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

Date of Report (date of earliest event reported): October 20, 2023

REPUBLIC BANCORP, INC.

(Exact name of registrant as specified in its charter)

Kentucky	0-24649	61-0862051
(State or other jurisdiction	(Commission File Number)	(I.R.S. Employer Identification No.)
of incorporation)

601 West Market Street, Louisville, Kentucky	40202
(Address of principal executive offices)	(zip code)

Registrant’s telephone number, including area code: (502) 584-3600

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 (see General Instruction A.2. below):

 ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR    240.14d-2(b))

 ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Class A Common	RBCAA	The Nasdaq Stock Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

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

Item 2.02. Results of Operations and Financial Condition.

On October 20, 2023, Republic Bancorp, Inc. announced its results of operations for the quarter ended September 30, 2023. The public announcement was made by means of an earnings release, the text of which is set forth in Exhibit 99.1 hereto. A financial supplement to this earnings release is attached as Exhibit 99.2 hereto.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit Number	Description
99.1	Republic Bancorp, Inc. Earnings Release dated October 20, 2023.
99.2	Earnings Release Financial Supplement – Third Quarter 2023.
104	Cover Page Interactive Data File (formatted as Inline XBRL).

2

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.

		Republic Bancorp, Inc.
		(Registrant)
Date: October 20, 2023	By:	/s/ Kevin Sipes
		Executive Vice President, Chief Financial Officer & Chief Accounting Officer

3

EX-99.1

Exhibit 99.1

Republic Bancorp, Inc. Reports Third Quarter 2023 Net Income of $21.6 Million

LOUISVILLE, Ky.--(BUSINESS WIRE)--October 20, 2023--Republic Bancorp, Inc. (NASDAQ: RBCAA), headquartered in Louisville, Kentucky, is the holding company of Republic Bank & Trust Company (the “Bank”).

Republic Bancorp, Inc. (“Republic” or the “Company”) reported third quarter 2023 net income and Diluted Earnings per Class A Common Share (“Diluted EPS”) of $21.6 million and $1.10 per share, representing increases of 8% and 9% over the third quarter of 2022.

Logan Pichel, President and CEO of the Bank commented, “I am proud to report, once again, an increase in our Total Company net income for the third quarter of 2023 over the third quarter of 2022. Our commitment to our clients, our associates and our communities combined with our diversified business model, our strong Core Bank credit quality, and our disciplined expense focus allow us to continue to produce strong results. The banking industry continues to face challenges driven by rising interest rates and an inverted yield curve resulting in a notable shift from low-cost and no-cost deposits to significantly higher-costing interest-bearing deposits and borrowings. This has exerted pressure on net interest margins and deposit balances, but we are confident in our ability to effectively manage through these industry challenges.

Our Core Banking operations reported net income of $13.2 million, representing a $1.8 million, or 12%, decrease in net income from the third quarter of 2022 to the third quarter of 2023. We were able to increase Total Company net income, however, thanks to the solid performance of our Republic Processing Group (“RPG”), which increased its net income for the third quarter of 2023 by $3.4 million, or 69%, over the third quarter of 2022. It is challenging environments like this that illustrate the value of our diversified business model.

Our Core Bank credit quality remained strong as we ended another quarter with a favorably low delinquency ratio of 0.14% at our Core Bank. This strong credit quality allows us the ability to diversify into nontraditional businesses and provides our depositors the confidence to place their hard-earned money with Republic. Our focus on credit quality will certainly remain a guiding principle as we navigate these uncertain times.

We also continued to have disciplined expense control during an ongoing period of elevated inflation as our Total Company noninterest expense increased just $1.9 million, or 4%, over the third quarter of 2022. This increase, however, included $0.9 million of noninterest expense associated with the newly acquired CBank operations, which was not part of the Company’s operations during the third quarter of 2022. Our noninterest expenses for the quarter, excluding the acquired CBank operations, increased just $1.0 million, or 2%, over the third quarter of 2022. This modest increase in expenses is something we are proud of, and it will remain an on-going focus.

Our Core Bank loan portfolio had a 100 basis points increase in loan yield from the third quarter of 2022 to the third quarter of 2023. With funding costs continuing to rise across the banking industry, we will continue to work diligently to enhance our loan yields. We will also continue to seek opportunities to add more density to our five existing markets. Over the past year, we executed several key initiatives to strengthen our position in our markets. Most notably, we completed the CBank acquisition, which added density to our Northern Kentucky/Cincinnati market, while also adding a small-dollar equipment finance business, further expanding our loan portfolio diversification. Additionally, we opened two new banking centers during the first nine months of 2023, one in our Nashville market and one in our Northern Kentucky/Cincinnati market, with one new location and one relocation on the slate for the fourth quarter of 2023, both in our Nashville market.

Over the past year, we also forged a new partnership with Nest Egg for consumer financial planning, successfully implemented on-line business deposit account opening, and reintroduced our national online deposit gathering capabilities for consumers. Furthermore, we intensified our focus on commercial and industrial lending, recognizing the potential it holds for profitable growth. These steps underscore our commitment to adapt to the evolving needs of our clients and further diversify our business capabilities. While we are proud of our results, we look forward to our future with the belief that the best is yet to come for our clients, our associates, our communities and our Company,” concluded Pichel.

The following table highlights Republic’s key metrics for the three and nine months ended September 30, 2023 and 2022. Additional financial details, including segment-level data, are provided in the financial supplement to this release. The attached digital version of this release includes the financial supplement as an appendix. The financial supplement may also be found as Exhibit 99.2 of the Company’s Form 8-K filed with the SEC on October 20, 2023.

	Total Company Financial Performance Highlights
		Three Months Ended Sep. 30,										Nine Months Ended Sep. 30,
(dollars in thousands, except per share data)		2023			2022			$ Change		% Change		2023			2022			$ Change		% Change
Income Before Income Tax Expense		$	27,072		$	25,966		$	1,106	4	%	$	89,694		$	93,357		$	(3,663)	(4)	%
Net Income			21,571			19,896			1,675	8			70,715			72,593			(1,878)	(3)
Diluted EPS			1.10			1.01			0.09	9			3.60			3.65			(0.05)	(1)
Return on Average Assets ("ROA")			1.36	%		1.31	%		NA	4			1.51	%		1.55	%		NA	(3)
Return on Average Equity ("ROE")			9.61			9.32			NA	3			10.58			11.37			NA	(7)
NA – Not applicable

Results of Operations for the Third quarter of 2023 Compared to the Third quarter of 2022

Core Bank⁽¹⁾

Net income for the Core Bank was $13.2 million for the third quarter of 2023 compared to $15.0 million for the third quarter of 2022. As further outlined in the following discussion, a small increase in net interest income was more than offset by an increase in provision expense and a modest increase in noninterest expense, driving an overall decline in Core Bank net income from the third quarter of 2022 to the third quarter of 2023.

Net Interest Income – Core Bank net interest income was $50.0 million for the third quarter of 2023, a $275,000, or 1%, increase from the third quarter of 2022. The Core Bank’s net interest margin (“NIM”) decreased from 3.54% during the third quarter of 2022 to 3.43% during the third quarter of 2023.

The small increase in net interest income at the Core Bank from the third quarter of 2022 to the third quarter of 2023 is a continuing change in trend from early 2023, when the Core Bank’s net interest income was much higher on a period-over-same-period-last-year basis. The on-going drivers of this change in trend, which began to emerge during the first quarter of 2023, is a reduction in interest-earning cash balances combined with an on-going shift in funding mix away from noninterest-bearing deposit balances to higher-costing, interest-bearing deposits and Federal Home Loan Bank Advances. As a result of these factors, the Core Bank’s yield on its interest earning assets increased 137 basis points from the third quarter of 2022 to the third quarter of 2023, while the cost of its interest-bearing liabilities increased 240 basis points over the same periods.

Further detailing this change in net interest income and NIM between the third quarter of 2022 and the third quarter of 2023 were the following:

• Average outstanding Warehouse balances declined from $474 million during the third quarter of 2022 to $423 million for the third quarter of 2023. Committed Warehouse lines of credit declined from $1.2 billion to $1.0 billion from September 30, 2022 to September 30, 2023, while average usage rates for Warehouse lines were 42% and 38%, respectively, during the third quarters of 2023 and 2022.
• Traditional Bank average loans grew from $3.7 billion with a weighted-average yield of 4.22% during the third quarter of 2022 to $4.4 billion with a weighted average yield of 5.18% during the third quarter of 2023. Loan growth remained particularly strong within the Traditional Bank during the first nine months of 2023, with the acquisition of CBank adding approximately $217 million to the Traditional Bank’s average loans during the third quarter of 2023.
• Average investments were $772 million with a weighted-average yield of 2.75% during the third quarter of 2023 compared to $695 million with a weighted-average yield of 1.88% for the third quarter of 2022. As part of its overall interest rate risk management strategy, the Core Bank generally maintains an investment portfolio with a shorter overall duration as compared to its peers. This strategy is generally favorable to net interest income in a rising interest rate environment.
• The Core Bank’s average noninterest-bearing deposits decreased from $1.7 billion during the third quarter of 2022 to $1.4 billion for the third quarter of 2023. This decrease in average noninterest-bearing deposits was primarily funded through a decrease in interest-earning cash balances and an increase in FHLB borrowings.
• The Core Bank’s weighted-average cost of interest-bearing liabilities increased from 0.35% during the third quarter of 2022 to 2.75% for the third quarter of 2023. Further segmenting the Core Bank’s interest-bearing liabilities:
  • The weighted-average cost of total interest-bearing deposits increased from 0.26% during the third quarter of 2022 to 2.08% for the third quarter of 2023. In addition, average interest-bearing deposits grew $198 million from the third quarter of 2022 to the third quarter of 2023.
  • The average balance of FHLB borrowings increased from $20 million for the third quarter of 2022 to $442 million for the third quarter of 2023. In addition, the weighted-average cost of these borrowings increased from 1.91% to 4.85% for the same time periods. As noted above, this increase in the average balance of borrowings was generally driven by a period-to-period decline in average deposit balances and an increase in average loan balances.
• Average interest-earning cash was $177 million with a weighted-average yield of 5.41% during the third quarter of 2023 compared to $728 million with a weighted-average yield of 2.29% for the third quarter of 2022. The decline in average cash balances was driven generally by a decrease in average deposit balances in combination with an increase in average loans for the same periods.

The following tables present by reportable segment the overall changes in the Core Bank’s net interest income, net interest margin, as well as average and period-end loan balances:

	Net Interest Income							Net Interest Margin
(dollars in thousands)	Three Months Ended Sep. 30,							Three Months Ended Sep. 30,
Reportable Segment	2023		2022		Change			2023		2022		Change
Traditional Banking	$	47,409	$	46,562	$	847		2.72	%	3.63	%	(0.91)	%
Warehouse Lending		2,467		3,011		(544	)	2.68		2.54		0.14
Mortgage Banking*		84		112		(28	)	NM		NM		NM
Total Core Bank	$	49,960	$	49,685	$	275		2.73		3.54		(0.81)

	Average Loan Balances									Period-End Loan Balances
(dollars in thousands)	Three Months Ended Sep. 30,										Sep. 30,		Sep. 30,
Reportable Segment		2023		2022	$ Change			% Change			2023		2022	$ Change			% Change
Traditional Banking	$	4,442,702	$	3,717,639	$	725,063		20	%	$	4,496,743	$	3,745,028	$	751,715		20	%
Warehouse Lending		423,141		473,923		(50,782	)	(11)			457,033		442,238		14,795		3
Mortgage Banking*		3,883		6,259		(2,376	)	(38)			2,711		2,912		(201	)	(7)
Total Core Bank	$	4,869,726	$	4,197,821	$	671,905		16		$	4,956,487	$	4,190,178	$	766,309		18
*Includes loans held for sale
NM – Not meaningful

Provision for Expected Credit Loss Expense – The Core Bank’s Provision⁽²⁾ was a net charge of $1.4 million during the third quarter of 2023 compared to a net credit of $1.1 million for the third quarter of 2022.

The net charge during the third quarter of 2023 was primarily driven by the following:

• The Core Bank recorded a net charge to the Provision of $1.6 million during the third quarter of 2023 related to general formula reserves applied to $101 million of Traditional Bank loan growth for the quarter.
• The Core Bank recorded a net credit to the Provision of $203,000 resulting from general formula reserves applied to an $82 million decline in outstanding Warehouse balances for the quarter.

The net credit during the third quarter of 2022 was primarily driven by the following:

• The Core Bank recorded a net credit to the Provision of $1.7 million during the third quarter of 2022 substantially related to the favorable payoff of one large, classified loan.
• The Core Bank recorded a net credit to the Provision of $386,000 during the third quarter of 2022 resulting from general formula reserves applied to a decline in outstanding Warehouse balances of $155 million during the third quarter.
• Offsetting the above, the Core Bank recorded a net charge to the Provision of $974,000 during the third quarter of 2022 resulting primarily from general formula reserves applied to $81 million of growth in non-PPP Traditional Bank loans from June 30, 2022 to September 30, 2022.

As a percentage of total loans, the Core Bank’s Allowance⁽²⁾ decreased to 1.17% as of September 30, 2023. The table below provides a view of the Company’s percentage of Allowance-to-total-loans by reportable segment.

	As of Sep. 30, 2023						As of Sep. 30, 2022						Quarterly Change
(dollars in thousands)					Allowance						Allowance		Allowance
Reportable Segment	Gross Loans		Allowance		to Loans		Gross Loans		Allowance		to Loans		to Loans		% Change
Traditional Bank	$	4,496,743	$	56,931	1.27	%	$	3,747,940	$	49,231	1.31	%	(0.04)	%	(3)	%
Warehouse Lending		457,033		1,143	0.25			442,238		1,105	0.25		—		—
Total Core Bank		4,953,776		58,074	1.17			4,190,178		50,336	1.20		(0.03)		(3)
Tax Refund Solutions		354		1	0.28			295		—	—		0.28		—
Republic Credit Solutions		126,969		16,501	13.00			98,977		14,583	14.73		(1.73)		(12)
Total Republic Processing Group		127,323		16,502	12.96			99,272		14,583	14.69		(1.73)		(12)
Total Company	$	5,081,099	$	74,576	1.47	%	$	4,289,450	$	64,919	1.51	%	(0.04)	%	(3)	%

	ACLL Roll-Forward
	Three Months Ended September 30,
	2023												2022
(dollars in thousands)	Beginning					Charge-					Ending		Beginning					Charge-					Ending
Reportable Segment	Balance		Provision			offs			Recoveries		Balance		Balance		Provision			offs			Recoveries		Balance
Traditional Bank	$	55,567	$	1,567		$	(332	)	$	129	$	56,931	$	49,727	$	(683	)	$	(353	)	$	540	$	49,231
Warehouse Lending		1,346		(203	)		—			—		1,143		1,491		(386	)		—			—		1,105
Total Core Bank		56,913		1,364			(332	)		129		58,074		51,218		(1,069	)		(353	)		540		50,336
Tax Refund Solutions		—		(1,967	)		—			1,968		1		—		(1,296	)		—			1,296		—
Republic Credit Solutions		15,289		4,333			(3,340	)		219		16,501		13,231		4,008			(2,922	)		266		14,583
Total Republic Processing Group		15,289		2,366			(3,340	)		2,187		16,502		13,231		2,712			(2,922	)		1,562		14,583
Total Company	$	72,202	$	3,730		$	(3,672	)	$	2,316	$	74,576	$	64,449	$	1,643		$	(3,275	)	$	2,102	$	64,919

The table below presents the Core Bank’s credit quality metrics:

	Quarters Ended:						Years Ended:
	Sep. 30,		Jun. 30,		Mar. 31,		Dec. 31,		Dec. 31,		Dec. 31,
Core Banking Credit Quality Ratios	2023		2023		2023		2022		2021		2020
Nonperforming loans to total loans	0.37	%	0.34	%	0.34	%	0.37	%	0.47	%	0.50	%
Nonperforming assets to total loans (including OREO)	0.39		0.37		0.38		0.40		0.51		0.56
Delinquent loans* to total loans	0.14		0.12		0.12		0.14		0.17		0.21
Net charge-offs to average loans	0.02		0.01		0.01		0.00		0.01		0.03
(Quarterly rates annualized)
OREO = Other Real Estate Owned
*Loans 30-days-or-more past due at the time the second contractual payment is past due.

Noninterest Expense – As previously noted, the Core Bank’s noninterest expense was $41.8 million for the third quarter of 2023 compared to $40.7 million for the third quarter of 2022, an increase of $1.1 million, or 3% for the quarter. Noninterest expenses for the third quarter of 2023 included $913,000 of expense associated with the former CBank operations, which was acquired in March 2023. Noninterest expense for the Core Bank’s legacy operations, increased a modest $207,000, or 1%, from the third quarter of 2022 to the third quarter of 2023.

Republic Processing Group⁽³⁾

The Republic Processing Group (“RPG”) reported net income of $8.4 million for the third quarter of 2023 compared to $5.0 million for the same period in 2022. Net interest income within the TRS segment was up $2.8 million from the third quarter of 2022 to the third quarter of 2023. The prepaid card product component of TRS drove a $3 million increase to net interest income for the segment, with an increase in the product’s applied yield to its noninterest-bearing funds driving the growth.

Republic Bancorp, Inc. (the “Company”) is the parent company of Republic Bank & Trust Company (the “Bank”). The Bank currently has 47 banking centers in communities in five metropolitan statistical areas (“MSAs”) across five states: 22 banking centers located in the Louisville MSA in Louisville, Prospect, Shelbyville, and Shepherdsville in Kentucky, and Floyds Knobs, Jeffersonville, and New Albany in Indiana; six centers in the Lexington MSA in Georgetown and Lexington in Kentucky; eight banking centers in the Cincinnati MSA in Kenwood, Norwood and West Chester in Ohio, and Bellevue, Covington, Crestview Hills, and Florence in Kentucky; seven centers in the Tampa MSA in Largo, New Port Richey, St. Petersburg, Seminole, Tampa, and Temple Terrace in Florida; and four banking centers in the Nashville MSA in Cool Springs, Green Hills, Murfreesboro and Spring Hill, Tennessee. In addition, the Bank has one loan production office in St. Louis, Missouri. The Bank offers internet banking at www.republicbank.com. As of September 30, 2023, the Company had approximately $6.4 billion in assets and is headquartered in Louisville, Kentucky. The Company’s Class A Common Stock is listed under the symbol “RBCAA” on the NASDAQ Global Select Market.

Republic Bank. It’s just easier here. ^®

Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements in the preceding paragraphs are based on our current expectations and assumptions regarding our business, the future impact to our balance sheet and income statement resulting from changes in interest rates, the yield curve, the ability to develop products and strategies in order to meet the Company’s long-term strategic goals, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by forward-looking statements. We caution you therefore against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Actual results could differ materially based upon factors disclosed from time to time in the Company’s filings with the U.S. Securities and Exchange Commission, including those factors set forth as “Risk Factors” in the Company’s Annual Report on Form 10-K for the period ended December 31, 2022. The Company undertakes no obligation to update any forward-looking statements, except as required by applicable law.

Footnotes:

(1)	“Core Bank” or “Core Banking” operations consist of the Traditional Banking, Warehouse Lending, and Mortgage Banking segments.
(2)	Provision – Provision for Expected Credit Loss Expense
	Allowance – Allowance for Credit Losses on Loans
(3)	Republic Processing Group operations consist of the TRS and Republic Credit Solutions (“RCS”) segments.
NM – Not meaningful
NA – Not applicable

Contacts

Republic Bancorp, Inc.
Kevin Sipes
Executive Vice President & Chief Financial Officer
(502) 560-8628

EX-99.2

Exhibit 99.2

EARNINGS RELEASE FINANCIAL SUPPLEMENT

THIRD QUARTER 2023

TABLE OF CONTENTS

BALANCE SHEET DATA	S-2
AVERAGE BALANCE SHEET DATA	S-3
TOTAL COMPANY AVERAGE BALANCE SHEETS AND INTEREST RATES	S-4
INCOME STATEMENT DATA	S-5
SELECTED DATA AND RATIOS	S-6
LOAN COMPOSITION	S-7
ALLOWANCE FOR CREDIT LOSSES ON LOANS	S-7
CREDIT QUALITY DATA AND RATIOS	S-8
SEGMENT DATA	S-9
FOOTNOTES	S-12

S-1

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Balance Sheet Data
	As of										$ Change		$ Change
	Sep. 30, 2023		Jun. 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022		From Dec. 31,2022		From Sep. 30, 2022
Assets:
Cash and cash equivalents	$	219,653	$	241,967	$	249,289	$	313,689	$	754,393	$	(94,036)	$	(534,740)
Investment securities, net of allowance for credit losses		703,007		706,238		725,163		707,862		662,750		(4,855)		40,257
Loans held for sale		24,683		25,582		18,466		19,177		24,387		5,506		296
Loans		5,081,099		5,053,142		4,774,234		4,515,802		4,289,450		565,297		791,649
Allowance for credit losses		(74,576)		(72,202)		(96,121)		(70,413)		(64,919)		(4,163)		(9,657)
Loans, net		5,006,523		4,980,940		4,678,113		4,445,389		4,224,531		561,134		781,992
Federal Home Loan Bank stock, at cost		31,420		29,395		25,939		9,146		8,568		22,274		22,852
Premises and equipment, net		33,926		33,840		33,672		31,978		32,813		1,948		1,113
Right-of-use assets		35,907		34,939		36,245		37,017		41,303		(1,110)		(5,396)
Goodwill		40,516		40,516		41,618		16,300		16,300		24,216		24,216
Other real estate owned ("OREO")		1,423		1,478		1,529		1,581		1,634		(158)		(211)
Bank owned life insurance ("BOLI")		103,211		102,521		102,322		101,687		101,013		1,524		2,198
Low-income housing tax credit investments		76,047		77,426		73,901		75,324		63,319		723		12,728
Other assets and accrued interest receivable		110,159		94,937		87,834		76,393		68,652		33,766		41,507
Total assets	$	6,386,475	$	6,369,779	$	6,074,091	$	5,835,543	$	5,999,663	$	550,932	$	386,812
Liabilities and Stockholders' Equity:
Deposits:
Noninterest-bearing	$	1,702,979	$	1,854,907	$	2,013,957	$	1,908,768	$	2,013,337	$	(205,789)	$	(310,358)
Interest-bearing		3,090,603		2,874,374		2,785,711		2,629,077		2,786,385		461,526		304,218
Total deposits		4,793,582		4,729,281		4,799,668		4,537,845		4,799,722		255,737		(6,140)
Securities sold under agreements to
repurchase ("SSUAR") and other short-term borrowings		80,797		92,093		134,412		216,956		209,376		(136,159)		(128,579)
Operating lease liabilities		36,726		35,721		37,031		37,809		42,109		(1,083)		(5,383)
Federal Home Loan Bank advances		465,000		520,000		108,000		95,000		20,000		370,000		445,000
Low-income housing tax credit obligations		58,858		55,998		42,437		43,609		32,224		15,249		26,634
Other liabilities and accrued interest payable		58,112		49,715		70,341		47,711		53,169		10,401		4,943
Total liabilities		5,493,075		5,482,808		5,191,889		4,978,930		5,156,600		514,145		336,475
Stockholders' equity		893,400		886,971		882,202		856,613		843,063		36,787		50,337
Total liabilities and stockholders' equity	$	6,386,475	$	6,369,779	$	6,074,091	$	5,835,543	$	5,999,663	$	550,932	$	386,812

S-2

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Average Balance Sheet Data
	Three Months Ended										$ Change  (8)		Nine Months Ended				$ Change  (8)
	Sep. 30, 2023		Jun. 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022		Q3 to Q3		Sep. 30, 2023		Sep. 30, 2022		9M to 9M
Assets:
Interest-earning assets:
Federal funds sold and other interest-earning deposits	$	177,003	$	114,368	$	241,211	$	553,695	$	727,626	$	(550,623)	$	177,292	$	800,643	$	(623,351)
Investment securities, including FHLB stock		771,453		774,829		773,172		693,825		694,781		76,672		773,145		664,455		108,690
Loans, including loans held for sale		5,006,081		4,904,167		4,665,543		4,353,256		4,306,169		699,912		4,859,845		4,333,439		526,406
Total interest-earning assets		5,954,537		5,793,364		5,679,926		5,600,776		5,728,576		225,961		5,810,282		5,798,537		11,745
Allowance for credit losses		(73,438)		(96,720)		(83,195)		(65,290)		(65,262)		(8,176)		(84,415)		(68,847)		(15,568)
Noninterest-earning assets:
Noninterest-earning cash and cash equivalents		96,303		113,865		295,905		115,416		108,069		(11,766)		167,960		210,637		(42,677)
Premises and equipment, net		34,013		33,967		32,232		32,518		33,307		706		33,411		34,355		(944)
Bank owned life insurance		102,825		102,599		102,004		101,361		100,740		2,085		102,479		100,146		2,333
Other assets		220,387		210,350		186,169		153,721		171,392		48,995		205,758		171,819		33,939
Total assets	$	6,334,627	$	6,157,425	$	6,213,041	$	5,938,502	$	6,076,822	$	257,805	$	6,235,475	$	6,246,647	$	(11,172)
Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Interest-bearing deposits	$	2,976,852	$	2,828,733	$	2,663,099	$	2,704,764	$	2,777,124	$	199,728	$	2,824,043	$	2,794,669	$	29,374
SSUARs and other short-term borrowings		90,063		117,852		202,910		247,123		220,149		(130,086)		136,528		271,276		(134,748)
Federal Home Loan Bank advances		441,543		256,000		245,344		21,630		20,000		421,543		315,015		21,099		293,916
Total interest-bearing liabilities		3,508,458		3,202,585		3,111,353		2,973,517		3,017,273		491,185		3,275,586		3,087,044		188,542
Noninterest-bearing liabilities and Stockholders’ equity:
Noninterest-bearing deposits		1,794,874		1,927,486		2,089,162		1,994,233		2,096,206		(301,332)		1,936,096		2,200,953		(264,857)
Other liabilities		133,029		132,687		133,321		114,196		108,964		24,065		133,011		107,214		25,797
Stockholders' equity		898,266		894,667		879,205		856,556		854,379		43,887		890,782		851,436		39,346
Total liabilities and stockholders’ equity	$	6,334,627	$	6,157,425	$	6,213,041	$	5,938,502	$	6,076,822	$	257,805	$	6,235,475	$	6,246,647	$	(11,172)

S-3

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Total Company Average Balance Sheet and Interest Rates

	Three Months Ended September 30, 2023						Three Months Ended September 30, 2022
	Average				Average		Average				Average		$ Change (8)
(dollars in thousands)	Balance		Interest		Rate		Balance		Interest		Rate		Q3 to Q3
ASSETS
Interest-earning assets:
Federal funds sold and other interest-earning deposits	$	177,003	$	2,395	5.41	%	$	727,626	$	4,175	2.30	%	$	(550,623)
Investment securities, including FHLB stock (1)		771,453		5,298	2.75			694,781		3,273	1.88			76,672
TRS Refund Advance loans (2)		(357)		31	(34.73)			(465)		80	(68.82)			108
RCS LOC products (2)		37,319		9,762	104.63			30,919		7,196	93.09			6,400
Other RPG loans (3) (6)		99,393		2,048	8.24			77,894		1,022	5.25			21,499
Outstanding Warehouse lines of credit (4) (6)		423,141		8,154	7.71			473,923		5,491	4.63			(50,782)
All other Core Bank loans (5) (6)		4,446,585		58,180	5.23			3,723,898		39,379	4.23			722,687
Total interest-earning assets		5,954,537		85,868	5.77			5,728,576		60,616	4.23			225,961
Allowance for credit losses		(73,438)						(65,262)						(8,176)
Noninterest-earning assets:
Noninterest-earning cash and cash equivalents		96,303						108,069						(11,766)
Premises and equipment, net		34,013						33,307						706
Bank owned life insurance		102,825						100,740						2,085
Other assets (1)		220,387						170,693						49,694
Total assets	$	6,334,627					$	6,076,123					$	258,504
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing liabilities:
Transaction accounts	$	1,455,193	$	3,552	0.98	%	$	1,703,020	$	497	0.12	%	$	(247,827)
Money market accounts		905,089		6,391	2.82			787,523		601	0.31			117,566
Time deposits		328,071		2,706	3.30			238,149		703	1.18			89,922
Reciprocal money market and time deposits		281,277		2,748	3.91			48,432		31	0.26			232,845
Brokered deposits		7,222		100	5.54			—		—	—			7,222
Total interest-bearing deposits		2,976,852		15,497	2.08			2,777,124		1,832	0.26			199,728
SSUARs and other short-term borrowings		90,063		197	0.87			220,149		94	0.17			(130,086)
Federal Home Loan Bank advances and other long-term borrowings		441,543		5,349	4.85			20,000		95	1.90			421,543
Total interest-bearing liabilities		3,508,458		21,043	2.40			3,017,273		2,021	0.27			491,185
Noninterest-bearing liabilities and Stockholders’ equity:
Noninterest-bearing deposits		1,794,874						2,096,206						(301,332)
Other liabilities		133,029						108,966						24,063
Stockholders’ equity		898,266						853,679						44,587
Total liabilities and stockholders’ equity	$	6,334,627					$	6,076,124					$
Net interest income			$	64,825					$	58,595				—
Net interest spread					3.37	%					3.96	%		(0.59)	%
Net interest margin					4.35	%					4.09	%		0.26	%

(1) For the purpose of this calculation, the fair market value adjustment on debt securities is included as a component of other assets.

(2) Interest income for Refund Advances and RCS line-of-credit products is composed entirely of loan fees.

(3) Interest income includes loan fees of $0 and $0 for the three months ended September 30, 2023 and 2022.

(4) Interest income includes loan fees of $254,000 and $402,000 for the three months ended September 30, 2023 and 2022.

(5) Interest income includes loan fees of $1.7 million and $911,000 for the three months ended September 30, 2023 and 2022.

(6) Average balances for loans include the principal balance of nonaccrual loans and loans held for sale, and are inclusive of all loan premiums, discounts, fees and costs.

S-4

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Income Statement Data
	Three Months Ended										$ Change (8)		Nine Months Ended				$ Change (8)
	Sep. 30, 2023		Jun. 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022		Q3 to Q3		Sep. 30, 2023		Sep. 30, 2022		9M to 9M
Total interest income (1)	$	85,868	$	79,054	$	100,356	$	66,555	$	60,617	$	25,251	$	265,278	$	177,629	$	87,649
Total interest expense		21,043		14,525		7,714		3,442		2,020		19,023		43,282		4,051		39,231
Net interest income		64,825		64,529		92,642		63,113		58,597		6,228		221,996		173,578		48,418
Provision (2)		3,730		6,139		26,766		7,844		1,573		2,157		36,635		14,504		22,131
Noninterest income:
Service charges on deposit accounts		3,559		3,527		3,299		3,428		3,409		150		10,385		9,998		387
Net refund transfer fees		242		4,479		10,807		486		593		(351)		15,528		16,594		(1,066)
Mortgage banking income (3)		852		907		800		622		1,154		(302)		2,559		5,574		(3,015)
Interchange fee income		3,282		3,419		3,051		3,272		3,322		(40)		9,752		9,853		(101)
Program fees (3)		4,041		3,739		3,241		3,501		4,932		(891)		11,021		12,671		(1,650)
Increase in cash surrender value of BOLI		690		689		635		674		617		73		2,014		1,852		162
Net losses on OREO		(53)		(52)		(53)		(53)		(53)		—		(158)		(158)		—
Contract termination fee		—		—		—		—		—		—		—		5,000		(5,000)
Legal settlement		—		—		—		—		—		—		—		13,000		(13,000)
Other		1,406		2,943		901		1,194		1,134		272		5,250		2,302		2,948
Total noninterest income		14,019		19,651		22,681		13,124		15,108		(1,089)		56,351		76,686		(20,335)
Noninterest expense:
Salaries and employee benefits		28,747		30,764		29,961		25,763		27,269		1,478		89,472		85,477		3,995
Technology, equipment, and communication		7,311		6,920		7,228		7,276		7,235		76		21,459		21,678		(219)
Occupancy		3,503		3,591		3,406		3,139		3,211		292		10,500		9,875		625
Marketing and development		2,055		2,513		1,574		1,856		1,951		104		6,142		5,019		1,123
FDIC insurance expense		677		724		637		427		423		254		2,038		1,241		797
Interchange related expense		1,580		1,350		1,499		1,171		1,221		359		4,429		3,602		827
Legal and professional fees		803		829		1,061		951		904		(101)		2,693		3,073		(380)
Merger expense		(132)		127		2,073		—		—		(132)		2,068		—		2,068
Other (2)		3,498		4,715		5,004		4,322		3,952		(454)		13,217		12,438		779
Total noninterest expense		48,042		51,533		52,443		44,905		46,166		1,876		152,018		142,403		9,615
Income before income tax expense		27,072		26,508		36,114		23,488		25,966		1,106		89,694		93,357		(3,663)
Income tax expense		5,501		5,456		8,022		4,975		6,070		(569)		18,979		20,764		(1,785)
Net income	$	21,571	$	21,052	$	28,092	$	18,513	$	19,896	$	1,675	$	70,715	$	72,593	$	(1,878)

S-5

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Selected Data and Ratios
		As of and for the Three Months Ended														Change (8)			As of and for the Nine Months Ended						Change (8)
		Sep. 30, 2023		Jun. 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022			From Dec. 31,2022 or Q3 to Q3			Sep. 30, 2023			Sep. 30, 2022			From Jun. 30,2022 or 6M to 6M
Per Share Data:
Basic weighted average shares outstanding		19,706			19,884			19,935			19,929			19,919			(213)			19,855			20,066			(211)
Diluted weighted average shares outstanding		19,774			19,906			19,990			19,981			19,981			(207)			19,910			20,134			(224)
Period-end shares outstanding:
Class A Common Stock		17,300			17,449			17,598			17,587			17,587			(287)			17,449			17,587			(138)
Class B Common Stock		2,154			2,157			2,160			2,160			2,160			(6)			2,157			2,160			(3)
Book value per share (4)	$	45.92		$	45.24		$	44.65		$	43.38		$	42.69		$	3.23		$	45.92		$	42.69		$	3.23
Tangible book value per share (4)		43.31			42.63			41.98			42.11			41.40			1.91			43.31			41.40			1.91
Earnings per share ("EPS"):
Basic EPS - Class A Common Stock	$	1.11		$	1.07		$	1.42		$	0.94		$	1.01		$	0.10		$	3.61		$	3.66		$	(0.05)
Basic EPS - Class B Common Stock		1.01			0.98			1.30			0.86			0.92			0.09			3.28			3.33			(0.05)
Diluted EPS - Class A Common Stock		1.10			1.07			1.42			0.94			1.01			0.09			3.60			3.65			(0.05)
Diluted EPS - Class B Common Stock		1.01			0.98			1.29			0.85			0.92			0.09			3.27			3.32			(0.05)
Cash dividends declared per Common share:
Class A Common Stock	$	0.374		$	0.374		$	0.374		$	0.341		$	0.341		$	0.033		$	1.122		$	1.023		$	0.099
Class B Common Stock		0.340			0.340			0.340			0.310			0.310			0.030			1.020			0.930			0.090
Performance Ratios:
Return on average assets		1.36	%		1.37	%		1.81	%		1.25	%		1.28	%		0.08	%		1.51	%		1.55	%		(0.04)	%
Return on average equity		9.61			9.41			12.78			8.65			9.15			0.46			10.58			11.37			(0.79)
Efficiency ratio (5)		61			62			45			59			63			(2)			55			61			(6)
Yield on average interest-earning assets (1)		5.77			5.46			7.07			4.75			4.19			1.58			6.09			4.08			2.01
Cost of average interest-bearing liabilities		2.40			1.81			0.99			0.46			0.27			2.13			1.76			0.18			1.58
Cost of average deposits (6)		1.30			0.94			0.41			0.26			0.15			1.15			0.88			0.10			0.78
Net interest spread (1)		3.37			3.65			6.08			4.29			3.92			(0.55)			4.33			3.90			0.43
Net interest margin - Total Company (1)		4.35			4.46			6.52			4.51			4.05			0.30			5.09			3.99			1.10
Net interest margin - Core Bank		3.43			3.65			3.98			3.82			3.54			(0.10)			3.68			3.16			0.52
Other Information:
End of period FTEs (7) - Total Company		1,033			1,043			1,031			998			1,009			24			1,033			1,009			24
End of period FTEs - Core Bank		976			985			972			932			916			60			976			916			60
Number of full-service banking centers		46			45			44			42			42			4			46			42			4

S-6

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Loan Composition and Allowance for Credit Losses on Loans
	As of															Change			Change
	Sep. 30, 2023			Jun. 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022			From Dec. 31,2022			From Sep. 30, 2022
Loan Composition
Traditional Banking:
Residential real estate:
Owner occupied	$	1,128,745		$	1,086,751		$	972,214		$	911,427		$	863,899		$	217,318		$	264,846
Nonowner occupied		344,682			350,390			328,529			321,358			321,037			23,324			23,645
Commercial real estate		1,745,187			1,727,092			1,682,573			1,599,510			1,571,593			145,677			173,594
Construction & land development		189,756			179,479			167,829			153,875			147,418			35,881			42,338
Commercial & industrial		473,790			478,759			478,101			413,387			412,826			60,403			60,964
Lease financing receivables		85,242			79,804			73,270			10,505			11,333			74,737			73,909
Aircraft		226,947			208,512			184,344			179,785			166,313			47,162			60,634
Home equity		275,750			255,755			250,050			241,739			229,038			34,011			46,712
Consumer:
Credit cards		16,950			17,134			16,775			15,473			14,897			1,477			2,053
Overdrafts		640			706			775			726			723			(86)			(83)
Automobile loans		3,380			4,177			5,267			6,731			7,890			(3,351)			(4,510)
Other consumer		5,674			6,109			5,450			626			973			5,048			4,701
Total Traditional Banking		4,496,743			4,394,668			4,165,177			3,855,142			3,747,940			641,601			748,803
Warehouse lines of credit		457,033			539,560			457,365			403,560			442,238			53,473			14,795
Total Core Banking		4,953,776			4,934,228			4,622,542			4,258,702			4,190,178			695,074			763,598
Republic Processing Group:
Tax Refund Solutions:
Refund Advances		—			—			31,665			97,505			—			(97,505)			—
Other TRS commercial & industrial loans		354			193			8,327			51,767			295			(51,413)			59
Republic Credit Solutions		126,969			118,721			111,700			107,828			98,977			19,141			27,992
Total Republic Processing Group		127,323			118,914			151,692			257,100			99,272			(129,777)			28,051
Total loans - Total Company	$	5,081,099		$	5,053,142		$	4,774,234		$	4,515,802		$	4,289,450		$	565,297		$	791,649
Allowance for Credit Losses on Loans  ("Allowance")
Traditional Banking	$	56,931		$	55,567		$	55,216		$	50,709		$	49,231		$	6,222		$	7,700
Warehouse Lending		1,143			1,346			1,144			1,009			1,105			134			38
Total Core Banking		58,074			56,913			56,360			51,718			50,336			6,356			7,738
Tax Refund Solutions		1			—			25,981			3,888			—			(3,887)			1
Republic Credit Solutions		16,501			15,289			13,780			14,807			14,583			1,694			1,918
Total Republic Processing Group		16,502			15,289			39,761			18,695			14,583			(2,193)			1,919
Total Allowance - Total Company	$	74,576		$	72,202		$	96,121		$	70,413		$	64,919		$	4,163		$	9,657
Allowance to Total Loans
Traditional Banking		1.27	%		1.26	%		1.33	%		1.32	%		1.31	%		(0.05)	%		(0.04)	%
Warehouse Lending		0.25			0.25			0.25			0.25			0.25			—			—
Total Core Banking		1.17			1.15			1.22			1.21			1.20			(0.04)			(0.03)
Tax Refund Solutions		0.28			—			64.97			2.60			—			(2.32)			0.28
Republic Credit Solutions		13.00			12.88			12.34			13.73			14.73			(0.73)			(1.73)
Total Republic Processing Group		12.96			12.86			26.21			7.27			14.69			5.69			(1.73)
Total Company		1.47			1.43			2.01			1.56			1.51			(0.09)			(0.04)

S-7

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

(all amounts other than per share amounts, number of employees, and number of banking centers are expressed in thousands unless otherwise noted)

Credit Quality Data and Ratios
	As of and for the Three Months Ended															Change (8)			As of and for the Nine Months Ended						Change (8)
	Sep. 30, 2023			Jun. 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022			From Dec. 31, 2022 or Q4 to Q3			Sep. 30, 2023			Sep. 30, 2022			From Sep. 30,2022 or 9M to 9M
Credit Quality Asset Balances and Net Charge-off ("NCO") Data:
Nonperforming Assets - Total Company:
Loans on nonaccrual status	$	18,127		$	16,957		$	15,833		$	15,562		$	16,322		$	2,565		$	18,127		$	16,322		$	1,805
Loans past due 90-days-or-more and still on accrual		1,037			547			777			756			37			281			1,037			37			1,000
Total nonperforming loans		19,164			17,504			16,610			16,318			16,359			2,846			19,164			16,359			2,805
OREO		1,423			1,478			1,529			1,581			1,634			(158)			1,423			1,634			(211)
Total nonperforming assets	$	20,587		$	18,982		$	18,139		$	17,899		$	17,993		$	2,688		$	20,587		$	17,993		$	2,594
Nonperforming Assets - Core Bank:
Loans on nonaccrual status	$	18,127		$	16,957		$	15,833		$	15,562		$	16,322		$	2,565		$	18,127		$	16,322		$	1,805
Loans past due 90-days-or-more and still on accrual		—			—			—			—			—			—			—			—			—
Total nonperforming loans		18,127			16,957			15,833			15,562			16,322			2,565			18,127			16,322			1,805
OREO		1,423			1,478			1,529			1,581			1,634			(158)			1,423			1,634			(211)
Total nonperforming assets	$	19,550		$	18,435		$	17,362		$	17,143		$	17,956		$	2,407		$	19,550		$	17,956		$	1,594
Delinquent Loans:
Delinquent loans - Core Bank	$	6,806		$	5,875		$	5,537		$	6,060		$	4,368		$	746		$	6,806		$	4,368		$	2,438
RPG		12,328			10,043			30,587			9,200			7,522			3,128			12,328			7,522			4,806
Total delinquent loans - Total Company	$	19,134		$	15,918		$	36,124		$	15,260		$	11,890		$	3,874		$	19,134		$	11,890		$	7,244
NCOs (Recoveries) by Segment:
Traditional Bank	$	203		$	125		$	77		$	238		$	(187)		$	(35)		$	405		$	(74)		$	479
Warehouse Lending loans		—			—			—			—			—			—			—			—			—
Core Bank loans		203			125			77			238			(187)			(35)			405			(74)			479
Tax Refund Solutions		(1,968)			25,762			(285)			(909)			(1,296)			(1,059)			23,509			7,072			16,437
Republic Credit Solutions		3,121			2,787			2,866			3,021			2,656			100			8,774			7,201			1,573
RPG		1,153			28,549			2,581			2,112			1,360			(959)			32,283			14,273			18,010
Total NCOs (recoveries) - Total Company	$	1,356		$	28,674		$	2,658		$	2,350		$	1,173		$	(994)		$	32,688		$	14,199		$	18,489
Credit Quality Ratios - Total Company:
Nonperforming loans to total loans		0.38	%		0.35	%		0.35	%		0.36	%		0.38	%		0.02	%		0.38	%		0.38	%		-	%
Nonperforming assets to total loans (including OREO)		0.41			0.38			0.38			0.40			0.42			0.01			0.41			0.42			(0.01)
Nonperforming assets to total assets		0.32			0.30			0.30			0.31			0.30			0.01			0.32			0.30			0.02
Allowance for credit losses to total loans		1.47			1.43			2.01			1.56			1.51			(0.09)			1.47			1.51			(0.04)
Allowance for credit losses to nonperforming loans		389			412			579			432			397			(43)			389			397			(8)
Delinquent loans to total loans (9)		0.38			0.32			0.76			0.34			0.28			0.04			0.38			0.28			0.10
NCOs (recoveries) to average loans (annualized)		0.11			2.34			0.23			0.22			0.11			(0.11)			0.90			0.44			0.46
Credit Quality Ratios - Core Bank:
Nonperforming loans to total loans		0.37	%		0.34	%		0.34	%		0.37	%		0.39	%		-	%		0.37	%		0.39	%		(0.02)	%
Nonperforming assets to total loans (including OREO)		0.39			0.37			0.38			0.40			0.43			(0.01)			0.39			0.43			(0.04)
Nonperforming assets to total assets		0.33			0.32			0.32			0.32			0.33			0.01			0.33			0.33			-
Allowance for credit losses to total loans		1.17			1.15			1.22			1.21			1.20			(0.04)			1.17			1.20			(0.03)
Allowance for credit losses to nonperforming loans		320			336			356			332			308			(12)			320			308			12
Delinquent loans to total loans		0.14			0.12			0.12			0.14			0.10			-			0.14			0.10			0.04
Annualized NCOs (recoveries) to average loans		0.02			0.01			0.01			0.02			(0.02)			—			0.01			(0.00)			0.01
TRS Refund Advances ("RAs")
RAs originated	$	—		$	—		$	737,047		$	97,505		$	—		$	(97,505)		$	737,047		$	311,207		$	425,840
Net (credit) charge to the Provision for RAs		(1,939)			(161)			21,715			2,888			(1,296)			(4,827)			19,615			7,583			12,032
RAs NCOs (recoveries)		(1,939)			25,636			(285)			(909)			(1,296)		$	(1,030)			23,412			7,583			15,829

S-8

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

Segment Data:

Reportable segments are determined by the type of products and services offered and the level of information provided to the chief operating decision maker, who uses such information to review performance of various components of the business (such as banking centers and business units), which are then aggregated if operating performance, products/services, and clients are similar.

As of September 30, 2023, the Company was divided into five reportable segments: Traditional Banking, Warehouse Lending (“Warehouse”), Mortgage Banking, Tax Refund Solutions (“TRS”), and Republic Credit Solutions (“RCS”). Management considers the first three segments to collectively constitute “Core Bank” or “Core Banking” operations, while the last two segments collectively constitute Republic Processing Group (“RPG”) operations.

The nature of segment operations and the primary drivers of net revenues by reportable segment are provided below:

Reportable Segment:	Nature of Operations:	Primary Drivers of Net Revenue:
Core Banking:
Traditional Banking	Provides traditional banking products to clients in its market footprint primarily via its network of banking centers and to clients outside of its market footprint primarily via its digital delivery channels.	Loans, investments, and deposits
Warehouse Lending	Provides short-term, revolving credit facilities to mortgage bankers across the United States.	Mortgage warehouse lines of credit
Mortgage Banking	Primarily originates, sells, and services long-term, single-family, first-lien residential real estate loans primarily to clients in the Bank's market footprint.	Loan sales and servicing
Republic Processing Group:
Tax Refund Solutions	TRS offers tax-related credit products and facilitates the receipt and payment of federal and state tax refunds through Refund Transfer products. The RPS division of TRS offers general-purpose reloadable cards. TRS and RPS products are primarily provided to clients outside of the Bank’s market footprint.	Loans, refund transfers, and prepaid cards.
Republic Credit Solutions	Offers consumer credit products. RCS products are primarily provided to clients outside of the Bank’s market footprint, with a substantial portion of RCS clients considered subprime or near-prime borrowers.	Unsecured, consumer loans

The accounting policies used for Republic’s reportable segments are the same as those described in the summary of significant accounting policies in the Company’s 2022 Annual Report on Form 10-K. Republic evaluates segment performance using operating income. The Company allocates goodwill to the Traditional Banking segment. Republic generally allocates income taxes based on income before income tax expense unless reasonable and specific segment allocations can be made. The Company makes transactions among reportable segments at carrying value.

S-9

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

Segment information for the quarters and years ended September 30, 2023 and 2022 follows:

		Three Months Ended September 30, 2023
		Core Banking											Republic Processing Group
											Total			Tax			Republic
		Traditional			Warehouse			Mortgage			Core			Refund			Credit			Total			Total
(dollars in thousands)		Banking			Lending			Banking			Banking			Solutions			Solutions			RPG			Company
Net interest income	$	47,409		$	2,467		$	84		$	49,960		$	4,525		$	10,340		$	14,865		$	64,825
Provision for expected credit loss expense		1,567			(203)			—			1,364			(1,967)			4,333			2,366			3,730
Net refund transfer fees		(1)			—			—			(1)			243			—			243			242
Mortgage banking income		—			—			852			852			—			—			—			852
Program fees		—			—			—			—			705			3,336			4,041			4,041
Other noninterest income		8,749			11			15			8,775			81			28			109			8,884
Total noninterest income		8,748			11			867			9,626			1,029			3,364			4,393			14,019
Total noninterest expense		39,381			640			1,793			41,814			3,116			3,112			6,228			48,042
Income (loss) before income tax expense		15,209			2,041			(842)			16,408			4,405			6,259			10,664			27,072
Income tax expense (benefit)		2,942			456			(185)			3,213			896			1,392			2,288			5,501
Net income (loss)	$	12,267		$	1,585		$	(657)		$	13,195		$	3,509		$	4,867		$	8,376		$	21,571
Period-end assets	$	5,375,648		$	458,542		$	14,457		$	5,848,647		$	403,733		$	134,095		$	537,828		$	6,386,475
Net interest margin		3.50	%		2.33	%		NM			3.43	%		NM			NM			NM			4.35	%
Net-revenue concentration*		72	%		3	%		1	%		76	%		7	%		17	%		24	%		100	%

		Three Months Ended September 30, 2022
		Core Banking											Republic Processing Group
											Total			Tax			Republic
		Traditional			Warehouse			Mortgage			Core			Refund			Credit			Total			Total
(dollars in thousands)		Banking			Lending			Banking			Banking			Solutions			Solutions			RPG			Company
Net interest income	$	46,562		$	3,011		$	112		$	49,685		$	1,709		$	7,203		$	8,912		$	58,597
Provision for expected credit loss expense		(753)			(386)			—			(1,139)			(1,296)			4,008			2,712			1,573
Net refund transfer fees		—			—			—			—			593			—			593			593
Mortgage banking income		—			—			1,154			1,154			—			—			—			1,154
Program fees		—			—			—			—			724			4,208			4,932			4,932
Contract termination fee		—			—			—			—			—			—			—			—
Legal settlement		—			—			—			—			—			—			—			—
Other noninterest income		8,260			13			33			8,306			62			—			62			8,368
Total noninterest income		8,260			13			1,187			9,460			1,379			4,208			5,587			15,047
Total noninterest expense		37,777			851			2,005			40,633			3,248			2,224			5,472			46,105
Income before income tax expense		17,798			2,559			(706)			19,651			1,136			5,179			6,315			25,966
Income tax expense		4,278			572			(156)			4,694			202			1,153			1,355			6,049
Net income	$	13,520		$	1,987		$	(550)		$	14,957		$	934		$	4,026		$	4,960		$	19,917
Period-end assets	$	5,036,343		$	441,885		$	16,418		$	5,494,646		$	395,873		$	109,144		$	505,017		$	5,999,663
Net interest margin		3.63	%		2.54	%		NM			3.54	%		NM			NM			NM			4.09	%
Net-revenue concentration*		75	%		4	%		2	%		81	%		4	%		15	%		19	%		100	%

S-10

		Nine Months Ended September 30, 2023
		Core Banking											Republic Processing Group
											Total			Tax			Republic
		Traditional			Warehouse			Mortgage			Core			Refund			Credit			Total			Total
(dollars in thousands)		Banking			Lending			Banking			Banking			Solutions			Solutions			RPG			Company
Net interest income	$	146,198		$	7,196		$	206		$	153,600		$	40,300		$	28,096		$	68,396		$	221,996
Provision for expected credit loss expense		6,411			134			—			6,545			19,622			10,468			30,090			36,635
Net refund transfer fees		(1)			—			—			(1)			15,529			—			15,529			15,528
Mortgage banking income		—			—			2,559			2,559			—			—			—			2,559
Program fees		—			—			—			—			2,140			8,881			11,021			11,021
Other noninterest income		26,733			33			59			26,825			325			93			418			27,243
Total noninterest income		26,732			33			2,618			29,383			17,994			8,974			26,968			56,351
Total noninterest expense		122,386			2,616			6,669			131,671			11,907			8,440			20,347			152,018
Income (loss) before income tax expense		44,133			4,479			(3,845)			44,767			26,765			18,162			44,927			89,694
Income tax expense (benefit)		8,965			1,001			(846)			9,120			5,828			4,031			9,859			18,979
Net income (loss)	$	35,168		$	3,478		$	(2,999)		$	35,647		$	20,937		$	14,131		$	35,068		$	70,715
Period-end assets	$	5,375,648		$	458,542		$	14,457		$	5,848,647		$	403,733		$	134,095		$	537,828		$	6,386,475
Net interest margin		3.76	%		2.37	%		NM			3.68	%		NM			NM			NM			5.09	%
Net-revenue concentration*		62	%		3	%		1	%		66	%		21	%		13	%		34	%		100	%

		Nine Months Ended September 30, 2022
		Core Banking											Republic Processing Group
											Total			Tax			Republic
		Traditional			Warehouse			Mortgage			Core			Refund			Credit			Total			Total
(dollars in thousands)		Banking			Lending			Banking			Banking			Solutions			Solutions			RPG			Company
Net interest income	$	121,868		$	11,412		$	469		$	133,749		$	18,751		$	21,078		$	39,829		$	173,578
Provision for expected credit loss expense		(287)			(1,021)			—			(1,308)			6,976			8,836			15,812			14,504
Net refund transfer fees		—			—			—			—			16,594			—			16,594			16,594
Mortgage banking income		—			—			5,574			5,574			—			—			—			5,574
Program fees		—			—			—			—			2,187			10,484			12,671			12,671
Contract termination fee		—			—			—			—			5,000			—			5,000			5,000
Legal settlement		—			—			—			—			13,000			—			13,000			13,000
Other noninterest income		23,225			38			113			23,376			399			—			399			23,775
Total noninterest income		23,225			38			5,687			28,950			37,180			10,484			47,664			76,614
Total noninterest expense		114,310			2,838			7,527			124,675			11,928			5,729			17,657			142,332
Income before income tax expense		31,070			9,633			(1,371)			39,332			37,027			16,997			54,024			93,356
Income tax expense		6,397			2,168			(302)			8,263			8,573			3,906			12,479			20,742
Net income	$	24,673		$	7,465		$	(1,069)		$	31,069		$	28,454		$	13,091		$	41,545		$	72,614
Period-end assets	$	5,036,343		$	441,885		$	16,418		$	5,494,646		$	395,873		$	109,144		$	505,017		$	5,999,663
Net interest margin		3.20	%		2.79	%		NM			3.16	%		NM			NM			NM			3.99	%
Net-revenue concentration*		58	%		5	%		2	%		65	%		22	%		13	%		35	%		100	%

*Net revenues represent total net interest income plus noninterest income. Net-revenue concentration equals segment-level net revenue divided by total Company net revenue.

S-11

Republic Bancorp, Inc.

Earnings Release Financial Supplement

Third quarter 2023 (continued)

Footnotes:

(1) The amount of loan fee income can meaningfully impact total interest income, loan yields, net interest margin, and net interest spread. The following table presents the Company’s loan fees by segment:

	Three Months Ended										$ Change (8)		Nine Months Ended				$ Change (8)
(dollars in thousands)	Sep. 30, 2023		Jun. 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022		Q3 to Q3		Sep. 30, 2023		Sep. 30, 2022		9M to 9M
Traditional Banking	$	1,703	$	1,311	$	943	$	943	$	1,063	$	640	$	3,957	$	5,062	$	(1,105)
Warehouse Lending		254		294		248		272		402		(148)		796		1,476		(680)
Total Core Bank		1,957		1,605		1,191		1,215		1,465		492		4,753		6,538		(1,785)
TRS - Refund Advances		25		41		31,404		50		81		(56)		31,470		13,606		17,864
TRS - Other Loan Fees		6		24		933		825		(1)		7		963		663		300
RCS		9,763		8,416		7,962		7,501		7,196		2,567		26,141		18,119		8,022
Total RPG		9,794		8,481		40,299		8,376		7,276		2,518		58,574		32,388		26,186
Total loan fees - Total Company	$	11,751	$	10,086	$	41,490	$	9,591	$	8,741	$	3,010	$	63,327	$	38,926	$	24,401

(2) Provision for expected credit loss expense includes provisions for losses on on-balance sheet loans and investment securities. Provision expense for off-balance sheet credit exposures is a component of “Other” noninterest expense.

(3) In the ordinary course of business, the Bank originates for sale mortgage loans and consumer loans. Mortgage loans originated for sale are primarily originated and sold into the secondary market through the Bank’s Mortgage Banking segment, while consumer loans originated for sale are originated and sold through the RCS segment. Gains on sale of mortgage loans are recorded as a component of Mortgage Banking income. Gains on sale of consumer loans are recorded as a component of Program Fees.

	As of and for the Three Months Ended										$ Change (8)		As of and for the Nine Months Ended				$ Change (8)
(dollars in thousands)	Sep. 30, 2023		Jun. 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022		Q3 to Q3		Sep. 30, 2023		Sep. 30, 2022		9M to 9M
Mortgage Loans Held for Sale
Balance, beginning of period	$	4,038	$	1,034	$	1,302	$	2,912	$	8,491	$	(4,453)	$	1,302	$	29,393	$	(28,091)
Originations		23,860		13,948		15,942		10,359		32,856		(8,996)		53,750		195,006		(141,256)
Proceeds from sales		(25,681)		(11,483)		(16,630)		(12,207)		(39,220)		13,539		(53,794)		(226,191)		172,397
Net gain on sale		494		539		420		238		785		(291)		1,453		4,704		(3,251)
Balance, end of period	$	2,711	$	4,038	$	1,034	$	1,302	$	2,912	$	(201)	$	2,711	$	2,912	$	(201)
RCS Consumer Loans Held for Sale
Balance, beginning of period	$	21,544	$	17,432	$	17,875	$	21,475	$	31,236	$	(9,692)	$	17,875	$	22,684	$	(4,809)
Originations		287,088		262,404		207,222		225,588		292,131		(5,043)		756,714		820,127		(63,413)
Proceeds from sales		(289,997)		(261,301)		(210,199)		(231,999)		(306,093)		16,096		(761,497)		(831,802)		70,305
Net gain on sale		3,337		3,009		2,534		2,811		4,201		(864)		8,880		10,466		(1,586)
Balance, end of period	$	21,972	$	21,544	$	17,432	$	17,875	$	21,475	$	497	$	21,972	$	21,475	$	497

S-12

(4) The following table provides a reconciliation of total stockholders’ equity in accordance with GAAP to tangible stockholders’ equity in accordance with applicable regulatory requirements, a non-GAAP disclosure. The Company provides the tangible book value per share, a non-GAAP measure, in addition to those defined by banking regulators, because of its widespread use by investors as a means to evaluate capital adequacy.

	As of
(dollars in thousands, except per share data)	Sep. 30, 2023			Jun. 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022
Total stockholders' equity - GAAP (a)	$	893,400		$	886,971		$	882,202		$	856,613		$	843,063
Less: Goodwill		40,516			40,516			41,618			16,300			16,300
Less: Mortgage servicing rights		7,710			7,995			8,406			8,769			9,177
Less: Core deposit intangible		2,576			2,713			2,813			—			—
Tangible stockholders' equity - Non-GAAP (c)	$	842,598		$	835,747		$	829,365		$	831,544		$	817,586
Total assets - GAAP (b)	$	6,386,475		$	6,369,779		$	6,074,091		$	5,835,543		$	5,999,663
Less: Goodwill		40,516			40,516			41,618			16,300			16,300
Less: Mortgage servicing rights		7,710			7,995			8,406			8,769			9,177
Less: Core deposit intangible		2,576			2,713			2,813			—			—
Tangible assets - Non-GAAP (d)	$	6,335,673		$	6,318,555		$	6,021,254		$	5,810,474		$	5,974,186
Total stockholders' equity to total assets - GAAP (a/b)		13.99	%		13.92	%		14.52	%		14.68	%		14.05	%
Tangible stockholders' equity to tangible assets - Non-GAAP (c/d)		13.30	%		13.23	%		13.77	%		14.31	%		13.69	%
Number of shares outstanding (e)		19,454			19,606			19,758			19,747			19,747
Book value per share - GAAP (a/e)	$	45.92		$	45.24		$	44.65		$	43.38		$	42.69
Tangible book value per share - Non-GAAP (c/e)		43.31			42.63			41.98			42.11			41.40

(5) The efficiency ratio, a non-GAAP measure with no GAAP comparable, equals total noninterest expense divided by the sum of net interest income and noninterest income. The ratio excludes material nonrecurring revenues and expenses related to the CBank merger, the now-cancelled TRS Transaction, the BOLI benefit payment received, as well as net gains (losses) on sales, calls, and impairment of investment securities.

	Three Months Ended															Nine Months Ended September 30, 2023
(dollars in thousands)	Sep. 30, 2023			Jun. 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022			Sep. 30, 2023			Sep. 30, 2022
Net interest income - GAAP	$	64,825		$	64,529		$	92,642		$	63,113		$	58,597		$	221,996		$	173,578
Noninterest income - GAAP		14,019			19,651			22,681			13,124			15,108			56,351			76,686
Less: Contract termination fee related to TRS Transaction		—			—			—			—			—			—			5,000
Less: Legal settlement related to TRS Transaction		—			—			—			—			—			—			13,000
Less: BOLI benefit payment received		—			1,728			—			—			—			1,728			—
Less: Net gain (loss) on securities		2			3			1			1			2			6			(222)
Total adjusted income - Non-GAAP (a)	$	78,842		$	82,449		$	115,322		$	76,236		$	73,703		$	276,613		$	232,486
Noninterest expense - GAAP	$	48,042		$	51,533		$	52,443		$	44,905		$	46,166		$	152,018		$	142,403
Less: Expenses related to CBank acquisition		—			127			2,073
Less: Expenses related to TRS Transaction		—			—			—			—			88			—			914
Adjusted noninterest expense - Non-GAAP (b)	$	48,042		$	51,406		$	50,370		$	44,905		$	46,078		$	152,018		$	141,489
Efficiency Ratio - Non-GAAP (b/a)		61	%		62	%		44	%		59	%		63	%		55	%		61	%

(6) The cost of average deposits ratio equals annualized total interest expense on deposits divided by total average interest-bearing deposits plus total average noninterest-bearing deposits.

(7) FTEs – Full-time-equivalent employees.

(8) Quarter (“Q”) to Quarter changes compare the most recent quarter or quarter end to the same quarter or quarter end of a year prior. Year-to-date changes compare the most recent period or period end to the same period or period end of a year prior. Year-to-date changes are expressed as either 3M to 3M  (three months), 6M to 6M (nine months), 9M to 9M (nine months), or 12M to 12M (twelve months).

(9) The delinquent loans to total loans ratio equals loans 30-days-or-more past due divided by total loans. Depending on loan class, loan delinquency is determined by the number of days or the number of payments past due. Delinquent loans as of September 30, 2023, included $0 of Refund Advances (“RA”), which do not have a contractual due date, but the Company considered an RA delinquent in 2023 if it remained unpaid 35 days after the taxpayer’s tax return was submitted to the applicable taxing authority.

S-13

NM – Not meaningful

NA – Not applicable

YTD – Year to date

CONTACT:

Republic Bancorp, Inc.

Kevin Sipes

Executive Vice President & Chief Financial Officer

(502) 560-8628

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XML

Document and Entity Information	Oct. 20, 2023
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Oct. 20, 2023
Entity Registrant Name	REPUBLIC BANCORP, INC.
Entity Incorporation, State or Country Code	KY
Entity File Number	0-24649
Entity Tax Identification Number	61-0862051
Entity Address, Address Line One	601 West Market Street
Entity Address, City or Town	Louisville
Entity Address, State or Province	KY
Entity Address, Postal Zip Code	40202
City Area Code	502
Local Phone Number	584-3600
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
Entity Central Index Key	0000921557
Title of 12(b) Security	Class A Common
Trading Symbol	RBCAA
Security Exchange Name	NASDAQ