Park National Corporation (PRK): Business Model Canvas [Apr-2026 Updated]

You're looking at Park National Corporation (PRK) and wondering how a community bank model scales to nearly $10 billion in assets while keeping that local feel; honestly, it's a masterclass in deposit franchise management. This isn't some abstract theory; their engine runs on deep, personal relationships that generate stable, low-cost funding, which is why they posted a net income of $137.4 million for the first nine months of 2025. To see exactly how they structure this balance between local service and metro-market scale-from their key partnerships to their revenue mix where non-interest income hit 23.5% in 2024-dive into the full Business Model Canvas below; it defintely lays out the blueprint for their success.

Park National Corporation (PRK) - Canvas Business Model: Key Partnerships

You're looking at the network that supports Park National Corporation's operations, which is crucial given their $9.9 billion in total assets as of June 30, 2025. These relationships are the backbone for everything from technology to community trust.

Local community organizations and United Way chapters

Park National Corporation emphasizes local support, which directly feeds into their Community Reinvestment Act (CRA) compliance and brand equity. For the past year, the commitment to local support was substantial:

• Contributed to communities: $4,870,044.
• Local organizations supported: 1,179.
• Volunteer hours logged: 23,160.

Park National Bank also donated a building to the United Way of Licking County, marking a significant in-kind partnership. They prefer to support organizations that support them by being a client of Park National Bank.

Third-party vendors for core banking system and technology

Reliance on external technology is a recognized operational factor. Park National Corporation has noted its reliance on its primary core banking system provider as a factor that can impact its ability to respond to customer needs. While specific 2025 spending on technology partnerships isn't public, the company's focus on Internet and mobile banking solutions suggests ongoing vendor engagement for digital delivery channels.

Correspondent banks for specialized services

While specific correspondent banking fee revenue is not detailed, Park National Corporation is actively expanding its footprint through strategic combinations. For instance, Park National Bank announced a strategic partnership welcoming First Citizens National Bank on October 27, 2025. This move, following the announced agreement to acquire the $2.6 billion asset First Citizens Bancshares, Inc., suggests a partnership strategy focused on geographic expansion and scale, which often involves integrating correspondent or specialized service capabilities.

Real estate developers and brokers for commercial loan origination

The origination of commercial loans, which totaled $7.88 billion at March 31, 2025, relies on relationships with developers and brokers, though specific referral fees or origination volumes through these partners are not itemized. The bank's strategy includes entering new geographic markets, which necessitates local real estate connections for growth in commercial lending.

Advisory board members providing local market insight

Park National Corporation maintains a formal Board of Directors, which provides governance and oversight, rather than a separate, explicitly detailed advisory board with published metrics. As of July 1, 2024, the Board of Directors expanded to 16 directors, including one director emeritus. These directors, such as Karen Morrison, who leads external affairs and philanthropy for OhioHealth Corporation, bring deep local and industry knowledge to the governance structure.

The quarterly cash dividend declared for December 10, 2025, was $1.07 per common share, plus a special one-time dividend of $1.25 per common share, showing shareholder returns are a key output of these operational relationships.

Finance: draft 13-week cash view by Friday.

Park National Corporation (PRK) - Canvas Business Model: Key Activities

Park National Corporation's key activities center on traditional, relationship-driven community banking, supported by wealth management and disciplined operational execution. You see this focus reflected clearly in their year-to-date 2025 performance metrics.

Commercial and retail loan origination and servicing

The origination and servicing of commercial and retail loans is a primary driver of Park National Corporation's interest income. The loan portfolio showed consistent, though measured, expansion through the first nine months of 2025. This activity is fundamental to their asset growth strategy.

Here are the recent loan growth figures:

The total assets stood at $9.9 billion as of June 30, 2025, showing the scale of the balance sheet supporting these origination efforts.

Deposit gathering and core deposit franchise maintenance

Maintaining a stable, low-cost funding base through deposit gathering is crucial for Park National Corporation's margin health. They actively work to cultivate loyal, sticky deposits, minimizing reliance on more expensive funding sources.

The core deposit franchise strength is evident in the composition of their funding:

• Non-interest bearing deposits represented 32% of total deposits as of March 31, 2025.
• Public funds made up approximately 18% of on and off balance sheet deposits as of March 31, 2025.
• The percentage of Non-CD/Brokered Deposits over Total Deposits was 90% at March 31, 2025.

Deposit growth figures for 2025 show steady, if sometimes modest, increases:

This focus on core deposits helps support their net interest margin, which was reported at 5.90% quarter-to-date for the third quarter of 2025.

Wealth management and fiduciary activities for high-net-worth clients

Fee income generation, heavily anchored by wealth management, is a key activity that diversifies revenue away from pure interest income. The aggregate assets under management (AUM) for this business line show growth through the year.

The AUM figures demonstrate the scale of their fiduciary responsibility:

• Assets under management (AUM) totaled $9.4 billion at September 30, 2025.
• AUM was $8.6 billion at March 31, 2025.

This activity contributed to a diversified revenue base, with the non-interest income to operating revenue ratio reaching 21.4% for the nine-month period ended September 30, 2025.

Disciplined expense management and technology leveraging

Controlling non-interest expenses is a stated focus that directly impacts profitability, as evidenced by the efficiency ratio. Management emphasizes a disciplined approach to expense control as a driver of performance.

Key profitability and expense metrics for 2025 reflect this focus:

The efficiency ratio of 55.85% in Q3 2025 is quite strong, especially when compared to the 2024 full-year ratio of 61.44%.

Managing a diversified investment securities portfolio

The investment securities portfolio is managed to provide liquidity and supplement net interest income. Park National Corporation maintains a focus on quality within this portfolio.

Portfolio quality characteristics as of March 31, 2025, include:

• 80% of the investment securities portfolio was rated AAA or Agency Backed.

This high-quality positioning is part of the overall strategy to maintain a conservative balance sheet while generating returns.

Park National Corporation (PRK) - Canvas Business Model: Key Resources

You're looking at the core assets that power Park National Corporation's business right now, late in 2025. These aren't abstract concepts; they are hard numbers and tangible structures that keep the engine running.

The foundation is definitely the funding structure. Park National Corporation maintains a strong core deposit base, which is the low-cost funding that supports its net interest margin. As of June 30, 2025, total deposits stood at $8.2 billion. The reported period end deposits showed growth, increasing 2.8 percent annualized during the first half of 2025, even accounting for deposits moved off balance sheet as of that date. This low-cost funding profile is a key enabler for durable net interest margin.

On the balance sheet side, Park National Corporation reported total assets of $9.9 billion as of June 30, 2025 and again as of September 30, 2025. This is a slight increase from the $9.8 billion reported at the end of 2024.

The wealth services component is also substantial. Assets under management (AUM), reported as total trust assets at market value, reached $9.1 billion as of June 30, 2025, up from the $8.8 billion reported at year-end 2024.

The physical footprint and the people running it are critical, too. You need to know the scale of their physical presence and the experience level of the team.

Here are the details for the physical network and human capital:

• Physical footprint includes 87 offices and 108 ATMs.
• The network spans 4 states: Ohio, Kentucky, North Carolina, and South Carolina.
• Park National Bank has 71 branches specifically in Ohio.
• The regional leadership team averages approximately 29 years of banking experience.
• Senior leaders have been with Park National Corporation for an average of 20 years as of June 30, 2025.

To give you a clearer picture of the scale and recent performance tied to these resources:

The firm also has non-bank subsidiaries, including Scope Leasing, Inc. (d.b.a. Scope Aircraft Finance), Guardian Financial Services Company (d.b.a. Guardian Finance Company), Park Investments, Inc., and SE Property Holdings, LLC.

Finance: draft the Q4 2025 asset projection based on the September 30, 2025, figure by next Tuesday.

Park National Corporation (PRK) - Canvas Business Model: Value Propositions

You're looking at the core things Park National Corporation offers that make customers choose them over the competition as of late 2025. It's about stability, local control, and a breadth of services that a pure community bank might not offer.

Consistent, predictable, and relationship-driven banking service

Park National Corporation emphasizes a service mindset from its bankers, which management sees as a key driver for steady financial performance. This relationship focus is supported by a long-tenured leadership team; for instance, senior leaders have been with PRK for an average of 19 years.

The local connection is quantified by their strong regional presence. As of June 30, 2025, PRK's average deposit market share was approximately 33% in its six largest Ohio county markets. This deep local footprint is paired with growth into new geographic markets like Louisville, KY, and Charlotte, NC, which management notes have strong population growth and low unemployment rates, such as the August 2025 unemployment rate of 4.1% in Central Ohio and 4.3% in Eastern Ohio.

The relationship focus translates to solid, if measured, growth:

• Total Loans increased 3.9% for the 12-month period ended June 30, 2025.
• Total Deposits increased 2.3% for the first nine months of 2025.

Financial stability and strong capital position for a community bank

Park National Corporation maintains a capital structure that signals strength, even as it prepares for potential regulatory changes should assets cross the $10 billion threshold, which they have done twice before. This stability is a core offering for depositors and borrowers alike.

The financial strength is evident in key metrics as of mid-to-late 2025:

The company actively manages its capital structure; for example, the Total Risk-based Capital ratio saw a decline in Q3 2025 due to the payoff of $175 million of subordinated debt and $15 million of trust preferred securities. The commitment to shareholders is also a value proposition, shown by the declaration of a regular quarterly cash dividend of $1.07 per common share and a special one-time dividend of $1.25 per common share in October 2025.

Diversified financial solutions, including aircraft and consumer finance

Park National Corporation offers specialized lending outside of traditional commercial and retail banking through its subsidiaries, Scope Leasing, Inc. (Scope Aircraft Finance) and Guardian Financial Services Company (Guardian Finance Company). This diversification provides different risk/reward dynamics and specialized client service.

The scale of these specialty areas, based on year-end 2024 figures, demonstrates their significance:

The net charge-offs in specialty lending have historically not materially impacted Park National Corporation's overall net charge-off rates over the last 10 years. Furthermore, non-interest income, which includes fees from these services, represented approximately 21.4% of operating revenue for the nine months ended September 30, 2025.

Local decision-making combined with metro-market scale

The value here is the combination of a regional bank model with the ability to serve larger metro markets. Park National Bank is headquartered in Newark, Ohio, but its operations span regions including Central Ohio, Eastern Ohio, and the Carolinas. This structure allows for local leaders to make credit and relationship decisions while operating within a larger, well-capitalized entity.

The regional leadership team averages approximately 29 years of banking experience and 19 years of leadership tenure with Park, which reinforces the local, experienced decision-making aspect. This model supports a durable net interest margin, which stood at 4.75% at June 30, 2025.

Commitment to community investment and local economic growth

Park National Corporation states its commitment to serving customers and communities with integrity and care. This commitment is operationalized through its regional structure and focus on local economic growth in its markets. The company's bankers are dedicated to helping all those they serve achieve their financial goals and thrive in 2025. The management team is focused on execution and service excellence to position the company well for continued success in the evolving financial landscape.

Park National Corporation (PRK) - Canvas Business Model: Customer Relationships

Park National Corporation maintains a relationship-centric model, evidenced by management's stated focus on deepening relationships with our customers and communities as of the third quarter of 2025.

The core of this approach is built around personal, long-lasting relationships facilitated by local bankers. Park President Matthew Miller highlighted a focus on relationship-driven banking in the third quarter of 2025. This dedication to personal service is a sustained theme, as the Chairman and CEO David Trautman noted in early 2025 that the company's performance is sustained by the faith customers place in them to be there for them when, where and how they think best.

For commercial and wealth clients, the relationship focus translates into tangible business results, supported by the scale of the bank's operations. As of June 30, 2025, Park National Corporation reported total assets of $9.9 billion. The wealth management component is substantial, with Assets Under Management at $8.6 billion as of March 31, 2025. Commercial activity shows growth, with total loans increasing 3.4 percent for the 12-month period ended September 30, 2025. The bank's diversified revenue base included approximately 19.8% non-interest income to operating revenue for the three months ended March 31, 2025.

The community-centric approach is a measurable part of the value proposition. In 2024, Park National Corporation received twenty-five corporate, regional, local, and individual honors highlighting community impact and customer service. Furthermore, the bank actively promotes local homeownership through specific programs, such as launching the Home Loan Grant Program in Columbus and similar programs in Cincinnati, Dayton, Mansfield, Louisville, Charlotte, Spartanburg, Greenville, and Asheville in 2024. The bank maintains a significant local footprint, holding an average deposit market share of approximately 34% in its six largest county markets in Ohio as of June 30, 2024.

The high-touch service model is intentionally complemented by digital access to meet evolving customer expectations. In 2024, Park launched a new account opening platform, powered by MANTL, which features the ability to open an account from start to finish in less than five minutes. This digital enhancement supports the overall strategy to help more neighbors with financial solutions.

Here is a snapshot of the financial scale supporting these customer relationships as of late 2025:

The service delivery is supported by a team whose dedication to excellence is noted by management. Key service touchpoints include:

• Personalized service from local bankers.
• Dedicated managers for commercial and wealth clients.
• Community engagement recognized by 25 honors in 2024.
• Digital account opening in under five minutes.

The bank's commitment to shareholder returns, including a declared special one-time dividend of $1.25 per common share payable December 10, 2025, is also a reflection of the trust placed in the business model by stakeholders.

Park National Corporation (PRK) - Canvas Business Model: Channels

The Park National Bank branch network in Ohio and Kentucky

• Operating in 4 states: Kentucky, North Carolina, Ohio and South Carolina.
• Total offices: 87.
• Total ATMs: 108.
• Park National Bank is the lead bank serving Ohio, Northern Kentucky, and the Carolinas.
• Park National Bank is operating in 28 counties in Ohio and one in Kentucky.

Digital banking platforms for retail and commercial customers

Park National Corporation provides digital banking tools for personal and business customers, complementing its physical network.

Specialized subsidiaries (e.g., Scope Aircraft Finance, Guardian Finance Company)

Loan production offices in expansion metro markets

Park National Corporation has expanded into new geographic markets via acquisitions and new office openings. The Louisville, Kentucky office relocation in late 2024 provides a physical presence in that expansion market.

• Louisville, Kentucky office space: 11,500 square-foot.
• Louisville office space designed for up to 35 associates.
• Louisville office opened at 2305 River Road, Suite 300 on October 21, 2024.
• Park National Corporation had total assets of $9.9 billion as of June 30, 2025.

ATMs and third-party payment networks

The channel strategy includes a network of proprietary ATMs alongside its physical offices.

Park has more than 85 offices and ATMs in Ohio, Kentucky and the Carolinas.

Park National Corporation (PRK) - Canvas Business Model: Customer Segments

You're looking at the core groups Park National Corporation serves, based on their latest reported figures through the third quarter of 2025. This isn't just about who walks in the door; it's about where the assets and loan volume are concentrated.

Retail customers within established community markets

This segment forms the foundation, rooted deeply in their primary operating areas. Park National Corporation maintains a significant physical presence to serve these local customers.

• Operating in $\mathbf{4}$ states: Kentucky, North Carolina, Ohio, and South Carolina.
• Maintains $\mathbf{87}$ offices and $\mathbf{108}$ ATMs.
• Holds the #1 bank position in $\mathbf{7}$ Ohio counties based on FDIC deposit market share data.
• Average deposit market share was approximately $\mathbf{33\%}$ in Park National Corporation's six largest Ohio county markets at June 30, 2025.

Small to mid-sized commercial businesses (C&I and CRE lending)

Commercial lending drives a substantial portion of Park National Corporation's balance sheet. The total loan portfolio size gives you a sense of the scale of this customer base.

Here's a quick look at the loan portfolio as of late 2025:

The portfolio is split between fixed and variable rates, which impacts how these commercial clients manage their debt service.

• $\mathbf{47\%}$ of the loan portfolio has fixed interest rates with a weighted average contractual life of $\mathbf{86}$ months.
• $\mathbf{53\%}$ of the portfolio consists of variable rate loans with a weighted average reprice of $\mathbf{29}$ months.

High-net-worth individuals needing trust and wealth management

This group contributes significantly to fee income, which was $\mathbf{21.4\%}$ of operating revenue for the nine months ended September 30, 2025. Wealth management is a primary driver here.

The scale of assets managed for these clients is quite clear:

The growth from $\mathbf{\$9.1 \text{ billion}}$ to $\mathbf{\$9.4 \text{ billion}}$ in just one quarter shows strong momentum in this segment.

Homebuyers utilizing home loan grant and assistance programs

Park National Corporation serves homebuyers through its banking operations, including through its Director of Home Lending. While specific grant or assistance program dollar amounts aren't broken out here, the overall lending activity is visible.

• Total Loans were $\mathbf{\$7.96 \text{ billion}}$ at June 30, 2025.
• The company has a history of providing resources to the communities it serves.

Specialized lending clients through subsidiaries (e.g., aircraft leasing)

Park National Corporation uses subsidiaries to target specific, often out-of-market, lending niches. Scope Leasing, Inc. (d.b.a. Scope Aircraft Finance) is one such key area.

The size of these specialty loan books as of mid-2025 gives you the picture:

The Scope Leasing, Inc. loan balance was reported higher at $\mathbf{\$341.9 \text{ million}}$ for the first quarter of 2025. These out-of-market portfolios are noted as being subject to intensive loan monitoring.

Park National Corporation (PRK) - Canvas Business Model: Cost Structure

You're looking at the cost side of Park National Corporation's business as of late 2025, which is heavily influenced by the cost of funds and the expense of running a large, relationship-focused banking operation. Honestly, for a bank, the biggest levers are always interest paid versus interest earned, and how efficiently you manage your people and technology.

Interest expense on deposits and borrowings, a major component

While the exact dollar amount for interest expense isn't explicitly broken out in the latest reports, we can infer the cost structure's pressure points. Park National Corporation maintained a solid Net Interest Margin (NIM) of 4.72% for the third quarter of 2025, which is a testament to managing the cost of their deposits relative to their loan yields. Their core funding relies on a low-cost, core deposit profile, which supports that durable margin. The cost of interest-bearing deposits was cited as 1.74% in Q3 2025, which is a key input to the overall interest expense calculation.

Significant personnel costs for the large banker and support team

The emphasis on relationship-driven banking means personnel costs are substantial. The efficiency ratio of 55.85% for Q3 2025 suggests that non-interest expenses, which heavily feature salaries and benefits for their bankers across Ohio, Kentucky, and the Carolinas, are tightly managed relative to revenue. Park President Matthew R. Miller noted the dedication of their bankers as the foundation of their success, confirming the importance of this human capital cost.

General and administrative expenses, including occupancy and equipment

These fixed and semi-fixed costs are bundled into the overall non-interest expense calculation. For Q3 2025, the aggregate of non-interest expenses-covering personnel, G&A, and technology-was approximately $76.81 million, calculated by applying the 55.85% efficiency ratio to the reported total revenue of $137.6 million for the quarter.

Technology and data processing costs for core banking systems

Technology spend is embedded within the non-interest expense structure, supporting over 85 offices and ATMs. This cost is critical for maintaining the service excellence and execution the management team emphasizes.

Provision for credit losses, managed at a low historical rate

Managing the risk cost is paramount. Park National Corporation has historically maintained below-peer levels for net charge-offs. For Q3 2025, the annualized net charge-offs remained low at 0.10%. The Allowance for Credit Losses (ACL) as a percentage of loans stood at 1.13% at June 30, 2025.

Here's a quick look at the key financial metrics from the first nine months and third quarter of 2025 that reflect cost control and risk management:

The components making up the non-interest expense, which is the primary area of controllable operating cost outside of funding costs, include:

• Personnel Costs: Supporting the large banker and support team.
• General and Administrative Expenses: Covering occupancy for over 85 offices and equipment.
• Technology Costs: For core banking systems and digital service delivery.

Finance: draft 13-week cash view by Friday.

Park National Corporation (PRK) - Canvas Business Model: Revenue Streams

You're looking at how Park National Corporation brings in its money, which is pretty standard for a solid regional bank. The main engine, as you'd expect, is the spread between what they earn on their assets and what they pay out on their liabilities. That's the Net Interest Income (NII) from loans and investment securities, and it's definitely the primary source of revenue for Park National Corporation.

For the first quarter of 2025, Park National Corporation saw its Net Interest Income hit $104,377 thousand. That represented a solid 9.2% increase when you stack it up against the first quarter of 2024, showing the core business was performing well early in the year.

The secondary, but still important, revenue component is Non-interest income. For the twelve-month period ending December 31, 2024, this category made up approximately 23.5% of the total operating revenue. This diversified income stream helps cushion the bank when interest rate environments shift. You'll want to keep an eye on this mix, as it shows how much they rely on service fees versus pure lending income.

Here's a quick look at how that Non-interest income was broken down for the full year 2024, which gives you a good sense of the fee-based revenue drivers:

The wealth management side, which falls under Fiduciary Activities, is a significant fee generator. At December 31, 2024, Park National Corporation had aggregate assets under management of $8.8 billion. This feeds directly into that 35% slice of the non-interest income pie.

When you look at the retail banking side, you're seeing revenue generated from things like interchange and service charges. For the first nine months of 2025, Park National Corporation posted a net income of $137.4 million. That's a strong bottom-line result that aggregates all these revenue sources, plus the NII, after accounting for all the operating costs.

To be defintely clear on the other revenue sources that feed into that non-interest income bucket, you're looking at:

• Interchange and service charge income from retail banking.
• Income from fiduciary and wealth management fees.
• Other service income streams.
• Income related to Bank Owned Life Insurance (BOLI).

Remember, Park National Corporation had total assets of about $9.9 billion as of March 31, 2025, which supports the scale of the loan portfolio generating that primary NII.