#1INVESTAR NASDAQ: ISTR Investor Presentation - 1st Quarter 2023 Gulf South Bank Conference INVESTAR HOLDING CORPORATION#2Disclosures and Disclaimers This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect Investar's current views with respect to, among other things, future events and financial performance. Investar generally identifies forward-looking statements by terminology such as "outlook,” “believes,” “expects," "potential," "continues,” "may," "will," "could,” “should,” “seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates," or the negative version of those words or other comparable words. Any forward-looking statements contained in this presentation are based on the historical performance of Investar and its subsidiaries or on Investar's current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by Investar that the future plans, estimates or expectations by Investar will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to Investar's operations, financial results, financial condition, business prospects, growth strategy and liquidity. If one or more of these or other risks or uncertainties materialize, or if Investar's underlying assumptions prove to be incorrect, Investar's actual results may vary materially from those indicated in these statements. Investar does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. These factors include, but are not limited to, the following, any one or more of which could materially affect the outcome of future events: • • the significant risks and uncertainties for our business, results of operations and financial condition, as well as our regulatory capital and liquidity ratios and other regulatory requirements caused by business and economic conditions generally and in the financial services industry in particular, whether nationally, regionally or in the markets in which we operate, including risks and uncertainties caused by the ongoing COVID-19 pandemic, potential continued higher inflation and interest rates, supply and labor constraints, the war in Ukraine and uncertainty regarding whether the United States Congress will raise the statutory debt limit; our ability to achieve organic loan and deposit growth, and the composition of that growth; changes (or the lack of changes) in interest rates, yield curves and interest rate spread relationships that affect our loan and deposit pricing, including potential continued increases in interest rates in 2023; our ability to identify and enter into agreements to combine with attractive acquisition candidates, finance acquisitions, complete acquisitions after definitive agreements are entered into, and successfully integrate and grow acquired operations; our adoption on January 1, 2023 of ASU 2016-13, and inaccuracy of the assumptions and estimates we make in establishing reserves for credit losses and other estimates; changes in the quality or composition of our loan or investment portfolios, including adverse developments in borrower industries or in the repayment ability of individual borrowers; changes in the quality and composition of, and changes in unrealized losses in, our investment portfolio, including whether we may have to sell securities before their recovery of amortized cost basis and realize losses; the extent of continuing client demand for the high level of personalized service that is a key element of our banking approach as well as our ability to execute our strategy generally; cessation of the one-week and two-month U.S. dollar settings of LIBOR as of December 31, 2021 and the announced cessation of the remaining U.S. dollar LIBOR setting after June 30, 2023, and the related effect on our LIBOR-based financial products and contracts, including, but not limited to, hedging products, debt obligations, investments and loans; • our dependence on our management team, and our ability to attract and retain qualified personnel; the concentration of our business within our geographic areas of operation in Louisiana, Texas and Alabama; concentration of credit exposure; • any deterioration in asset quality and higher loan charge-offs, and the time and effort necessary to resolve problem assets; INVESTAR HOLDING CORPORATION 2#3° Disclosures and Disclaimers (continued) a reduction in liquidity, including as a result of a reduction in the amount of deposits we hold or other sources of liquidity; ongoing disruptions in the oil and gas industry due to the significant fluctuations in the price of oil and natural gas; ° ° data processing system failures and errors; cyberattacks and other security breaches; and hurricanes, tropical storms, tropical depressions, floods, winter storms, and other adverse weather events, all of which have affected Investar's market areas from time to time; other natural disasters; oil spills and other man-made disasters; acts of terrorism, an outbreak or intensifying of hostilities including the war in Ukraine or other international or domestic calamities, acts of God and other matters beyond our control. These factors should not be construed as exhaustive. Additional information on these and other risk factors can be found in Item 1A. "Risk Factors" and in the "Special Note Regarding Forward-Looking Statements" in Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Investar's Annual Report on Form 10-K for the year ended December 31, 2022 filed with the Securities and Exchange Commission (the "SEC"). INVESTAR HOLDING CORPORATION 3#4Our Company Investar Holding Corp. is the Bank Holding Company for Investar Bank Headquartered in Baton Rouge, LA Founded in 2006 Mission Investar is a dynamic full service community bank focused on relationships that create value and opportunities for our customers, employees, shareholders and the community served Full service, commercially-oriented community bank 28 branches and 1 loan production office across Alabama, Louisiana and Texas Initial public offering and Nasdaq listing in 2014 Completed 7 whole bank acquisitions and 1 branch transaction 38 consecutive quarters of dividends paid; 8 consecutive years of dividend growth INVESTAR® HOLDING CORPORATION#5Proactive Strategic Initiatives Funding Beginning in the 4th quarter of 2022, we proactively began utilizing brokered time deposits to secure fixed cost funding and reduce higher cost short-term borrowings. We held $31.3 million of cash and cash equivalents at March 31, 2023 and maintained $899.3 million of available funding from Federal Home Loan Bank advances, the Federal Reserve's Bank Term Funding Program ("BTFP"), and unsecured lines of credit with correspondent banks. Although we do not plan to utilize the BTFP, our borrowing capacity under the BTFP is $185.6 million based on the value of unpledged securities available to be used as collateral, valued at par value as permitted under the program. Cash and cash equivalents and available funding represented 136% of uninsured deposits at March 31, 2023. Our Assured Checking product provides FDIC deposit insurance protection on up to $100 million. Expense Control and Efficiency Despite inflationary pressures, we reduced core noninterest expense in the first quarter of 2023 compared to the third and the fourth quarters of 2022. Since the beginning of 2020, we have been proactive in our branch network strategy and have closed six branch locations, sold two branch locations and sold three tracts of land that were being held for future branch locations. The optimization of our branch footprint will continue to result in cost savings and allow us to focus more on our core markets. Credit Resolution and Balance Sheet Positioning ☐ Nonaccrual Loans have declined by $27.2 million to $5.6 million since the 3rd quarter of 2021. Incremental resolution of the impaired loan relationship impacted by Hurricane Ida in the 3rd quarter of 2021 is expected to continue throughout 2023. Nonperforming assets to total assets was 0.23% at March 31, 2023 compared to 0.44% at December 31, 2022. ■ We adopted the current expected credit loss accounting standard on January 1, 2023. Allowance for credit losses to total loans increased to 1.45% at March 31, 2023 compared to 1.16% at December 31, 2022. Allowance for credit losses to nonperforming loans increased to 535.6% at March 31, 2023 compared to 214.9% at December 31, 2022. " Over the last two years, we have increased our focus on underwriting high quality credits that are less susceptible to effects from a potential economic downturn and proactively exited credit relationships that do not fit this strategy. INVESTAR® HOLDING CORPORATION 5#6Financial Overview - 1st Quarter 2023 Highlights Recorded quarterly net income of $3.8 million in the 1st quarter ■ Accumulated other comprehensive loss improved $4.7 million, or 9.5%, to $44.3 million at March 31, 2023 compared to $48.9 million at December 31, 2022. Available for sale securities comprised 98% of total investment securities at March 31, 2023. Repurchased 45,975 shares during the 1st quarter Tangible book value¹ increased 1.8% (7.2% annualized) during the 1st quarter to $17.74 per share compared to the 4th quarter Liquidity Total deposits increased $63.3 million, or 3.0%, at March 31, 2023 to $2.15 billion compared to $2.08 billion for the December 31, 2022. Uninsured deposits were 32% of total deposits at March 31, 2023. Loans and Credit Quality Total loans, excluding $13.9 million in loans associated with the Alice and Victoria, Texas branches sold, increased $18.2 million, or 0.9% (3.6% annualized), to $2.11 billion at March 31, 2023 compared to $2.09 billion at December 31, 2022. Nonperforming loans improved to 0.27% of total loans at March 31, 2023 compared to 0.54% of total loans at December 31, 2022. INVESTAR® 1 Non-GAAP financial measure; please see appendix for additional details HOLDING CORPORATION 2 See page 11 for core metrics. 1st Quarter Results Balance Sheet (in millions) Assets Net Loans Deposits Equity $2,752 $2,079 $2,146 $218 Holding Company Capital TCE / TA¹ 6.48% Leverage Ratio 8.30% Common Equity Tier 1 Ratio 9.64% Tier 1 Ratio 10.06% Total Risk Weighted Ratio 13.24% Profitability (1st quarter) Net Interest Margin 3.13% ROAA 0.57% 7.04% $3,812 Pre-Tax, Pre-Provision Income¹ $5,074 ROAE Net Income Per Share Information Tangible Book Value¹ Earnings (Diluted) Dividends $17.74 $0.38 $0.095 6#7INVESTAR HOLDING CORPORATION Leadership Team John J. D'Angelo, President and Chief Executive Officer Mr. D'Angelo has been the President and Chief Executive Officer of the Company since the Share Exchange. He has also served as the Bank's President and Chief Executive Officer since its organization in 2006. Prior to Investar Bank's organization, Mr. D'Angelo was manager of the private banking, small business banking, construction lending, brokerage and trust areas of Hibernia National Bank (the predecessor to Capital One Bank, N.A.) for more than six years in the East Baton Rouge Parish, Louisiana, market. From 1996 to 2005, Mr. D'Angelo was president and director of Aegis Lending Corporation, a company with lending operations in 46 states and the District of Columbia. John R. Campbell, Executive VP and Chief Financial Officer Mr. Campbell joined the Bank in January 2023 as the Chief Financial Officer. Prior to joining the Bank, he served as the Director of Accounting and Corporate Controller for Laitram LLC, a global manufacturing company. Prior to joining Laitram LLC in 2005, Mr. Campbell served in corporate treasury, accounting and financial reporting, portfolio management, and lending roles for Hibernia National Bank for over ten years. Mr. Campbell also spent four years as an auditor with Ernst & Young LLP serving both public and privately-held clients in a variety of industries, including financial services. He has a Bachelor of Science in Finance from Louisiana State University and is a licensed Certified Public Accountant. Jeffrey W. Martin, Executive VP and Chief Credit Officer Mr. Martin joined the Bank in April 2020 as the Business Banking Director. In October 2021, he assumed the role of Chief Credit Officer. Prior to joining the Bank, he served as a Commercial Banking Executive for Regions Bank. He has over 30 years of banking experience, including senior roles in credit risk management, special assets, business development strategy and commercial banking. Linda M. Crochet, Executive VP and Chief Operating Officer Ms. Crochet joined the Bank in January 2019 as the Greater Baton Rouge Loan Portfolio President. In October 2021, she assumed the role of Chief Operations Officer of the Company and the Bank. Prior to joining the Bank, Ms. Crochet served as Senior Director of Credit Process and Technology within the Credit Risk Management department of Capital One Bank from 2005 to 2018. Ms. Crochet also spent 21 years at Hibernia National Bank, which was acquired by Capital One Bank in 2005, in various roles that include credit underwriting, credit policy, lending, and investor relations. 7#8Corporate Culture VALUES Integrity Neighborly Visionary Empowerment Star Service Team Focused Accountable Responsive MISSION INVESTAR IS a dynamic full service community bank focused on relationships that create value and opportunities for our customers, employees, shareholders and the community served INVESTAR® HOLDING CORPORATION 8#9TBV per Share¹ ($) Creating Shareholder Value Tangible Book Value Per Share¹ 6.4% TBV/Share (Ex. AOCI) GROWTH CAGR² 2018-2023Q1 $22.00 $20.00 $18.00 $17.13 $16.00 $14.00 $12.00 $17.46 $18.79 $18.62 $10.00 2018 2019 $19.89 $19.72 $19.20 $19.08 2020 2021 $22.37 $22.21 $17.74 $17.43 2022 2023Q1 TBV/Share 1 Non-GAAP financial measure; please see appendix for additional details TBV/Share (excl. AOCI) INVESTAR Abbreviation for Compound Annual Growth Rate - for the period beginning December 31, 2018 and ending March 31, 2023 HOLDING CORPORATION 2 Source: S&P Capital IQ Pro 9#10Recent GAAP Earnings Performance Net Income ($000) Earnings Per Share (Diluted) $10,103 $9,404 $7,304 $8,898 $3,812 $0.97 $0.92 $0.88 $0.73 $0.38 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 2022Q1 2022Q2 2022Q3 2022 Q4 2023Q1 1.60 1.48 2022Q1 INVESTAR® HOLDING CORPORATION ROAA (%) 1.11 1.32 0.57 Net Interest Margin (%) 3.75 3.77 3.70 3.50 3.13 2022Q2 2022Q3 2022Q4 2023Q1 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 10#11Recent Core Earnings Performance Core Net Income¹ ($000) Core Earnings Per Share (Diluted) 1 $7,107 $7,119 $6,328 $6,219 $5,123 $0.71 $0.68 $0.62 $0.62 $0.51 2022Q1 2022Q2 2022 Q3 2022Q4 2023Q1 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 Core ROAA (%) 1 Core Efficiency Ratio (%) 1 1.13 1.08 0.99 0.92 64.51 0.76 63.21 63.35 61.63 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 INVESTAR HOLDING CORPORATION 1 Non-GAAP financial measure; please see slides 22-24 in the appendix for additional details 69.89 2022Q1 2022Q2 2022 Q3 2022Q4 2023Q1 11#12Continued Execution of Acquisition Strategy Investar Has Completed 7 Whole Bank Acquisitions and 1 Branch Transaction 2011 South LA Business Bank (LA) 2013 First Community Bank (LA) 2017 BOJ Bancshares (LA) 2017 Citizens Bancshares (LA) 2019 2019 Bank of York (AL) Mainland Bank (TX) Total Assets: $2.8 Billion 2021 Cheaha Financial Group (AL) INVESTAR HOLDING CORPORATION 2020 Plains Capital Bank Branches (TX) 12#13Loan Portfolio – 1st Quarter Update - ■ Loan yield of 5.27% ▪ Total_loans_increased $4.3 million, or 0.2%, to $2.11 billion at March 31, 2023, compared to $2.10 billion at December 31, 2022. ☐ Excluding loans associated with the Alice and Victoria, Texas branches sold to First Community Bank, total loans increased $18.2 million, or 0.9% (3.6% annualized), to $2.11 billion at March 31, 2023, compared to $2.09 billion at December 31, 2022. Farmland 0.5% Multifamily. 3.8% 1-4 Family Residential 19.0% Consumer & Other 0.6% Owner-Occupied Commercial Real Estate 20.6% Construction & Development 10.0% Commercial & Industrial 20.2% As of March 31, 2023 Nonowner-Occupied Commercial Real Estate 25.3% (Dollars in Thousands) Construction & Development 1-4 Family Residential Multifamily 6/30/2021 $213,070 9/30/2021 12/31/2021 Loan Portfolio Detail - Quarterly Lookback 3/31/2022 6/30/2022 9/30/2022 12/31/2022 3/31/2023 $215,247 $203,204 $201,221 $214,543 $220,609 $201,633 $210,274 375,690 362,249 364,307 367,520 380,028 391,857 401,377 401,329 60,309 58,972 59,570 52,500 56,491 57,306 81,812 80,980 Farmland 22,263 21,376 20,128 18,296 15,676 14,202 12,877 10,731 Owner-Occupied Commercial Real Estate 438,590 432,898 460,205 436,763 440,714 445,671 445,148 433,585 Nonowner-Occupied Commercial Real Estate 445,125 435,575 436,172 471,447 451,108 464,520 513,095 533,572 Commercial & Industrial 370,203 335,008 310,831 314,093 343,355 397,759 435,093 425,093 Consumer & Other 22,570 19,333 17,595 15,603 14,480 13,753 13,732 13,480 Total Loans $1,947,820 $1,880,658 $1,872,012 $1,877,444 $1,916,395 $2,005,677 $2,104,767 $2,109,044 INVESTAR HOLDING CORPORATION 33 13#14Allowance for Credit Losses / Total Loans 0.63 Allowance for Credit Losses / Total Loans (%) 1.09 1.11 2019 Y 2020 Y 2021 Y (Dollars in Thousands) Allowance for Credit Losses Allowance for Credit Losses - Beginning ASC Topic 326 adoption impact Provision Charge-offs & Adj. Recoveries Allowance for Credit Losses - Ending INVESTAR HOLDING CORPORATION 1.16 1.45 2022Y 2023Q1 For the Year Ended 12/31/2019 12/31/2020 12/31/2021 12/31/2022 For the Three Months Ended 3/31/2023 9,454 10,700 20,363 20,859 24,364 $5,865 1,908 11,160 22,885 2,922 556 (800) (1,754) (22,636) (633) (510) 138 $10,700 257 $20,363 247 1,216 246 $20,859 $24,364 $30,521 1 Investar adopted the Current Expected Credit Loss accounting standard on January 1, 2023. Upon adoption, Investar recorded a one-time, cumulative effect adjustment to increase the allowance for credit losses by $5.9 million and reduce retained earnings, net of tax, by $4.3 million. 14#15$29,142 2022Q1 (0.04) 2022Q1 Asset Quality Trends Nonperforming Assets ($000s) $20,425 $15,440 $12,018 $6,361 2022Q2 2022Q3 2022Q4 Net Charge-offs / Avg. Loans (%) INVESTAR® HOLDING CORPORATION 1.13 NPAs/Assets (%) 0.79 2023Q1 2022Q1 2022Q2 0.01 0.00 0.00 0.00 0.58 0.44 0.23 2022Q4 2023Q1 2022Q3 Reserves / NPLs (%) 214.9 176.7 128.9 82.1 535.6 2022Q2 2022Q3 2022Q4 2023Q1 2022Q1 2022Q2 2022 Q3 2022Q4 2023Q1 15#16Deposit Portfolio ☐ ■ Total deposits increased $63.3 million, or 3.0%, to $2.15 billion at March 31, 2023, compared to $2.08 billion at December 31, 2022. ☐ ☐ Uninsured deposits were 32% of total deposits at March 31, 2023 and 34% at December 31, 2022. Beginning in the fourth quarter of 2022, management utilized brokered time deposits, entirely in denominations of less than $250,000, to secure fixed cost funding and reduce short-term borrowings. The weighted average duration of brokered time deposits is approximately 17 months with a weighted average rate of 4.91%. Deposit Mix at March 31, 2023 Money Market Interest- 8.4% bearing Savings 6.4% Brokered Demand 25.1% Noninterest- bearing Demand Time 23.7% 29.6% Time 6.8% Deposit Composition - Quarterly Lookback (Dollars in Thousands) 2021Q1 2021Q2 2021Q3 2021Q4 2022Q1 2022Q2 2022Q3 2022Q4 2023Q1 Noninterest-bearing Demand $515,487 $582,109 $597,452 $585,465 $614,416 $615,779 $590,610 $580,741 $508,241 Interest-bearing Demand 564,128 630,829 658,743 650,868 710,914 647,277 624,025 565,598 538,515 Brokered Demand Deposits 80,015 100,117 125,016 -- -- Money Market 200,744 243,058 264,846 255,501 276,112 243,795 251,213 208,596 180,402 Savings 154,131 174,385 174,953 180,837 182,532 176,760 167,131 155,176 137,336 Brokered Time 9,990 146,270 Time 495,375 529,668 482,631 447,595 402,030 379,059 Total Deposits $2,009,880 $2,260,166 $2,303,641 $2,120,266 $2,186,004 $2,062,670 419,704 $2,052,683 562,264 $2,082,365 634,883 $2,145,647 Total Deposit Interest Rate 0.48% 0.38% 0.32% 0.22% 0.18% 0.17% 0.25% 0.58% 1.20% INVESTAR® 16 HOLDING CORPORATION 1 Non-GAAP financial measure; please see appendix for additional details#17Financial Profile In $000s except for per share data 2018 2019 As of December 31 2020 2021 2022 6/30/2022 For the Three Months Ended 9/30/2022 12/31/2022 3/31/2023 Balance Sheet Total Assets $1,786,469 $2,148,916 Total Loans $1,400,825 $1,691,975 Total Deposits $1,361,731 $1,707,706 Loans/Deposits 102.87% 99.08% $2,321,181 $1,860,318 $1,887,824 98.54% $2,513,203 $2,753,807 $1,872,012 $2,104,767 $2,120,266 $2,082,365 88.29% 101.08% $2,590,607 $2,661,694 $2,753,807 $2,751,669 $1,916,395 $2,005,677 $2,104,767 $2,109,044 $2,062,670 $2,052,683 $2,082,365 $2,145,647 92.91% 97.71% 101.08% 98.29% Capital TCE/TA¹ TRBC Ratio Tier 1 Ratio Leverage Ratio Profitability Measures 9.20% 9.96% 9.22% 8.04% 6.37% 6.90% 6.20% 6.37% 6.48% 13.46% 15.02% 14.71% 12.99% 13.25% 13.28% 13.15% 13.25% 13.24% 11.59% 12.03% 11.36% 9.90% 10.21% 10.17% 10.08% 10.21% 10.06% 9.81% 10.45% 9.49% 8.12% 8.53% 8.57% 8.48% 8.53% 8.30% Net Interest Margin 3.61% 3.51% 3.49% 3.53% 3.67% 3.70% 3.77% 3.50% 3.13% Non Interest Income/Average Assets 0.26% 0.31% 0.53% 0.47% 0.70% 1.00% 0.40% 0.51% 0.16% Non Interest Expense/Average Assets 2.48% 2.44% 2.51% 2.45% 2.34% 2.44% 2.42% 2.06% 2.40% Efficiency Ratio 67.89% 67.81% 66.72% 65.79% 56.29% 54.85% 61.10% 53.59% 76.12% ROAA 0.81% 0.85% 0.61% 0.31% 1.37% 1.48% 1.11% 1.32% 0.57% ROAE 7.68% 8.21% 5.77% 3.22% 15.63% 16.40% 12.79% 16.69% 7.04% Diluted Earnings Per Share $1.39 $1.66 $1.27 $0.76 $3.50 $0.92 $0.73 $0.88 $0.38 Net Income $13,606 $16,839 $13,889 $8,000 $35,709 $9,404 $7,304 $8,898 $3,812 Asset Quality NPAs/Assets NCOs/Avg Loans 0.54% 0.30% 0.62% 1.28% 0.44% 0.79% 0.58% 0.44% 0.23% 0.08% 0.04% 0.08% 1.18% (0.03)% 0.00% 0.00% 0.00% 0.01% INVESTAR® HOLDING CORPORATION 1 Non-GAAP financial measure; please see appendix for additional details 17#18APPENDIX#19Non-GAAP Reconciliation (Dollars in thousands, except per share data) Tangible common equity: 2018 2019 As of December 31 2020 2021 2022 6/30/2022 For the Three Months Ended 9/30/2022 12/31/2022 3/31/2023 Total stockholders' equity Adjustments: $182,262 $241,976 $243,284 $242,598 $215,782 $219,369 $205,700 $215,782 $218,458 Goodwill Other intangibles (17,424) (2,363) (26,132) (4,903) (28,144) (4,088) Tangible common equity $162,475 $210,941 $211,052 (40,088) (3,948) $198,562 (40,088) (40,088) (40,088) (40,088) (40,088) (3,059) $172,635 (3,492) (3,272) (3,059) (2,776) $175,789 $162,340 $172,635 $175,594 AOCI (3,076) 1,891 Tangible common equity excluding AOCI $165,551 $209,050 1,805 $209,247 1,163 (48,913) (32,774) (50,603) (48,913) (44,250) $197,399 $221,548 $208,563 $212,943 $221,548 $219,844 Common shares outstanding 9,484,219 11,228,775 10,608,829 10,343,494 9,901,847 10,024,997 9,901,078 9,901,847 9,900,648 Book value per common share $19.22 $21.55 $22.93 $23.45 $21.79 $21.88 $20.78 $21.79 $22.07 Tangible book value per common share $17.13 $18.79 $19.89 $19.20 $17.43 $17.54 $16.40 $17.43 $17.74 Tangible book value per common share excluding AOCI $17.46 $18.62 $19.72 $19.08 $22.37 $20.80 $21.51 $22.37 $22.21 Tangible assets: Total assets Adjustments: Goodwill Other intangibles Tangible assets Total stockholders' equity to total assets ratio Tangible common equity to tangible assets ratio INVESTAR HOLDING CORPORATION $1,786,469 $2,148,916 $2,321,181 $2,513,203 $2,753,807 $2,590,607 $2,661,694 $2,753,807 $2,751,669 (17,424) (2,363) $1,766,682 (26,132) (4,903) $2,117,881 (28,144) (4,088) $2,288,949 (40,088) (3,948) $2,469,167 (40,088) (3,059) $2,710,660 (40,088) (3,492) $2,547,027 (40,088) (3,272) $2,618,334 (40,088) (40,088) (3,059) (2,776) $2,710,660 $2,708,805 10.20% 11.26% 10.48% 9.65% 7.84% 8.47% 7.73% 7.84% 7.94% 9.20% 9.96% 9.22% 8.04% 6.37% 6.90% 6.20% 6.37% 6.48% 19#20Non-GAAP Reconciliation (Dollars in thousands) Net Income Less: Provision Expense Less: Tax Expense 9/30/2021 12/31/2021 3/31/2022 For the Three Months Ended 6/30/2022 9/30/2022 12/31/2022 3/31/2023 $ (9,984) $ 6,936 $ 10,103 $ 9,404 $ 7,304 $ 8,898 $ 3,812 (21,713) (658) 449 (941) (1,162) (1,268) (388) 2,648 (1,642) (2,600) (2,459) (1,699) (1,881) (874) Pre-Tax, Pre-Provision Net Income $ 9,081 $ 9,236 $ 12,254 $ 12,804 $ 10,165 $ 12,047 $ 5,074 INVESTAR HOLDING CORPORATION 20#21Non-GAAP Reconciliation (Dollars in thousands) Interest on Deposits For the Three Months Ended 3/31/2022 3/31/2021 6/30/2021 9/30/2021 12/31/2021 $2,302 $2,114 $1,854 $1,217 $976 6/30/2022 9/30/2022 12/31/2022 3/31/2023 $907 $1,315 $3,052 $6,221 Average Interest-Bearing Deposits $1,484,515 $1,677,471 $1,691,318 $1,597,556 $1,576,643 $1,498,354 $1,456,826 $1,482,268 $1,557,665 Average Noninterest-Bearing Deposits $466,531 $559,431 $581,397 $603,162 $586,556 $611,618 $612,777 $590,020 $550,503 Average Total Deposits $1,951,046 $2,236,902 $2,272,715 $2,200,718 $2,163,199 $2,109,972 $2,069,603 $2,072,288 $2,108,168 Total Deposit Interest Rate 0.48% 0.38% 0.32% 0.22% 0.18% 0.17% 0.25% 0.58% 1.20% INVESTAR HOLDING CORPORATION 21 21#22Non-GAAP Reconciliation (Dollars in thousands) For the Three Months Ended 3/31/2022 6/30/2022 9/30/2022 12/31/2022 3/31/2023 Net interest income $21,821 $21,978 $23,467 $22,519 $20,173 Provision for credit losses (449) 941 1,162 1,268 Net interest income after provision Noninterest income $22,270 $21,037 $22,305 $21,251 388 $19,785 5,866 6,378 2,665 3,441 1,076 (Gain) loss on call or sale of investment securities (6) 1 (Gain) loss on sale or disposition of fixed assets (373) 461 103 67 859 (Gain) loss on sale of other real estate owned (41) 84 (50) (2) 142 Gain on sale of loans (75) Swap termination fee income (3,344) (4,733) Change in the fair value of equity securities (11) 86 27 (12) 4 Income from insurance proceeds (1,384) Change in the net asset value of other investments (305) 44 33 Core noninterest income $2,091 $2,276 $2,440 $2,154 $2,040 Core earnings before noninterest expense 24,361 23,313 24,745 23,405 21,825 Total noninterest expense 15,433 15,552 15,967 13,913 16,175 Acquisition expense Severance (8) (624) Employee retention credit, net of consulting fees 2,342 Divestiture Expense (651) Loss on early extinguishment of subordinated debt (222) Core noninterest expense $15,425 $15,330 $15,967 $15,631 $15,524 Core earnings before income tax expense $8,936 $7,983 $8,778 $7,774 $6,301 Core income tax expense 1,829 1,655 1,659 1,555 1,178 $7,107 $6,328 $7,119 $6,219 $5,123 Core Net Income INVESTAR® HOLDING CORPORATION 22#23Non-GAAP Reconciliation (Dollars in thousands) For the Three Months Ended 3/31/2022 6/30/2022 9/30/2022 12/31/2022 3/31/2023 Core basic earnings per common share $0.69 $0.62 $0.71 $0.63 $0.52 Diluted earnings per common share (GAAP) $0.97 $0.92 $0.73 $0.88 $0.38 Gain on call or sale of investment securities Loss (gain) on sale or disposition of fixed assets (0.03) 0.03 0.01 0.01 0.07 Loss (gain) on sale of other real estate owned, net 0.01 0.01 Gain on sale of loans¹ (0.01) Swap termination fee income (0.26) (0.37) Change in the fair value of equity securities 0.01 Income from insurance proceeds² Change in the net asset value of other investments³ (0.14) (0.03) Acquisition expense . Severance4 Employee retention credit, net of consulting fees 5 6 Divestiture expense 0.05 (0.18) 0.06 Loss on early extinguishment of subordinated debt Core diluted earnings per common share 0.02 $0.68 $0.62 $0.71 $0.62 $0.51 Efficiency ratio Core efficiency ratio Core return on average assets Total average assets INVESTAR HOLDING CORPORATION 55.74% 54.85% 61.10% 53.59% 76.12% 64.51% 63.21% 61.63% 63.35% 69.89% 1.13% 0.99% 1.08% 0.92% 0.76% $2,560,831 $2,553,849 $2,621,611 $2,677,604 $2,735,823 23#24¹Adjustment to noninterest income recorded upon completion of the sale of the Alice and Victoria branches for remaining discount on loans sold. 2Income from insurance proceeds represents nontaxable income related to an insurance policy for the former Chief Financial Officer of Investar and the Bank. 3 Change in net asset value of other investments represents unrealized gains or losses or Investar's investments in Small Business Investment Companies and other investment funds and is included in other operating income in the accompanying consolidated statements of income. 4 Severance in the fourth quarter of 2022 represents a comprehensive severance package for the former Chief Financial Officer of Investar and the Bank. 5ERC represents a broad based refundable payroll tax credit that incentivized businesses to retain employees on the payroll during the COVID-19 pandemic. 6Adjustments to noninterest expenses directly attributable to the sale of the Alice and Victoria, Texas branch locations, consisting of $0.4 million of occupancy expense to terminate the remaining contractually obligated lease payments, $0.1 million of salaries and employee benefits for severance, $0.1 million of professional fees for legal and consulting services, and $0.1 million of depreciation and amortization to accelerate the amortization of the remaining core deposit intangible. INVESTAR HOLDING CORPORATION 24 24#25Empty