John Marshall Bancorp, Inc. Reports Continuing Strong Momentum and Growth in Margin, Core Deposits and Loan Demand Drives 28% Increase in Net Income. Asset Quality Remains Pristine.

RESTON, VA--(BUSINESS WIRE)-- John Marshall Bancorp, Inc. (Nasdaq: JMSB) (the “Company”), parent company of John Marshall Bank (the “Bank”), reported net income of $5.4 million for the quarter ended September 30, 2025 compared to $4.2 million for the quarter ended September 30, 2024, an increase of $1.2 million or 27.6%. Diluted earnings per common share were $0.38 for the quarter ended September 30, 2025 compared to $0.30 for the quarter ended September 30, 2024, an increase of 26.7%.

Selected Highlights

• Earnings Accelerating – Net income of $5.4 million for the quarter ended September 30, 2025 represents a 23.4% annualized increase over the $5.1 million net income reported for the quarter ended June 30, 2025. Diluted earnings per common share were $0.38 for the quarter ended September 30, 2025 and represented a 22.0% annualized increase over the $0.36 diluted earnings per common share reported for the quarter ended June 30, 2025.
• Continued Margin Expansion – The tax-equivalent net interest margin (Non-GAAP) expanded for the sixth consecutive quarter to 2.73% compared to 2.70% for the second quarter of 2025 and 2.30% for the third quarter of 2024. Refer to “Explanation of Non-GAAP Financial Measures,” the “Reconciliation of Certain Non-GAAP Financial Measures” table and the “Average Balance Sheets, Interest and Rates” tables for further details about financial measures used in this release that were determined by methods other than in accordance with GAAP.
• Significant Increase in Net Interest Income – For the three months ended September 30, 2025, the Company reported net interest income of $15.6 million, a $0.7 million or 17.9% annualized increase over the previous quarter and a $2.4 million or 18.6% increase over the prior year quarter.
• Strong Core Deposit Growth and Loan Demand – Total deposits increased $71.9 million or 15.0% annualized during the most recent quarter. Wholesale funding sources decreased $16.5 million during the third quarter. Loans, net of unearned income, increased $21.2 million or 4.4% annualized during the most recent quarter. During the nine months ended September 30, 2025, the Company recorded $327.3 million in new loan commitments, a 22.4% improvement on the $267.5 million of new loan commitments recorded during the nine months ended September 30, 2024. The current year’s new loan commitment production represents the highest level since 2022. New commitments represent loans closed, but not necessarily fully funded as of the end of the respective reporting period.
• Outstanding Asset Quality – As of September 30, 2025 the Company had no loans greater than 30 days past due, no non-accrual loans and no other real estate owned assets. The Company recorded no net charge-offs during the third quarter of 2025 and there were no loans classified as substandard as of September 30, 2025.
• Robust Capitalization – Each of the Bank’s regulatory capital ratios remained well in excess of the regulatory well-capitalized thresholds as of September 30, 2025. During the quarter ended September 30, 2025, the Company repurchased 15,660 shares of its common stock at weighted average price of $18.74.
• Growing Book Value per Share – Book value per share increased from $17.07 as of September 30, 2024 to $18.27 as of September 30, 2025, a 7.0% increase. Including the $0.30 per share cash dividend declared on April 22, 2025 and paid on July 7, 2025, the annual book value return was 8.8%.

Chris Bergstrom, President and Chief Executive Officer, commented, “The Company is on track to produce a significant increase in loan commitments in 2025. These commitments continue to convert into loan balances. Our year-to-date gross loan production is 34% ahead of last year. Rigorous underwriting and prudent growth take precedence over growth for growth’s sake. During the third quarter, we increased the volume and quality of our funding. We believe that additional Federal Open Market Committee rate reductions and a continuing normalization of the yield curve could enhance our performance trend by increasing loan demand, lowering the cost of funds and further improving net interest margin and profitability. John Marshall has the capital, liquidity, market opportunity and team to support growth and, we believe, increasing shareholder value. The strength and preparedness of our balance sheet enabled us to increase earnings 28% this quarter. We believe having an unfettered balance sheet allows us to focus on organic growth, consider mergers and acquisitions, as appropriate, and drive increased growth and returns.”

Balance Sheet, Liquidity and Credit Quality

Total assets were $2.32 billion at September 30, 2025, $2.23 billion at December 31, 2024, and $2.27 billion at September 30, 2024. Total assets have increased $89.6 million or 4.0% and $50.2 million or 2.2% since December 31, 2024 and September 30, 2024, respectively.

Total loans, net of unearned income, were $1.94 billion at September 30, 2025, $1.87 billion at December 31, 2024, and $1.84 billion at September 30, 2024. Total loans, net of unearned income have increased $65.9 million or 4.7% annualized since December 31, 2024 and $95.5 million or 5.2% since September 30, 2024. Total loans, net of unearned income, increased $21.2 million or 1.1% to $1.94 billion at September 30, 2025, compared to $1.92 billion at June 30, 2025. The increase in loans from June 30, 2025, was primarily attributable to growth in residential mortgage loans, commercial owner-occupied real estate loans, and construction & development loans. All other portfolios remained relatively unchanged during the most recent quarter. Refer to the Loan, Deposit and Borrowing Detail table for further information.

The carrying value of the Company’s fixed income securities portfolio was $205.7 million at September 30, 2025, $222.3 million at December 31, 2024 and $237.5 million at September 30, 2024. The decrease in carrying value of the Company’s fixed income securities portfolio since September 30, 2024 was primarily attributable to maturities and the amortization of the portfolio. As of September 30, 2025, 95.1% of our bond portfolio carried the implied guarantee of the United States government or one of its agencies. At September 30, 2025, 65.1% of the fixed income portfolio was invested in amortizing bonds, which provides the Company with a source of steady cash flow. At September 30, 2025, the fixed income portfolio had an estimated weighted average life of 4.1 years. The available-for-sale portfolio comprised approximately 59% of the fixed income securities portfolio and had a weighted average life of 3.1 years at September 30, 2025. The held-to-maturity portfolio comprised approximately 41% of the fixed income securities portfolio and had a weighted average life of 5.4 years at September 30, 2025.

The Company’s balance sheet remains highly liquid. The Company’s liquidity position, defined as the sum of cash, unencumbered securities and available secured borrowing capacity, totaled $826.7 million as of September 30, 2025 compared to $755.6 million as of June 30, 2025 and represented 35.6% and 33.3% of total assets, respectively. In addition to available secured borrowing capacity, the Bank had available federal funds lines of $110.0 million at September 30, 2025.

Total deposits were $1.97 billion at September 30, 2025, $1.89 billion at December 31, 2024 and $1.94 billion at September 30, 2024. During the most recent quarter, total deposits increased $71.9 million or 3.8% when compared to June 30, 2025 primarily due to a 7.2% or $24.3 million increase in money market accounts, a 4.9% or $21.1 million increase in core time deposits, and a 1.9% or $8.3 million increase in non-interest bearing demand deposits. As further detailed in the tables included in this release, core funding sources have increased $71.9 million, while wholesale funding sources have decreased $16.5 million since June 30, 2025. As of September 30, 2025, the Company had $682.8 million of deposits that were not insured or not collateralized compared to $714.2 million at September 30, 2024.

Federal Home Loan Bank (“FHLB”) advances were $56.0 million as of September 30, 2025, December 31, 2024 and September 30, 2024. The three FHLB advances have a weighted average fixed interest rate of 3.99%. In addition to outstanding FHLB advances, total borrowings as of September 30, 2025 included subordinated debt totaling $24.9 million. During the most recent quarter, the Company repaid the $16.5 million of federal funds purchased that were outstanding as of June 30, 2025.

Shareholders’ equity increased $16.6 million or 6.8% to $259.7 million at September 30, 2025 compared to $243.1 million at September 30, 2024. Book value per share was $18.27 as of September 30, 2025 compared to $17.07 as of September 30, 2024, an increase of 7.0%. The year-over-year change in book value per share was primarily due to the Company’s earnings over the previous twelve months and a decrease in accumulated other comprehensive loss. This increase was partially offset by cash dividends paid and increased share count from shareholder option exercises and restricted share award issuances. The decrease in accumulated other comprehensive loss was attributable to an increase in the market value of our available-for-sale investment portfolio.

The Bank’s capital ratios remained well above regulatory thresholds for well-capitalized banks. As of September 30, 2025, the Bank’s total risk-based capital ratio was 16.6%, compared to 16.2% at December 31, 2024 and 16.3% at September 30, 2024. As outlined below, the Bank would continue to remain well above regulatory thresholds for well-capitalized banks at September 30, 2025 in the hypothetical scenario where the entire bond portfolio was sold at fair market value and any losses realized (Non-GAAP).

Bank Regulatory Capital Ratios (As Reported)
			Well-Capitalized Threshold			September 30, 2025			December 31, 2024			September 30, 2024
Total risk-based capital ratio			10.0	%		16.6	%		16.2	%		16.3	%
Tier 1 risk-based capital ratio			8.0	%		15.5	%		15.2	%		15.3	%
Common equity tier 1 ratio			6.5	%		15.5	%		15.2	%		15.3	%
Leverage ratio			5.0	%		12.7	%		12.4	%		11.9	%

Adjusted Bank Regulatory Capital Ratios (Hypothetical Scenario of Selling All Bonds at Fair Market Value - Non-GAAP)
			Well-Capitalized Threshold			September 30, 2025			December 31, 2024			September 30, 2024
Adjusted total risk-based capital ratio			10.0	%		16.0	%		15.3	%		15.6	%
Adjusted tier 1 risk-based capital ratio			8.0	%		14.9	%		14.2	%		14.5	%
Adjusted common equity tier 1 ratio			6.5	%		14.9	%		14.2	%		14.5	%
Adjusted leverage ratio			5.0	%		12.0	%		11.5	%		11.2	%

The Company recorded no charge-offs during the nine months ended September 30, 2025. As of September 30, 2025, the Company had no loans greater than 30 days past due, no non-accrual loans and no other real estate owned assets.

At September 30, 2025, the allowance for loan credit losses was $19.7 million or 1.02% of outstanding loans, net of unearned income, compared to $19.3 million or 1.01% of outstanding loans, net of unearned income, at June 30, 2025. An increase in the allowance for loan credit losses during the most recent quarter is attributable to the growth in the loan portfolio combined with the impact of updated economic forecasts used in the allowance estimate.

At September 30, 2025, the allowance for credit losses on unfunded loan commitments was $1.1 million compared to $1.2 million at June 30, 2025.

The Company did not have an allowance for credit losses on held-to-maturity securities as of September 30, 2025 or June 30, 2025. As of September 30, 2025, 93.3% of our held-to-maturity portfolio carried the implied guarantee of the United States government or one of its agencies.

The Company believes its owner occupied and non-owner occupied CRE portfolios continue to be of sound credit quality. The following table demonstrates their strong debt-service-coverage and loan-to-value ratios as of September 30, 2025.

Commercial Real Estate
	Owner Occupied											Non-owner Occupied
Asset Class	Weighted Average Loan- to-Value(1)			Weighted Average Debt Service Coverage Ratio(2)			Number of Total Loans			Principal Balance(3) (Dollars in thousands)		Weighted Average Loan- to-Value(1)			Weighted Average Debt Service Coverage Ratio(2)			Number of Total Loans			Principal Balance(3) (Dollars in thousands)
Warehouse & Industrial	49.1	%		3.2	x		55		$	69,065		49.2	%		2.2	x		47		$	119,888
Office	57.7	%		3.6	x		137			87,445		45.9	%		1.9	x		56			99,726
Retail	59.4	%		2.8	x		43			77,817		50.2	%		1.8	x		143			449,123
Church	25.8	%		2.6	x		17			26,774		71.6	%		1.0	x		2			5,658
Hotel/Motel	- -			- -			- -			- -		51.6	%		1.5	x		11			80,504
Other(4)	36.4	%		3.4	x		38			66,168		45.0	%		2.2	x		7			15,506
Total							290		$	327,269								266		$	770,405

(1)		Loan-to-value is determined at origination date and is divided by principal balance as of September 30, 2025.
(2)		The debt service coverage ratio (“DSCR”) is calculated from the primary source of repayment for the loan. Owner occupied DSCR’s are derived from cash flows from the owner occupant’s business, property and their guarantors, while non-owner occupied DSCR’s are derived from the net operating income of the property.
(3)		Principal balance excludes deferred fees or costs.
(4)		Other asset class is primarily comprised of schools, daycares and country clubs.

The following charts provide geographic detail and stated maturity summaries for the Company’s non-owner occupied office portfolio as of September 30, 2025:

Non-owner occupied office: Geography
Geography	Commitment (in 000s)		Percentage
Virginia	$69,942		67.6%
Maryland	27,368		26.4%
DC	5,833		5.6%
Other	438		0.4%
Total	$103,581		100.0%

Non-owner occupied office: Maturity
Maturity Year	Commitment (in 000s)		Percentage
2025	$4,338		4.2%
2026	5,804		5.6%
2027	1,387		1.3%
2028	14,361		13.9%
2029+	77,691		75.0%
Total	$103,581		100.0%

Income Statement Review

Quarterly Results

The Company reported net income of $5.4 million for the third quarter of 2025, an increase of $1.2 million or 27.6% when compared to $4.2 million for the third quarter of 2024.

For the three months ended September 30, 2025, net interest income increased $2.4 million or 18.6% to $15.6 million compared to $13.2 million for the three months ended September 30, 2024. During the same period, interest income increased $0.5 million or 1.8%, driven by higher interest income on loans, while interest expense declined by $1.9 million or 12.6%, predominantly due to lower interest expense on time deposits, money market accounts and borrowings.

The annualized tax-equivalent net interest margin (Non-GAAP) for the third quarter of 2025 was 2.73% as compared to 2.30% for the same period in 2024. The increase in tax-equivalent net interest margin was primarily due to lower rates on interest-bearing deposits in combination with the increase in average balances and yields of the loan portfolio.

The cost of interest-bearing liabilities was 3.37% for the third quarter of 2025 compared to 3.86% for the same quarter in the prior year driven by 49 basis points decline in rates on interest-bearing deposits. Rates declined across all deposit categories, most notably in NOW accounts, money market, and time deposits, which declined by 59 basis points, 52 basis points, and 41 basis points, respectively. Cost of borrowings declined from 4.88% for the prior year quarter to 4.52% in the most recent quarter, mainly as a result of the payoff of higher cost Bank Term Funding Program borrowings in September 2024, which were partially refinanced with lower cost FHLB advances. The yield on interest-earning assets was 5.06% for the third quarter of 2025 compared to 4.97% for the same period in 2024 primarily due to 11 basis points increases in both loan and investment securities yields. Average loans increased $93.8 million between the three months ended September 30, 2025 and the three months ended September 30, 2024, which was primarily attributable to origination volume in the investor real estate, construction and development, and residential mortgage loan portfolios subsequent to September 30, 2024.

The Company recorded a $356 thousand provision for credit losses for the third quarter of 2025 compared to $400 thousand for the third quarter of 2024. The provision for credit losses during the most recent quarter was directly attributable to the growth in the Company’s loan portfolio quarter-over-quarter coupled with the impact of updated economic forecasts used in the quantitative portion of the model. All other credit-related assumptions used in the allowance estimate, including qualitative adjustments, remained relatively consistent compared to the previous quarter.

Non-interest income increased $36 thousand during the third quarter of 2025 compared to the third quarter of 2024. This increase was primarily attributable to a $101 thousand increase in customer swap fee income, partially offset by a $54 thousand reduction in gains recorded on sales of the guaranteed portions of SBA 7(a) loans due to lower sale activity.

Non-interest expense increased $1.0 million or 12.5% during the third quarter of 2025 compared to the third quarter of 2024 primarily as a result of increases in salaries and employee benefits and other expenses. The $796 thousand or 16.3% increase in salaries and employee benefits was primarily related to increases in headcount within the Bank and incentive compensation tied to performance. The headcount increases are investments in the Bank’s future growth. As in the past, management expects these staffing additions will lead to subsequent increases in revenues. Incentive compensation expense accruals can fluctuate significantly from quarter to quarter, based upon the Company’s financial performance and condition measured against, among other evaluation criteria, our strategic plan and budget. Other expenses grew by $221 thousand or 9.3% due to a combination of higher state franchise taxes, marketing expense and general operating expenses. These increases were partially offset by lower occupancy expense, resulting from the negotiation of more favorable rents on three branch locations.

For the three months ended September 30, 2025, annualized non-interest expense to average assets was 1.57% compared to 1.39% for the three months ended September 30, 2024. The increase was primarily due to higher non-interest expense, as described above, when comparing the two periods. For the three months ended September 30, 2025, the efficiency ratio declined to 55.6% compared to 58.3% for the three months ended September 30, 2024. The improvement in the efficiency ratio was due to an 18.0% growth in total revenue, which outpaced a 12.5% increase in non-interest expense over the period.

Return on average assets for the quarter ended September 30, 2025 was 0.94% and return on average equity was 8.31% compared to 0.73% and 7.00%, respectively, for the third quarter of 2024.

Year-to-Date Results

The Company reported net income of $15.3 million for the nine months ended September 30, 2025, an increase of $3.0 million or 24.1% when compared to the same period in 2024.

Net interest income for the nine months ended September 30, 2025 increased $7.6 million or 20.7% compared to the same period of 2024. The annualized net interest margin and tax-equivalent net interest margin (Non-GAAP) for the nine months ended September 30, 2025 were 2.66% and 2.67%, respectively, as compared to 2.20% for the same periods in the prior year. These increases were driven primarily by the decrease in rates of interest-bearing deposits coupled with increases in average balances and yields of the loan portfolio.

The cost of interest-bearing liabilities was 3.41% for the nine months ended September 30, 2025 compared to 3.83% for the nine months ended September 30, 2024. The decrease in the cost of interest-bearing liabilities was primarily due to a 40 basis points decrease in the cost of interest-bearing deposits as a result of the repricing of the Company’s time deposits coupled with a decrease in rates offered on money market, NOW and savings deposit accounts since the third quarter of 2024. The yield on interest-earning assets was 5.03% for the nine months ended September 30, 2025 compared to 4.88% for the same period in 2024. The increase in yield on interest-earning assets was primarily due to an 18 basis point and a seven basis point increase in yields on the Company’s loans and securities, respectively, as a result of higher prevailing interest rates as assets repriced subsequent to the third quarter of 2024. Average loans increased $61.4 million between the nine months ended September 30, 2025 and 2024, which was primarily attributable to origination volume in the investor real estate, construction and development, and residential mortgage loan portfolios subsequent to September 30, 2024.

The Company recorded a $1.1 million provision for credit losses for the nine months ended September 30, 2025 compared to a $0.7 million recovery of provision for credit losses for the nine months ended September 30, 2024. The provision for credit losses during the nine months ended September 30, 2025 was primarily a result of changes in the composition and volume of the loan portfolio, updated economic forecasts used in the quantitative portion of the model and an assessment of management’s considerations of qualitative factors.

Non-interest income decreased $325 thousand or 16.3% during the nine months ended September 30, 2025 compared to the same period of 2024. The decrease was primarily driven by a $306 thousand decrease on the recorded gain on sale of the government guaranteed portion of the SBA 7(a) loans due to decreased sale activity along with a $53 thousand decrease in insurance commissions. These decreases were partially offset by a $66 thousand increase to the mark-to-market adjustments on the Company’s nonqualified deferred compensation plan and a $37 thousand increase in swap fee income.

Non-interest expense increased $1.7 million or 7.3% during the nine months ended September 30, 2025 compared to the same period in 2024 predominantly due to a $1.4 million or 9.5% increase in salaries and employee benefits, as discussed above in the quarterly results. Other expenses increased $411 thousand or 5.8% for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024. Increases were primarily in data processing, state franchise tax and other general operating expenses. Furniture and equipment expenses increased $57 thousand or 6.3% for the nine months ended September 30, 2025 compared to the same period in 2024. The increase was due to investment and maintenance in technology. These increases were partially offset by a decrease in the Company’s occupancy expense, which declined by $125 thousand or 9.3% for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024, as a result of the negotiation of more favorable rents on three branch locations.

For the nine months ended September 30, 2025, annualized non-interest expense to average assets was 1.52% compared to 1.41% for the nine months ended September 30, 2024. The increase was primarily due to higher non-interest expenses combined with lower average assets when comparing the two periods.

For the nine months ended September 30, 2025, the efficiency ratio was 55.3% compared to 61.2% for the nine months ended September 30, 2024. The improvement in the efficiency ratio was due to an 18.8% growth in total revenue, which outpaced a 7.3% increase in non-interest expense over the period.

Return on average assets for the nine months ended September 30, 2025 was 0.91% and return on average equity was 8.05% compared to 0.73% and 6.97%, respectively, for the nine months ended September 30, 2024.

Explanation of Non-GAAP Financial Measures

This release contains financial information determined by methods other than in accordance with GAAP. Management believes that the supplemental Non-GAAP information provides a better comparison of period-to-period operating performance and unrealized losses in the Company’s bond portfolio on the Bank’s regulatory capital ratios. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors. Non-GAAP measures used in this release consist of the following:

• Tax-equivalent net interest margin reflects adjustments for differences in tax treatment of interest income sources; and
• Adjusted Bank regulatory capital ratios in the hypothetical scenario where the entire bond portfolio was sold at fair market value and any losses realized.

These disclosures should not be viewed as a substitute for, or more important than, financial results in accordance with GAAP, nor are they necessarily comparable to Non-GAAP performance measures which may be presented by other companies. Please refer to the “Reconciliation of Certain Non-GAAP Financial Measures” table and “Average Balance Sheets, Interest and Rates” tables for the respective periods for a reconciliation of these Non-GAAP measures to the most directly comparable GAAP measure.

About John Marshall Bancorp, Inc.

John Marshall Bancorp, Inc. is the bank holding company for John Marshall Bank. The Bank is headquartered in Reston, Virginia with eight full-service branches located in Alexandria, Arlington, Loudoun, Prince William, Reston, and Tysons, Virginia, as well as Rockville, Maryland, and Washington, D.C. The Bank is dedicated to providing exceptional value, personalized service and convenience to local businesses and professionals in the Washington, D.C. Metropolitan area. The Bank offers a comprehensive line of sophisticated banking products and services that rival those of the largest banks along with experienced staff to help achieve customers’ financial goals. Dedicated relationship managers serve as direct points-of-contact, providing subject matter expertise in a variety of niche industries including charter and private schools, government contractors, health services, nonprofits and associations, professional services, property management companies and title companies. Learn more at www.johnmarshallbank.com.

Cautionary Note Regarding Forward-Looking Statements

In addition to historical information, this press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on certain assumptions and describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” “will,” “should,” “may,” “view,” “opportunity,” “potential,” or similar expressions or expressions of confidence. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and the Bank include, but are not limited to, the following: the concentration of our business in the Washington, D.C. metropolitan area and the effect of changes in the economic, political and environmental conditions on this market, including the ongoing shutdown of the U.S. Government and potential reductions in spending by the U.S. Government and related reductions in the federal workforce; adequacy of our allowance for loan credit losses; allowance for unfunded commitments credit losses, and allowance for credit losses associated with our held-to-maturity and available-for-sale securities portfolios; deterioration of our asset quality; future performance of our loan portfolio with respect to recently originated loans; the level of prepayments on loans and mortgage-backed securities; liquidity, interest rate and operational risks associated with our business; changes in our financial condition or results of operations that reduce capital; our ability to maintain existing deposit relationships or attract new deposit relationships; changes in consumer spending, borrowing and savings habits; inflation and changes in interest rates that may reduce our margins or reduce the fair value of financial instruments; changes in the monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System; additional risks related to new lines of business, products, product enhancements or services; increased competition with other financial institutions and fintech companies; adverse changes in the securities markets; changes in the financial condition or future prospects of issuers of securities that we own; our ability to maintain an effective risk management framework; changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory structure and in regulatory fees and capital requirements; compliance with legislative or regulatory requirements; results of examination of us by our regulators, including the possibility that our regulators may require us to increase our allowance for credit losses or to write-down assets or take similar actions; potential claims, damages, and fines related to litigation or government actions; the effectiveness of our internal controls over financial reporting and our ability to remediate any future material weakness in our internal controls over financial reporting; geopolitical conditions, including trade restrictions and tariffs, and acts or threats of terrorism and/or military conflicts, or actions taken by the U.S. or other governments in response to trade restrictions and tariffs, and acts or threats of terrorism and/or military conflicts, negatively impacting business and economic conditions in the U.S. and abroad; the effects of weather-related or natural disasters, which may negatively affect our operations and/or our loan portfolio and increase our cost of conducting business; public health events (such as the COVID-19 pandemic) and governmental and societal responses thereto; technological risks and developments, and cyber threats, attacks, or events; changes in accounting policies and practices; our ability to successfully capitalize on growth opportunities; our ability to retain key employees; deteriorating economic conditions, either nationally or in our market area, including higher unemployment and lower real estate values; implications of our status as a smaller reporting company and as an emerging growth company; and other factors discussed in the Company’s reports (such as our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K) filed with the Securities and Exchange Commission. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. Annualized, pro forma, projected and estimated numbers are used for illustrative purpose only, are not forecasts and may not reflect actual results.

John Marshall Bancorp, Inc.
Financial Highlights (Unaudited)
(Dollar amounts in thousands, except per share data)
		At or For the Three Months Ended						At or For the Nine Months Ended
			September 30						September 30
		2025			2024			2025			2024
Selected Balance Sheet Data
Cash and cash equivalents		$	163,645		$	177,227		$	163,645		$	177,227
Total investment securities			216,119			247,840			216,119			247,840
Loans, net of unearned income			1,938,108			1,842,598			1,938,108			1,842,598
Allowance for loan credit losses			19,714			18,481			19,714			18,481
Total assets			2,324,544			2,274,363			2,324,544			2,274,363
Non-interest bearing demand deposits			446,925			472,422			446,925			472,422
Interest bearing deposits			1,521,903			1,463,728			1,521,903			1,463,728
Total deposits			1,968,828			1,936,150			1,968,828			1,936,150
Federal Home Loan Bank advances			56,000			56,000			56,000			56,000
Shareholders' equity			259,692			243,118			259,692			243,118
Summary Results of Operations
Interest income		$	28,945		$	28,428		$	84,092		$	82,138
Interest expense			13,345			15,272			39,470			45,158
Net interest income			15,600			13,156			44,622			36,980
Provision for (recovery of) credit losses			356			400			1,064			(667)
Net interest income after provision for (recovery of) credit losses			15,244			12,756			43,558			37,647
Non-interest income			653			617			1,665			1,990
Non-interest expense			9,034			8,031			25,594			23,863
Income before income taxes			6,863			5,342			19,629			15,774
Net income			5,404			4,235			15,317			12,344
Per Share Data and Shares Outstanding
Earnings per common share - basic		$	0.38		$	0.30		$	1.07		$	0.87
Earnings per common share - diluted		$	0.38		$	0.30		$	1.07		$	0.87
Book value per share		$	18.27		$	17.07		$	18.27		$	17.07
Weighted average common shares (basic)			14,172,953			14,187,691			14,205,357			14,164,060
Weighted average common shares (diluted)			14,172,953			14,214,586			14,211,882			14,198,332
Common shares outstanding at end of period			14,216,781			14,238,677			14,216,781			14,238,677
Performance Ratios
Return on average assets (annualized)			0.94	%		0.73	%		0.91	%		0.73	%
Return on average equity (annualized)			8.31	%		7.00	%		8.05	%		6.97	%
Net interest margin			2.72	%		2.30	%		2.66	%		2.20	%
Tax-equivalent net interest margin (Non-GAAP)(1)			2.73	%		2.30	%		2.67	%		2.20	%
Non-interest income as a percentage of average assets (annualized)			0.11	%		0.11	%		0.10	%		0.12	%
Non-interest expense to average assets (annualized)			1.57	%		1.39	%		1.52	%		1.41	%
Efficiency ratio			55.6	%		58.3	%		55.3	%		61.2	%
Asset Quality
Non-performing assets to total assets			- -	%		- -	%		- -	%		- -	%
Non-performing loans to total loans			- -	%		- -	%		- -	%		- -	%
Allowance for loan credit losses to non-performing loans			N/M			N/M			N/M			N/M
Allowance for loan credit losses to total loans			1.02	%		1.00	%		1.02	%		1.00	%
Net charge-offs to average loans (annualized)			- -	%		- -	%		- -	%		- -	%
Loans 30-89 days past due and accruing interest		$	- -		$	- -		$	- -		$	- -
90 days past due and still accruing interest			- -			- -			- -			- -
Non-accrual loans			- -			- -			- -			- -
Other real estate owned			- -			- -			- -			- -
Non-performing assets (2)			- -			- -			- -			- -
Capital Ratios (Bank Level)
Equity / assets			12.1	%		11.6	%		12.1	%		11.6	%
Total risk-based capital ratio			16.6	%		16.3	%		16.6	%		16.3	%
Tier 1 risk-based capital ratio			15.5	%		15.3	%		15.5	%		15.3	%
Common equity tier 1 ratio			15.5	%		15.3	%		15.5	%		15.3	%
Leverage ratio			12.7	%		11.9	%		12.7	%		11.9	%
Other Information
Number of full time equivalent employees			134			134			134			134
# Full service branch offices			8			8			8			8

______________________________
(1)		Non-GAAP financial measure. Refer to “Average Balance, Interest and Rates table” for further details.
(2)		Non-performing assets consist of non-accrual loans, loans 90 days or more past due and still accruing interest and other real estate owned.

John Marshall Bancorp, Inc.
Consolidated Balance Sheets
(Dollar amounts in thousands, except per share data)
														% Change
		September 30,				December 31,				September 30,				Last Nine			Year Over
		2025				2024				2024				Months			Year
Assets		(Unaudited)				*				(Unaudited)
Cash and due from banks		$	8,867			$	5,945			$	8,164			49.2	%		8.6	%
Interest-bearing deposits in banks			154,778				116,524				169,063			32.8	%		(8.4	)%
Securities available-for-sale, at fair value			116,378				130,257				144,649			(10.7	)%		(19.5	)%
Securities held-to-maturity at amortized cost, fair value of $77,647, $76,270, and $79,731 at 9/30/2025, 12/31/2024, and 9/30/2024, respectively.			89,291				92,009				92,863			(3.0	)%		(3.8	)%
Restricted securities, at cost			7,641				7,634				7,630			- -	%		0.1	%
Equity securities, at fair value			2,809				2,832				2,698			(0.8	)%		4.1	%
Loans, net of unearned income			1,938,108				1,872,173				1,842,598			3.5	%		5.2	%
Allowance for loan credit losses			(19,714	)			(18,715	)			(18,481	)		5.3	%		6.7	%
Net loans			1,918,394				1,853,458				1,824,117			3.5	%		5.2	%
Bank premises and equipment, net			1,424				1,318				1,179			8.0	%		20.8	%
Accrued interest receivable			5,819				5,996				5,657			(3.0	)%		2.9	%
Right of use assets			4,583				5,013				3,824			(8.6	)%		19.8	%
Other assets			14,560				13,961				14,519			4.3	%		0.3	%
Total assets		$	2,324,544			$	2,234,947			$	2,274,363			4.0	%		2.2	%
Liabilities and Shareholders' Equity
Liabilities
Deposits:
Non-interest bearing demand deposits		$	446,925			$	433,288			$	472,422			3.1	%		(5.4	)%
Interest-bearing demand deposits			727,295				705,097				685,385			3.1	%		6.1	%
Savings deposits			39,427				44,367				43,779			(11.1	)%		(9.9	)%
Time deposits			755,181				709,663				734,564			6.4	%		2.8	%
Total deposits			1,968,828				1,892,415				1,936,150			4.0	%		1.7	%
Federal Home Loan Bank advances			56,000				56,000				56,000			- -	%		- -	%
Subordinated debt, net			24,854				24,791				24,770			0.3	%		0.3	%
Accrued interest payable			1,869				2,394				2,304			(21.9	)%		(18.9	)%
Lease liabilities			4,941				5,369				4,090			(8.0	)%		20.8	%
Other liabilities			8,360				7,364				7,931			13.5	%		5.4	%
Total liabilities			2,064,852				1,988,333				2,031,245			3.8	%		1.7	%
Shareholders' Equity
Preferred stock, par value $0.01 per share; authorized 1,000,000 shares; none issued			- -				- -				- -			N/M			N/M
Common stock, nonvoting, par value $0.01 per share; authorized 1,000,000 shares; none issued			- -				- -				- -			N/M			N/M
Common stock, voting, par value $0.01 per share; authorized 30,000,000 shares; issued and outstanding, 14,216,781 at 9/30/2025 including 51,085 unvested shares, issued and outstanding, 14,269,469 at 12/31/2024 including 54,388 unvested shares, and issued and outstanding, 14,238,677 at 9/30/2024 including 45,753 unvested shares			142				142				142			- -	%		- -	%
Additional paid-in capital			96,311				97,173				97,017			(0.9	)%		(0.7	)%
Retained earnings			170,998				159,951				155,174			6.9	%		10.2	%
Accumulated other comprehensive loss			(7,759	)			(10,652	)			(9,215	)		(27.2	)%		(15.8	)%
Total shareholders' equity			259,692				246,614				243,118			5.3	%		6.8	%
Total liabilities and shareholders' equity		$	2,324,544			$	2,234,947			$	2,274,363			4.0	%		2.2	%
* Derived from audited consolidated financial statements.

John Marshall Bancorp, Inc.
Consolidated Statements of Income
(Dollar amounts in thousands, except per share data)
		Three Months Ended									Nine Months Ended
		September 30,									September 30,
		2025			2024			% Change			2025			2024				% Change
		(Unaudited)			(Unaudited)						(Unaudited)			(Unaudited)
Interest and Dividend Income
Interest and fees on loans		$	26,191		$	24,306		7.8	%		$	76,218		$	71,289			6.9	%
Interest on investment securities, taxable			1,043			1,138		(8.3	)%			3,145			3,602			(12.7	)%
Interest on investment securities, tax-exempt			9			9		--	%			27			27			--	%
Dividends			119			97		22.7	%			363			262			38.5	%
Interest on deposits in other banks			1,583			2,878		(45.0	)%			4,339			6,958			(37.6	)%
Total interest and dividend income			28,945			28,428		1.8	%			84,092			82,138			2.4	%
Interest Expense
Deposits			12,424			14,102		(11.9	)%			36,725			41,484			(11.5	)%
Federal funds purchased			- -			- -		N/M				2			2			--	%
Federal Home Loan Bank advances			572			174		228.7				1,696			174			874.7	%
Federal Reserve Bank borrowings			- -			647		(100.0	)%			- -			2,451			(100.0	)%
Subordinated debt			349			349		--	%			1,047			1,047			--	%
Total interest expense			13,345			15,272		(12.6	)%			39,470			45,158			(12.6	)%
Net interest income			15,600			13,156		18.6	%			44,622			36,980			20.7	%
Provision for (recovery of) Credit Losses			356			400		(11.0	)%			1,064			(667	)		(259.5	)%
Net interest income after provision for (recovery of) credit losses			15,244			12,756		19.5	%			43,558			37,647			15.7	%
Non-interest Income
Service charges on deposit accounts			87			84		3.6	%			255			260			(1.9	)%
Other service charges and fees			135			160		(15.6	)%			429			474			(9.5	)%
Insurance commissions			58			64		(9.4	)%			304			357			(14.8	)%
Gain on sale of government guaranteed loans			106			160		(33.8	)%			203			509			(60.1	)%
Non-qualified deferred compensation plan asset gains, net			158			139		13.7	%			364			298			22.1	%
Other income			109			10		990.0	%			110			92			19.6	%
Total non-interest income			653			617		5.8	%			1,665			1,990			(16.3	)%
Non-interest Expenses
Salaries and employee benefits			5,693			4,897		16.3	%			15,971			14,583			9.5	%
Occupancy expense of premises			405			444		(8.8	)%			1,218			1,343			(9.3	)%
Furniture and equipment expenses			329			304		8.2	%			959			902			6.3	%
Other expenses			2,607			2,386		9.3	%			7,446			7,035			5.8	%
Total non-interest expenses			9,034			8,031		12.5	%			25,594			23,863			7.3	%
Income before income taxes			6,863			5,342		28.5	%			19,629			15,774			24.4	%
Income Tax Expense			1,459			1,107		31.8	%			4,312			3,430			25.7	%
Net income		$	5,404		$	4,235		27.6	%		$	15,317		$	12,344			24.1	%
Earnings Per Share
Basic		$	0.38		$	0.30		26.7	%		$	1.07		$	0.87			23.0	%
Diluted		$	0.38		$	0.30		26.7	%		$	1.07		$	0.87			23.0	%

John Marshall Bancorp, Inc.
Historical Trends - Quarterly Financial Data (Unaudited)
(Dollar amounts in thousands, except per share data)
		2025													2024
		September 30				June 30				March 31				December 31				September 30				June 30				March 31
Profitability for the Quarter:
Interest income		$	28,945			$	27,843			$	27,305			$	27,995			$	28,428			$	26,791			$	26,919
Interest expense			13,345				12,917				13,208				13,929				15,272				14,710				15,175
Net interest income			15,600				14,926				14,097				14,066				13,156				12,081				11,744
Provision for (recovery of) credit losses			356				537				170				298				400				(292	)			(776	)
Non-interest income			653				507				505				281				617				555				818
Non-interest expenses			9,034				8,313				8,248				7,945				8,031				7,909				7,924
Income before income taxes			6,863				6,583				6,184				6,104				5,342				5,019				5,414
Income tax expense			1,459				1,480				1,374				1,328				1,107				1,114				1,210
Net income		$	5,404			$	5,103			$	4,810			$	4,776			$	4,235			$	3,905			$	4,204
Financial Performance:
Return on average assets (annualized)			0.94	%			0.91	%			0.87	%			0.85	%			0.73	%			0.70	%			0.75	%
Return on average equity (annualized)			8.31	%			8.06	%			7.76	%			7.71	%			7.00	%			6.68	%			7.23	%
Net interest margin			2.72	%			2.69	%			2.58	%			2.52	%			2.30	%			2.19	%			2.11	%
Tax-equivalent net interest margin (Non-GAAP)			2.73	%			2.70	%			2.58	%			2.52	%			2.30	%			2.19	%			2.11	%
Non-interest income as a percentage of average assets (annualized)			0.11	%			0.09	%			0.09	%			0.05	%			0.11	%			0.10	%			0.15	%
Non-interest expense to average assets (annualized)			1.57	%			1.49	%			1.50	%			1.41	%			1.39	%			1.42	%			1.41	%
Efficiency ratio			55.6	%			53.9	%			56.5	%			55.4	%			58.3	%			62.6	%			63.1	%
Per Share Data:
Earnings per common share - basic		$	0.38			$	0.36			$	0.34			$	0.34			$	0.30			$	0.27			$	0.30
Earnings per common share - diluted		$	0.38			$	0.36			$	0.34			$	0.33			$	0.30			$	0.27			$	0.30
Book value per share		$	18.27			$	17.83			$	17.72			$	17.28			$	17.07			$	16.54			$	16.51
Dividends declared per share		$	- -			$	0.30			$	- -			$	- -			$	- -			$	0.25			$	- -
Weighted average common shares (basic)			14,172,953				14,221,597				14,223,046				14,196,309				14,187,691				14,173,245				14,130,986
Weighted average common shares (diluted)			14,172,953				14,223,418				14,241,114				14,224,287				14,214,586				14,200,171				14,181,254
Common shares outstanding at end of period			14,216,781				14,231,389				14,275,885				14,269,469				14,238,677				14,229,853				14,209,606
Non-interest Income:
Service charges on deposit accounts		$	87			$	86			$	82			$	89			$	84			$	88			$	88
Other service charges and fees			135				141				153				181				160				165				149
Insurance commissions			58				33				213				59				64				40				252
Gain on sale of government guaranteed loans			106				61				36				11				160				216				133
Non-qualified deferred compensation plan asset gains (losses), net			158				182				24				(62	)			139				35				124
Other income (loss)			109				4				(3	)			3				10				11				72
Total non-interest income		$	653			$	507			$	505			$	281			$	617			$	555			$	818
Non-interest Expenses:
Salaries and employee benefits		$	5,693			$	5,178			$	5,099			$	4,658			$	4,897			$	4,875			$	4,810
Occupancy expense of premises			405				407				407				417				444				448				451
Furniture and equipment expenses			329				315				316				319				304				301				297
Other expenses			2,607				2,413				2,426				2,551				2,386				2,285				2,366
Total non-interest expenses		$	9,034			$	8,313			$	8,248			$	7,945			$	8,031			$	7,909			$	7,924
Balance Sheets at Quarter End:
Total loans, net of unearned income		$	1,938,108			$	1,916,915			$	1,870,472			$	1,872,173			$	1,842,598			$	1,827,187			$	1,825,931
Allowance for loan credit losses			(19,714	)			(19,298	)			(18,826	)			(18,715	)			(18,481	)			(18,433	)			(18,671	)
Investment securities			216,119				226,495				226,163				232,732				247,840				249,582				261,341
Interest-earning assets			2,309,005				2,250,921				2,255,154				2,221,429				2,259,501				2,249,350				2,234,592
Total assets			2,324,544				2,267,953				2,272,432				2,234,947				2,274,363				2,269,757				2,251,837
Total deposits			1,968,828				1,896,893				1,922,175				1,892,415				1,936,150				1,912,840				1,900,990
Total interest-bearing liabilities			1,602,757				1,555,598				1,565,165				1,539,918				1,544,498				1,577,420				1,598,050
Total shareholders' equity			259,692				253,732				252,958				246,614				243,118				235,346				234,550
Quarterly Average Balance Sheets:
Total loans, net of unearned income		$	1,912,275			$	1,868,290			$	1,868,303			$	1,838,526			$	1,818,472			$	1,810,722			$	1,835,966
Investment securities			221,802				229,171				231,479				243,329				249,354				255,940				270,760
Interest-earning assets			2,275,386				2,224,806				2,220,730				2,223,725				2,277,427				2,222,658				2,247,620
Total assets			2,289,352				2,238,955				2,233,761				2,238,062				2,292,385				2,239,261				2,264,544
Total deposits			1,934,456				1,883,425				1,884,969				1,893,976				1,939,601				1,883,010				1,914,173
Total interest-bearing liabilities			1,571,390				1,530,811				1,540,974				1,532,452				1,573,631				1,551,953				1,600,197
Total shareholders' equity			257,993				254,071				251,559				246,525				240,609				235,136				233,952
Financial Measures:
Average equity to average assets			11.3	%			11.3	%			11.3	%			11.0	%			10.5	%			10.5	%			10.3	%
Investment securities to earning assets			9.4	%			10.1	%			10.0	%			10.5	%			11.0	%			11.1	%			11.7	%
Loans to earning assets			83.9	%			85.2	%			82.9	%			84.3	%			81.5	%			81.2	%			81.7	%
Loans to assets			83.4	%			84.5	%			82.3	%			83.8	%			81.0	%			80.5	%			81.1	%
Loans to deposits			98.4	%			101.1	%			97.3	%			98.9	%			95.2	%			95.5	%			96.1	%
Capital Ratios (Bank Level):
Equity / assets			12.1	%			12.2	%			11.9	%			11.9	%			11.6	%			11.4	%			11.3	%
Total risk-based capital ratio			16.6	%			16.3	%			16.5	%			16.2	%			16.3	%			16.4	%			16.1	%
Tier 1 risk-based capital ratio			15.5	%			15.3	%			15.4	%			15.2	%			15.3	%			15.4	%			15.1	%
Common equity tier 1 ratio			15.5	%			15.3	%			15.4	%			15.2	%			15.3	%			15.4	%			15.1	%
Leverage ratio			12.7	%			12.8	%			12.6	%			12.4	%			11.9	%			12.2	%			11.8	%

John Marshall Bancorp, Inc.
Loan, Deposit and Borrowing Detail (Unaudited)
(Dollar amounts in thousands)
	2025															2024
	September 30					June 30					March 31					December 31					September 30					June 30					March 31
Loans		$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total
Commercial business loans	$	46,486		2.4	%	$	43,158		2.3	%	$	46,479		2.5	%	$	47,612		2.5	%	$	39,741		2.2	%	$	41,806		2.3	%	$	42,779		2.3	%
Commercial PPP loans		124		0.0	%		124		0.0	%		124		0.0	%		124		0.0	%		126		0.0	%		127		0.0	%		129		0.0	%
Commercial owner-occupied real estate loans		327,269		16.9	%		320,061		16.7	%		318,087		17.1	%		329,222		17.6	%		343,906		18.7	%		349,644		19.2	%		356,335		19.6	%
Total business loans		373,879		19.3	%		363,343		19.0	%		364,690		19.6	%		376,958		20.2	%		383,773		20.9	%		391,577		21.5	%		399,243		21.9	%
Investor real estate loans		770,405		39.9	%		777,591		40.7	%		759,002		40.7	%		757,173		40.5	%		726,771		39.5	%		722,419		39.6	%		692,418		38.0	%
Construction & development loans		193,444		10.0	%		186,409		9.7	%		173,270		9.3	%		164,988		8.8	%		161,466		8.8	%		138,744		7.6	%		151,476		8.3	%
Multi-family loans		93,477		4.8	%		94,415		4.9	%		95,556		5.1	%		94,695		5.1	%		91,426		5.0	%		91,925		5.1	%		94,719		5.2	%
Total commercial real estate loans		1,057,326		54.7	%		1,058,415		55.3	%		1,027,828		55.1	%		1,016,856		54.4	%		979,663		53.3	%		953,088		52.3	%		938,613		51.5	%
Residential mortgage loans		501,104		25.9	%		489,522		25.6	%		472,747		25.3	%		472,932		25.3	%		473,787		25.8	%		476,764		26.2	%		482,254		26.5	%
Consumer loans		1,029		0.1	%		998		0.1	%		809		0.0	%		906		0.0	%		877		0.0	%		876		0.0	%		772		0.1	%
Total loans	$	1,933,338		100.0	%	$	1,912,278		100.0	%	$	1,866,074		100.0	%	$	1,867,652		100.0	%	$	1,838,100		100.0	%	$	1,822,305		100.0	%	$	1,820,882		100.0	%
Less: Allowance for loan credit losses		(19,714	)				(19,298	)				(18,826	)				(18,715	)				(18,481	)				(18,433	)				(18,671	)
Net deferred loan costs		4,770					4,637					4,398					4,521					4,498					4,882					5,049
Net loans	$	1,918,394				$	1,897,617				$	1,851,646				$	1,853,458				$	1,824,117				$	1,808,754				$	1,807,260
	2025															2024
	September 30					June 30					March 31					December 31					September 30					June 30					March 31
Deposits		$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total			$ Amount		% of Total
Non-interest bearing demand deposits	$	446,925		22.7	%	$	438,628		23.1	%	$	437,822		22.8	%	$	433,288		22.9	%	$	472,422		24.4	%	$	437,169		22.8	%	$	404,669		21.3	%
Interest-bearing demand deposits:
NOW accounts(1)		366,655		18.6	%		344,931		18.2	%		355,752		18.5	%		355,840		18.8	%		324,660		16.8	%		321,702		16.8	%		318,445		16.8	%
Money market accounts(1)		360,640		18.3	%		336,299		17.7	%		349,634		18.2	%		349,257		18.5	%		360,725		18.6	%		346,249		18.1	%		326,135		17.1	%
Savings accounts		39,427		2.0	%		42,966		2.3	%		42,583		2.2	%		44,367		2.3	%		43,779		2.3	%		45,884		2.4	%		50,664		2.7	%
Certificates of deposit
$250,000 or more		337,800		17.2	%		324,343		17.1	%		322,630		16.8	%		315,549		16.7	%		334,591		17.3	%		339,908		17.8	%		355,766		18.7	%
Less than $250,000		85,719		4.4	%		80,500		4.2	%		79,305		4.1	%		83,060		4.4	%		86,932		4.5	%		91,258		4.8	%		99,694		5.2	%
QwickRate® certificates of deposit		249		0.0	%		249		0.1	%		249		0.0	%		249		0.0	%		4,119		0.2	%		4,119		0.2	%		5,117		0.3	%
IntraFi® certificates of deposit		29,451		1.5	%		27,015		1.4	%		36,522		1.9	%		34,288		1.8	%		32,801		1.7	%		32,922		1.7	%		34,443		1.8	%
Brokered deposits		301,962		15.3	%		301,962		15.9	%		297,678		15.5	%		276,517		14.6	%		276,121		14.2	%		293,629		15.4	%		306,057		16.1	%
Total deposits	$	1,968,828		100.0	%	$	1,896,893		100.0	%	$	1,922,175		100.0	%	$	1,892,415		100.0	%	$	1,936,150		100.0	%	$	1,912,840		100.0	%	$	1,900,990		100.0	%
Borrowings
Federal funds purchased	$	- -		0.0	%	$	16,500		17.0	%	$	- -		0.0	%	$	- -		0.0	%	$	- -		0.0	%	$	- -		0.0	%	$	- -		0.0	%
Federal Home Loan Bank advances		56,000		69.3	%		56,000		57.5	%		56,000		69.3	%		56,000		69.3	%		56,000		69.3	%		- -		0.0	%		- -		0.0	%
Federal Reserve Bank borrowings		- -		0.0	%		- -		0.0	%		- -		0.0	%		- -		0.0	%		- -		0.0	%		77,000		75.7	%		77,000		75.7	%
Subordinated debt, net		24,854		30.7	%		24,833		25.5	%		24,812		30.7	%		24,791		30.7	%		24,770		30.7	%		24,749		24.3	%		24,729		24.3	%
Total borrowings	$	80,854		100.0	%	$	97,333		100.0	%	$	80,812		100.0	%	$	80,791		100.0	%	$	80,770		100.0	%	$	101,749		100.0	%	$	101,729		100.0	%
Total deposits and borrowings	$	2,049,682				$	1,994,226				$	2,002,987				$	1,973,206				$	2,016,920				$	2,014,589				$	2,002,719
Core customer funding sources (2)	$	1,666,617		82.3	%	$	1,594,682		81.0	%	$	1,624,248		82.1	%	$	1,615,649		82.9	%	$	1,655,910		83.1	%	$	1,615,092		81.2	%	$	1,589,816		80.4	%
Wholesale funding sources (3)		358,211		17.7	%		374,711		19.0	%		353,927		17.9	%		332,766		17.1	%		336,240		16.9	%		374,748		18.8	%		388,174		19.6	%
Total funding sources	$	2,024,828		100.0	%	$	1,969,393		100.0	%	$	1,978,175		100.0	%	$	1,948,415		100.0	%	$	1,992,150		100.0	%	$	1,989,840		100.0	%	$	1,977,990		100.0	%

______________________________
(1)		Includes IntraFi® accounts.
(2)		Includes reciprocal IntraFi Demand® IntraFi Money Market® and IntraFi CD® deposits, which are maintained by customers.
(3)		Consists of QwickRate® certificates of deposit, brokered deposits, federal funds purchased, Federal Home Loan Bank advances and Federal Reserve Bank borrowings.

John Marshall Bancorp, Inc.
Average Balance Sheets, Interest and Rates (unaudited)
(Dollar amounts in thousands)
		Nine Months Ended September 30, 2025									Nine Months Ended September 30, 2024
					Interest Income /			Average						Interest Income /			Average
(Dollars in thousands)		Average Balance			Expense			Rate			Average Balance			Expense			Rate
Assets:
Securities:
Taxable		$	226,070		$	3,508		2.07	%		$	257,272		$	3,864		2.01	%
Tax-exempt(1)			1,379			34		3.30	%			1,379			34		3.29	%
Total securities		$	227,449		$	3,542		2.08	%		$	258,651		$	3,898		2.01	%
Loans, net of unearned income(2):
Taxable			1,866,217			75,818		5.43	%			1,802,807			70,858		5.25	%
Tax-exempt(1)			16,900			507		4.01	%			18,901			546		3.86	%
Total loans, net of unearned income		$	1,883,117		$	76,325		5.42	%		$	1,821,708		$	71,404		5.24	%
Interest-bearing deposits in other banks		$	129,942		$	4,339		4.46	%		$	168,979		$	6,958		5.50	%
Total interest-earning assets		$	2,240,508		$	84,206		5.03	%		$	2,249,338		$	82,260		4.88	%
Total non-interest earning assets			13,718									16,133
Total assets		$	2,254,226								$	2,265,471
Liabilities & Shareholders’ Equity:
Interest-bearing deposits
NOW accounts		$	347,468		$	6,018		2.32	%		$	312,255		$	6,533		2.79	%
Money market accounts			346,041			7,018		2.71	%			340,362			8,190		3.21	%
Savings accounts			42,853			331		1.03	%			50,060			529		1.41	%
Time deposits			730,532			23,358		4.27	%			773,537			26,232		4.53	%
Total interest-bearing deposits		$	1,466,894		$	36,725		3.35	%		$	1,476,214		$	41,484		3.75	%
Federal funds purchased			61			2		4.38	%			37			2		7.22	%
Subordinated debt			24,820			1,047		5.64	%			24,737			1,047		5.65	%
Federal Reserve Bank borrowings			—			—		N/M				68,543			2,451		4.78	%
Federal Home Loan Bank advances			56,000			1,696		4.05	%			5,723			174		4.06	%
Total interest-bearing liabilities		$	1,547,775		$	39,470		3.41	%		$	1,575,254		$	45,158		3.83	%
Demand deposits			434,238									436,147
Other liabilities			17,729									17,489
Total liabilities		$	1,999,742								$	2,028,890
Shareholders’ equity		$	254,484								$	236,581
Total liabilities and shareholders’ equity		$	2,254,226								$	2,265,471
Tax-equivalent net interest income and spread (Non-GAAP)(1)					$	44,736		1.62	%					$	37,102		1.06	%
Less: tax-equivalent adjustment						114									122
Net interest income and spread (GAAP)					$	44,622		1.61	%					$	36,980		1.05	%
Interest income/earning assets								5.02	%								4.88	%
Interest expense/earning assets								2.36	%								2.68	%
Net interest margin								2.66	%								2.20	%
Tax-equivalent interest income/earning assets (Non-GAAP)(1)								5.03	%								4.88	%
Interest expense/earning assets								2.36	%								2.68	%
Tax-equivalent net interest margin (Non-GAAP)(3)								2.67	%								2.20	%

(1)		Tax-equivalent income and related measures have been adjusted using the federal statutory tax rate of 21%. The annualized taxable-equivalent adjustments utilized in the above table to compute yields aggregated to $114 thousand and $122 thousand for the nine months ended September 30, 2025 and September 30, 2024, respectively.
(2)		The Company did not have any loans on non-accrual as of September 30, 2025 and September 30, 2024.
(3)		Tax-equivalent net interest margin adjusts for differences in tax treatment of interest income sources. The entire tax-equivalent adjustment is attributable to interest income on earning assets. Interest expense and the related cost of interest-bearing liabilities and cost of funds ratios are not affected by the tax-equivalent components.

John Marshall Bancorp, Inc.
Average Balance Sheets, Interest and Rates (unaudited)
(Dollar amounts in thousands)
		Three Months Ended September 30, 2025									Three Months Ended September 30, 2024
					Interest Income /			Average						Interest Income /			Average
(Dollars in thousands)		Average Balance			Expense			Rate			Average Balance			Expense			Rate
Assets:
Securities:
Taxable		$	220,424		$	1,162		2.09	%		$	247,975		$	1,235		1.98	%
Tax-exempt(1)			1,378			11		3.17	%			1,379			11		3.17	%
Total securities		$	221,802		$	1,173		2.10	%		$	249,354		$	1,246		1.99	%
Loans, net of unearned income(2):
Taxable			1,894,756			26,047		5.45	%			1,801,422			24,173		5.34	%
Tax-exempt(1)			17,519			182		4.12	%			17,050			168		3.92	%
Total loans, net of unearned income		$	1,912,275		$	26,229		5.44	%		$	1,818,472		$	24,341		5.33	%
Interest-bearing deposits in other banks		$	141,309		$	1,583		4.44	%		$	209,601		$	2,878		5.46	%
Total interest-earning assets		$	2,275,386		$	28,985		5.06	%		$	2,277,427		$	28,465		4.97	%
Total non-interest earning assets			13,966									14,958
Total assets		$	2,289,352								$	2,292,385
Liabilities & Shareholders’ Equity:
Interest-bearing deposits
NOW accounts		$	354,918			2,057		2.30	%		$	319,463			2,321		2.89	%
Money market accounts			350,431			2,418		2.74	%			374,141			3,068		3.26	%
Savings accounts			43,401			120		1.10	%			45,980			168		1.45	%
Time deposits			741,797			7,829		4.19	%			738,680			8,545		4.60	%
Total interest-bearing deposits		$	1,490,547		$	12,424		3.31	%		$	1,478,264		$	14,102		3.80	%
Federal funds purchased			1			—		—	%			—			—		N/M
Subordinated debt			24,841			349		5.57	%			24,758			349		5.61	%
Federal Reserve Bank borrowings			—			—		N/M				53,565			647		4.81	%
Federal Home Loan Bank advances			56,001			572		4.05	%			17,044			174		4.06	%
Total interest-bearing liabilities		$	1,571,390		$	13,345		3.37	%		$	1,573,631		$	15,272		3.86	%
Demand deposits			443,909									461,337
Other liabilities			16,060									16,808
Total liabilities		$	2,031,359								$	2,051,776
Shareholders’ equity		$	257,993								$	240,609
Total liabilities and shareholders’ equity		$	2,289,352								$	2,292,385
Tax-equivalent net interest income and spread (Non-GAAP)(1)					$	15,640		1.69	%					$	13,193		1.11	%
Less: tax-equivalent adjustment						40									37
Net interest income and spread (GAAP)					$	15,600		1.68	%					$	13,156		1.11	%
Interest income/earning assets								5.05	%								4.97	%
Interest expense/earning assets								2.33	%								2.67	%
Net interest margin								2.72	%								2.30	%
Tax-equivalent interest income/earning assets (Non-GAAP)(1)								5.06	%								4.97	%
Interest expense/earning assets								2.33	%								2.67	%
Tax-equivalent net interest margin (Non-GAAP)(3)								2.73	%								2.30	%

______________________________
(1)		Tax-equivalent income and related measures have been adjusted using the federal statutory tax rate of 21%. The annualized taxable-equivalent adjustments utilized in the above table to compute yields aggregated to $40 thousand and $37 thousand for the three months ended September 30, 2025 and September 30, 2024, respectively.
(2)		The Company did not have any loans on non-accrual as of September 30, 2025 and September 30, 2024.
(3)		Tax-equivalent net interest margin adjusts for differences in tax treatment of interest income sources. The entire tax-equivalent adjustment is attributable to interest income on earning assets. Interest expense and the related cost of interest-bearing liabilities and cost of funds ratios are not affected by the tax-equivalent components.

John Marshall Bancorp, Inc.
Reconciliation of Certain Non-GAAP Financial Measures (unaudited)
(Dollar amounts in thousands)
		As of
		September 30, 2025			December 31, 2024				September 30, 2024
Regulatory Ratios (Bank)
Total risk-based capital (GAAP)		$	310,363		$	295,119		$	291,881
Less: Unrealized losses on available-for-sale securities, net of tax benefit (1)			7,818			10,732			9,304
Less: Unrealized losses on held-to-maturity securities, net of tax benefit (1)			9,199			12,353			10,285
Adjusted total risk-based capital, excluding unrealized losses on available-for-sale and held-to-maturity securities, net of tax benefit (Non-GAAP)		$	293,346		$	272,034		$	272,292
Tier 1 capital (GAAP)		$	290,073		$	276,468		$	273,529
Less: Unrealized losses on available-for-sale securities, net of tax benefit (1)			7,818			10,732			9,304
Less: Unrealized losses on held-to-maturity securities, net of tax benefit (1)			9,199			12,353			10,285
Adjusted tier 1 capital, excluding unrealized losses on available-for-sale and held-to-maturity securities, net of tax benefit (Non-GAAP)		$	273,056		$	253,383		$	253,940
Risk weighted assets (GAAP)		$	1,873,668		$	1,819,888		$	1,787,663
Less: Risk weighted available-for-sale securities			18,574			19,623			21,440
Less: Risk weighted held-to-maturity securities			15,986			16,462			16,618
Adjusted risk weighted assets, excluding available-for-sale and held-to-maturity securities (Non-GAAP)		$	1,839,108		$	1,783,803		$	1,749,605
Total average assets for leverage ratio (GAAP)		$	2,286,186		$	2,235,952		$	2,290,205
Less: Unrealized losses on available-for-sale securities, net of tax benefit (1)			7,818			10,732			9,304
Less: Unrealized losses on held-to-maturity securities, net of tax benefit (1)			9,199			12,353			10,285
Adjusted total average assets for leverage ratio, excluding available-for-sale and held-to-maturity securities (Non-GAAP)		$	2,269,169		$	2,212,867		$	2,270,616
Total risk-based capital ratio (2)
Total risk-based capital ratio (GAAP)			16.6	%		16.2	%		16.3	%
Adjusted total risk-based capital ratio (Non-GAAP) (3)			16.0	%		15.3	%		15.6	%
Tier 1 capital ratio (4)
Tier 1 risk-based capital ratio (GAAP)			15.5	%		15.2	%		15.3	%
Adjusted tier 1 risk-based capital ratio (Non-GAAP) (5)			14.9	%		14.2	%		14.5	%
Common equity tier 1 ratio (6)
Common equity tier 1 ratio (GAAP)			15.5	%		15.2	%		15.3	%
Adjusted common equity tier 1 ratio (Non-GAAP) (7)			14.9	%		14.2	%		14.5	%
Leverage ratio (8)
Leverage ratio (GAAP)			12.7	%		12.4	%		11.9	%
Adjusted leverage ratio (Non-GAAP) (9)			12.0	%		11.5	%		11.2	%

______________________________
(1)		Includes tax benefit calculated using the federal statutory tax rate of 21%.
(2)		The total risk-based capital ratio is calculated by dividing total risk-based capital by risk weighted assets.
(3)		The adjusted total risk-based capital ratio is calculated by dividing adjusted total risk-based capital by adjusted risk weighted assets.
(4)		The tier 1 capital ratio is calculated by dividing tier 1 capital by risk weighted assets.
(5)		The adjusted tier 1 capital ratio is calculated by dividing adjusted tier 1 capital by adjusted risk weighted assets.
(6)		The common equity tier 1 ratio is calculated by dividing tier 1 capital by risk weighted assets.
(7)		The adjusted common equity tier 1 ratio is calculated by dividing adjusted tier 1 capital by adjusted risk weighted assets.
(8)		The leverage ratio is calculated by dividing tier 1 capital by total average assets for leverage ratio.
(9)		The adjusted leverage ratio is calculated by dividing adjusted tier 1 capital by adjusted total average assets for leverage ratio.

Category: Earnings

View source version on businesswire.com: https://www.businesswire.com/news/home/20251029130758/en/

Christopher W. Bergstrom, (703) 584-0840

Kent D. Carstater, (703) 289-5922

Source: John Marshall