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Analogies for Byline Bancorp (BY):

• Like a full-service regional bank for the Chicago metropolitan area, similar to a smaller version of KeyBank.
• The dedicated business bank for Chicago's small and medium-sized companies, akin to a localized Comerica Bank.

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• Retail Banking Services: Provides a range of deposit accounts, ATM/debit cards, and digital banking solutions for individual consumers.
• Commercial Banking Services: Offers commercial deposit products and treasury management solutions designed for businesses.
• Commercial & Business Loans: Delivers various financing options including term loans, lines of credit, construction financing, SBA/USDA loans, and equipment financing for businesses and commercial real estate.
• Wealth Management & Fiduciary Services: Supplies investment, trust, financial planning, and private banking services for high net worth individuals, foundations, and endowments.

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Byline Bancorp (BY) primarily serves a diverse set of customer categories rather than a few identifiable major customers by name. As a bank, its customer base is broad, encompassing both businesses and individuals. Based on the provided description, its major customer categories include:

• Small and Medium-Sized Businesses (SMBs): This includes a strong focus on providing various banking products and services, including term loans, revolving lines of credit, construction financing, SBA and USDA loans, and treasury management.
• Commercial Real Estate Clients and Financial Sponsors: The company offers specialized services and financing solutions for commercial real estate ventures and private equity-backed lower middle market companies.
• Individual Consumers and High Net Worth Individuals: Byline Bancorp serves individual consumers with retail deposit products (non-interest-bearing accounts, money market, savings, checking, time deposits), ATM/debit cards, and online/mobile banking. It also provides investment, trust, and wealth management services, including private banking, for high net worth individuals, foundations, and endowments.

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Roberto R. Herencia, Chairman of the Board of Directors and Chief Executive Officer

Mr. Herencia has served as Chief Executive Officer of Byline Bancorp since February 2021 and Chairman since June 2013. He was President and Chief Executive Officer of BXM Holdings, Inc., an investment fund specializing in community bank investments, since 2010, where he led the recapitalization of Byline's predecessor, Metropolitan Bank Group. Prior to BXM Holdings, Inc., he served as President and Chief Executive Officer of Midwest Banc Holdings, Inc. from 2009 to 2010. Mr. Herencia also spent 17 years with Popular Inc., serving as Executive Vice President and as President of its subsidiary, Banco Popular North America. He has served as an independent director of Banner Corporation and Chairman of the board of directors of First BanCorp. Additionally, he was an independent director of privately held SKBHC Holdings LLC and its two subsidiary banks, American West Bank and First National Bank of Starbuck.

Alberto J. Paracchini, President

Mr. Paracchini has served as President and Director for Byline Bancorp, Inc. and President, Chief Executive Officer, and Director for Byline Bank since June 2013. Prior to joining Byline, he was a Principal for BXM Holdings, Inc., an investment fund focused on community bank investments, from October 2010 to June 2013. He spent 16 years at Popular, Inc., holding various leadership positions in its banking and mortgage subsidiaries, including President and CFO of Popular Financial Holdings, CFO of E-Loan, and CFO and Head of Operations and Technology functions at Banco Popular North America. From January to May 2010, Mr. Paracchini was Executive Vice President at Midwest Bank & Trust.

Thomas J. Bell III, Executive Vice President, Chief Financial Officer

Mr. Bell has served as Executive Vice President, Chief Financial Officer of Byline Bank since August 2022. Before becoming CFO, he served as the bank's Treasurer for nine years. He has over 30 years of experience in the banking industry. Mr. Bell's previous roles include Senior Vice President, Treasurer and Head of Planning for Anchor Bancorp for three years, and Executive Vice President, Treasurer and Chief Investment Officer for Midwest Bancorp.

Megan Biggam, Executive Vice President, Head of Community Banking

Ms. Biggam has served as Executive Vice President of Community Banking for Byline Bank since June 2013. Prior to joining Byline, she was the Director of Marketing of Metrobank Group, Byline's predecessor bank parent, from August 2008 to June 2013. Her prior experience includes serving as a Division Marketing Manager at Washington Mutual and a Regional Marketing Director for TCF Bank.

Brogan M. Ptacin, Executive Vice President, Head of Commercial Banking

Mr. Ptacin holds the title of Executive Vice President, Head of Commercial Banking at Byline Bancorp.

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1. Credit Risk

As a bank holding company, Byline Bancorp's primary business involves lending to small and medium-sized businesses, commercial real estate, and lower middle market companies. This exposes the company to significant credit risk, which is the risk that borrowers will default on their loan obligations. An increase in loan defaults could lead to higher loan loss provisions, reduced interest income, and an erosion of capital, directly impacting the company's financial performance and stability.

2. Interest Rate Risk

Byline Bancorp's profitability is highly sensitive to changes in interest rates. The company generates revenue from the spread between the interest earned on its loans and investments and the interest paid on its deposits and borrowings. Fluctuations in interest rates can compress this net interest margin. For instance, a rapid increase in funding costs (e.g., higher deposit rates) without a corresponding increase in asset yields, or vice versa, could negatively impact the company's profitability.

3. Geographic Concentration Risk

Byline Bancorp operates primarily within a concentrated geographic area, with 43 of its 44 branches located in the Chicago metropolitan area and one in Brookfield, Wisconsin. This significant geographic concentration makes the company highly susceptible to local economic conditions. An economic downturn, adverse business conditions, or significant industry-specific challenges within the Chicago metropolitan area could disproportionately affect the credit quality of its loan portfolio, reduce demand for its banking products and services, and ultimately impact its financial performance more severely than if its operations were more geographically diversified.

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Byline Bancorp (symbol: BY) operates in several addressable markets primarily within the United States, with a concentration in the Chicago metropolitan area and parts of Illinois and Wisconsin. Here's an overview of the estimated market sizes for its main products and services:

• Small and Medium-sized Business (SMB) Banking and Lending: The U.S. commercial banking market, which serves businesses of various sizes, was estimated at USD 732.5 billion in 2025 and is projected to reach USD 954.48 billion by 2031. Specifically, the U.S. small business loan market was valued at approximately USD 245.39 billion in 2023 and is projected to grow to USD 349.64 billion by 2033. The market for SME financial products and services in the U.S. is estimated to have a potential of approximately USD 370 billion. In Illinois, the commercial banking industry has been growing at an average annual rate of 7.0% from 2020 to 2025. Small business financing activity in Chicago has shown year-over-year growth.
• Commercial Real Estate Financing: The U.S. commercial real estate (CRE) mortgage market consists of approximately USD 4.5 trillion backed by income-producing properties and an additional USD 470 billion in construction loans, as of March 2023. Total commercial real estate mortgage borrowing and lending in the U.S. was estimated at USD 498 billion in 2024. The global commercial lending market, which includes commercial real estate, was valued at USD 10,923.28 billion in 2025 and is projected to reach USD 28,369.38 billion by 2034. For construction-specific financing, the global construction equipment finance market was valued at USD 91.5 billion in 2023.
• Consumer Banking Products (Retail Banking): The United States retail banking market was valued at approximately USD 870 billion in 2025 and is estimated to grow to USD 1,112.2 billion by 2031. Another estimate places the U.S. retail banking market revenue at USD 1.28 trillion in 2025.
• SBA (Small Business Administration) Loans: The U.S. Small Business Administration provided USD 37.8 billion in 7(a) and 504 funding in fiscal year 2024. Quarterly approvals for SBA 7(a) loans reached over USD 10 billion in Q2 FY2025.
• USDA (United States Department of Agriculture) Loans: The total origination value for USDA loans in the U.S. was approximately USD 5.3 billion in 2024. The overall volume for USDA loans across more than 860 lenders in the U.S. reached over USD 6.3 billion in the past year (2024).
• Equipment Financing: The U.S. equipment finance industry expanded to an estimated USD 1.34 trillion in 2023. Approximately 57.7% of all equipment and software investment in the U.S. was financed. The global equipment finance service market was USD 1,437.04 billion in 2025 and is projected to reach USD 1,591.37 billion in 2026.
• Wealth Management, Investment, and Trust Services: The global wealth management market was valued at USD 1.83 trillion in 2024 and is projected to reach USD 5.95 trillion by 2033. The U.S. wealth management market oversees approximately USD ~trillion in assets under management (specific figure redacted, but context implies a very large market). Robo-advisors alone managed over USD 1 trillion in assets in the U.S. as of 2025. For Illinois specifically, the Portfolio Management & Investment Advice industry had a market size of USD 28.7 billion in 2026.

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Here are 3-5 expected drivers of future revenue growth for Byline Bancorp (BY) over the next 2-3 years:

1. Loan Portfolio Growth: Byline Bancorp anticipates continued growth in its loan and lease portfolio, with management expecting mid-single-digit loan growth for 2026, primarily within its commercial banking segment. This expansion, particularly in commercial and industrial loans, owner-occupied commercial real estate, and government-guaranteed loans like SBA 7(a) and USDA loans, is a fundamental driver of net interest income and overall revenue.
2. Expansion of Commercial Payments Business: The company launched a new commercial payments business in early 2025, which has shown promising early success. This initiative is expected to scale significantly in 2026, targeting high-volume ACH transactions and payroll processors, thereby enhancing service offerings, increasing the customer base, and contributing to fee income streams.
3. Net Interest Margin (NIM) Management and Expansion: Byline Bancorp has demonstrated effective management of its net interest margin, which expanded in 2025, reaching 4.36% in the fourth quarter. The bank's ability to optimize its loan portfolio repricing mix and manage deposit costs is crucial for maintaining and growing net interest income, a key component of revenue, in varying interest rate environments.
4. Strategic Acquisitions and Integration: Byline Bancorp has a history of strategic acquisitions, such as the successful integration of First Security Bancorp in 2025. These acquisitions contribute to growth by expanding the company's branch network, enhancing its capabilities and service offerings, and increasing its customer base within its operational regions. The company's capital allocation priorities include mergers and acquisitions.
5. Growth in Non-Interest Income: Beyond its commercial payments business, Byline Bancorp aims to increase other sources of non-interest income. This includes income from wealth management and trust services, fees and service charges on deposits, and gains on sales of U.S. government-guaranteed loans. Diversifying revenue streams through these non-interest income sources provides additional growth opportunities and financial stability.

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Share Repurchases

• On December 11, 2025, Byline Bancorp's Board of Directors approved a new stock repurchase program authorizing the repurchase of up to 2.25 million shares of outstanding common stock, representing approximately 4.9% of current outstanding shares. This program is effective from January 1, 2026, to December 31, 2026.
• As part of a repurchase program initiated on January 1, 2025, Byline Bancorp bought back 418,235 shares at $24.75 per share in connection with a secondary public offering that closed on June 12, 2025.

Share Issuance

• During 2025, Byline Bancorp granted 323,488 shares of restricted common stock, with some vesting ratably over three years and others cliff vesting on the third anniversary.
• The number of outstanding shares increased by 3.31% in 2025 and 1.37% in 2024.

Inbound Investments

• Directors of Byline Bancorp collectively invested $1.27 million, purchasing shares at $24.75 per share in connection with a secondary public offering that closed on June 12, 2025.

Outbound Investments

• In 2025, Byline Bancorp completed the acquisition of First Security, which contributed to the growth of its loan and lease portfolio and enhanced its market position.

Capital Expenditures

• Byline Bancorp's capital expenditures (CapEx) for the trailing twelve months as of March 31, 2025, were $5.23 million, for December 31, 2024, were $3.37 million, and for December 31, 2023, were $3.86 million.
• The company's Capital Expenditures 5-Year Compound Annual Growth Rate (CAGR) was 0.4% in 2025, reflecting a 131.4% increase year-over-year.
• The primary focus of capital expenditures includes supporting growth, with an estimated ~$5.3 million of annualized cost savings from branch optimization (since 2013, the branch network was reduced from 88 to 45 locations), with about 70% of those savings reinvested into talent and technology for digital banking capabilities.