WSFS Financial : 4Q 2020 Earnings Release Supplement

WSFS Financial Corporation

4Q 2020 Earnings Supplement1 January 25, 2021

1 4Q 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 January 25, 2021	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 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, Form 10-Q for the quarter ended September 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 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 net income, core return on equity ("ROE"), core efficiency ratio, pre-provision net revenue ("PPNR"), core PPNR, PPNR to average assets ratio, core PPNR to average assets ratio, core return on assets ("ROA"), core Net Interest Margin ("NIM"), return on tangible common equity ("ROTCE"), core 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.

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Table of Contents

Financial Highlights	Page 4
2021 Core Outlook	Page 5
Net Interest Margin Trends and 2021 Outlook	Page 6
Loan & Deposit Growth	Page 7
Credit Risk Management
ACL	Page 8
Selected Portfolios	Page 9
Appendix: Reconciliation of Non-GAAP Financial Information	Page 10

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Financial Highlights

	4Q 2020	FY 2020
$ in millions (expect per share	Reported	Core1	Reported	Core1
amounts)
EPS	$1.20	$1.16	$2.27	$1.91
ROA	1.73%	1.67%	0.87%	0.74%
Net Income2	$59.8	$57.6	$114.8	$96.6
PPNR1	$76.3	$73.4	$298.1	$276.4
PPNR %1	2.21%	2.12%	2.27%	2.10%
ROE	13.00%	12.52%	6.25%	5.26%
ROTCE1	19.37%	18.68%	9.68%	8.26%
NIM	3.93%	3.93%	3.96%	3.96%
Fee Income	$46.6	$43.5	$201.0	$169.1
Fee Income %3	27.5%	26.1%	30.1%	26.6%
Efficiency Ratio	55.0%	55.8%	55.2%	56.4%
ACL Ratio ex PPP	2.73%	2.73%	2.73%	2.73%
Loan-to-Deposit %	77%	77%	77%	77%
Bank CET1	12.50%	12.50%	12.50%	12.50%

4Q and Full-Year operating results reflect healthy NIM, diversified fee income, and strong ACL and Capital levels

4Q Highlights:

• Core ROA1 of 1.67% improved from 1.48% in 3Q 2020
• • Core PPNR1 was a strong 2.12% of average assets
• Repurchased 2.9 million shares, or 6% of outstanding common stock, totaling $116.3 million, and the Board approved a quarterly cash dividend of $0.12 per share of common stock
• Maintained strong capital levels including a Bank Common Equity Tier 1 Ratio of 12.50%
• ACL coverage ratio was 2.73%, excluding PPP loans at December 31, 2020
• • Net credit costs (recoveries) were ($0.5) million and net charge- offs were $3.0 million, or 0.13% of average gross loans
• WSFS issued $150 million of Fixed-to-Floating Rate Senior Notes due 2030 with a fixed interest rate of 2.75% for the first five years, the lowest ever coupon obtained by a Kroll only rated senior debt issuance

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	Attributable to WSFS
3	Tax-equivalent