million in the fourth quarter of 2020. Net charge-offs were $8.1 million for the quarter ended Dec. 31, 2021, compared to $9.3 million for the quarter ended Sept. 30, 2021 and $10.8 million for the quarter ended Dec. 31, 2020.

* Nonperforming assets were $40.1 million at Dec. 31, 2021, compared to $55.1 million at Sept. 30, 2021 and $86.2 million at Dec. 31, 2020. The ratio of the allowance for credit losses to nonperforming loans at Dec. 31, 2021 was 833.8 percent, compared to 575.3 percent at Sept. 30, 2021 and 386.1 percent at Dec. 31, 2020.

* Classified assets were $151.3 million at Dec. 31, 2021, compared to $196.3 million at Sept. 30, 2021 and $262.1 million at Dec. 31, 2020.

Three months ended or as of

December September December 31, 30, 31, 2021 2021 2020

Annualized net loan charge-offs to avg. loans^(1) 0.14 % 0.16 % 0.19 %

Nonperforming assets to total loans, ORE and 0.17 % 0.24 % 0.38 % other nonperforming assets (NPAs)

Classified asset ratio (Pinnacle Bank) ^(2) 4.10 % 5.60 % 8.10 %

Allowance for credit losses (ACL) to total loans 1.12 % 1.17 % 1.27 %

ACL to total loans, excluding PPP 1.14 % 1.20 % 1.38 %

^(1): Annualized net loan charge-offs to average loans ratios are computed byannualizing quarterly net loan charge-offs and dividing the result by averageloans for the quarter.

^(2): Classified asset - Classified assets as a percentage of Tier 1 capitalplus allowance for credit losses.

"Our credit performance has been strong for many years, and we believe it should continue as we enter 2022," Carpenter said. "Our relationship managers and credit officers have done a remarkable job navigating the pandemic and its impact on our borrowers. During 2021, we reduced our allowance for credit losses to total loans (excluding PPP loans) from 1.38 percent at year end 2020 to 1.14 percent at Dec. 31, 2021, a decrease of 24 basis points. Given our anticipated credit performance and the forecasted business climate for 2022, we believe that continued reductions in this ratio are possible at least through the first half of 2022."

BOARD OF DIRECTORS DECLARES DIVIDENDS AND AUTHORIZES SHARE REPURCHASE PLAN

On Jan. 18, 2022, Pinnacle Financial's Board of Directors approved a quarterly cash dividend of $0.22 per common share to be paid on Feb. 25, 2022 to common shareholders of record as of the close of business on Feb. 4, 2022. Additionally, the Board of Directors approved a quarterly dividend of approximately $3.8 million, or $16.88 per share (or $0.422 per depositary share), on Pinnacle Financial's 6.75 percent Series B Non-Cumulative Perpetual Preferred Stock payable on March 1, 2022 to shareholders of record at the close of business on Feb. 14, 2022. The amount and timing of any future dividend payments to both preferred and common shareholders will be subject to the approval of Pinnacle's Board of Directors.

The firm also announced that its Board of Directors has authorized a new share repurchase program for up to $125 million of the Company's common stock to commence upon expiration of its existing share repurchase program that is set to expire on March 31, 2022. Repurchases of the Company's common stock will be made in accordance with applicable laws and may be made at management's discretion from time to time in the open market, through privately negotiated transactions or otherwise. The board authorized the repurchase program to remain in effect through March 31, 2023, unless the entire repurchase amount has been acquired before that date.

The share repurchase program may be extended, modified, amended, suspended or discontinued at any time at the Company's discretion and does not commit the Company to repurchase shares of its common stock. The actual timing, number and value of the shares to be purchased under the program will be determined by the Company at its discretion and will depend on a number of factors, including the performance of the Company's stock price, the Company's ongoing capital planning considerations, general market and other conditions, applicable legal requirements and compliance with the terms of the Company's outstanding indebtedness.

WEBCAST AND CONFERENCE CALL INFORMATION

Pinnacle will host a webcast and conference call at 8:30 a.m. CT on Jan. 19, 2022, to discuss fourth quarter 2021 results and other matters. To access the call for audio only, please call 1-877-602-7944. For the presentation and streaming audio, please access the webcast on the investor relations page of Pinnacle's website at www.pnfp.com.

For those unable to participate in the webcast, it will be archived on the investor relations page of Pinnacle's website at www.pnfp.com for 90 days following the presentation.

Pinnacle Financial Partners provides a full range of banking, investment, trust, mortgage and insurance products and services designed for businesses and their owners and individuals interested in a comprehensive relationship with their financial institution. The firm is the No. 1 bank in the Nashville-Murfreesboro-Franklin MSA, according to 2021 deposit data from the FDIC. Pinnacle earned a spot on the 2021 list of 100 Best Companies to Work For(r) in the U.S., its fifth consecutive appearance. American Banker recognized Pinnacle as one of America's Best Banks to Work For eight years in a row and No. 1 among banks with more than $10 billion in assets in 2020.

Pinnacle owns a 49 percent interest in Bankers Healthcare Group (BHG), which provides innovative, hassle-free financial solutions to healthcare practitioners and other licensed professionals. Great Place to Work and FORTUNE ranked BHG No. 1 on its 2020 list of Best Workplaces in New York State in the small/medium business category.

The firm began operations in a single location in downtown Nashville, TN in October 2000 and has since grown to approximately $38.5 billion in assets as of Dec. 31, 2021. As the second-largest bank holding company headquartered in Tennessee, Pinnacle operates in 15 primarily urban markets across the Southeast.

Additional information concerning Pinnacle, which is included in the Nasdaq Financial-100 Index, can be accessed at www.pnfp.com.

Forward-Looking Statements

All statements, other than statements of historical fact, included in this press release, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The words "expect," "anticipate," "intend," "may," "should," "plan," "believe," "seek," "estimate" and similar expressions are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking statements. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from the statements, including, but not limited to: (i) deterioration in the financial condition of borrowers of Pinnacle Bank and its subsidiaries or BHG resulting in significant increases in loan losses and provisions for those losses and, in the case of BHG, substitutions; (ii) the effects of new outbreaks of COVID-19, including actions taken by governmental officials to curb the spread of the virus, and the resulting impact on general economic and financial market conditions and on Pinnacle Financial's and its customers' business, results of operations, asset quality and financial condition; (iii) further public acceptance of the booster shots of the vaccines that were developed against the virus as well as the decisions of governmental agencies with respect to vaccines including recommendations related to booster shots and requirements that seek to mandate that individuals receive or employers require that their employees receive the vaccine; (iv) those vaccines' efficacy against the virus, including new variants; (v) fluctuations or differences in interest rates on loans or deposits from those that Pinnacle Financial is modeling or anticipating, including as a result of Pinnacle Bank's inability to better match deposit rates with the changes in the short-term rate environment, or that affect the yield curve; (vi) the inability of Pinnacle Financial, or entities in which it has significant investments, like BHG, to maintain the long-term historical growth rate of its, or such entities', loan portfolio; (vii) changes in loan underwriting, credit review or loss reserve policies associated with economic conditions, examination conclusions, or regulatory developments; (viii) effectiveness of Pinnacle Financial's asset management activities in improving, resolving or liquidating lower-quality assets; (ix) the impact of competition with other financial institutions, including pricing pressures and the resulting impact on Pinnacle Financial's results, including as a result of compression to net interest margin; (x) adverse conditions in the national or local economies including in Pinnacle Financial's markets throughout Tennessee, North Carolina, South Carolina, Georgia, Alabama and Virginia, particularly in commercial and residential real estate markets; (xi) the results of regulatory examinations; (xii) Pinnacle Financial's ability to identify potential candidates for, consummate, and achieve synergies from, potential future acquisitions; (xiii) difficulties and delays in integrating acquired businesses or fully realizing costs savings and other benefits from acquisitions; (xiv) BHG's ability to profitably grow its business and successfully execute on its business plans; (xv) risks of expansion into new geographic or product markets; (xvi) the ability to grow and retain low-cost core deposits and retain large, uninsured deposits, including during times when Pinnacle Bank is seeking to lower rates it pays on deposits; (xvii) any matter that would cause Pinnacle Financial to conclude that there was impairment of any asset, including goodwill or other intangible assets; (xviii) the ineffectiveness of Pinnacle Bank's hedging strategies, or the unexpected counterparty failure or hedge failure of the underlying hedges; (xix) reduced ability to attract additional financial advisors (or failure of such advisors to cause their clients to switch to Pinnacle Bank), to retain financial advisors (including as a result of the competitive environment for associates) or otherwise to attract customers from other financial institutions; (xx) deterioration in the valuation of other real estate owned and increased expenses associated therewith; (xxi) inability to comply with regulatory capital requirements, including those resulting from changes to capital calculation methodologies, required capital maintenance levels or regulatory requests or directives, particularly if Pinnacle Bank's level of applicable commercial real estate loans were to exceed percentage levels of total capital in guidelines recommended by its regulators; (xxii) approval of the declaration of any dividend by Pinnacle Financial's board of directors; (xxiii) the vulnerability of Pinnacle Bank's network and online banking portals, and the systems of parties with whom Pinnacle Bank contracts, to unauthorized access, computer viruses, phishing schemes, spam attacks, human error, natural disasters, power loss and other security breaches; (xxiv) the possibility of increased compliance and operational costs as a result of increased regulatory oversight (including by the Consumer Financial Protection Bureau), including oversight of companies in which Pinnacle Financial or Pinnacle Bank have significant investments, like BHG, and the development of additional banking products for Pinnacle Bank's corporate and consumer clients; (xxv) the risks associated with Pinnacle Financial and Pinnacle Bank being a minority investor in BHG, including the risk that the owners of a majority of the equity interests in BHG decide to sell the company or all or a portion of their ownership interests in BHG (triggering a similar sale by Pinnacle Financial and Pinnacle Bank) if not prohibited from doing so by Pinnacle Financial or Pinnacle Bank; (xxvi) the possibility of increased personal or corporate tax rates and the resulting reduction in our and our customers' businesses as a result of any such increases; (xxvii) changes in state and federal legislation, regulations or policies applicable to banks and other financial service providers, like BHG, including regulatory or legislative developments; (xxviii) fluctuations in the valuations of Pinnacle Financial's equity investments and the ultimate success of such investments; (xxix) the availability of and access to capital; (xxx) adverse results (including costs, fines, reputational harm, inability to obtain necessary approvals and/or other negative effects) from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of Pinnacle Bank's participation in and execution of government programs related to the COVID-19 pandemic; and (xxxi) general competitive, economic, political and market conditions. Additional factors which could affect the forward looking statements can be found in Pinnacle Financial's Annual Report on Form 10-K for the year ended December 31, 2020, and subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC and available on the SEC's website at http://www.sec.gov. Pinnacle Financial disclaims any obligation to update or revise any forward-looking statements contained in this press release, which speak only as of the date hereof, whether as a result of new information, future events or otherwise.

Non-GAAP Financial Matters

This release contains certain non-GAAP financial measures, including, without limitation, earnings per diluted common share, PPNR, efficiency ratio and the ratio of noninterest expense to average assets, excluding in certain instances the impact of expenses related to other real estate owned, gains or losses on sale of investment securities, FHLB restructuring charges, hedge termination charges and other matters for the accounting periods presented. This release also includes non-GAAP financial measures which exclude the impact of loans originated under the PPP. This release may also contain certain other non-GAAP capital ratios and performance measures that exclude the impact of goodwill and core deposit intangibles associated with Pinnacle Financial's acquisitions of BNC, Avenue Bank, Magna Bank, CapitalMark Bank & Trust, Mid-America Bancshares, Inc., Cavalry Bancorp, Inc. and other acquisitions which collectively are less material to the non-GAAP measure as well as the impact of Pinnacle Financial's Series B Preferred Stock. The presentation of the non-GAAP financial information is not intended to be considered in isolation or as a substitute for any measure prepared in accordance with GAAP. Because non-GAAP financial measures presented in this release are not measurements determined in accordance with GAAP and are susceptible to varying calculations, these non-GAAP financial measures, as presented, may not be comparable to other similarly titled measures presented by other companies.

Pinnacle Financial believes that these non-GAAP financial measures facilitate making period-to-period comparisons and are meaningful indications of its operating performance. In addition, because intangible assets such as goodwill and the core deposit intangible, and the other items excluded each vary extensively from company to company, Pinnacle Financial believes that the presentation of this information allows investors to more easily compare Pinnacle Financial's results to the results of other companies. Pinnacle Financial's management utilizes this non-GAAP financial information to compare Pinnacle Financial's operating performance for 2021 versus certain periods in 2020 and to internally prepared projections.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS - UNAUDITED



(dollars in thousands, except for December 31, September 30, December 31,share and per share data) 2021 2021 2020

ASSETS

Cash and noninterest-bearing due $ 188,287 $ 155,965 $ 203,296 from banks

Restricted cash 82,505 104,157 223,788

Interest-bearing due from banks 3,830,747 3,206,383 3,522,224

Federal funds sold and other - - 12,141

Cash and cash equivalents 4,101,539 3,466,505 3,961,449

Securities purchased with 1,000,000 500,000 - agreement to resell

Securities available-for-sale, at 4,914,194 4,634,653 3,586,681 fair value

Securities held-to-maturity (fairvalue of $1.2 billion, $1.0billion and $1.1 billion, net ofallowance for credit losses of 1,155,958 989,237 1,028,359 $161,000, $161,000 and $191,000 atDec. 31, 2021, Sept. 30, 2021 andDec. 31, 2020, respectively)

Consumer loans held-for-sale 45,806 55,273 87,821

Commercial loans held-for-sale 17,685 49,121 31,200

Loans 23,414,262 23,058,461 22,424,501

Less allowance for credit losses (263,233 ) (268,635 ) (285,050 )

Loans, net 23,151,029 22,789,826 22,139,451

Premises and equipment, net 288,182 288,833 290,001

Equity method investment 360,833 333,764 308,556

Accrued interest receivable 98,813 89,137 104,078

Goodwill 1,819,811 1,819,811 1,819,811

Core deposits and other intangible 33,819 35,876 42,336 assets

Other real estate owned 8,537 8,415 12,360

Other assets 1,473,193 1,463,485 1,520,757

Total assets $ 38,469,399 $ 36,523,936 $ 34,932,860

LIABILITIES AND STOCKHOLDERS' EQUITY

Deposits:

Noninterest-bearing $ 10,461,071 $ 9,809,691 $ 7,392,325

Interest-bearing 6,530,015 5,767,286 5,689,095

Savings and money market accounts 12,179,663 11,381,033 11,099,523

Time 2,133,784 2,411,797 3,524,632

Total deposits 31,304,533 29,369,807 27,705,575

Securities sold under agreements 152,559 148,240 128,164 to repurchase

Federal Home Loan Bank advances 888,681 888,493 1,087,927

Subordinated debt and other 423,172 542,712 670,575 borrowings

Accrued interest payable 12,504 11,838 24,934

Other liabilities 377,343 371,048 411,074

Total liabilities 33,158,792 31,332,138 30,028,249

Preferred stock, no par value,10.0 million shares authorized;225,000 shares non-cumulativeperpetual preferred stock, Series 217,126 217,126 217,126 B, liquidation preference $225.0million, issued and outstanding atDec. 31, 2021, Sept. 30, 2021 andDec. 31, 2020, respectively

Common stock, par value $1.00;180.0 million shares authorized;76.1 million, 76.1 million and75.9 million shares issued and 76,143 76,115 75,850 outstanding at Dec. 31, 2021,Sept. 30, 2021 and Dec. 31, 2020,respectively

Additional paid-in capital 3,045,802 3,038,800 3,028,063

Retained earnings 1,864,350 1,748,491 1,407,723

Accumulated other comprehensive 107,186 111,266 175,849 income, net of taxes

Total stockholders' equity 5,310,607 5,191,798 4,904,611

Total liabilities and $ 38,469,399 $ 36,523,936 $ 34,932,860 stockholders' equity

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

(dollars in thousands, except for share and per share data)

Three months ended

Year ended

December 31, 2021

September 30, 2021

December 31, 2020

December 31, 2021

December 31, 2020

Interest income:

Loans, including fees

$

230,026

$

233,857

$

232,561

$

924,043

$

919,744

Securities

Taxable

9,696

8,986

7,530

34,769

35,663

Tax-exempt

16,931

15,873

15,446

64,848

58,867

Federal funds sold and other

2,540

2,152

1,510

7,554

6,768

Total interest income

259,193

260,868

257,047

1,031,214

1,021,042

Interest expense:

Deposits

10,648

12,139

22,721

54,116

135,547

Securities sold under agreements to repurchase

54

57

64

239

350

FHLB advances and other borrowings

9,728

11,129

13,277

44,458

63,357

Total interest expense

20,430

23,325

36,062

98,813

199,254

Net interest income

238,763

237,543

220,985

932,401

821,788

Provision for credit losses

2,675

3,382

9,180

16,126

203,815

Net interest income after provision for credit losses

236,088

234,161

211,805

916,275

617,973

Noninterest income:

Service charges on deposit accounts

12,663

11,435

8,486

41,311

34,282

Investment services

11,081

9,648

7,593

37,917

29,537

Insurance sales commissions

2,328

2,557

2,300

10,516

10,055

Gains on mortgage loans sold, net

4,244

7,814

12,387

32,424

60,042

Investment gains on sales, net

393

-

-

759

986

Trust fees

5,926

5,049

4,382

20,724

16,496

Income from equity method investment

30,844

30,409

24,294

122,274

83,539

Other noninterest income

33,244

37,183

24,002

129,809

82,903

Total noninterest income

100,723

104,095

83,444

395,734

317,840

Noninterest expense:

Salaries and employee benefits

110,048

112,406

90,013

436,006

334,483

Equipment and occupancy

24,997

23,712

23,849

95,250

88,475

Other real estate, net

37

(79

)

1,457

(712

)

8,555

Marketing and other business development

4,562

3,325

2,979

12,888

10,693

Postage and supplies

2,191

2,083

1,998

8,195

7,819

Amortization of intangibles

2,057

2,088

2,377

8,518

9,793

Other noninterest expense

26,525

25,316

38,632

99,959

104,637

Total noninterest expense

170,417

168,851

161,305

660,104

564,455

Income before income taxes

166,394

169,405

133,944

651,905

371,358

Income tax expense

32,866

32,828

23,068

124,582

59,037

Net income

133,528

136,577

110,876

527,323

312,321

Preferred stock dividends

(3,798

)

(3,798

)

(3,798

)

(15,192

)

(7,596

)

Net income available to common shareholders

$

129,730

$

132,779

$

107,078

$

512,131

$

304,725

Per share information:

Basic net income per common share

$

1.72

$

1.76

$

1.42

$

6.79

$

4.04

Diluted net income per common share

$

1.71

$

1.75

$

1.42

$

6.75

$

4.03

Weighted average common shares outstanding:

Basic

75,523,052

75,494,286

75,253,862

75,468,339

75,376,489

Diluted

76,024,700

75,836,142

75,583,986

75,927,147

75,654,385

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

(dollars inthousands,except for Three months ended Year endedshare andper sharedata)

December 31, September 30, December 31, December 31, December 31, 2021 2021 2020 2021 2020

Interest income:

Loans,including $ 230,026 $ 233,857 $ 232,561 $ 924,043 $ 919,744 fees

Securities

Taxable 9,696 8,986 7,530 34,769 35,663

Tax-exempt 16,931 15,873 15,446 64,848 58,867

Federalfunds sold 2,540 2,152 1,510 7,554 6,768 and other

Totalinterest 259,193 260,868 257,047 1,031,214 1,021,042 income

Interest expense:

Deposits 10,648 12,139 22,721 54,116 135,547

Securitiessold underagreements 54 57 64 239 350 torepurchase

FHLBadvances and 9,728 11,129 13,277 44,458 63,357 otherborrowings

Totalinterest 20,430 23,325 36,062 98,813 199,254 expense

Net interest 238,763 237,543 220,985 932,401 821,788 income

Provisionfor credit 2,675 3,382 9,180 16,126 203,815 losses

Net interestincome afterprovision 236,088 234,161 211,805 916,275 617,973 for creditlosses

Noninterest income:

Servicecharges on 12,663 11,435 8,486 41,311 34,282 depositaccounts

Investment 11,081 9,648 7,593 37,917 29,537 services

Insurancesales 2,328 2,557 2,300 10,516 10,055 commissions

Gains onmortgage 4,244 7,814 12,387 32,424 60,042 loans sold,net

Investmentgains on 393 - - 759 986 sales, net

Trust fees 5,926 5,049 4,382 20,724 16,496

Income fromequity 30,844 30,409 24,294 122,274 83,539 methodinvestment

Othernoninterest 33,244 37,183 24,002 129,809 82,903 income

Totalnoninterest 100,723 104,095 83,444 395,734 317,840 income

Noninterest expense:

Salaries andemployee 110,048 112,406 90,013 436,006 334,483 benefits

Equipmentand 24,997 23,712 23,849 95,250 88,475 occupancy

Other real 37 (79 ) 1,457 (712 ) 8,555 estate, net

Marketingand other 4,562 3,325 2,979 12,888 10,693 businessdevelopment

Postage and 2,191 2,083 1,998 8,195 7,819 supplies

Amortizationof 2,057 2,088 2,377 8,518 9,793 intangibles

Othernoninterest 26,525 25,316 38,632 99,959 104,637 expense

Totalnoninterest 170,417 168,851 161,305 660,104 564,455 expense

Incomebefore 166,394 169,405 133,944 651,905 371,358 income taxes

Income tax 32,866 32,828 23,068 124,582 59,037 expense

Net income 133,528 136,577 110,876 527,323 312,321

Preferredstock (3,798 ) (3,798 ) (3,798 ) (15,192 ) (7,596 )dividends

Net incomeavailable to $ 129,730 $ 132,779 $ 107,078 $ 512,131 $ 304,725 commonshareholders

Per share information:

Basic netincome per $ 1.72 $ 1.76 $ 1.42 $ 6.79 $ 4.04 common share

Diluted netincome per $ 1.71 $ 1.75 $ 1.42 $ 6.75 $ 4.03 common share

Weightedaveragecommon sharesoutstanding:

Basic 75,523,052 75,494,286 75,253,862 75,468,339 75,376,489

Diluted 76,024,700 75,836,142 75,583,986 75,927,147 75,654,385

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

(dollars in thousands)

December

September

June

March

December

September

2021

2021

2021

2021

2020

2020

Balance sheet data, at quarter end:

Commercial and industrial loans

$

7,703,428

7,079,431

6,771,254

6,355,119

6,239,588

6,144,949

Commercial real estate - owner occupied loans

3,048,822

2,954,519

2,817,689

2,869,785

2,802,227

2,748,075

Commercial real estate - investment loans

4,607,048

4,597,736

4,644,551

4,782,712

4,565,040

4,648,457

Commercial real estate - multifamily and other loans

614,656

621,471

724,253

790,469

638,344

571,995

Consumer real estate - mortgage loans

3,680,684

3,540,439

3,335,537

3,086,916

3,099,172

3,041,019

Construction and land development loans

2,903,017

3,096,961

2,791,611

2,568,969

2,901,746

2,728,439

Consumer and other loans

485,489

459,182

440,124

411,322

379,515

343,461

Paycheck protection program loans

371,118

708,722

1,372,916

2,221,409

1,798,869

2,251,014

Total loans

23,414,262

23,058,461

22,897,935

23,086,701

22,424,501

22,477,409

Allowance for credit losses

(263,233

)

(268,635

)

(273,747

)

(280,881

)

(285,050

)

(288,645

)

Securities

6,070,152

5,623,890

5,326,908

4,691,364

4,615,040

4,503,072

Total assets

38,469,399

36,523,936

35,412,309

35,299,705

34,932,860

33,824,931

Noninterest-bearing deposits

10,461,071

9,809,691

8,926,200

8,103,943

7,392,325

7,050,670

Total deposits

31,304,533

29,369,807

28,217,603

28,292,940

27,705,575

26,543,956

Securities sold under agreements to repurchase

152,559

148,240

177,661

172,117

128,164

127,059

FHLB advances

888,681

888,493

888,304

888,115

1,087,927

1,287,738

Subordinated debt and other borrowings

423,172

542,712

671,994

671,002

670,575

670,273

Total stockholders' equity

5,310,607

5,191,798

5,101,231

4,959,524

4,904,611

4,787,308

Balance sheet data, quarterly averages:

Total loans

$

23,225,735

22,986,835

23,179,803

22,848,086

22,524,683

22,493,192

Securities

5,813,636

5,451,232

5,036,786

4,666,269

4,567,872

4,420,280

Federal funds sold and other

4,356,113

3,743,074

3,143,078

3,356,199

3,621,623

3,279,248

Total earning assets

33,395,484

32,181,141

31,359,667

30,870,554

30,714,178

30,192,720

Total assets

37,132,078

35,896,130

35,053,772

34,659,132

34,436,765

33,838,716

Noninterest-bearing deposits

10,240,393

9,247,382

8,500,465

7,620,665

7,322,393

6,989,439

Total deposits

30,034,026

28,739,871

28,013,659

27,620,784

27,193,256

26,352,823

Securities sold under agreements to repurchase

141,781

164,837

173,268

143,586

121,331

147,211

FHLB advances

888,559

888,369

888,184

934,662

1,250,848

1,515,879

Subordinated debt and other borrowings

484,389

586,387

674,162

673,662

673,419

715,138

Total stockholders' equity

5,262,586

5,176,625

5,039,608

4,953,656

4,852,373

4,765,864

Statement of operations data, for the three months ended:

Interest income

$

259,193

260,868

259,236

251,917

257,047

249,188

Interest expense

20,430

23,325

26,011

29,047

36,062

42,594

Net interest income

238,763

237,543

233,225

222,870

220,985

206,594

Provision for credit losses

2,675

3,382

2,834

7,235

9,180

16,758

Net interest income after provision for credit losses

236,088

234,161

230,391

215,635

211,805

189,836

Noninterest income

100,723

104,095

98,207

92,709

83,444

91,065

Noninterest expense

170,417

168,851

166,140

154,696

161,305

143,852

Income before taxes

166,394

169,405

162,458

153,648

133,944

137,049

Income tax expense

32,866

32,828

30,668

28,220

23,068

26,404

Net income

133,528

136,577

131,790

125,428

110,876

110,645

Preferred stock dividends

(3,798

)

(3,798

)

(3,798

)

(3,798

)

(3,798

)

(3,798

)

Net income available to common shareholders

$

129,730

132,779

127,992

121,630

107,078

106,847

Profitability and other ratios:

Return on avg. assets (1)

1.39

%

1.47

%

1.46

%

1.42

%

1.24

%

1.26

%

Return on avg. equity (1)

9.78

%

10.18

%

10.19

%

9.96

%

8.78

%

8.92

%

Return on avg. common equity (1)

10.20

%

10.62

%

10.65

%

10.41

%

9.19

%

9.35

%

Return on avg. tangible common equity (1)

16.13

%

16.98

%

17.32

%

17.16

%

15.37

%

15.85

%

Common stock dividend payout ratio (16)

10.65

%

11.13

%

11.73

%

13.69

%

15.84

%

16.49

%

Net interest margin (2)

2.96

%

3.03

%

3.08

%

3.02

%

2.97

%

2.82

%

Noninterest income to total revenue (3)

29.67

%

30.47

%

29.63

%

29.38

%

27.41

%

30.59

%

Noninterest income to avg. assets (1)

1.08

%

1.15

%

1.12

%

1.08

%

0.96

%

1.07

%

Noninterest exp. to avg. assets (1)

1.82

%

1.87

%

1.90

%

1.81

%

1.86

%

1.69

%

Efficiency ratio (4)

50.20

%

49.42

%

50.13

%

49.02

%

52.99

%

48.33

%

Avg. loans to avg. deposits

77.33

%

79.98

%

82.74

%

82.72

%

82.83

%

85.35

%

Securities to total assets

15.78

%

15.40

%

15.04

%

13.29

%

13.21

%

13.31

%

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED



(dollars in December September June March December Septemberthousands) 2021 2021 2021 2021 2020 2020

Balance sheet data, at quarter end:

Commercial and $ 7,703,428 7,079,431 6,771,254 6,355,119 6,239,588 6,144,949 industrial loans

Commercial realestate - owner 3,048,822 2,954,519 2,817,689 2,869,785 2,802,227 2,748,075 occupied loans

Commercial realestate - investment 4,607,048 4,597,736 4,644,551 4,782,712 4,565,040 4,648,457 loans

Commercial realestate - 614,656 621,471 724,253 790,469 638,344 571,995 multifamily andother loans

Consumer realestate - mortgage 3,680,684 3,540,439 3,335,537 3,086,916 3,099,172 3,041,019 loans

Construction andland development 2,903,017 3,096,961 2,791,611 2,568,969 2,901,746 2,728,439 loans

Consumer and other 485,489 459,182 440,124 411,322 379,515 343,461 loans

Paycheck protection 371,118 708,722 1,372,916 2,221,409 1,798,869 2,251,014 program loans

Total loans 23,414,262 23,058,461 22,897,935 23,086,701 22,424,501 22,477,409

Allowance for (263,233 ) (268,635 ) (273,747 ) (280,881 ) (285,050 ) (288,645 )credit losses

Securities 6,070,152 5,623,890 5,326,908 4,691,364 4,615,040 4,503,072

Total assets 38,469,399 36,523,936 35,412,309 35,299,705 34,932,860 33,824,931

Noninterest-bearing 10,461,071 9,809,691 8,926,200 8,103,943 7,392,325 7,050,670 deposits

Total deposits 31,304,533 29,369,807 28,217,603 28,292,940 27,705,575 26,543,956

Securities soldunder agreements to 152,559 148,240 177,661 172,117 128,164 127,059 repurchase

FHLB advances 888,681 888,493 888,304 888,115 1,087,927 1,287,738

Subordinated debtand other 423,172 542,712 671,994 671,002 670,575 670,273 borrowings

Total stockholders' 5,310,607 5,191,798 5,101,231 4,959,524 4,904,611 4,787,308 equity

Balance sheet data, quarterly averages:

Total loans $ 23,225,735 22,986,835 23,179,803 22,848,086 22,524,683 22,493,192

Securities 5,813,636 5,451,232 5,036,786 4,666,269 4,567,872 4,420,280

Federal funds sold 4,356,113 3,743,074 3,143,078 3,356,199 3,621,623 3,279,248 and other

Total earning 33,395,484 32,181,141 31,359,667 30,870,554 30,714,178 30,192,720 assets

Total assets 37,132,078 35,896,130 35,053,772 34,659,132 34,436,765 33,838,716

Noninterest-bearing 10,240,393 9,247,382 8,500,465 7,620,665 7,322,393 6,989,439 deposits

Total deposits 30,034,026 28,739,871 28,013,659 27,620,784 27,193,256 26,352,823

Securities soldunder agreements to 141,781 164,837 173,268 143,586 121,331 147,211 repurchase

FHLB advances 888,559 888,369 888,184 934,662 1,250,848 1,515,879

Subordinated debtand other 484,389 586,387 674,162 673,662 673,419 715,138 borrowings

Total stockholders' 5,262,586 5,176,625 5,039,608 4,953,656 4,852,373 4,765,864 equity

Statement of operations data, for the three months ended:

Interest income $ 259,193 260,868 259,236 251,917 257,047 249,188

Interest expense 20,430 23,325 26,011 29,047 36,062 42,594

Net interest income 238,763 237,543 233,225 222,870 220,985 206,594

Provision for 2,675 3,382 2,834 7,235 9,180 16,758 credit losses

Net interest incomeafter provision for 236,088 234,161 230,391 215,635 211,805 189,836 credit losses

Noninterest income 100,723 104,095 98,207 92,709 83,444 91,065

Noninterest expense 170,417 168,851 166,140 154,696 161,305 143,852

Income before taxes 166,394 169,405 162,458 153,648 133,944 137,049

Income tax expense 32,866 32,828 30,668 28,220 23,068 26,404

Net income 133,528 136,577 131,790 125,428 110,876 110,645

Preferred stock (3,798 ) (3,798 ) (3,798 ) (3,798 ) (3,798 ) (3,798 )dividends

Net incomeavailable to common $ 129,730 132,779 127,992 121,630 107,078 106,847 shareholders

Profitability and other ratios:

Return on avg. 1.39 % 1.47 % 1.46 % 1.42 % 1.24 % 1.26 %assets ^(1)

Return on avg. 9.78 % 10.18 % 10.19 % 9.96 % 8.78 % 8.92 %equity ^(1)

Return on avg. 10.20 % 10.62 % 10.65 % 10.41 % 9.19 % 9.35 %common equity^ (1)

Return on avg.tangible common 16.13 % 16.98 % 17.32 % 17.16 % 15.37 % 15.85 %equity ^(1)

Common stockdividend payout 10.65 % 11.13 % 11.73 % 13.69 % 15.84 % 16.49 %ratio ^(16)

Net interest margin 2.96 % 3.03 % 3.08 % 3.02 % 2.97 % 2.82 %^ (2)

Noninterest incometo total revenue ^ 29.67 % 30.47 % 29.63 % 29.38 % 27.41 % 30.59 %(3)

Noninterest income 1.08 % 1.15 % 1.12 % 1.08 % 0.96 % 1.07 %to avg. assets ^(1)

Noninterest exp. to 1.82 % 1.87 % 1.90 % 1.81 % 1.86 % 1.69 %avg. assets ^(1)

Efficiency ratio ^ 50.20 % 49.42 % 50.13 % 49.02 % 52.99 % 48.33 %(4)

Avg. loans to avg. 77.33 % 79.98 % 82.74 % 82.72 % 82.83 % 85.35 %deposits

Securities to total 15.78 % 15.40 % 15.04 % 13.29 % 13.21 % 13.31 %assets

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED

(dollars in thousands)

Three months ended

Three months ended

December 31, 2021

December 31, 2020

Average Balances

Interest

Rates/ Yields

Average Balances

Interest

Rates/ Yields

Interest-earning assets

Loans (1) (2)

$

23,225,735

$

230,026

4.04

%

$

22,524,683

$

232,561

4.20

%

Securities

Taxable

3,112,605

9,696

1.24

%

2,235,953

7,530

1.34

%

Tax-exempt (2)

2,701,031

16,931

3.04

%

2,331,919

15,446

3.16

%

Federal funds sold and other

4,356,113

2,540

0.23

%

3,621,623

1,510

0.17

%

Total interest-earning assets

33,395,484

$

259,193

3.20

%

30,714,178

$

257,047

3.44

%

Nonearning assets

Intangible assets

1,854,963

1,863,696

Other nonearning assets

1,881,631

1,858,891

Total assets

$

37,132,078

$

34,436,765

Interest-bearing liabilities

Interest-bearing deposits:

Interest checking

5,799,700

2,427

0.17

%

5,232,181

3,086

0.23

%

Savings and money market

11,777,899

5,153

0.17

%

10,882,070

7,651

0.28

%

Time

2,216,034

3,068

0.55

%

3,756,612

11,984

1.27

%

Total interest-bearing deposits

19,793,633

10,648

0.21

%

19,870,863

22,721

0.45

%

Securities sold under agreements to repurchase

141,781

54

0.15

%

121,331

64

0.21

%

Federal Home Loan Bank advances

888,559

4,558

2.04

%

1,250,848

6,282

2.00

%

Subordinated debt and other borrowings

484,389

5,170

4.23

%

673,419

6,995

4.13

%

Total interest-bearing liabilities

21,308,362

20,430

0.38

%

21,916,461

36,062

0.65

%

Noninterest-bearing deposits

10,240,393

-

-

7,322,393

-

-

Total deposits and interest-bearing liabilities

31,548,755

$

20,430

0.26

%

29,238,854

$

36,062

0.49

%

Other liabilities

320,737

345,538

Stockholders' equity

5,262,586

4,852,373

Total liabilities and stockholders' equity

$

37,132,078

$

34,436,765

Netinterestincome

$

238,763

$

220,985

Net interest spread (3)

2.82

%

2.78

%

Net interest margin (4)

2.96

%

2.97

%

(1) Average balances of nonperforming loans are included in the above amounts.

(2) Yields computed on tax-exempt instruments on a tax equivalent basis and included $10.1 million of taxable equivalent income for the three months ended Dec. 31, 2021 compared to $8.4 million for the three months ended Dec. 31, 2020. The tax-exempt benefit has been reduced by the projected impact of tax-exempt income that will be disallowed pursuant to IRS Regulations as of and for the then current period presented.

(3) Yields realized on interest-bearing assets less the rates paid on interest-bearing liabilities. The net interest spread calculation excludes the impact of demand deposits. Had the impact of demand deposits been included, the net interest spread for the three months ended Dec. 31, 2021 would have been 2.94% compared to a net interest spread of 2.95% for the three months ended Dec. 31, 2020.

(4) Net interest margin is the result of annualized net interest income calculated on a tax equivalent basis divided by average interest-earning assets for the period.

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED



(dollars in Three months ended Three months endedthousands) December 31, 2021 December 31, 2020

Average Interest Rates/ Average Interest Rates/ Balances Yields Balances Yields

Interest-earning assets

Loans^ (1) (2) $ 23,225,735 $ 230,026 4.04 % $ 22,524,683 $ 232,561 4.20 %

Securities

Taxable 3,112,605 9,696 1.24 % 2,235,953 7,530 1.34 %

Tax-exempt ^(2) 2,701,031 16,931 3.04 % 2,331,919 15,446 3.16 %

Federal funds sold 4,356,113 2,540 0.23 % 3,621,623 1,510 0.17 %and other

Totalinterest-earning 33,395,484 $ 259,193 3.20 % 30,714,178 $ 257,047 3.44 %assets

Nonearning assets

Intangible assets 1,854,963 1,863,696

Other nonearning 1,881,631 1,858,891 assets

Total assets $ 37,132,078 $ 34,436,765



Interest-bearing liabilities

Interest-bearing deposits:

Interest checking 5,799,700 2,427 0.17 % 5,232,181 3,086 0.23 %

Savings and money 11,777,899 5,153 0.17 % 10,882,070 7,651 0.28 %market

Time 2,216,034 3,068 0.55 % 3,756,612 11,984 1.27 %

Totalinterest-bearing 19,793,633 10,648 0.21 % 19,870,863 22,721 0.45 %deposits

Securities soldunder agreements to 141,781 54 0.15 % 121,331 64 0.21 %repurchase

Federal Home Loan 888,559 4,558 2.04 % 1,250,848 6,282 2.00 %Bank advances

Subordinated debtand other 484,389 5,170 4.23 % 673,419 6,995 4.13 %borrowings

Totalinterest-bearing 21,308,362 20,430 0.38 % 21,916,461 36,062 0.65 %liabilities

Noninterest-bearing 10,240,393 - - 7,322,393 - - deposits

Total deposits andinterest-bearing 31,548,755 $ 20,430 0.26 % 29,238,854 $ 36,062 0.49 %liabilities

Other liabilities 320,737 345,538

Stockholders' 5,262,586 4,852,373 equity

Total liabilitiesand stockholders' $ 37,132,078 $ 34,436,765 equity

Net interest income $ 238,763 $ 220,985

Net interest spread 2.82 % 2.78 %^(3)

Net interest margin 2.96 % 2.97 %^(4)



(1) Average balances of nonperforming loans are included in the above amounts.

(2) Yields computed on tax-exempt instruments on a tax equivalent basis andincluded $10.1 million of taxable equivalent income for the three months endedDec. 31, 2021 compared to $8.4 million for the three months ended Dec. 31,2020. The tax-exempt benefit has been reduced by the projected impact oftax-exempt income that will be disallowed pursuant to IRS Regulations as of andfor the then current period presented.

(3) Yields realized on interest-bearing assets less the rates paid oninterest-bearing liabilities. The net interest spread calculation excludes theimpact of demand deposits. Had the impact of demand deposits been included, thenet interest spread for the three months ended Dec. 31, 2021 would have been2.94% compared to a net interest spread of 2.95% for the three months endedDec. 31, 2020.

(4) Net interest margin is the result of annualized net interest incomecalculated on a tax equivalent basis divided by average interest-earning assetsfor the period.



This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED

(dollars in thousands)

Year ended

Year ended

December 31, 2021

December 31, 2020

Average Balances

Interest

Rates/ Yields

Average Balances

Interest

Rates/ Yields

Interest-earning assets

Loans (1) (2)

$

23,060,949

$

924,043

4.09

%

$

21,824,841

$

919,744

4.30

%

Securities

Taxable

2,711,044

34,769

1.28

%

2,136,437

35,663

1.67

%

Tax-exempt (2)

2,534,653

64,848

3.09

%

2,114,277

58,867

3.35

%

Federal funds sold and other

3,652,612

7,554

0.21

%

2,586,298

6,768

0.26

%

Total interest-earning assets

31,959,258

$

1,031,214

3.33

%

28,661,853

$

1,021,042

3.67

%

Nonearning assets

Intangible assets

1,858,119

1,867,007

Other nonearning assets

1,875,255

1,805,677

Total assets

$

35,692,632

$

32,334,537

Interest-bearing liabilities

Interest-bearing deposits:

Interest checking

5,578,632

9,887

0.18

%

4,602,683

19,542

0.42

%

Savings and money market

11,437,779

22,823

0.20

%

9,623,790

45,364

0.47

%

Time

2,682,315

21,406

0.80

%

4,162,523

70,641

1.70

%

Total interest-bearing deposits

19,698,726

54,116

0.27

%

18,388,996

135,547

0.74

%

Securities sold under agreements to repurchase

155,888

239

0.15

%

150,118

350

0.23

%

Federal Home Loan Bank advances

899,785

18,111

2.01

%

1,750,578

33,135

1.89

%

Subordinated debt and other borrowings

604,081

26,347

4.36

%

692,169

30,222

4.37

%

Total interest-bearing liabilities

21,358,480

98,813

0.46

%

20,981,861

199,254

0.95

%

Noninterest-bearing deposits

8,910,349

-

-

6,380,155

-

-

Total deposits and interest-bearing liabilities

30,268,829

$

98,813

0.33

%

27,362,016

$

199,254

0.73

%

Other liabilities

314,650

337,855

Stockholders' equity

5,109,153

4,634,666

Total liabilities and stockholders' equity

$

35,692,632

$

32,334,537

Netinterestincome

$

932,401

$

821,788

Net interest spread (3)

2.87

%

2.72

%

Net interest margin (4)

3.02

%

2.97

%

(1) Average balances of nonperforming loans are included in the above amounts.

(2) Yields computed on tax-exempt instruments on a tax equivalent basis and included $33.8 million of taxable equivalent income for the year ended Dec. 31, 2021 compared to $29.9 million for the year ended Dec. 31, 2020. The tax-exempt benefit has been reduced by the projected impact of tax-exempt income that will be disallowed pursuant to IRS Regulations as of and for the then current period presented.

(3) Yields realized on interest-bearing assets less the rates paid on interest-bearing liabilities. The net interest spread calculation excludes the impact of demand deposits. Had the impact of demand deposits been included, the net interest spread for the year ended Dec. 31, 2021 would have been 3.01% compared to a net interest spread of 2.94% for the year ended Dec. 31, 2020.

(4) Net interest margin is the result of annualized net interest income calculated on a tax equivalent basis divided by average interest-earning assets for the period.

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED



(dollars in Year ended Year endedthousands) December 31, 2021 December 31, 2020

Average Interest Rates/ Average Interest Rates/ Balances Yields Balances Yields

Interest-earning assets

Loans^ (1) (2) $ 23,060,949 $ 924,043 4.09 % $ 21,824,841 $ 919,744 4.30 %

Securities

Taxable 2,711,044 34,769 1.28 % 2,136,437 35,663 1.67 %

Tax-exempt ^(2) 2,534,653 64,848 3.09 % 2,114,277 58,867 3.35 %

Federal funds sold 3,652,612 7,554 0.21 % 2,586,298 6,768 0.26 %and other

Totalinterest-earning 31,959,258 $ 1,031,214 3.33 % 28,661,853 $ 1,021,042 3.67 %assets

Nonearning assets

Intangible assets 1,858,119 1,867,007

Other nonearning 1,875,255 1,805,677 assets

Total assets $ 35,692,632 $ 32,334,537



Interest-bearing liabilities

Interest-bearing deposits:

Interest checking 5,578,632 9,887 0.18 % 4,602,683 19,542 0.42 %

Savings and money 11,437,779 22,823 0.20 % 9,623,790 45,364 0.47 %market

Time 2,682,315 21,406 0.80 % 4,162,523 70,641 1.70 %

Totalinterest-bearing 19,698,726 54,116 0.27 % 18,388,996 135,547 0.74 %deposits

Securities soldunder agreements to 155,888 239 0.15 % 150,118 350 0.23 %repurchase

Federal Home Loan 899,785 18,111 2.01 % 1,750,578 33,135 1.89 %Bank advances

Subordinated debtand other 604,081 26,347 4.36 % 692,169 30,222 4.37 %borrowings

Totalinterest-bearing 21,358,480 98,813 0.46 % 20,981,861 199,254 0.95 %liabilities

Noninterest-bearing 8,910,349 - - 6,380,155 - - deposits

Total deposits andinterest-bearing 30,268,829 $ 98,813 0.33 % 27,362,016 $ 199,254 0.73 %liabilities

Other liabilities 314,650 337,855

Stockholders' 5,109,153 4,634,666 equity

Total liabilitiesand stockholders' $ 35,692,632 $ 32,334,537 equity

Net interest income $ 932,401 $ 821,788

Net interest spread 2.87 % 2.72 %^(3)

Net interest margin 3.02 % 2.97 %^(4)



(1) Average balances of nonperforming loans are included in the above amounts.

(2) Yields computed on tax-exempt instruments on a tax equivalent basis andincluded $33.8 million of taxable equivalent income for the year ended Dec. 31,2021 compared to $29.9 million for the year ended Dec. 31, 2020. The tax-exemptbenefit has been reduced by the projected impact of tax-exempt income that willbe disallowed pursuant to IRS Regulations as of and for the then current periodpresented.

(3) Yields realized on interest-bearing assets less the rates paid oninterest-bearing liabilities. The net interest spread calculation excludes theimpact of demand deposits. Had the impact of demand deposits been included, thenet interest spread for the year ended Dec. 31, 2021 would have been 3.01%compared to a net interest spread of 2.94% for the year ended Dec. 31, 2020.

(4) Net interest margin is the result of annualized net interest incomecalculated on a tax equivalent basis divided by average interest-earning assetsfor the period.



This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

(dollars in thousands)

December

September

June

March

December

September

2021

2021

2021

2021

2020

2020

Asset quality information and ratios:

Nonperforming assets:

Nonaccrual loans

$

31,569

46,692

53,105

72,135

73,836

71,390

ORE and other nonperforming assets (NPAs)

8,537

8,415

9,602

10,651

12,360

19,445

Total nonperforming assets

$

40,106

55,107

62,707

82,786

86,196

90,835

Past due loans over 90 days and still accruing interest

$

1,607

1,914

1,810

2,833

2,362

1,313

Accruing troubled debt restructurings (5)

$

2,354

2,397

2,428

2,460

2,494

2,588

Accruing purchase credit deteriorated loans

$

13,086

12,158

12,400

13,904

14,091

14,346

Net loan charge-offs

$

8,077

9,281

9,968

11,397

10,775

13,057

Allowance for credit losses to nonaccrual loans

833.8

%

575.3

%

515.5

%

389.4

%

386.1

%

404.3

%

As a percentage of total loans:

Past due accruing loans over 30 days

0.09

%

0.09

%

0.07

%

0.09

%

0.19

%

0.11

%

Potential problem loans (6)

0.47

%

0.60

%

0.74

%

0.70

%

0.77

%

0.96

%

Allowance for credit losses (20)

1.12

%

1.17

%

1.20

%

1.22

%

1.27

%

1.28

%

Nonperforming assets to total loans, ORE and other NPAs

0.17

%

0.24

%

0.27

%

0.36

%

0.38

%

0.40

%

Classified asset ratio (Pinnacle Bank) (8)

4.1

%

5.6

%

6.8

%

7.3

%

8.1

%

9.9

%

Annualized net loan charge-offs to avg. loans (7)

0.14

%

0.16

%

0.17

%

0.20

%

0.19

%

0.23

%

Wtd. avg. commercial loan internal risk ratings (6)

45.3

46.0

46.1

45.2

45.1

45.2

Interest rates and yields:

Loans

4.04

%

4.13

%

4.11

%

4.11

%

4.20

%

4.04

%

Securities

2.08

%

2.04

%

2.25

%

2.29

%

2.27

%

2.38

%

Total earning assets

3.20

%

3.32

%

3.42

%

3.41

%

3.44

%

3.38

%

Total deposits, including non-interest bearing

0.14

%

0.17

%

0.20

%

0.26

%

0.33

%

0.43

%

Securities sold under agreements to repurchase

0.15

%

0.14

%

0.13

%

0.20

%

0.21

%

0.21

%

FHLB advances

2.04

%

2.04

%

2.03

%

1.95

%

2.00

%

1.82

%

Subordinated debt and other borrowings

4.23

%

4.45

%

4.52

%

4.22

%

4.13

%

3.99

%

Total deposits and interest-bearing liabilities

0.26

%

0.30

%

0.35

%

0.40

%

0.49

%

0.59

%

Capital and other ratios (8):

Pinnacle Financial ratios:

Stockholders' equity to total assets

13.8

%

14.2

%

14.4

%

14.0

%

14.0

%

14.2

%

Common equity Tier one

10.9

%

10.5

%

10.5

%

10.3

%

10.0

%

9.9

%

Tier one risk-based

11.7

%

11.3

%

11.3

%

11.2

%

10.9

%

10.7

%

Total risk-based

13.8

%

14.0

%

14.5

%

14.5

%

14.3

%

14.2

%

Leverage

9.7

%

9.3

%

9.2

%

8.9

%

8.6

%

8.5

%

Tangible common equity to tangible assets

8.8

%

9.0

%

9.0

%

8.6

%

8.5

%

8.5

%

Pinnacle Bank ratios:

Common equity Tier one

11.9

%

11.7

%

11.9

%

11.8

%

11.4

%

11.3

%

Tier one risk-based

11.9

%

11.7

%

11.9

%

11.8

%

11.4

%

11.3

%

Total risk-based

12.6

%

12.5

%

13.1

%

13.0

%

12.7

%

12.6

%

Leverage

9.9

%

9.7

%

9.6

%

9.4

%

9.1

%

8.9

%

Construction and land development loans as a percentage of total capital (19)

79.1

%

89.3

%

80.1

%

76.0

%

89.0

%

86.7

%

Non-owner occupied commercial real estate and multi-family as a percentage of total capital (19)

234.1

%

252.4

%

248.8

%

256.0

%

264.0

%

268.8

%

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED



(dollars in December September June March December Septemberthousands) 2021 2021 2021 2021 2020 2020

Asset qualityinformation and ratios:

Nonperforming assets:

Nonaccrual loans $ 31,569 46,692 53,105 72,135 73,836 71,390

ORE and othernonperforming assets 8,537 8,415 9,602 10,651 12,360 19,445 (NPAs)

Total nonperforming $ 40,106 55,107 62,707 82,786 86,196 90,835 assets

Past due loans over90 days and still $ 1,607 1,914 1,810 2,833 2,362 1,313 accruing interest

Accruing troubleddebt restructurings ^ $ 2,354 2,397 2,428 2,460 2,494 2,588 (5)

Accruing purchasecredit deteriorated $ 13,086 12,158 12,400 13,904 14,091 14,346 loans

Net loan charge-offs $ 8,077 9,281 9,968 11,397 10,775 13,057

Allowance for creditlosses to nonaccrual 833.8 % 575.3 % 515.5 % 389.4 % 386.1 % 404.3 %loans

As a percentage of total loans:

Past due accruing 0.09 % 0.09 % 0.07 % 0.09 % 0.19 % 0.11 %loans over 30 days

Potential problem 0.47 % 0.60 % 0.74 % 0.70 % 0.77 % 0.96 %loans ^(6)

Allowance for credit 1.12 % 1.17 % 1.20 % 1.22 % 1.27 % 1.28 %losses ^(20)

Nonperforming assetsto total loans, ORE 0.17 % 0.24 % 0.27 % 0.36 % 0.38 % 0.40 %and other NPAs

Classified assetratio (Pinnacle Bank) 4.1 % 5.6 % 6.8 % 7.3 % 8.1 % 9.9 %^(8)

Annualized net loancharge-offs to avg. 0.14 % 0.16 % 0.17 % 0.20 % 0.19 % 0.23 %loans ^(7)

Wtd. avg. commercialloan internal risk 45.3 46.0 46.1 45.2 45.1 45.2 ratings ^(6)



Interest rates and yields:

Loans 4.04 % 4.13 % 4.11 % 4.11 % 4.20 % 4.04 %

Securities 2.08 % 2.04 % 2.25 % 2.29 % 2.27 % 2.38 %

Total earning assets 3.20 % 3.32 % 3.42 % 3.41 % 3.44 % 3.38 %

Total deposits,including 0.14 % 0.17 % 0.20 % 0.26 % 0.33 % 0.43 %non-interest bearing

Securities sold underagreements to 0.15 % 0.14 % 0.13 % 0.20 % 0.21 % 0.21 %repurchase

FHLB advances 2.04 % 2.04 % 2.03 % 1.95 % 2.00 % 1.82 %

Subordinated debt and 4.23 % 4.45 % 4.52 % 4.22 % 4.13 % 3.99 %other borrowings

Total deposits andinterest-bearing 0.26 % 0.30 % 0.35 % 0.40 % 0.49 % 0.59 %liabilities



Capital and other ratios ^(8):

Pinnacle Financial ratios:

Stockholders' equity 13.8 % 14.2 % 14.4 % 14.0 % 14.0 % 14.2 %to total assets

Common equity Tier 10.9 % 10.5 % 10.5 % 10.3 % 10.0 % 9.9 %one

Tier one risk-based 11.7 % 11.3 % 11.3 % 11.2 % 10.9 % 10.7 %

Total risk-based 13.8 % 14.0 % 14.5 % 14.5 % 14.3 % 14.2 %

Leverage 9.7 % 9.3 % 9.2 % 8.9 % 8.6 % 8.5 %

Tangible commonequity to tangible 8.8 % 9.0 % 9.0 % 8.6 % 8.5 % 8.5 %assets

Pinnacle Bank ratios:

Common equity Tier 11.9 % 11.7 % 11.9 % 11.8 % 11.4 % 11.3 %one

Tier one risk-based 11.9 % 11.7 % 11.9 % 11.8 % 11.4 % 11.3 %

Total risk-based 12.6 % 12.5 % 13.1 % 13.0 % 12.7 % 12.6 %

Leverage 9.9 % 9.7 % 9.6 % 9.4 % 9.1 % 8.9 %

Construction and landdevelopment loans as 79.1 % 89.3 % 80.1 % 76.0 % 89.0 % 86.7 %a percentage of totalcapital ^(19)

Non-owner occupiedcommercial realestate and 234.1 % 252.4 % 248.8 % 256.0 % 264.0 % 268.8 %multi-family as apercentage of totalcapital ^(19)

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

(dollars in thousands, except per share data)

December

September

June

March

December

September

2021

2021

2021

2021

2020

2020

Per share data:

Earnings per common share - basic

$

1.72

1.76

1.70

1.61

1.42

1.42

Earnings per common share - basic, excluding non-GAAP adjustments

$

1.71

1.76

1.69

1.61

1.58

1.45

Earnings per common share - diluted

$

1.71

1.75

1.69

1.61

1.42

1.42

Earnings per common share - diluted, excluding non-GAAP adjustments

$

1.70

1.75

1.68

1.61

1.58

1.45

Common dividends per share

$

0.18

0.18

0.18

0.18

0.16

0.16

Book value per common share at quarter end (9)

$

66.89

65.36

64.19

62.33

61.80

60.26

Tangible book value per common share at quarter end (9)

$

42.55

40.98

39.77

37.88

37.25

35.68

Revenue per diluted common share

$

4.47

4.50

4.37

4.17

4.03

3.95

Revenue per diluted common share, excluding non-GAAP adjustments

$

4.46

4.50

4.37

4.17

4.03

3.94

Investor information:

Closing sales price of common stock on last trading day of quarter

$

95.50

94.08

88.29

88.66

64.40

35.59

High closing sales price of common stock during quarter

$

104.72

98.00

92.94

93.58

65.51

44.47

Low closing sales price of common stock during quarter

$

90.20

83.84

84.25

63.48

35.97

33.28

Closing sales price of depositary shares on last trading day of quarter

$

28.21

28.14

29.13

27.62

27.69

26.49

High closing sales price of depositary shares during quarter

$

28.99

29.23

29.13

27.83

27.94

26.82

Low closing sales price of depositary shares during quarter

$

27.42

28.00

27.38

26.83

26.45

25.51

Other information:

Residential mortgage loan sales:

Gross loans sold

$

352,342

347,664

394,299

546,963

479,867

511,969

Gross fees (10)

$

10,098

11,215

15,552

18,793

23,729

23,557

Gross fees as a percentage of loans originated

2.87

%

3.23

%

3.94

%

3.44

%

4.94

%

4.60

%

Net gain on residential mortgage loans sold

$

4,244

7,814

6,700

13,666

12,387

19,453

Investment gains on sales of securities, net (15)

$

393

-

366

-

-

651

Brokerage account assets, at quarter end (11)

$

7,187,085

6,597,152

6,344,416

5,974,884

5,509,560

4,866,726

Trust account managed assets, at quarter end

$

4,720,290

4,155,510

3,640,932

3,443,373

3,295,198

2,978,035

Core deposits (12)

$

29,316,911

27,170,367

25,857,639

24,971,177

23,510,883

22,003,989

Core deposits to total funding (12)

89.5

%

87.8

%

86.3

%

83.1

%

79.5

%

76.9

%

Risk-weighted assets

$

29,349,534

27,945,624

26,819,277

26,105,158

25,791,896

25,189,944

Number of offices

118

117

116

115

114

114

Total core deposits per office

$

248,448

232,225

222,911

217,141

206,236

193,017

Total assets per full-time equivalent employee

$

13,541

13,188

13,087

13,468

13,262

13,027

Annualized revenues per full-time equivalent employee

$

474.1

489.4

491.3

488.3

459.8

456.1

Annualized expenses per full-time equivalent employee

$

238.0

241.9

246.3

239.4

246.6

221.1

Number of employees (full-time equivalent)

2,841.0

2,769.5

2,706.0

2,621.0

2,634.0

2,596.5

Associate retention rate (13)

93.4

%

93.4

%

93.3

%

94.4

%

94.8

%

94.4

%

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED



(dollars in December September June March December Septemberthousands,except pershare data) 2021 2021 2021 2021 2020 2020



Per share data:

Earnings percommon share $ 1.72 1.76 1.70 1.61 1.42 1.42 - basic

Earnings percommon share- basic, $ 1.71 1.76 1.69 1.61 1.58 1.45 excludingnon-GAAPadjustments

Earnings percommon share $ 1.71 1.75 1.69 1.61 1.42 1.42 - diluted

Earnings percommon share- diluted, $ 1.70 1.75 1.68 1.61 1.58 1.45 excludingnon-GAAPadjustments

Commondividends per $ 0.18 0.18 0.18 0.18 0.16 0.16 share

Book valueper commonshare at $ 66.89 65.36 64.19 62.33 61.80 60.26 quarter end ^(9)

Tangible bookvalue percommon share $ 42.55 40.98 39.77 37.88 37.25 35.68 at quarterend ^(9)

Revenue perdiluted $ 4.47 4.50 4.37 4.17 4.03 3.95 common share

Revenue perdilutedcommon share, $ 4.46 4.50 4.37 4.17 4.03 3.94 excludingnon-GAAPadjustments



Investor information:

Closing salesprice ofcommon stock $ 95.50 94.08 88.29 88.66 64.40 35.59 on lasttrading dayof quarter

High closingsales priceof common $ 104.72 98.00 92.94 93.58 65.51 44.47 stock duringquarter

Low closingsales priceof common $ 90.20 83.84 84.25 63.48 35.97 33.28 stock duringquarter



Closing salesprice ofdepositaryshares on $ 28.21 28.14 29.13 27.62 27.69 26.49 last tradingday ofquarter

High closingsales priceof depositary $ 28.99 29.23 29.13 27.83 27.94 26.82 shares duringquarter

Low closingsales priceof depositary $ 27.42 28.00 27.38 26.83 26.45 25.51 shares duringquarter



Other information:

Residentialmortgage loan sales:

Gross loans $ 352,342 347,664 394,299 546,963 479,867 511,969 sold

Gross fees ^ $ 10,098 11,215 15,552 18,793 23,729 23,557 (10)

Gross fees asa percentage 2.87 % 3.23 % 3.94 % 3.44 % 4.94 % 4.60 %of loansoriginated

Net gain onresidential $ 4,244 7,814 6,700 13,666 12,387 19,453 mortgageloans sold

Investmentgains onsales of $ 393 - 366 - - 651 securities,net ^(15)

Brokerageaccountassets, at $ 7,187,085 6,597,152 6,344,416 5,974,884 5,509,560 4,866,726 quarter end ^(11)

Trust accountmanaged $ 4,720,290 4,155,510 3,640,932 3,443,373 3,295,198 2,978,035 assets, atquarter end

Core deposits $ 29,316,911 27,170,367 25,857,639 24,971,177 23,510,883 22,003,989 ^(12)

Core depositsto total 89.5 % 87.8 % 86.3 % 83.1 % 79.5 % 76.9 %funding ^(12)

Risk-weighted $ 29,349,534 27,945,624 26,819,277 26,105,158 25,791,896 25,189,944 assets

Number of 118 117 116 115 114 114 offices

Total coredeposits per $ 248,448 232,225 222,911 217,141 206,236 193,017 office

Total assetsper full-time $ 13,541 13,188 13,087 13,468 13,262 13,027 equivalentemployee

Annualizedrevenues perfull-time $ 474.1 489.4 491.3 488.3 459.8 456.1 equivalentemployee

Annualizedexpenses perfull-time $ 238.0 241.9 246.3 239.4 246.6 221.1 equivalentemployee

Number ofemployees 2,841.0 2,769.5 2,706.0 2,621.0 2,634.0 2,596.5 (full-timeequivalent)

Associateretention 93.4 % 93.4 % 93.3 % 94.4 % 94.8 % 94.4 %rate ^(13)

This information is preliminary and based on company data available at the timeof the presentation.



PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended

Year ended

(dollars in thousands, except per share data)

December

September

December

December

December

2021

2021

2020

2021

2020

Net interest income

$

238,763

237,543

220,985

932,401

821,788

Noninterest income

100,723

104,095

83,444

395,734

317,840

Total revenues

339,486

341,638

304,429

1,328,135

1,139,628

Less: Investment (gains) losses on sales of securities, net

(393

)

-

-

(759

)

(986

)

Total revenues excluding the impact of adjustments noted above

$

339,093

341,638

304,429

1,327,376

1,138,642

Noninterest expense

$

170,417

168,851

161,305

660,104

564,455

Less: ORE expense

37

(79

)

1,457

(712

)

8,555

FHLB restructuring charges

-

-

10,307

-

15,168

Hedge termination charges

-

-

4,673

-

4,673

Noninterest expense excluding the impact of adjustments noted above

$

170,380

168,930

144,868

660,816

536,059

Pre-tax income

$

166,394

169,405

133,944

651,905

371,358

Provision for credit losses

2,675

3,382

9,180

16,126

203,815

Pre-tax pre-provision net revenue

169,069

172,787

143,124

668,031

575,173

Adjustments noted above

(356

)

(79

)

16,437

(1,471

)

27,410

Adjusted pre-tax pre-provision net revenue (14)

$

168,713

172,708

159,561

666,560

602,583

Noninterest income

$

100,723

104,095

83,444

395,734

317,840

Less: Adjustments as noted above

(393

)

-

-

(759

)

(986

)

Noninterest income excluding the impact of adjustments noted above

$

100,330

104,095

83,444

394,975

316,854

Efficiency ratio (4)

50.20

%

49.42

%

52.99

%

49.70

%

49.53

%

Adjustments as noted above

0.05

%

0.03

%

(5.40

)%

0.08

%

(2.45

)%

Efficiency ratio (excluding adjustments noted above) (4)

50.25

%

49.45

%

47.59

%

49.78

%

47.08

%

Total average assets

$

37,132,078

35,896,130

34,436,765

35,692,632

32,334,537

Noninterest income to average assets (1)

1.08

%

1.15

%

0.96

%

1.11

%

0.98

%

Adjustments as noted above

(0.01

) %

-

%

-

%

-

%

-

%

Noninterest income (excluding adjustments noted above) to average assets (1)

1.07

%

1.15

%

0.96

%

1.11

%

0.98

%

Noninterest expense to average assets (1)

1.82

%

1.87

%

1.86

%

1.85

%

1.75

%

Adjustments as noted above

-

%

-

%

(0.19

)%

-

%

(0.09

)%

Noninterest expense (excluding adjustments noted above) to average assets (1)

1.82

%

1.87

%

1.67

%

1.85

%

1.66

%

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended Year ended

(dollars in December September December December Decemberthousands,except pershare data) 2021 2021 2020 2021 2020



Net interest $ 238,763 237,543 220,985 932,401 821,788 income



Noninterest 100,723 104,095 83,444 395,734 317,840 income

Total 339,486 341,638 304,429 1,328,135 1,139,628 revenues

Less:Investment(gains)losses on (393 ) - - (759 ) (986 )sales ofsecurities,net

Totalrevenuesexcluding the $ 339,093 341,638 304,429 1,327,376 1,138,642 impact ofadjustmentsnoted above



Noninterest $ 170,417 168,851 161,305 660,104 564,455 expense

Less: ORE 37 (79 ) 1,457 (712 ) 8,555 expense

FHLBrestructuring - - 10,307 - 15,168 charges

Hedgetermination - - 4,673 - 4,673 charges

Noninterestexpenseexcluding the $ 170,380 168,930 144,868 660,816 536,059 impact ofadjustmentsnoted above



Pre-tax $ 166,394 169,405 133,944 651,905 371,358 income

Provision for 2,675 3,382 9,180 16,126 203,815 credit losses

Pre-taxpre-provision 169,069 172,787 143,124 668,031 575,173 net revenue

Adjustments (356 ) (79 ) 16,437 (1,471 ) 27,410 noted above

Adjustedpre-taxpre-provision $ 168,713 172,708 159,561 666,560 602,583 net revenue ^(14)





Noninterest $ 100,723 104,095 83,444 395,734 317,840 income

Less:Adjustments (393 ) - - (759 ) (986 )as notedabove

Noninterestincomeexcluding the $ 100,330 104,095 83,444 394,975 316,854 impact ofadjustmentsnoted above



Efficiency 50.20 % 49.42 % 52.99 % 49.70 % 49.53 %ratio ^(4)

Adjustments ) )as noted 0.05 % 0.03 % (5.40 % 0.08 % (2.45 %above

Efficiencyratio(excluding 50.25 % 49.45 % 47.59 % 49.78 % 47.08 %adjustmentsnoted above)^(4)



Total average $ 37,132,078 35,896,130 34,436,765 35,692,632 32,334,537 assets



Noninterestincome to 1.08 % 1.15 % 0.96 % 1.11 % 0.98 %averageassets ^(1)

Adjustments )as noted (0.01 % - % - % - % - %above

Noninterestincome(excludingadjustments 1.07 % 1.15 % 0.96 % 1.11 % 0.98 %noted above)to averageassets ^(1)



Noninterestexpense to 1.82 % 1.87 % 1.86 % 1.85 % 1.75 %averageassets ^(1)

Adjustments ) )as noted - % - % (0.19 % - % (0.09 %above

Noninterestexpense(excludingadjustments 1.82 % 1.87 % 1.67 % 1.85 % 1.66 %noted above)to averageassets ^(1)

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended

(dollars in thousands, except per share data)

December

September

June

March

December

September

2021

2021

2021

2021

2020

2020

Net income available to common shareholders

$

129,730

132,779

127,992

121,630

107,078

106,847

Investment (gains) losses on sales of securities, net

(393

)

-

(366

)

-

-

(651

)

ORE expense

37

(79

)

(657

)

(13

)

1,457

1,795

FHLB restructuring charges

-

-

-

-

10,307

1,991

Hedge termination charges

-

-

-

-

4,673

-

Tax effect on adjustments noted above (18)

93

21

267

3

(4,297

)

(819

)

Net income available to common shareholders excluding adjustments noted above

$

129,467

132,721

127,236

121,620

119,218

109,163

Basic earnings per common share

$

1.72

1.76

1.70

1.61

1.42

1.42

Adjustment due to investment (gains) losses on sales of securities, net

(0.01

)

-

-

-

-

(0.01

)

Adjustment due to ORE expense

-

-

(0.01

)

-

0.02

0.02

Adjustment due to FHLB restructuring charges

-

-

-

-

0.14

0.03

Adjustment due to hedge termination charges

-

-

-

-

0.06

-

Adjustment due to tax effect on adjustments noted above (18)

-

-

-

-

(0.06

)

(0.01

)

Basic earnings per common share excluding adjustments noted above

$

1.71

1.76

1.69

1.61

1.58

1.45

Diluted earnings per common share

$

1.71

1.75

1.69

1.61

1.42

1.42

Adjustment due to investment (gains) losses on sales of securities, net

(0.01

)

-

-

-

-

(0.01

)

Adjustment due to ORE expense

-

-

(0.01

)

-

0.02

0.02

Adjustment due to FHLB restructuring charges

-

-

-

-

0.14

0.03

Adjustment due to hedge termination charges

-

-

-

-

0.06

-

Adjustment due to tax effect on adjustments noted above (18)

-

-

-

-

(0.06

)

(0.01

)

Diluted earnings per common share excluding the adjustments noted above

$

1.70

1.75

1.68

1.61

1.58

1.45

Revenue per diluted common share

$

4.47

4.50

4.37

4.17

4.03

3.95

Adjustments as noted above

(0.01

)

-

-

-

-

(0.01

)

Revenue per diluted common share excluding adjustments noted above

$

4.46

4.50

4.37

4.17

4.03

3.94

Book value per common share at quarter end (9)

$

66.89

65.36

64.19

62.33

61.80

60.26

Adjustment due to goodwill, core deposit and other intangible assets

(24.34

)

(24.38

)

(24.42

)

(24.45

)

(24.55

)

(24.59

)

Tangible book value per common share at quarter end (9)

$

42.55

40.98

39.77

37.88

37.25

35.68

Equity method investment (17)

Fee income from BHG, net of amortization

$

30,844

30,409

32,071

28,950

24,294

26,445

Funding cost to support investment

388

379

1,230

1,205

1,222

1,231

Pre-tax impact of BHG

30,456

30,030

30,841

27,745

23,072

25,214

Income tax expense at statutory rates (18)

7,961

7,850

8,062

7,253

6,031

6,591

Earnings attributable to BHG

$

22,495

22,180

22,779

20,492

17,041

18,623

Basic earnings per common share attributable to BHG

$

0.30

0.29

0.30

0.27

0.23

0.25

Diluted earnings per common share attributable to BHG

$

0.30

0.29

0.30

0.27

0.23

0.25

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended

(dollars in December September June March December Septemberthousands, exceptper share data) 2021 2021 2021 2021 2020 2020

Net incomeavailable to $ 129,730 132,779 127,992 121,630 107,078 106,847 commonshareholders

Investment(gains) losses on (393 ) - (366 ) - - (651 )sales ofsecurities, net

ORE expense 37 (79 ) (657 ) (13 ) 1,457 1,795

FHLBrestructuring - - - - 10,307 1,991 charges

Hedge termination - - - - 4,673 - charges

Tax effect onadjustments noted 93 21 267 3 (4,297 ) (819 )above ^(18)

Net incomeavailable tocommonshareholders $ 129,467 132,721 127,236 121,620 119,218 109,163 excludingadjustments notedabove



Basic earnings $ 1.72 1.76 1.70 1.61 1.42 1.42 per common share

Adjustment due toinvestment(gains) losses on (0.01 ) - - - - (0.01 )sales ofsecurities, net

Adjustment due to - - (0.01 ) - 0.02 0.02 ORE expense

Adjustment due toFHLB - - - - 0.14 0.03 restructuringcharges

Adjustment due tohedge termination - - - - 0.06 - charges

Adjustment due totax effect on - - - - (0.06 ) (0.01 )adjustments notedabove ^(18)

Basic earningsper common shareexcluding $ 1.71 1.76 1.69 1.61 1.58 1.45 adjustments notedabove



Diluted earnings $ 1.71 1.75 1.69 1.61 1.42 1.42 per common share

Adjustment due toinvestment(gains) losses on (0.01 ) - - - - (0.01 )sales ofsecurities, net

Adjustment due to - - (0.01 ) - 0.02 0.02 ORE expense

Adjustment due toFHLB - - - - 0.14 0.03 restructuringcharges

Adjustment due tohedge termination - - - - 0.06 - charges

Adjustment due totax effect on - - - - (0.06 ) (0.01 )adjustments notedabove ^(18)

Diluted earningsper common shareexcluding the $ 1.70 1.75 1.68 1.61 1.58 1.45 adjustments notedabove



Revenue perdiluted common $ 4.47 4.50 4.37 4.17 4.03 3.95 share

Adjustments as (0.01 ) - - - - (0.01 )noted above

Revenue perdiluted commonshare excluding $ 4.46 4.50 4.37 4.17 4.03 3.94 adjustments notedabove



Book value percommon share at $ 66.89 65.36 64.19 62.33 61.80 60.26 quarter end ^(9)

Adjustment due togoodwill, core (24.34 ) (24.38 ) (24.42 ) (24.45 ) (24.55 ) (24.59 )deposit and otherintangible assets

Tangible bookvalue per common $ 42.55 40.98 39.77 37.88 37.25 35.68 share at quarterend ^(9)



Equity method investment ^(17)

Fee income fromBHG, net of $ 30,844 30,409 32,071 28,950 24,294 26,445 amortization

Funding cost tosupport 388 379 1,230 1,205 1,222 1,231 investment

Pre-tax impact of 30,456 30,030 30,841 27,745 23,072 25,214 BHG

Income taxexpense at 7,961 7,850 8,062 7,253 6,031 6,591 statutory rates ^(18)

Earningsattributable to $ 22,495 22,180 22,779 20,492 17,041 18,623 BHG



Basic earningsper common share $ 0.30 0.29 0.30 0.27 0.23 0.25 attributable toBHG

Diluted earningsper common share $ 0.30 0.29 0.30 0.27 0.23 0.25 attributable toBHG

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Year ended

(dollars in thousands, except per share data)

December

2021

2020

Net income available to common shareholders

$

512,131

304,725

Investment (gains) losses on sales of securities, net

(759

)

(986

)

ORE expense

(712

)

8,555

FHLB restructuring charges

-

15,168

Hedge termination charges

-

4,673

Tax effect on adjustments noted above (18)

385

(7,165

)

Net income available to common shareholders excluding adjustments noted above

$

511,045

324,970

Basic earnings per common share

$

6.79

4.04

Adjustment due to investment (gains) losses on sales of securities, net

(0.01

)

(0.01

)

Adjustment due to ORE expense

(0.01

)

0.11

Adjustment due to FHLB restructuring charges

-

0.20

Adjustment due to hedge termination charges

-

0.06

Adjustment due to tax effect on adjustments noted above (18)

-

(0.10

)

Basic earnings per common share excluding adjustments noted above

$

6.77

4.30

Diluted earnings per common share

6.75

4.03

Adjustment due to investment (gains) losses on sales of securities, net

(0.01

)

(0.01

)

Adjustment due to ORE expense

(0.01

)

0.11

Adjustment due to FHLB restructuring charges

-

0.20

Adjustment due to hedge termination charges

-

0.06

Adjustment due to tax effect on adjustments noted above (18)

-

(0.09

)

Diluted earnings per common share excluding the adjustments noted above

$

6.73

4.30

Revenue per diluted common share

$

17.49

15.06

Adjustments as noted above

(0.01

)

(0.01

)

Revenue per diluted common share excluding adjustments noted above

$

17.48

15.05

Equity method investment (17)

Fee income from BHG, net of amortization

$

122,274

83,539

Funding cost to support investment

3,202

6,709

Pre-tax impact of BHG

119,072

76,830

Income tax expense at statutory rates (18)

31,125

20,083

Earnings attributable to BHG

$

87,947

56,747

Basic earnings per common share attributable to BHG

$

1.17

0.75

Diluted earnings per common share attributable to BHG

$

1.16

0.75

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Year ended

December(dollars in thousands, except per share data) 2021 2020

Net income available to common shareholders $ 512,131 304,725

Investment (gains) losses on sales of securities, net (759 ) (986 )

ORE expense (712 ) 8,555

FHLB restructuring charges - 15,168

Hedge termination charges - 4,673

Tax effect on adjustments noted above ^(18) 385 (7,165 )

Net income available to common shareholders excluding $ 511,045 324,970 adjustments noted above



Basic earnings per common share $ 6.79 4.04

Adjustment due to investment (gains) losses on sales of (0.01 ) (0.01 )securities, net

Adjustment due to ORE expense (0.01 ) 0.11

Adjustment due to FHLB restructuring charges - 0.20

Adjustment due to hedge termination charges - 0.06

Adjustment due to tax effect on adjustments noted above - (0.10 )^(18)

Basic earnings per common share excluding adjustments $ 6.77 4.30 noted above



Diluted earnings per common share 6.75 4.03

Adjustment due to investment (gains) losses on sales of (0.01 ) (0.01 )securities, net

Adjustment due to ORE expense (0.01 ) 0.11

Adjustment due to FHLB restructuring charges - 0.20

Adjustment due to hedge termination charges - 0.06

Adjustment due to tax effect on adjustments noted above - (0.09 )^(18)

Diluted earnings per common share excluding the $ 6.73 4.30 adjustments noted above



Revenue per diluted common share $ 17.49 15.06

Adjustments as noted above (0.01 ) (0.01 )

Revenue per diluted common share excluding adjustments $ 17.48 15.05 noted above



Equity method investment ^(17)

Fee income from BHG, net of amortization $ 122,274 83,539

Funding cost to support investment 3,202 6,709

Pre-tax impact of BHG 119,072 76,830

Income tax expense at statutory rates ^(18) 31,125 20,083

Earnings attributable to BHG $ 87,947 56,747



Basic earnings per common share attributable to BHG $ 1.17 0.75

Diluted earnings per common share attributable to BHG $ 1.16 0.75

This information is preliminary and based on company data available at the timeof the presentation.



PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended

Year ended

(dollars in thousands, except per share data)

December

September

December

December

December

2021

2021

2020

2021

2020

Return on average assets (1)

1.39

%

1.47

%

1.24

%

1.43

%

0.94

%

Adjustments as noted above

(0.01

)%

-

%

0.14

%

-

%

0.07

%

Return on average assets excluding adjustments noted above (1)

1.38

%

1.47

%

1.38

%

1.43

%

1.01

%

Tangible assets:

Total assets

$

38,469,399

36,523,936

34,932,860

$

38,469,399

34,932,860

Less: Goodwill

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

Core deposit and other intangible assets

(33,819

)

(35,876

)

(42,336

)

(33,819

)

(42,336

)

Net tangible assets

$

36,615,769

34,668,249

33,070,713

$

36,615,769

33,070,713

Tangible common equity:

Total stockholders' equity

$

5,310,607

5,191,798

4,904,611

$

5,310,607

4,904,611

Less: Preferred stockholders' equity

(217,126

)

(217,126

)

(217,126

)

(217,126

)

(217,126

)

Total common stockholders' equity

5,093,481

4,974,672

4,687,485

5,093,481

4,687,485

Less: Goodwill

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

Core deposit and other intangible assets

(33,819

)

(35,876

)

(42,336

)

(33,819

)

(42,336

)

Net tangible common equity

$

3,239,851

3,118,985

2,825,338

$

3,239,851

2,825,338

Ratio of tangible common equity to tangible assets

8.85

%

9.00

%

8.54

%

8.85

%

8.54

%

Average tangible assets:

Average assets

$

37,132,078

35,896,130

34,436,765

$

35,692,632

32,334,537

Less: Average goodwill

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

Average core deposit and other intangible assets

(35,152

)

(37,228

)

(43,886

)

(38,308

)

(47,196

)

Net average tangible assets

$

35,277,115

34,039,091

32,573,068

$

33,834,513

30,467,530

Return on average assets (1)

1.39

%

1.47

%

1.24

%

1.43

%

0.94

%

Adjustment due to goodwill, core deposit and other intangible assets

0.07

%

0.08

%

0.07

%

0.08

%

0.06

%

Return on average tangible assets (1)

1.46

%

1.55

%

1.31

%

1.51

%

1.00

%

Adjustments as noted above

-

%

-

%

0.15

%

-

%

0.07

%

Return on average tangible assets excluding adjustments noted above (1)

1.46

%

1.55

%

1.46

%

1.51

%

1.07

%

Average tangible common equity:

Average stockholders' equity

$

5,262,586

5,176,625

4,852,373

$

5,109,153

4,634,666

Less: Average preferred equity

(217,126

)

(217,126

)

(217,126

)

(217,126

)

(124,074

)

Average common equity

5,045,460

4,959,499

4,635,247

4,892,027

4,510,592

Less: Average goodwill

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

(1,819,811

)

Average core deposit and other intangible assets

(35,152

)

(37,228

)

(43,886

)

(38,308

)

(47,196

)

Net average tangible common equity

$

3,190,497

3,102,460

2,771,550

$

3,033,908

2,643,585

Return on average equity (1)

9.78

%

10.18

%

8.78

%

10.02

%

6.57

%

Adjustment due to average preferred stockholders' equity

0.42

%

0.44

%

0.41

%

0.45

%

0.19

%

Return on average common equity (1)

10.20

%

10.62

%

9.19

%

10.47

%

6.76

%

Adjustment due to goodwill, core deposit and other intangible assets

5.93

%

6.36

%

6.18

%

6.41

%

4.77

%

Return on average tangible common equity (1)

16.13

%

16.98

%

15.37

%

16.88

%

11.53

%

Adjustments as noted above

(0.03

)%

(0.01

)%

1.74

%

(0.04

)%

0.76

%

Return on average tangible common equity excluding adjustments noted above (1)

16.10

%

16.97

%

17.11

%

16.84

%

12.29

%

Allowance for credit losses on loans as a percent of total loans (20)

1.12

%

1.17

%

1.27

%

1.12

%

1.27

%

Impact of excluding PPP loans from total loans

0.02

%

0.03

%

0.11

%

0.02

%

0.11

%

Allowance as adjusted for the above exclusion of PPP loans from total loans (20)

1.14

%

1.20

%

1.38

%

1.14

%

1.38

%

This information is preliminary and based on company data available at the time of the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

Three months ended Year ended

(dollars in December September December December Decemberthousands,except pershare data) 2021 2021 2020 2021 2020



Return onaverage 1.39 % 1.47 % 1.24 % 1.43 % 0.94 %assets ^(1)

Adjustments )as noted (0.01 % - % 0.14 % - % 0.07 %above

Return onaverageassetsexcluding 1.38 % 1.47 % 1.38 % 1.43 % 1.01 %adjustmentsnoted above ^(1)



Tangible assets:

Total assets $ 38,469,399 36,523,936 34,932,860 $ 38,469,399 34,932,860

Less: (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 )Goodwill

Core depositand other (33,819 ) (35,876 ) (42,336 ) (33,819 ) (42,336 )intangibleassets

Net tangible $ 36,615,769 34,668,249 33,070,713 $ 36,615,769 33,070,713 assets



Tangiblecommon equity:

Totalstockholders' $ 5,310,607 5,191,798 4,904,611 $ 5,310,607 4,904,611 equity

Less:Preferred (217,126 ) (217,126 ) (217,126 ) (217,126 ) (217,126 )stockholders'equity

Total commonstockholders' 5,093,481 4,974,672 4,687,485 5,093,481 4,687,485 equity

Less: (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 )Goodwill

Core depositand other (33,819 ) (35,876 ) (42,336 ) (33,819 ) (42,336 )intangibleassets

Net tangible $ 3,239,851 3,118,985 2,825,338 $ 3,239,851 2,825,338 common equity



Ratio oftangiblecommon equity 8.85 % 9.00 % 8.54 % 8.85 % 8.54 %to tangibleassets



Averagetangible assets:

Average $ 37,132,078 35,896,130 34,436,765 $ 35,692,632 32,334,537 assets

Less: Average (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 )goodwill

Average coredeposit andother (35,152 ) (37,228 ) (43,886 ) (38,308 ) (47,196 )intangibleassets

Net averagetangible $ 35,277,115 34,039,091 32,573,068 $ 33,834,513 30,467,530 assets



Return onaverage 1.39 % 1.47 % 1.24 % 1.43 % 0.94 %assets ^(1)

Adjustmentdue togoodwill,core deposit 0.07 % 0.08 % 0.07 % 0.08 % 0.06 %and otherintangibleassets

Return onaverage 1.46 % 1.55 % 1.31 % 1.51 % 1.00 %tangibleassets ^(1)

Adjustmentsas noted - % - % 0.15 % - % 0.07 %above

Return onaveragetangibleassets 1.46 % 1.55 % 1.46 % 1.51 % 1.07 %excludingadjustmentsnoted above ^(1)



Averagetangible commonequity:

Averagestockholders' $ 5,262,586 5,176,625 4,852,373 $ 5,109,153 4,634,666 equity

Less: Averagepreferred (217,126 ) (217,126 ) (217,126 ) (217,126 ) (124,074 )equity

Average 5,045,460 4,959,499 4,635,247 4,892,027 4,510,592 common equity

Less: Average (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 ) (1,819,811 )goodwill

Average coredeposit andother (35,152 ) (37,228 ) (43,886 ) (38,308 ) (47,196 )intangibleassets

Net averagetangible $ 3,190,497 3,102,460 2,771,550 $ 3,033,908 2,643,585 common equity



Return onaverage 9.78 % 10.18 % 8.78 % 10.02 % 6.57 %equity^ (1)

Adjustmentdue toaverage 0.42 % 0.44 % 0.41 % 0.45 % 0.19 %preferredstockholders'equity

Return onaverage 10.20 % 10.62 % 9.19 % 10.47 % 6.76 %common equity^(1)

Adjustmentdue togoodwill,core deposit 5.93 % 6.36 % 6.18 % 6.41 % 4.77 %and otherintangibleassets

Return onaveragetangible 16.13 % 16.98 % 15.37 % 16.88 % 11.53 %common equity^(1)

Adjustments ) ) )as noted (0.03 % (0.01 % 1.74 % (0.04 % 0.76 %above

Return onaveragetangiblecommon equity 16.10 % 16.97 % 17.11 % 16.84 % 12.29 %excludingadjustmentsnoted above ^(1)



Allowance forcredit losseson loans as a 1.12 % 1.17 % 1.27 % 1.12 % 1.27 %percent oftotal loans ^(20)

Impact ofexcluding PPP 0.02 % 0.03 % 0.11 % 0.02 % 0.11 %loans fromtotal loans

Allowance asadjusted forthe aboveexclusion of 1.14 % 1.20 % 1.38 % 1.14 % 1.38 %PPP loansfrom totalloans ^(20)

This information is preliminary and based on company data available at the timeof the presentation.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES

SELECTED QUARTERLY FINANCIAL DATA - UNAUDITED

1. Ratios are presented on an annualized basis.

2. Net interest margin is the result of net interest income on a tax equivalent basis divided by average interest earning assets.

3. Total revenue is equal to the sum of net interest income and noninterest income.

4. Efficiency ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

5. Troubled debt restructurings include loans where the Company, as a result of the borrower's financial difficulties, has granted a credit concession to the borrower (i.e., interest only payments for a significant period of time, extending the maturity of the loan, etc.). All of these loans continue to accrue interest at the contractual rate. Troubled debt restructurings do not include, beginning with the quarter ended March 31, 2020, loans for which the Company has granted a deferral of interest and/or principal or other modification pursuant to the guidance issued by the FDIC providing for relief under the Coronavirus Aid, Relief and Economic Security Act.

6. Average risk ratings are based on an internal loan review system which assigns a numeric value of 10 to 100 to all loans to commercial entities based on their underlying risk characteristics as of the end of each quarter. The risk rating scale was changed to allow for granularity, if needed, in criticized and classified risk ratings to distinguish accrual status or structural loan issues. A "10" risk rating is assigned to credits that exhibit Excellent risk characteristics, "20" exhibit Very Good risk characteristics, "30" Good, "40" Satisfactory, "50" Acceptable or Average, "60" Watch List, "70" Criticized, "80" Classified or Substandard, "90" Doubtful and "100" Loss (which are charged-off immediately). Additionally, loans rated "80" or worse that are not nonperforming or restructured loans are considered potential problem loans. Generally, consumer loans are not subjected to internal risk ratings.

7. Annualized net loan charge-offs to average loans ratios are computed by annualizing quarter-to-date net loan charge-offs and dividing the result by average loans for the quarter-to-date period.

8. Capital ratios are calculated using regulatory reporting regulations enacted for such period and are defined as follows:

Equity to total assets - End of period total stockholders' equity as a percentage of end of period assets.

Tangible common equity to tangible assets - End of period total stockholders' equity less end of period preferred stock, goodwill, core deposit and other intangibles as a percentage of end of period assets less end of period goodwill, core deposit and other intangibles.

Leverage - Tier I capital (pursuant to risk-based capital guidelines) as a percentage of adjusted average assets.

Tier I risk-based - Tier I capital (pursuant to risk-based capital guidelines) as a percentage of total risk-weighted assets.

Total risk-based - Total capital (pursuant to risk-based capital guidelines) as a percentage of total risk-weighted assets.

Classified asset - Classified assets as a percentage of Tier 1 capital plus allowance for credit losses.

Tier I common equity to risk weighted assets - Tier 1 capital (pursuant to risk-based capital guidelines) less the amount of any preferred stock or subordinated indebtedness that is considered as a component of Tier 1 capital as a percentage of total risk-weighted assets.

9. Book value per common share computed by dividing total common stockholders' equity by common shares outstanding. Tangible book value per common share computed by dividing total common stockholders' equity, less goodwill, core deposit and other intangibles by common shares outstanding.

10. Amounts are included in the statement of operations in "Gains on mortgage loans sold, net", net of commissions paid on such amounts.

11. At fair value, based on information obtained from Pinnacle's third party broker/dealer for non-FDIC insured financial products and services.

12. Core deposits include all transaction deposit accounts, money market and savings accounts and all certificates of deposit issued in a denomination of less than $250,000. The ratio noted above represents total core deposits divided by total funding, which includes total deposits, FHLB advances, securities sold under agreements to repurchase, subordinated indebtedness and all other interest-bearing liabilities.

13. Associate retention rate is computed by dividing the number of associates employed at quarter end less the number of associates that have resigned in the last 12 months by the number of associates employed at quarter end. Associate retention rate does not include associates at acquired institutions displaced by merger.

14. Adjusted pre-tax, pre-provision net revenue excludes the impact of ORE expenses and income, investment gains and losses on sales of securities, FHLB restructuring charges and hedge termination charges.

15. Represents investment gains (losses) on sales and impairments, net occurring as a result of gains or losses incurred as the result of a change in management's intention to sell a bond prior to the recovery of its amortized cost basis.

16. The dividend payout ratio is calculated as the sum of the annualized dividend rate for dividends paid on common shares divided by the trailing 12-months fully diluted earnings per common share as of the dividend declaration date.

17. Earnings from equity method investment includes the impact of the issuance of subordinated debt as well as the funding costs of the overall franchise. Income tax expense is calculated using statutory tax rates.

18. Tax effect calculated using the blended statutory rate of 26.14 percent.

19. Calculated using the same guidelines as are used in the Federal Financial Institutions Examination Council's Uniform Bank Performance Report.

20. Effective January 1, 2020 Pinnacle Financial adopted the current expected credit loss accounting standard which requires the recognition of all losses expected to be recorded over a loan's life.

pnfp-earnings

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CONTACT: MEDIA CONTACT: Joe Bass, 615-743-8219 FINANCIAL CONTACT: Harold Carpenter, 615-744-3742 WEBSITE:www.pnfp.com