wsfs-20210722
false000082894400008289442021-07-222021-07-22

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

July 22, 2021
Date of Report
(Date of Earliest Event Reported) 
WSFS Financial Corporation
(Exact Name of Registrant as Specified in its Charter)
 
Delaware001-3563822-2866913
(State or Other Jurisdiction
of incorporation)
(SEC Commission
File Number)
(IRS Employer
Identification Number)
500 Delaware Ave,
Wilmington, Delaware, 19801
(Address of Principal Executive Offices) (Zip Code)
Registrant’s Telephone Number, including Area Code: (302) 792-6000
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
 
Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.01 per shareWSFSNasdaq Global Select Market

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

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




Item 2.02 Results of Operation and Financial Condition

On July 22, 2021, the WSFS Financial Corporation (the “Registrant”) issued a press release to report earnings for the quarter ended June 30, 2021. A copy of the press release is furnished with this Form 8-K as Exhibit 99.1.

This information (including Exhibit 99.1) is being furnished under Item 2.02 hereof and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, and such information shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 7.01 Regulation FD Disclosures

The attached presentation contains information that the members of the Registrant's management will use during visits with investors, analysts, and other interested parties to assist their understanding of the Registrant from time to time throughout the third quarter of 2021. Other presentations and related materials will be made available as they are presented during the year. A copy of the investor presentation is furnished with this Form 8-K as Exhibit 99.2.

This information (including Exhibit 99.2) is being furnished under Item 7.01 hereof and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that section, and such information shall not be deemed incorporated by reference into any filing under the Securities Act, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Other Exhibits
(d) Exhibits.
99.1 Press Release, dated July 22, 2021
99.2 2Q 2021 Investor Presentation, dated July 22, 2021





SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, hereunto duly authorized.
 
WSFS FINANCIAL CORPORATION
Date:July 22, 2021By: /s/ Dominic C. Canuso
  Dominic C. Canuso
Executive Vice President and
Chief Financial Officer


Document
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WSFS Bank Center
1
500 Delaware Avenue,
Wilmington, Delaware 19801
EXHIBIT 99.1
FOR IMMEDIATE RELEASEInvestor Relations Contact: Dominic C. Canuso
(302) 571-6833; dcanuso@wsfsbank.com
July 22, 2021Media Contact: Rebecca Acevedo
(215) 253-5566; racevedo@wsfsbank.com

WSFS REPORTS 2Q 2021 EPS OF $2.01 AND ROA OF 2.60%;
RESULTS REFLECT STRENGTH OF DIVERSIFIED BUSINESS MODEL;
$67.6 MILLION ACL RELEASE FROM ECONOMIC OUTLOOK AND CREDIT TRENDS
WILMINGTON, Del. — WSFS Financial Corporation (Nasdaq: WSFS), the parent company of WSFS Bank, today announced its financial results for the second quarter of 2021.
Selected quarterly financial results and metrics are as follows:
(Dollars in millions, except per share data)2Q 20211Q 20212Q 2020
Net interest income$106.7 $114.2 $113.8 
Fee income49.0 47.8 64.4 
Total net revenue155.8 162.0 178.1 
(Recovery of) provision for credit losses(67.6)(20.2)94.8 
Noninterest expense96.0 95.6 93.4 
Net income attributable to WSFS
95.7 65.1 (7.1)
Pre-provision net revenue (PPNR)(1)
59.7 66.4 84.7 
Earnings per share (diluted)2.01 1.36 (0.14)
Return on average assets (ROA) (a)2.60 %1.85 %(0.22)%
Return on average equity (ROE) (a)21.3 14.9 (1.6)
Efficiency ratio61.6 58.9 52.4 
GAAP results for the quarterly periods shown below included the following items that are excluded from core results. During the quarter, WSFS recorded a $5.1 million unrealized gain on our investment in Social Finance, Inc. (SoFi), which we liquidated at a net realized gain of $4.4 million in July 2021. For 2Q 2021, the $2.4 million of corporate development and restructuring expense primarily relates to our pending combination with Bryn Mawr Bank Corporation (“Bryn Mawr”) anticipated to close in early 4Q 2021.
2Q 20211Q 20212Q 2020
(Dollars in millions, except per share data)Total
(pre-tax)
Per share
(after-tax)
Total
(pre-tax)
Per share
(after-tax)
Total
(pre-tax)
Per share
(after-tax)
Securities gains$ $ $0.3 $0.01 $1.9 $0.03 
Unrealized gain on equity investments, net5.3 0.08 — — — — 
Realized gain on sale of equity investment, net  — — 22.1 0.35 
Corporate development and restructuring expense2.4 0.04 1.8 0.04 2.8 0.04 
Loss on debt extinguishment1.1 0.02 — — — — 
Contribution to WSFS CARES Foundation1.0 0.02 — — — — 
(1) As used in this press release, PPNR is a non-GAAP financial measure calculated as net revenue before (recovery of) provision for credit losses and net of noninterest expense. For a reconciliation of this and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.


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WSFS Bank Center
2
500 Delaware Avenue,
Wilmington, Delaware 19801
CEO Commentary
Rodger Levenson, Chairman, President and CEO, said, “Our 2Q operating results included continued improvement across key credit metrics, solid growth in our fee businesses, and a strong capital and balance sheet position. We are well positioned for the post-COVID economic recovery, including our significant organic growth opportunity as the largest locally owned bank and wealth management franchise in the Greater Philadelphia and Delaware region.
“During the quarter we were also pleased to receive stockholder approval on our upcoming combination with Bryn Mawr. In addition, we recently received a key regulatory approval from the Office of the Comptroller of the Currency. Pending the remaining required regulatory approval, we remain on track for an early fourth quarter close.
“Additionally, we recognized a gain on our shares of SoFi which went public during the quarter. This investment began in 2015 from our relationship with Zenbanx and is consistent with our history of partnerships with entrepreneurial companies to enhance our knowledge base of innovative products and services. We were pleased to take a portion of these proceeds to make a $1.0 million contribution to the WSFS CARES Foundation. We continue to invest in the success of our local communities, which is critical to our strategy of “Engaged Associates, living our culture, making a better life for all we serve.”


























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WSFS Bank Center
3
500 Delaware Avenue,
Wilmington, Delaware 19801
Highlights for 2Q 2021: 
Core ROA(2) was 2.59% in 2Q 2021 compared to (0.73)% for 2Q 2020.
Core EPS(2) was $2.00 in 2Q 2021 compared to $(0.46) for 2Q 2020.
Total net credit (recoveries) costs were $(68.1) million during the quarter. Second quarter results reflected a $72.4 million decrease in the allowance for credit losses ("ACL") as credit quality improved quarter-over-quarter, including declines in problem assets, nonperforming assets, and delinquencies, and economic forecasts continued to improve. The ACL coverage ratio was 1.63%, excluding Paycheck Protection Program ("PPP") loans, at June 30, 2021.
Core fee revenue (noninterest income) was $43.8 million, an increase of $3.3 million, or 8%, compared to 2Q 2020. Excluding the impact of the Durbin Amendment effective at the beginning of 3Q 2020 and PPP loans, core fee revenue increased $6.3 million, or 16%.
On June 15, 2021, WSFS completed the redemption of $100.0 million in aggregate principal amount of our 4.50% fixed-to-floating rate senior notes due 2026 and recorded a $1.1 million loss on debt extinguishment to recognize the remaining unamortized debt issue costs.
WSFS made a $1.0 million (pre-tax) contribution, or $0.02 per share (after-tax), to the WSFS CARES Foundation to further fund support to our expanded communities.
On June 10, 2021, WSFS and Bryn Mawr stockholders approved the previously announced merger of Bryn Mawr into WSFS at their respective special meetings of stockholders.
The Board of Directors approved a quarterly cash dividend of $0.13 per share of common stock.




(2) As used in this press release, core ROA, core EPS and core fee revenue (noninterest income) are a non-GAAP financial measure. This non-GAAP financial measure excludes certain pre-tax adjustments and the tax impact of such adjustments. For a reconciliation of this and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.


https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
4
500 Delaware Avenue,
Wilmington, Delaware 19801
Second Quarter 2021 Discussion of Financial Results
Balance Sheet
The following tables summarize loan and lease and customer deposit balances and composition at June 30, 2021 compared to March 31, 2021 and June 30, 2020:
Loans and Leases
(Dollars in thousands)June 30, 2021March 31, 2021June 30, 2020
Commercial & industrial (C&I)$3,233,412 39 %$3,212,970 38 %$3,354,007 36 %
Commercial real estate (CRE)2,024,684 25 1,975,966 23 2,165,547 24 
PPP222,869 3 526,789 945,136 10 
Construction779,601 9 784,101 638,504 
Commercial small business leases291,657 4 264,937 213,133 
Total commercial loans6,552,223 80 6,764,763 79 7,316,327 79 
Residential mortgage720,045 9 829,234 10 1,012,235 11 
Consumer1,105,169 13 1,140,034 13 1,133,371 13 
ACL(132,418)(2)(204,818)(2)(232,192)(3)
Net loans and leases$8,245,019 100 %$8,529,213 100 %$9,229,741 100 %
Customer Deposits
(Dollars in thousands)
June 30, 2021March 31, 2021June 30, 2020
Noninterest demand$4,328,060 34 %$3,857,610 31 %$3,188,046 30 %
Interest-bearing demand2,633,423 21 2,659,336 22 2,302,484 21 
Savings1,927,627 15 1,886,222 16 1,731,875 16 
Money market2,722,868 22 2,721,647 22 2,333,326 22 
Total core deposits11,611,978 92 11,124,815 91 9,555,731 89 
Customer time deposits1,052,042 8 1,093,984 1,228,440 11 
Total customer deposits$12,664,020 100 %$12,218,799 100 %$10,784,171 100 %
At June 30, 2021, WSFS’ net loan and lease portfolio decreased $284.2 million when compared with March 31, 2021, including a $303.9 million decrease in PPP loans primarily due to forgiveness. Excluding PPP loans, purposeful run-off portfolios, and the ACL, loans increased $34.2 million, or 2% (annualized), due to growth in C&I, CRE, and commercial small business leases.
Net loans and leases at June 30, 2021 decreased $984.7 million when compared with June 30, 2020, including a $722.3 million decrease in PPP loans primarily due to forgiveness. Excluding PPP loans, purposeful run-off portfolios, and the ACL, loans increased $93.3 million, or 1%, year-over-year, with growth across CRE, construction, and commercial small business leases.


https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
5
500 Delaware Avenue,
Wilmington, Delaware 19801
Total customer deposits were $12.7 billion at June 30, 2021, a $445.2 million, or 15% (annualized), increase from March 31, 2021 and a $1.9 billion, or 17%, increase from June 30, 2020, reflecting continued elevated deposits from customers who received PPP loans, government stimulus impact, lower customer spending, and Trust relationships. Core deposits were $11.6 billion at June 30, 2021, an increase of $487.2 million, or 18% (annualized), over the prior quarter, including $310.4 million of deposits from Trust relationships. Core deposits were a strong 92% of total customer deposits and no- and low-cost checking accounts represented a robust 55% of total customer deposits at June 30, 2021. These core deposits predominantly represent longer-term, less price-sensitive customer relationships. The ratio of net loans and leases to customer deposits was 65% at June 30, 2021 reflecting significant liquidity capacity.
Net Interest Income
Three Months Ending
(Dollars in thousands)
June 30, 2021March 31, 2021June 30, 2020
Net interest income before purchase accretion and PPP$93,409 $93,524 $96,400 
Purchase accounting accretion7,594 11,295 12,520 
Net interest income before PPP
101,003 104,819 108,920 
PPP5,746 9,366 4,836 
Net interest income
$106,749 $114,185 $113,756 
Net interest margin before purchase accretion and PPP2.91 %3.10 %3.58 %
Purchase accounting accretion0.24 0.37 0.43 
Net interest margin before PPP
3.15 3.47 4.01 
PPP0.08 0.12 (0.08)
Net interest margin
3.23 %3.59 %3.93 %
Net interest income decreased $7.0 million, or 6%, compared to 2Q 2020, due to a $4.9 million decrease in purchase accounting accretion and a $3.0 million reduction primarily from lower loan balances due to purposeful run-off and excluding PPP. These decreases were partially offset by $0.9 million of higher PPP income in 2Q 2021. Net interest income decreased $7.4 million, or 7% (not annualized), from 1Q 2021 due to a $3.7 million decrease in purchase accounting accretion and $3.6 million of lower PPP income due to lower balances from loan forgiveness.




https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
6
500 Delaware Avenue,
Wilmington, Delaware 19801
Net interest margin decreased 70 bps from 2Q 2020, including 45 bps from the significant excess liquidity impact on customer deposits, 22 bps from lower purchase accounting accretion, and a 19 bps net decline from the lower rate environment and balance sheet mix, partially offset by a 16 bps increase from PPP. Net interest margin decreased 36 bps from 1Q 2021 including 13 bps from lower purchase accounting accretion, 11 bps from the liquidity increase in customer deposits, 8 bps from balance sheet mix and lower yields from turnover in our loan and investment portfolios, and 4 bps from PPP.
Second quarter 2021 results were significantly impacted by continued high levels of excess customer liquidity described above. The additional customer deposits reduced our net interest margin by approximately 50 bps compared to a reduction of 39 bps in 1Q 2021 and 5 bps in 2Q 2020.
Credit Quality
Credit quality improved across all leading metrics during the quarter, including total problem assets(3) which were $624.9 million at June 30, 2021 compared to $723.6 million at March 31, 2021, with most of the decline attributable to the hotel sector. Delinquencies decreased to $54.5 million at June 30, 2021, or 0.66% of gross loans, and are relatively consistent with pre-COVID historical trends.
Nonperforming assets declined to $40.1 million at June 30, 2021 primarily due to the resolution of one C&I problem loan relationship during the quarter. Net charge-offs for 2Q 2021 were $4.8 million, or 0.23% (annualized) of average gross loans, mainly driven by the resolution of the same C&I problem loan relationship. Customer loans receiving short-term loan modifications at June 30, 2021 were $120.4 million, or 1% of the loan portfolio excluding PPP.
Total net credit (recoveries) costs were $(68.1) million in the quarter compared to $(19.0) million in 1Q 2021, and the ACL decreased to $132.4 million due to improved economic forecasts from the prior quarter, favorable overall risk rating migration and new loan originations offset by portfolio run-off.




(3) Total problem assets includes all criticized, classified, and nonperforming loans as well as other real estate owned (OREO).


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WSFS Bank Center
7
500 Delaware Avenue,
Wilmington, Delaware 19801
The following table summarizes credit quality metrics as of and for the period ended June 30, 2021 compared to March 31, 2021 and June 30, 2020.
(Dollars in millions)June 30, 2021March 31, 2021June 30, 2020
Problem assets $624.9 $723.6 $568.5 
Nonperforming assets40.1 49.5 44.9 
Delinquencies54.5 69.3 48.4 
Net charge-offs4.8 3.8 1.6 
Total net credit (recoveries) costs (r)(68.1)(19.0)99.3 
Problem assets to total Tier 1 capital plus ACL39.73 %46.72 %37.30 %
Classified assets to total Tier 1 capital plus ACL26.06 32.63 25.52 
Ratio of nonperforming assets to total assets0.26 0.34 0.33 
Ratio of nonperforming assets (excluding accruing TDRs) to total assets0.17 0.23 0.22 
Delinquencies to gross loans0.66 0.81 0.51 
Ratio of quarterly net charge-offs to average gross loans0.23 0.18 0.07 
Ratio of allowance for credit losses to total loans and leases (q) 1.59 2.36 2.45 
Ratio of allowance for credit losses to nonaccruing loans551 644 887 
See “Notes”

Core Fee Revenue
Core fee revenue (noninterest income) was $43.8 million, an increase of $3.3 million, or 8%, compared to 2Q 2020, including a $3.4 million decrease in interchange fees resulting from the Durbin Amendment effective at the beginning of 3Q 2020 and $0.4 million of referral fees related to PPP round two loans during the quarter. Excluding Durbin and PPP, core fee revenue increased $6.3 million, or 16%, including increases of $4.5 million from Trust and Wealth services revenue, $2.2 million from Cash Connect®, $1.2 million from gains on SBA loans, $1.1 million from deposit service charges, and $1.3 million from all other banking fees. These increases reflect strong diversification in our revenue sources and increased transaction activity as the economy reopens. Partially offsetting these increases was a $4.0 million decline in mortgage banking fees primarily resulting from the expected decline in refinancing originations compared to the historically higher levels in 2Q 2020.




https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
8
500 Delaware Avenue,
Wilmington, Delaware 19801
Core fee revenue decreased $3.7 million, or 8%, compared to 1Q 2021, due to a $4.1 million decrease in mortgage banking revenue and $1.8 million of lower PPP Round Two referral fees in the quarter. Partially offsetting these decreases were a $1.5 million increase in Cash Connect® fees and a $0.7 million increase in Wealth Management fees.
For 2Q 2021, core fee revenue was 29.0% of core net revenue compared to 26.2% at 2Q 2020, and was diversified among various sources, including traditional banking, mortgage banking, Wealth Management and Cash Connect®. The year-over-year percentage comparison also includes the impact of lower net interest income offset by the adverse impacts of the Durbin Amendment.
Core Noninterest Expense(4)
Core noninterest expense of $91.5 million for 2Q 2021 increased $0.9 million compared to $90.6 million in 2Q 2020, primarily due to a $3.7 million increase in salaries and benefits reflecting franchise growth, a $1.6 million increase in equipment expenses primarily due to higher third-party software expense related to our ongoing delivery transformation initiatives, and a $0.9 million increase in Cash Connect® costs that were more than offset by higher revenue. Partially offsetting these increases was a $5.1 million decrease in loan workout and other credit costs compared to 2Q 2020, which included a $4.2 million decrease to the unfunded commitment reserve.
When compared to 1Q 2021, core noninterest expense decreased $2.2 million primarily due to $1.7 million of lower loan workout and other credit costs, including a $1.4 million decrease in the unfunded commitment reserve resulting from line draws in 2Q 2021.
Our core efficiency ratio(4) was 60.7% in 2Q 2021, compared to 57.9% in 1Q 2021 and 58.7% in 2Q 2020 primarily due to the impact of lower net interest income.
Income Taxes
We recorded a $31.7 million income tax provision in 2Q 2021, compared to $21.4 million income tax provision in 1Q 2021 and $2.2 million income tax benefit in 2Q 2020. The effective tax rate was 24.9% in 2Q 2021, 24.7% in 1Q 2021, and 22.3% in 2Q 2020. The year-over-year increase primarily reflects the impact of higher pre-tax income in 2Q 2021.
(4) As used in this press release, core noninterest expense and core efficiency ratio are non-GAAP financial measures. These non-GAAP financial measures exclude corporate development and restructuring expense and the contribution to the WSFS Community Fund. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release


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WSFS Bank Center
9
500 Delaware Avenue,
Wilmington, Delaware 19801
Capital Management
The Board of Directors approved a quarterly cash dividend of $0.13 per share of common stock. This dividend will be paid on August 19, 2021 to stockholders of record as of August 5, 2021.
No repurchases of common stock occurred in 2Q 2021 and we expect repurchases will continue to be suspended until the close of the merger with Bryn Mawr, which is currently anticipated to occur early in the fourth quarter of 2021. WSFS has 4,381,161 shares, or approximately 9% of outstanding shares, remaining to repurchase under our current authorization.
WSFS’ total stockholders’ equity increased $113.4 million, or 6% (not annualized), during 2Q 2021, primarily due to quarterly earnings and a $24.1 million market-value increase on available-for-sale securities, partially offset by the dividend on common stock paid during the quarter.
WSFS’ tangible common equity(5) increased $116.2 million, or 10% (not annualized) compared to March 31, 2021 for the reasons described above. WSFS’ common equity to assets ratio was 12.44% at June 30, 2021, and our tangible common equity to tangible assets ratio(5) increased by 55 bps during the quarter to 9.13%.
At June 30, 2021, book value per share was $39.63, an increase of $2.36, or 6%, from March 31, 2021, and tangible common book value per share(5) was $28.02, an increase of $2.42 from March 31, 2021.
At June 30, 2021, WSFS Bank’s Tier 1 leverage ratio of 10.11%, Common Equity Tier 1 capital ratio and Tier 1 capital ratio of 14.21%, and Total Capital ratio of 15.41% were all substantially in excess of the “well-capitalized” regulatory benchmarks.





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


https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
10
500 Delaware Avenue,
Wilmington, Delaware 19801
Selected Business Segments (included in previous results):
Wealth Management
The Wealth Management segment provides a broad array of planning and advisory services, investment management, trust services, and credit and deposit products to individual, corporate, and institutional clients through multiple integrated businesses. Combined, these businesses had $26.7 billion in assets under management (AUM) and assets under administration (AUA) as of June 30, 2021. 
Wealth Management reported pre-tax income of $10.7 million in 2Q 2021 compared to $3.9 million in 2Q 2020, and $9.3 million in 1Q 2021.
For 2Q 2021, total revenue (net interest income and fee income) was $20.4 million, an increase of $5.7 million, or 39%, compared to 2Q 2020 and $1.3 million, or 7%, compared to 1Q 2021. The increases were due to strong results across all Wealth Management lines of business.
WSFS Institutional Services®' revenue of $8.9 million in 2Q 2021 was up 61% from 2Q 2020 and up 13% from 1Q 2021. Growth in our corporate trust business was supported by continued strength in the debt securitization market as reflected by a 13% increase in transaction volume relative to 1Q 2021 and new client relationships. We retained our industry ranking position of #6 according to Asset Backed Alert while increasing market share from 5% to approximately 8%.
Revenue from our advisory businesses, consisting of West Capital Management®, Cypress and WSFS Wealth® Investments, totaled $3.9 million in 2Q 2021 compared to $3.0 million in 2Q 2020, and $4.2 million in 1Q 2021. Net AUM at the end of 2Q 2021 was 15% higher than 2Q 2020 and 8% (non-annualized) higher than 1Q 2021 primarily from strong equity market performance and client inflows.
Total noninterest expense (including intercompany allocations and excluding provision for credit losses) was $10.9 million in 2Q 2021, compared to $9.9 million in 2Q 2020 and $10.4 million in 1Q 2021. Wealth Management efficiency ratio was 47% in 2Q 2021, compared to 59% in 2Q 2020 and 47% in 1Q 2021.



https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
11
500 Delaware Avenue,
Wilmington, Delaware 19801
Cash Connect®
Cash Connect® is a premier provider of ATM vault cash, smart safe and cash logistics services in the United States. Cash Connect® services approximately 34,000 non-bank ATMs and retail safes nationwide supplying or servicing approximately $1.8 billion in cash at June 30, 2021. Cash Connect® also supports over 600 ATMs for WSFS Bank Customers, which is one of the largest branded ATM networks in our market.
Cash Connect® reported pre-tax income of $3.3 million for 2Q 2021, an increase of $1.3 million, or 64%, compared to 2Q 2020 and an increase of $1.6 million, or 93%, compared to 1Q 2021. These increases were driven by resumption of economic activity and cash usage as the effects of the pandemic continued to recede. ROA of 2.08% in 2Q 2021 increased 80 bps from 1Q 2021 and 27 bps from 2Q 2020.
Net revenue of $11.7 million in 2Q 2021 was up $2.3 million from 2Q 2020 and $1.6 million from 1Q 2021. These increases were driven by higher average ATM and smart safe cash volume.
Noninterest expense (including intercompany allocations of expense) was $8.4 million in 2Q 2021, an increase of $1.1 million compared to 2Q 2020 driven by increased armored carrier activity (offset in managed services revenue), and flat compared to 1Q 2021.
During 2Q 2021, Cash Connect® continued to see a higher demand for cash as ATM and smart safe activity increased across the nation with in person cash transactions. During the quarter, the division added over 1,500 smart safes and non-asset based reconciliation ATM units, and total cash managed of approximately $1.8 billion at the end of 2Q 2021, as Cash Connect® continues to expand and build upon relationships with retailers and top financial institutions nationwide.


https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
12
500 Delaware Avenue,
Wilmington, Delaware 19801
Second Quarter 2021 Earnings Release Conference Call
Management will conduct a conference call to review 2Q 2021 results at 1:00 p.m. Eastern Time (ET) on Friday, July 23, 2021. Interested parties may listen to this call by dialing 1-877-312-5857 and using Conference ID #9377417. A rebroadcast of the conference call will be available beginning at 4:00 p.m. ET on July 23, 2021 until August 3, 2021 by dialing 1-855-859-2056 and using Conference ID #9377417.
About WSFS Financial Corporation
WSFS Financial Corporation is a multi-billion dollar financial services company. Its primary subsidiary, WSFS Bank, is the oldest and largest locally-managed bank and trust company headquartered in Delaware and the Greater Philadelphia region. As of June 30, 2021, WSFS Financial Corporation had $15.1 billion in assets on its balance sheet and $26.7 billion in assets under management and administration. WSFS operates from 112 offices, 89 of which are banking offices, located in Pennsylvania (52), Delaware (42), New Jersey (16), Virginia (1) and Nevada (1) and provides comprehensive financial services including commercial banking, retail banking, cash management and trust and wealth management. Other subsidiaries or divisions include Arrow Land Transfer, Cash Connect®, Cypress Capital Management, LLC, Christiana Trust Company of Delaware®, NewLane Finance®, Powdermill® Financial Solutions, West Capital Management®, WSFS Institutional Services®, WSFS Mortgage®, and WSFS Wealth® Investments. Serving the Greater Delaware Valley since 1832, WSFS Bank is one of the ten oldest banks in the United States continuously operating under the same name. For more information, please visit www.wsfsbank.com.


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WSFS Bank Center
13
500 Delaware Avenue,
Wilmington, Delaware 19801
Forward-Looking Statement Disclaimer
This press release contains estimates, predictions, opinions, projections and other "forward-looking statements" as that phrase is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, references to the Company's predictions or expectations of future business or financial performance as well as its goals and objectives for future operations, financial and business trends, business prospects, and management's outlook or expectations for earnings, revenues, expenses, capital levels, liquidity levels, asset quality or other future financial or business performance, strategies or expectations. The words “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project” and similar expressions, among others, generally identify forward-looking statements. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company's control) and are subject to risks and uncertainties (which change over time) and other factors which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties include, but are not limited to, difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the markets in which the Company operates and in which its loans are concentrated, including possible declines in housing markets, an increase in unemployment levels and slowdowns in economic growth, including as a result of the novel coronavirus ("COVID-19") pandemic; possible additional loan losses and impairment of the collectability of loans, particularly as a result of the COVID-19 pandemic and the policies and programs implemented by the CARES Act including its automatic loan forbearance provisions and our PPP lending activities; additional credit, fraud and litigation risks associated with our PPP lending activities; economic and financial impact of federal, state and local emergency orders and other actions taken in response to the COVID-19 pandemic; the continuation of these conditions related to the COVID-19 pandemic, including whether due to a resurgence or additional waves of COVID-19 infections, particularly as the geographic areas in which we operate continue to re-open, and how quickly and to what extent normal economic and operating conditions can resume, especially as a vaccine becomes widely available; the Company's level of nonperforming assets and the costs associated with resolving problem loans including litigation and other costs and complying with government-imposed foreclosure moratoriums; changes in market interest rates which may increase funding costs and reduce earning asset yields and thus reduce margin; the impact of changes in interest rates and the credit quality and strength of underlying collateral and the effect of such changes on the market value of the Company's investment securities portfolio; the credit risk associated with the substantial amount of commercial real estate, construction and land development, and commercial and industrial loans in the Company's loan portfolio; the extensive federal and state regulation, supervision and examination governing almost every aspect of the Company's operations and potential expenses associated with complying with such regulations; the Company's ability to comply with applicable capital and liquidity requirements (including the effect of the transition to the Current Expected Credit Losses (CECL) methodology for allowances and related adjustments), including its ability to generate liquidity internally or raise capital on favorable terms; possible changes in trade, monetary and fiscal policies and stimulus programs, laws and regulations and other activities of governments, agencies, and similar organizations, and the uncertainty of the short- and long-term impacts of such changes; any impairments of the Company's goodwill or other intangible assets; conditions in the financial markets, including the destabilized economic environment caused by the COVID-19 pandemic, that may limit the Company's access to additional funding to meet its liquidity needs; the intention of the United Kingdom's Financial Conduct Authority (FCA) to cease support of London Inter-Bank Offered Rate (LIBOR) and the transition to an alternative reference interest rate, such as the Secured Overnight Funding Rate (SOFR), including methodologies for calculating the rate that are different from the LIBOR methodology and changed language for existing and new floating or adjustable rate contracts; the success of the Company's growth plans, including its plans to grow the commercial small business leasing portfolio and residential mortgage small business and Small Business Administration portfolios; the Company's ability to successfully integrate and fully realize the cost savings and other benefits of its acquisitions, manage risks related to business disruption following those acquisitions, and post-acquisition Customer acceptance of the Company's products and services and related Customer disintermediation, including its pending acquisition of Bryn Mawr; the Company’s ability to complete the acquisition of Bryn Mawr on the terms proposed, which are subject to a number of conditions, risks and uncertainties, including the possibility that the proposed acquisition does not close when expected or at all because all conditions to closing are not received or satisfied on a timely basis or at all, the failure to close for any other reason, diversion of management time on merger-related issues, risks relating to the potential dilutive effect of shares of the Company’s common stock to be issued in the acquisition of Bryn Mawr, and the reaction to the acquisition of Bryn Mawr of the companies’ customers, employees and counterparties; negative perceptions or publicity with respect to the Company generally and, in particular, the Company's trust and wealth management business; failure of the financial and operational controls of the Company's Cash Connect® division; adverse judgments or other resolution of pending and future legal proceedings, and cost incurred in defending such proceedings; the Company's reliance on third parties for certain important functions, including the operation of its core systems, and any failures by such third parties; system failures or cybersecurity incidents or other breaches of the Company's network security, particularly given widespread remote working arrangements; the Company's ability to recruit and retain key Associates; the effects of problems encountered by other financial institutions that adversely affect the Company or the banking industry generally; the effects of weather and natural disasters such as floods, droughts, wind, tornadoes and hurricanes as well as effects from geopolitical instability, public health crises and man-made disasters including terrorist attacks; the effects of regional or national civil unrest (including any resulting branch or ATM closures or damage); possible changes in the speed of loan prepayments by the Company's Customers and loan origination or sales volumes; possible changes in the speed of prepayments of mortgage-backed securities due to changes in the interest rate environment, particularly as a result of the COVID-19 pandemic, and the related acceleration of premium amortization on prepayments in the event that prepayments accelerate; regulatory limits on the Company's ability to receive dividends from its subsidiaries and pay dividends to its stockholders; any reputation, credit, interest rate, market, operational, litigation, legal, liquidity, regulatory and compliance risk resulting from developments related to any of the risks discussed above; and other risks and uncertainties, including those discussed in the Company's Form 10-K for the year ended December 31, 2020, Form 10-Q for the quarter ended March 31, 2021 and other documents filed by the Company with the Securities and Exchange Commission from time to time.
We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date on which they are made, and the Company disclaims any duty to revise or update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company for any reason, except as specifically required by law. As used in this press release, the terms "WSFS," "the Company," "registrant," "we," "us," and "our" mean WSFS Financial Corporation and its subsidiaries, on a consolidated basis, unless the context indicates otherwise.


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WSFS Bank Center
14
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS
SUMMARY STATEMENTS OF INCOME (Unaudited)
Three months endedSix months ended
(Dollars in thousands, except per share data)June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
Interest income:
Interest and fees on loans $98,645 $108,852 $112,260 $207,497 $231,462 
Interest on mortgage-backed securities12,506 10,704 12,549 23,210 25,768 
Interest and dividends on investment securities1,383 1,449 1,009 2,832 1,935 
Other interest income368 276 65 644 573 
112,902 121,281 125,883 234,183 259,738 
Interest expense:
Interest on deposits3,778 4,496 9,832 8,274 24,469 
Interest on Federal Home Loan Bank advances 625 5 1,455 
Interest on senior debt2,053 2,266 1,180 4,319 2,359 
Interest on trust preferred borrowings317 324 484 641 1,070 
Interest on other borrowings5 10 479 
6,153 7,096 12,127 13,249 29,832 
Net interest income106,749 114,185 113,756 220,934 229,906 
(Recovery of) provision for credit losses(67,563)(20,160)94,754 (87,723)151,400 
Net interest income after (recovery of) provision for credit losses174,312 134,345 19,002 308,657 78,506 
Noninterest income:
Credit/debit card and ATM income7,567 6,805 9,306 14,372 20,665 
Investment management and fiduciary revenue15,360 14,253 10,929 29,613 21,891 
Deposit service charges5,319 5,460 4,175 10,779 9,822 
Mortgage banking activities, net4,453 8,600 8,494 13,053 11,965 
Loan and lease fee income1,730 3,485 1,097 5,215 2,216 
Securities gains, net 329 1,908 329 2,601 
Unrealized gain (loss) on equity investment, net5,261 — (11)5,261 657 
Realized gain on sale of equity investment, net — 22,052  22,052 
Bank-owned life insurance income695 205 445 900 420 
Other income8,633 8,685 5,980 17,318 12,933 
49,018 47,822 64,375 96,840 105,222 
Noninterest expense:
Salaries, benefits and other compensation52,408 53,138 48,757 105,546 94,103 
Occupancy expense8,083 8,460 8,296 16,543 15,962 
Equipment expense7,338 7,391 5,759 14,729 10,723 
Data processing and operations expense3,444 3,385 3,061 6,829 6,139 
Professional fees3,401 3,856 4,423 7,257 9,023 
Marketing expense1,286 992 1,215 2,278 2,166 
FDIC expenses1,056 1,069 305 2,125 251 
Loss on debt extinguishment1,087 — — 1,087 — 
Loan workout and other credit costs(552)1,120 4,587 568 5,040 
Corporate development expense2,543 2,095 2,801 4,638 4,142 
Restructuring expense(144)(265)— (409)— 
Other operating expenses16,082 14,378 14,231 30,460 34,382 
96,032 95,619 93,435 191,651 181,931 
Income (loss) before taxes127,298 86,548 (10,058)213,846 1,797 
Income tax provision (benefit)31,687 21,407 (2,247)53,094 (959)
Net income (loss)95,611 65,141 (7,811)160,752 2,756 
Less: Net (loss) income attributable to noncontrolling interest(56)59 (700)3 (1,060)
Net income (loss) attributable to WSFS$95,667 $65,082 $(7,111)$160,749 $3,816 
Diluted earnings (loss) per share of common stock:$2.01 $1.36 $(0.14)$3.37 $0.07 
Weighted average shares of common stock outstanding for fully diluted EPS47,691,709 47,792,108 50,655,154 47,675,223 50,910,790 
See “Notes”


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WSFS Bank Center
15
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS
SUMMARY STATEMENTS OF INCOME (Unaudited) - continued
Three months endedSix months ended
 June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
Performance Ratios:
Return on average assets (a)2.60 %1.85 %(0.22)%2.23 %0.06 %
Return on average equity (a)21.32 14.90 (1.55)18.15 0.42 
Return on average tangible common equity (a)(o)31.43 22.38 (1.55)26.99 1.28 
Net interest margin (a)(b)3.23 3.59 3.93 3.40 4.14 
Efficiency ratio (c)61.55 58.93 52.36 60.21 54.19 
Noninterest income as a percentage of total net revenue (b)31.42 29.47 36.07 30.43 31.34 
See “Notes”



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WSFS Bank Center
16
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
SUMMARY STATEMENTS OF FINANCIAL CONDITION (Unaudited)
(Dollars in thousands)June 30, 2021March 31, 2021June 30, 2020
Assets:
Cash and due from banks$1,944,059 $1,628,773 $583,221 
Cash in non-owned ATMs470,157 428,180 360,969 
Investment securities, available-for-sale3,366,579 2,987,885 2,195,389 
Investment securities, held-to-maturity95,126 103,523 127,601 
Other investments28,635 22,941 31,560 
Net loans and leases (e)(f)(l)8,245,019 8,529,213 9,229,741 
Bank owned life insurance32,759 32,255 30,391 
Goodwill and intangibles551,951 554,701 562,515 
Other assets414,576 442,981 451,970 
Total assets$15,148,861 $14,730,452 $13,573,357 
Liabilities and Stockholders’ Equity:
Noninterest-bearing deposits$4,328,060 $3,857,610 $3,188,046 
Interest-bearing deposits8,335,960 8,361,189 7,596,125 
Total customer deposits12,664,020 12,218,799 10,784,171 
Brokered deposits62,825 64,901 278,329 
Total deposits12,726,845 12,283,700 11,062,500 
Federal Home Loan Bank advances — 106,395 
Other borrowings236,470 335,201 189,398 
Other liabilities303,735 343,097 393,270 
Total liabilities13,267,050 12,961,998 11,751,563 
Stockholders’ equity of WSFS1,884,054 1,770,641 1,823,669 
Noncontrolling interest(2,243)(2,187)(1,875)
Total stockholders' equity1,881,811 1,768,454 1,821,794 
Total liabilities and stockholders' equity$15,148,861 $14,730,452 $13,573,357 
Capital Ratios:
Equity to asset ratio12.44 %12.02 %13.44 %
Tangible common equity to tangible asset ratio (o)9.13 8.58 9.69 
Common equity Tier 1 capital (required: 4.5%; well capitalized: 6.5%) (g)14.21 13.20 12.68 
Tier 1 leverage (required: 4.00%; well-capitalized: 5.00%) (g)10.11 9.82 10.40 
Tier 1 risk-based capital (required: 6.00%; well-capitalized: 8.00%) (g)14.21 13.20 12.68 
Total risk-based capital (required: 8.00%; well-capitalized: 10.00%) (g)15.41 14.46 13.93 
Asset Quality Indicators:
Nonperforming assets:
Nonaccruing loans$24,024 $31,792 $26,175 
Troubled debt restructuring (accruing)14,997 15,684 14,550 
Assets acquired through foreclosure1,044 2,068 4,153 
Total nonperforming assets$40,065 $49,544 $44,878 
Past due loans (h)$8,533 $7,678 $8,601 
Allowance for credit losses132,423 204,823 232,200 
Ratio of nonperforming assets to total assets0.26 %0.34 %0.33 %
Ratio of nonperforming assets (excluding accruing TDRs) to total assets0.17 0.23 0.22 
Ratio of allowance for credit losses to total loans and leases (q)1.59 2.36 2.45 
Ratio of allowance for credit losses to nonaccruing loans551 644 887 
Ratio of quarterly net charge-offs to average gross loans (a)(e)(i)(n)0.23 0.18 0.07 
Ratio of year-to-date net charge-offs to average gross loans (a)(e)(i)(n)0.20 0.18 0.06 
See “Notes”


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WSFS Bank Center
17
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS (Continued) 
AVERAGE BALANCE SHEET (Unaudited)
(Dollars in thousands)Three months ended
 June 30, 2021March 31, 2021June 30, 2020
 Average
Balance
Interest &
Dividends
Yield/
Rate
(a)(b)
Average
Balance
Interest &
Dividends
Yield/
Rate
(a)(b)
Average
Balance
Interest &
Dividends
Yield/
Rate
(a)(b)
Assets:
Interest-earning assets:
Loans: (e) (j)
Commercial loans and leases (p)$3,900,612 $46,039 4.74 %$4,138,034 $52,620 5.16 %$4,291,301 $53,390 5.01 %
Commercial real estate loans (s)2,791,438 28,277 4.06 2,803,378 29,191 4.22 2,841,231 31,230 4.42 
Residential mortgage647,442 11,271 6.96 734,593 12,864 7.00 933,854 13,679 5.86 
Consumer loans1,123,440 11,950 4.27 1,159,588 12,836 4.49 1,124,742 13,065 4.67 
Loans held for sale131,460 1,108 3.38 161,287 1,341 3.37 92,252 896 3.91 
Total loans and leases8,594,392 98,645 4.61 8,996,880 108,852 4.91 9,283,380 112,260 4.87 
Mortgage-backed securities (d)2,978,331 12,506 1.68 2,507,910 10,704 1.71 2,048,357 12,549 2.45 
Investment securities (d)318,415 1,383 1.97 336,410 1,449 1.98 130,671 1,009 3.82 
Other interest-earning assets1,414,264 368 0.10 1,103,632 276 0.10 220,801 65 0.12 
Total interest-earning assets$13,305,402 $112,902 3.41 %$12,944,832 $121,281 3.81 %$11,683,209 $125,883 4.34 %
Allowance for credit losses(194,211)(226,911)(156,576)
Cash and due from banks176,015 114,725 108,463 
Cash in non-owned ATMs468,136 393,964 319,154 
Bank owned life insurance32,329 32,155 29,965 
Other noninterest-earning assets998,948 997,444 1,036,500 
Total assets$14,786,619 $14,256,209 $13,020,715 
Liabilities and stockholders’ equity:
Interest-bearing liabilities:
Interest-bearing deposits:
Interest-bearing demand$2,560,283 $531 0.08 %$2,572,325 $618 0.10 %$2,213,369 $882 0.16 %
Savings1,922,342 149 0.03 1,830,781 150 0.03 1,681,587 877 0.21 
Money market2,754,895 801 0.12 2,682,219 854 0.13 2,262,737 2,311 0.41 
Customer time deposits1,078,296 1,842 0.69 1,117,191 2,377 0.86 1,242,730 4,954 1.60 
Total interest-bearing customer deposits8,315,816 3,323 0.16 8,202,516 3,999 0.20 7,400,423 9,024 0.49 
Brokered deposits63,407 455 2.88 136,957 497 1.47 286,655 808 1.13 
Total interest-bearing deposits8,379,223 3,778 0.18 8,339,473 4,496 0.22 7,687,078 9,832 0.51 
Federal Home Loan Bank advances   736 2.76 106,694 625 2.36 
Trust preferred borrowings67,011 317 1.90 67,011 324 1.96 67,011 484 2.90 
Senior debt228,260 2,053 3.60 246,654 2,266 3.67 98,681 1,180 4.78 
Other borrowed funds21,661 5 0.09 19,656 0.10 25,580 0.09 
Total interest-bearing liabilities$8,696,155 $6,153 0.28 %$8,673,530 $7,096 0.33 %$7,985,044 $12,127 0.61 %
Noninterest-bearing demand deposits3,963,476 3,490,831 2,882,999 
Other noninterest-bearing liabilities329,341 322,296 311,697 
Stockholders’ equity of WSFS1,799,839 1,771,822 1,842,525 
Noncontrolling interest(2,192)(2,270)(1,550)
Total liabilities and equity$14,786,619 $14,256,209 $13,020,715 
Excess of interest-earning assets over interest-bearing liabilities$4,609,247 $4,271,302 $3,698,165 
Net interest and dividend income$106,749 $114,185 $113,756 
Interest rate spread3.13 %3.48 %3.73 %
Net interest margin3.23 %3.59 %3.93 %
See “Notes”


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WSFS Bank Center
18
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
(Unaudited)
 
(Dollars in thousands, except per share data)Three months endedSix months ended
Stock Information:June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
Market price of common stock:
High$55.12$55.18$33.32$55.18$44.70
Low46.3240.6421.0040.6417.84
Close46.5949.7928.7046.5928.70
Book value per share of common stock39.6337.2736.00
Tangible common book value per share of common stock (o)28.0225.6024.89
Number of shares of common stock outstanding (000s)47,53547,50250,660
Other Financial Data:
One-year repricing gap to total assets (k)14.38%13.26%6.95%
Weighted average duration of the MBS portfolio4.6 years5.0 years1.3 years
Unrealized (losses) gains on securities available for sale, net of taxes$14,147$(9,957)$74,689
Number of Associates (FTEs) (m)1,8591,8541,862
Number of offices (branches, LPO’s, operations centers, etc.)112111115
Number of WSFS owned and branded ATMs614625571
Notes:
(a)Annualized.
(b)Computed on a fully tax-equivalent basis.
(c)Noninterest expense divided by (tax-equivalent) net interest income and noninterest income.
(d)Includes securities held-to-maturity (at amortized cost) and securities available-for-sale (at fair value).
(e)Net of unearned income.
(f)Net of allowance for credit losses.
(g)Represents capital ratios of Wilmington Savings Fund Society, FSB and subsidiaries.
(h)Accruing loans which are contractually past due 90 days or more as to principal or interest. Balance includes student loans acquired from Beneficial, which are U.S. government guaranteed with little risk of credit loss.
(i)Excludes loans held for sale.
(j)Nonperforming loans are included in average balance computations.
(k)The difference between projected amounts of interest-sensitive assets and interest-sensitive liabilities repricing within one year divided by total assets, based on a current interest rate scenario.
(l)Includes loans held for sale and reverse mortgages.
(m)Includes seasonal Associates, when applicable.
(n)Excludes reverse mortgage loans.
(o)The Company uses non-GAAP (United States Generally Accepted Accounting Principles) financial information in its analysis of the Company’s performance. The Company’s management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Company’s management believes that investors may use these non-GAAP financial measures to analyze the Company’s financial performance without the impact of unusual items or events that may obscure trends in the Company’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. For a reconciliation of these and other non-GAAP financial measures to their comparable GAAP measures, see "Non-GAAP Reconciliation" at the end of the press release.
(p)Includes commercial & industrial loans, PPP loans and commercial small business leases.
(q)Represents amortized cost basis for loans, leases and held-to-maturity securities.
(r)Includes (recovery of) provision for credit losses, loan workout expenses, OREO expenses and other credit costs.
(s)Includes commercial mortgage and commercial construction loans.
(t)During the second quarter of 2021, the WSFS Foundation and the WSFS Community Foundation merged to form the WSFS CARES Foundation.



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WSFS Bank Center
19
500 Delaware Avenue,
Wilmington, Delaware 19801
WSFS FINANCIAL CORPORATION 
FINANCIAL HIGHLIGHTS (Continued)
(Dollars in thousands, except per share data)
(Unaudited)
 
Non-GAAP Reconciliation (o):Three months endedSix months ended
 June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
Net interest income (GAAP)$106,749 $114,185 $113,756 $220,934 $229,906 
Core net interest income (non-GAAP)106,749 114,185 113,756 220,934 229,906 
Noninterest income (GAAP)49,018 47,822 64,375 96,840 105,222 
Less: Securities gains 329 1,908 329 2,601 
Less: Unrealized gains on equity investments, net5,261 — (11)5,261 657 
Less: Realized gain on sale of equity investment, net — 22,052  22,052 
Core fee revenue (non-GAAP)$43,757 $47,493 $40,426 $91,250 $79,912 
Core net revenue (non-GAAP)$150,506 $161,678 $154,182 $312,184 $309,818 
Core net revenue (non-GAAP)(tax-equivalent)$150,755 $161,943 $154,513 $312,697 $310,418 
Noninterest expense (GAAP)$96,032 $95,619 $93,435 $191,651 $181,931 
Less: Corporate development expense2,543 2,095 2,801 4,638 4,142 
(Plus)/less: Restructuring expense(144)(265)— (409)— 
Less: Loss on debt extinguishment1,087 — — 1,087 — 
Less: Contribution to WSFS CARES Foundation (t)1,000 — — 1,000 3,000 
Core noninterest expense (non-GAAP)$91,546 $93,789 $90,634 $185,335 $174,789 
Core efficiency ratio (non-GAAP)60.7 %57.9 %58.7 %59.3 %56.3 %
 End of period
 June 30, 2021March 31, 2021June 30, 2020
Total assets (GAAP)$15,148,861 $14,730,452 $13,573,357 
Less: Goodwill and other intangible assets551,951 554,701 562,515 
Total tangible assets (non-GAAP)$14,596,910 $14,175,751 $13,010,842 
Total stockholders’ equity of WSFS (GAAP)$1,884,054 $1,770,641 $1,823,669 
Less: Goodwill and other intangible assets551,951 554,701 562,515 
Total tangible common equity (non-GAAP)$1,332,103 $1,215,940 $1,261,154 
Calculation of tangible common book value per share:
Book value per share (GAAP)$39.63 $37.27 $36.00 
Tangible common book value per share (non-GAAP)28.02 25.60 24.89 
Calculation of tangible common equity to tangible assets:
Equity to asset ratio (GAAP)12.44 %12.02 %13.44 %
Tangible common equity to tangible assets ratio (non-GAAP)9.13 8.58 9.69 








https://cdn.kscope.io/9101f74e42056ad78213ed149d65c518-wsfs_corp2.jpg
WSFS Bank Center
20
500 Delaware Avenue,
Wilmington, Delaware 19801
Non-GAAP Reconciliation - continued (o):Three months endedSix months ended
June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
GAAP net income attributable to WSFS$95,667 $65,082 $(7,111)$160,749 $3,816 
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on debt extinguishment, and contribution to WSFS CARES Foundation (t)(775)1,501 (21,148)726 (18,168)
(Plus)/less: Tax impact of pre-tax adjustments510 11 4,712 521 2,692 
Adjusted net income (non-GAAP) attributable to WSFS$95,402 $66,594 $(23,547)$161,996 $(11,660)
GAAP return on average assets (ROA)2.60 %1.85 %(0.22)%2.23 %0.06 %
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on debt extinguishment, and contribution to WSFS CARES Foundation (t)(0.02)0.04 (0.65)0.01 (0.29)
(Plus)/less: Tax impact of pre-tax adjustments0.01 — 0.14 0.01 0.04 
Core ROA (non-GAAP)2.59 %1.89 %(0.73)%2.25 %(0.19)%
Earnings per share (GAAP)$2.01 $1.36 $(0.14)$3.37 $0.07 
Plus/(less): Pre-tax adjustments: Securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on debt extinguishment, and contribution to WSFS CARES Foundation (t)(0.02)0.03 (0.42)0.02 (0.36)
(Plus)/less: Tax impact of pre-tax adjustments0.01 — 0.10 0.01 0.06 
Core earnings per share (non-GAAP)$2.00 $1.39 $(0.46)$3.40 $(0.23)
Calculation of return on average tangible common equity:
GAAP net income attributable to WSFS$95,667 $65,082 $(7,111)$160,749 $3,816 
Plus: Tax effected amortization of intangible assets1,996 2,004 2,198 4,000 4,301 
Net tangible income (non-GAAP)$97,663 $67,086 $(4,913)$164,749 $8,117 
Average stockholders’ equity of WSFS$1,799,839 $1,771,822 $1,842,525 $1,785,907 $1,839,013 
Less: average goodwill and intangible assets553,665 556,344 564,622 554,997 566,159 
Net average tangible common equity$1,246,174 $1,215,478 $1,277,903 $1,230,910 $1,272,854 
Return on average tangible common equity (non-GAAP)31.43 %22.38 %(1.55)%26.99 %1.28 %
Non-GAAP Reconciliation - continued (o):Three months endedSix months ended
June 30, 2021March 31, 2021June 30, 2020June 30, 2021June 30, 2020
Calculation of PPNR:
Net income (GAAP)$95,611 $65,141 $(7,811)$160,752 $2,756 
Plus: Income tax provision 31,687 21,407 (2,247)53,094 (959)
Plus/(less): (Recovery of) provision for credit losses(67,563)(20,160)94,754 (87,723)151,400 
PPNR (non-GAAP)$59,735 $66,388 $84,696 $126,123 $153,197 


ex99-2_2qearningsdeck722
1 WSFS Financial Corporation 2Q 2021 Investor Update July 2021 Exhibit 99.2


 
2 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 our pending acquisition of Bryn Mawr Bank Corporation and 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, 2020, Form 10-Q for the quarter ended March 31, 2021, 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 income, core net interest margin (“NIM”), return on tangible common equity (“ROTCE”), core ROTCE, core fee revenue and core fee revenue 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. Forward Looking Statements & Non-GAAP


 
3 Table of Contents 2Q 2021 Highlights Page 4 Loan & Deposit Growth Page 5 Net Interest Margin Trends Page 6 Core Fee Revenue Trends Page 7 ACL Overview Page 8 WSFS & Bryn Mawr Update Page 9 2021 Core Outlook Page 10 WSFS Franchise and Markets Page 11 Lines of Business Page 18 Selected Financial and Performance Metrics Page 24 Capital Management Page 31 WSFS Mission, Vision, Strategy, and Values Page 34 Appendix: Reconciliation of Non-GAAP Financial Information Page 35


 
4 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. 2 Attributable to WSFS 3 Tax-equivalent 2Q 2021 Highlights 2Q 2021 $ in millions (expect per share amounts) Reported Core1 EPS $2.01 $2.00 ROA 2.60% 2.59% Net Income2 $95.7 $95.4 PPNR1 $59.7 $59.0 PPNR %1 1.62% 1.60% ROE 21.32% 21.26% ROTCE1 31.43% 31.35% NIM 3.23% 3.23% Fee Revenue $49.0 $43.8 Fee Revenue %3 31.4% 29.0% Efficiency Ratio 61.6% 60.7% ACL Ratio ex PPP 1.63% 1.63% Bank CET1 14.21% 14.21% 2Q 2021 operating results reflect reduction in reserves driven by positive credit trends, diversified fee revenue growth, and strong capital levels 2Q 2021 Highlights: • Core ROA1 of 2.59%, up from 1.89% in 1Q 2021 • Net credit (recoveries) costs were ($68.1) million due to continued improvement in the economic outlook and improved portfolio credit quality trends compared to 1Q 2021, including declines in problem assets, delinquencies, and nonperforming assets • ACL coverage ratio was 1.63%, excluding PPP loans at June 30, 2021 • Core fee revenue1 increased $6.3 million (excluding impact of Durbin Amendment and PPP), or 16% year-over-year, demonstrating strong trends in Wealth Management and Cash Connect®, along with the diversification of our fee businesses • Completed the redemption of $100.0 million in aggregate principal amount of our 4.50% senior notes due 2026 • Continued improvement in strong capital levels including a Bank Common Equity Tier 1 Ratio of 14.21% • On June 10, 2021, WSFS and Bryn Mawr stockholders approved the previously announced merger of Bryn Mawr into WSFS at a special meeting of stockholders for each company • The Board of Directors approved a quarterly cash dividend of $0.13 per share of common stock


 
5 Loan and Deposit Growth Loan growth excluding purposeful run-off portfolios and PPP forgiveness; Significant excess customer liquidity continues to grow • Commercial run-off portfolios acquired from Beneficial Bancorp Inc. are down to $40 million; remaining run-off portfolio is primarily residential mortgage • PPP loans decreased $304 million from 1Q 2021 due to expected forgiveness • Continued focus on strategy to optimize our balance sheet mix towards relationship-based commercial loans and deposits • Customer funding levels remain elevated and increased $445 million during 2Q 2021 primarily due to Trust-related deposits ($ in millions) Jun 2021 Mar 2021 Jun 2020 2Q21 $ Growth Annualized % Growth YOY $ Growth YOY % Growth C & I Loans $3,233 $3,213 $3,354 $20 3% ($121) (4%) PPP Loans $223 $527 $945 ($304) (231%) ($722) (76%) Commercial Real Estate $2,024 $1,975 $2,166 $49 10% ($142) (7%) Construction Loans $780 $784 $638 ($4) (2%) $142 22% Commercial Leases $292 $265 $213 $27 41% $79 37% Total Commercial Loans $6,552 $6,765 $7,316 ($213) (13%) ($764) (10%) Residential Mortgage (HFS/HFI/Rev Mgt) $720 $829 $1,012 ($109) (53%) ($292) (29%) Consumer Loans $1,105 $1,140 $1,133 ($35) (12%) ($28) (2%) Total Gross Loans $8,377 $8,734 $9,461 ($357) (16%) ($1,084) (11%) Residential Mortgage (HFI) $606 $671 $892 ($65) (39%) ($286) (32%) Student Loans Acquired from BNCL $113 $115 $119 ($2) (7%) ($6) (5%) Auto Loans Acquired From BNCL $11 $16 $33 ($5) (125%) ($22) (67%) Participation portfolios (CRE) from BNCL $40 $55 $169 ($15) (109%) ($129) (76%) Leveraged Loans (C&I) from BNCL $0 $0 $12 $0 0% ($12) (100%) Total Run-Off Portfolios $770 $857 $1,225 ($87) (41%) ($455) (37%) Gross Loans ex Run-Off Portfolios $7,607 $7,877 $8,236 ($270) (14%) ($629) (8%) PPP Loans $223 $527 $945 ($304) (231%) ($722) (76%) Gross Loans ex Run-Off & PPP Portfolios $7,384 $7,350 $7,291 $34 2% $93 1% Loans - 2Q 2021 vs 1Q 2021 and 2Q 2020 ($ in millions) Jun 2021 Mar 2021 Jun 2020 2Q21 $ Growth Annualized % Growth YOY $ Growth YOY % Growth Noninterest Demand $4,328 $3,858 $3,189 $470 49% $1,139 36% Interest Demand Deposits $2,633 $2,659 $2,302 ($26) (4%) $331 14% Savings $1,928 $1,886 $1,732 $42 9% $196 11% Money Market $2,723 $2,722 $2,333 $1 0% $390 17% Total Core Deposits $11,612 $11,125 $9,556 $487 18% $2,056 22% Customer Time Deposits $1,052 $1,094 $1,228 ($42) (15%) ($176) (14%) Total Customer Deposits $12,664 $12,219 $10,784 $445 15% $1,880 17% Deposits - 2Q 2021 vs 1Q 2021 and 2Q 2020


 
6 0.35% 0.28% 0.21% 0.14% 0.11% 4.46% 4.33% 4.39% 4.30% 4.20% 3.0% 3.2% 3.4% 3.6% 3.8% 4.0% 4.2% 4.4% 4.6% 0.0% 0.2% 0.3% 0.5% 0.6% 0.8% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Lo an Y ie ld (% ) Cu st om er D ep os it Co st (% ) Total Deposit Cost Total Loans Ex PAA/PPP Yield Negative Excess Liquidity Impact on NIM 0.05% 0.14% 0.21% 0.39% 0.50% 0.0% 0.1% 0.2% 0.3% 0.4% 0.5% 0.6% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 3.58% 3.35% 3.36% 3.10% 2.91% 0.43% 0.39% 0.51% 0.37% 0.24% 0.06% 0.12% 0.08% 2.00% 2.25% 2.50% 2.75% 3.00% 3.25% 3.50% 3.75% 4.00% 4.25% 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 NIM Ex PAA/PPP PAA PPP 0 3.93%1 3.66%1 Net Interest Margin Trends NIM impacted by significant customer liquidity, purchase accretion variability, PPP, balance sheet mix, and low funding costs 3.93% 3.59% Average Deposit Cost2 and Loan Yield3 1 Negative 8 bps impact related to PPP in 2Q 2020 and 3Q 2020 as forgiveness of PPP loans and accelerated fee accretion started in 4Q 2020 2 Includes non-interest and interest-bearing; interest-bearing deposits include demand, money market, savings, and customer time deposits 3 Average total loans yield excludes PAA and PPP 32 3.23%


 
7 $12 $11 $13 $12 $12 $8 $12 $7 $9 $4 $9 $10 $10 $10 $11 $11 $13 $14 $15 $16 $- $5 $10 $15 $20 $25 $30 $35 $40 $45 $50 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 Co re F ee R ev en ue E xc lu di ng P PP ($ m m ) Banking Mortgage Cash Connect Wealth & Trust 1 This is a non-GAAP financial measure and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 2 Core Fee (non-interest) revenue / core net revenue. This is a non-GAAP financial measure; see Appendix for reconciliation to GAAP financial information. 3 Core Fee (non-interest) revenue / core net revenue excluding PPP net interest income and fee revenue. This is a non-GAAP financial measure; see Appendix for reconciliation to GAAP financial information. 4 Banking includes deposit service charges, SBA loan sales, loan and lease fees, credit and debit revenue, and other banking related fees • Well diversified with over 20 discrete lines of business and products within our three core segments: Banking, Wealth, and Cash Connect® • Provides earnings stability through interest rate and credit cycles • Excluding PPP, 2Q 2021 increased $2.9 million, or 7%, compared to 2Q 2020 despite Durbin impact (effective July 2020) • 2Q 2021 grew 16% compared to 2Q 2020, excluding impact of Durbin Amendment and PPP Core Fee Revenue1 Trends Diversified Business Model Drives Core Fee Revenue Strength 4 Core Fee Revenue % (excluding PPP)327.1% 30.0% 27.9% 30.2% Core Fee Revenue % (including PPP)226.2% 28.8% 26.1% 29.4% 29.1% 30.0%


 
8 3% 4% 5% 6% 7% 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q21 Forecast 2Q21 Forecast $0 $50 $100 $150 $200 $250 3/31/2021 Economic Forecast Impact Risk Rating Migration Net Growth / Other 6/30/2021 Coverage Ratio (ex PPP) 1 Source: Oxford Economics as of June 2021 2 Hotel loan balances are included in the C&I and Construction segments ACL Overview ACL by Segment (ex. PPP) Full-Year GDP forecast of 7.7% in 2021 and 4.5% in 20221 Full-Year Unemployment forecast of 5.2% in 2021 and 4.0% in 20221 2Q 2021 ACL Commentary 2.51% 1.63% GDP Growth by Quarter Unemployment by Quarter Economic Forecast Impact -$15 $205 $132 -$52 -$6 • Coverage ratio of 1.63% excluding PPP loans and 1.93% including estimated remaining credit mark on the acquired loan portfolio • ACL declined $72.4 million in 2Q 2021 driven by: • Continued positive improvements in the economic forecast • Favorable net migration primarily due to improvement in levels of criticized and classified loans 2Q 2021 ACL ($mm) -5% 0% 5% 10% 15% 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q21 Forecast 2Q21 Forecast ($ millions) $ % $ % $ % C&I2 $133.1 6.81% $119.4 6.38% $80.4 4.32% Construction2 $10.1 1.59% $14.3 1.82% $3.5 0.45% CRE Investor $38.4 1.77% $30.5 1.55% $16.1 0.80% Owner Occupied $9.0 0.67% $9.6 0.72% $6.2 0.45% Leases $11.1 5.20% $6.5 2.43% $6.8 2.32% Mortgage $9.2 1.03% $5.7 0.85% $3.3 0.55% HELOC & HEIL $10.8 1.43% $13.2 1.61% $10.9 1.37% Installment - Other $6.9 6.58% $2.8 4.16% $2.3 3.79% Other $3.6 0.90% $2.8 0.79% $2.9 0.87% TOTAL $232.2 2.73% $204.8 2.51% $132.4 1.63% June 30, 2020 March 31, 2021 June 30, 2021


 
9 WSFS and Bryn Mawr Update Stockholder Approval: Obtained on June 10th Regulatory Update: Received OCC approval on July 21st Legal Close: Anticipated early 4Q 2021 Systems Conversion: Early 2022 Integration Workstreams: • Pre-conversion Activities • Bank Integration and Conversion • Wealth Integration • Talent Integration • Culture Integration Integration Framework: • Corporate Development Committee of the Board of Directors • Executive Management Steering Committee / Integration Management Office • Transaction Approval Taskforce


 
10 3 2021 Core Outlook - Update Loan Growth Mid single digits Low single digits Ongoing excess Customer liquidity driving lower loan demand; Continued pricing and structure discipline Deposit Growth Mid single digit core deposits excluding excess liquidity offset by purposeful CD reduction Mid to high single digit core deposits including excess liquidity offset by purposeful CD reduction Higher Customer liquidity expected to remain through year-end; CD run-off of ~$110 million vs original outlook of $150 million Net Interest Margin 3.65% - 3.80% 3.20% -3.30% ~35 bps of additional negative impact from excess liquidity (~45-50 bps in total); ~5-10 bps lower loan and investment yields from portfolio turnover; ~5 bps lower PPP and purchase accretion impact due to larger balance sheet Fee Income Growth1 Mid single digit growth excluding Durbin and Mortgage; flat including Durbin & Mortgage High single to low double digits excluding Durbin & Mortgage; low single digits with Durbin & Mortgage Trust and Wealth growth nearly 10% greater than original outlook; Additional growth from PPP Round Two and most other business lines; Durbin impact and Mortgage revenue consistent with original outlook Provision $20-$25 million ~($90-100) million Modest reserve release dependent on continued improvement in credit performance and economic outlook offset by loan growth Efficiency Ratio1 Low 60%s Low 60%s Lower net interest income offset by higher fee income and lower expenses Tax Rate Approximately 24% Approximately 24-25% Higher net income increases effective tax rate 1 The Company is not able to reconcile the forward-looking non-GAAP estimates set forth above to their most directly comparable GAAP estimates without unreasonable efforts because it is unable to predict, forecast or determine the probable significance of the items impacting these estimates with a reasonable degree of accuracy Original CommentaryUpdate Outlook assumes a gradual and uneven economic recovery; Excludes BMT merger impact, expected to be immaterial to full year 2021 core performance ratios; Full year core PPNR outlook range of 1.50% to 1.60%


 
11 WSFS Franchise and Markets


 
12 1 As of 6/30/2021 2 AUA represents Assets Under Administration and AUM represents Assets Under Management 3 AUM includes advisory businesses (West Capital Management, Cypress Capital Management, and WSFS Wealth Investments) The WSFS Franchise1 Largest independent bank & trust company HQ in Delaware-Greater Philadelphia region • $15.1 billion in assets • $26.7 billion in combined AUA2 and AUM2, including $2.5 billion in AUM3 • 112 offices, including 89 branches • One of largest ATM networks in our market with 614 branded-ATMs Founded in 1832, WSFS is one of the ten oldest banks in the U.S. Major Business Lines National Presence Commercial Retail Wealth Mgmt. Cash Connect® NewLane Equipment Leasing Mortgage Regional Presence


 
13 ~10-20% higher income than the U.S. overall 1 Bureau of Labor Statistics, as of May 2021: Employees on nonfarm payrolls by industry supersector; Philadelphia-Camden-Wilmington MSA; not seasonally adjusted 2 Unemployment rate for the Philadelphia-Camden-Wilmington MSA, as of May 2021. Not seasonally adjusted 3 U.S. Census Bureau: 2019 American Community Survey; Philadelphia-Camden-Wilmington MSA 4 Bureau of Labor Statistics, as of May 2019: Occupational Employment and Wages, Philadelphia-Camden-Wilmington, MSA Diversity of industries drives stable and favorable employment and economic growth in our markets Regional Employment Composition1 Regional Statistics3 The WSFS Franchise - Our Markets Philadelphia-Camden-Wilmington MSA Over 4% of U.S. within branch network 6.1M Population 2.3M Households 2.5M Housing Units $40.9K Per Capita Income $264K Median Home Value ~10% higher household value than the U.S. overall 38.9 Median Age 67% Housing Owner Occupied 6.1% Unemployment2 • 59% improvement since 2Q 2020 peak Purchasing power vs. US Avg Income $27.69 Mean Hourly Wage4 $74.5K Median Home Income Manufacturing 6% Trade, Transportation & Utilities 18% Financial Activities 8% Professional & Business Services 16% Educational & Health Services 23% Leisure & Hospitality 8% Other 9% Government 12%


 
14 • 4th largest metro in the Northeast –$444 billion regional economy • 6th largest MSA population in the U.S • 4th largest depository MSA in the U.S. 1 Sources: FDIC and S&P Global Market Intelligence. Market Share data excludes brokered deposits, credit unions, and non-traditional banks (e.g. credit card companies); as of June 30, 2020. Philadelphia-Camden-Wilmington MSA (includes Cecil County, MD) 2 Sources: U.S Bureau of Economic Analysis, U.S. Census Bureau, Select Greater Philadelphia Council, U.S Bureau of Labor Statistics. Philadelphia-Camden-Wilmington MSA (includes Cecil County, MD) At $15.1 billion in assets at 6/30/21, WSFS fills a long-standing service gap in our market between larger regional/national banks and smaller community banks The WSFS Franchise – Strategic Opportunity Regional Highlights2 • 45% YOY improvement in branch efficiency (deposits per branch) • 11% YOY deposit growth • 79 institutions with ~$355M average deposits outside of MSA’s top 15 WSFS Highlights1 # Institution Name Net Deposits ($mm) Market Share % Deposits / Branch ($mm) Branch Count 1 Wells Fargo Bank $35,311 16.7% $196.2 180 2 TD Bank $32,871 15.6% $236.5 139 3 Bank of America $22,412 10.6% $287.3 78 4 PNC Bank $20,752 9.8% $141.2 147 5 Citizens Bank $19,346 9.2% $119.4 162 6 M & T Bank $10,891 5.2% $242.0 45 7 WSFS Bank $9,680 4.6% $125.7 77 8 Santander Bank $6,966 3.3% $96.8 72 9 Truist Bank $5,852 2.8% $80.2 73 10 Univest Bank and Trust $4,317 2.0% $134.9 32 11 Bryn Mawr Trust $4,081 1.9% $99.5 41 12 Fulton Bank $3,933 1.9% $74.2 53 13 Republic First Bank $3,425 1.6% $126.9 27 14 Firstrust Savings Bank $3,138 1.5% $184.6 17 15 KeyBank $2,230 1.06% $62.0 36 Remaining 79 Institutions $28,026 13.3% $81.5 344 MSA: Philadelphia-Camden- Wilmington1 2020


 
15 1 This is a non-GAAP financial measure and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information Note: GAAP ROA is the following: 2018 – 1.92%, 2019 – 1.30%, and 2020 – 0.87% The WSFS Franchise – Growth & Performance M ill io ns


 
16 • Maximizing data-driven analytics to deliver personalized campaigns leading to customer acquisitions • Implementing Salesforce© for improved 360-degree views of Customers for cross-sell opportunities • Lower new customer acquisition cost while improving Net Promoter Score Optimization of our physical footprint driving accelerating investments into our digital capabilities, consistent with our brand, to provide best-in-industry solutions and better serve Customers Delivery Transformation • Redesigning the account opening process focused on the Customer Experience • Delivering a true omnichannel experience that reduces application time and processing requirements • Improving synergies with marketing campaigns and reduced physical signatures • Digital documentation and retention • Improving AML and fraud detection success through Verafin© • Incorporating robotic processing automation into organization design reducing manual turnaround times and decreasing cost • Creating a flexible technology stack for future growth and broader capabilities Identify & target new Customers Enable our Customers to bank as they want Transforming for the evolving digital age OneWSFS Identify & Target Enable Customers Transform $17.5M 2021 Expected Net Investment


 
17 #1 “Top Bank” in Delaware nine years in a row; The News Journal “Soaring 76’s Fastest Growing Companies”; Philadelphia Business Journal “President’s Award for Business Excellence and Best Community Involvement”; DE Small Business Chamber “Best of Biz” for Business Banking; South Jersey Magazine “1st Ranked Bank in Delaware”; Forbes “Best Board and Technology Strategy”; Bank Director 1 Per Bloomberg; closing price as of June 30, 2021 Recognitions and Total Shareholder Returns “Top Workplace” fifteen years in a row and #1 in 2020; The News Journal “Top Workplace” six years in a row; Inquirer.com 10th Ranked Bank in America for 2021; Forbes 2021 Gallup Exceptional Workplace Award; Gallup Organization Engaged Associates, living our culture, making a better life for all we serve Total Shareholder Returns1 “4th Ranked Bank Overall”; Bank Director 2021 Annual World's Best Banks honoree; Forbes 1 Year 3 Year 5 Year 7 Year 10 Year WSFS 64.5% -9.3% 52.2% 102.6% 288.1% KBW Bank 73.1% 32.3% 120.8% 109.5% 228.9% SNL U.S. Bank > $10B 70.8% 20.5% 94.3% 89.7% 203.1% NASDAQ Bank 69.9% 18.5% 86.0% 103.6% 222.5% S&P 500 40.8% 67.1% 125.3% 151.6% 298.6% -50% 0% 50% 100% 150% 200% 250% 300% 1 Year 3 Year 5 Year 7 Year 10 Year


 
18 Lines of Business


 
19 37 35 41 6 6 6 14 15 15 12 19 17 4 5 7 0 20 40 60 80 100 2018 2019 2020 Relationship Managers3 Business Banking Middle Market CRE Small Business SBA Lending Disciplined Credit and Underwriting Philosophy • Conservative lending and concentration limits • CRE1: 300% limit; 198% actual • Construction2: 100% limit; 69% actual • Concentration limits by industry, CRE, project and individual borrower • House Limit: $70 million at 6/30/2021 (No Relationships Exceed) • 5 relationships >$50 million Business Banking Middle Market Comm. Real Estate Small Business SBA Lending Revenues: $3 million - $20 million+ Revenues: $20 million-$150 million Revenues: N/A Revenues: $250,000 - $5 million+ Profit: Up to $5 million Loan Exposure: $1 million – $15 million+ Loan Exposure: $5 million – $30 million+ Loan Exposure: $3 million – $30 million+ Loan Exposure: up to $1.5 million Loan Exposure: up to $5 million Average Relationship Exposure: $2.1 million Average Relationship Exposure: $5.9 million Average Relationship Exposure: $8.1 million Average Loan Exposure: $0.1 million Average Loan Exposure: $0.2 million 38 Relationship Managers 6 Relationship Managers 14 Relationship Managers 17 Relationship Managers 7 Relationship Managers Local, relationship-focused lending including cash management, wealth management, and private banking services 1 Defined as the sum of CRE and Construction (excluding owner occupied) exposures divided by the sum of Tier 1 Capital and ACL; as of 6/30/21 2 Defined as Construction (excluding owner occupied) exposure divided by the sum of Tier 1 Capital and ACL; as of 6/30/21 3 As of 12/31 each year Commercial Banking 86 80 73


 
20 Branch & ATM Network Digitally Active Banking Lending Mortgage Locations across Delaware, southeastern Pennsylvania and southern New Jersey Over 131K digitally active Customers, which includes active online banking and mobile users Providing Customers with a wide range of options to make banking simple, intuitive and seamless Meeting Customers’ borrowing needs through in-house originations and strategic partnerships Offering a full range of mortgage products with national capabilities, world-class service and local-decision making Operates universal banking model to maximize staffing efficiencies while providing a superior Customer experience Highly rated mobile banking application that provides a range of functionality including WSFS SnapShot Deposit, Zelle®, MyWSFS and WSFS Mobile Cash Deposit Products: • Noninterest DDA • Interest DDA • Savings • Money Market • Time Deposits Consumer Loan Products: • Installment • HELOC • Personal Lines • Credit Cards • Student Loans Significant contributor to fee revenue through our originate and sell mortgage model 1 As of June 30, 2021 2 Completed by the Gallup Organization; as of December 31, 2020 3 Excludes Brokered Deposits; as of June 30th of each year Relationship-focused community banking model with 89 banking offices & 614 ATMs1 Retail Banking Customer engagement survey places WSFS at the 66th percentile2 60% of WSFS Customers surveyed rated us a “5” out of 5, saying “WSFS is the perfect bank for people like me”2 Customer Engagement Average Customer Deposits Per Branch ($mm)3 $81 $120 $142 $- $20 $40 $60 $80 $100 $120 $140 $160 2Q 2019 2Q 2020 2Q 2021


 
21 WSFS Wealth 1 AUM includes advisory businesses (West Capital Management, Cypress Capital Management, and WSFS Wealth Investments) 2 As of June 30th of each year Financial Highlights 2Q 2021 total revenue of $19.5 million 2Q 2021 pre-tax income of $9.7 million $26.7 billion in combined Assets Under Management and Administration, including $2.5 billion in AUM1 at 6/30/2021 Total AUM and AUA2 $19.7 $20.8 $26.7 $- $5 $10 $15 $20 $25 2Q 2019 2Q 2020 2Q 2021 Bi lli on s


 
22 • Oldest and second largest vault cash provider in the ATM industry - approximately $1.8 billion in vault cash supplied or supported at 6/30/2021 • Approximately 34,000 non-bank ATMs & retail safes in all 50 states1 • ~9,400 devices utilizing armored car management and/or cash forecasting1 • Support over 70 ATM ISOs and ~1,000 deposit safe customers with over 5,700 safes1 • Supports over 6001 branded ATMs for WSFS Bank; one of the largest networks in our footprint • $11.6 million in net revenue (fee revenue less funding costs) and $3.3 million in pre-tax income in 2Q 2021 • 2Q 2021 ROA of 2.08% • 5-year CAGR2 for net revenue of 10.2% • 5-year growth in dollars managed of 72%2 1 As of 6/30/2021 2 5 years ending 6/30/2021 3 As of June 30th of each year ATM Vault Cash “Bailment” Smart Safes Armored Carrier Management Cash Forecasting & Reconcilement Services Loss Protection Fees WSFS Branded ATMs Leading National Provider of Cash Logistics and Services Cash Connect® An innovation center for the company, both expanding core ATM offerings and additional payment, processing and software-related activities (i.e., launched WSFS Mobile Cash) Dollars Managed ($mm)3 $1,261 $1,409 $1,778 $0 $400 $800 $1,200 $1,600 $2,000 2Q 2019 2Q 2020 2Q 2021


 
23 NewLane Finance Background: • Co-founded in 2017 by industry veterans, each with over 20 years of experience1 Market Size: • Micro & Small Ticket Equipment Leasing is a $100 billion segment with over 100 thousand equipment dealers and 31 million small businesses nationwide Product Offering: • Lease/Loan to finance business critical equipment • Deal size ranges from $3K - $500K; average deal size approximately $30K • Yields range 4%-29% with terms 12-72 months • Stable credit default risk and minimal residual exposure Vendor Relationship Model Small and Mid-Size Business Market Focus Advanced Technology Platform Superior Customer Experience Simple, Fast and Convenient Offer Attractive Risk Adjusted Margins Micro & Small Ticket Commercial Equipment Financing Value Proposition: • Provide a better lending experience through advanced technologies, customer-centric approach and transparent business lending practices • Deliver simple, fast, & competitive financing solutions $57 $111 $135 $- $30 $60 $90 $120 $150 2018 2019 2020 FY Leasing Originations ($mm) 1 Co-founders built Marlin Business Services from a start-up to a publicly-traded company (Nasdaq: MRLN) 2 YTD totals include first two quarters in each year $48 $54 $91 $- $20 $40 $60 $80 $100 2Q19 2Q20 2Q21 YTD Leasing Originations2 ($mm)


 
24 Selected Financial and Performance Metrics


 
25 Time 8% Non-interest DDA 34% Money Market & Savings 37% Interest DDA 21% Customer Funding increased $0.4 billion in 2Q 2021 elevated by excess liquidity Balance Sheet Composition at June 30, 2021 C&I 40% CRE 25% Construction 10%Commerical Leasing 3% Residential Mortgage 9% Consumer 13% Investments 23% Cash Connect 3% Other Non- Earning Assets 20% Net Loans (ex PPP) 54% • Commercial loans comprise 74% of the gross loan portfolio, excluding PPP • $12.2 million credit card exposure Equity 12% Customer Deposits 84% Investments are composed of high quality, marketable investment grade securities with low credit risk; more than 95% in MBS issued by GNMA, FNMA, FHLMC, FHLB, or FFCB 1 Excludes $222.9 million of PPP loans at June 30, 2021 2 Excludes brokered deposits $14.9B Assets $8.0B Net Loans Asset Composition (ex PPP)1 18% YOY Asset Growth Funding Composition $12.7B Deposits2 65% Loan-to-Deposit 17% YOY Deposit Growth Other Borrowings 2% Other Liabilities 2% Consumer 46%Wealth & Trust 11% Commercial 27% Small Business 15% Other 1% Deposits By LOB2


 
26 0.28% 0.37% 0.65% 0.82% 0.47% 0.16% 0.21% 0.27% 0.47% 0.62% 0.35% 0.11% 0.0% 0.1% 0.2% 0.3% 0.4% 0.5% 0.6% 0.7% 0.8% 0.9% - $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 $14.0 2016 2017 2018 2019 2020 2Q 2021 Bi lli on s Interest-bearing Noninterest-bearing Interest-bearing cost Total Deposit cost Customer Deposit Costs 1 Interest-bearing deposits include demand, money market, savings, and customer time deposits • Disciplined funding cost- management through interest rate cycles while supporting Customer and deposit retention • 92% total customer deposits represent Core • No and low-interest DDA accounts (WAC 3 bps) represent 55% of customer deposits 1 1


 
27 $33 $37 $40 $55 $48 $7 $6 $6 $11 $30 $36 $43 $51 $51 $41 $27 $36 $41 $44 $50 $0 $20 $40 $60 $80 $100 $120 $140 $160 $180 2016 2017 2018 2019 2020 To ta l C or e1 Fe e Re ve nu e $ in M ill io ns Bank Segment Mortgage Cash Connect Trust & Wealth 1 This is a non-GAAP financial measure and should be considered along with results prepared in accordance with GAAP, and not as a substitute for GAAP results. See Appendix for reconciliation to GAAP financial information. 2 %s represent core fee (noninterest) revenue / total net revenue Note: GAAP Fee Revenue is the following: 2018 – $201.0M, 2019 – $188.1M, and 2020 - $162.5M; GAAP Fee Revenue/Total Net Revenue is the following: 2018 – 40%, 2019 – 30%, and 2020 – 30% • Core Fee revenue is well diversified with over 20 discrete products and services within our lines of business 2020 Notables: • Cash Connect fees impacted by the lower interest rate environment, fully offset by reduced funding costs • Bank Segment included the first year of Durbin, which had a $6.5M negative impact • Strong historical growth in each segment; 5-year CAGR (2016-2020): • Trust & Wealth: 17% • Cash Connect: 6% • Bank: 10% • Total: 14% Diversified & Robust Core Fee Revenue 27%2 27%2 36%2 36%2 35%2


 
28 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 Delinquencies Govt. Guaranteed Student Loans 0.68% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 0.0% 0.2% 0.4% 0.6% 0.8% 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 10% 20% 30% 40% 50% 60% 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 Classified Loans Criticized Loans Delinquencies1 / Gross Loans Net Charge-Offs2 1 Includes non-accruing loans 2 Ratio of quarterly net charge-offs to average gross loans Criticized & Classified Loans / Tier-1 + ACL NPAs / Total Assets 39.7% 26.1% 0.27% 0.24% Credit Metrics (ex PPP)


 
29 3 Credit Risk Management – Select Portfolios • All modified Commercial loans are making payments as of June 30, 2021 • All select portfolios’ criticized percentages decreased or were flat compared to 1Q 2021 • $540.9 million or 6.6% of loan portfolio1 • 39% Criticized; ~85% of loans include recourse; 100% secured by real estate • 65% business and 35% leisure • $721.7 million or 8.8% of loan portfolio1 • 6.2% Criticized; ~75% of loans include recourse • No outstanding loan balances to indoor shopping malls • $160.9 million or 2.0% of loan portfolio1 • 32% Criticized; ~85% of loans include recourse; ~60% secured by real estate • $347 thousand average loan size • $427.8 million or 5.2% of loan portfolio1 • 11% Criticized; ~85% of loans include recourse; 100% secured by real estate • $1.5 million average loan size Hotel Portfolio Retail CRE Portfolio Office CRE Portfolio2 Food Services Portfolio Retail Trade Portfolio • $256.6 million or 3.1% of loan portfolio1 • 7% Criticized; ~95% of loans include recourse • 47% are grocers, food/beverage retailers, drug stores, or home improvement Loan Modifications1 1 Portfolio values are net loans excluding PPP as of June 30, 2021 2 Office CRE portfolio excludes Medical Office CRE ($ in thousands) $ % of Portfolio C&I $72,860 3.9% CRE $10,334 0.5% Owner Occupied $6,205 0.5% Total Commercial $89,399 1.5% Total Consumer $30,954 1.8% Total Loan Modifications $120,353 1.4%


 
30 • Branch Net Promoter Score (NPS) improved to 79.6 in 2Q 2021, the highest quarter performance since program inception. Contact Center Net Promotor Score (NPS) improved in 2Q 2021 to 61.7. Surveys are conducted utilizing Medallia • Since COVID-19 pandemic, WSFS supported consistent volumes of total deposit transactions with a significant shift from physical to mobile • Increased digital and remote banking volume demonstrates versatile and adaptable channel strategy, while managing a significant increase in contact center volume due to COVID-19 impact and relief programs • MyWSFS, launched in 2019, offers a secure mobile application that enables communication directly and in real-time with a WSFS Associate to support Customer’s banking needs from any location 1 Chart reflects monthly volume in 2020 and 2021 indexed to average monthly 2019 volume 2 Chart reflects cumulative growth since COVID-19 and through June 30, 2021 Channel Strategy and Digital Adoption 99% 92% 83% 58% 66% 61% 66% 65% 67% 70% 59% 71% 66% 55% 71% 68% 64% 69% 100% 102% 96% 105% 123% 95% 105% 111% 100% 92% 93% 88% 104% 111% 85% 106% 85% 78% 85% 115% 105% 128% 141% 162% 186% 172% 166% 159% 162% 160% 187% 166% 144% 182% 169% 158% 188% 0% 25% 50% 75% 100% 125% 150% 175% 200% Channel Volumes1 Branch Transactions Contact Center Call Handled Mobile Deposits - 5,000 10,000 15,000 3/2/2020 6/2/2020 9/2/2020 12/2/2020 3/2/2021 6/2/2021 myWSFS Adoption and Usage Growth2 Conversations Adoptions


 
31 9.83% 10.35% 10.52% 10.72% 9.66% 9.73% 10.82% 11.72% 11.85% 10.40% 10.31% 9.74% 9.82% 10.11% 4.5% 6.5% 8.5% 10.5% 12.5% 4,000 6,000 8,000 10,000 12,000 14,000 16,000 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Average Assets (QTD) Tier 1 Leverage Ratio 14.29% 14.36% 13.56% 13.15% 11.93% 12.08% 13.37% 14.01% 14.53% 13.93% 14.50% 13.76% 14.46% 15.41% 9.5% 10.5% 11.5% 12.5% 13.5% 14.5% 15.5% 400 600 800 1,000 1,200 1,400 1,600 1,800 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Total Capital Total Risk Based Capital Ratio 13.04% 13.16% 12.54% 12.35% 11.19% 11.36% 12.69% 13.52% 13.41% 12.68% 13.24% 12.50% 13.20% 14.21% 7.5% 9.5% 11.5% 13.5% 15.5% 350 550 750 950 1,150 1,350 1,550 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Tier 1 Capital Tier 1 Capital Ratio Capital Management - Bank Disciplined capital management providing flexibility to grow & return profits to shareholders Tier 1 Leverage Ratio Common Equity Tier 1 Capital Tier 1 Capital Total Risk-Based Capital M ill io ns M ill io ns M ill io ns M ill io ns 13.04% 13.16% 12.54% 12.35% 11.19% 11.36%12.69% 13.52% 13.41% 12.68% 13.24% 12.50% 13.20% 14.21% 4% 6% 8% 10% 12% 14% 16% 350 550 750 950 1,150 1,350 1,550 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Common Equity Tier 1 Capital Common Equity Tier 1 Capital Ratio M ill io ns


 
32Note: 2015 adjusted to reflect 3 for 1 stock split in May 2015 1 As defined in our most recent proxy as of March 12, 2021 (dollars in 000s) 2015 2016 2017 2018 2019 2020 Total Capital Returned $37,606 $22,061 $21,165 $44,419 $113,780 $179,313 Total Shares Repurchased 1,152,233 449,371 255,000 691,742 2,132,390 3,950,855 $0.21 $0.25 $0.30 $0.42 $0.47 $0.48 $- $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 $- $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 $160,000 $180,000 $200,000 2015 2016 2017 2018 2019 2020 An nu al D iv id en ds P ai d pe r S ha re Ca pi ta l R et ur ne d ($ in 0 00 s) Dividends Routine buybacks Incremental buybacks Annual Dividend Per Share Capital Management / Ownership Alignment • Executive management incentive compensation and equity awards aligned with shareholder performance ROA, ROTCE and EPS growth – equally weighted • Insider ownership1 is approximately 2% Board of Directors and Executive Management ownership guidelines in place and followed • No share repurchases in 2Q 2021; suspended until the close of the BMT merger Approximately 9% of common shares outstanding still available for repurchase under the Board authorization approved in 1Q 2020, that allows for the purchase of 15% of outstanding shares • The Board of Directors approved a quarterly cash dividend of $0.13 per share of common stock which will be paid in August 2021


 
33 1 WSFS IRR model estimates: Static Balance Sheet / Instantaneous Rate Shocks 2 Includes PPP loans • High % of variable/adjustable rate to total loan portfolio: 53% excluding PPP • Approximately half of variable rate loans tied to 30- day LIBOR • High % core deposits: 91%; high % non-interest bearing and low-interest DDA: 53% • Solid brand and position / strong and diversified low-cost funding across all lines of business • Assumes long-term historical deposit beta of approximately 50% Interest Rate Risk1 at June 30, 2021 WSJ Prime @ 3.25% Balance Sheet Drivers12-Month IRR2 BPs change NII Impact (%) NII Impact ($) -100 (3.6%) ($14.8 million) -50 (2.4%) ($9.7 million) -25 (1.8%) ($7.3 million) Static Base +25 1.9% $7.8 million +50 3.8% $15.9 million +100 7.9% $32.3 million


 
34 WSFS Mission, Vision, Strategy, and Values


 
35 Appendix: Non-GAAP Financial Information


 
36 Non-GAAP Information This presentation contains financial measures determined by methods other than in accordance with accounting principles generally accepted in the United States (GAAP). This presentation may include the following non-GAAP measures: • Adjusted net income (non-GAAP) attributable to WSFS is a non-GAAP measure that adjusts net income determined in accordance with GAAP to exclude the impact of securities gains, realized/unrealized gains on equity investments, net, corporate development and restructuring expenses, and Contribution to WSFS CARES Foundation; • Core noninterest income, also called core fee revenue, is a non-GAAP measure that adjusts noninterest income as determined in accordance with GAAP to exclude the impact of securities gains and realized/unrealized gains on equity investments, net; • Core fee revenue percentage is a non-GAAP measure that divides (i) core fee revenue by (ii) core net revenue (tax-equivalent); • Core net interest income is a non-GAAP measure that adjusts net interest income to exclude the impact of FHLB special dividend; • Core earnings (loss) per share is a non-GAAP measure that divides (i) adjusted net income (non-GAAP) attributable to WSFS by (ii) weighted average shares of common stock outstanding for the applicable period; • Core net revenue is a non-GAAP measure that adds (i) core net interest income and (ii) core fee revenue; • Core noninterest expense is a non-GAAP measure that adjusts noninterest expense as determined in accordance with GAAP to exclude corporate development and restructuring expenses, and contribution to WSFS CARES Foundation; • Core efficiency ratio is a non-GAAP measure that divides (i) core noninterest expense by (ii) the sum of core interest income and core fee revenue; • Core return on average assets (ROA) is a non-GAAP measure that divides (i) adjusted net income (non-GAAP) attributable to WSFS by (ii) average assets for the applicable period; • Tangible common equity is a non-GAAP measure and is defined as total average stockholders’ equity less goodwill, other intangible assets; • Return on average tangible common equity (ROTCE) is a non-GAAP measure and is defined as net income allocable to common stockholders divided by tangible common equity; • Pre-provision net revenue (PPNR) is a non-GAAP measure that adjusts net income determined in accordance with GAAP to exclude the impacts of (i) income tax provision and (ii) (recovery of) provision for credit losses; • Core PPNR is a non-GAAP measure that excludes the impact of securities gains, realized/unrealized gains on equity investments, net, corporate development and restructuring expenses, and Contribution to WSFS CARES Foundation; • PPNR percentage is a non-GAAP measure that divides (i) PPNR (annualized) by (ii) average assets for the applicable period; • Core PPNR percentage is a non-GAAP measure that divides (i) core PPNR (annualized) by (ii) average assets for the applicable period; and • Core return on average equity (ROE) is a non-GAAP measure that divides (i) adjusted net income (non-GAAP) attributable to WSFS by (ii) average stockholders’ equity for the applicable period


 
37 Appendix: Non-GAAP Financial Information Three Months Ended (dollars in thousands, except per share data) June 30, 2021 March 31, 2021 June 30, 2020 Net interest income (GAAP) $ 106,749 $ 114,185 $ 113,756 Core net interest income (non-GAAP) $ 106,749 $ 114,185 $ 113,756 Noninterest income (GAAP) $ 49,018 $ 47,822 $ 64,375 Less: Securities gains — 329 1,908 Less: Unrealized gains on equity investments, net 5,261 — (11) Less: Realized gain on sale of equity investment, net — — 22,052 Core fee revenue (non-GAAP) $ 43,757 $ 47,493 $ 40,426 Core net revenue (non-GAAP) $ 150,506 $ 161,678 $ 154,182 Core net revenue (non-GAAP) (tax-equivalent) $ 150,755 $ 161,943 $ 154,513 Noninterest expense (GAAP) $ 96,032 $ 95,619 $ 93,435 Less: Corporate development expense 2,543 2,095 2,801 (Plus)/less: Restructuring expense (144) (265) — Less: Loss on debt extinguishment 1,087 — — Less: Contribution to WSFS CARES Foundation 1,000 — — Core noninterest expense (non-GAAP) $ 91,546 $ 93,789 $ 90,634 Core efficiency ratio (non-GAAP) 60.7% 57.9% 58.7% Core fee revenue as a percentage of total core net revenue (non-GAAP)(tax- equivalent) 29.03% 29.33% 26.16% PPP income (non-GAAP) $ 6,135 $ 11,525 $ 4,836 Core fee revenue as a percentage of total core net revenue excl. PPP income (non-GAAP)(tax-equivalent) 30.0% 30.1% 27.0%


 
38 Appendix: Non-GAAP Financial Information 1 Pre-tax adjustments include securities gains, realized/unrealized gains on equity investments, corporate development and restructuring expense, loss on debt extinguishment, and contribution to WSFS CARES Foundation. (dollars in thousands, except per share data) GAAP net income attributable to WSFS $ 95,667 $ 65,082 $ (7,111) Plus/(less): Pre-tax adjustments1 (21,148) (Plus)/less: Tax impact of pre-tax adjustments Adjusted net income (non-GAAP) attributable to WSFS $ 95,402 $ 66,594 $ (23,547) Net income (GAAP) $ 95,611 $ 65,141 $ (7,811) Plus: Income tax provision (2,247) Plus/(less): (Recovery of) provision for credit losses 94,754 PPNR (Non-GAAP) 84,696 Plus/(less): Pre-tax adjustments1 (21,148) Core PPNR (Non-GAAP) $ 58,960 $ 67,889 $ 63,548 Average Assets PPNR % (Non-GAAP) 1.62% 1.89% 2.62% Core PPNR % (Non-GAAP) 1.60% 1.93% 1.96% GAAP return on average assets (ROA) (0.22)% Plus/(less): Pre-tax adjustments1 (0.65) (Plus)/less: Tax impact of pre-tax adjustments Core ROA (non-GAAP) (0.73)% Earnings per share (GAAP) $ 2.01 $ 1.36 $ (0.14) Plus/(less): Pre-tax adjustments1 (0.42) (Plus)/less: Tax impact of pre-tax adjustments Core earnings per share (non-GAAP) $ 2.00 $ 1.39 $ (0.46) (775) 1,501 June 30, 2021 March 31, 2021 June 30, 2020 (67,563) (20,160) 59,735 66,388 510 11 31,687 21,407 4,712 2.60% 1.85% (0.02) 0.04 (775) 1,501 14,786,619$ 14,256,209$ 13,020,715$ 0.01 — 2.59% 1.89% 0.14 (0.02) 0.03 0.01 — 0.10 Three Months Ended


 
39 Appendix: Non-GAAP Financial Information (dollars in thousands, except per share data) Calculation of return on average tangible common equity:​ GAAP net income attributable to WSFS​ $ 95,667 $ 65,082 $ (7,111) Plus: Tax effected amortization of intangible assets​ 2,198 Net tangible income (non-GAAP)​ $ 97,663 $ 67,086 $ (4,913) Average stockholders' equity of WSFS​ Less: average goodwill and intangible assets​ 553,665 556,344 564,622 Net average tangible common equity​ Return on average common equity (GAAP) ​ 21.32% 14.90% (1.55)% Return on average tangible common equity (non-GAAP) ​ 31.43% 22.38% (1.55)% Calculation of core return on average tangible common equity:​ Adjusted net income (non-GAAP) attributable to WSFS​ $ 95,402 $ 66,594 $ (23,547) Plus: Tax effected amortization of intangible assets​ 2,198 Core net tangible income (non-GAAP)​ Net average tangible common equity​ Core return on average common equity (non-GAAP) ​ 21.26% 15.24% (5.14)% Core return on average tangible common equity (non-GAAP) ​ 31.35% 22.89% (6.72)% Three Months Ended 1,996 2,004 97,398$ 68,598$ 1,799,839$ 1,771,822$ 1,246,174$ 1,215,478$ 1,996 2,004 June 30, 2021 March 31, 2021 June 30, 2020 1,842,525$ 1,277,903$ (21,349) 1,277,903$ 1,246,174$ 1,215,478$


 
40 Appendix: Non-GAAP Financial Information 1 For details on our core adjustments for full-year 2010 through 2020 refer to each years’ respective fourth quarter Earnings Release filed at Exhibit 99.1 on Form 8-K (dollars in thousands, except per share data) 2010 2011 2012 2013 Net Income (GAAP) 14,117$ 22,677$ 31,311$ 46,882$ Adj: Plus/less core (after-tax)1 420 (2,664) (11,546) (4,290) Adjusted net income (non-GAAP) 14,537$ 20,013$ 19,765$ 42,592$ Average Assets 3,796,166$ 4,070,896$ 4,267,358$ 4,365,389$ GAAP ROA 0.37% 0.56% 0.73% 1.07% Core ROA (non-GAAP) 0.38% 0.49% 0.46% 0.98% (dollars in thousands, except per share data) 2014 2015 2016 2017 Net Income (GAAP) 53,757$ 53,533$ 64,080$ 50,244$ Adj: Plus/less core (after-tax)1 (4,632) 4,407 4,323 32,597 Adjusted net income (non-GAAP) 49,125$ 57,940$ 68,403$ 82,841$ Average Assets 4,598,121$ 5,074,129$ 6,042,824$ 6,820,471$ GAAP ROA 1.17% 1.05% 1.06% 0.74% Core ROA (non-GAAP) 1.07% 1.14% 1.13% 1.21% (dollars in thousands, except per share data) 2018 2019 2020 Net Income (GAAP) 134,743$ 148,809$ 114,774$ Adj: Plus/less core (after-tax)1 (20,436) 36,295 (18,126) Adjusted net income (non-GAAP) 114,307$ 185,104$ 96,648$ Average Assets 7,014,447$ 11,477,856$ 13,148,317$ GAAP ROA 1.92% 1.30% 0.87% Core ROA (non-GAAP) 1.63% 1.61% 0.74% For the year ended December 31, For the year ended December 31, For the year ended December 31,


 
41 Appendix: Non-GAAP Financial Information 1 Completed on a fully tax-equivalent basis (dollars in thousands, except per share data) Net interest income (as reported) Adj: FHLB special dividend Adj: Tax-equivalent income 2,298 Core net interest income1 (non-GAAP) Average Interest-Earning Assets Net interest margin 3.87% Core net interest margin (non-GAAP) 3.85% Noninterest income (as reported) Adj: Securities gains Adj: Realized gain on sale of equity investment, net - - - Adj: Unrealized gains on equity investment, net - - - Core fee revenue (non-GAAP) Core net revenue (non-GAAP) Core net revenue (tax-equivalent)(non-GAAP) Core fee revenue % (non-GAAP) 34.3% Core fee revenue % (non-GAAP)(tax-equivalent) 34.0% (761) 169,136$ 635,091$ 26.6% 11,804,926$ 3.96% 3.96% 201,025$ (9,076) (22,052) 606,549$ 607,764$ 26.6% 26.6% 2019 2020 465,955$ - 1,151 467,106$ 4.44% 188,109$ (333) - (26,175) 161,601$ 444,948$ - 1,215 446,163$ 10,057,074$ 4.44% 636,242$ 26.6% 2017 (21) 138,018$ 384,492$ 385,852$ 35.9% 35.8% (3,757) (20,745) 1,360 247,834$ 6,052,145$ 4.09% 4.09% 162,541$ 246,474$ - (1,984) 122,660$ 343,931$ 346,922$ 35.7% 35.4% 34.6% 34.3% 5,684,724$ 3.95% 299,407$ 2,970 3.88% 3.88% (2,369) 3.95% 124,644$ 2015 2016 (808) For the year ended December 31, (1,478) 86,777$ 255,769$ 255,067$ 193,745$ - 196,715$ 5,072,473$ 105,061$ 102,692$ 296,437$ 4,368,223$ 168,290$ 166,800$ 88,255$ 2018 221,271$ - 2,991 224,262$ (dollars in thousands, except per share data) Core fee revenue (non-GAAP) PPP fee revenue Core fee revenue excl. PPP (non-GAAP) Core net revenue (non-GAAP) PPP income Core net revenue excl. PPP (non-GAAP) Core fee revenue as a percentage of core net revenue excl. PPP (non-GAAP) 6,373 152,420$ 30.0% 166,480$ 158,793$ 154,182$ - 10,506 - 4,836 June 30, 2020 Three Months Ended September 30, 2020 30.2% 43,479$ 45,745$ 40,246$ 43,479$ 45,745$ 40,246$ 47,493$ 2,159 45,334$ 161,678$ 11,525 150,153$ 149,346$ 27.1% 155,974$ 27.9% - March 31, 2021 December 31, 2020June 30, 2021 43,757$ 389 43,368$ 150,506$ 6,135 144,371$ 30.0%


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