8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

  FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

October 22, 2020

Date of Report

(Date of Earliest Event Reported) 

WSFS Financial Corporation

(Exact Name of Registrant as Specified in its Charter)

Delaware	001-35638	22-2866913
(State or Other Jurisdiction of incorporation)	(SEC Commission File Number)	(IRS Employer Identification Number)

500 Delaware Ave,

Wilmington, Delaware, 19801

(Address of Principal Executive Offices) (Zip Code)

Registrant’s Telephone Number, including Area Code: (302) 792-6000

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	WSFS	Nasdaq Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 40.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operation and Financial Condition

On October 22, 2020, the Registrant issued a press release to report earnings for the quarter ended September 30, 2020. Copies of the press release and 3Q 2020 Earnings Release Supplement are furnished with this Form 8-K as exhibits.

Item 9.01 Financial Statements and Other Exhibits

(d) Exhibits.

99.1 Press Release, dated October 22, 2020

99.2 3Q 2020 Earnings Release Supplement

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, hereunto duly authorized.

		WSFS FINANCIAL CORPORATION
Date:	October 22, 2020	By:	/s/ Dominic C. Canuso
			Dominic C. Canuso Executive Vice President and Chief Financial Officer

EX-99.1

	WSFS Bank Center	1
	500 Delaware Avenue,
	Wilmington, Delaware 19801

	EXHIBIT 99.1
FOR IMMEDIATE RELEASE	Investor Relations Contact: Dominic C. Canuso
	phone: (302) 571-6833; email: dcanuso@wsfsbank.com
October 22, 2020	Media Contact: Rebecca Acevedo
	phone: (215) 253-5566; email: racevedo@wsfsbank.com

WSFS REPORTS 3Q 2020 EPS OF $1.01 AND ROA OF 1.49%;

SOLID OPERATING PERFORMANCE REFLECTS DIVERSIFIED BUSINESS MODEL;

STRONG CAPITAL AND ACL LEVELS; SHARE REPURCHASES TO RESUME IN 4Q 2020

FOR ADDITIONAL FINANCIAL INFORMATION AND OUTLOOK, PLEASE REFER TO THE 3Q 2020 EARNINGS RELEASE SUPPLEMENT AVAILABLE IN THE INVESTOR RELATIONS SECTION OF WSFS' WEBSITE (www.wsfsbank.com).

WILMINGTON, Del. — WSFS Financial Corporation (Nasdaq: WSFS), the parent company of WSFS Bank, today announced its financial results for the third quarter of 2020.

Selected financial results and metrics are as follows:

(Dollars in millions, except per share data)	3Q 2020			2Q 2020			3Q 2019
Net interest income	$	113.0		$	113.8		$	120.8
Fee income	49.2			64.4			62.3
Total net revenue	162.2			178.1			183.2
Provision for credit losses	2.7			94.8			4.1
Noninterest expense	93.5			93.4			109.6
Net income (loss) attributable to WSFS	51.1			(7.1)			53.9
Pre-provision net revenue (PPNR)(1)	68.7			84.7			73.6
Earnings (loss) per share (diluted)	1.01			(0.14)			1.02
Return on average assets (ROA)	1.49		%	(0.22)		%	1.72		%
Return on average equity (ROE)	11.1			(1.6)			11.6
Efficiency ratio	57.6			52.4			59.7

GAAP results for 3Q 2020 included the following items, with a significant decline in realized gain on sale related to our Visa Class B shares compared to 2Q 2020 when we recorded a $22.1 million net realized gain on the sale of 360,000 shares.

	3Q 2020				2Q 2020				3Q 2019
(Dollars in millions, except per share data)	Total (pre-tax)		Per share (after-tax)		Total (pre-tax)		Per share (after-tax)		Total (pre-tax)		Per share (after-tax)
Securities gains	$	3.3	$	0.05	$	1.9	$	0.03	$	—	$	—
Unrealized gain on equity investments, net	0.1		—		—		—		21.3		0.31
Realized gain on sale of equity investment, net	—		—		22.1		0.35		—		—
Corporate development and restructuring expense	0.4		0.01		2.8		0.04		18.9		0.27
Realized loss on termination of FHLB advances	2.3		0.03		—		—		—		—

⁽¹⁾As used in this press release, PPNR is a non-GAAP financial measure calculated as net revenue before provision for credit losses and net of noninterest expense. For a reconciliation of this and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.

	WSFS Bank Center	2
	500 Delaware Avenue,
	Wilmington, Delaware 19801

CEO Commentary

Rodger Levenson, Chairman, President and CEO, said, “Our solid 3Q results including core ROA⁽²⁾ of 1.48% and core pre-provision net revenue (PPNR)⁽²⁾ of $68.0 million, or 1.98% of average assets, reflected the strength of our diversified business model while the economy gradually recovers. The quarter was also highlighted by a significant reduction in short-term loan modifications, modest credit costs, a robust ACL coverage ratio of 2.74% excluding PPP loans and a strong Bank Common Equity Tier 1 Ratio of 13.24% at September 30th. Further, our Board approved the resumption of share repurchases in the fourth quarter based on our healthy balance sheet and capital positions, strong PPNR, and stabilizing expectations on the economic and credit environment.

“The health, well-being, and safety of our Associates, Customers, and our communities remains our top priority. During the quarter, we were pleased to reopen all previously closed banking locations with appropriate precautions and I would like to extend a special thanks to all of our Associates who continue to serve our Customers during this challenging period of time In addition, we continue to make significant investments throughout the franchise which positions us to accelerate our significant organic growth opportunity.

“Our Associates remain steadfastly committed to deliver on our Strategy of ‘Engaged Associates, living our culture, making a better life for all we serve.’ During the quarter, we were honored to receive several recognitions demonstrating the success of our Strategy across our footprint, including: Top Workplace in Delaware for the 15th year in a row, and the second consecutive year in the #1 spot; Top Workplace in Philadelphia and southeastern PA for the sixth year in a row, and; we were also named to the ‘Soaring 76’ for the fourth year in a row by the Philadelphia Business Journal, recognizing us as one of the fastest growing companies in the greater Philadelphia region.”

⁽²⁾ As used in this press release, core ROA and core PPNR are non-GAAP financial measures. Core PPNR is calculated as core net revenue before provision for credit losses and net of core noninterest expense, and core ROA is calculated as GAAP ROA less certain pre-tax adjustments and the tax impact of such adjustments. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.

	WSFS Bank Center	3
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Notable Items in the Quarter (all excluded from core results):

•WSFS realized $3.3 million (pre-tax), or approximately $0.05 per share (after-tax), in net gains on sales of securities compared to no amounts realized in 3Q 2019.

•WSFS recorded net unrealized gains on our equity investments of $0.1 million (pre-tax) related to our investment in Visa Class B shares, compared with $22.1 million, or approximately $0.35 per share, in realized gains from the sale of 360,000 Visa Class B shares in 2Q 2020. Since our adoption of ASU 2016-01 in 1Q 2018, cumulative realized and unrealized gains on Visa Class B shares total $78.1 million on a total portfolio investment of $17.7 million.

•WSFS recorded $0.4 million (pre-tax), or approximately $0.01 per share (after-tax), of corporate development expenses related to our acquisition of Beneficial Bancorp, Inc. (Beneficial), compared with $18.9 million(pre-tax), or approximately $0.27 per share (after-tax), of corporate development and restructuring expenses in 3Q 2019. The merger-to-date amounts are less than our original expectations.

•WSFS recorded $2.3 million (pre-tax), or approximately $0.03 per share (after-tax), of loss associated with prepayment fees from the termination of fixed rate FHLB term advances as part of routine balance sheet and liquidity management. The termination of these fixed rate term advances is expected to be accretive to net interest income in future periods.

	WSFS Bank Center	4
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Highlights for 3Q 2020:

•Core ROA was 1.48% in 3Q 2020 compared to 1.66% for 3Q 2019.

•Core EPS⁽³⁾ was $1.00 in 3Q 2020 compared to $0.98 for 3Q 2019.

•Core PPNR was $68.0 million, or 1.98% of average assets, an increase of $4.4 million, or 7%, from 2Q 2020 and a decrease of $3.2 million, or 4%, from 3Q 2019. Excluding the impact of PPP, core PPNR was $62.0 million in 3Q 2020, or 1.94%, compared to $60.5 million, or 1.98%, in 2Q 2020 and $71.2 million, or 2.27% in 3Q 2019.

•Core fee income (noninterest income)⁽³⁾ was $45.7 million, an increase of $5.3 million, or 13%, compared to 2Q 2020, and an increase of $4.7 million, or 12%, compared to 3Q 2019. The increase compared to 2Q 2020 reflected growth across most of our fee business reflecting the diversity of our business model despite the adverse impact of the Durbin Amendment on debit fees.

•Loans, excluding the allowance for credit losses, PPP, and non-relationship run-off portfolios increased $95.6 million, or 1% (not annualized) compared to the prior quarter and $254.0 million, or 4%, from 3Q 2019.

•Customer core deposits increased $369.0 million, or 4% (not annualized) compared to the prior quarter and $2.0 billion, or 25%, from 3Q 2019 primarily due to continued elevated customer liquidity related to the current economic environment.

•Loans receiving short-term deferred payment modifications declined to less than 3% of the total loan portfolio, excluding PPP loans, and our allowance for credit losses coverage ratio was 2.74%, excluding PPP loans, as of September 30, 2020.

•WSFS maintained significant capital levels with a Bank Common Equity Tier 1 Ratio of 13.24%.

•The Board approved a quarterly cash dividend of $0.12 per share of common stock consistent with the prior quarter. Additionally, the Board approved the resumption of share repurchases under the Board authorization approved in 1Q 2020 that allows for the purchase of 15% of outstanding shares.

⁽³⁾As used in this press release, core EPS and core fee income (noninterest income) are non-GAAP financial measures. These non-GAAP financial measures exclude securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, and the contribution to the WSFS Community Fund. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.

	WSFS Bank Center	5
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Third Quarter 2020 Discussion of Financial Results

Balance Sheet

The following tables summarize loan and customer funding balances and composition at September 30, 2020 compared to June 30, 2020 and September 30, 2019:

Loans
(Dollars in thousands)	September 30, 2020				June 30, 2020				September 30, 2019
Commercial & industrial	$	3,299,704	36	%	$	3,354,007	36	%	$	3,389,121	40	%
Commercial real estate (CRE)	2,167,508		23		2,165,547		24		2,262,647		27
PPP	954,179		10		945,136		10		—		—
Construction	666,317		7		638,504		7		512,163		6
Commercial small business leases	227,539		3		213,133		2		171,000		2
Total commercial loans	7,315,247		79		7,316,327		79		6,334,931		75
Residential mortgage	1,003,373		11		1,012,235		11		1,117,028		13
Consumer	1,168,891		13		1,133,371		13		1,143,852		13
Allowance for credit losses	(232,726)		(3)		(232,192)		(3)		(47,671)		(1)
Net loans	$	9,254,785	100	%	$	9,229,741	100	%	$	8,548,140	100	%

Customer Funding
(Dollars in thousands)	September 30, 2020				June 30, 2020				September 30, 2019
Noninterest demand	$	3,196,967	29	%	$	3,188,046	30	%	$	2,268,615	25	%
Interest-bearing demand	2,521,030		23		2,302,484		21		2,177,189		23
Savings	1,717,952		15		1,731,875		16		1,562,591		17
Money market	2,488,794		22		2,333,326		22		1,952,306		21
Total core deposits	9,924,743		89		9,555,731		89		7,960,701		86
Customer time deposits	1,223,843		11		1,228,440		11		1,330,227		14
Total customer deposits	$	11,148,586	100	%	$	10,784,171	100	%	$	9,290,928	100	%

At September 30, 2020, WSFS’ net loan portfolio increased $25.0 million when compared with June 30, 2020 and $706.6 million when compared with September 30, 2019, primarily due to $954.2 million of PPP loans as of September 30, 2020. The year-over-year PPP loan increase was partially offset by a $316.4 million decline in non-relationship run-off portfolios and a $185.1 million increase in the allowance for credit losses year-over-year. Excluding PPP loans, run-off portfolios, and the allowance for credit losses, loans increased $95.6 million, or 1% (not annualized) during the quarter and increased $254.0 million, or 4%, year-over-year, including growth across construction, commercial small business leases, and home equity installment loans originated through our partnership with Spring EQ.

	WSFS Bank Center	6
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Total customer funding was $11.1 billion at September 30, 2020, a $364.4 million increase from June 30, 2020 and a $1.9 billion increase from September 30, 2019, reflecting elevated deposits from customers who received PPP loans, the impact of government stimulus checks, and lower customer spending during the COVID-19 pandemic. Core deposits were $9.9 billion at September 30, 2020, an increase of $369.0 million over the prior quarter due primarily to $220.4 million of seasonally higher public funding deposits and were a strong 89% of total customer deposits. No- and low-cost checking deposit accounts represented a robust 51% of total customer deposits at September 30, 2020. These core deposits predominantly represent longer-term, less price-sensitive customer relationships. The ratio of loans to customer deposits was 83% at September 30, 2020 reflecting significant liquidity capacity.

Net Interest Income

	Three Months Ending
(Dollars in thousands)		September 30, 2020			June 30, 2020			September 30, 2019
Net interest income before purchase accretion and PPP		$	95,618		$	96,400		$	106,852
Purchase accounting accretion		11,057			12,520			13,981
Net interest income before PPP		106,675			108,920			120,833
PPP		6,373			4,836			—
Net interest income		$	113,048		$	113,756		$	120,833
Net interest margin before purchase accretion and PPP		3.35		%	3.58		%	3.87		%
Purchase accounting accretion		0.39			0.43			0.51
Net interest margin before PPP		3.74			4.01			4.38
PPP (excluding income and interest-earning assets)		(0.08)			(0.08)			—
Net interest margin		3.66		%	3.93		%	4.38		%

Net interest income decreased $7.8 million, or 6%, compared to 3Q 2019, primarily due to the lower rate environment and a $2.9 million decrease in purchase accounting accretion, partially offset by $6.4 million of PPP income which included $4.1 million of fee accretion. Net interest margin decreased 72 bps from 3Q 2019 due to a 44 bps net decline from the lower rate environment and balance sheet mix, 12 bps from lower purchase accounting accretion, 8 bps from the significant short-term liquidity increase in customer deposits and 8 bps from PPP.

Net interest income decreased $0.7 million, or 1% (not annualized), from 2Q 2020 primarily due to a $1.5 million decrease in purchase accounting accretion and the lower rate environment, partially offset by increased PPP income and favorable deposit betas. Net interest margin decreased 27 bps primarily due to the lower rate environment, lower purchase accounting accretion, and asset mix change resulting from the significant short-term liquidity increase in customer deposits.

	WSFS Bank Center	7
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Credit Quality

Credit quality metrics at September 30, 2020 reflected the impact of the COVID-19 pandemic and stabilized from 2Q 2020. Total problem assets increased to $769.7 million from $568.5 million as of June 30, 2020 as a result of our continued portfolio review process that began in 2Q 2020 and included risk rating migration of $108.1 million in the CRE and other real estate leasing sectors with the remaining increase spread across multiple sectors. Total problem assets includes all criticized, classified, and nonperforming loans as well as other real estate owned (OREO).

Delinquencies increased to $76.8 million at September 30, 2020 with approximately $20.0 million identified as administrative in nature and primarily related to exiting deferral status. Excluding these elevated administrative delinquencies that are expected to return to current status during the fourth quarter, delinquency levels were consistent relative to our most recent four quarter average. Nonperforming assets decreased slightly to $44.5 million as of September 30, 2020, and net charge-offs for 3Q 2020 were a low $2.2 million, or 0.09% (annualized), of average gross loans.

Customer loans receiving deferred payment modifications as of September 30, 2020 decreased to $278.7 million or less than 3% of the loan portfolio excluding PPP with further improvement after September 30, 2020 as described in the supplement to this earnings release.

Total credit costs declined to $4.1 million in the quarter compared to $99.3 million in 2Q 2020 and the ACL was nearly flat at $232.7 million as economic forecasts were largely consistent with the prior quarter and modest increases in the allowance for credit losses due to loan growth, offset by net charge-offs.

	WSFS Bank Center	8
	500 Delaware Avenue,
	Wilmington, Delaware 19801

The following table summarizes credit quality metrics as of and for the period ended September 30, 2020 compared to June 30, 2020 and September 30, 2019.

(Dollars in millions)	September 30, 2020			June 30, 2020			September 30, 2019
Problem assets	$	769.7		$	568.5		$	222.7
Nonperforming assets	44.5			44.9			56.2
Delinquencies	76.8			48.4			66.6
Net charge-offs	2.2			1.6			1.8
Total credit costs (r)	4.1			99.3			5.0
Problem assets to total Tier 1 capital plus ACL	48.78		%	37.30		%	16.29		%
Classified assets to total Tier 1 capital plus ACL	32.34			25.52			13.79
Ratio of nonperforming assets to total assets	0.32			0.33			0.46
Ratio of nonperforming assets (excluding accruing TDRs) to total assets	0.21			0.22			0.34
Delinquencies to gross loans	0.82			0.51			0.78
Ratio of quarterly net charge-offs to average gross loans	0.09			0.07			0.09
Ratio of allowance for credit losses to total loans and leases (q)	2.47			2.45			0.56
Ratio of allowance for credit losses to nonaccruing loans	901			887			124

Core Fee Income

Core fee income (noninterest income) was $45.7 million, an increase of $4.7 million, or 12%, compared to 3Q 2019, primarily due to an $8.4 million increase from our mortgage banking business due to improved secondary market conditions and increased volume from refinancings resulting from the lower interest rate environment. In addition, trust services revenue increased $2.6 million year-over-year. Partially offsetting these increases was a $2.9 million decrease in Cash Connect^® due to the significant decline in interest rates compared to last year and fully offset by lower funding costs, and a $3.2 million decrease in interchange fees resulting from the Durbin Amendment effective at the beginning of 3Q 2020.

Core fee income increased $5.3 million, or 13%, compared to 2Q 2020, due to a $3.0 million increase from our mortgage banking business, a $2.4 million increase in our trust and wealth businesses and a $1.1 million increase in Cash Connect^®. These increases reflect the diversity of our business model and were partially offset by a $1.2 million decline in traditional banking, including a $3.2 million decrease in interchange fees resulting from the Durbin Amendment offset by a $2.0 million increase in non-interchange related core banking fees.

	WSFS Bank Center	9
	500 Delaware Avenue,
	Wilmington, Delaware 19801

For 3Q 2020, core fee income was 28.8% of core net revenue, compared to 25.3% for 3Q 2019, and was diversified among various sources, including traditional banking, mortgage banking, trust and wealth management and cash logistics services (Cash Connect^®). The year-over-year percentage increase includes the impact of lower net interest income due to the lower rate environment offset by the adverse impacts of the Durbin Amendment.

Core Noninterest Expenses⁽⁴⁾

Core noninterest expense of $90.8 million for 3Q 2020 increased slightly compared to $90.7 million in 3Q 2019 and $90.6 million in 2Q 2020. The year-over-year change reflects favorable economies of scale from our combination with Beneficial, and integration cost synergies offset by overall franchise growth, higher professional fees, which can be uneven, and higher loan workout and other credit costs resulting from the economic environment driven by the health pandemic.

When compared to 2Q 2020, core noninterest expenses increased $0.2 million primarily due to higher costs within our core banking, Wealth Management and Cash Connect^® businesses primarily related to increased volume and were more than offset by higher fee income. Additionally, 2Q 2020 included $2.6 million of higher unfunded commitment reserve expense, which is recorded under loan workout and other credit costs, and a $1.2 million insurance recovery.

Our core efficiency ratio⁽⁴⁾ was 57.1% in 3Q 2020, compared to 58.7% in 2Q 2020 and 55.9% in 3Q 2019 and includes the impact of lower net interest income due to the lower rate environment.

Income Taxes

We recorded a $15.1 million income tax provision in 3Q 2020, compared to a benefit of $2.2 million in 2Q 2020 and a provision of $15.9 million in 3Q 2019.

The effective tax rate was 23.0% in 3Q 2020, 22.3% in 2Q 2020, and 22.9% in 3Q 2019.

⁽⁴⁾As used in this press release, core noninterest expense and core efficiency ratio are non-GAAP financial measures. These non-GAAP financial measures exclude corporate development and restructuring expense and the contribution to the WSFS Community Fund. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release

	WSFS Bank Center	10
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Capital Management

WSFS’ total stockholders’ equity increased $39.8 million, or 2% (not annualized), during 3Q 2020, primarily due to quarterly earnings offset by market-value changes on available-for-sale securities and the dividend on common stock paid during the quarter.

WSFS’ tangible common equity⁽⁵⁾ increased $42.5 million, or 3% (not annualized) compared to June 30, 2020 for the reasons described above. WSFS’ common equity to assets ratio was 13.47%at September 30, 2020, and our tangible common equity to tangible assets ratio⁽⁵⁾ increased by 13 bps during the quarter to 9.82%.

At September 30, 2020, book value per share was $36.77, an increase of $0.77, or 2%, from June 30, 2020, and tangible common book value per share⁽⁵⁾ was $25.73, an increase of $0.84, or 3%, from June 30, 2020.

At September 30, 2020, WSFS Bank’s Tier 1 leverage ratio of 10.31%, Common Equity Tier 1 capital ratio and Tier 1 capital ratio of 13.24%, and Total Capital ratio of 14.50% were all substantially in excess of the “well-capitalized” regulatory benchmarks.

The Board of Directors approved a quarterly cash dividend of $0.12 per share of common stock. This dividend will be paid on November 19, 2020 to stockholders of record as of November 5, 2020.

WSFS also intends to resume share repurchases during 4Q 2020 under the share repurchase authorization of approximately 15% of outstanding shares approved by the Board in 1Q 2020.

⁽⁵⁾ As used in this release, tangible common equity, tangible common equity to tangible assets and tangible common book value per share are non-GAAP financial measures. These non-GAAP financial measures exclude goodwill and intangible assets and the related tax-effected amortization. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.

	WSFS Bank Center	11
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Selected Business Segments (included in previous results):

Wealth Management

The Wealth Management segment provides a broad array of planning and advisory services, investment management, trust services, and credit and deposit products to individual, corporate, and institutional clients through multiple integrated businesses. Combined, these businesses had $23.1 billion in assets under management (AUM) and assets under administration (AUA) as of September 30, 2020. 

Wealth Management reported pre-tax income of $6.0 million in 3Q 2020 compared to $7.6 million in 3Q 2019, and $3.9 million in 2Q 2020. PPNR was $7.4 million in 3Q 2020 compared to $7.7 million in 3Q 2019 and $4.9 million in 2Q 2020. 3Q 2019 included $1.7 million of net interest income from a $2.0 billion noninterest bearing, capital markets-related trust deposit held for 15 days.

Fee-generating businesses performed very well in the quarter, and overall results were negatively impacted by the lower interest rate environment when compared to the prior year. Provision expense was $1.4 million in 3Q 2020, compared to $0.2 million in 3Q 2019 and $0.9 million to 2Q 2020.

Total Wealth Management revenue (net interest income and fee income) was $17.5 million for 3Q 2020, an increase of $0.6 million, or 4% (non-annualized), compared to 3Q 2019. The increase was due to higher advisory fees resulting from improved asset market values as well as strong activity in our trust business.

Asset based revenue was $3.3 million in 3Q 2020 compared to $3.2 million in 3Q 2019, and $3.0 million in 2Q 2020. Net interest income was $3.5 million in 3Q 2020, a decrease of $2.2 million, or 39% compared to 3Q 2019 due to the aforementioned short-term deposit in the prior year and an increase of $0.2 million, or 6% compared to 2Q 2020.

Loan balances were essentially flat for the quarter while deposits grew by $106.5 million, or 15% compared to 2Q 2020. The Private Bank issued $32.6 million of PPP loans in 2Q 2020 to support our client base through the COVID-19 pandemic. Much of those funds remains deposited with the Private Bank.

Total noninterest expense (including intercompany allocations and excluding provision for credit losses) was $10.1 million in 3Q 2020, an increase of $1.0 million, or 11%, compared to 3Q 2019 and an increase of $0.2 million, or 2%, compared to 2Q 2020. The increases were driven by legal expenses related to litigation cases which can be uneven.

	WSFS Bank Center	12
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Cash Connect^®

Cash Connect^® is a premier provider of ATM vault cash, smart safe and cash logistics services in the United States. Cash Connect^® services over 32,000 non-bank ATMs and retail safes nationwide supplying or servicing approximately $1.4 billion in cash at September 30, 2020. Cash Connect^® also supports 635ATMs for WSFS Bank Customers, which is one of the largest branded ATM networks in our market.

Cash Connect^® reported pre-tax income of $3.1 million for 3Q 2020, which was an increase of $1.3 million, or 74%, compared to 3Q 2019 primarily due to higher cash volumes, a low interest rate environment, and continued growth of higher margin products and services. Net income in 3Q 2020 was $1.1 million higher than 2Q 2020, as cash orders and volumes increased due to a surge in demand as economic activity returned across the country. ROA of 2.46% in 3Q 2020 increased 71 bps from 3Q 2019 and increased 65 bps from 2Q 2020. Normalized for non-recurring items, 3Q 2020 pre-tax income was $2.7 million and ROA was 2.09%.

Net revenue of $10.4 million in 3Q 2020 was down $1.2 million from 3Q 2019, driven by the lower interest rate environment, fully offset by lower cost of funds (including lower third party funding fees in noninterest expense) and higher cash volume. Cash Connect^® saw a 4% increase in the number of total units serviced, including a 40% increase in remote cash capture devices and a 7% increase of non-bailment reconciliation services. Compared to 2Q 2020, net revenue increased $1.1 million, or 12% (not annualized), due to increased cash volumes, ATM transactions, and cash ordering activity as COVID-19 economic restrictions eased.

Noninterest expense (including intercompany allocations of expense) was $7.3 million in 3Q 2020, a decrease of $2.5 million compared to 3Q 2019 and flat compared to 2Q 2020. The decrease in expenses compared to 3Q 2019 was driven by lower funding fees, as noted above.

During 3Q 2020, the division continued to increase fee income and margin by maintaining focus on expanding its smart safe and ATM managed services. Cash Connect^® drove strong growth in the strategic remote cash capture space with approximately 4,300 devices under service, an increase of 200 units during the quarter. Our remote cash capture pipeline has grown as we add new channel partners, in both the retail and financial institution spaces, which have brought several significant opportunities on a national basis.

	WSFS Bank Center	13
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Third Quarter 2020 Earnings Release Conference Call and Supplemental Materials

Management will conduct a conference call to review 3Q 2020 results at 1:00 p.m. Eastern Time (ET) on Friday, October 23, 2020. Interested parties may listen to this call by dialing 1-877-312-5857 and using Conference ID #2765028. A rebroadcast of the conference call will be available beginning at 4:00 p.m. ET on October 23, 2020 until November 3, 2020 at 4:00 p.m. ET by dialing 1-855-859-2056 and using Conference ID #2765028.

We have provided additional information in the 3Q 2020 Earnings Release Supplement, which is available in the Investor Relations section of WSFS' website (www.wsfsbank.com).

About WSFS Financial Corporation

WSFS Financial Corporation is a multi-billion dollar financial services company. Its primary subsidiary, WSFS Bank, is the oldest and largest locally-managed bank and trust company headquartered in Delaware and the greater Philadelphia region. As of September 30, 2020, WSFS Financial Corporation had $13.8 billion in assets on its balance sheet and $23.1 billion in assets under management and administration. WSFS operates from 115 offices, 90 of which are banking offices, located in Pennsylvania (54), Delaware (43), New Jersey (16), Virginia (1) and Nevada (1) and provides comprehensive financial services including commercial banking, retail banking, cash management and trust and wealth management. Other subsidiaries or divisions include Arrow Land Transfer, Cash Connect^®, Cypress Capital Management, LLC, Christiana Trust Company of Delaware, NewLane Finance, Powdermill Financial Solutions, West Capital Management, WSFS Institutional Services^®, WSFS Mortgage, and WSFS Wealth Investments. Serving the greater Delaware Valley since 1832, WSFS Bank is one of the ten oldest banks in the United States continuously operating under the same name. For more information, please visit www.wsfsbank.com.

	WSFS Bank Center	14
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Forward-Looking Statement Disclaimer

This press release contains estimates, predictions, opinions, projections and other "forward-looking statements" as that phrase is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, references to the Company's predictions or expectations of future business or financial performance as well as its goals and objectives for future operations, financial and business trends, business prospects, and management's outlook or expectations for earnings, revenues, expenses, capital levels, liquidity levels, asset quality or other future financial or business performance, strategies or expectations. The words “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project” and similar expressions, among others, generally identify forward-looking statements. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company's control) and are subject to risks and uncertainties (which change over time) and other factors which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties include, but are not limited to, difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the markets in which the Company operates and in which its loans are concentrated, including possible declines in housing markets, an increase in unemployment levels and slowdowns in economic growth, including as a result of the COVID-19 pandemic; possible additional loan losses and impairment of the collectability of loans, particularly as a result of the COVID-19 pandemic and the policies and programs implemented by the Coronavirus Aid, Relief, and Economic Security Act, including its automatic loan forbearance provisions and our PPP lending activities; economic and financial impact of federal, state and local emergency orders and other actions taken in response to the COVID-19 pandemic; the Company's level of nonperforming assets and the costs associated with resolving problem loans including litigation and other costs and complying with government-imposed foreclosure moratoriums; changes in market interest rates which may increase funding costs and reduce earning asset yields and thus reduce margin; the impact of changes in interest rates and the credit quality and strength of underlying collateral and the effect of such changes on the market value of the Company's investment securities portfolio; the credit risk associated with the substantial amount of commercial real estate, construction and land development, and commercial and industrial loans in the Company's loan portfolio; the extensive federal and state regulation, supervision and examination governing almost every aspect of the Company's operations and potential expenses associated with complying with such regulations; the Company's ability to comply with applicable capital and liquidity requirements (including the effect of the transition to the Current Expected Credit Losses (CECL) methodology for allowances and related adjustments), including its ability to generate liquidity internally or raise capital on favorable terms; possible changes in trade, monetary and fiscal policies and stimulus programs, laws and regulations and other activities of governments, agencies, and similar organizations, and the uncertainty of the short- and long-term impacts of such changes; any impairments of the Company's goodwill or other intangible assets; conditions in the financial markets, including the destabilized economic environment caused by the COVID-19 pandemic, that may limit the Company's access to additional funding to meet its liquidity needs; the intention of the United Kingdom's Financial Conduct Authority (FCA) to cease support of London Inter-Bank Offered Rate (LIBOR) and the transition to an alternative reference interest rate, including methodologies for calculating the rate that are different from the LIBOR methodology and changed language for existing and new floating or adjustable rate contracts; the success of the Company's growth plans, including its plans to grow the commercial small business leasing portfolio and residential mortgage small business and SBA portfolios; the successful integration of acquisitions; the Company's ability to fully realize the cost savings and other benefits of its acquisitions, manage risks related to business disruption following those acquisitions, and post-acquisition Customer acceptance of the Company's products and services and related Customer disintermediation; negative perceptions or publicity with respect to the Company generally and, in particular, the Company's trust and wealth management business; failure of the financial and operational controls of the Company's Cash Connect^® division; adverse judgments or other resolution of pending and future legal proceedings, and cost incurred in defending such proceedings; the Company's reliance on third parties for certain important functions, including the operation of its core systems, and any failures by such third parties; system failures or cybersecurity incidents or other breaches of the Company's network security, particularly given widespread remote working arrangements; the Company's ability to recruit and retain key employees; the effects of problems encountered by other financial institutions that adversely affect the Company or the banking industry generally; the effects of weather and natural disasters such as floods, droughts, wind, tornadoes and hurricanes as well as effects from geopolitical instability and man-made disasters including terrorist attacks; the effects of regional or national civil unrest (including any resulting branch or ATM closures or damage); possible changes in the speed of loan prepayments by the Company's Customers and loan origination or sales volumes; possible changes in the speed of prepayments of mortgage-backed securities due to changes in the interest rate environment, particularly as a result of the COVID-19 pandemic, and the related acceleration of premium amortization on prepayments in the event that prepayments accelerate; regulatory limits on the Company's ability to receive dividends from its subsidiaries and pay dividends to its stockholders; any reputation, credit, interest rate, market, operational, litigation, legal, liquidity, regulatory and compliance risk resulting from developments related to any of the risks discussed above; and other risks and uncertainties, including those discussed in the Company's Form 10-K for the year ended December 31, 2019, Form 10-Q for the quarter ended March 31, 2020, Form 10-Q for the quarter ended June 30, 2020 and other documents filed by the Company with the Securities and Exchange Commission from time to time.

We caution readers not to place undue reliance on any such forward-looking statements,which speak only as of the date on which they are made, and the Company disclaims any duty to revise or update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company for any reason, except as specifically required by law. As used in this press release, the terms "WSFS," "the Company," "registrant," "we," "us," and "our" mean WSFS Financial Corporation and its subsidiaries, on a consolidated basis, unless the context indicates otherwise.

	WSFS Bank Center	15
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION

FINANCIAL HIGHLIGHTS

SUMMARY STATEMENTS OF INCOME (Unaudited)

	Three months ended						Nine months ended
(Dollars in thousands, except per share data)	September 30, 2020		June 30, 2020		September 30, 2019		September 30, 2020		September 30, 2019
Interest income:
Interest and fees on loans	$	110,195	$	112,260	$	124,800	$	341,657	$	340,918
Interest on mortgage-backed securities	11,686		12,549		12,989		37,454		35,684
Interest and dividends on investment securities	1,265		1,009		968		3,200		3,042
Other interest income	224		65		2,505		797		4,098
	123,370		125,883		141,262		383,108		383,742
Interest expense:
Interest on deposits	8,346		9,832		16,851		32,815		43,916
Interest on Federal Home Loan Bank advances	445		625		1,099		1,900		4,495
Interest on senior debt	1,179		1,180		1,179		3,538		3,538
Interest on trust preferred borrowings	347		484		693		1,417		2,136
Interest on other borrowings	5		6		607		484		2,278
	10,322		12,127		20,429		40,154		56,363
Net interest income	113,048		113,756		120,833		342,954		327,379
Provision for credit losses	2,716		94,754		4,121		154,116		23,970
Net interest income after provision for credit losses	110,332		19,002		116,712		188,838		303,409
Noninterest income:
Credit/debit card and ATM income	7,251		9,306		13,115		27,916		38,307
Investment management and fiduciary revenue	13,266		10,929		10,459		35,157		30,988
Deposit service charges	4,772		4,175		6,139		14,594		16,988
Mortgage banking activities, net	11,507		8,494		3,152		23,472		8,090
Loan and lease fee income	1,165		1,097		823		3,381		2,358
Securities gains, net	3,322		1,908		—		5,923		78
Unrealized gain (loss) on equity investment, net	104		(11)		21,344		761		26,175
Realized gain on sale of equity investment, net	—		22,052		—		22,052		—
Bank-owned life insurance income	591		445		277		1,011		877
Other income	7,193		5,980		7,037		20,126		22,478
	49,171		64,375		62,346		154,393		146,339
Noninterest expense:
Salaries, benefits and other compensation	48,772		48,757		48,914		142,875		133,669
Occupancy expense	8,152		8,296		9,085		24,114		24,262
Equipment expense	5,678		5,759		5,564		16,401		14,997
Data processing and operations expense	3,198		3,061		3,861		9,337		10,180
Professional fees	4,611		4,423		3,180		13,634		7,967
Marketing expense	1,451		1,215		1,373		3,617		4,910
FDIC expenses	829		305		(227)		1,080		1,435
Loss on early extinguishment of debt	2,280		—		—		2,280		—
Loan workout and other credit costs	1,422		4,587		846		6,462		2,537
Corporate development expense	428		2,801		10,517		4,570		51,090
Restructuring expense	—		—		8,360		—		14,603
Other operating expenses	16,719		14,231		18,088		51,101		49,351
	93,540		93,435		109,561		275,471		315,001
Income (loss) before taxes	65,963		(10,058)		69,497		67,760		134,747
Income tax provision (benefit)	15,140		(2,247)		15,902		14,181		32,253
Net income (loss)	$	50,823	$	(7,811)	$	53,595	$	53,579	$	102,494
Less: Net loss attributable to noncontrolling interest	(322)		(700)		(287)		(1,382)		(611)
Net income (loss) attributable to WSFS	$	51,145	$	(7,111)	$	53,882	$	54,961	$	103,105
Diluted earnings (loss) per share of common stock:	$	1.01	$	(0.14)	$	1.02	$	1.08	$	2.12
Weighted average shares of common stock outstanding for fully diluted EPS	50,684,493		50,655,154		53,054,368		50,832,085		48,668,460

See “Notes”

	WSFS Bank Center	16
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION

FINANCIAL HIGHLIGHTS

SUMMARY STATEMENTS OF INCOME (Unaudited)- continued

	Three months ended						Nine months ended
	September 30, 2020		June 30, 2020		September 30, 2019		September 30, 2020		September 30, 2019
Performance Ratios:
Return on average assets (a)	1.49	%	(0.22)	%	1.72	%	0.57	%	1.23	%
Return on average equity (a)	11.08		(1.55)		11.60		3.99		8.57
Return on average tangible common equity (a)(o)	16.61		(1.55)		17.51		6.44		12.98
Net interest margin (a)(b)	3.66		3.93		4.38		3.97		4.47
Efficiency ratio (c)	57.57		52.36		59.71		55.29		66.36
Noninterest income as a percentage of total net revenue (b)	30.26		36.07		33.98		30.99		30.83

See “Notes”

	WSFS Bank Center	17
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION

FINANCIAL HIGHLIGHTS (Continued)

SUMMARY STATEMENTS OF FINANCIAL CONDITION (Unaudited)

(Dollars in thousands)	September 30, 2020			June 30, 2020			September 30, 2019
Assets:
Cash and due from banks	$	714,062		$	583,221		$	257,581
Cash in non-owned ATMs	347,462			360,969			322,571
Investment securities (d)	113,609			127,601			134,961
Other investments	28,329			31,560			92,832
Mortgage-backed securities (d)	2,334,922			2,195,389			1,908,821
Net loans (e)(f)(l)	9,254,785			9,229,741			8,548,140
Bank owned life insurance	31,717			30,391			31,077
Goodwill and intangibles	559,806			562,515			571,850
Other assets	445,416			451,970			404,840
Total assets	$	13,830,108		$	13,573,357		$	12,272,673
Liabilities and Stockholders’ Equity:
Noninterest-bearing deposits	$	3,196,967		$	3,188,046		$	2,268,615
Interest-bearing deposits	7,951,619			7,596,125			7,022,313
Total customer deposits	11,148,586			10,784,171			9,290,928
Brokered deposits	242,759			278,329			242,265
Total deposits	11,391,345			11,062,500			9,533,193
Federal Home Loan Bank advances	16,751			106,395			365,675
Other borrowings	187,543			189,398			189,108
Other liabilities	373,167			393,270			328,240
Total liabilities	11,968,806			11,751,563			10,416,216
Stockholders’ equity of WSFS	1,863,499			1,823,669			1,856,992
Noncontrolling interest	(2,197)			(1,875)			(535)
Total stockholders' equity	1,861,302			1,821,794			1,856,457
Total liabilities and stockholders' equity	$	13,830,108		$	13,573,357		$	12,272,673
Capital Ratios:
Equity to asset ratio	13.47		%	13.44		%	15.13		%
Tangible common equity to tangible asset ratio (o)	9.82			9.69			10.98
Common equity Tier 1 capital (required: 4.5%; well capitalized: 6.5%) (g)	13.24			12.68			13.01
Tier 1 leverage (required: 4.00%; well-capitalized: 5.00%) (g)	10.31			10.40			11.13
Tier 1 risk-based capital (required: 6.00%; well-capitalized: 8.00%) (g)	13.24			12.68			13.01
Total Risk-based capital (required: 8.00%; well-capitalized: 10.00%) (g)	14.50			13.93			13.50
Asset Quality Indicators:
Nonperforming Assets:
Nonaccruing loans	$	25,835		$	26,175		$	38,418
Troubled debt restructuring (accruing)	15,670			14,550			14,125
Assets acquired through foreclosure	3,000			4,153			3,693
Total nonperforming assets	$	44,505		$	44,878		$	56,236
Past due loans (h)	$	11,886		$	8,601		$	13,709
Allowance for credit losses	232,733			232,200			47,671
Ratio of nonperforming assets to total assets	0.32		%	0.33		%	0.46		%
Ratio of nonperforming assets (excluding accruing TDRs) to total assets	0.21			0.22			0.34
Ratio of allowance for credit losses to total loans and leases (q)	2.47			2.45			0.56
Ratio of allowance for credit losses to nonaccruing loans	901			887			124
Ratio of quarterly net charge-offs to average gross loans (a)(e)(i)(n)	0.09			0.07			0.09
Ratio of year-to-date net charge-offs to average gross loans (a)(e)(i)(n)	0.07			0.06			0.27

See “Notes”

	WSFS Bank Center	18
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION

FINANCIAL HIGHLIGHTS (Continued) 

AVERAGE BALANCE SHEET (Unaudited)

(Dollars in thousands)	Three months ended
	September 30, 2020						June 30, 2020						September 30, 2019
	Average Balance		Interest & Dividends		Yield/ Rate (a)(b)		Average Balance		Interest & Dividends		Yield/ Rate (a)(b)		Average Balance		Interest & Dividends		Yield/ Rate (a)(b)
Assets:
Interest-earning assets:
Loans: (e) (j)
Commercial real estate loans	$	2,848,655	$	30,218	4.22	%	$	2,841,231	$	31,230	4.42	%	$	2,783,199	$	37,492	5.34	%
Residential real estate loans	892,634		12,512		5.61		933,854		13,679		5.86		1,069,495		14,580		5.45
Commercial loans (p)	4,472,190		52,753		4.70		4,291,301		53,390		5.01		3,548,597		55,903		6.26
Consumer loans	1,153,168		13,726		4.74		1,124,742		13,065		4.67		1,135,575		16,286		5.69
Loans held for sale	110,768		986		3.54		92,252		896		3.91		50,465		539		4.24
Total loans	9,477,415		110,195		4.63		9,283,380		112,260		4.87		8,587,331		124,800		5.77
Mortgage-backed securities (d)	2,204,573		11,686		2.12		2,048,357		12,549		2.45		1,833,267		12,989		2.83
Investment securities (d)	119,556		1,265		4.86		130,671		1,009		3.82		137,497		968		3.35
Other interest-earning assets	530,178		224		0.17		220,801		65		0.12		423,470		2,505		2.35
Total interest-earning assets	12,331,722		$	123,370	3.99	%	11,683,209		$	125,883	4.34	%	10,981,565		$	141,262	5.11	%
Allowance for credit losses	(233,301)						(156,576)						(46,773)
Cash and due from banks	135,198						108,463						115,506
Cash in non-owned ATMs	370,912						319,154						313,456
Bank owned life insurance	30,956						29,965						30,558
Other noninterest-earning assets	1,012,506						1,036,500						1,024,108
Total assets	$	13,647,993					$	13,020,715					$	12,418,420
Liabilities and Stockholders’ Equity:
Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing demand	$	2,372,547	$	790	0.13	%	$	2,213,369	$	882	0.16	%	$	2,055,497	$	2,490	0.48	%
Money market	2,404,202		1,805		0.30		2,262,737		2,311		0.41		1,966,545		5,034		1.02
Savings	1,753,489		621		0.14		1,681,587		877		0.21		1,579,463		2,068		0.52
Customer time deposits	1,234,637		4,402		1.42		1,242,730		4,954		1.60		1,371,744		5,452		1.58
Total interest-bearing customer deposits	7,764,875		7,618		0.39		7,400,423		9,024		0.49		6,973,249		15,044		0.86
Brokered deposits	243,728		728		1.19		286,655		808		1.13		294,485		1,807		2.43
Total interest-bearing deposits	8,008,603		8,346		0.41		7,687,078		9,832		0.51		7,267,734		16,851		0.92
FHLB of Pittsburgh advances	68,442		445		2.59		106,694		625		2.36		187,721		1,099		2.32
Trust preferred borrowings	67,011		347		2.06		67,011		484		2.90		67,011		693		4.10
Senior debt	98,733		1,179		4.78		98,681		1,180		4.78		98,519		1,179		4.79
Other borrowed funds	20,062		5		0.10		25,580		6		0.09		127,850		607		1.88
Total interest-bearing liabilities	8,262,851		$	10,322	0.50	%	7,985,044		$	12,127	0.61	%	7,748,835		$	20,429	1.05	%
Noninterest-bearing demand deposits	3,176,647						2,882,999						2,503,816
Other noninterest-bearing liabilities	374,206						311,697						323,350
Stockholders’ equity of WSFS	1,836,256						1,842,525						1,842,759
Noncontrolling interest	(1,967)						(1,550)						(340)
Total liabilities and equity	$	13,647,993					$	13,020,715					$	12,418,420
Excess of interest-earning assets over interest-bearing liabilities	$	4,068,871					$	3,698,165					$	3,232,730
Net interest and dividend income			$	113,048					$	113,756					$	120,833
Interest rate spread					3.49	%					3.73	%					4.06	%
Net interest margin					3.66	%					3.93	%					4.38	%

See “Notes”

	WSFS Bank Center	19
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION

FINANCIAL HIGHLIGHTS (Continued)

(Unaudited)

(Dollars in thousands, except per share data)	Three months ended			Nine months ended
Stock Information:	September 30, 2020	June 30, 2020	September 30, 2019	September 30, 2020	September 30, 2019
Market price of common stock:
High	$32.83	$33.32	$46.05	$44.70	$46.05
Low	24.59	21.00	38.79	17.84	37.19
Close	26.97	28.70	44.10	26.97	44.10
Book value per share of common stock	36.77	36.00	35.41
Tangible common book value per share of common stock (o)	25.73	24.89	24.50
Number of shares of common stock outstanding (000s)	50,673	50,660	52,445
Other Financial Data:
One-year repricing gap to total assets (k)	7.58%	6.95%	(3.38)%
Weighted average duration of the MBS portfolio	2.1 years	1.3 years	2.9 years
Unrealized gains on securities available for sale, net of taxes	$68,690	$74,689	$31,512
Number of Associates (FTEs) (m)	1,827	1,862	1,792
Number of offices (branches, LPO’s, operations centers, etc.)	115	115	127
Number of WSFS owned and branded ATMs	635	571	477

Notes:

(a)Annualized.

(b)Computed on a fully tax-equivalent basis.

(c)Noninterest expense divided by (tax-equivalent) net interest income and noninterest income.

(d)Includes securities held to maturity (at amortized cost) and securities available for sale (at fair value).

(e)Net of unearned income.

(f)Net of allowance for credit losses.

(g)Represents capital ratios of Wilmington Savings Fund Society, FSB and subsidiaries.

(h)Accruing loans which are contractually past due 90 days or more as to principal or interest. Balance includes student loans acquired from Beneficial, which are U.S. government guaranteed with little risk of credit loss.

(i)Excludes loans held for sale.

(j)Nonperforming loans are included in average balance computations.

(k)The difference between projected amounts of interest-sensitive assets and interest-sensitive liabilities repricing within one year divided by total assets, based on a current interest rate scenario.

(l)Includes loans held for sale and reverse mortgages.

(m)Includes seasonal Associates, when applicable.

(n)Excludes reverse mortgage loans.

(o)The Company uses non-GAAP (United States Generally Accepted Accounting Principles) financial information in its analysis of the Company’s performance. The Company’s management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Company’s management believes that investors may use these non-GAAP financial measures to analyze the Company’s financial performance without the impact of unusual items or events that may obscure trends in the Company’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.

(p)Includes commercial small business leases.

(q)Represents amortized cost basis for loans, leases and held-to-maturity securities.

(r)Includes provision for credit losses, loan workout expenses, OREO expenses and other credit costs.

	WSFS Bank Center	20
	500 Delaware Avenue,
	Wilmington, Delaware 19801

WSFS FINANCIAL CORPORATION 

FINANCIAL HIGHLIGHTS (Continued)

(Dollars in thousands, except per share data)

(Unaudited)

Non-GAAP Reconciliation (o):	Three months ended									Nine months ended
	September 30, 2020			June 30, 2020			September 30, 2019			September 30, 2020			September 30, 2019
Net interest income (GAAP)	$	113,048		$	113,756		$	120,833		$	342,954		$	327,379
Core net interest income (non-GAAP)	$	113,048		$	113,756		$	120,833		$	342,954		$	327,379
Noninterest income (GAAP)	$	49,171		$	64,375		$	62,346		$	154,393		$	146,339
Less: Securities gains	3,322			1,908			—			5,923			78
Less/(plus): Unrealized gains (losses) on equity investments, net	104			(11)			21,344			761			26,175
Less: Realized gain on sale of equity investment, net	—			22,052			—			22,052			—
Core fee income (non-GAAP)	$	45,745		$	40,426		$	41,002		$	125,657		$	120,086
Core net revenue (non-GAAP)	$	158,793		$	154,182		$	161,835		$	468,611		$	447,465
Core net revenue (non-GAAP)(tax-equivalent)	$	159,068		$	154,513		$	162,135		$	469,486		$	448,400
Noninterest expense (GAAP)	$	93,540		$	93,435		$	109,561		$	275,471		$	315,001
Less: Corporate development expense	428			2,801			10,517			4,570			51,090
Less: Restructuring expense	—			—			8,360			—			14,603
Less: Loss on early extinguishment of debt	2,280			—			—			2,280			—
Less: Contribution to WSFS Community Foundation	—			—			—			3,000			—
Core noninterest expense (non-GAAP)	$	90,832		$	90,634		$	90,684		$	265,621		$	249,308
Core efficiency ratio (c)	57.1		%	58.7		%	55.9		%	56.6		%	55.6		%
	End of period
	September 30, 2020			June 30, 2020			September 30, 2019
Total assets	$	13,830,108		$	13,573,357		$	12,272,673
Less: Goodwill and other intangible assets	559,806			562,515			571,850
Total tangible assets	$	13,270,302		$	13,010,842		$	11,700,823
Total stockholders’ equity of WSFS	$	1,863,499		$	1,823,669		$	1,856,992
Less: Goodwill and other intangible assets	559,806			562,515			571,850
Total tangible common equity (non-GAAP)	$	1,303,693		$	1,261,154		$	1,285,142
Calculation of tangible common book value per share:
Book value per share (GAAP)	$	36.77		$	36.00		$	35.41
Tangible common book value per share (non-GAAP)	25.73			24.89			24.50
Calculation of tangible common equity to tangible assets:
Equity to asset ratio (GAAP)	13.47		%	13.44		%	15.13		%
Tangible common equity to tangible assets ratio (non-GAAP)	9.82			9.69			10.98

	WSFS Bank Center	21
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Non-GAAP Reconciliation - continued (o):	Three months ended									Nine months ended
	September 30, 2020			June 30, 2020			September 30, 2019			September 30, 2020			September 30, 2019
GAAP net income (loss) attributable to WSFS	$	51,145		$	(7,111)		$	53,882		$	54,961		$	103,105
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on early extinguishment of debt, and contribution to WSFS Community Foundation	(718)			(21,148)			(2,467)			(18,886)			39,440
(Plus)/less: Tax impact of pre-tax adjustments	264			4,712			590			2,956			(7,542)
Adjusted net income (loss) (non-GAAP) attributable to WSFS	$	50,691		$	(23,547)		$	52,005		$	39,031		$	135,003
GAAP return on average assets (ROA)	1.49		%	(0.22)		%	1.72		%	0.57		%	1.23		%
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on early extinguishment of debt, and contribution to WSFS Community Foundation	(0.02)			(0.65)			(0.08)			(0.19)			0.47
(Plus)/less: Tax impact of pre-tax adjustments	0.01			0.14			0.02			0.02			(0.09)
Core ROA (non-GAAP)	1.48		%	(0.73)		%	1.66		%	0.40		%	1.61		%
Earnings (loss) per share (GAAP)	$	1.01		$	(0.14)		$	1.02		$	1.08		$	2.12
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on early extinguishment of debt, and contribution to WSFS Community Foundation	(0.01)			(0.42)			(0.05)			(0.37)			0.81
(Plus)/less: Tax impact of pre-tax adjustments	—			0.10			0.01			0.06			(0.16)
Core earnings (loss) per share (non-GAAP)	$	1.00		$	(0.46)		$	0.98		$	0.77		$	2.77
Calculation of return on average tangible common equity:
GAAP net income (loss) attributable to WSFS	$	51,145		$	(7,111)		$	53,882		$	54,961		$	103,105
Plus: Tax effected amortization of intangible assets	2,090			2,198			2,113			6,391			5,252
Net tangible income (loss) (non-GAAP)	$	53,235		$	(4,913)		$	55,995		$	61,352		$	108,357
Average stockholders’ equity of WSFS	$	1,836,256		$	1,842,525		$	1,842,759		$	1,838,087		$	1,608,375
Less: average goodwill and intangible assets	561,505			564,622			574,253			564,596			492,474
Net average tangible common equity	$	1,274,751		$	1,277,903		$	1,268,506		$	1,273,491		$	1,115,901
Return on average tangible common equity (non-GAAP)	16.61		%	(1.55)		%	17.51		%	6.44		%	12.98		%
Calculation of core return on average tangible common equity:
Adjusted net income (loss) (non-GAAP) attributable to WSFS	$	50,691		$	(23,547)		$	52,005		$	39,031		$	135,003
Plus: Tax effected amortization of intangible assets	2,090			2,198			2,113			6,391			5,252
Core net tangible income (loss) (non-GAAP)	$	52,781		$	(21,349)		$	54,118		$	45,422		$	140,255
Net average tangible common equity	$	1,274,751		$	1,277,903		$	1,268,506		$	1,273,491		$	1,115,901
Core return on average tangible common equity (non-GAAP)	16.47		%	(6.72)		%	16.93		%	4.76		%	16.80		%

	WSFS Bank Center	22
	500 Delaware Avenue,
	Wilmington, Delaware 19801

Non-GAAP Reconciliation - continued (o):	Three months ended									Nine months ended
	September 30, 2020			June 30, 2020			September 30, 2019			September 30, 2020			September 30, 2019
Calculation of core PPNR:
Net income (loss) (GAAP)	$	50,823		$	(7,811)		$	53,595		$	53,579		$	102,494
Plus/(less): Income tax provision (benefit)	15,140			(2,247)			15,902			14,181			32,253
Plus: Provision for credit losses	2,716			94,754			4,121			154,116			23,970
PPNR (Non-GAAP)	68,679			84,696			73,618			221,876			158,717
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on early extinguishment of debt, and contribution to WSFS Community Foundation	(718)			(21,148)			(2,467)			(18,886)			39,440
Core PPNR (Non-GAAP)	$	67,961		$	63,548		$	71,151		$	202,990		$	198,157
Calculation of core PPNR to average assets, less PPP:
PPP income	$	6,373		$	4,836		$	—		$	11,209		$	—
PPP expense	442			1,814			—			2,256			—
PPP net income	$	5,931		$	3,022		$	—		$	8,953		$	—
Core PPNR (Non-GAAP), less PPP	$	62,030		$	60,526		$	71,151		$	194,037		$	198,157
Total average assets	13,647,993			13,020,715			12,418,420			12,945,318			11,225,679
Average assets (PPP)	952,640			727,377			—			561,111			—
Average assets, less PPP	$	12,695,353		$	12,293,338		$	12,418,420		$	12,384,207		$	11,225,679
Core PPNR to average assets	1.98		%	1.96		%	2.27		%	2.09		%	2.36		%
Core PPNR to average assets, less PPP	1.94		%	1.98		%	2.27		%	2.09		%	2.36		%

EX-99.2

Exhibit 99.2 WSFS Financial Corporation 3Q 2020 Earnings Supplement1 October 22, 2020 1 3Q 2020 Earnings Release Supplement is for the purpose and use in conjunction with our Earnings Release furnished as Exhibit 99.1 to our Form 8-K on October 22, 2020 1

Forward Looking Statements & Non-GAAP Forward Looking Statements: This presentation contains estimates, predictions, opinions, projections and other "forward-looking statements" as that phrase is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, references to the Company's predictions or expectations of future business or financial performance as well as its goals and objectives for future operations, financial and business trends, business prospects, and management's outlook or expectations for earnings, revenues, expenses, capital levels, liquidity levels, asset quality or other future financial or business performance, strategies or expectations. The words “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project” and similar expressions, among others, generally identify forward-looking statements. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company's control) and are subject to significant risks and uncertainties (which change over time) and other factors, including the uncertain effects of the COVID-19 pandemic and actions taken in response thereto on our business, results of operations, capital and liquidity, which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties are discussed in detail the Company's Form 10-K for the year ended December 31, 2019, Form 10-Q for the quarter ended March 31, 2020, Form 10-Q for the quarter ended June 30, 2020, and and other documents filed by the Company with the Securities and Exchange Commission from time to time. We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date on which they are made, and the Company disclaims any duty to revise or update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company for any reason, except as specifically required by law. As used in this presentation, the terms "WSFS", "the Company", "registrant", "we", "us", and "our" mean WSFS Financial Corporation and its subsidiaries, on a consolidated basis, unless the context indicates otherwise. Non-GAAP Financial Measures: This presentation contains financial measures determined by methods other than in accordance with accounting principles generally accepted in the United States (“GAAP”). These non-GAAP measures include core earnings per share (“EPS”), core pre-provision net revenue (“PPNR”), PPNR, core PPNR to average assets ratio, PPNR to average assets ratio, core return on assets (“ROA”), core return on tangible common equity (“ROTCE”), ROTCE, core fee income and core fee income as a percentage of total core net revenue. The Company’s management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Company’s management believes that investors may use these non-GAAP measures to analyze the Company’s financial performance without the impact of unusual items or events that may obscure trends in the Company’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. For a reconciliation of these non-GAAP measures to their comparable GAAP measures, see the Appendix. 2

Table of Contents Financial Highlights Page 4 Loan & Deposit Growth Page 5 Core Fee Income Trends Page 6 Credit Risk Management CECL Page 7 Loan Modifications Page 8 Selected Portfolios Page 9 NIM Trends & Outlook Page 10 Core PPNR Trends & Outlook Page 11 Capital Position Page 12 Appendix: Reconciliation of Non-GAAP Financial Information Page 13 3

3Q 2020 Financial Highlights Solid operating performance with PPNR1 at 1.98% of average assets reflecting diversified business model Significant ACL reserve, strong capital levels, and the approved resumption of share repurchases in 4Q 2020 3Q 2020 • Core PPNR1 of $68.0 million increased $4.4 million, or 7%, from 2Q 2020 reflecting positive core operating leverage $ in millions (except per share amounts) Core • Core fee income1 increased $5.3 million, or 13%, compared to 2Q 2020, despite a $3.2 million negative EPS1 $1.00 impact due to Durbin Amendment (effective July 2020). Solid growth across several areas, including PPNR1 $68.0 mortgage, trust services, non-interchange related core banking fees, and Cash Connect® 1 PPNR % 1.98% • Modest provision expense of $2.7 million while maintaining a strong allowance for credit losses (“ACL”) ROA1 1.48% coverage ratio of 2.74% excluding Paycheck Protection Program (“PPP”) loans and 3.22% including estimated credit mark on acquired loans. Short-term loan deferrals reduced to 3% of total portfolio at October 15, 2020 ROTCE1 16.47% NIM 3.66% • Loans grew $95.5 million, or 5% on an annualized basis during the quarter and $254 million, or 4% year-over- year, excluding PPP loans, ACL, and purposeful run-off portfolios Fee Income/Total Revenue1,2 28.8% Customer funding levels remain elevated and increased $364 million, or 13% on an annualized basis, during Efficiency Ratio1 57.1% • the quarter and $1.9 billion, or 20%, compared to 3Q 2019 primarily due to PPP loans and the current ACL Coverage Ratio (ex. PPP) 2.74% economic environment Loan to Deposit Ratio 83% • Board approved the resumption of share repurchases in 4Q 2020 under current authorization of 15% of Common Equity Tier 1 Capital 13.24% outstanding shares and a $0.12 quarterly cash dividend to be paid in November 2020 1 These are non-GAAP financial measures and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 4 2 Tax-equivalent

3Q 2020 Loan and Deposit Growth Positive loan growth excluding purposeful run-off portfolios; Significant excess customer liquidity continues Loans - 3Q 2020 vs 2Q 2020 and 3Q 2019 Deposits - 3Q 2020 vs 2Q 2020 and 3Q 2019 Sep Jun Sep 3Q20 $ Annualized YOY $ YOY % Sep Jun Sep 3Q20 $ Annualized YOY $ YOY % ($ in millions) 2020 2020 2019 Growth % Growth Growth Growth ($ in millions) 2020 2020 2019 Growth % Growth Growth Growth C & I Loans $3,300 $3,354 $3,389 ($54) (6%) ($89) (3%) Noninterest Demand $3,197 $3,188 $2,269 $9 1% $928 41% PPP Loans $954 $945 $0 $9 4% $954 100% Interest Demand Deposits $2,521 $2,303 $2,177 $218 38% $344 16% Commercial Mortgages $2,167 $2,166 $2,263 $1 0% ($96) (4%) Savings $1,718 $1,732 $1,563 ($14) (3%) $155 10% Construction Loans $666 $639 $512 $27 17% $154 30% Money Market $2,489 $2,333 $1,952 $156 27% $537 28% Commercial Leases $228 $213 $171 $15 28% $57 33% Total Core Deposits $9,925 $9,556 $7,961 $369 15% $1,964 25% Total Commercial Loans $7,315 $7,317 $6,335 ($2) (0%) $980 15% Customer Time Deposits $1,224 $1,228 $1,330 ($4) (1%) ($106) (8%) Residential Mortgage (HFS/HFI/Rev Mgt) $1,003 $1,012 $1,117 ($9) (4%) ($114) (10%) Total Customer Deposits $11,149 $10,784 $9,291 $365 13% $1,858 20% Consumer Loans $1,169 $1,133 $1,144 $36 13% $25 2% Total Gross Loans $9,487 $9,462 $8,596 $25 1% $891 10% • Continued focus on strategy to optimize our loan mix towards Residential Mortgage (HFI) $845 $895 $1,035 ($50) (22%) ($190) (18%) relationship-based, higher yielding commercial loans Student Loans Acquired from BNCL $118 $119 $129 ($1) (3%) ($11) (9%) Auto Loans Acquired From BNCL $27 $33 $28 ($6) (72%) ($1) (4%) • Excluding PPP loans, ACL, and purposeful run-off portfolios, loans Participation portfolios (CRE) from BNCL $147 $169 $247 ($22) (52%) ($100) (40%) Leveraged Loans (C&I) from BNCL $12 $12 $27 $0 0% ($15) (56%) increased $95.5 million, or 5% on an annualized basis, compared to 2Q Total Run-Off Portfolios $1,149 $1,228 $1,466 ($79) (26%) ($317) (22%) 2020 and $254 million, or 4% year-over-year Gross Loans ex Run-Off Portfolios $8,338 $8,234 $7,130 $104 5% $1,208 17% PPP Loans $954 $945 $0 $9 4% $954 100% • Customer funding levels remain elevated and increased $364 million, or Gross Loans ex Run-Off & PPP Portfolios $7,384 $7,289 $7,130 $95 5% $254 4% 13% on an annualized basis during the quarter and 1.9 billion, or 20%, compared to 3Q 2019, primarily due to PPP loans and the current economic environment 5

Core Fee Income1 Trends Diversified Business Model Drives Core Fee Income Growth Through 3Q 2020 $50 25.3%2 27.0%2 30.0%2 Core Fee Income % Millions $45 $3 $40 $8 • Core fee income is well diversified with over $5 $5 20 discrete lines of business and products $35 within our three core segments: Banking, $6 Wealth, and Cash Connect® $30 $8 $12 • Provides strong PPNR stability through $25 $3 $8 interest rate cycles $20 $10 • 3Q 2020 increased $5.3 million, or 13%, $12 $15 $9 compared to 2Q 2020, despite Durbin impact (effective July 2020), diversified across all $10 major areas $13 $5 $11 $11 $- 1Q20 2Q20 3Q20 4 Wealth & Trust Cash Connect Mortgage Other Banking 3 Credit/Debit 1 This is a non-GAAP financial measures and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 2 Fee (non-interest) income / total net revenue excluding PPP 3 Other banking includes deposit service charges, SBA loan sales, loan and lease fees, and other banking related fees 6 4 Credit/Debit includes Interchange and Other Fee income

Credit Risk Management - CECL 2 F/Y GDP forecast of (3.7%) in 2020 and 3.7% in 2021 Considerations & Components for 3Q 2020 ACL Y/E Unemployment forecast of 8.8% in 2020 and 6.6% in 20212 GDP Growth by Quarter Unemployment by Quarter • Coverage ratio of 2.74% excluding PPP loans and 3.22% including 35% 15% estimated remaining credit mark on the acquired loan portfolio 25% 13% • Modest reserve build of $0.5 million in 3Q 2020 driven by: 15% 11% 5% • Portfolio migration largely consistent with expectations; -5% 9% remaining targeted portfolio reviews completed in 3Q 2020 -15% 7% • Core loan growth offset by intentional portfolio run-off and net -25% charge offs 5% -35% • No significant economic forecast changes -45% 3% 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Components of 3Q 2020 ACL Economic 2Q Forecast 3Q Forecast 2Q Forecast 3Q Forecast $300 Forecast Impact (in millions) ACL by Segment $250 $232 $233 January 1, 2020 March 31, 2020 June 30, 2020 September 30, 2020 $200 -$2 $3 ($ millions) $ % $ % $ % $ % C&I1 $40.3 1.99% $62.3 2.96% $133.1 6.81% $137.8 7.24% $150 Construction1 $4.6 0.78% $5.2 0.82% $10.1 1.59% $10.2 1.54% $100 CRE Investor $9.1 0.41% $26.6 1.19% $38.4 1.77% $34.3 1.58% Owner Occupied $3.2 0.24% $9.4 0.72% $9.0 0.67% $10.4 0.77% $50 Leases $2.0 0.77% $3.6 1.34% $11.1 5.20% $10.7 4.70% Mortgage $8.9 0.90% $11.6 1.22% $9.2 1.03% $8.4 1.00% $0 HELOC & HEIL $9.4 1.27% $12.6 1.69% $10.8 1.43% $11.2 1.41% 6/30/2020 NCO Net Growth/Other 9/30/2020 Installment - Other $3.8 3.82% $4.4 5.17% $6.9 6.58% $5.6 5.55% Other $1.9 0.33% $3.4 0.81% $3.6 0.90% $4.1 1.04% 2.73% 2.74% TOTAL $83.2 0.96% $139.1 1.60% $232.2 2.73% $232.7 2.74% Coverage Ratio (ex PPP) 1 Hotel loan balances are included in the C&I and Construction segments 2 Source: Oxford Economics as of September 2020 7

Credit Risk Management – Loan Modifications As of October 15, 2020, loan modifications declined to 3% of total loan portfolio Loan Modifications Commercial Loan Modifications by Sector As of October 15, 2020 As of October 15, 2020 1 1 ($ in millions) Loan Balances % of Portfolio ($ in millions) Loan Balances % of Portfolio C&I $ 94.0 5% Hotel $ 81.7 16% CRE $ 53.0 2% Retail $ 50.1 5% Owner Occupied $ 9.8 1% Real Estate Rental & Leasing $ 6.8 0% Construction $ 1.7 0% Other Services $ 5.8 2% Total Commercial $ 158.5 3% Food Services $ 5.1 3% Health Care and Social Assistance $ 2.6 1% Residential Mortgage $ 35.0 4% Construction $ 0.5 0% Education2 $ 23.7 3 10% All Other $ 5.9 0% Consumer $ 14.5 2% Total Commercial $ 158.5 3% Leases $ 0.2 0% Credit Cards $ 0.1 1% Total Consumer $ 73.5 3% Total Loan Modifications $ 232.0 3% • 88% of original payment modifications have reverted to full contractual payments as of October 15, 2020 • 82% of remaining total modifications are under 90 days or less terms as of October 15, 2020 • 56% of remaining total modifications (82% of remaining Commercial modifications) include at least interest payments as of October 15, 2020 1 Portfolio values are as of September 30, 2020 and exclude PPP loans 2 Approximately 75% of the loan balances include U.S. government-guaranteed student loans that carry little risk of credit loss 8

Credit Risk Management – Selected Portfolios Hotel Portfolio Retail CRE Portfolio $516.9 million; 6.1% of loan portfolio1 $734.3 million; 8.6% of loan portfolio1 • 48% of balances Criticized • 7% of balances Criticized • $5.8 million average loan balance size • $1.2 million average loan balance size • 76% of loans include recourse; 100% secured by real estate • 65% of relationships, $5 million or more, include recourse • Conservative underwriting with current weighted average • No outstanding loan balances to indoor shopping malls; LTV of ~55%2 limited exposure to power centers • 65% Business and 35% Leisure • 49% of portfolio is anchored by essential3 businesses • Diversified across 8+ states (43% PA, 21% NJ, and 15% DE) 3 Food Services Portfolio Retail Trade Portfolio $183.4 million; 2.1% of loan portfolio1 $266.9 million; 3.1% of loan portfolio1 • 31% of balances Criticized • 10% of balances Criticized • $325 thousand average loan balance size • $271 thousand average loan balance size • ~80% of loans include recourse • 90% of loans include recourse • ~50% of loans secured by real estate • 77% of portfolio is anchored by essential3 businesses 1 Portfolio values are gross loans excluding PPP as of September 30, 2020 2 Current exposure / most recent valuation 9 3 Essential includes grocery, pharmacy, liquor, general merchandise, bank branch, gas/vehicle/convenience, home improvement, and government

Net Interest Margin Trends and 4Q Outlook NIM impacted by rate environment, PPP forgiveness timing, purchase accretion volatility and excess customer liquidity 4.75% • 2Q & 3Q 2020 included full quarter impact of the 150 bps Fed Fund rate decrease and negative 8 bps 4.50% from PPP loans 4.38% 0. • 3Q 2020 included 14 bps of negative impact 4.25% 0.22% Negative 8 bps PPP impact 3.70% - resulting from excess customer funding; compared 3.93% 3.80% to 5 bps in 2Q 2020 and 0 bps in 1Q 2020; 4Q 2020 4.00% 0.31% Outlook of ~15bps Positive 4 bps 3.66% PPP Impact • 4Q Outlook reflects 4 bps from PPP loans with 3.75% 0.30% ~20% of PPP loans estimated to be forgiven plus core margin growth from continued increase in 3.50% 0.28% 0.26% 3.85% deposit betas offset by lower purchase accounting accretion 3.25% 3.58% 3.35% 3.38% • Deposit and Loan betas are ~25-30% for down rate 3.00% cycle 1Q 2020 2Q 2020 3Q 2020 4Q 2020 Outlook • Weighted average total Customer funding cost NIM Ex PAA/PPP Modeled PAA Accretion Incremental PAA Accretion PPP of 28 bps in 3Q 2020 (35 bps in 2Q 2020) 10

Core PPNR1 Trends and 4Q 2020 Outlook Solid Core PPNR Results Despite Challenging Rate Environment $140 2.50% 2.36% • 4Q 2020 Outlook assumes continued gradual Millions 2.36% $120 1.96% 1.98% reopening of the economy, and PPP net income 1.80% - 2.05% 2.00% growth from ~20% of PPP loans forgiven during 1.98% 1.94% $100 the quarter 1.72% - 1.87% 1.50% $80 • Excluding PPP loans, core PPNR and core PPNR as $5.9 1 $3.0 $7 - $10 a percentage of average assets are expected to $60 decline in 4Q 2020 due primarily to the following: 1.00% • Lower seasonal mortgage revenue and $40 expected decline in refinancing volume $71.5 $60.5 $62.0 $55 - $60 0.50% • Lower incremental purchase loan accretion $20 • Modest increase in expenses due to franchise investments $- 0.00% 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1 1 1 PPNR - Core (ex PPP) PPP PPNR % Assets (ex PPP) PPNR % Assets 1 These are non-GAAP financial measure and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 11

Capital Position Strong Capital Levels and PPNR Run-Rate Result in Significant Capital Return Opportunity1 Bank Common Equity Tier-1 (CET1) Capital Ratio Scenario1 Five Quarters Ending 4Q 2021 16% • PPNR (after-tax) run-rate1 provides approximately 42 bps of CET1 per quarter. After estimated routine dividends 2.11% -0.29% -0.30% 14.76% 14% and stressed ACL scenario, the Bank has approximately 4Q21 $485 million or 476 bps of excess capital above our 10% 12% Proforma internal target 2 10% • ACL scenario reflects most conservative scenario under 10.00% the Federal Reserve’s guidance issued in September 2020 WSFS and applied to our internal CECL modeling; excess capital 8% Target levels and strong PPNR provide opportunity to return 13.24% 6% 6.50% capital to stockholders • Quarterly cash dividend of $0.12 per share of common 4% Well stock to be paid November 2020 Capitalized • Board approved the resumption of share repurchases in 2% 4Q 2020 under current authorization of approximately 15% of outstanding shares 0% 1 2 3Q 2020 PPNR (net of Tax) Dividends ACL Scenario 4Q 2021 1 Assumed PPNR Run-Rate reflects 4Q 2020 Outlook on page 11 extended at $55M per quarter in 2021. 2 ACL scenario based on most conservative scenario under the Federal Reserves “ Supervisory Scenarios for the Resubmission of Capital Plans in the Fourth Quarter of 2020” issued in September 2020 12

Appendix: Non-GAAP Financial Information 13

Non-GAAP Information This presentation contains financial measures determined by methods other than in accordance with accounting principles generally accepted in the United States (GAAP). The following are the non-GAAP measures used in this presentation: • Adjusted net income (non-GAAP) is a non-GAAP measure that adjusts net income determined in accordance with GAAP to exclude the impact of securities gains, unrealized gains and corporate development costs; • Core noninterest income, also called core fee income, is a non-GAAP measure that adjusts noninterest income as determined in accordance with GAAP to exclude the impact of securities gains and realized/unrealized gains on equity investments; • Core earnings (loss) per share is a non-GAAP measure that divides (i) adjusted net income (non-GAAP) by (ii) weighted average shares of common stock outstanding for the applicable period; • Core net revenue is a non-GAAP measure that is determined by adding core net interest income plus core fee income; • Core noninterest expense is a non-GAAP measure that adjusts noninterest expense as determined in accordance with GAAP to exclude corporate development and restructuring expenses, loss on early extinguishment of debt and contribution to WSFS Community Foundation; • Core efficiency ratio is a non-GAAP measure that is determined by dividing core noninterest expense by the sum of core interest income and core fee income; • Core return on average assets (ROA) is a non-GAAP measure that divides (i) adjusted net income (non-GAAP) by (ii) average assets for the applicable period; • Core operating leverage is a non-GAAP measure that subtracts (i) periodic change in core noninterest expense growth from (ii) periodic change in core net revenue growth; • Tangible common equity is a non-GAAP measure and is defined as total average stockholders’ equity less goodwill, other intangible assets. Return on average tangible common equity (ROTCE) is a non-GAAP measure and is defined as net income allocable to common stockholders divided by tangible common equity; and • Tangible common book value per share is a non-GAAP measure that is equal to common equity less goodwill and intangible assets, divided by total shares outstanding. • Pre-provision net revenue (PPNR) is a non-GAAP measure that adjusts net income determined in accordance with GAAP to exclude the impact of income tax provision (credit) and provision for credit losses. 14

Appendix: 3Q 2020 Reported Financial Results 3Q 2020 WSFS 3Q 2020 GAAP included the following items that were excluded from Core results: $ in millions (expect per share amounts) • WSFS realized $3.3 million (pre-tax), or approximately $0.05 per share (after-tax), in net gains on sales of securities compared to no amounts realized in 3Q 2019 EPS 1.01 • WSFS recorded net unrealized gains on our equity investments of $0.1 million (pre-tax) 1 PPNR $68.7 related to our investment in Visa Class B shares, compared with $22.1 million or PPNR %1 1.98% approximately $0.35 per share, in realized gains from the sale of 360,000 Visa Class B shares in 2Q 2020. Since our adoption of ASU 2016-01 in 1Q 2018, cumulative realized ROA 1.49% and unrealized gains on Visa Class B shares total $78.1 million on a total portfolio ROTCE1 16.61% investment of $17.7 million NIM 3.66% • WSFS recorded $0.4 million (pre-tax), or approximately $0.01 per share (after-tax), of corporate development expenses related to our acquisition of Beneficial Bancorp, Inc. 2 Fee Income/Total Revenue 30.3% (Beneficial), compared with $18.9 million (pre-tax), or approximately $0.27 per share Efficiency Ratio 57.6% (after-tax), of corporate development and restructuring expenses in 3Q 2019. The merger-to-date amounts are less than our original expectations ACL Coverage Ratio ex PPP 2.74% • WSFS recorded $2.3 million (pre-tax), or approximately $0.03 per share (after-tax), of loss Loan to Deposit Ratio 83% associated with prepayment fees from the termination of fixed rate FHLB term advances Common Equity Tier 1 Capital 13.24% as part of routine balance sheet and liquidity management. The termination of these fixed rate term advances is expected to be accretive to net interest income in future periods 1 These are non-GAAP financial measures and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 15 2 Tax-equivalent

Appendix: Non-GAAP Financial Information Three Months Ended (dollars in thousands, except per share data) September 30, 2020 June 30, 2020 March 31, 2020 September 30, 2019 Net interest income (GAAP) $ 113,048 $ 113,756 $ 116,150 $ 120,833 Core net interest income (non-GAAP) $ 113,048 $ 113,756 $ 116,150 $ 120,833 Noninterest income (GAAP) $ 49,171 $ 64,375 $ 40,847 $ 62,346 Less: Securities gains 3,322 1,908 693 — Less/(plus): Unrealized gains (losses) on equity investments, net 104 (11) 668 21,344 Less: Realized gain on sale of equity investment, net — 22,052 — — Core fee income (non-GAAP) $ 45,745 $ 40,426 $ 39,486 $ 41,002 Core net revenue (non-GAAP) $ 158,793 $ 154,182 $ 155,636 $ 161,835 Core net revenue (non-GAAP) (tax-equivalent) $ 159,068 $ 154,513 $ 155,905 $ 162,135 Noninterest expense (GAAP) $ 93,540 $ 93,435 $ 88,496 $ 109,561 Less: Corporate developmentexpense 428 2,801 1,341 10,517 Less: Restructuring expense — — — 8,360 Less: Loss on early extinguishment of debt 2,280 — — — Less: Contribution to WSFS Community Foundation — — 3,000 — Core noninterest expense (non-GAAP) $ 90,832 $ 90,634 $ 84,155 $ 90,684 Core efficiency ratio 57.1 % 58.7 % 54.0 % 55.9 % Core fee income as a percentage of total core net revenue (tax-equivalent) 28.76 % 26.16 % 25.33 % 25.29 % 1 Pre-tax adjustments include securities gains, unrealized gains on equity investments, corporate development and restructuring expense 16

Appendix: Non-GAAP Financial Information Three Months Ended (dollars in thousands, except per share data) September 30, 2020 June 30, 2020 September 30, 2019 GAAP net income (loss) attributable to WSFS $ 51,145 $ (7,111) $ 53,882 Plus/(less): Pre-tax adjustments1 (718) (21,148) (2,467) (Plus)/less: Tax impact of pre-tax adjustments 264 4,712 590 Adjusted net (loss) income (non-GAAP) attributable to WSFS $ 50,691 $ (23,547) $ 52,005 Net income (loss) (GAAP) $ 50,823 $ (7,811) $ 53,595 Plus/(less): Income tax provision (benefit) 15,140 (2,247) 15,902 Plus: Provision for credit losses 2,716 94,754 4,121 PPNR (Non-GAAP) 68,679 84,696 73,618 Plus/(less): Pre-tax adjustments1 (718) (21,148) (2,467) Core PPNR (Non-GAAP) $ 67,961 $ 63,548 $ 71,151 GAAP return on average assets (ROA) 1.49 % (0.22)% 1.72 % Plus/(less): Pre-tax adjustments1 (0.02) (0.65) (0.08) (Plus)/less: Tax impact of pre-tax adjustments 0.01 0.14 0.02 Core ROA (non-GAAP) 1.48 % (0.73)% 1.66 % Earnings (loss) per share (GAAP) $ 1.01 $ (0.14) $ 1.02 Plus/(less): Pre-tax adjustments1 (0.01) (0.42) (0.05) (Plus)/less: Tax impact of pre-tax adjustments — 0.10 0.01 Core earnings (loss) per share (non-GAAP) $ 1.00 $ (0.46) $ 0.98 1 Pre-tax adjustments include securities gains, unrealized gains on equity investments, corporate development and restructuring expense 17

Appendix: Non-GAAP Financial Information Three Months Ended (dollars in thousands, except per share data) September 30, 2020 June 30, 2020 September 30, 2019 Calculation of return on average tangible common equity: GAAP net income (loss) attributable to WSFS $ 51,145 $ (7,111) $ 53,882 Plus: Tax effected amortization of intangible assets 2,090 2,198 2,113 Net tangible income (loss) (non-GAAP) 53,235 (4,913) 55,995 Average stockholders' equity of WSFS 1,836,256 1,842,525 1,842,759 Less: average goodwill and intangible assets $ 561,505 $ 564,622 $ 574,253 Net average tangible common equity $ 1,274,751 $ 1,277,903 $ 1,268,506 Return on average tangible common equity (non-GAAP) 16.61 % (1.55)% 17.51 % Calculation of core return on average tangible common equity: Adjusted net income (loss) (non-GAAP) attributable to WSFS $ 50,691 $ (23,547) $ 52,005 Plus: Tax effected amortization of intangible assets 2,090 2,198 2,113 Core net tangible income (loss) (non-GAAP) $ 52,781 $ (21,349) $ 54,118 Net average tangible common equity $ 1,274,751 $ 1,277,903 $ 1,268,506 Core return on average tangible common equity (non-GAAP) 16.47 % (6.72)% 16.93 % 1 Pre-tax adjustments include securities gains, unrealized gains on equity investments, corporate development and restructuring expense 18

Appendix: Non-GAAP Financial Information $ in 000's 3Q'20 2Q'20 1Q'20 4Q'19 3Q'19 2Q'19 1Q'19 TTM 4Q'19 Calculation of core PPNR: Net income (loss) (GAAP) $ 50,823 $ (7,811) $ 10,567 $ 45,424 $ 53,595 $ 35,969 $ 12,930 $ 147,918 Plus/(less): Income tax provision (benefit) 15,140 (2,247) 1,288 14,199 15,902 10,091 6,260 46,452 Plus: Provision for credit losses 2,716 94,754 56,646 1,590 4,121 12,195 7,654 25,560 Plus/(less): Pre-tax adjustments1 (718) (21,148) 2,980 5,419 (2,467) 14,731 27,176 44,859 Core PPNR (Non-GAAP) $ 67,961 $ 63,548 $ 71,481 $ 66,632 $ 71,151 $ 72,986 $ 54,020 $ 264,789 Calculation of core PPNR to average assets, less PPP: PPP income 6,373 4,836 — — — — — — PPP expense (442) (1,814) — — — — — — PPP net income 5,931 3,022 — — — — — — Core PPNR (Non-GAAP), less PPP $ 62,030 $ 60,526 $ 71,481 $ 66,632 $ 71,151 $ 72,986 $ 54,020 $ 264,789 Total average assets $ 13,647,993 $ 13,020,715 $ 12,159,524 $ 12,226,162 $ 12,418,420 $ 12,122,966 $ 9,099,176 $ 11,466,681 Average assets (PPP) 952,640 727,377 — — — — — — Average assets, less PPP $ 12,695,353 $ 12,293,338 $ 12,159,524 $ 12,226,162 $ 12,418,420 $ 12,122,966 $ 9,099,176 $ 11,466,681 Core PPNR to average assets 1.98 % 1.96 % 2.36 % 2.16 % 2.27 % 2.41 % 2.41 % 2.31 % Core PPNR to average assets, less PPP 1.94 % 1.98 % 2.36 % 2.16 % 2.27 % 2.41 % 2.41 % 2.31 % 1 For detail on our core adjustments for 3Q'20, 2Q'20 and 3Q’19 refer to our Earnings Release filed at Exhibit 99.1 to our October 22, 2020 8-K filing. For detail on our core adjustments for 1Q’20, 4Q’19, and 1Q’19, refer to our Earnings Release filed at Exhibit 99.1 to our April 27,2020 8-K filing. For detail on our core adjustments for 2Q'19, refer to our Earnings Release filed at Exhibit 99.1 to our July 22,2019 8-K filing. 19

Stockholders or others seeking information regarding the Company may call or write: WSFS Financial Corporation Investor Relations WSFS Bank Center 500 Delaware Avenue Wilmington, DE 19801 302-504-9857 stockholderrelations@wsfsbank.com www.wsfsbank.com Rodger Levenson Dominic C. Canuso Chairman, President and CEO Chief Financial Officer 302-571-7296 302-571-6833 rlevenson@wsfsbank.com dcanuso@wsfsbank.com 20

XML

COVER PAGE	Oct. 22, 2020
Cover [Abstract]
Document Type	8-K
Document Period End Date	Oct. 22, 2020
Entity Registrant Name	WSFS Financial Corporation
Entity Incorporation, State or Country Code	DE
Entity File Number	001-35638
Entity Tax Identification Number	22-2866913
Entity Address, Address Line One	500 Delaware Ave
Entity Address, City or Town	Wilmington
Entity Address, State or Province	DE
Entity Address, Postal Zip Code	19801
City Area Code	302
Local Phone Number	792-6000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	WSFS
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false
Amendment Flag	false
Entity Central Index Key	0000828944