OptimumBank Holdings, Inc. Financial Performance for the First Quarter of 2026

Rhea-AI Summary

OptimumBank Holdings (NYSE: OPHC) reported 1Q26 net income $4.7M ($0.39 basic, $0.20 diluted) and ROAE 15.12% (annualized). Total assets rose to $1.27B, gross loans to $1.09B (+$132.1M QoQ) and total deposits to $1.09B (+$161.1M QoQ; +28.1% YoY).

Net interest income was $13.2M, NIM 4.49%, noninterest expense $8.0M, credit loss expense $0.8M, and allowance for credit losses 1.01% of loans.

AI-generated analysis. Not financial advice.

Positive

• Total deposits +28.1% YoY ($239.9M increase)
• Gross loans +36.3% YoY ($290.7M increase)
• Net interest income +39.9% YoY (to $13.2M)
• Total assets +29.8% YoY (to $1.27B)
• Ranked top 1.4% of U.S. community banks by S&P

Negative

• Noninterest expenses +19% QoQ (to $8.0M)
• Credit loss expense doubled QoQ (to $0.8M)
• Efficiency ratio worsened by 388 bps QoQ (53.47%)
• ROAA declined QoQ (1.56% from 1.77%)

News Market Reaction – OPHC

+1.66%

1 alert

+1.66% News Effect

On the day this news was published, OPHC gained 1.66%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Net income: $4.7 million Diluted EPS: $0.20 Net interest margin: 4.49% +5 more

8 metrics

Net income $4.7 million First quarter of 2026; up from $3.9 million in 1Q25

Diluted EPS $0.20 First quarter of 2026; vs $0.21 in 4Q25 and $0.17 in 1Q25

Net interest margin 4.49% 1Q26; up from 4.39% in 4Q25 and 4.06% in 1Q25

Total assets $1.27 billion As of March 31, 2026; up $157.1 million from Dec. 31, 2025

Total deposits $1.09 billion As of March 31, 2026; up $161.1 million from Dec. 31, 2025

Allowance for credit losses $11.1 million (1.01% of loans) As of March 31, 2026

ROAA 1.56% Return on Average Assets, annualized, for 1Q26

Tier 1 Leverage Ratio 10.74% Bank Tier 1 Leverage Ratio as of March 31, 2026

Market Reality Check

Price: $5.50 Vol: Volume 142,471 is 3.52x t...

high vol

$5.50 Last Close

Volume Volume 142,471 is 3.52x the 20-day average of 40,437, indicating elevated interest ahead of/around this release. high

Technical Price at $5.43 is trading above the 200-day MA of $4.56 and sits 2.86% below the 52-week high of $5.59.

Peers on Argus

OPHC is up 0.84% with strong volume, while close peers show mixed moves: one not...

OPHC is up 0.84% with strong volume, while close peers show mixed moves: one notable gainer (MBBC up 3.78%) but others are flat to negative (e.g., ASRV down 0.51%, HFBL down 2%). This points to a largely stock-specific reaction to its quarterly results rather than a broad regional-bank move.

Historical Context

5 past events · Latest: Apr 20 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Apr 20	Coverage initiation	Positive	+1.1%	Brean Capital initiated research coverage with a Buy rating and target.
Apr 10	Coverage initiation	Positive	+0.9%	Alliance Global Partners began coverage with a Buy rating and price target.
Apr 06	Corporate event	Neutral	+2.8%	Announcement of annual shareholder meeting and Investor Day with webcast.
Mar 23	Industry ranking	Positive	+5.9%	Bank ranked #49 in S&P Global list, top 1.4% of peers by performance.
Mar 13	Governance/activism	Negative	-1.4%	Activist letter around another bank mentioning OPHC metrics and dilution concerns.

Pattern Detected

Recent news events have generally seen price moves aligned with the underlying sentiment: positive coverage, rankings, and activism-related headlines have all produced price reactions consistent with their tone.

Recent Company History

Over the last few months, OPHC has highlighted improving fundamentals and rising visibility. Coverage initiations by Alliance Global Partners and Brean Capital in April 2026 followed its strong operating performance. The bank’s ranking at #49 out of 3,465 community banks underscored profitability, growth, and asset quality. An earlier activism-related piece referenced rapid earnings and asset growth. Today’s first-quarter 2026 results showing higher net income versus 1Q25 and robust loan/deposit growth continue that narrative of expansion and efficiency.

Market Pulse Summary

This announcement highlights strong first-quarter 2026 performance, with net income of $4.7 million,...

Analysis

This announcement highlights strong first-quarter 2026 performance, with net income of $4.7 million, net interest margin at 4.49%, and deposits and loans each reaching about $1.09 billion. Asset growth lifted total assets to $1.27 billion, while the Tier 1 Leverage Ratio of 10.74% indicates robust capitalization. Recent rankings in the top 1.4% of U.S. community banks and new research coverage frame these results within a trajectory of rising visibility and scale.

Key Terms

return on average assets, return on average equity, net interest margin, efficiency ratio, +4 more

8 terms

return on average assets financial

"Return on Average Assets (“ROAA”) was 1.56% for the first quarter of 2026"

Return on average assets (ROAA) measures how efficiently a company turns its assets into profit by comparing profit after expenses to the average value of its assets over a period (usually the average of beginning and ending assets). It matters to investors because it shows how well management uses the company’s resources to generate returns—think of it as how much profit a baker earns from the oven space they actually used over time.

return on average equity financial

"Return on Average Equity (“ROAE”) was 15.12% for the first quarter of 2026"

Return on average equity (ROAE) measures how much profit a company generates for its shareholders’ invested capital over a period, calculated by dividing net profit by the average shareholder equity during that period. It matters to investors because it shows how efficiently management turns owners’ money into earnings—like how much bread a baker bakes from the same oven space—helping compare profitability across companies and track performance over time.

net interest margin financial

"Net interest margin was 4.49%, reflecting a 10 basis point increase"

Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.

efficiency ratio financial

"The Company’s efficiency ratio was 53.5% for the first quarter of 2026"

A measure of how much a company spends to produce each dollar of revenue, usually shown as operating expenses divided by revenue and expressed as a percentage. Think of it as a household’s budget: a lower percentage means more of each dollar earned stays as profit, while a higher number means costs are eating into returns. Investors use it to judge cost control and compare how efficiently companies turn revenue into earnings, especially in banks and financial firms.

allowance for credit losses financial

"The allowance for credit losses stood at $11.1 million as of March 31, 2026"

Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.

net charge-offs financial

"recoveries totaled $41,000 resulting in net charge-offs of only $3,000"

Net charge-offs are the amount of loans or credit a lender removes from its books as uncollectible after subtracting any money later recovered from previously written-off accounts. Think of it like a store writing off unpaid tabs but getting back a few dollars later — the net figure shows the real loss. Investors watch this to judge a lender’s loan quality, future profits and how much capital may be needed to cover bad debts.

net loan-to-deposit ratio financial

"Net loan-to-deposit ratio | | 98.69 | %"

Net loan-to-deposit ratio measures how much of a bank’s customer deposits are tied up in loans after subtracting the reserves the bank holds to cover bad loans. Investors use it to gauge liquidity and lending intensity: a high ratio can signal strong earning activity but less cash available and higher funding risk, while a low ratio implies more conservative cash buffers but potentially lower interest income—like how much of your paycheck you've lent out versus kept in your wallet.

tier 1 leverage ratio regulatory

"The Bank’s capital levels remain strong, with a Tier 1 Leverage Ratio of 10.74%"

Tier 1 leverage ratio measures a bank’s core capital — the money that can absorb losses — as a share of its total assets, showing how much of its balance sheet is funded by real loss-absorbing capital rather than borrowed money. Investors use it like a safety gauge: a higher ratio means a bigger cushion against shocks and lower risk of insolvency, similar to how a thicker spare tire reduces the chance of being stranded.

AI-generated analysis. Not financial advice.

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Fort Lauderdale, FL, April 24, 2026 (GLOBE NEWSWIRE) -- OptimumBank Holdings, Inc. (NYSE American: OPHC) (the “Company”) is a bank holding company and owns 100% of OptimumBank (the “Bank”), a Florida-chartered commercial bank, OptimumHUD Loans, LLC (d/b/a) as OptimumFunding, LLC, a wholly owned non-bank subsidiary, and OptimumFinance, LLC, a wholly owned non-bank, asset-based lending subsidiary. The Company is pleased to announce net income of $4.7 million, or $0.39 per basic share, and $0.20 per diluted share, for the first quarter of 2026. This compares to net income of $4.9 million, or $0.42 per basic share, and $0.21 per diluted share, for the fourth quarter of 2025, and $3.9 million net income, or $0.33 per basic share, and $0.17 per diluted share, for the comparable quarter last year. The increase of $0.8 million in net income for the first quarter of 2026, compared to the same period in 2025, was primarily driven by a $3.8 million improvement in net interest income and $0.6 million increase in noninterest income, partially offset by a $2.4 million increase in noninterest expenses and $0.9 million increase in credit loss expense and the corresponding increase in income tax expense.

The results of the first quarter of 2026 will be explored in greater depth on April 28, 2026, at 10:00am ET, as part of the annual shareholder meeting. Those interested in viewing the Company’s presentation are encouraged to register for the live Webcast, at the following link: https://events.q4inc.com/attendee/178187333/guest. Company management will also be available to respond to questions at the conclusion of the presentation.

The Company has demonstrated sustained growth throughout the first quarter of 2026. The gross loan portfolio increased by $132.1 million, or 13.8%, during the first quarter of 2026 to $1.09 billion. Total deposits increased by $161.1 million from December 31, 2025, totaling $1.09 billion at March 31, 2026, or 17.3% from the prior quarter. This also represents growth of $239.9 million in total deposits since March 31, 2025, or an increase of 28.1%.

Highlights for the First Quarter of 2026

	●	Net income of $4.7 million, or $0.39 per basic share, and $0.20 diluted earnings per share (“diluted EPS”).
	●	Return on Average Assets (“ROAA”) was 1.56% for the first quarter of 2026, compared to 1.77% in the fourth quarter of 2025 (both annualized).
	●	Net interest margin was 4.49%, reflecting a 10 basis point increase from 4.39% in the fourth quarter of 2025.
	●	Total assets grew by $157.1 million to $1.27 billion from December 31, 2025.
	●	Total deposits increased by $161.1 million to $1.09 billion from December 31, 2025.
	●	Gross loans increased by $132.1 million during the quarter to $1.09 billion, compared to $958.79 million at December 31, 2025.
	●	Total stockholders’ equity increased by $5.0 million to $126.9 million as of March 31, 2026, up from $121.9 million as of December 31, 2025, reflecting continued earnings retention.
	●	Return on Average Equity (“ROAE”) was 15.12% for the first quarter of 2026, compared to 16.23% in the fourth quarter of 2025 (both annualized).

“We entered 2026 building on the strongest year in our history, with continued momentum across all key areas of the business,” said Chairman of the Board Moishe Gubin. “As previously announced, 2026 is the year we begin executing on our expansion into new, financially related verticals that complement our banking operations. With the closing of our first loan through OptimumFinance in April, this next phase is now underway. Our sole focus remains on creating and delivering long-term shareholder value.”

Net interest income for the quarter-ended March 31, 2026 increased to $13.2 million, up by $1.3 million from the fourth quarter of 2025 and $3.8 million from the first quarter of 2025, supported by higher yields on loans and securities and lower costs on interest-bearing liabilities. The cost of interest-bearing liabilities was 3.26%, down by eight basis points from 3.34% in the fourth quarter, while interest-earning asset yields rose 17 basis points to 6.62%. The Company’s net interest margin rose 10 basis points to 4.49%, a reflection of disciplined loan and deposit pricing strategy, prudent liquidity management, and balance sheet optimization.

Noninterest income for the quarter-ended March 31, 2026 increased modestly to $1.8 million, or $0.1 million from the prior quarter, primarily driven by an increase in service charges and fees related to banking services. Noninterest expenses increased to $8.0 million, or $1.3 million from the fourth quarter, primarily relating to an increase in employee compensation expenses. The Company’s efficiency ratio was 53.5% for the first quarter of 2026, consistent with prudent cost management amid balance sheet expansion and associated revenue expansion.

Credit loss expense as of quarter-ended March 31, 2026 increased to $0.8 million, primarily due to strong growth in loan balances, partially offset by improvements in the credit quality of the loan portfolio and the evaluation of factors used to determine the credit loss. Gross charge-offs remained modest at $44,000 while recoveries totaled $41,000 resulting in net charge-offs of only $3,000 during the first quarter of 2026. The allowance for credit losses stood at $11.1 million as of March 31, 2026, or 1.01% of total loans.

Loan portfolio growth remained strong in the first quarter of 2026. Gross loans increased by $132.1 million from the prior quarter. Commercial real estate continued to expand, growing by $123.7 million. Additionally, there were increases in the consumer and land and construction portfolio segments, up $8.6 million and $4.8 million, respectively. These gains were partially offset by modest declines of $2.1 million in commercial loans, $2.0 million in multi-family real estate, and $0.9 million in residential real estate. The continued growth experienced in the loan portfolio is due to the implementation of our relationship-based banking model and the success of our lenders in competing for new business.

On the funding side, total deposits increased by $161.1 million to $1.09 billion from the fourth quarter of 2025, with strong sequential growth across all deposit categories. The Company had $40.0 million in Federal Home Loan Bank (“FHLB”) advances outstanding at March 31, 2026, a decrease of $10.0 million from December 31, 2025.

The Bank’s capital levels remain strong, with a Tier 1 Leverage Ratio of 10.74%, well above regulatory minimums. The Company remains well positioned to support continued growth and earnings momentum. The modest decline from the prior quarter reflects strong asset growth, as capital deployment into earning assets outpaced retained earnings, while capital levels remain well above regulatory requirements.

The Company’s outlook remains constructive. During the first quarter of 2026, the Company was ranked number 49 out of 3,465 U.S. community banks by S&P Global Market Intelligence, placing the Company in the top 1.4% nationwide. Subsequent to quarter end, in April 2026, both Alliance Global Partners and Brean Capital initiated equity research coverage of the Company validating the recognition and growing visibility of our platform. The Company continues to invest in technology, talent, and targeted growth strategies that reinforce its position as one of the most dynamic and rapidly growing community banks in South Florida. We remain grateful for the trust and partnership of our shareholders, customers, and employees.

The following table presents the Company’s quarterly trends of the consolidated financial highlights (unaudited) for the periods presented (see below for a summary of non-GAAP reconciliation):

		Quarterly Trends																				1Q26 change vs
(Dollars in thousands except per share amounts)		1Q26				4Q25				3Q25				2Q25				1Q25				4Q25				1Q25
Selected Balance Sheet Data
Total assets		$	1,268,735			$	1,111,678			$	1,083,043			$	999,127			$	977,468			$	157,057			$	291,267
Total gross loans			1,090,894				958,793				813,722				784,564				800,244				132,101				290,650
Total deposits			1,092,883				931,750				959,487				878,865				852,934				161,133				239,949
Earnings Highlights
Net income		$	4,663			$	4,853			$	4,323			$	3,602			$	3,870			$	(190	)		$	793
Diluted earnings per share (EPS)		$	0.20			$	0.21			$	0.18			$	0.15			$	0.17			$	(0.01	)		$	0.03
Net interest income		$	13,190			$	11,871			$	11,048			$	10,242			$	9,426			$	1,319			$	3,764
Performance Ratios
Net interest margin			4.49	%			4.39	%			4.37	%			4.32	%			4.06	%			0.10	%			0.43	%
Net interest spread			3.36	%			3.11	%			2.98	%			3.08	%			2.87	%			0.25	%			0.49	%
Cost of interest-bearing liabilities			3.26	%			3.34	%			3.48	%			3.49	%			3.59	%			(0.08	)%			(0.34	)%
Efficiency ratio			53.47	%			49.59	%			50.68	%			51.18	%			52.79	%			3.88	%			0.67	%
Net loan-to-deposit ratio			98.69	%			101.67	%			83.67	%			88.13	%			92.77	%			(2.98	)%			5.92	%
Return on (annualized)
Average assets (ROAA)			1.56	%			1.77	%			1.68	%			1.48	%			1.62	%			(0.21	)%			(0.06	)%
Average equity (ROAE)			15.12	%			16.23	%			15.17	%			13.10	%			14.66	%			(1.12	)%			0.46	%
Average tangible assets (ROTA)			1.56	%			1.77	%			1.68	%			1.48	%			1.62	%			(0.21	)%			(0.06	)%
Pre-tax pre-provision net revenue (PPNR)		$	6,968			$	6,855			$	6,426			$	5,895			$	5,031			$	113			$	1,937
Other Operating Measures
Common shares outstanding			12,166,858				11,533,943				11,883,943				11,751,082				11,751,082				632,915				415,776
Non-diluted tangible book value per share		$	10.43			$	10.57			$	9.84			$	9.48			$	9.19			$	(0.14	)		$	1.23
Fully diluted shares outstanding			23,625,209				23,523,473				23,523,473				23,390,612				23,390,612				101,736				234,597
Fully diluted tangible book value per share		$	5.37			$	5.18			$	4.97			$	4.76			$	4.62			$	0.19			$	0.75
Tangible common equity to tangible assets			10.00	%			10.97	%			10.79	%			11.14	%			11.05	%			(0.97	)%			(1.05	)%
Bank Tier 1 Leverage Ratio			10.74	%			11.39	%			11.71	%			11.89	%			11.71	%			(0.65	)%			(0.96	)%

Financial Results

Statement of Income

Net income was $4.7 million for the first quarter of 2026, compared to net income of $4.9 million for the fourth quarter of 2025, and $3.9 million for the first quarter of 2025. The decrease from the fourth quarter of 2025 was primarily due to an increase in noninterest expense to $8.0 million, compared to $6.7 million in the fourth quarter, primarily driven by higher employee compensation associated with increased growth, due to a combination of prior quarter adjustments to year-end incentive compensation, seasonal increases in payroll taxes and other employee benefits, and continued investments in personnel. Additionally, there was a $0.4 million increase in credit loss expense, partially offset by increases of $1.3 million in net interest income and $0.1 million in noninterest income.

Total interest income was $19.5 million for the first quarter of 2026, compared to $17.4 million in the fourth quarter of 2025 and $15.0 million in the first quarter of 2025. The sequential growth was driven by a $2.7 million increase in interest income from loans partially offset by a $0.7 million decline in other interest income, primarily from lower interest earning deposits with banks. Compared to the first quarter of 2025, the increase was primarily due to a $244.7 million increase in average loan balances.

The following table depicts the components of interest income (unaudited) for the quarterly periods presented:

		Quarterly Trends																				1Q26 change vs
(Dollars in thousands)		1Q26				4Q25				3Q25				2Q25				1Q25				4Q25				1Q25
Interest income
Loans		$	18,114			$	15,437			$	14,082			$	14,026			$	13,601			$	2,677			$	4,513
Debt securities			191				164				153				158				160				27				31
Other			1,148				1,837				2,086				1,404				1,246				(689	)			(98	)
Total interest income		$	19,453			$	17,438			$	16,321			$	15,588			$	15,007			$	2,015			$	4,446

Interest expense totaled $6.3 million for the first quarter of 2026, compared to $5.6 million for the fourth quarter of 2025 and $5.6 million for the first quarter of 2025. Compared to the fourth quarter of 2025, the increase in interest expense was primarily attributable to a $113.3 million increase in total interest-bearing liability balances, partially offset by an eight basis point decrease in the cost of interest-bearing liabilities from 3.34% to 3.26%. Compared to the first quarter of 2025, there was a $158.9 million increase in average interest-bearing liability balances, with a 33 basis point decrease in the cost of interest-bearing liabilities, from 3.59% to 3.26%.

Net interest income was $13.2 million in the first quarter of 2026, up from $11.9 million in the fourth quarter of 2025 and $9.4 million in the first quarter of 2025. The quarter-over-quarter increase was primarily driven by growth in the average interest-earning assets of $110.7 million, and the lower cost on interest-bearing liabilities. On a year-over-year basis, the growth in net interest income was primarily attributable to a $244.7 million increase in average loan balances and a $14.0 million increase in average interest-earning deposits with banks balances, further supported by lower funding costs.

Net interest margin expanded to 4.49% for the first quarter of 2026, compared to 4.39% and 4.06% for the fourth and first quarters of 2025, respectively. Compared to the fourth quarter of 2025, net interest margin increased by 10 basis points, primarily driven by the decrease in interest-bearing liabilities cost. Compared to the first quarter of 2025, net interest margin increased by 43 basis points, primarily attributable to a decrease in the cost of interest-bearing liabilities and an increase in loan yields.

The cost of interest-bearing liabilities was 3.26% in the first quarter of 2026, down from 3.34% in the fourth quarter of 2025 and down from 3.59% in the first quarter of 2025. The decrease from the fourth quarter of 2025 was primarily due to a decrease in yields in the time deposit portfolio. Compared to the same quarter last year, the cost of interest-bearing liabilities decreased substantially by 33 basis points. This reduction was due to a decrease in yields across the deposit portfolio with disciplined pricing following rate reductions combined with a reduction in borrowings.

Credit loss expense was $0.8 million during the first quarter of 2026, compared to $0.4 million in the fourth quarter of 2025, and a $0.2 million reversal for the first quarter of 2025. The increase in credit loss expense from the fourth quarter was primarily attributable to the $132.1 million increase in gross loan balances, partially offset by improvements in the credit quality of the loan portfolio and the evaluation of factors used to determine the credit loss. Gross charge-offs remained modest at $44,000 while recoveries totaled $41,000, resulting in net charge-offs of $3,000 during the first quarter of 2026. The Company’s allowance for credit losses stood at $11.1 million, or 1.01% of total loans, as of March 31, 2026.

Noninterest income totaled $1.8 million for the first quarter of 2026, up from $1.7 million in the prior quarter and up from $1.2 million in the first quarter of 2025. The quarter-over-quarter increase of $0.1 million was primarily driven by an increase in service charges and fees related to banking services. Compared to the same quarter last year, the $0.6 million increase in noninterest income was primarily related to increases in wire transfers, ACH fees on deposit payment transactions, and other loan fees.

Noninterest expenses totaled $8.0 million for the first quarter of 2026, compared to $6.7 million in the fourth quarter of 2025 and $5.6 million in the first quarter of 2025. Compared to the fourth quarter of 2025, the increase of $1.3 million primarily relates to an increase in employee compensation expenses. Compared to the first quarter of 2025, the increase of $2.4 million includes increases of $1.6 million, $0.4 million, and $0.3 million in employee compensation expenses, data processing, and other expenses, respectively.

The $1.3 million increase in employee compensation expenses when compared to the prior quarter is due to prior quarter adjustments to year-end incentive compensation combined with seasonal increases in payroll taxes and other employee benefits and continued investments in personnel.

The following table depicts the components of noninterest expenses (unaudited) for the quarterly periods presented:

		Quarterly Trends																				1Q26 change vs
(Dollars in thousands)		1Q26				4Q25				3Q25				2Q25				1Q25				4Q25				1Q25
Noninterest expenses
Salaries and employee benefits		$	4,988			$	3,672			$	4,004			$	3,738			$	3,381			$	1,316			$	1,607
Professional fees			295				333				276				275				247				(38	)			48
Occupancy and equipment			338				328				327				294				282				10				56
Data processing			914				794				788				625				533				120				381
Regulatory assessment			179				161				126				202				198				18				(19	)
Losses on sale and write-downs of other real estate owned			5				54				-				-				-				(49	)			5
Other			1,287				1,401				1,083				1,047				985				(114	)			302
Total noninterest expenses		$	8,006			$	6,743			$	6,604			$	6,181			$	5,626			$	1,263			$	2,380

Income tax expense was $1.5 million for the first quarter of 2026 compared $1.6 million in the fourth quarter of 2025 and $1.3 million in the first quarter of 2025. The effective tax rate for the quarter was 24.8%, compared to 24.8% in the prior quarter and 25.5% from the prior year comparative quarter.

Balance Sheet

Total assets were $1.27 billion as of March 31, 2026, increasing from $1.11 billion at December 31, 2025, and up from $977.5 million at March 31, 2025. The quarter-over-quarter growth of $157.1 million was primarily attributable to a $131.2 million increase in net loans and a $25.5 million increase in cash and cash equivalents.

Cash and cash equivalents at March 31, 2026, were $140.0 million, which increased from $114.6 million at December 31, 2025, and decreased slightly from $143.5 million at March 31, 2025. The increase quarter-over-quarter was primarily driven by a $161.1 million increase in deposit balances, partially offset by a $131.2 million increase in net loans.

Investment securities (debt securities available for sale and held-to-maturity) at March 31, 2026, were $27.3 million, compared to $25.4 million at December 31 2025, and $23.3 million at March 31, 2025. One commercial mortgage-backed security was purchased during the quarter totaling $2.3 million. No sales of debt securities were reported during these periods.

Total gross loans at March 31, 2026, were $1.091 billion, an increase from $958.8 million at December 31, 2025, and up from $800.2 million at March 31, 2025. Gross loans increased during the quarter reflecting growth in commercial real estate, consumer, and land and construction. Compared to March 31, 2025, the gross loan portfolio increased by $290.7 million, reflecting growth primarily in commercial real estate.

The allowance for credit losses (“ACL”) was $11.1 million as of March 31, 2026, representing 1.01% of total loans, decreasing from 1.07% at December 31, 2025, and up from $10.3 million and $8.3 million at December 31, 2025, and March 31, 2025, respectively. The decrease in the ACL ratio reflects the impact of portfolio growth and model-driven reserve factors and does not indicate any deterioration in credit quality or coverage. The quarter-over-quarter increase of $0.8 million was primarily driven by the growth in the loan portfolio, partially offset by improvements in the credit quality of the loan portfolio and the evaluation of factors used to determine the credit loss. The ACL ratio reflects continued credit discipline and a well-diversified loan portfolio.

The following table presents the components of the ACL (unaudited) as of the dates indicated:

																						March 31, 2026 change vs
		March 31,				December 31,				September 30,				June 30,				March 31,				December 31,				March 31,
		2026				2025				2025				2025				2025				2025				2025
Beginning balance		$	10,273			$	10,018			$	9,338			$	8,270			$	8,660			$	255			$	1,613
Credit loss expense (reversal) - funded			791				389				639				1,043				(144	)			402				935
Charge-offs			(44	)			(201	)			(129	)			(72	)			(325	)			157				281
Recoveries			41				67				170				97				79				(26	)			(38	)
Ending balance		$	11,061			$	10,273			$	10,018			$	9,338			$	8,270			$	788			$	2,791

Nonaccrual loans totaled $2.2 million at March 31, 2026, compared to $2.9 million at December 31, 2025, and $7.5 million at March 31, 2025. The decrease from the prior year was primarily due to a decrease in land and construction, and consumer nonaccrual loans of $6.2 million, offset by a $0.9 million increase in nonaccrual commercial loans during the year. There were no loans 90 days or more past due and still accruing interest as of March 31, 2026. Additionally, the Company did not report any modified loans to borrowers experiencing financial difficulty during the first quarter of 2026.

Nonperforming assets (“NPA”) reflected strong asset quality at March 31, 2026. Nonaccrual loans decreased to $2.2 million from $2.9 million at December 31, 2025 and $7.5 million at March 31,2025. The Company sold the one real estate owned (“OREO”) property reported on December 31, 2025 totaling $0.6 million and recorded a $55,000 loss on sale. Following the sale, the Company reported no OREO property as of March 31, 2026.

Total deposits at March 31, 2026, were $1.09 billion, an increase from $931.8 million at December 31, 2025, and an increase from $852.9 million at March 31, 2025. The increase from December 31, 2025, was attributable to increases in all deposit categories, with a 23.5% increase in time deposits and a $38.4 million, or 14.4% increase in noninterest-bearing demand deposits. The increase from March 31, 2025 was also attributable to increases in all deposit categories, most notably a 35.2% increase in time deposits and a 29.3% increase in noninterest-bearing demand deposits. The Company continues to maintain a diverse and stable funding base.

Accumulated other comprehensive loss (“AOCL”) was $4.7 million at March 31, 2026, compared to $4.6 million at December 31, 2025, and $5.2 million at March 31, 2025. The AOCL increased by $0.1 million quarter-over-quarter, primarily due to the increase in mid to long-term interest rates impacting the fair value of available-for-sale securities. Year-over-year, AOCL improved by $0.5 million, reflecting the net impact of favorable fair value changes over the trailing twelve months, resulting in unrealized gains. All AOCL amounts represent unrealized gains and losses, net of applicable income taxes, and have no impact on reported earnings or regulatory capital.

Shareholders’ equity was $126.8 million as of March 31, 2026, compared to $121.9 million as of December 31, 2025, and $108.0 million as of March 31, 2025. The increase during the first quarter was principally attributable to net income of $4.7 million and $0.4 million related to the issuance of stock for annual employee stock compensation, partially offset by the $0.1 million increase in AOCL.

Tangible book value per share at March 31, 2026, was $10.43, down from $10.57 at December 31, 2025, and up from $9.19 at March 31, 2025. This non-diluted measure is based on common shares outstanding, which were 12,166,858 at March 31, 2026 (up from 11,533,943 at December 31, 2025 and 11,751,082 at March 31, 2025). During the first quarter of 2026, 65 Preferred Series B shares were converted to 531,179 common shares, which impacted the Tangible book value per share. Additional common shares totaling 101,315 were issued in the first quarter of 2026 for annual employee stock compensation with 421 common shares issued through the Company’s ongoing at-the-market (“ATM”) offering.

Although GAAP accounting generally presents book value based on common shares outstanding, the Company believes a more comprehensive measure of shareholder value is on a fully diluted basis.

On a fully diluted basis, tangible book value per share was $5.37 at March 31, 2026, up $0.19 per share, or 14.9% annualized from $5.18 at December 31, 2025, and up $0.75, or 16.2% from $4.62 at March 31, 2025. This is based on fully diluted shares outstanding of 23,625,209 at March 31, 2026 (up from 23,523,473 at December 31, 2025, and up from 23,390,612 at March 31, 2025).

The increase in both non-diluted and fully diluted tangible book value per share reflects strong quarterly earnings performance and overall capital strength.

FORWARD-LOOKING STATEMENTS

Certain statements made in this report which are not statements of historical fact are forward-looking statements within the meaning of, and subject to the protection of, the federal securities laws. Forward looking statements include, among others, statements with respect to our beliefs, plans, objectives, goals, targets, expectations, anticipations, assumptions, estimates, intentions and future performance and involve known and unknown risks, many of which are beyond our control and which may our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by the forward-looking statements made in this report. You can identify forward-looking statements through our use of words such as “believes,” “anticipates,” “expects,” “may,” “will,” “assumes,” “should,” “predicts,” “could,” “should,” “would,” “intends,” “targets,” “estimates,” “projects,” “plans,” “potential” and other similar words and expressions. Forward-looking statements are based on our current beliefs and expectations and are subject to significant risks and uncertainties. Accordingly, we caution you not to place undue reliance on such statements. We undertake no obligation to update or revise any of our forward-looking statements for events or circumstances that arise after the statement is made, except as otherwise may be required by law.

Investor Relations & Corporate Relations

Contact: Seth Denison
Telephone: (305) 401-4140
Email: SDenison@OptimumBank.com

OptimumBank Holdings, Inc.
Consolidated Balance Sheets (Unaudited)
(Dollars in thousands)

																						March 31, 2026 change vs
		March 31,				December 31,				September 30,				June 30,				March 31,				December 31,				March 31,
		2026				2025				2025				2025				2025				2025				2025
Assets
Cash and due from banks		$	15,074			$	9,349			$	9,271			$	8,833			$	13,542			$	5,725			$	1,532
Interest-bearing deposits with banks			124,942				105,210				225,815				172,921				129,914				19,732				(4,972	)
Total cash and cash equivalents			140,016				114,559				235,086				181,754				143,456				25,457				(3,440	)
Debt securities available for sale			27,044				25,184				22,926				22,378				23,043				1,860				4,001
Debt securities held-to-maturity			212				214				246				260				269				(2	)			(57	)
Loans, net of allowance for credit losses			1,078,533				947,294				802,812				774,548				791,232				131,239				287,301
Federal Home Loan Bank stock			2,678				3,028				658				658				1,128				(350	)			1,550
Premises and equipment, net			2,797				2,490				2,308				2,426				2,249				307				548
Other real estate owned			-				551				-				-				-				(551	)			-
Right-of-use lease assets			2,511				2,617				2,725				2,552				2,647				(106	)			(136	)
Accrued interest receivable			3,994				3,621				3,171				3,138				3,287				373				707
Deferred tax asset			3,116				3,108				3,238				3,135				2,777				8				339
Other assets			7,834				9,012				9,873				8,278				7,380				(1,178	)			454
Total assets		$	1,268,735			$	1,111,678			$	1,083,043			$	999,127			$	977,468			$	157,057			$	291,267
Liabilities and Stockholders’ Equity
Liabilities
Noninterest-bearing demand deposits		$	304,887			$	266,520			$	313,973			$	259,816			$	235,779			$	38,367			$	69,108
Savings, NOW and money-market deposits			345,494				306,921				309,087				300,907				289,768				38,573				55,726
Time deposits			442,502				358,309				336,427				318,142				327,387				84,193				115,115
Total deposits			1,092,883				931,750				959,487				878,865				852,934				161,133				239,949
Federal Home Loan Bank advances			40,000				50,000				-				-				10,000				(10,000	)			30,000
Operating lease liabilities			2,647				2,745				2,846				2,661				2,746				(98	)			(99	)
Other liabilities			6,357				5,286				3,822				6,253				3,785				1,071				2,572
Total liabilities			1,141,887				989,781				966,155				887,779				869,465				152,106				272,422
Stockholders’ equity
Preferred stock:
Series B Convertible Preferred			-				-				-				-				-				-				-
Series C Convertible Preferred			-				-				-				-				-				-				-
Common stock			122				115				119				118				118				7				4
Additional paid-in capital			112,993				112,578				112,574				112,010				112,015				415				978
Retained earnings (accumulated deficit)			18,464				13,801				8,948				4,625				1,023				4,663				17,441
Accumulated other comprehensive loss			(4,731	)			(4,597	)			(4,753	)			(5,405	)			(5,153	)			(134	)			422
Total stockholders’ equity			126,848				121,897				116,888				111,348				108,003				4,951				18,845
Total liabilities and stockholders’ equity		$	1,268,735			$	1,111,678			$	1,083,043			$	999,127			$	977,468			$	157,057			$	291,267

OptimumBank Holdings, Inc.
Consolidated Statements of Earnings - Quarterly (Unaudited)
(Dollars in thousands, except per share amounts)

		Quarterly Trends																				1Q26 change vs
		1Q26				4Q25				3Q25				2Q25				1Q25				4Q25				1Q25
Interest income
Loans		$	18,114			$	15,437			$	14,082			$	14,026			$	13,601			$	2,677			$	4,513
Debt securities			191				164				153				158				160				27				31
Other			1,148				1,837				2,086				1,404				1,246				(689	)			(98	)
Total interest income			19,453				17,438				16,321				15,588				15,007				2,015				4,446
Interest expense
Deposits			6,176				5,561				5,273				5,322				5,278				615				898
Borrowings			87				6				-				24				303				81				(216	)
Total interest expense			6,263				5,567				5,273				5,346				5,581				696				682
Net interest income			13,190				11,871				11,048				10,242				9,426				1,319				3,764
Credit loss expense (reversal)			770				398				763				1,040				(165	)			372				935
Net interest income after credit loss expense (reversal)			12,420				11,473				10,285				9,202				9,591				947				2,829
Noninterest income
Service charges and fees			1,313				1,268				1,252				1,099				1,038				45				275
Other			471				459				730				735				193				12				278
Total noninterest income			1,784				1,727				1,982				1,834				1,231				57				553
Noninterest expenses
Salaries and employee benefits			4,988				3,672				4,004				3,738				3,381				1,316				1,607
Professional fees			295				333				276				275				247				(38	)			48
Occupancy and equipment			338				328				327				294				282				10				56
Data processing			914				794				788				625				533				120				381
Regulatory assessment			179				161				126				202				198				18				(19	)
Losses on sale and write-downs of other real estate owned			5				54				-				-				-				(49	)			5
Other			1,287				1,401				1,083				1,047				985				(114	)			303
Total noninterest expenses			8,006				6,743				6,604				6,181				5,626				1,263				2,381
Net earnings before income taxes			6,198				6,457				5,663				4,855				5,196				(259	)			1,001
Income taxes			1,535				1,604				1,340				1,253				1,326				(69	)			209
Net income		$	4,663			$	4,853			$	4,323			$	3,602			$	3,870			$	(190	)		$	792
Net income per share - Basic		$	0.39			$	0.42			$	0.37			$	0.31			$	0.33			$	(0.03	)		$	0.06
Net income per share - Diluted		$	0.20			$	0.21			$	0.18			$	0.15			$	0.17			$	(0.01	)		$	0.03

OptimumBank Holdings, Inc.
Consolidated Average Balances, Interest Income and Expenses, Yields and Rates (QTD) (Unaudited)
(Dollars in thousands, except average yields/rates)

		1Q26												4Q25												1Q25
						Interest				Average								Interest				Average								Interest				Average
		Average				and				Yield/				Average				and				Yield/				Average				and				Yield/
		Balance				Dividends				Rate(1)				Balance				Dividends				Rate(1)				Balance				Dividends				Rate(1)
Interest-earning assets
Loans		$	1,041,583			$	18,114				7.05	%		$	876,581			$	15,437				7.04	%		$	796,846			$	13,601				6.83	%
Securities			26,527				191				2.92	%			24,192				164				2.71	%			22,977				160				2.79	%
Other interest-earning assets (2)			123,845				1,148				3.76	%			180,474				1,837				4.07	%			109,863				1,246				4.54	%
Total interest-earning assets/interest income			1,191,955				19,453				6.62	%			1,081,247				17,438				6.45	%			929,686				15,007				6.46	%
Cash and due from banks			10,656												8,285												14,177
Premises and equipment			2,684												2,444												2,139
Other			4,641												4,972												7,862
Total assets		$	1,209,936											$	1,096,948											$	953,864
Interest-bearing liabilities
Savings, NOW and money-market deposits		$	334,816			$	1,896				2.30	%		$	303,184			$	1,713				2.26	%		$	277,012			$	1,751				2.53	%
Time deposits			436,205				4,280				3.98	%			363,225				3,848				4.24	%			312,116				3,527				4.52	%
Borrowings (3)			9,224				87				3.83	%			543				5.39				3.97	%			32,222				303				3.76	%
Total interest-bearing liabilities/interest expense			780,245				6,263				3.26	%			666,952				5,567				3.34	%			621,350				5,581				3.59	%
Noninterest-bearing demand deposits			296,750												301,812												219,204
Other liabilities			7,852												8,606												7,719
Stockholders’ equity			124,089												119,578												105,591
Total liabilities and stockholders’ equity		$	1,209,936											$	1,096,948											$	953,864
Net interest income						$	13,190											$	11,871											$	9,426
Interest rate spread (4)											3.36	%											3.11	%											2.86	%
Net interest margin (5)											4.49	%											4.39	%											4.06	%
Ratio of average interest-earning assets to average interest-bearing liabilities			1.53												1.62												1.50

(1	)	Annualized.
(2	)	Includes interest-earning deposits with banks, Federal Funds Sold and Federal Home Loan Bank stock dividends.
(3	)	Includes Federal Home Loan Bank advances.
(4	)	Interest rate spread represents the difference between average yield on interest-earning assets and the average cost of interest-bearing liabilities.
(5	)	Net interest margin is net interest income divided by average interest-earning assets.

OptimumBank Holdings, Inc.
Segments of Loans Analysis (Unaudited)
(Dollars in thousands)

																						March 31, 2026 change vs
		March 31,				December 31,				September 30,				June 30,				March 31,				December 31,				March 31,
		2026				2025				2025				2025				2025				2025				2025
Residential real estate		$	73,130			$	74,018			$	66,723			$	66,602			$	71,638			$	(888	)		$	1,492
Multi-family real estate			63,655				65,693				67,435				68,321				63,615				(2,038	)			40
Commercial real estate			790,238				666,508				524,865				478,224				482,113				123,730				308,125
Land and construction			41,000				36,212				43,364				61,126				80,338				4,788				(39,338	)
Commercial			46,127				48,196				45,604				50,351				50,585				(2,069	)			(4,458	)
Consumer			76,744				68,166				65,731				59,940				51,955				8,578				24,789
Total loans			1,090,894				958,793				813,722				784,564				800,244				132,101				290,650
Deduct:
Net deferred loan fees and costs			(1,300	)			(1,227	)			(892	)			(678	)			(742	)			(73	)			(558	)
Allowance for credit losses			(11,061	)			(10,273	)			(10,018	)			(9,338	)			(8,270	)			(788	)			(2,791	)
Loans, net		$	1,078,533			$	947,293			$	802,812			$	774,548			$	791,232			$	131,240			$	287,301

Explanation of Certain Unaudited Non-GAAP Financial Measures

This presentation contains financial information determined by methods other than Generally Accepted Accounting Principles (“GAAP”). Management uses these non-GAAP financial measures in its analysis of the Company’s performance and believes these presentations provide useful supplemental information, and a clearer understanding of the Company’s performance. The Company believes the non-GAAP measures enhance investors’ understanding of the Company’s business and performance and if not provided would be requested by the investor community. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. The limitations associated with operating measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might define or calculate these measures differently. The Company provides reconciliations between GAAP and these non-GAAP measures. These disclosures should not be considered an alternative to GAAP.

Non-GAAP Reconciliations

Pre-tax, Pre-provision earnings (Unaudited)

(Dollars in thousands)			1Q26				4Q25				3Q25				2Q25				1Q25
Net Income (GAAP)		$	4,663			$	4,853			$	4,324			$	3,602			$	3,870
Plus: Income Tax Expense			1,535				1,604				1,340				1,253				1,326
Plus: Credit Loss Expense (Reversal)			770				398				763				1,040				(165	)
Pre-tax, Pre-provision earnings (Non-GAAP)			6,968				6,855				6,427				5,895				5,031

Tangible Book Value Per Common Share and Per Fully Diluted Share (Unaudited)

(Dollars in thousands, except per share amounts)			1Q26				4Q25				3Q25				2Q25				1Q25
Total Stockholders’ (GAAP) and Tangible Common Equity		$	126,848			$	121,897			$	116,888			$	111,348			$	108,003
Common Shares Outstanding			12,167				11,534				11,884				11,751				11,751
Effect of conversion of series B preferred shares if converted			10,582				11,114				11,114				11,114				11,114
Effect of conversion of series C preferred shares if converted			876				876				526				526				526
Total Diluted Shares			23,625				23,524				23,524				23,391				23,391
Tangible Book Value per Common Share		$	10.43			$	10.57			$	9.84			$	9.48			$	9.19
Tangible Book Value per Share - Diluted		$	5.37			$	5.18			$	4.97			$	4.76			$	4.62

Attachment

• Shareholder Meeting Presentation 2026

FAQ

What were OptimumBank (OPHC) 1Q26 earnings per share and net income?

Direct answer: OptimumBank reported 1Q26 net income of $4.7 million, $0.39 basic and $0.20 diluted EPS.

Context: According to the company, results compare to $3.9 million and $0.33 basic/$0.17 diluted EPS in 1Q25, reflecting higher net interest income.

How much did OptimumBank (OPHC) deposits grow in the first quarter of 2026?

Direct answer: Total deposits increased to $1.09 billion, up $161.1 million sequentially.

Context: According to the company, deposits rose $239.9 million versus 1Q25, a 28.1% year-over-year increase supporting loan growth and liquidity.

What drove OptimumBank (OPHC) loan growth in 1Q26 and how large was it?

Direct answer: Gross loans grew $132.1 million in 1Q26 to $1.09 billion.

Context: According to the company, commercial real estate led growth (+$123.7M), with additional gains in consumer and land/construction portfolios.

How did OptimumBank (OPHC) net interest margin and net interest income perform in 1Q26?

Direct answer: Net interest income was $13.2 million and NIM expanded to 4.49% in 1Q26.

Context: According to the company, higher loan and securities yields plus lower funding costs drove the increase versus prior quarters.

What cost and credit trends should OPHC investors watch after 1Q26 results?

Direct answer: Investors should monitor rising noninterest expenses and increasing credit loss expense observed in 1Q26.

Context: According to the company, noninterest expenses rose to $8.0M (largely compensation) and credit loss expense increased to $0.8M due to loan growth.